|  Congressional Research Service tells Congress the Jones Act is a barrier to America’s Marine Highway Program. By Tony Munoz, Editor-in-Chief of the Maritime Executive Magazine and the MarEx Newsletter
While researching issues surrounding the Harbor Maintenance Tax, I came across a report issued by the Congressional Research Service dated January 14, 2011. Its author, John Frittelli, tells Congress that “if not for the Jones Act, domestic containers could be shipped between U.S. coast ports on existing services provided by international carriers. Foreign containerships carrying U.S. imports and exports already sail frequently between U.S. ports, providing an almost continuous conveyor belt of vessel space along each coast.”
For those not aware of the Congressional Research Service (CRS), here is a statement from its Web site: The... Read More>>> Back to Top |  On Wednesday, Turkey’s Prime Minister Recep Tayyip Erdogan announced plans to build a canal connecting the Black Sea with the Marmara Sea to reduce ship traffic in the Bosporus shipping lanes. The new canal, named Kanal Istanbul, would cut directly through an area west of the Bosporus canal, of mostly undeveloped state owned lands. The project plans also include the construction of a new 60 million passenger-per-year airport for Istanbul and two minicities. Prime Minister Erdogan did not give cost estimates for the project nor did he say how the project would be paid for. He did say that the project would be “open to the world” and that he expected it to attract several investors. The canal is expected to be 27 yards deep, 165 yards wide, and 28 to 30 miles long. A study of the terrain in the area must be completed before construction can begin. Experts estimate... Read More>>> Back to Top |  by Dr. Jim Giermanski I have recently written that it seems the real movement to secure the global supply chain is being accomplished by the private sector. What follows is more verification of the private sector's leadership and movement to continue that process through the rules for international business practices embodied in Incoterms® 2010. The New Mortar of Global Business and Its Security Elements There are three major contracts in the international sale of goods, the Contract of Sale (normally governed by the UN Convention on Contracts for the International Sale of Goods ); the Contract for Carriage (normally governed by the transport document or bill of lading); and the Contract for Payment (negotiated between buyer and seller). While these contracts are all distinct, each relates to the other. Because of... Read More>>> Back to Top |  Officials are blaming human error for the accidental grounding of a cargo ship off the coast of Sarangani province in the southern Philippines last Sunday. The Australian cargo ship, MV DOUBLE PROSPERITY, loaded with coal, was on its way to India when it ran aground just 2.6 miles from shore in the shallow waters of the protected coral reefs. Officials speculate that the crew ventured closer to shore in an attempt to get a better satellite signal and a clearer television picture to watch the boxing match between Filipino boxer Manny Pacquiao and American start Shane Mosley. The local Coast Guard is investigating the incident, but has indicated their initial findings point to human error as the cause of the accident. Local officials continue to monitor the vessel for leaks. A high tide is expected over the weekend, and officials hope it will be enough to free the disabled... Read More>>> Back to Top |  THE UN-COMFORT ZONE with Robert Wilson As you finish reloading your rifle, you realize there’s a lull in the fighting. There is no gunfire, no explosions, the screaming and yelling have subsided. After three hours of battle, it’s become relatively quiet on both ships. You take a moment to assess the situation. From the beginning you’ve been at a disadvantage. The enemy’s ship is newer, bigger, faster, and has more guns than yours. You admit she’s a beauty, built to be a warship, unlike yours which was retrofitted for war from an aging merchant ship designed for trade and cargo. Your opponent hit you pretty hard with its first volley. Those big guns ripped huge holes in the sides of your ship. You had some pretty big guns too, but the first one fired exploded and took out all the cannon around it. Now that deck is useless and most of the... Read More>>> Back to Top |  According to Associated Press, after a Greek shipping company was convicted for repeated dumping of waste oil into the ocean, and lying about it, three of its crewmembers are receiving upwards of $1 million for