Cruise D

own U

nder

Cruise D

own U

nder

Conference 2009:

Conference 2009:

Riding the C

ruise Boom

Riding the C

ruise Boom

Port and Terminal Developments

Port and Terminal Developments

August 27, 2009

August 27, 2009

Growth of Cruising in A

ustralia

Growth of Cruising in A

ustralia

(2006

(2006 ––

2007 vs. 2007

2007 vs. 2007 ––

2008)

2008)

••Australian ports increased by 13%

Australian ports increased by 13%

••Passenger capacity of ships increased by

Passenger capacity of ships increased by

23.6%

23.6%

23.6%

23.6%

••Cruise ship visits to Australian ports

Cruise ship visits to Australian ports

increased by 16.2%

increased by 16.2%

••Total passenger spending increased by

Total passenger spending increased by

$50.6m and crew spending by $7.7m

$50.6m and crew spending by $7.7m

*Source: Economic Impact of the Cruise Shipping Industry in Australia, 2007-08; Final Report;

September 2008; Cruise Down Under

Growth of Cruising in A

ustralia

Growth of Cruising in A

ustralia

(2009 and Beyond)

(2009 and Beyond)

••New large cruise ships entering the

New large cruise ships entering the

market

market

••New itineraries expanding into new

New itineraries expanding into new

Australian m

arkets

Australian m

arkets

Australian m

arkets

Australian m

arkets

••Increase in domestic passenger cruising

Increase in domestic passenger cruising

••35 new cruise ships entering service

35 new cruise ships entering service

through 2012

through 2012

••Panama Canal expansion complete in 2014

Panama Canal expansion complete in 2014

Port D

evelopment Considerations

Port D

evelopment Considerations

••Attractiveness

Attractiveness

••Opportunities

Opportunities

••Capacity

Capacity

••Capacity

Capacity

••Incentives

Incentives

••Infrastructure

Infrastructure

Port D

evelopment Considerations

Port D

evelopment Considerations

••Build new or use existing facilities?

Build new or use existing facilities?

••Multi

Multi--use or cruise only facilities?

use or cruise only facilities?

••Retail or operational space?

Retail or operational space?

••••Prime or practical location?

Prime or practical location?

••Turnaround or transit port calls?

Turnaround or transit port calls?

••Need for current size or larger berths?

Need for current size or larger berths?

••Are passenger/crew facilities on site necessary?

Are passenger/crew facilities on site necessary?

