LR CEO on UK's Reckless Attitude Towards Its Shipping Industry

Press Release
Monday, October 29, 2012

Keynote speech by Richard Sadler, CEO Lloyd’s Register, at the annual Donaldson Lecture to the Lloyd’s Market Association.

Extracts from the speech follow:

"I have always been fascinated by the assertion of Martin Stopford, the respected Clarkson analyst, that merchant shipping is the biggest poker game in the world. Since hearing it, I increasingly believe that working out the odds of ensuring consistent prosperity is so difficult that it is more like the game of roulette.

In roulette, the odds are designed so that, over time immemorial, the punters will always lose 5.28 cents of every dollar they wager. Let’s hope shipping proves a better bet.

As an island society, we are almost totally dependent upon maritime transport for food and energy supplies. Could there be two more critical commodities?

Forty per cent of the food we consume is imported and, since 2004, the UK has been a net-importer of the energy we need to keep our families warm and our businesses thriving. The trend towards import dependence is growing.

Despite slowing demand for petrol, our dependency on oil and petroleum product imports continues to grow at pace: according to second quarter DECC statistics, we imported 5.5 million tonnes more of those products than we exported, compared with just 3.4 million tonnes a year ago, or a comparative growth of 62% in one year.

This growing dependence on imports is, as I have said, coinciding with an unprecedented erosion of our maritime capabilities, making us captive to the nations who deliver the basic commodities we must have.

Does that sound like a sensible gamble to you … or a reckless punt on a longshot?




 

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

People & Company News

Aftermath of Scotland Independence Referendum: Platten Speculates

After the referendum debate on Scottish independence Guy Platten, Chief Executive Officer of the UK Chamber of Shipping has called for the divisions created by the campaign to be healed.

Impact of CITGO Oil Refineries Sale: Analysis

A sale of Venezuelan state oil company PDVSA’s Citgo refining assets could dramatically change crude oil flows: Poten & Partners consider the outcomes in their latest 'Tanker Opinion'.

MSC Award Two Time Charter Contract Modifications

The US Department of Defense informs that Offshore Service Vessels, Inc., and Sealift, Inc., have each been awarded time charter option extensions by the US Navy's

People in the News

Aftermath of Scotland Independence Referendum: Platten Speculates

After the referendum debate on Scottish independence Guy Platten, Chief Executive Officer of the UK Chamber of Shipping has called for the divisions created by the campaign to be healed.

U.S. to Join Anti-Piracy Organization: USCG Admiral on Council

The USCG informs that the U.S. is due to become the 20th nation to join the Regional Cooperation Agreement on Combating Piracy and Armed Robbery against Ships in Asia (ReCAAP),

Transocean's Chairman Designate 2015 Named

Transocean Ltd. informs that at its recent Extraordinary General Meeting Merrill A. "Pete" Miller, Jr. was nominated as a director and the Board intends to designate him as vice-chairman,

 
 
Maritime Careers / Shipboard Positions Maritime Security Navigation Offshore Oil Pipelines Pod Propulsion Port Authority Salvage Ship Simulators Winch
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: 0.0926 sec (11 req/sec)