cooperating with federal authorities in the investigation. The company in question, Ionia Management, has been fined $4.9 million in 2007 and were convicted on 13 violation counts of the Act to Prevent Pollution from Ships, as well as 3 counts of falsifying records, 1 count of obstruction of justice, and 1 count of conspiracy. Upon what is being called “crucial evidence” being provided by 3 of the crewmembers, Alexander Gueverra has been awarded $550,000 and Ricky Lalu and Dario Calubag have each been awarded $350,000. Prosecutors supported the monetary awards by citing that employees who cooperate with these investigations and the government may be... Read More>>> Back to Top |  Louisiana Agriculture and Forestry Commissioner Mike Strain, D.V.M., is urging the United States Department of Agriculture Office of Risk Management to categorize the opening of the Morganza Spillway as a natural disaster. The spillway, which diverts flood water from the Mississippi River to the Atchafalaya River basin, is expected to be opened by the U.S. Corps of Engineers later this week or early next week. “I am asserting that the flood waters will overtop the Morganza floodgates regardless of whether the spillway is opened or not,” Strain said. “Failure to open the spillway will result in potential damage to that structure which could result in more severe flooding. The Morganza Spillway will flood either way so therefore flooding from the opening of the spillway should be classified as a natural disaster.” Strain sent a letter to the Louisiana... Read More>>> Back to Top |  Last week en route to the Red Sea, The Sea Shepherd Conservation Society’s flagship vessel, the Steve Irwin, was being chased for several miles by 3 suspicious skiffs, totaling 13 people dispersed among the boats. The Steve Irwin has recently been outfitted with a new camouflage paint job, “77” largely branded on the bow of the vessel, and the United Nations flag waving from its mast. Previously, a U.S. military Blackhawk helicopter has mistaken the Irwin for a Dutch warship. It’s thought that maybe the illusion of a government ship could have helped keep the pirates at bay in the infamously dangerous Gulf of Aden where pirates are rampant. A Quartermaster aboard the Steve Irwin stated that they were aware of the potential risks of sailing off the coast of the horn of Africa, but even while the scene was unfolding through their binoculars, they stayed... Read More>>> Back to Top |  The U.S. Government Accountability Office (GAO) released a scathing report today that exposes serious security weaknesses and years-long delays in a program to fully implement a Transportation Worker Identification Credential (TWIC). TWIC is intended to protect the nation’s port and maritime transportation systems. U.S. Rep. John L. Mica (R-FL), the Chairman of the U.S. House Committee on Transportation and Infrastructure, testified at a Senate Commerce, Science, and Transportation Committee hearing today during which the GAO report was released. Chairman Mica, one of the requestors of today’s GAO report, said, “TWIC is turning into a dangerous and expensive experiment in security.” The TWIC for maritime industry workers was mandated in the Maritime Transportation Security Act of 2002 (MTSA). After many delays, the Transportation Security... Read More>>> Back to Top |  Washington, D.C. - On Monday, May 9, the U.S. Court of Appeals for the D.C. Circuit will hear argument on the industry challenge to portions of the Vessel General Permit -- the Environmental Protection Agency’s first effort to regulate incidental discharges from the normal operations of vessels. EPA issued the permit in 2008 after the U.S. Court of Appeals for the Ninth Circuit found that the 30-year-old exemption for these discharges was invalid and that these discharges had to be regulated. The permit is a Nationwide Permit and represents the first time the agency has sought to regulate mobile sources under the Clean Water Act. After proposing federal standards and taking comment, EPA obtained additional requirements from states under section 401 of the Clean Water Act and issued a final permit on Dec. 18 that included more than 100 new requirements based on state submissions.... Read More>>> Back to Top |  Coast Guard Commandant Adm. Bob Papp testifies before the U.S. Senate Committee on Appropriations, Homeland Security Subcommittee, in the Dirksen Senate Office May 10, 2011. The focus of the hearing was on operation and recapitalization requirements and the Coast Guard's fiscal year 2012 budget. U.S. Coast Guard photo by Petty Officer 2nd Class Patrick Kelley. Coast