Cruising Toward a Sustainable Future: Lessons from Havila Voyages

One of the many advantages of being an MBA student at Cornell’s Samuel Curtis Johnson Graduate School of Management is the opportunity to participate in treks focused on distinct business themes. Over spring break, I joined the inaugural sustainability-focused trek in Norway. One of the standout company visits was to Havila Voyages, a firm dedicated to aligning its business operations with sustainability, proving that sustainable practices are not only possible, but strategically beneficial. In this article, I will explore Havila’s history, the engineering behind its sustainable business model, lessons applicable to transition economies like Puerto Rico, and broader implications for emerging markets.

Sustainability anchored in strategy

Havila Voyages is a Norwegian cruise company operating along the country’s coastal route between Bergen and Kirkenes. Formally established in 2017, Havila is part of a larger group involved in shipping, tourism, and transport that is building a reputation for embedding sustainability into core operations.

Since launching its first voyage in 2021, the cruise company has designed its business model around energy efficiency and environmental impact reduction. Sustainability is not treated as a side initiative; it is integral to how Havila operates, creating long-term value across performance, brand, and customer experience.

Engineering sustainability into business

Three core technologies highlight how Havila integrates sustainability into operations:

1. Battery packs enable up to four hours of emission-free cruising.
2. Heat recovery systems use energy from seawater and engine cooling.
3. The ships use hydropower-based charging while docked, reducing dependence on fossil fuels.

These systems support a hybrid propulsion model using liquefied natural gas (LNG) and battery power, which cuts carbon dioxide emissions by 35 percent and oxides of nitrogen (NOx) by 90 percent. Havila’s long-term targets include:

• Climate-neutral operations by 2028
• Emission-free voyages by 2030
• A minimum 40 percent waste-sorting rate across the fleet
• A shift toward circular resource use

These goals are aligned with business performance. Through energy optimization, waste reduction, and local sourcing, Havila lowers costs, improves reliability, and meets increasing consumer demand for environmentally sustainable travel.

A clear example of this is in food service design. By eliminating buffet-style meals and offering plated dining, Havila has cut food waste by over 65 tons annually, all while supporting local producers through sourcing from surrounding communities.

Puerto Rico as a transition economy: A strategic fit

Havila’s model has relevance far beyond Norway. Puerto Rico, for example, blends infrastructure and challenges typical of both developed and emerging markets, creating a strong case for applying models like Havila’s.

The island faces persistent challenges related to electricity stability, supply chain exposure, and import dependency. In an area of the Caribbean Sea frequently affected by hurricanes, Puerto Rico’s aging electrical grid remains especially vulnerable. Small and medium-sized enterprises (SMEs) are disproportionately impacted by outages and price fluctuations, limiting their growth potential and resilience.

While Puerto Rico’s economy isn’t tied solely to the cruise industry, the operational strategies behind Havila’s sustainability model offer lessons that translate well. Battery-powered systems and localized sourcing reduce external dependencies and improve reliability. Resource optimization and circular logistics help cut costs and create internal buffers against external shocks.

Furthermore, Puerto Rico’s geographic location, 365 days of sunlight, sea surroundings, and rich natural environment offer untapped potential for renewable energy integration. Businesses that strategically leverage local conditions and apply sustainability to their operations can reduce reliance on a fragile grid, gain independence, and operate more predictably.

Key takeaways

• Energy independence: Businesses can mitigate energy volatility through off-grid power solutions like Havila’s battery systems.
• Circular operations: Local sourcing, reuse, and waste reduction strategies directly support cost efficiency and supply chain resilience.
• Scalability: Sustainability initiatives can be integrated into business models without sacrificing growth, service, or profitability.

Broader implications for emerging markets

Havila offers more than a case study in maritime sustainability; it provides a scalable framework for how energy, infrastructure, and operations can evolve in resource-constrained environments. In emerging markets where capital is limited and systems are often under pressure, smart, attainable solutions can unlock growth without overextending infrastructure.

The key insight is that sustainability isn’t a constraint; it’s a driver of innovation and long-term value. For the private and public sectors, the lessons could include the adoption of energy-smart systems, circular operating models, and sustainable business strategies that can deliver meaningful results in industries beyond tourism, including logistics, agriculture, and manufacturing.

In a world of rising energy costs and ongoing supply chain disruptions, emerging economies that integrate sustainability and clean energy into their operations will be best positioned for resilient and intelligent growth.

About the author

Joseph Ortiz is a second-year MBA candidate at the Johnson School and an Emerging Markets Institute fellow, passionate about healthcare and experienced in the payer space prior to business school. Originally from Puerto Rico and raised across Florida and North Carolina, he has a diverse background that shapes the way he connects with people and ideas. He has participated in global treks through Italy, Japan, South Korea, and Norway. At Johnson, he’s been active in the Healthcare Club and the Hispanic American Business Leaders Association. Outside of school, Ortiz enjoys traveling, playing tennis, exploring new food spots, and spending time with loved ones.

All views expressed in articles published on the Emerging Markets Institute webpage are those of the author(s) and should not be taken as reflecting the views of the Emerging Markets Institute.