DCN delves into the world of tugs and towage, a sector crucial to the success of ports and offshore projects, and provides fresh insights into environmental innovation, decommissioning, and corporate structuring.
“TooooooooooooT! It is sailing time. A tiny tugboat pushes the big ocean liner away from the pier. Bon voyage! The big ship sails out of the harbor. Soon it is crossing the wide ocean. There is no land in sight.”
Words from children’s author Richard Scarry capturing the crucial role of tug boats in keeping the maritime sector ticking along, all the more crucial in a maritime nation such as Australia with diverse challenges.
Whether managing the movement of box ships in and out of Port Botany or ensuring giant bulkers leave on the tide at Port Hedland, tugs make it all happen.
A key player is Svitzer Australia which operates more than 100 vessels within Australia as well as Papua New Guinea.
The company, part of the Denmark-based global behemoth, is at the forefront of innovation in several ways.
Svitzer's EcoTow offering is part of a broader approach aimed at decarbonising towage in a way that is described as “practical and commercially workable”.
EcoTow is described as a carbon in-setting solution that allows customers to decarbonise harbour towage by replacing conventional marine gas oil (MGO) with low-carbon biofuels.
In Australia, EcoTow was used in connection with the introduction of Höegh Aurora, providing an early example of how lower-emissions towage solutions can support customers looking to reduce the carbon footprint of port operations.
“Globally, we also announced an EcoTow agreement with Wallenius Wilhelmsen in 2025,” a spokesperson said.
“That agreement covers tug jobs across key markets including Australia, the UK and Scandinavia and is designed to support Wallenius Wilhelmsen's ambition to reduce Scope 3 emissions related to towage.
“It is a strong example of how collaboration between shipping lines and marine service providers can help accelerate decarbonisation in parts of the supply chain that are essential, but often less visible.
“More broadly, these partnerships reflect growing customer interest in voluntary emissions reduction solutions that go beyond regulation and create practical pathways to lower-emissions port operations.”
Svitzer has committed to becoming fully carbon neutral by 2040, with an interim target of reducing CO2 intensity across the fleet by 50% by 2030
Svitzer
Svitzer is also looking to decarbonise.
Its decarbonisation strategy is built around three key areas: behaviour, equipment and fuel.
“Svitzer has committed to becoming fully carbon neutral by 2040, with an interim target of reducing CO2 intensity across the fleet by 50% by 2030,” a spokesperson said.
“These targets go beyond the IMO's earlier 2050 decarbonisation pathway and reflects our view that the towage sector has both an opportunity and a responsibility to move earlier where practical solutions are available.”
On the behavioural side, the company says it has developed tools and operating methodologies that help reduce emissions from day-to-day towage activity.
“This includes initiatives such as Port Monitor and Aim for 8, which support more efficient vessel movements and tug utilisation,” the spokesperson said.
“These kinds of operational measures have been a major contributor to reducing emissions across the period from 2019 to 2025.
“We have also developed a maritime emissions toolkit, based on the IMO Port Emissions Toolkit, to provide more detailed analysis of marine-side emissions in port environments.”
Svitzer TRAnsverse tugs at work in Newcastle. Image: Svitzer
On the equipment side, Svitzer continues to invest in technologies that aim to improve efficiency and reduce fuel consumption without compromising safety, capability or reliability. That includes the TRAnsverse tug, which has demonstrated fuels savings of up to 15% compared with conventional tug designs in the right operating settings.
“We also took delivery of our first electric tug, Svitzer Ingrid, in 2025 and we are progressing further innovation internationally, including a methanol-electric hybrid tug for Gothenburg due in 2026,” the spokesperson said.
“In Australia, we recently announced an MoU with Port of Melbourne, Copenhagen Infrastructure Partners (CIP) and Plexar Energy to assess the feasibility of introducing two fully electric TRAnsverse 2600e tugs in Melbourne, alongside the renewable energy and charging infrastructure needed to support them.
“We see this as an important step in exploring what fully electric towage could look like in the Australian market.”
On the fuel side, Svitzer's EcoTow program is focused on enabling lower-carbon towage through biofuels and other alternative fuel pathways.
“We are already using HVO, B20 and B100 in operations in Europe, South America and the Middle East,” the spokesperson said.
“In Australia, preparations have been made so that biofuels can be used when suitable commercial opportunities emerge.”
The towage industry is exploring a range of fuel and propulsion pathways and there is unlikely to be a single solution that fits every port or operating environment.
“From Svitzer's perspective, the most important question is which pathway can deliver meaningful emissions reduction while maintaining the safety, capability and reliability that towage demands,” the spokesperson said.
“In some settings, that may be biofuels as an immediate measure. In others, electrification may be the strongest long-term option, particularly where appropriate transit distances and suitable charging infrastructure exist.
“Other pathways, including methanol and hydrogen-related technologies, continue to be part of the broader industry conversation and development landscape.”
