Impact of Potential Mississippi River Closure Revised

press rlease
Wednesday, January 02, 2013
Tom Allegretti, AWO’s President & CEO.

Effective Shutdown of Nation’s Busiest Water Transportation Artery Looms Between Early- to Mid-January. 

 

The American Waterways Operators (AWO) and Waterways Council, Inc. (WCI) have released revised data on the economic impact of an effective shutdown of the Mississippi River to barge traffic in the month of January. Earlier data had examined the impacts between December and January. The U.S. Army Corps of Engineers’ latest weather and water forecast for the Mississippi River near Thebes, Illinois, south of St. Louis, where rock pinnacle removal work is taking place, suggests that commerce on the Mississippi River could come to an effective halt between January 5 and 15 when the required 9-foot draft will fall to an 8-foot draft. The majority of towboats require a 9-foot draft to operate and only a very small number of towing vessels can operate at 8- or 7-foot drafts.

 

Stakeholders continue to urge the Administration to release a minimal amount of water from Missouri River reservoirs (an additional 4,000 cfs or 1% of current storage in the reservoir system) to avert this effective shutdown of the Mississippi River to barge transportation. While the Corps and the U.S. Coast Guard have said that they will not officially close the river, falling water levels and a lack of sustained water will preclude navigation because towboats will be physically unable to transit the area between St. Louis and Cairo, Illinois.

 

The economic data indicates that in January alone (January 7-31), the potential supply-chain disruption in Mississippi River states could affect more than 8,000 jobs, more than $54 million in wages and benefits, as well as 7.2 million tons of commodities valued at $2.8 billion. This does not take into account the uncertainty in the supply chain that affected operations during the month of December or any potential economic impacts that will extend into February if the nation's waterborne superhighway effectively comes to a halt.

 

“The uncertainty of this deteriorating situation for the nation’s shippers is having as much of an impact as the lack of water itself,” said Michael J. Toohey, WCI’s President & CEO. “The Administration must direct the Corps to release enough water to sustain navigation on the Mississippi River now or time will have run out and an effective shutdown could remain in place for weeks,” he continued.  

 

“As these new economic numbers clearly indicate, our nation’s shippers, farmers, manufacturers, operators, and consumers, and working Americans with jobs now at risk, will be hard hit in the first month of the New Year unless water is provided now to avert a shutdown,” said Tom Allegretti, AWO’s President & CEO. “Halting waterborne commerce and exports during the busiest period for agriculture shipping will have impacts on the entire nation.  We continue to urge the White House to authorize the release of additional water immediately to maintain navigation on the country’s most important waterway.”

Maritime Reporter August 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Tanker Trends

For Europe's LNG Ports, Russia Gas Fears and US Exporters Buoy Demand

Gas buyers nervous of Russia cutting supply are helping solve Europe's problem of too many underused liquefied natural gas (LNG) terminals, as they seek space at France's Dunkirk plant.

Buckeye Pipeline Quietly Makes Key Acquisition

Houston-based logistic firm Buckeye Partners has spent more than $3.5 billion buying assets since 2010, transforming itself from a quiet regional pipeline utility into an emerging energy powerhouse.

Scorpio Tankers Receive 7 More Newbuildings

Scorpio Tankers Inc. say it has recently taken delivery of seven newbuilding vessels as follows: STI Madison and STI Park, LR2 product tankers, were delivered

Bulk Carrier Trends

Ferus Smit Building LNG Powered Cement Carrier

The first unique LNG powered ship that Ferus Smit has on order for Erik Thun A.B. will be built and equipped as a dedicated cement carrier. The ship will be delivered to the joint venture JT cement,

Scorpio Bulkers Upsizes Public Offering

Scorpio Bulkers Inc. announced today that it has further upsized and priced its previously announced offering of senior unsecured notes due 2019 in a registered public offering.

Sharp Slowdown in China Industrial Activity

The slowdown in Chinese industrial production growth ads to the existing concerns that China is going through challenging times, as Beijing aims for a soft landing and a transition of the economy,

Ports

PierPass' New President Responsible for Ports of LA & Long Beach

New president John Cushing’s role gives him responsibility for PierPass programs to relieve congestion and improve air quality at the Ports of Los Angeles and Long Beach.

