DCN May Edition 2019

On
LIFE
the surface, towage is simple: the tug guides a ship
into or out of port, nudging it when needed, and can
intervene to protect the vessel and port infrastructure
in case of an emergency.
However, as with most things in life, towage is
more complicated. New technology is slowly creeping
into the sector, enabling new and more efficient ways of
assisting with ship movements. Additionally, the business
environment in Australian towage is changing, with
competition coming into several markets mostly serviced by
one company in recent times.
A CHANGING BUSINESS
In October last year, Engage Marine announced it was
beginning operations in the ports of Sydney and Geelong,
stationing two tugs in each port (with one back-up tug based
in Sydney). Engage Marine CEO Mark Malone told Daily
Cargo News the enterprise had been going well so far.
“We’ve always got room to do a bit more business,” he
said. “It’s difficult, of course, starting something from
scratch, but I think the market has supported us very well;
we’ve had a lot of support from agents and shipping lines
and we believe we’ve got a sustainable model in both those
ports, and we want to use that as a base to grow from.”
However, Mr Malone told DCN there weren’t any
definitive plans for expansion at the time of writing, but
there were three or four options under consideration.
“We believe that most of the ports in Australia,
certainly the larger ports, can sustain competition,” he
said. “It’s about creating a choice for shipping lines by
having a competitive tension to help raise standards.
Smit Lamnalco
thedcn.com.au May 2019 49