Project Pipeline Builds

According to Data&, there are estimated to be almost 3500 ports, over 11,500 terminals and 38,500 berths handling shipping cargo and freight on a global basis, collectively seeing worldwide trade of 12bn tons and over 880 million TEU, annually.

Every one of these ports or terminals represents an infrastructure opportunity for consulting engineering service providers, so what are some notable projects either recently completed or underway?

PORT PROJECT GROWTH
According to GlobalData’s construction projects database there is a global pipeline, from the early pre-planning stages (of announcement and study) through to execution, with a combined value of US$479.6bn.

The largest overall pipeline is in South-East Asia, totalling US$85.1bn, of which US$51.4bn is already in the execution stage. By comparison, the level of projects in South Asia is relatively less mature, with 39.6% of the projects by value now in the execution stage.

The value of projects being tracked in Middle East and North Africa (MENA) stands at US$69.3bn, with 87.4% of projects in the execution stage.

The global construction market is forecast by GlobalData to grow by 1.8% in real terms in 2024, having grown by 1.7% in 2023. While the residential construction market in many countries will decline, this will be offset by high growth in the infrastructure sector, with output rising by 8.3% in real terms.

In 2023, a total of 89 major maritime construction projects broke ground, at a total cost of over US$61.5bn, representing a 35% increase over the total for 2022. The top 10 biggest value developments generated US$41.5bn of the annual figure.

Table 1 provides further insight into the largest port construction projects recorded in 2023 and it can be seen that there are a wide range of different projects, across different geographic ranges. There are also different types of cargoes being catered for, but for each listed project the costs are substantial, ranging from US$973 million to US$10.3bn.

SECTOR FEEDBACK
As part of this review, Port Strategy reached out to a wide-range of leading Consulting Engineers. Of those companies that did reply, the following summary of selected ongoing or recently completed projects has been collated:

• Jacobs Engineering – Port of San Francisco Waterfront Resilience Program:

• This project addresses the strengthening and adaptation of over seven miles of waterfront including the, more than 3-mile, century-old seawall.

• The seawall protects critical regional transportation assets, utilities and over US$100bn in assets and annual economic activity. Time is of the essence as estimates show a 72% chance of a major earthquake happening between now and 2043 and projections of water levels rising more than three and a half feet by 2100.

• Serving as Program Manager, Jacobs supported the Port’s program including oversight of the seismic hazard risk assessment, flood assessment, development of the mitigation measures and support of the adaptation and envision planning horizons of 2080 and 2100.

•Royal HaskoningDHV – Construction of Albania’s Largest Port:

• Albania’s largest seaport is entering the construction phase of its development. The Porto Romano Port will serve Albania, Kosovo and North Macedonia – significantly boosting trade and regional economic growth.

• “The development of Porto Romano is at the forefront of integrating best international practices in environmental and social standards with cutting-edge engineering solutions and future-ready technology. This project not only advances transport and social connectivity within the Western Balkans but also strengthens the region’s ties with the European Union, setting a new standard for sustainable and innovative infrastructure development,” explains Eric Smit, Maritime Business Development Director at Royal HaskoningDHV

•Mott MacDonald – Offshore Wind Energy, Port Talbot:

• Owned and operated by Associated British Ports (ABP), this port is ripe for transformation into a manufacturing and integration hub for the next generation of offshore wind turbines.

• Up to 150 wind turbines could be in place in the next three years and masterplanning is underway.

• “Pretty much every aspect of this project is groundbreaking – there aren’t examples you can look at for reference, although we can transfer knowledge and experience from other sectors,” says Rose Richardson, Project Manager, Mott MacDonald

•WSP – Upgrade at Nassau Cruise Port:

• As part of a 25-year port operation and lease agreement with the government of the Bahamas, Global Ports Holding (GPH) and Nassau Cruise Port Ltd. (NCP) sought to upgrade and expand one of the Caribbean’s largest cruise ports to accommodate six cruise ships per day including three Oasis class vessels and up to four million passengers a year.

• The scope of the project included a new sixth berth and upgrades to the flagship Prince George Wharf. WSP was retained by GPH to provide owner’s engineer design services in support of the design-build contract with the preselected contractor ENKA. Later, ENKA retained WSP to continue with design services.

• WSP navigated several challenges, including permitting of dredging/reclamation and open pile driving works within a sensitive environment, geotechnical design issues associated with extremely variable limestone, with completion during 2024.

The need for ongoing investment in port infrastructure is continuing. Despite recent economic challenges and shocks, expect this development to continue, with leading Consulting Engineers playing a key role.