Challenges and trends ahead - out of the perspective of a classification society Paris, 1 December 2016

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1 MARITIME Challenges and trends ahead - out of the perspective of a classification society Paris, 1 December 2016 Torsten Schramm, President Maritime, DNV GL 1 SAFER, SMARTER, GREENER

2 Origin of Classification Societies 1696 the need of insurers to have verification about the condition of ships, let Edward Lloyd to published ship descriptions lists the register society was formed. Since then, classification societies develop safety standards for ship construction and maintenance, conduct inspections on board ships and issue certificates under International Conventions on behalf of flag states. And until today classification societies adhere to the same principles: neutral and impartial independent (own rules/ rule development; own register; own exclusive surveyors) commitment to ship safety (ship security since July 2004) operating also in the public interest 2

3 Order for Classification Work relations of a Classification Society Ship-owner Building Contract Shipyard Orders Material and Components Supplying Test Certificates Industry Classification Agreement for ship in service Classification Society Testing of Materials and Components Certificate of Class National Statutory Certificates State Authorities

4 DNV GL Maritime serving worldwide 12,450 Vessels in Operation 21% of world total (tonnage) 2,938 Ship-Owners 98 Flag states 375 offices 100 countries 14,000 employees 100+ nationalities 4

5 Matching ship building information with infrastructure demands DEMAND Expected development of ULCS dimensions European port authority seeks advice on expected development of vessel dimensions of ULCS (length, breadth, depth, air draft) for long-term planning of port and hinterland infrastructure DEMAND Forecasting LNG demand for a port authority The regional development agency of a Baltic port launches an initiative to identify mid-term LNG demand for 2020 and Client wants to identify the need to provide adequate bunker facilities for LNG and to be able to meet the requirements of the shipping and tourism industries. 5

6 1. Connectivity 2. Marine cyber physical systems 3. The virtual vessel 4. Energy efficiency measures 5. Hybrid power generation systems 6. Alternative fuels 7. Remote operations and autonomy 8. On-line RAMS 9. Additive manufacturing 10.New ship types DRAFT

7 Maritime VSAT installations (thousands) Connectivity: satellite communication systems Projected maritime VSAT* network capacity Improved coverage and bandwidth Exponential growth Higher throughput per satellite Impacts: Improved supply chain efficiency Optimized fuel consumption Remote monitoring and control *VSAT: Very Small Aperture Terminals 7

8 Marine cyber physical systems Systems of physical components monitored, controlled and optimized by sensors and software Examples: Dynamic positioning Vessel management Propulsion management 8

9 The virtual vessel Digital models of ship and the integration of ship systems Virtual test bench to assess design, condition and performance Will be continuously populated with data collected on-board 9

10 Technology development state Remote operations and autonomy Expected readiness of autonomy enabling technologies in shipping Remote monitoring and control of propulsion and navigational systems Fleet management from on-shore control centers Automated systems for cargo handling in ports 10

11 Real-time analytics for asset and integrity management Continuous control of asset integrity Condition based inspection and maintenance Failure forecasting Dynamic barrier management Quality assurance of data will be critical 11

12 Grams of CO 2 equivalent emissions per megajoule Alternative fuels Comparison of well-to-propeller greenhouse gas emissions for alternative fuels LNG and LPG Methanol and ethanol Biodiesel and biogas Synthetic fuels Electricity Nuclear Hydrogen Driver: NO X and SO X emission standards and carbon regulations Fuel availability, bunkering infrastructure and pricing will be decisive factors for uptake 12

13 New ship types Container vessels Offshore wind farm installation vessels Subsea mining vessels Battery powered vessels More FPSOs 13

14 Example for a new cruise ship a sustainable shipping front runner Some of Eco Ship s special features Solar-farm Closed-loop water system Ten masts to harness energy On-board gardens Waste heat recovery Energy storage 14

15 Thank you for your kind attention! Torsten Schramm DNV GL, President Maritime SAFER, SMARTER, GREENER 15