By Mark Edward Nero
On March 3, US Congressman John Garamendi (D-CA), the ranking member of the Subcommittee on the Coast Guard and Maritime Transportation, introduced legislation that would require up to 30 percent of exports of strategic energy assets to travel on US-flagged vessels.
HR 1240, the “Energizing American Maritime Act,” is a bipartisan bill co-sponsored by Rep. John Duncan (R-TN) and Rep. Duncan Hunter (R-CA), the ranking member of the Subcommittee on the Coast Guard and Maritime Transportation.
“The state of the American maritime industry is in crisis-level decline,” Garamendi said in a statement announcing the bill. “After World War II, our oceangoing fleet of US-flagged ships numbered 1,200. Today, it’s fewer than 80. This isn’t just an economic concern – it’s also a national security risk.”
“We can’t rely on foreign-flagged vessels to provide the necessary movement of strategic materials in a time of war,” Garamendi said.
The bill has already won the support of members of the domestic maritime industry, including the Seafarers International Union, the Navy League and the Marine Engineers Beneficial Association, as well as the Transportation Institute, which represents US-flagged ship owners and operators.
Each have released statements endorsing the legislation.
“We’re the most powerful nation in the world, but 99 percent of our trade travels on foreign-flagged ships,” Garamendi said. “To develop the kinds of jobs that will keep the American economic engine moving, we need to right this ship and grow America’s maritime sector.”
Tuesday, March 7, 2017
Oldest Ferry in Washington State Sold
By Mark Edward Nero
The 63-year-old Evergreen State, believed to be the oldest ferry in Washington state, has been sold. The vessel was bought by Jones Broadcasting LLC for $300,000, previous owner Washington State Ferries said March 1.
The Evergreen State is one of two state ferries that WSF put up for sale in 2016 and were sold this year. The ferry Hiyu was sold in February to a local business owner who intends to use it as a floating entertainment venue on Lake Union.
According to WSF, which is a division of the Washington State Department of Transportation, the new owners of Evergreen State have said they plan to use the vessel for active ferry service in the southern Caribbean.
Plans are to move the Evergreen State from Washington State Ferries’ Eagle Harbor Maintenance Facility on Bainbridge Island to a temporary Puget Sound moorage later this month. The new owner would then tow the vessel from the Pacific Northwest to Grenada, when the weather improves, likely in early summer.
The 87-car Evergreen State, which has World War II surplus drive motors, carried tens of thousands of passengers and vehicles in Washington State. It was the first of the three Evergreen State-class ferries and served on several routes including Seattle/Bainbridge and the San Juan Islands Interisland routes. It was decommissioned last year.
“The Evergreen State is a special ferry,” WSF Chief of Staff Elizabeth Kosa said. “It was the first vessel custom built for Washington State Ferries in 1954. She served our customers well for six decades, but it is important that she is sold so we can free up dock space and focus maintenance on our current fleet.”
The 63-year-old Evergreen State, believed to be the oldest ferry in Washington state, has been sold. The vessel was bought by Jones Broadcasting LLC for $300,000, previous owner Washington State Ferries said March 1.
The Evergreen State is one of two state ferries that WSF put up for sale in 2016 and were sold this year. The ferry Hiyu was sold in February to a local business owner who intends to use it as a floating entertainment venue on Lake Union.
According to WSF, which is a division of the Washington State Department of Transportation, the new owners of Evergreen State have said they plan to use the vessel for active ferry service in the southern Caribbean.
Plans are to move the Evergreen State from Washington State Ferries’ Eagle Harbor Maintenance Facility on Bainbridge Island to a temporary Puget Sound moorage later this month. The new owner would then tow the vessel from the Pacific Northwest to Grenada, when the weather improves, likely in early summer.
The 87-car Evergreen State, which has World War II surplus drive motors, carried tens of thousands of passengers and vehicles in Washington State. It was the first of the three Evergreen State-class ferries and served on several routes including Seattle/Bainbridge and the San Juan Islands Interisland routes. It was decommissioned last year.
“The Evergreen State is a special ferry,” WSF Chief of Staff Elizabeth Kosa said. “It was the first vessel custom built for Washington State Ferries in 1954. She served our customers well for six decades, but it is important that she is sold so we can free up dock space and focus maintenance on our current fleet.”