Port D

evelopment Issues

Port D

evelopment Issues

••Berthing priorities

Berthing priorities

••Over

Over--committing to cruise lines

committing to cruise lines

••Arbitrary fees or drastic pricing increases

Arbitrary fees or drastic pricing increases

••Arbitrary fees or drastic pricing increases

Arbitrary fees or drastic pricing increases

••Compulsory fees

Compulsory fees

••Environmental policies

Environmental policies

••Reliance on cruise funded projects

Reliance on cruise funded projects

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Sydney

Sydney

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Sydney

Sydney

––OPT not adequate for large ship turnaround

OPT not adequate for large ship turnaround

calls

calls

––Retail places demands on operations

Retail places demands on operations

––Prime location for passengers and crew

Prime location for passengers and crew

––Wharf 8 restricted by bridge height

Wharf 8 restricted by bridge height ––potential

potential

of losing this cruise berth

of losing this cruise berth

––No definite plans for a new cruise berth

No definite plans for a new cruise berth

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Melbourne

Melbourne

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Melbourne

Melbourne

––Recently renovated term

inal; addition of new

Recently renovated term

inal; addition of new

gangways beneficial

gangways beneficial

––Multiple ships possible, but can only

Multiple ships possible, but can only

accommodate up to a certain LOA

accommodate up to a certain LOA

––Turnaround ops difficult with other ships in

Turnaround ops difficult with other ships in

port

port

––Good access to city for passengers and crew

Good access to city for passengers and crew

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Brisbane

Brisbane

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Brisbane

Brisbane

––Current berth is difficult operationally due to

Current berth is difficult operationally due to

lack of sufficient space

lack of sufficient space

––Multiple ship calls are difficult due to lack on

Multiple ship calls are difficult due to lack on

––Multiple ship calls are difficult due to lack on

Multiple ship calls are difficult due to lack on

infrastructure on adjacent berth

infrastructure on adjacent berth

––Limited ships can dock at dedicated cruise

Limited ships can dock at dedicated cruise

berth due to bridge restrictions

berth due to bridge restrictions

––New cruise berth at Fisherm

an’s Island far out

New cruise berth at Fisherm

an’s Island far out

of town

of town

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Fremantle

Fremantle

––Adequate infrastructure for current market

Adequate infrastructure for current market

––Sufficient space for vessel operations

Sufficient space for vessel operations

––Sufficient space for vessel operations

Sufficient space for vessel operations

––Able to handle m

ultiple ships on same day

Able to handle m

ultiple ships on same day

––Location provides easy access to town and

Location provides easy access to town and

trains for passengers/crew

trains for passengers/crew

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Darw

inDarw

in

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Darw

inDarw

in

––New cruise term

inal great for transit calls

New cruise term

inal great for transit calls

––Interior allows area for vendor set

Interior allows area for vendor set--up, visitor

up, visitor

––Interior allows area for vendor set

Interior allows area for vendor set--up, visitor

up, visitor

inform

ation, and crew services

inform

ation, and crew services

––Close location to city; commercial waterfront

Close location to city; commercial waterfront

development a plus

development a plus

––Multiple ship calls possible, but berth space

Multiple ship calls possible, but berth space

better equipped for single ship calls

better equipped for single ship calls

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Cairns

Cairns

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Cairns

Cairns

––Berth sufficient for multiple vessels

Berth sufficient for multiple vessels

––Location close to town

Location close to town

––Location close to town

Location close to town

––Movements restricted by tidal windows makes

Movements restricted by tidal windows makes

calls logistically difficult

calls logistically difficult

––Wharf sheds can accommodate smaller vessel

Wharf sheds can accommodate smaller vessel

turnaround operations and transit calls.

turnaround operations and transit calls.

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Adelaide

Adelaide

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Adelaide

Adelaide

––Renovations to Outer Harbour term

inal from

Renovations to Outer Harbour term

inal from

state gov’t and port authority funding

state gov’t and port authority funding

––Im

provements to interior and exterior of

Improvements to interior and exterior of

term

inal are beneficial

term

inal are beneficial

––Location outside of town for passengers and

Location outside of town for passengers and

crew

crew

––Could accommodate m

ultiple vessels

Could accommodate m

ultiple vessels

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Hobart

Hobart

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Hobart

Hobart

––Centrally located in town, easy

Centrally located in town, easy

passenger/crew access

passenger/crew access

––No plans for upgrades on wharf or sheds

No plans for upgrades on wharf or sheds

––Multiple ship calls possible

Multiple ship calls possible

––Easy approach for vessels entering from the

Easy approach for vessels entering from the

harbor

harbor

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Newcastle

Newcastle

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Newcastle

Newcastle

––Upgrading existing berth to dedicated cruise

Upgrading existing berth to dedicated cruise

term

inal

term

inal

––New term

inal to accommodate turnaround

New term

inal to accommodate turnaround

and transit ops; large cruise vessels

and transit ops; large cruise vessels

––Port focus on cruise development

Port focus on cruise development

––Location close to city center and attractions

Location close to city center and attractions

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Townsville

Townsville

Infrastructure in A

ustralia

Infrastructure in A

ustralia

••Townsville

Townsville

––Current cargo berth used for cruise

Current cargo berth used for cruise

––Planned term

inal development is delayed;

Planned term

inal development is delayed;

––Planned term

inal development is delayed;

Planned term

inal development is delayed;

plans being scaled back

plans being scaled back

––Need to consider expected cruise deployment

Need to consider expected cruise deployment

when considering project scope

when considering project scope

Ports Around the W

orld

Ports Around the W

orld

••Liverpool

Liverpool

Ports Around the W

orld

Ports Around the W

orld

••La Goulette

La Goulette

Ports Around the W

orld

Ports Around the W

orld

••Juneau

Juneau

Ports Around the W

orld

Ports Around the W

orld

••Seattle

Seattle

Ports Around the W

orld

Ports Around the W

orld

••Wellington

Wellington

Ports Around the W

orld

Ports Around the W

orld

••Civitavecchia

Civitavecchia

Ports Around the W

orld

Ports Around the W

orld

••Copenhagen

Copenhagen

Ports Around the W

orld

Ports Around the W

orld

••Puerto Montt

Puerto Montt

Ports Around the W

orld

Ports Around the W

orld

••Puerto Vallarta

Puerto Vallarta

Ports Around the W

orld

Ports Around the W

orld

••Greenwich

Greenwich

Port and Term

inal Development

Port and Term

inal Development

••Limited ports can accommodate larger and

Limited ports can accommodate larger and

multiple vessel calls

multiple vessel calls

••Consider upgrading existing facilities vs.

Consider upgrading existing facilities vs.

••Consider upgrading existing facilities vs.

Consider upgrading existing facilities vs.

building new ones

building new ones

••Location is important for transit calls

Location is important for transit calls

••Work with cruise lines to develop port

Work with cruise lines to develop port

infrastructure and future ship calls

infrastructure and future ship calls

Port and Term

inal Development

Port and Term

inal Development

••Determ

ine cruise interest before

Determ

ine cruise interest before

developing infrastructure

developing infrastructure

••Look at value added benefits for enticing

Look at value added benefits for enticing

••Look at value added benefits for enticing

Look at value added benefits for enticing

cruise companies

cruise companies

••Examine alternative ways for project

Examine alternative ways for project

funding

funding

••Keep it simple, usable, and efficient

Keep it simple, usable, and efficient