It is often suggested that cargo liners spend an excessive amount of time in port and that, if this could be reduced, substantial reductions could be achieved in the cost of sea transport. The object of this paper is to test this hypothesis and to present calculations indicating the orders of magnitude involved in various combinations of route length and turnround time. Although the data and assumptions do not refer to any specific route, cargo or shipowner, they are believed to be not unreasonable for present circumstances and applicable to most competitive shipowning countries (Brunton, 1971, 115-28).
Task 1
In order to isolate the effects of the variables being considered one ship design is assumed throughout. This is a typical modern cargo liner of:
(a) 10,000 (dosed shelter deck).
(b) 12,500 tons.
(c) 16 knots with single-screw, super-charged diesel engine of 9,200 S.H.P., having an exhaust boiler for some auxiliary services and diesel generators for use in port and providing an overall specific fuel consumption of 0.36 lbs per S.H.P./hour at sea and 2 tons per day in port, both at an average of 100S. per ton of oil. This gives a fuel cost of £ 177 per day at sea and £ 10 per day in port.
(d) 650,000 cu. ft. bale capacity. (e) 42 crew.
Assuming that the ship is, on average, 80% full and makes three round voyages a year when spending 60% of its time in port, the costs according to the usual headings are as follows: The capital cost is £1,250,000. This is equivalent to capital charges on the basis used in this paper (see below) of £298 per day or £108,981 p.a. at a discount rate of6%. The conventional accounting procedure of straight-line depreciation plus 6% interest on the mean of book values in the first and last years would give capital charges of £278 per day (Dalton, 2000, 245-361).
Cargoes
Researchers are developing a new design for cargo ships which could eliminate the need for ballast tanks. Ballast tanks are cited as environmental hazards as they often carry sealife in conjunction with water which is dumped in foreign ports. Ships take on ballast water for stability when they're not carrying cargo. They discharge ballast when they load freight, expelling tons of water and many invasive species such as the infamous zebra musscle.While Congress is considering costly legislation for tankers, the new design would eliminate the threat altogether. The ballast-free ships have a constant flow of local seawater through a network of large pipes, called trunks, that runs from the bow to the stern, below the waterline, much like a submarine.
Not only would the newer design protect against invasive species, but researchers found it had an unexpected bonus; it requires 7.3 percent less power to propel the ship. The improvement is due mostly from water being expelled from the stern-end of the trunks into the propeller, allowing the ship to operate more efficiently.
Researchers concluded that the new design would result in a net capital-cost savings of about ...