NASSCO Delivers Final SEA-Vista Tanker
By Mark Edward Nero
On March 1, Southern California-based shipbuilder General Dynamics NASSCO delivered the Liberty, the third and final ship to be constructed for SEA-Vista LLC as part of a larger eight-ship ECO Class tanker program.
The Liberty is the seventh vessel in an eight-ship ECO Class tanker program for two separate customers, SEA-Vista LLC and American Petroleum Tankers. The eighth ship of the program, the Palmetto State, is scheduled to be christened and launched on March 25 at the NASSCO shipyard in San Diego.
In 2013, NASSCO entered into an agreement with SEA-Vista to design and build three 50,000 deadweight-ton, LNG-conversion-ready product carriers to include a 330,000-barrel cargo capacity each. The 610-foot-long tankers are a new “ECO” design, offering improved fuel efficiency and cleaner shipping options.
Construction of the first of the three ships began in November 2014. The first two ships, the Independence and the Constitution, have been delivered and are servicing the Jones Act trade.
In the past decade, NASSCO has delivered 29 ocean-going ships to government and commercial customers, including the world’s first LNG-powered containerships. In 2015 and 2016, it processed a record 60,000 tons of steel annually, NASSCO says.
On March 1, Southern California-based shipbuilder General Dynamics NASSCO delivered the Liberty, the third and final ship to be constructed for SEA-Vista LLC as part of a larger eight-ship ECO Class tanker program.
The Liberty is the seventh vessel in an eight-ship ECO Class tanker program for two separate customers, SEA-Vista LLC and American Petroleum Tankers. The eighth ship of the program, the Palmetto State, is scheduled to be christened and launched on March 25 at the NASSCO shipyard in San Diego.
In 2013, NASSCO entered into an agreement with SEA-Vista to design and build three 50,000 deadweight-ton, LNG-conversion-ready product carriers to include a 330,000-barrel cargo capacity each. The 610-foot-long tankers are a new “ECO” design, offering improved fuel efficiency and cleaner shipping options.
Construction of the first of the three ships began in November 2014. The first two ships, the Independence and the Constitution, have been delivered and are servicing the Jones Act trade.
In the past decade, NASSCO has delivered 29 ocean-going ships to government and commercial customers, including the world’s first LNG-powered containerships. In 2015 and 2016, it processed a record 60,000 tons of steel annually, NASSCO says.
Oakland Container Terminal Lauded By Trucking Industry
By Mark Edward Nero
California’s trucking industry has honored a Port of Oakland marine terminal for taking steps to help ease the state’s containerized cargo crunch.
During an event last week, Oakland International Container Terminal received the first-ever Terminal Recognition Award for opening its gates at night.
The California and Harbor trucking associations presented the honor at a conference in Long Beach. The organizations also recognized Long Beach Container Terminal and Yusen Terminals of Los Angeles.
The associations said they presented the awards to recognize improvements in seaport efficiency. “The Oakland program was an example of a win-win situation between marine terminal operators and truckers,” said Peter Schneider, Chair of the California Trucking Association’s Northern California Intermodal Conference.
Oakland International Container Terminal is the largest of four marine terminals in Oakland; it processes about 70 percent of the port’s cargo volume. The terminal opened night gates to truckers beginning last summer to try easing daytime crowding. It was the first terminal in the harbor to extend operations beyond traditional 8-to-5 hours.
According to port data, the change has reduced average transaction times by 40 percent.
“We’ve fundamentally changed the way we do business in Oakland,” the port’s maritime director, John Driscoll, said. “Partners like Oakland International Container Terminal are key to the transformation and we’re pleased that they’re being recognized for their leadership.”
California’s trucking industry has honored a Port of Oakland marine terminal for taking steps to help ease the state’s containerized cargo crunch.
During an event last week, Oakland International Container Terminal received the first-ever Terminal Recognition Award for opening its gates at night.
The California and Harbor trucking associations presented the honor at a conference in Long Beach. The organizations also recognized Long Beach Container Terminal and Yusen Terminals of Los Angeles.