The transition is underway, but there are still real challenges to overcome.
For biofuels, the technical pathway is increasingly proven. Svitzer says it has demonstrated that it can manage the technical and operational requirements associated with fuels such as HVO, B20 and B100.
“In Australia, the main barrier is commercial rather than technical. Overseas markets often benefit from incentives and policy settings that help close the cost gap, whereas those settings are not yet as developed here. Feedstock availability and pricing also remain important factors,” the spokesperson said.
“For electrification, the outlook is increasingly encouraging. The capital premium associated with electric tugs has reduced significantly and continues to trend downward.”
The larger challenge is usually infrastructure—particularly how to fund and deliver the shore-side electrical capacity needed at tug berths.
“In many ports, network capacity is constrained and augmentation can take time due to planning, approvals and broader infrastructure priorities,” the spokesperson said.
“That is why partnerships matter. Progress in this area depends not just on vessel design, but on close collaboration between ports, energy providers, infrastructure partners and towage operators.”
Across the sector, growing interest in practical decarbonisation pathways are being observed.
“That means a stronger focus on operational efficiency, better emissions data, lower-carbon fuels, electrification where feasible and closer collaboration between ports, customers, energy providers and marine service operators,” Svitzer stated.
“In our view, the future of towage decarbonisation will not be driven by a single technology or fuel. It will be shaped by a combination of smarter operations, improved vessel design, lower-emissions fuels and the infrastructure needed to support them.”
According to Svitzer, Australia remains an important towage market, with continued demand for safe, reliable and efficient marine services across a broad range of port environments.
“Our focus is on continuing to support customers and ports with high-quality towage solutions, while investing in innovation and decarbonisation initiatives that continue to deliver value into the future,” the company stated.
Meanwhile, Bhagwan, a national Australian marine services company, is doing strong business in the offshore sector.
Founded in 2000, it provides a range of marine solutions within ports, nearshore, offshore and subsea locations to industries including oil and gas, subsea, port, civil construction, renewables and defence.
General manager corporate & strategic development, Peter Carmichael, said the Bhagwan prided itself on “our adaptability and proactive approach, which have earned us a reputation as a trusted partner in marine operations in Australia”.
Bhagwan is one of the largest marine vessel operators and service providers in Australia.
It has a total fleet of 95-plus vessels comprising various vessel types including dive support vessels, tugboats, multi-cats, utility vessels, barges and crew transfer boats, as well as other specialist vessels.
Bhagwan recently played a key role working for Chevron in decommissioning Thevenard Island off Onslow in the Pilbara, providing comprehensive marine support through all phases of the decommissioning process at TVI, from marine support through plug and abandonment (P&A check), fabric maintenance, marine logistics of all the onshore island infrastructure.
This led to Bhagwan being the lead marine and subsea contractor for the platform removal scope.
“This project has seen successful completion of Australia’s largest offshore decommissioning project to date by a local marine service provider removing nine offshore platforms with more than 850,000 offshore man hours LTI Free,” Mr Carmichael said.
Bhagwan Marine operated a wide diverse fleet of more than 100 vessels, from dive support vessels (DSVs) to offshore supply vessels to inshore tug and barge including shallow water anchor handlers.
Mr Carmichael said the Thevenard Island decommissioning project presented a range of operational challenges, largely driven by its remote location, which required careful coordination of vessels, people and equipment into an area with limited infrastructure.
“We also worked within strict environmental and regulatory frameworks, ensuring all activities met high standards of protection for the surrounding marine environment.
“The multidisciplinary nature of the scope, combining subsea, nearshore shallow water marine ops and onshore work, demanded strong project management and seamless teamwork across specialties.
“All this carried out during cyclone season with multiple demobs thrown in added to the challenging nature of the project.”
We also worked within strict environmental and regulatory frameworks, ensuring all activities met high standards of protection for the surrounding marine environment.
Peter Carmichael, Bhagwan
Challenges were overcome by detailed upfront planning, strong logistical coordination and a disciplined approach to execution through a highly experienced project management team.
Barges operating at the Thevenard Island project. Image: Bhagwan Marine
Bhagwan Marine is lucky enough to have internal SMEs in Marine and Sub Sea, engineering and Project Management and has been operating in and around this field for over 25 years.
Mr Carmichael said a key lesson from the Thevenard Island decommissioning project was the value of early, collaborative planning across all disciplines; marine, subsea, nearshore and onshore, ensuring “full alignment before execution”.
An integrated turnkey approach from the marine removal all the way through to shoreside recycle and disposal was also central to achieving high recycling rates, via load planning, segregation and removal methodologies.
“The project also reinforced how critical strong logistics management is when working in remote locations and how effective interface coordination can significantly reduce complexity on multi‑scope works,” he said.
Bhagwan Marine recently entered into an agreement to acquire 100% of Riverside Marine Holdings (Riverside).
