Tug Industry Leaders Align on AI, Electrification and Fleet Renewal at ITS Convention in Gothenburg
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Senior executives from some of the world's largest tug owners and operators reached broad consensus at Riviera's 28th ITS Convention in Gothenburg on three defining priorities for the sector: reducing emissions through electrification and alternative fuels, deploying AI and data analytics to improve port and fleet efficiency, and managing the economics of fleet renewal at a time of rising capital costs and market consolidation pressure. The discussions revealed a sector navigating the tension between the ambition to decarbonise and the commercial reality that ports, fuel infrastructure, and regulatory frameworks have not yet fully aligned with the investments owners are being asked to make.
Electrification, Alternative Fuels, and the Search for Safe Bets
Svitzer chief operating officer Kasper Karlsen set the tone for the decarbonisation discussion by articulating the central commercial challenge facing owners investing in green tugs. Assets need to continue operating for 25 to 30 years across different harbours, requiring technology choices that will remain viable across multiple regulatory cycles and fuel availability scenarios. Karlsen described electrification as a great solution and confirmed that Svitzer is building electric tugs on speculation, noting that while capital expenditure is higher than for diesel-driven vessels, lower operating costs make the total cost of ownership commercially viable. The constraint is port readiness, since battery-powered tugs require low-cost electricity at quayside berths, and many ports have not yet made the infrastructure investment needed to support this model. For operations where battery electrification is not yet viable, Svitzer is pursuing methanol-ready engines and HVO compatibility, with Karlsen noting that diesel price volatility has improved the economics of HVO at moments of high fossil fuel prices. His conclusion that flexibility is key and that there is no one-size-fits-all solution reflects the diversity of vessel types, port conditions, and operational profiles across a global towage fleet.
AI and Data Analytics as Operational Enablers
Across multiple presentations, AI and data analytics were identified as tools with substantial potential to improve port efficiency, reduce fuel consumption, and optimise fleet deployment. Svitzer managing director for Europe Arjen van Dijk described AI as a potential gamechanger and called for acceleration of technology development and deployment, linking it to the increasing operational disruption caused by adverse weather events driven by climate change, which are extending downtime at terminals and creating new pressure to maximise the efficiency of every available operating window. Noatum Maritime Marine Services commercial director Ferlin Brown outlined a specific application framework, describing how data on ship position, berth capacity, tug and pilot availability, and terminal operations could enable just-in-time port operations and synchronise tugboat deployments to reduce idle time and improve throughput. Kotug International's Maritime Excellence Centre director Patrick Everts framed the AI deployment question around operational precision, emphasising the need for software that can match the right tug with the right pilot in the right location for ship assistance, and arguing that pilot-tug training should be integrated with software-driven operational optimisation.
Fleet Renewal Economics and the Capital Cost Challenge
The economics of fleet renewal dominated discussions among owners from different market contexts, with a consistent theme that rising newbuilding costs are forcing more careful investment discipline across the sector. Harbor Star Shipping Services president Geronimo Bella described the Philippine operator's preference for extending the life of existing assets and improving efficiency before committing to newbuilding programmes, reflecting the approach of many mid-sized owners for whom the capital intensity of modern green tugs represents a significant balance sheet commitment. Seaspan Marine Transportation president Captain Jordan Pechie provided a Canadian counterpoint, describing how three battery-electric tugs provide zero-emission LNG carrier handling at a British Columbia export terminal alongside two LNG dual-fuel deepsea tugs that escort gas carriers to the Pacific Ocean. However, Pechie also identified an emerging supply constraint, noting that finding tugs with more than 100 tonnes of bollard pull and high steering forces for the next generation of LNG export terminals is proving difficult as new hubs come online. SAAM Towage chief executive Hernan Gomez Cisternas articulated the investor relations dimension, observing that owners must sell their investment thesis to shareholders before taking decisions on fleet renewal, requiring a clear analysis of exposure to future port volumes, spot market rates, and contract terms.
Alliances, Consolidation, and the Role of Mid-Sized Operators
CPT Towage managing director Miguel de Orbegoso contributed a perspective from the mid-sized operator segment, arguing that alliances between like-minded partners are essential for medium-sized towage companies to compete in international markets and offer customers the vessel diversity and geographic coverage that large groups can provide through scale. The emphasis on alliances reflects a broader dynamic in the global towage market, where the dominant consolidation phase that produced Boluda's emergence as the world's largest tug owner has slowed, leaving a tier of mid-sized operators seeking commercial strategies that preserve their independence while enabling access to a broader opportunity set. De Orbegoso's argument that it is important for mid-sized players to remain operating positions alliances as a structural response to consolidation pressure rather than a transitional arrangement, and suggests that the next phase of competitive differentiation in towage may come from the quality and resilience of those alliances rather than from further ownership consolidation.
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This article was contributed by an external writer affiliated with our publication.
