The Boston Consulting Group News

Kongsberg Digital has launched its Industrial Work Surface, which aims to "fundamentally change how carbon-intensive industries operate by enabling the company’s software users to work within a single digital environment.""By providing end-to-end user workflows, Kongsberg Digital’s customers will benefit from cleaner, more efficient, and lower cost operations, reinforcing the company’s proven technology already deployed across the energy and maritime sectors," Kongsberg Digital…

Boston Consulting Group (BCG) a consultancy and advisor on decarbonization to the maritime industry, and maritime classification society American Bureau of Shipping (ABS), have signed a memorandum of understanding to combine their technical and consulting expertise in the maritime and offshore industries, providing joint support to clients’ decarbonization journeys.Peter Jameson, Partner and Global Lead for Climate and Sustainability in BCG’s Infrastructure, Transport and Cities practice…

Maritime transport is the backbone of international trade and the global economy. Approximately 80% of global trade by volume and in excess of 70% of global trade by value is carried by sea, and millions of tons of goods are handled by ports worldwide according to the United Nations Conference on Trade and Development (UNCTAD).South Africa is positioned on a major shipping route with an expansive coastline that traverses two oceans and spans nearly 4 000 kilometers. The country has a vibrant maritime sector that boasts eight commercial ports and 44 non-commercial harbors…

Oslo-listed LNG FSRU specialist Höegh LNG has appointed Erik Nyheim as the new President & CEO, effective from mid-August this year.Nyheim comes from the position as Partner of Boston Consulting Group's Norwegian office where he has successfully led their maritime practice since 2019. Prior to this, he worked for more than 15 years with the Wilhelmsen group. Nyheim holds a BSc Economics and Business Administration from the Norwegian School of Business and Administration (NHH) in Bergen.Chairman of the Board,  Morten W.

Banks are demanding much stricter environmental criteria when financing shipping companies as investor pressure grows on the sector to accelerate going greener, according to Boston Consulting Group (BCG).Shipping, which transports about 90% of world trade, accounts for nearly 3% of the world's CO2 emissions and BCG forecast the industry will need $2.4 trillion to achieve net-zero emissions by 2050."ESG-driven requests are already prompting more action from banks. Shipping is already feeling it and they (shipping companies) are under pressure now…

Amazon.com Inc and IKEA are among commercial users of container shipping that will opt for zero-carbon marine fuels by 2040 in a new initiative aimed at speeding up decarbonization in the maritime sector, executives said on Tuesday.With about 90% of world trade transported by sea, global shipping accounts for nearly 3% of the world's CO2 emissions and the sector is under growing scrutiny to become cleaner.The initiative, which was organized by the non-profit Aspen Institute and has nine signatories so far also including Unilever and Michelin…

In the next decade, we’ll see more accelerated change in shipping fuels than we’ve seen in the last century. What does this heightened diversity mean for shipowners? They must be nimbler than ever – a shift that requires work. It means greening supply chains, bolstering energy efficiency, nurturing more partnerships, streamlining costs, and becoming adept at green finance (frequent change can be expensive to start with). All will help shipowners’ fuel portfolios adapt to the inevitable…

Carnival Corporation announced another set of moves within its global leadership team as part of the company's broader efforts to streamline operations and prepare the organization for the eventual resumption of cruising amid the coronavirus health crisis.Gus Antorcha, currently chief operations officer for the group's Carnival Cruise Line brand, has been named president of the company's Holland America Line, while Neil Palomba, currently president of the company's Italy-based Costa Cruises…

Lockdowns to slow the coronavirus pandemic are pummelling gas demand in the world's biggest buyers of liquefied natural gas (LNG), pushing Asia's spot prices to record lows and forcing some suppliers to start cutting output. Economies worldwide have ground to a halt as virus containment measures have taken their toll, slashing gas demand for power generation, heating, cooking, vehicles and chemical manufacture. The world's biggest LNG markets - Japan, China, South Korea, and India - are all seeing a drop in demand. Asia's spot LNG prices dropped to $1.85 per million British thermal units (mmBtu) last week, the lowest ever, as cargoes have flooded the market. "At prices in the $2/mmBtu range ... some producers are getting close to not recovering cash costs of their operations.

Yara Marine Technologies has appointed Aleksander Askeland as Chief Sales Officer, effective March 1st. Askeland has worked for the broader Yara group since 2016, starting in the Industrial segment for the Environmental Solutions business unit, then managing the Animal Nutrition Business unit (350 MEUR revenue). He has also worked on strategic projects in Supply Chain and Strategy & Business Development.Prior to joining Yara, Askeland worked four years as Director for Sales & Business Development for the Store Norske mining company in Svalbard.

New marine fuel rules to boost diesel prices for at least a year -analystsGlobal prices for diesel and marine fuels should rise by October ahead of a January switchover to new, very low-sulfur marine fuels, and remain higher for at least a year as refiners shift production to make more of the new fuels, analysts said.Marine fuels containing no more than 0.5% sulfur by weight, down from the 3.5% currently used, to power ocean-going vessels will be required for ships without exhaust scrubbers on Jan.

The marine industry's January 2020 shift to using very low sulfur fuel oil (VLSFO) to power ships worldwide will launch a one- to five-year disruption in oil and refined products markets, according to a study released Thursday by Boston Consulting Group.The International Maritime Organization (IMO)'s mandated switch will require fuels to have a sulfur content below 0.5%, compared with 3.5% now. It aims to improve human health by reducing air pollution from sea-going vessels.The changeover may increase profits for refiners, especially on the U.S.