The associations said they presented the awards to recognize improvements in seaport efficiency. “The Oakland program was an example of a win-win situation between marine terminal operators and truckers,” said Peter Schneider, Chair of the California Trucking Association’s Northern California Intermodal Conference.
Oakland International Container Terminal is the largest of four marine terminals in Oakland; it processes about 70 percent of the port’s cargo volume. The terminal opened night gates to truckers beginning last summer to try easing daytime crowding. It was the first terminal in the harbor to extend operations beyond traditional 8-to-5 hours.
According to port data, the change has reduced average transaction times by 40 percent.
“We’ve fundamentally changed the way we do business in Oakland,” the port’s maritime director, John Driscoll, said. “Partners like Oakland International Container Terminal are key to the transformation and we’re pleased that they’re being recognized for their leadership.”
Friday, March 3, 2017
Harley Welcomes 1st Tier 4 Tractor Tug
By Mark Edward Nero
Harley Marine Services said Feb. 28 that it has accepted delivery of its newest tractor tug, Earl W Redd, which will enter service along the US West Coast.
The first-of-its-kind, the Earl W Redd is equipped with Caterpillar’s Tier 4 emissions technology and enters Harley’s fleet as one of the more efficient and environmentally conscious vessels in service by not only meeting but exceed the toughest marine EPA standards.
Built at Diversified Marine of Portland, Oregon, the Earl W Redd measures 120 feet by 35 feet, with a loaded draft of 19 feet three inches. The tug features twin Cat 3516 Tier 4 Final main engines, each producing 2,675 horsepower at 1,600 rpm.
Each of the engines is paired with a selective catalytic reduction (SCR) after treatment system. SCR uses a urea-based solution to reduce NOx contained in diesel exhaust down to nitrogen and water vapor. Harley says the main engines will be paired with Rolls Royce US 255-P30-FP azimuth thrusters delivering an expected bollard pull capability of 75 tons.
The tug has a fuel capacity of 127,000 gallons and can carry 6,534 gallons of water, 1,137 gallons of lube oil, 1,263 gallons of hydraulic oil and 8,200 gallons of diesel exhaust urea. It also features tow and bow winches by Markey and fendering by Schuyler. The bow winch is designed for ship handling and escort services. Auxiliary power comes from John Deere 125kW generators.
The vessel is named after the father of Diversified Marine’s owner, Kurt Redd. Earl worked for Hyster and US Steel, before landing with Harder Mechanical Contractors, where he retired at 70. After retirement, Earl became part of the Diversified team, where he was a strong presence for the remaining 25 years of his life. Earl Redd died in September 2015 at the age of 96.
Harley Marine Services said Feb. 28 that it has accepted delivery of its newest tractor tug, Earl W Redd, which will enter service along the US West Coast.
The first-of-its-kind, the Earl W Redd is equipped with Caterpillar’s Tier 4 emissions technology and enters Harley’s fleet as one of the more efficient and environmentally conscious vessels in service by not only meeting but exceed the toughest marine EPA standards.
Built at Diversified Marine of Portland, Oregon, the Earl W Redd measures 120 feet by 35 feet, with a loaded draft of 19 feet three inches. The tug features twin Cat 3516 Tier 4 Final main engines, each producing 2,675 horsepower at 1,600 rpm.
Each of the engines is paired with a selective catalytic reduction (SCR) after treatment system. SCR uses a urea-based solution to reduce NOx contained in diesel exhaust down to nitrogen and water vapor. Harley says the main engines will be paired with Rolls Royce US 255-P30-FP azimuth thrusters delivering an expected bollard pull capability of 75 tons.
The tug has a fuel capacity of 127,000 gallons and can carry 6,534 gallons of water, 1,137 gallons of lube oil, 1,263 gallons of hydraulic oil and 8,200 gallons of diesel exhaust urea. It also features tow and bow winches by Markey and fendering by Schuyler. The bow winch is designed for ship handling and escort services. Auxiliary power comes from John Deere 125kW generators.
The vessel is named after the father of Diversified Marine’s owner, Kurt Redd. Earl worked for Hyster and US Steel, before landing with Harder Mechanical Contractors, where he retired at 70. After retirement, Earl became part of the Diversified team, where he was a strong presence for the remaining 25 years of his life. Earl Redd died in September 2015 at the age of 96.
