Modelling forward freight rate dynamics—empirical evidence from time charter rates

The purpose of this paper is to investigate the dynamics of forward freight rate dynamics. We specify our model in a Heath–Jarrow–Morton framework. This model was originally developed for interest rate markets and, in subsequent work, the model has been applied to various commodity markets. We analyse ten years of weekly time charter (TC) rates for a Panamax 65,000?dwt bulk carrier. Our data set consists of 6-, 12- and 36-month TC rates. We use this data to construct, each day, a forward rate function using a smoothing algorithm. We use the smooth data to investigate the factors governing the dynamics of the forward freight rate curve. We find a strange volatility structure in the data. Out results show that the volatility of the forward curve is bumped, with volatility reaching a peak for freight rates with roughly one year to maturity. Also, correlations between different parts of the term structure are in general low and even negative.     

The applicability of hydrofoils as a ship control device

Centrifugal forces are commonly created when ships turn, which may cause a ship to capsize in a critical situation. A mathematical model has been developed to optimize the stability coefficients for ship, with the aim to prevent capsizing and to increase ship maneuverability in high-speed water craft. This model can be used to develop algorithms for control system improvement. The mathematical model presented in this paper optimized the use of multipurpose hydrofoils to reduce heeling and the trimming moment, maintaining an upright ship’s position and lessening the resistance via transverse force. Conventionally, the trimming and heeling of a ship are controlled using ballast water; however, under variable sea conditions it is sometimes difficult to control a ship’s motion using ballast water. In this case, a hydrofoil would be more stable and maneuverable than a ballast tank controlled vessel. A movable hydrofoil could theoretically be adapted from moveable aerofoil technology. This study proves the merit of further investigation into this possibility.     

Dynamic adaptive finite element analysis of acoustic wave propagation due to underwater explosion for fluid-structure interaction problems

In this paper, an investigation into the propagation of far field explosion waves in water and their effects on nearby structures are carried out. For the far field structure, the motion of the fluid surrounding the structure may be assumed small, allowing linearization of the governing fluid equations. A complete analysis of the problem must involve simultaneous solution of the dynamic response of the structure and the propagation of explosion wave in the surrounding fluid. In this study, a dynamic adaptive finite element procedure is proposed. Its application to the solution of a 2D fluid-structure interaction is investigated in the time domain. The research includes: a) calculation of the far-field scatter wave due to underwater explosion including solution of the time-depended acoustic wave equation, b) fluid-structure interaction analysis using coupled Euler-Lagrangian approach, and c) adaptive finite element procedures employing error estimates, and re-meshing. The temporal mesh adaptation is achieved by local regeneration of the grid using a time-dependent error indicator based on curvature of pressure function. As a result, the overall response is better predicted by a moving mesh than an equivalent uniform mesh. In addition, the cost of computation for large problems is reduced while the accuracy is improved.     

Fracture control of extremely thick welded steel plates applied to the deck structure of large container ships

The rapid enlargement of the size of container ships has led to the application of extremely thick plate in the deck structures, which may grow concerns about the fracture toughness at the butt-weld with large amount of heat input, and the arrest toughness of brittle crack propagation in the base metal of such thick plates. Also, slam-induced whipping stresses might affect the fatigue crack propagation and the initiation of a brittle crack in a container ship. In order to prevent the catastrophic failure of deck structures by brittle fracture, national joint research projects, which focused on the safety-related issues of extremely thick steel plate applied to hull of large container ships, were formed from April 2007 to March 2011 organized by the Japan Ship Technology Research Association (JSTRA) supported by the Japanese Government in collaboration with universities, national research institute, classification societies and relevant industries including shipbuilding, steel manufacturing and shipping companies. The joint research projects have carried out the investigations on crack initiation toughness of the weld, fatigue crack propagation under seaway loading, the potential of defect detection by ultrasonic testing, and the crack-arrest methods after brittle crack propagation. Practical recommendations to prevent brittle fracture of large container ships were proposed based on these comprehensive investigations. The essential parts of the above research activities are presented in this paper.     

