ARC adds three U.S.-flag ro/ro vessels to fleet
American Roll-On Roll-Off Carrier has added three U.S.-flag roll-on/roll-off vessels to its fleet.
The company, jointly owned by Oslo-based Wilhelmsen Lines and Wallenius Lines of Stockholm, has operated eight militarily useful ro/ro vessels. The “Courage,” “Honor,” and “Integrity” were officially inducted into ARC’s fleet Thursday.
“These ships represent a $120 million investment by ARC, and bring our total commitment in U.S.-flag ships to over a quarter of a billion dollars,” said Raymond P. Ebeling, chairman and president of ARC, at the dedication ceremony in Baltimore.
Ebeling credits the U.S. government’s Maritime Security Program (MSP), which was initially established by the 1996 Maritime Security Act, and reauthorized and expanded by Congress in 2003, as an important factor in ARC’s ability to operate U.S.-flag vessels.
The initial MSP program provided the government access to 47 militarily useful commercial container and ro/ro ships. MSP participants received a $2.1 million-per-vessel payment from the government to help offset the costs of U.S.-flag vessel operations.
The new MSP program covers 60 ships with an increased payment per ship starting in fiscal 2006 at $2.6 million annually for the next three years, increasing to $3.1 million per ship per year for 2012-2015. Congress placed special emphasis on ro/ro and other non-containerships in the MSP reauthorization.