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An Emergence of Mega Vessels and Its Influences on Port Expansion<br />

Requirements: A Case Study at West Port Klang, Malaysia<br />

Nur Anis’sa Binti Ismail<br />

Dr. Nurul Haqimin Mohd Salleh<br />

Bachelor of Management (Maritime)<br />

School of Maritime Business and Management<br />

The emergence of mega vessels is not a new issue in container liner shipping industry.<br />

The containerization has caused a spectacular growth in the maritime transportation<br />

and brings significant developments in its industry ranging from operation systems to<br />

port infrastructure’s expansion. Container vessels are getting larger from the capacity<br />

of 500 TEUs (Ideal X) toward to 18,000 TEUs (Triple E Class) to cope with the demand<br />

of Economic of Scales (EOS). The EOS is crucial for liner shipping operators by lowering<br />

the overall cost per unit but it may have a deliberate impact on port operation and<br />

infrastructure. To accommodate mega vessels, port requires high cost to expand a<br />

certain terminal and it will give pressure to the port operator to serve mega vessels.<br />

Mega vessels can influence the strategic planning of the port operator for massive<br />

infrastructure’s development and investment on an existing terminal in the port. The<br />

objective of this research is to identify and measure the importance requirement for<br />

port expansion that need to be prioritized to accommodate mega vessels. Henceforth,<br />

this research aims to determine challenges faced by port operators to meet the port<br />

infrastructure expansion requirement. In order to achieve the research objectives, two<br />

mathematical methods will be employed such as Analytical Hierarchy Process (AHP) and<br />

Evidential Reasoning (ER). Since, Port Klang, is a major port and mostly serving mega<br />

vessels in Malaysia, this port is selected as a test case in this research. The result has<br />

shown that the most importance requirement for port expansion is navigation aspect<br />

followed by berth expansion, terminal, yard and gate operations. Based on the expert<br />

judgments towards the readiness of the Port Klang to become the mega port, Port Klang<br />

is assessed as very ready based on the current infrastructures and operations. This<br />

research is expectedly to assist port operators for making a decision on prioritizing the<br />

most importance requirement for expansion. Furthermore, this research also capable of<br />

measuring the readiness of port to serve mega vessels in global shipping industry in<br />

order to achieve competitive advantages.<br />

1627 | UMT UNDERGRADUATE RESEARCH DAY 2018

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