2026 CRUISE SEASON PREVIEW April 28, 2026 Item No. _11b_supp__ Date of Meeting: _April 28, 2026 __ AGENDA 2026 Cruise Season Overview New Lines & New Ships Cruise Dashboard Sustainable Maritime Fuels PNW2AK Green Corridor Biofuel Demonstration Project Liquified Natural Gas Business & Operations Updates 2 2026 CRUISE SEASON OVERVIEW 330 total calls expected - First call Friday, 4/17 (in-transit) 8 maiden calls: 3 will homeport, 5 are in-transit. Ceremonial "plaque exchange" on each new ship's first call in Seattle 16 cruise ships homeporting in Seattle; 10 unique cruise brands; 11 connecting to shore power 5 days per week with two ships at T91 - up from 3 in 2025 2 new gangways being assembled at T91 for use this season Purchase of T91 Shore Power complete; Expansion project at 60% design 3 NEW CRUISE CUSTOMERS IN 2026 • Two new cruise lines sailing to Alaska, from Seattle, for the first time - We welcome MSC Cruises and Virgin Voyages • Both new brands are Europe based (Italy/Swiss and UK) and expected to source higher than normal International travelers (~35%). • MSC and Virgin ships will go beyond regulation to protect Puget Sound - Voluntary no EGCS wash-water discharge in Puget Sound, join Cruise Memorandum of Understanding • Both ships are equipped with shore power • • • • MSC Poesia "Poem" in Italian -'po-eh-ZEE-uh' Sailing on Mondays from Terminal 91 Launched in 2008 Accommodates 2,550 doubleoccupancy guests and 1,027 crew 4 4 NEW CRUISE CUSTOMERS IN 2026 Virgin Voyages Brilliant Lady • Sailing on Thursdays from Terminal 91 • Launched in 2024 • Accommodates 2,700 double-occupancy "sailors" (guests) and 1,150 crew • Adult-only cruise, the only line featuring a tattoo parlor 5 5 CRUISE DASHBOARD • Provides a visual representation of the Port's current and historic cruise activity • Information is linked to the Port's internal data and updates monthly - 1st update on 6/10 and every month thereafter • Public reporting on progress toward economic and sustainability objectives 6 SUSTAINABLE MARITIME FUELS LEADERSHIP EPA Planning Grant: Powering Maritime Innovation Sustainable Maritime Fuels Collaborative 2026 Sustainable Maritime Fuels Summit Green Methanol Feasibility Study Biofuel Demonstration Project 7 Alaska Home Port Port of Call PACIFIC NORTHWEST TO ALASKA GREEN CORRIDOR • • • • • • • Two Homeports: Seattle and Vancouver (BC) 5 Ports of Call: Victoria (BC), Juneau, Sitka, Skagway, Haines Major cruise lines participating Seasonal: April-October Average duration: 7-day round-trip ~900 nautical miles Seattle-Juneau via Inside Passage Exploring the feasibility of 4 green methanolfueled cruise ships in the Alaska market by 2032 Skagway Haines Juneau Sitka Canada Victoria VANCOUVER SEATTLE USA 8 PACIFIC NORTHWEST TO ALASKA GREEN CORRIDOR GREEN METHANOL FEASIBILITY STUDY Scope: What would it take to make methanol-powered cruise ships viable in the Alaska market? • First methanol ship by 2030 • 4 cruise ships on green methanol by 2032 ALTERNATIVE FUEL PRODUCTION PORT INFRASTRUCTURE 120,000 TONNES OF GREEN METHANOL PER YEAR TRANSPORTATION, STORAGE, AND BUNKERING AT HOMEPORTS VESSEL DECARBONIZATION CARGO DEMAND DYNAMICS DELIVERY OF 4 METHANOLCAPABLE CRUISE SHIPS WILL PASSENGERS PAY MORE TO TRAVEL ON A GREENER CRUISE? Project Partners: Next Steps • Finalizing public report - expected Spring 2026 9 BIOFUEL DEMONSTRATION PROJECT A case study in regional maritime biofuel readiness led by Holland America Line Objective: Test real-world feasibility, cost, operational risks, and emissions implications of using renewable diesel (derived from vegetable oil) for cruise operations departing Seattle. Approach: • • • • A joint project between Holland America Line and Port of Seattle. Renewable diesel (RD) was delivered to MS Eurodam over three separate calls in Seattle. RD is chemically the same as fossil diesel but made from vegetable oil. RD cost roughly 2.5x the cost of Marine Gas Oil, which is the ship's typical fuel ($2,200/tonne vs $940 for MGO) • The cost of carbon reduction was about $1,000 per metric ton of CO2 equivalent (MTCO2e) avoided, compared to $120 for/MTCO2e for similar biofuels in the European Union where incentives are available. Key Findings: • Marine biofuels can be safely used on cruise ships in Seattle but scaling use remains a challenge for the following reasons: • Lack of consistant demand, high costs, limited infrastructure and vessel compatibility, as well as inconsistent carbon certification pathways, and no U.S. fuel incentives. Biofuel bunkering looks identical to conventional fuel bunkering 10 STAR PRINCESS: SEATTLE'S FIRST LNG SHIP • • • • • • LNG = Liquified Natural Gas, an alternative maritime fuel for ships First cruise ship in Seattle to use and fuel-up on LNG First call 5/3, last call 9/20: 21 Sunday calls over 2026 cruise season Will fuel LNG via a bunker ship by Seaspan Energy: LNG from FortisBC in Canada LNG bunkering is new to Seattle but not new in U.S., Canada, or globally Extensive planning: Risk assessments and mitigation plans; Coast Guard, first responder, industry, Tribal, regulator engagement; crew, responder, ship pilot training • Fueling plan requires USCG "letter of no objection", Seattle Fire Department Approval • • • Star Princess • Second vessel in the Sphereclass; sister to Sun Princess Launched: October 2025 Capacity: 4,300 double occupancy guests, 1,547 crew Shore power-equipped 11 11 ABOUT LNG Fossil LNG is not a climate solution but can provide significant air quality benefits above conventional maritime fuel. Fossil LNG is commercially available, but alone, will not achieve Port or regional climate goals over the long-term. The Port does not plan to invest in LNG infrastructure. We will engage and support cruise lines and regualtors to ensure safe, environmentally compliant operations. Renewable Natural Gas (RNG) is a non-fossil alternative that could be a longer-term climate solution. RNG is not commercially available at scale globally. The Port does not regulate fuels that ships bunker in port but strongly encourages ships to use low and zero emissions fuels. 12 FINAL UPDATES: A BUSY SEASON AHEAD New Terminal 91 Operator Selected for 2026: Pacific Cruise Ship Terminals FIFA Men's World Cup: 5 of 6 match-days are cruise days; 1 match day has a ship at Pier 66; 47 calls during World Cup period in Seattle Over $1.2 billion in economic impact expected 2.1 million revenue passengers over 5,000 jobs for the region T91/P66 Cruise Shore Power Extension project (C801983) development is ongoing; Construction anticipated to begin in late 2026 and in-use for 2027 cruise season; Project is on 4/28 Commission consent agenda for an Early Work Amendment to procure long lead materials for construction 13 13 THANK YOU 14