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Act Waiver

How Difficult is it to Obtain a Jones Act Waiver?

The American Salvage Association’s Jon Waldron provides the ultimate cabotage primer. There always seems to be constant chatter about waiving the Jones Act. In reality, it is a simple task to demystify the thought that it is easy to obtain such waivers. To set the stage, in one of her first press conferences after taking the chairmanship of the Senate Energy Committee, Senator Mary Landrieu exclaimed that “Waiving the Jones Act literally hands over work to foreign shippers.”  The fact that Senator Landrieu’s comments were not directed against any potential waiver of the Jones Act shows the controversy that Jones Act waivers can rise in the maritime and energy sectors.  In reality, however, there exists a misconception amongst many about the ease of obtaining a waiver to the Jones Act.   Accordingly, this article will discuss the requirements for obtaining a waiver, analyze key past Jones Act waivers, and look to possibilities for future Jones Act waivers. Jones Act Waivers in Law and Practice The Jones Act prohibits the “transportation of merchandise by water, or by land and water, between points in the United States . . . either directly or via a foreign port” unless the vessel was built in the United States and is U.S.-owned and registered under the U.S.-flag (commonly called “coastwise vessels”)


MARAD: Jones Act Waiver Reporting Requirements

Maritime Administration Reporting Requirements For The Special Purpose Jones Act Waiver.   Hurricane Sandy Special-Purpose Jones Act Waiver Reports to Maritime Administration as Required by Waiver   On November 2, 2012, the Department of Homeland Security, in consultation with the US Department of Energy and the Maritime Administration, issued a waiver of the Jones Act to allow non U.S.-flagged oil tankers coming from ports in the Gulf Coast Petroleum Administration for Defense


OP/ED: Actions Speak Louder Than Words

Thomas Allegretti, President & CEO of the American Waterways Operators (AWO)

On June 27, I testified on behalf of the American Maritime Partnership (AMP) before the House Coast Guard and Maritime Transportation Subcommittee at a hearing that questioned the Administration’s skirting of the Jones Act during last summer’s Strategic Petroleum Reserve (SPR) drawdown.   Members of Congress were keenly interested in understanding how the Administration authorized waivers for foreign flag ships to carry U.S. oil between U.S


Bill Introduced To Protect American Maritime Jobs

Working to create and preserve American jobs, Congressmen Elijah E. Cummings (D, MD-7) and Jeff Landry (R, LA-3) today introduced the American Mariners Job Protection Act (H.R. 3202), a bill with bipartisan support that will increase government transparency surrounding the issuance of waivers allowing non-Jones Act-qualified vessels to carry cargo between U.S. ports.    Under current law, when the head of the agency responsible for the administration of the Jones Act believes


Task Force Opposes Repeal of Jones Act

The Maritime Cabotage Task Force stated that it opposes legislation to repeal the Jones Act, saying that all the McCain bill would do is put more Americans out of work. “The McCain bill proposes to eliminate the very American industry that is helping to clean up the spill - an industry that supports 500,000 U.S. jobs - and outsource that work to foreign workers and foreign companies registered in nations like Liberia and the Marshall Islands that operate outside of American law


Jones Act Waiver Requested for Skimmers to Gulf

(PRNewsFoto/Allegiance Capital Corporation)

Fred McCallister, an investment banker with Allegiance Capital Corporation, sent a letter to Incident Commander Admiral Thad Allen on June 17 asking for a limited waiver of the Jones Act, to enable 12 to 25 foreign flagged skimmer ships to assist in clean-up efforts in the Gulf. "Many in the Gulf have been calling for this equipment, which can collect 3,500 gallons of oil per hour per vessel from Gulf waters. With estimates now at 2


Senator Landrieu Defends Jones Act

Source: wikimedia.org

The United States should strengthen a century-old law designed to protect the domestic shipping industry, rather than relax it under pressure from the energy industry, the chair of the Senate Energy Committee said on Tuesday.   The 1920 Jones Act restricts the delivery of goods between U.S. ports to ships made in the United States and flying the country's flags.   Mary Landrieu, a Louisiana Democrat, said defending the law is one of her top priorities and cautioned the Obama


Interview: David C. Hanby, Jr., President & COO McDonough Marine

David C. Hanby, Jr., President & COO McDonough Marine

David C. Hanby, Jr., President & COO McDonough Marine shares with readers of MarineLink.com his insights on key market drivers for the coming year.    What legislative/political issue do you count as the most important for the marine industry in the next few years? DH: Effective funding of infrastructure improvements of the waterway facilities our industry depends on to provide efficient, safe, environmentally friendly transportation of our nation's commodities


Jones Act Reform Legislation Reintroduced

Senators Sam Brownback (R-Kan.), Jesse Helms (R-N.C.), Pat Roberts (R-Kan.), Richard Lugar (R-Ind.), Conrad Burns (R-Mont.) and Peter Fitzgerald (R-Ill.) reintroduced legislation (S.1032) designed to reform the U.S.-build requirement of the Jones Act. This bill, similar to the one introduced by Brownback last summer, would allow foreign-built dry- and liquid-bulk oceangoing self-propelled ships over 1,000 tons to ply the U.S. Coastwise trade under U.S. flag. The U.S


Sen. McCain Vows Jones Act will be Repealed

Senator John McCain

  Senator John McCain said a more than 90-year-old law that requires ships servicing coastal businesses to be built and mostly staffed by U.S. crews will be repealed sooner or later if lawmakers keep fighting the trade restriction. Oil refiners, and many manufacturers and state governments oppose the Jones Act, saying the requirement increases costs by blocking shipping by cheaper foreign-built and foreign-flagged vessels.


