Sustainability issues in maritime transport and main challenges of the shipping industry
-
DOIhttp://dx.doi.org/10.21511/ee.10(1).2019.04
-
Article InfoVolume 10 2019, Issue #1, pp. 48-65
- Cited by
- 3186 Views
-
583 Downloads
This work is licensed under a
Creative Commons Attribution 4.0 International License
Considering the rapid development of oceanic logistics, the maritime traffic is one of the worst offenders for air and water pollution. This paper primarily aims to explore the key concepts and terms applied to denote the sustainability issues in maritime transport and main challenges for the shipping industry. The present study investigates the existing sustainability frameworks on the relationship between sustainability and maritime industry. Also the author proposes to use modelling approaches to measure the relationship between oil prices, exchange rate, services export and ocean transport value added. The empirical findings indicate that growth rate of the crude oil prices has negative impact on ocean transport value added growth, and it can be traced that the oil industry has a strong influence on value creation in maritime clusters and their competitiveness, especially on the shipping sector. The analysis also sheds light on the impacts of relationship between environmental pollution and maritime cluster activity (through the validation of the EKC hypothesis in Norway). The current paper reveals that there is an inverted U-shaped relationship between economic growth and CO2 emissions. The empirical evidences show that the links between CO2 emissions and ocean transport value added are more significant than with energy consumption indicator. It can be assumed that, due to the energy efficiency policy and technological leadership in the shipping industry, the environmental impact of energy use (renewable energy) has improved.
- Keywords
-
JEL Classification (Paper profile tab)O44, Q01, Q53, Q56
-
References37
-
Tables3
-
Figures9
-
- Figure 1. Geographical distribution of the most important maritime regions in Norway
- Figure 2. Development in crude oil prices, services export, official exchange rate NOK to USD and ocean transport value added in Norway during the period 1980–2018
- Figure 3. The dynamics of export in sea and coastal water transport services and share of it in total export in services in Norway, 2015–2018
- Figure 4. The cluster’s turnover broken down on the four segments and split by markets
- Figure 5. Deviation from trend of the oil price component
- Figure 6. The results of the check on the stationary time series in the EViews program
- Figure 7. Development in official exchange rate with USD relative to NOK and ocean transport value added during the period 1979–2018
- Figure 8. Development in crude oil prices and ocean transport value added during the period 1979–2018
- Figure 9. Autoregressive distributed lag (ARDL) testing results in the EViews program
-
- Table 1. Norwegian-controlled foreign-going fleet composition as of January 1, 2019, by number of ships
- Table 2. Regression results
- Table 3. Regression results
-
- BP Statistical Review of World Energy. (2018). Centre for Energy Economics Research and Policy (67th ed.). Heriot-Watt University.
- Cheng, T. C. E., Lai, K., Lun, Y. H. V., & Wong, C. W. Y. (2013). Green shipping management. Transportation Research Part E: Logistics and Transportation Review, 55, 55-73.
- Company Formation Norway. (2017). Most Attractive Investment Industries in Norway.
- EViews. (2019). Unit Root Testing.
- Fung, F., Zhu, Z., Becque, R., & Finamore, B. (2014). Prevention and Control of Shipping and Port Air Emissions in China Authors. Natural Resources Defence Council: Washington, DC, USA.
- GCE Blue Maritime (2018). Global Performance benchmark. Menon publication 89/2018 By Erik W. Jakobsen, Håvard Baustad and Christian Mellbye.
- Hisamatsu, H., & Maekawa, K. (1994). The distribution of the Durbin-Watson statistic in integrated and near-integrated models. Journal of Econometrics, 61(2), 367-382.
- International Council on Clean Transportation (2017). Greenhouse gas emissions from global shipping, 2013–2015.
- International Energy Agency (2018). CO2 emissions from fuel combustion.
- International Energy Agency (2018). International shipping.
- Jalkanen, J. P., Johansson L., Kukkonen J., Brink A., Kalli J., & Stipa, T. S. (2012). Extension of an assessment model of ship traffic exhaust emissions for particulate matter and carbon monoxide. Atmospheric Chemistry and Physics, 12(5), 2641-2659.
- Koilo, V. (2019). Evidence of the Environmental Kuznets Curve: Unleashing the Opportunity of Industry 4.0 in Emerging Economies. Journal of Risk and Financial Management, 12(3), 122-139.