ICTSI, Port of Portland Terminating 25-Year Lease
By Mark Edward Nero
Port management company ICTSI Oregon and the Port of Portland said Feb. 27 that they’ve mutually agreed to terminate a 25-year lease that the two sides entered into just seven years ago.
The agreement, pending Port Commission approval, allows ICTSI Oregon to be relieved of its long-term lease obligations regarding operation of the container facility at Portland’s Terminal 6, effective March 31. In exchange, the port is expected to receive $11.45 million in compensation to rebuild business, as well as additional container handling equipment, spare parts and tools at the terminal.
Portland signed a lease with ICTSI Oregon in 2010 in attempt to ensure a long-term funding mechanism for Oregon’s only deep draft international container terminal, but Terminal 6 has been hampered by labor problems in recent years, with the International Longshore & Warehouse Union allegedly using work slowdowns and stoppages as a tactic during a jurisdiction battle between it and an electricians union that dates back over five years.
The ILWU has said the work disruptions have been due to pay disputes and associated grievances. As a result of the issues, two shipping companies, Hapag-Lloyd and Hanjin Shipping, pulled out of calling at Terminal 6. Hanjin at the time represented 75 percent of the terminal’s traffic.
“Small businesses, farmers, agricultural producers, shippers and communities throughout the Columbia River region deserve and need a fully-functioning container terminal,” ICTSI Oregon CEO Elvis Ganda said. “Hopefully, this agreement with the port will make it possible for business to return to the terminal more quickly.”
“However,” he said, “ICTSI Oregon will continue to address the labor issues that gave rise to its decision to enter into this agreement and will pursue its legal claims against the ILWU.”
Port Executive Director Bill Wyatt said the lease termination was the best opportunity to launch a new strategy to restore carrier service for Oregon and Northwest shippers.
“While the global carrier industry continues to undergo rapid change, we now have a new path to redefine our future in this business and launch new strategies to bring the terminal back to life,” he said in a statement.
The port says it plans to engage with a broad range of stakeholders including ocean carriers, shippers, railroads, truckers, barge operators, terminal operators and labor to create a new plan to bring business back to the terminal.
Port management company ICTSI Oregon and the Port of Portland said Feb. 27 that they’ve mutually agreed to terminate a 25-year lease that the two sides entered into just seven years ago.
The agreement, pending Port Commission approval, allows ICTSI Oregon to be relieved of its long-term lease obligations regarding operation of the container facility at Portland’s Terminal 6, effective March 31. In exchange, the port is expected to receive $11.45 million in compensation to rebuild business, as well as additional container handling equipment, spare parts and tools at the terminal.
Portland signed a lease with ICTSI Oregon in 2010 in attempt to ensure a long-term funding mechanism for Oregon’s only deep draft international container terminal, but Terminal 6 has been hampered by labor problems in recent years, with the International Longshore & Warehouse Union allegedly using work slowdowns and stoppages as a tactic during a jurisdiction battle between it and an electricians union that dates back over five years.
The ILWU has said the work disruptions have been due to pay disputes and associated grievances. As a result of the issues, two shipping companies, Hapag-Lloyd and Hanjin Shipping, pulled out of calling at Terminal 6. Hanjin at the time represented 75 percent of the terminal’s traffic.
“Small businesses, farmers, agricultural producers, shippers and communities throughout the Columbia River region deserve and need a fully-functioning container terminal,” ICTSI Oregon CEO Elvis Ganda said. “Hopefully, this agreement with the port will make it possible for business to return to the terminal more quickly.”
“However,” he said, “ICTSI Oregon will continue to address the labor issues that gave rise to its decision to enter into this agreement and will pursue its legal claims against the ILWU.”
Port Executive Director Bill Wyatt said the lease termination was the best opportunity to launch a new strategy to restore carrier service for Oregon and Northwest shippers.
“While the global carrier industry continues to undergo rapid change, we now have a new path to redefine our future in this business and launch new strategies to bring the terminal back to life,” he said in a statement.