CMA CGM Intends Offer to Acquire NOL

Following the satisfaction and waiver (as the case may be) of the conditions set forth in the pre-conditional offer announcement dated 7 December 2015, CMA CGM S.A. (CMA CGM), announced its firm intention to make an all-cash voluntary conditional general offer (Offer) for all the outstanding


UASC Completes Award Winning Finance Deal

Photo courtesy of UASC

United Arab Shipping Company (UASC) announced  the recent conclusion of a series of transactions that resulted in the issuance by a U.S. based trust of $162 million of Enhanced Maritime Trust Certificates (EMTC). The EMTCs were issued in an offering pursuant to Section 4(a)(2) and Regulation


Maersk Cuts Landing Certificate Issuance Time

Maersk Line Logo

* Maersk Line will introduce a simplified process for obtaining the Landing Certificates from May 1st , 2016   * Maersk line waives off the  Landing Certificate fee of INR 1000 Mumbai, 25th April, 2016: Maersk Line India has taken a major leap towards simplifying the Landing


AWO President Champions the Jones Act

Tom Allegretti (File photo)

On April 14 in testimony before the Coast Guard and Maritime Transportation Subcommittee of the House Transportation and Infrastructure Committee, Tom Allegretti, President & CEO of The American Waterways Operators (AWO), will press for continued defense of the Jones Act and a uniform federal


Oil Spill Response: Responder Immunity Analyzed

On February 16, 2016, Judge Carl J. Barbier of the United States District Court for the Eastern District of Louisiana granted summary judgment in favor of the various commercial oil spill response companies involved in the federal government’s response to the Deepwater Horizon (DWH) oil


Marad Chief, Coast Guard Commandant Advocate for Jones Act

Coast Guard Commandant Admiral Paul Zukunft  (Photo: U.S. Coast Guard)

Adm. Zukunft: “If you take the mariners away, what is the world going to look like 10 years from now? If we don’t have a US fleet or US shipyard to constitute that fleet, how do we prevail?”   The House subcommittee on Coast Guard and Maritime Transportation held a hearing


K&L's Gorton Stresses Critical Role of Jones Act

Gorton: “Helping plug a porous border is a benefit of the Jones Act that is far too often overlooked and one that should not be underestimated by any presidential candidate.”   A former member of the 9-11 Commission recently wrote in The Hill that an “often


Vessel Discharge Amendment Push Continues

Craig Montesano (Photo: AWO

AWO voices strong opposition to McCain anti-Jones Act amendment   The American Waterways Operators (AWO) is continuing an intensive lobbying campaign to bring the Vessel Incidental Discharge Act (VIDA) to a vote in the Senate and working with the American Maritime Partnership to strenuously


AMP Demands Retraction of Jones Act Report

Tom Allegretti, Chairman of AMP

The American Maritime Partnership (AMP), the voice of the domestic maritime industry, today released a statement in response to the sheer number of factual errors in the recent report published by the Alliance for Innovation and Infrastructure’s (Aii) – Jones Act: Protectionism v


Cyber at Sea: House-Passed Legislation Signals Focus on Maritime Cybersecurity

Image: U.S. House of Representatives

 Recent developments in the United States suggest that cybersecurity of the maritime sector will come under increasing focus in 2016, says Hogan Lovells.   On December 16, 2015, H.R. 3878, “Strengthening Cybersecurity Information Sharing and Coordination in Our Ports Act of


Iran to Step up Production One Week post-Sanctions

Iran will boost its crude oil production within one week once international sanctions are lifted and is determined to regain its lost market share, senior Iranian oil officials reiterated on Monday. Iran will raise production by 500,000 barrels per day in the first week after sanctions are


House Bill Introduced to Block Arctic Drilling

Jared Huffman (Official photo)

Rep. Huffman introduces Stop Arctic Ocean Drilling Act; bill would prohibit oil and gas leasing in the Arctic Ocean   U.S. Congressman Jared Huffman (Dem.-Calif.) introduced a bill Monday called the Stop Arctic Ocean Drilling Act of 2015


UK Chamber Releases Practical Guidance for the Shipping Industry

Photo: UK Chamber of Shipping

 The UK chamber of shipping  has launched "The Bribery Act 2010; Practical Guidance for the Shipping Industry”.    The guidelines will be launched at an event for members and shipping industry professionals as part of London international shipping week


Euronav Acquires $ 750 mi Facility

Euronav secures $750m bank loan

  The Executive Committee of Euronav NV today announced that it has signed a new USD 750 million senior secured amortizing revolving credit facility led by DNB Bank ASA and Nordea Bank Norge ASA acting as Coordinators, Mandated Lead Arrangers and Bookrunners and ABN AMRO Bank NV


Tankers to Require Stability Instruments Starting 2016

Photo: Hanjin Shipping

Lloyd's Register informs that new stability instrument requirements will apply to all tankers constructed (keel laid) on or after January 1, 2016. These ships will be required to fit an approved stability instrument, capable of verifying compliance with intact and damage stability requirements.






 
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