The Global Maritime Forum (GMF) outlines how better coordination of vessel arrivals at ports can unlock significant operational and environmental benefits.
GMF’s report, ‘Port call optimisation: A pathway to reducing waiting times and emissions,’ explores how the maritime sector can reduce emissions through measures such as moving away from the inefficient “sail fast, then wait” practice. This long-standing practice sees vessels speeding to ports only to sit at anchor, unnecessarily burning fuel and generating emissions.
Port call optimisation enables ships to adjust speed based on real-time port readiness, ensuring they arrive when berth space and nautical services are available. The approach reduces idle time, improves efficiencies across the value chain, and lowers the risk of accidents. Importantly, it also cuts fuel consumption and supports emissions reduction targets.
The brief highlights two key strategies:
- virtual arrival, which allows ships to slow down mid-voyage using charterparty clauses,
- just-in-time arrival, a more systemic solution that requires multilateral coordination across the port call ecosystem.
Key characteristics of Virtual Arrival
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Bilateral agreements: Specific to contracts between owners and charterers.
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Reactive approach: Triggered mid-voyage in response to delays.
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Limited industry-wide adoption: Lacks coordination across the supply chain, making large-scale implementation difficult.
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More feasible in integrated operations: Works best when charterers also own the cargo and operate terminals, allowing for better coordination and visibility.
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Partial contractual recognition: While the notice of readiness is acknowledged in both charterparty and commodity contracts, virtual arrival can cause a misalignment between the two.
Key characteristics of JIT Arrival
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Multilateral agreement: Requires coordination between all stakeholders involved in a port call, including terminals, cargo receivers, and vessel operators.
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Proactive approach: Involves forward-looking planning, real-time information sharing, and predictive decision-making to align vessel operations with port readiness.
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Terminal-led implementation: Successful adoption depends on terminals and cargo receivers adapting their terms and conditions to facilitate JIT arrivals.
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Systemic industry change: Demands increased cooperation, transparency, and integration across the supply chain, from charterers and ports to cargo owners and downstream operations.
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Contractual misalignment: Without any supportive mechanisms, existing supply chain contracts do not natively support JIT arrival.
Key characteristics of Virtual Arrival’s role in achieving a systemic JIT arrival model
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Bridging the gap: Virtual arrival can be leveraged to facilitate JIT arrival, allowing benefits from both concepts while progressing toward full systemic change.
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Transition from bilateral to multilateral: Port authorities or terminals can require virtual arrival adoption, broadening its impact beyond individual vessels to all ships calling at a port or terminal.
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Terminal and port-led approach: Aligns with JIT principles, as successful JIT implementation relies on terminals and cargo receivers adapting their terms and conditions.
While virtual arrival can be implemented through bilateral agreements, the report notes that broader industry impact depends on port and terminal leadership.
Ports or terminals could require virtual arrival, incorporating it into their operational requirements or contractual terms and thereby shifting virtual arrival from bilateral agreements to a multilateral approach involving multiple stakeholders. This would expand its impact to all ships calling at a port or terminal.
With emissions reduction targets approaching, the report highlights that port call optimisation is a practical, immediate, and collaborative step the industry can take to improve efficiency and accelerate progress towards decarbonisation.
