How Technology can Revolutionise Global Shipping

The global shipping industry is responsible for 3% of all emissions, an amount comparable to that of Germany. As the world commits to decarbonisation, the industry faces a significant challenge.

Without action, shipping's share of emissions could rise to 11% by 2050, with disastrous consequences for the environment and the world's oceans.

While greener shipping practices are essential, technology offers an additional solution. By embracing new technologies, the shipping sector can avoid stranded assets, reduce downtime and minimise lost revenue.

These innovations can also help the industry address pressing sustainability concerns and contribute to improved global trade operations.

The role of technology in shipping

Addressing issues such as emissions and pollutants is paramount to the future of the shipping industry. In order to succeed, sustainability must be considered in tandem with protecting the world trade industry.

Cathy Stephenson, MD at Wärtsilä Water & Waste, adds: “Shipowners and operators should look to their suppliers for a clear attention to detail, a knowledge of the wider ecosystem and context in which a vessel operates and for technology providers that have the time and resources to properly understand all of the technical idiosyncrasies of a given ship.” 

This detailed understanding is key to ensuring sustainable solutions are effective.

Digital technology is already delivering wide-ranging benefits to the maritime sector. These include increased efficiency, reduced costs, enhanced safety and improved environmental performance.

One area of particular promise is advanced analytics, which can process large quantities of data to optimise routes, boost fuel efficiency and predict maintenance needs. By using data to chart the most efficient routes, shipping companies can reduce their environmental impact and improve operational performance.

The Internet of Things (IoT) is another game changer for shipping. Through IoT-enabled sensors, companies can monitor cargo conditions, such as temperature and humidity, in real time.

This ensures that perishable goods are kept in optimal conditions, reducing spoilage and waste. Such technologies are particularly valuable in an industry that relies on precise coordination and timely deliveries.

Other innovations contributing to greener shipping include:

• Alternative fuels such as LNG and hydrogen
• Solar and wind power systems for auxiliary energy
• Ballast water treatment systems that protect marine ecosystems
• Hull designs that reduce drag and improve fuel efficiency
• Predictive maintenance systems powered by AI to prevent equipment failures

These solutions not only reduce emissions but also extend the lifespan of ships and equipment, lower operational costs and minimise downtime.

Improving sustainability and regulatory compliance

Technology is also proving instrumental in helping shipping companies navigate the complex web of international regulations.

With a growing number of environmental and safety regulations, companies need to ensure compliance to remain competitive. Automated systems can track and monitor a ship’s adherence to these regulations, ensuring that it meets both environmental standards and trade laws.

This is particularly important in a global industry where regulations can vary from one region to another.

Speaking to Technology Magazine in 2023, Maynard Williams, Managing Director, UK at Accenture, said: “We’ve seen significant growth in demand for the cloud as businesses continue to evaluate every part of their business, considering opportunities for transformation by technology, data and AI.”

Cloud-based systems allow shipping companies to streamline their operations by improving data access and collaboration across the globe. This enhanced connectivity also enables more accurate forecasting and decision-making, both of which are crucial in an industry that depends on tight margins and efficient scheduling.

The use of AI is equally transformative. Predictive analytics powered by AI allows companies to foresee maintenance issues before they become critical, reducing the risk of costly breakdowns. This contributes to a more efficient and sustainable shipping operation.

The future of shipping

Embracing technological advancements is key to the shipping industry’s future. By adopting these solutions, shipowners can prioritise sustainability and economic success simultaneously.

The widespread adoption of new technologies could drive significant positive changes in global shipping, leading to enhanced environmental protections, improved safety and increased economic growth.

Technology also helps reduce waste, both in manufacturing and daily operations. Smart technologies enable businesses to automate processes, monitor energy consumption and reduce the use of non-renewable resources.

This can have a broad impact, helping not only the shipping sector but the wider supply chain.

In the long run, technology will allow the shipping industry to move towards a more sustainable model while maintaining competitiveness in the global market.

The industry’s ability to adapt and innovate will be crucial in meeting the environmental and economic challenges of the future. Through the use of digital tools, alternative fuels and advanced analytics, shipping can continue to grow while reducing its environmental footprint.

By integrating these technologies, the shipping sector will not only meet sustainability targets but also contribute to global trade and economic stability.

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