US seaports get vote of confidence

The infrastructure legislation is designed to advance America’s waterways and ports, ensuring the efficient flow of domestic and international commerce, and sets the path for the nearly US$2bn paid by users into the Harbour Maintenance Trust Fund to be used for its intended purpose of maintaining channels by dredging. A total of 34 new projects will be completed over the new 10 years.

One port set to benefit from the recent approval is Savannah, which has called the bill’s passage a critical milestone since.

“This landmark legislation will update an outdated spending cap that was put on the Savannah Harbour deepening project more than a decade ago, eliminating the last legislative hurdle and allowing us to use the money we have set aside to begin construction,” said Curtis Foltz, executive director, Georgia Ports Authority (GPA).

Initial contracts will include dredging to extend the entrance channel from the mouth of the Savannah River by seven miles further in to the Atlantic Ocean.

GPA says the project is so important because it will enable the port to cut transportation costs by an estimated 30% by reducing transit delays for larger, more efficient Post-Panamax vessels.

Once the WRRDA is signed into law, GPA will enter a project partnership agreement (PPA) will the US Army of Corps of Engineers to define how the costs of the project will be shared between the state and federal government.

The bill also authorises new flood control projects for Cedar Rapids, Iowa, and Fargo, North Dakota, and dredging and harbour expansion in Boston. But it also puts an end to US$18bn in dormant projects that Congress had passed before the last round of US$23.3bn in water projects was approved in 2007.

With the average vessel calling on the US East Coast shifting from a capacity of 4,500 teu to around 9,000 teu, the Port of Los Angeles (POLA) has also welcomed the approval and its “important advancement towards a more equitable allocation of harbour maintenance dollars”.

Similarly, the Port Tampa Bay says the long-awaited approval is “critically-needed” to ensure economic health in years to come.

The port says it will now get back on track with a number of projects that have been lagging for years.

“America’s competitive position depends on shipping channels that are adequately dredged to support the delivery of goods in a safe, efficient and cost-effective manner. This new legislation strengthens and accelerates navigation projects, and this is tremendous for our future,” added Paul Anderson, president and CEO of Port Tampa Bay.