Oil spill risk analysis of routeing heavy ship traffic in Norwegian waters

Norwegian authorities have for a long time been concerned about the risk of oil spills outside the Norwegian coast. One of the key measures adopted has been to reduce the risk of ship accidents by imposing sailing routes for heavy ship traffic (over 5,000 gross tonnages) with high environmental risk potential farther away from part of the coast. This article is based upon two reports which conducted risk assessments of imposing such sailing routes outside the entire Norwegian coast. These routes were proposed by an expert group consisting of relevant stakeholders. Data of traffic pattern and number of sailing were collected for the year 2008 using the universal Automatic Identification System (AIS). The proposed route was compared with 2008 traffic pattern in regard to the accident frequencies and the expected oil spills per year. An accident and oil spilling simulation program called MARCS was used to simulate these results. After conducting a traffic forecast for the year 2025, the simulation was again run and the results compared with the year 2008. In total, the proposed route is expected to reduce oil spills by 590 t per year in 2008 and by 3670?t in 2025. The main reason for this substantial reduction is that the number of groundings is reduced because of the distance from the shore being increased. The reduction was particularly strong for tankers.     

From Titanic to Costa Concordia—a century of lessons not learned

The recent foundering of the Costa Concordia in January 2012 demonstrated that accidents can occur even with ships that are considered masterpieces of modern technology and despite more than 100?years of regulatory and technological progress in maritime safety. The purpose of this paper is, however, not to speculate about the concrete causes of the Costa Concordia accident, but rather to consider some human and organizational factors that were present in the Costa Concordia accident as well as in the foundering of the Titanic a century ago, and which can be found in many other maritime accidents over the years. The paper argues that these factors do not work in isolation but in combination and often together with other underlying factors. The paper critically reviews the focus of maritime accident investigations and points out that these factors do not receive sufficient attention. It is argued that the widespread confidence in the efficacy of new or improved technical regulations, that characterizes the recommendations from most maritime accident investigations, has led to a lack of awareness of complex interactions of factors and components in socio-technical systems. If maritime safety is to be sustainably improved, a systemic focus must be adopted in future accident investigations.     

Application of Ant System to network design problem

Network design problem (NDP) is the problem of choosing from among a set of alternative projects which optimizes an objective (e.g., minimizes total travel time), while keeping consumption of resources (e.g., budget) within their limits. This problem is difficult to solve, because of its combinatorial nature and nonconvexity of the objective function. Many algorithms are presented to solve the problem more efficiently, while trading-off accuracy with computational speed. This increase in speed stems from certain approximations in the formulation of the problem, decomposition, or heuristics. This study adapts a meta – heuristic approach to solve NDP, namely Ant System (AS). The algorithm is first designed, and then calibrated to solve NDP for the Sioux Falls test network. The behavior of the algorithm is then investigated. The result seems encouraging.     

Modelling route choice behaviour in multi-modal transport networks

The paper presents new findings on the influence of multi-modal trip attributes on the quality and competitiveness of inter-urban multi-modal train alternatives. The analysis covers the entire trip from origin to destination, including access and egress legs to and from the train network. The focus is on preferences for different feeder modes, railway station types and train service types as well as on the relative influence of time elements and transfer penalties. Data from dedicated surveys are used including individual objective choice sets of 235 multi-modal homebound trips in which train is the main transport mode. The observed trips have origins and destinations within the Rotterdam–Dordrecht region in The Netherlands with an average total trip time of 50 minutes. Hierarchical Nested Logit models are estimated to take account of unobserved similarities between alternatives at the home-end and the activity-end of the trip respectively, resulting in two-level nesting structures which differentiate between intercity (IC) and non-intercity railway station types at the upper level and between transit and private access modes at the lower level. In order to reflect the multi-dimensional structure of the data a more advanced so-called Multi-Nested GEV model according to the Principles of Differentiation has been estimated which significantly improves the explanatory power and stresses the importance of the home-end of the multi-modal trip.     

Rural mobility and mode choice: Evidence from the 2001 National Household Travel Survey

This article uses data from the 2001 National Household Travel Survey (NHTS) to compare travel behavior in rural and urban areas of the U.S. As expected, the car is the overwhelmingly dominant mode of travel. Over 97% of rural households own at least one car vs. 92% of urban households; 91% of trips are made by car in rural areas vs. 86% in urban areas. Regardless of age, income, and race, almost everyone in rural areas relies on the private car for most travel needs. Mobility levels in rural areas are generally higher than in urban areas. That results from the more dispersed residences and activity sites in rural areas, which increase trip distances and force reliance on the car. Somewhat surprisingly, the rural elderly and poor are considerably more mobile than their urban counterparts, and their mobility deficit compared to the rural population average is strikingly less than for the urban elderly and poor compared to the urban average. Data limitations prevented a measurement of accessibility, however, and it seems likely that rural areas, by their very nature, are less accessible than urban areas, especially for the small percentage of car-less poor and elderly households.