It promises to deliver cargo at the speed of flight, but closer to the cost of trucking. On April 30, DP World announced it had partnered with Virgin Hyperloop One to launch DP World Cargospeed, a first-of-its-kind enterprise that aims to radically overhaul how goods are transported to and from ports.
The tech uses capsules, tubes, magnetic levitation and vacuum to hit dizzying speeds of up to 1,000kph, making it ideal for ferrying high-priority, on-demand goods such as fresh food and medical supplies. Or even people. Radostin Popov, Business Development Director at DP World’s Maritime Services Division, believes this technology will usher in fast, sustainable and efficient delivery of palletised cargo.
Popov insists these are exciting times for the maritime industry and we are in “an era of change” that is unfolding faster than ever before. “Emerging technologies are reshaping the way we work, the way we conduct business and, in the global maritime industry, we are seeing many new trends,” he says, while pointing to a recent DP World study that highlights key technologies that are not only transforming operations but also creating new jobs and opportunities in the sector.
The green advantage
Leading the charge of the tech brigade are driverless vehicles, artificial intelligence, robotics, blockchain, the internet of things (IoT) and big data. “Coupled with LNG developments, 3D printing and battery technology, we will see many new processes helping to reduce the industry’s carbon footprint,” says Popov. “Creating energy-efficient assets and providing optimised solutions using advanced technology and intelligent supply chains will enhance trade as
a result.”
He adds that Drydocks World is investing heavily in emissions control and ballast water treatment technology. In fact, he believes a key source of competitive advantage in this industry will be an organisation’s ability to accommodate the requirements of environmental compliance.
Going digital
David Galea, Partner at law firm Ince & Co. Dubai, specialises in transactional shipping, aviation and oil and gas law. He observes that many of the main players in the maritime industry, both locally and internationally, are actively looking at digitisation and automation in order to improve processes and drive efficiencies. “Be it through blockchain or other technologies, the shipping space has seen a number of well-funded initiatives aimed at disrupting the status quo, ranging from the logistics/container sector, chartering, fractional ship ownership to marine insurance.”
He feels these projects point to an industry that is more tech-savvy and more aware of the benefits technology can bring in a market where pressures on cost and margins are substantial. “It remains to be seen whether the industry as a whole will be willing to embrace digitisation and automation en masse, but the level of activity within the shipping technology space brings plenty of encouragement,” says Galea, while noting that it is now important for the regulators to catch up to the developments in the technology and ensure that implementation of these ideas does not come with a sting in the tail.
Autonomous future
The most talked about innovation, says Rania Tadros, Managing Partner at Ince & Co. Dubai, is autonomous shipping — not in the form of autonomous small water taxis, but “the idea that large container ships or oil tankers could be sailing across the waters without crew on board”. Tadros, whose practice focuses on shipping disputes and commercial support to companies in the maritime industry, predicts this technology will even trigger an overhaul of the basic understanding of legal and insurance positions when it comes to allocation of risk.
“As a lawyer, all I can think of when this proposition is floated are the liabilities and responsibilities that would flow. It also makes me wonder whether the world will be a safer and more efficient place if autonomous shipping were to happen, given the developments in technology required as well as the totally different skill set of the master sitting in the control room rather than on deck.”
And as the debate heats up, this region is likely to be at the very epicentre of it. Tadros notes that the UAE has taken a real interest in developing autonomous shipping, as well as the supporting infrastructure that will be needed. Moreover, in May, the Dubai Maritime City Authority confirmed its commitment to enhance Dubai’s position as a “world-class maritime centre”. “In order to maintain and enhance its position, the UAE will need to ensure it remains at the forefront of such innovations,” says Tadros.
