Transcript power point
THE JONES ACT: A COMMERCIAL AND PUBLIC POLICY SUCCESS International Propeller Club of the United States RIVERS OF TRADE: LINKING AMERICA'S HEARTLAND TO THE WORLD Darrell Conner Government Affairs Counselor, K&L Gates LLP [email protected] Phone: 202-661-6220 A Commercial & Public Policy Success AMERICAN MARITIME PARTNERSHIP 2 Economic Impact AMERICAN MARITIME PARTNERSHIP 3 National Security “It is the sense of Congress that United States coastwise trade laws promote a strong domestic trade maritime industry, which supports the national security and economic vitality of the United States and the efficient operation of the United States transportation system.” AMERICAN MARITIME PARTNERSHIP 4 Homeland Security “The task of securing U.S. seaports and foreign cargoes is daunting by itself. …Were the Jones Act not in existence, DHS would be confronted by the difficult and very costly task of monitoring, regulating, and overseeing all foreigncontrolled, foreign-crewed vessels in internal U.S. waters.” Dr. Daniel Goure, October 2011 AMERICAN MARITIME PARTNERSHIP 5 Domestic Industry Growing Crude oil revolution continues to explode AMERICAN MARITIME PARTNERSHIP 6 Changing Transportation Needs “What has happened in shale plays across the country has stood the transportation network on its ear.” Richard Kinder CEO and Chairman of the Board AMERICAN MARITIME PARTNERSHIP 7 Significant Increases in CBR 2012 2013 2011 2010 2009 2008 AMERICAN MARITIME PARTNERSHIP 8 New Opportunities Gulf to USAC Mbbls Midwest to Gulf Mbbls 9000 40000 8000 35000 7000 30000 6000 25000 5000 20000 4000 15000 3000 10000 2000 5000 1000 0 0 2008 2009 2010 2011 2012 2013 2008 2009 2010 2011 2012 2013 Source: EIA AMERICAN MARITIME PARTNERSHIP 9 Shipbuilding Boom AMERICAN MARITIME PARTNERSHIP 10 Tanker/ATB Construction Surge Carrier Shipyard Order SeaRiver Maritime, Inc. Aker Philadelphia Two 115,000 DWT product tankers American Petroleum Tankers General Dynamics NASSCO Five 50,000 DWT LNG-conversion-ready product tankers with 330,000 barrel capacity Aker Philadelphia Four 50,000 DWT product tankers with 330,000 barrel capacity 2015/2017 Seabulk Tankers, Inc. General Dynamics NASSCO Three 50,000 DWT product tankers with 330,000 barrel capacity 2015 Bouchard Transportation Co., Inc. VT Halter Marine, Inc. 2015 Kirby Offshore Marine Gunderson Marine Moran Towing Corp. Bay Shipbuilding Company Two 150,000 barrel and one 110,000 barrel capacity articulated tug barges Donjon Shipbuilding One 185,000 barrel capacity articulated tug barge Aker Philadelphia Two 50,000 DWT LNG-conversion- ready product tankers Crowley Maritime Corp. Seabulk Tankers, Inc. Philly Tankers Kirby Corporation Two 250,000 barrel capacity articulated tug barges Two 185,000 barrel capacity articulated oceangoing oil and chemical tank barge Bay Shipbuilding Company Two 155,000 barrel capacity articulated oceangoing oil and chemical tank barge AMERICAN MARITIME PARTNERSHIP Est. Delivery 2014 2015 2015 2015 2016 2016/2017 2016/2017 11 Inland Tank Barges In 2013, 336 inland tank barges were delivered, collectively adding 8,210,500 barrels of capacity. Number of Vessels Recent Deliveries by Year # Delivered in 2013 Capacity (bbls) 400 241 30,000 300 1 20,000 1 17,500 1 17,000 100 1 16,000 0 91 10,000 200 2011 2012 AMERICAN MARITIME PARTNERSHIP 2013 12 The Big Myth Comparing Foreign Flag to U.S. Flag Vessels is Comparing Apples to Oranges! Governed by Domestic Laws Governed by Flag State DOMESTIC INTERNATIONAL AMERICAN MARITIME PARTNERSHIP 13 Jones Act Support Runs Deep “This is a very exciting time for American maritime…I appreciate the many benefits of Jones Act and this vibrant homegrown American industry.” – House Transportation Committee Chairman Bill Shuster (RPennsylvania). AMERICAN MARITIME PARTNERSHIP “My boss is on the record supporting the Jones Act, and so am I,” Transportation Secretary Anthony Foxx 14 A Public Policy Success Supports U.S. economic, homeland and national security at no cost to government Ensures domestic defense shipyard industrial base Sustains a pool of skilled mariners essential to national security AMERICAN MARITIME PARTNERSHIP 15 American Maritime Today AMERICAN MARITIME PARTNERSHIP 16 QUESTIONS Darrell Conner Government Affairs Counselor [email protected] Phone: 202-661-6220