The port says it plans to engage with a broad range of stakeholders including ocean carriers, shippers, railroads, truckers, barge operators, terminal operators and labor to create a new plan to bring business back to the terminal.
Annual Trade at Port of Vancouver Dips Slightly
By Mark Edward Nero
Overall volume at the Port of Vancouver, British Columbia, dipped slightly to 136 million tons of cargo in 2016, down 1.8 percent from 2015, per newly released data.
However, sectors experiencing declines were offset by others that hit new records, including the bulk grain sector, the port said Feb. 28.
“One of our biggest strengths has been, and continues to be, the port’s ability to accommodate the most diversified range of cargo of any port in North America,” Port of Vancouver President and CEO Robin Silvester said in a statement. “Since 2013, the Port of Vancouver has experienced its fourth consecutive year of traffic volumes over 135 million tons, despite global economic downturns.”
2016 marked the Port of Vancouver’s third consecutive year of record volumes in bulk grain and its fifth year of an upward trend. Bulk grain export volumes through the port increased 1.3 percent from 2015, to reach 21.8 million metric tons in 2016.
Record bulk grain exports were driven by higher volumes of canola and specialty crop exports, which are up about 19 percent and nearly 18 percent, respectively. The growth was offset, however, by a 16.4 percent weather-related decrease in wheat exports.
Port data also show that containerized exports rose by 3.3 percent due to growth in woodpulp, grain and food and agri-product shipments. But that increase was offset by a 2.4 percent decline in loaded import containers, partly due, Vancouver says, to the return of some traffic to U.S. West Coast ports after their 2015 labor dispute. This led to a flat result in overall laden container volumes for 2016.
The weak Canadian dollar and a slowdown in industry investment and development activity in western Canada showed in a 17.2 percent decline in metal and project cargo imports in 2016, while a 22 percent drop in breakbulk lumber and wood pulp also contributed to a decline in overall import and export breakbulk volumes, according to port data.
Additionally, overall coal volumes were down by 6.1 percent in 2016, due to a 28.2 per cent decrease in thermal coal exports.
The port’s cruise industry experienced stable growth in 2016, as the port welcomed 228 cruise ships and 826,820 passengers compared to 805,400 passengers in 2015, an increase of three percent.
Overall volume at the Port of Vancouver, British Columbia, dipped slightly to 136 million tons of cargo in 2016, down 1.8 percent from 2015, per newly released data.
However, sectors experiencing declines were offset by others that hit new records, including the bulk grain sector, the port said Feb. 28.
“One of our biggest strengths has been, and continues to be, the port’s ability to accommodate the most diversified range of cargo of any port in North America,” Port of Vancouver President and CEO Robin Silvester said in a statement. “Since 2013, the Port of Vancouver has experienced its fourth consecutive year of traffic volumes over 135 million tons, despite global economic downturns.”
2016 marked the Port of Vancouver’s third consecutive year of record volumes in bulk grain and its fifth year of an upward trend. Bulk grain export volumes through the port increased 1.3 percent from 2015, to reach 21.8 million metric tons in 2016.
Record bulk grain exports were driven by higher volumes of canola and specialty crop exports, which are up about 19 percent and nearly 18 percent, respectively. The growth was offset, however, by a 16.4 percent weather-related decrease in wheat exports.
Port data also show that containerized exports rose by 3.3 percent due to growth in woodpulp, grain and food and agri-product shipments. But that increase was offset by a 2.4 percent decline in loaded import containers, partly due, Vancouver says, to the return of some traffic to U.S. West Coast ports after their 2015 labor dispute. This led to a flat result in overall laden container volumes for 2016.
The weak Canadian dollar and a slowdown in industry investment and development activity in western Canada showed in a 17.2 percent decline in metal and project cargo imports in 2016, while a 22 percent drop in breakbulk lumber and wood pulp also contributed to a decline in overall import and export breakbulk volumes, according to port data.
Additionally, overall coal volumes were down by 6.1 percent in 2016, due to a 28.2 per cent decrease in thermal coal exports.
The port’s cruise industry experienced stable growth in 2016, as the port welcomed 228 cruise ships and 826,820 passengers compared to 805,400 passengers in 2015, an increase of three percent.
