Wartsila’s 12-year, $1bn performance-based maintenance contract with cruise giant Carnival could prove groundbreaking for shipping.

The deal, covering 79 vessels and 400 engines, involves possible penalties and bonuses for Wartsila depending on its performance against reliability and efficiency key performance indicators.

Recent advances in sensor technology and real-time data analysis made the deal possible and it takes shipping into the type of performance-based maintenance contracts used in the airline industry and pioneered by Rolls-Royce’s “power by the hour” system.