Guard Commandant Adm. Bob Papp testified before the Senate Committee on Appropriations, Homeland Security Subcommittee, about the Coast Guard’s fiscal year 2012 budget today. Adm. Papp read an oral statement early in the hearing where he highlighted the fact that America is a maritime nation; therefore, the safety and security of our “maritime” impacts the lives of every American. He provided examples of recent operations, including: interdicting harmful drugs in the Caribbean, protecting citizens from flooding in the... Read More>>> Back to Top |  Groups Will Collaborate to Promote Benefits of Canal Expansion Panama Canal Authority (ACP) Administrator/CEO Alberto Alemán Zubieta and Soy Transportation Coalition (STC) Chairman Ed Ulch signed a Memorandum of Understanding (MOU) to foster the growth of global commerce. During a luncheon sponsored by the STC in Washington, D.C. on Monday, both parties affirmed their commitment to mutual growth and cooperation. The objectives of this agreement are to undertake joint marketing efforts, data exchange to forecast future trade flows and market trends, and the sharing of information related to modernization and improvement projects. The STC, comprised of nine state soybean boards, advocate for the improvement of transportation means for shippers of U.S. soybeans and soybean products. U.S. grain exports are a major... Read More>>> Back to Top |  The Boston Business Journal has named Veson Nautical one of the Best Places to Work in Massachusetts in its ninth annual regional awards program. The honor recognizes Veson Nautical’s achievements in creating a positive work environment that attracts and retains employees through a combination of employee satisfaction, working conditions and company culture. Veson Nautical was one of over 320 companies to qualify for consideration based on a two-stage nomination process and the results of employee-satisfaction surveys taken throughout April. “This award is a true honor, especially since it is based on the anonymous feedback of our team," remarked John D. Veson, President of Veson Nautical. “From the onset, a core part of our values and strategy has been to build a business where we can work with smart, creative people in a high performance and fun... Read More>>> Back to Top |  Christens Two New Petroleum Tank Barges Saturday, Adding to Environmentally Friendly Fleet in Western Alaska Double-Hull Barges Preparing to take environmental protection of Western Alaska waters to a whole new level, Crowley Maritime Corporation christened two new double-hulled petroleum tank barges, the 165-1 and 165-2, Saturday morning during a small ceremony at Dakota Creek Industries in Anacortes, Wash. The vessels, which are the first double-hulled, environmentally friendly barges of their kind to operate in Western Alaska waters, will join Crowley's 180-1, a double-hull barge that has serviced Alaska since 2005. The hull was rigorously designed for use in Western Alaska, with the highest priority given for the safety of the personnel and the environment. Crowley is the only company bringing the safer double-hull vessels to Alaska... Read More>>> Back to Top |  Coast Guard coordinates AMVER vessel's high-seas rescue PORTSMOUTH, Va. — Watchstanders at the Coast Guard 5th District command center are coordinating a rescue 850 miles east of Bermuda with the assistance of a Royal Caribbean cruise ship Celebrity Equinox, Friday afternoon. At approximately 12:30 p.m., the watchstanders received a notification from a member of the Maritime Rescue Co-ordination Centre Bremen, Germany, stating that there were five German nationals aboard a 43-foot catamaran in need of assistance. The reporting source said that the crew is worried about running out of diesel fuel. The vessel is also reported to have a possible broken mast and one inoperative engine. Using AMVER, the Automated mutual-assistance vessel rescue system, the Coast Guard asked the captain of the Celebrity Equinox to... Read More>>> Back to Top |  Washington, DC Area (Linthicum Heights, Maryland), USA
June 6-7, 2011
MITAGS
An international survey (Michel et al., 2005) has identified over 8,500
sunken shipwrecks in marine waters around the world, including more than 1,500 sunken tank vessels (≥ 150 gross tons) and nearly 7,000 sunken non-tank vessels (≥ 400 gross tons). These wrecks may contain as much as 20 million tons (140 million barrels) of oil and other hazardous materials. Sporadic or continuous leakages or potential sudden massive spillages from these wrecks, 75 percent of which stem from World War II, pose a con/nual risk across the globe.
