Raymond: Explore short-sea now or face intermodal crisis
Short-sea shipping is a necessary solution to the “impending intermodal congestion crisis” facing the United States, said Charles G. Raymond, chairman, president and chief executive officer of Jones Act carrier Horizon Lines.
Raymond pointed out that the nation’s container imports are expected to double to more than 30 million TEUs next decade. “It is no longer a question of if our nation’s transport infrastructure will start to fail, but when,” he said Tuesday at the JOC Short Sea Shipping Conference in Orlando, Fla. “Short sea is not the only answer, but an answer we must explore now.”
Raymond said short-sea services would alleviate the burden from congested ports to ready ports with available capacity such as Wilmington, N.C.; Philadelphia, Pa.; and Jacksonville, Fla.
“This is sustainable development. This is the win-win,” Raymond said. “We grow the industry. We improve the economy. And we use ocean transportation to protect the environment. Ocean shipping continues to be the most environmentally sensitive and cost-efficient mode of transportation. Let’s use it.”
Horizon Lines is adding new ships to its fleet this year, freeing up vessels that could be used from next year to launch short-sea shipping services on the U.S. East and Gulf coasts.
Raymond added that for new short-sea services to emerge, lawmakers and agencies must address regulatory issues including changes to the Harbor Maintenance Tax and Title XI and Capital Construction Fund rules.