The repositioning of empty containers costs the liner industry an estimated $15-20billion every year according to Boston Consulting Group (BCG), as containers sit idle at a depot or are repositioned to a different loading point while empty. This is time spent not earning revenue, whil incurring additional costs, and is estimated by BCG to account for 5-8% of total operating costs for an average container liner. These expenses can include inland repositioning by rail or road onto a different port or terminal…

Norwegian offshore shipping company GC Rieber Shipping announced acting chief executive officer Einar Ytredal has appointed to the CEO role on a permanent basis. At the same time, Øystein Kvåle was named new chief financial officer (CFO) and Christoffer Knudsen was promoted to chief commercial officer (CCO).Ytredal was appointed acting CEO in mid-September 2018. He has been with the company since 2007, first as vice president finance and then as CFO since September 2011. Before joining GC Rieber Shipping, Ytredal worked at Deloitte.

UK shipping technology sector will grow to become a GBP 12.8 billion (USD 16.5 bln ) market by 2030 from the current level of  GBP 3.7 billion, revealed a study.A new report commissioned by UK venture fund and think-tank PUBLIC estimated the growth will be fuelled largely by digitalisation of the industry, with technologies such as big data, blockchain, and artificial intelligence creating a new market for digitally enabled maritime services.For the purposes of this report,  shipping technology is defined as the technology that can be applied to make maritime trade processes more efficient and reduce bottlenecks in the flow of goods around the world. For the purposes of market-sizing, this means digital and IT spend (though not exclusively).

Commodity firms and banks have been diving into blockchain pilot schemes over the last two years but the new technology's application for most trading has likely been over-hyped, a report by Boston Consulting Group (BCG) said.Blockchain, originally the platform behind cryptocurrency Bitcoin, is viewed by some as a solution to inefficiencies, improving transparency and reducing to the risk of fraud. But BCG believes its potential has been exaggerated.A high-tech ledger, blockchain…

Digital Marine Solutions AS (DMS), the parent company of C-Map, has appointed Paul Østergaard as executive chairman. Together with the DMS board of directors and the C-Map leadership team, Østergaard will develop and implement the company’s strategic plan and lead the company in achieving its growth targets for 2017 and beyond. Østergaard began his career as an officer with the Danish Royal Guards and then spent five years with ship-owner J. Lauritzen in commercial and operational roles in Denmark and Brazil.

Vivek Bhatia (38) will become the new CEO of thyssenkrupp Asia Pacific effective October 1, 2016. He succeeds Dr. Stefan Schmitt (40), who will move to thyssenkrupp AG as Head of Human Resources Strategy effective October 1. Vivek Bhatia has been Head of Strategy, Markets and Development at the Regional Headquarters in Singapore since May 2014, prior to which, as part of the Boston Consulting Group for several years, he advised industrial businesses on their strategy and operations, in markets across the world and as part of Engineers India Ltd. gained extensive experience in the Oil & Gas Industry. The Asia Pacific region includes several important growth markets for thyssenkrupp: large…

The European Commission recently published Decision (C(2015)9019 final / 18-12-2015) alleging that some provisions of the Greek shipping taxation regime are in breach of EU state aid provisions and, in particular, the conditions set out in the current Community Guidelines on State Aid to Maritime Transport (SAG). In response, the Union of Greek Shipowners issued a statement expressing its disagreement with the decision. “As the official representative of the Greek shipping sector, the Union of Greek Shipowners (UGS) has the duty to point out that there is no effective distortion of competition in the maritime field in the EU and that any fundamental changes to the institutional and fiscal framework in which the Greek shipping community is presently operating…

State-run Shipping Corporation of India (SCI) Ltd has reported more than three times rise in net profit for the quarter ended 30 June on account of higher earnings from running oil tankers and lower bunker (ship fuel) prices. Its June-quarter net profit  is 1.64 billion rupees versus 494.9 million rupees year ago. Its June-quarter income from operations is 10.46billion rupees versus 10.58 billion rupees last year. The company’s board, which met in Mumbai on Wednesday, approved a proposal to buy three so-called anchor handling tug-cum-supply used in supporting offshore oil exploration support activities from Cochin Shipyard Ltd. This will be the first ship purchase for the firm in more than three years. “From our side, we are ready.

Following the Panama Canal expansion in 2016, up to 10 percent of container traffic to the U.S. from East Asia could shift from West Coast ports to East Coast ports by 2020, according to new research conducted by The Boston Consulting Group (BCG) and C.H. Robinson. Rerouting that volume is equivalent to building a port roughly double the size of the ports in Savannah and Charleston. The research -- which involved extensive scenario analyses based on differing levels of demand…

The implementation of a global sulfur cap slated for 2020 is estimated to add an additional $50-100 billion to the shipping industry's annual fuel bills, Lloyd's List reports. The spread between heavy fuel oil (HFO) and Emission Control Area (ECA) compliant marine gas oil (MGO) is expected to remain in the range of $250 and $400 per tonne, regardless of different price fluctuations, says Niels Bjorn Mortensen, head of regulatory affairs, Maersk Maritime Technology. The estimate could change depending on the future price of blended products like hybrid fuels and whether scrubbers become more common, he added. An updated global cap is expected to limit sulfur content in marine fuel to 0.5 percent from the current 3.5 percent from 2020…

Britain's North Sea oil and gas industry faces a bleak future where more fields are likely to become uneconomic and shut in as platforms close - unless costs can be controlled, operators say. For some elderly platforms in the Northern North Sea, time is running out. If the industry does not get to grips with costs quickly, fresh investment is likely to dry up, forcing unsaleable rusting rigs to be abandoned. "From a cost point of view, the chickens are coming home to roost," said Tim Walsh, senior vice president, asset integrity services at Lloyd's Register Energy.