Environmental Attorney Joins Long Beach Harbor Commission

Environmental attorney and Long Beach resident Tracy Egoscue joined the Long Beach Board of Harbor Commissioners on Tuesday as the first Commissioner appointed by newly elected Mayor Robert Garcia.

DP World & Hutchison Port Holdings to Combat Global Warming

In an unprecedented show of commitment for an environmental cause, DP World and Hutchison Port Holdings Limited (HPH) have joined hands to combat global warming

Navigation

New e-Navigation Technologies from Transas

Transas Marine introduced new software solutions for voyage planning and fleet management at SMM 2014 as a step towards becoming the forerunner in the development of e-Navigation technologies.

Bulgarian Naval Academy Installs VSTEP Simulators

The Nikola Vaptsarov Naval Academy in Varna purchased a 360° Class A Full Mission Bridge simulator and an Incident Management Simulator for training of its Naval and Merchant marine students.

Maritime Academy Awarded DHS Grant for Arctic Training

Maine Maritime Academy receives $450,000 grant From U.S. Department of Homeland Security for ice navigation and maritime first responder courses for the Arctic Maine

Dredging

Sacramento & Stockton Ship Channel Dredge Contract for Ross Sand & Gravel

The US Department of Defense inform that Ross Sand and Gravel, Portland, Oregon, has been awarded a US$24,000,000 firm-fixed-price contract for maintenance dredging

Tanzania Receives $565m to Expand Port

Tanzania signed a $565 million deal on Friday with the World Bank and other development partners to expand its main port of Dar es Salaam, part of plans to boost

DOT Awards Grant for Rehabilitation of Wando Welch Terminal

Demand Demonstrates Need for Greater Transportation Investment through GROW AMERICA Act U.S. Transportation Secretary Anthony Foxx today announced a $10.8 million

Coast Guard

USCG in Search of Missing Man in Lake Michigan

The Coast Guard is searching for a man who went missing on Lake Michigan, Tuesday. Missing is 48-year-old Joseph Kiehm from Milwaukee. Kiehm was last seen aboard his 26-foot white sailboat,

Lake Charles Tugboat Engine Room Fire Extinguished

The Coast Guard informs that along with the Black Bayou Fire Department it has responded to a tugboat on fire near Lake Charles, Louisiana. At approximately 1:15 p.

Maritime Academy Awarded DHS Grant for Arctic Training

Maine Maritime Academy receives $450,000 grant From U.S. Department of Homeland Security for ice navigation and maritime first responder courses for the Arctic Maine

Maritime Safety

MNZ Inspectors Board Fishing Vessels Off South Island

A joint operation by Maritime New Zealand (MNZ) and the New Zealand Defence Force – Operation Moana – has seen 16 fishing vessels operating off the west coast of

USCG in Search of Missing Man in Lake Michigan

The Coast Guard is searching for a man who went missing on Lake Michigan, Tuesday. Missing is 48-year-old Joseph Kiehm from Milwaukee. Kiehm was last seen aboard his 26-foot white sailboat,

Ebola & the Shipping Industry: Latest McQuilling Analysis

Although the Ebola epidemic has remained predominantly in West Africa, fears about the virus have spread globally and it is becoming a cause for concern in the transportation industry.

Logistics

Australian Navy Delivers Solomon Island Supplies

Two Royal Australian Navy landing craft have delivered vital supplies to remote communities in Solomon Islands as part of Australia’s commitment to provide support to the region.

Maersk Sees US Approval of Shipping Alliance as Formality

U.S. regulatory approval of a proposed shipping alliance involving AP Moeller Maersk should be a formality, the Danish company's chief executive said on Wednesday.

Buckeye Pipeline Quietly Makes Key Acquisition

Houston-based logistic firm Buckeye Partners has spent more than $3.5 billion buying assets since 2010, transforming itself from a quiet regional pipeline utility into an emerging energy powerhouse.

 
 
Maritime Contracts Maritime Security Maritime Standards Naval Architecture Navigation Pod Propulsion Port Authority Ship Electronics Ship Repair Ship Simulators
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1765 sec (6 req/sec)