The problem of potentially-polluting wrecks has long been discussed and recent incidents around the world have caused government agencies and responsible parties to look... Read More>>> Back to Top |  Fincantieri-Cantieri Navali Italiani SpA today announced that Jennifer M. Granholm, former governor of the state of Michigan, has been elected to the Board of Directors of Fincantieri’s US-based subsidiary, Marinette Marine Corporation. Granholm served as Governor of Michigan for two terms, from 2003–2011. Prior to being elected governor, Granholm served as a judicial clerk for Michigan's 6th Circuit Court of Appeals. She became a federal prosecutor in Detroit in 1990, and in 1994, she was appointed Wayne County Corporation Counsel. Granholm was elected Michigan's first female attorney general in 1998. She is a graduate of Harvard Law School, was recently appointed a Distinguished Practitioner of Law and Public Policy at the University of California, Berkeley, and is a Senior Advisor to The Pew Charitable Trusts Clean Energy Program. “We are... Read More>>> Back to Top | | In April Cargotec secured an order to supply two active heave-compensated (AHC) cranes for Volstad Maritime's large offshore construction vessel (OCV) on order at Bergen Group Fosen shipyard in Norway (hull 89), which is scheduled for delivery in the second quarter of 2012. The contract comprises a 250-tonne MacGregor AHC subsea crane and a 15-tonne MacGregor AHC offshore crane. The advanced OCV is an ST-259-CD design from Skipsteknisk, and is 125m long and 25m wide. The vessel is designed to the highest environmental standards and Clean Design requirements. It will be classed to Ice-1A. "Cargotec's offshore competence centres are dedicated to designing complete solutions that define all functionalities of a purpose-built ship," said Jon Helle, Sales Director for Subsea Load Handling. "This enables us to respond to the market demand for total functional responsibility. Cargotec not... Read More>>> Back to Top |  China’s demand for imported oil is, and will, continue to be one of the key influences on the tanker market, according to industry experts Braemar Shipping Services plc. Demand growth in the country has progressed at an unprecedented pace over the last decade, a pattern universally anticipated to continue. This additional demand will increase China’s dependence on imported crude with beneficial knock-on effects for the tanker industry. Refining capacity Oil and Gas Journal estimates that Chinese refining capacity stood at 8.1m bpd as of 1st January 2011, exhibiting growth of 54% over the last decade. With a developing, urbanising and growing population whose oil consumption is ever burgeoning, we do not expect growth of either parameter to taper in the near future. Capacity growth projections for the next five years vary from a low of 2.0m bpd, up to a maximum of 6.0m bpd.... Read More>>> Back to Top |  NEW ORLEANS — The Coast Guard has stood up a Maritime Transportation System Recovery Unit, Tuesday, in response to rising water levels on the Inland River System that have impacted commercial traffic. The MTSRU is comprised of experts in maritime mobility, incident response and port operations who work with stakeholders to restore the commercial capacity of a waterway following a natural or manmade disruption. As a result of high water in the Inland River System, the Coast Guard has established multiple safety zones and implemented vessel restrictions in several locations. There are no waterway closures at this time. Restrictions are in place to help ensure the safe facilitation of maritime traffic and may vary according to geographic Captain of the Port zones. Information on these restrictions can be found on the Coast Guard’s Homeport site. Mariners are urged... Read More>>> Back to Top | | Vantage Drilling Company (the "Company") (NYSE Amex: VTG.U) (NYSE Amex: VTG) (NYSE Amex: VTG.WS) today announced that it has entered into an agreement with Daewoo Shipbuilding and Marine Engineering Co., Ltd ("DSME") to construct an ultra-deepwater drillship further expanding the Company's ultra-deepwater drilling fleet. The Company plans to name the drillship Tungsten Explorer. The agreement is a fixed price turnkey contract for the construction of the drillship with a scheduled delivery date of May 31, 2013. The cost of the Tungsten Explorer, including all project management, commissioning, spares, pre-delivery crew costs and inventory is estimated to be approximately $580 to $590 million. The Company has also obtained a fixed price option for the purchase of an additional drillship. Tungsten Explorer will be constructed at DSME's shipyard in Okpo, Korea,... Read More>>> Back to Top | | |
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