Founded in Brisbane in 1926 by the Campbell family, Riverside specialises in the management and operation of about 30 diverse vessels, including nine owned, across five established brands.
The acquisition is hailed as bringing together two founder-led businesses with a strong strategic fit, complementary services and a commitment to operational excellence.
“This significant acquisition represents a step-change in scale and scope for Bhagwan, strengthening the company’s position as a preferred marine solutions partner,” Mr Carmichael said.
“The Riverside group has long-standing clients within the industrial resources, scientific research, transport and logistics sectors. These brands will fit well with Bhagwan Marine’s sectored growth strategy in the energy, ports and inshore and defence and sovereign sectors.”
Pacific Tug is an important player on the Australian east coast. It has a head office at Victoria Point, Queensland with support bases for its operations at Murarrie on the Brisbane River, Bundaberg, Port Eden and Port Alma.
It also has satellite offices in various locations around Australia.
The Pacific Tug story began in 1965, established by the first-generation Peters Family, comprising of brothers Con and George Peters.
They started out as professional fishermen and assisting a tug master in Moreton Bay led them to be appointed to do towing work for Harbour & Marine in Moreton Bay.
“Today the company continues to grow and has diversified the services on offer to be able to provide fully integrated maritime solutions for our clients,” a PacTug spokesperson said.
“Our fleet of over 30 vessels comprises of tugboats, crew transfer and support vessels and barges.
“With highly experienced executive staff drawn from the maritime and allied industries, Pacific Tug continues to grow its strength as a player in Australia’s maritime industry.”
Chief executive Chris Peters, a master mariner who worked on tankers, dredging and offshore work before joining the family business, used the occasion of the company’s 60th anniversary late last year to call for Queensland to make better use of the “blue highway” trade route.
“The ‘blue highway’ remains the most efficient trade route in the world and Australia can improve its capacity,” Mr Peters said.
“Pacific Tug Group wants to help improve that capacity and we’re happy to work with governments to ensure the best opportunities for the nation’s trade.”
He said this included realising the potential of Pacific Marine Base Bundaberg, which has plans to finalise a 200-metre-long general cargo wharf that caters for break-bulk shipments such as mining and agricultural equipment.
The ‘blue highway’ remains the most efficient trade route in the world and Australia can improve its capacity.
Chris Peters, Pacific Tug
“When completed, Pacific Marine Base Bundaberg will have the largest load capacity of any port along Australia’s east coast,” he said. The port has advantages when added into a wider mix including Brisbane and Gladstone.
“It will enable vessels to access southeast Queensland’s agriculture, manufacturing and industry hubs without having to queue off the coast awaiting a berth.” Mr Peters said.
Last year, Pacific Marine Group was awarded a marine works contract for Kimbe (PNG’s third most profitable port), demonstrating their impact beyond Australia.
Polaris Marine Group operates what the company says is one of Australia’s “most capable and diverse fleets of tugboats and workboats”, available for a wide range of marine construction, transport and support services.
“Our fleet includes shallow-draft workboats, twin-screw tugs, line-handling vessels, push boats and utility craft,” a company spokesperson stated.
“Each vessel is fully equipped for the operational task at hand, with appropriate deck gear, towing equipment and certified crew. From ports and harbours to remote coastal sites and inland waterways, Polaris delivers reliable marine support wherever it’s needed.”
Over the course of 40 years, Polaris Marine proclaims to be a cornerstone of Sydney Harbour’s maritime support industry. Image: Polaris Marine Group
Founded in 1986 with a single workboat, Polaris Marine has grown to become what it says is “a cornerstone of Sydney Harbour’s maritime support industry”.
“With a diverse fleet and highly skilled team, Polaris Marine Group delivers essential maritime services, including vessel charter, towage, salvage and marine construction support,” the company stated.
“Committed to safety, efficiency and environmental responsibility, we continuously invest in state-of-the-art equipment and cultivate strong industry partnerships to ensure exceptional service delivery.”
With a diverse fleet and highly skilled team, Polaris Marine Group delivers essential maritime services, including vessel charter, towage, salvage and marine construction support.
Polaris Marine Group
As part of its strategic growth, it acquired the marine maintenance contracts and assets of Waterway Constructions in 2019, strengthening its presence in the marine construction and asset maintenance sector.
“In 2023, the acquisition of Harwood Slipway near Yamba, NSW, expanded our capabilities, enabling vessel lifts of up to 440T on the hardstand and slipway servicing for vessels up to 90m and 3000T,” a spokesperson said.
“Located on the Clarence River, Polaris Marine Dockyards is now a premier destination for marine maintenance and new builds.”
With an expanded service portfolio encompassing marine infrastructure and asset maintenance, bridge and wharf construction, piling and sheet piling, specialised crane barge hire and vessel and barge construction and maintenance, Polaris Marine Group say it is “positioned for long-term, sustainable growth”.
This article appeared in the April | May 2026 edition of DCN Magazine