- Kurt, A. (2006). HP-Filter Excel Add-In.
- Lähteenmäki-Uutela, A., Yliskylä-Peuralahti, J., & Repka, S. (2019). What explains SECA compliance: rational calculation or moral judgment? WMU Journal of Maritime Affairs, 18(1), 61-78.
- Lee, P-W, Kwon, O. K, & Ruan, X. (2019). Sustainability Challenges in Maritime Transport and Logistics Industry and Its Way Ahead. Sustainability, 11(5), 1331.
- Li, K. X., Park, T.-J., Lee, P. T.-W., McLaughlin, H., & Shi, W. (2018). Container Transport Network for Sustainable Development in South Korea. Sustainability, 10(10), 3575.
- Li, L., Zhu, J., Ye, G., & Feng, X. (2018). Development of Green Ports with the Consideration of Coastal Wave Energy. Sustainability, 10(11), 4270.
- Life in Norway. (2018). The Norwegian Shipping Industry.
- Maragkogianni, A., & Papaefthimiou, S. (2015). Evaluating the social cost of cruise ships air emissions in major ports of Greece. Transportation Research Part D: Transport and Environment, 36, 10-17.
- Ministry of Petroleum and Energy (2019). Energy use by sector. Ministry of Petroleum and Energy.
- Nicolae, F., Roman, Iu., & Cotorcea, A. (2017). Air Pollution from the Maritime Transport in the Romanian Black Sea Coast. Cercetări Marine, 47, 260-266.
- Nicolae, F., Beizadea, H., & Popa, C. (2014). Shipping Air Pollution Assessment. Study case on Port of Constanta. 14th International Multidisciplinary Scientific GeoConference. SGEM2014 Conference Proceedings, June 19-25, 2014, 2(4), 509-516.
- Norwegian Shipowners’ (2019). Association. Statistics and key figures on merchant fleets.
- Norwegian Shipowners’ Association (2019). Norwegian offshore shipping companies – local value creation, global success.
- OECD (2017). Peer Review of the Norwegian Shipbuilding Industry.
- SAFETY4SEA. (2018). Norway to eliminate emissions in fjords.
- SAFETY4SEA. (2018). How challenging is for shipping industry to be sustainable?
- Salie, A. M., Babu, C., & Rao, L. K. M. (2012). Comparison of New Approach Criteria for Estimating the Order of Autoregressive Process. Journal of Mathematics (IOSRJM), 1(3), 10-20.
- Shin, S-H., Kwon, O. K., Ruan, X., Chhetri, P., Lee, P.T-W., & Shahparvari, S. (2018). Analyzing Sustainability Literature in Maritime Studies with Text Mining. Sustainability, 10(10), 3522.
- Statistics Norway (2019). Production account and income generation, by industry.
- The World Bank. (2019). World Development Indicators. Washington, DC: World Bank.
- Urban, F., & Nordensvärd, J. (2018). Low Carbon Energy Transitions in the Nordic Countries: Evidence from the Environmental Kuznets Curve. Energies, 11(9), 2209.
- Wenming, S., Yi, X., Zhuo, C., Heather, McL., & Kevin, X. L. (2017). Evolution of green shipping research: themes and methods. Maritime Policy & Management, 45(7), 863-876.
- World Shipping Council. (2019). Industry issues. Carbon Emissions.
- Wu, Y.-H., Hua, J., & Chen, H. L. (2018). Economic Feasibility of an Alternative Fuel for Sustainable Short Sea Shipping: Case of Cross-Taiwan Strait Transport. Proceedings of the 4th World Congress on New Technologies (NewTech’18) Madrid, Spain – August 19-21, 2018. Paper No. ICEPR 181.
- Xu, H., Zhang, C., Li, W., Zhang, W., & Yin, W. (2018). Economic growth and carbon emission in China: a spatial econometric Kuznets curve? Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, 36, 11-28.
- Zis, T., North, R. J., Angeloudis, P., Ochieng, W. Y., & Bell, M. G. H. (2014). Evaluation of cold ironing and speed reduction policies to reduce ship emissions near and at ports. Maritime Economics & Logistics, 16(4), 371-398.