MarEx Mailbag: Reader Response to Last Weeks MarEx Editorial and one Other
MarEx readers weigh in on last week’s editorial, entitled “State Level Politics: A Dangerous Precedent is Set,” and the piracy situation off the coast of Somalia.
In last week’s edition of the MarEx e-newsletter, our lead editorial lamented the death of a pilot rate bill in Massachusetts and the likely reason(s) why that happened. The drama in the Bay State has been ongoing for more than two years now. We have our opinions and MarEx readers – well, they have theirs, too. Read last week’s editorial by clicking HERE. You can also see what one of our readers thought about the article, as well as a couple of other letters to the editor on a different subject below:
Mr. Keefe,
I read your article on the pay increase hold up for Boston docking pilots. While I don’t begrudge them getting paid as much as they are worth you should go into more details on the reason for being of such an organization within a political structure and subject to the political whims of the Massachusetts legislature for their compensation. In a capitalist society this organization should be privatized and subject to competition. I am not fully familiar with the Boston docking pilots association, but if they were a truly competitive organization within our capitalistic business system, they wouldn’t have to go begging for a raise from politicians. Like other pilots organizations in the country, I am guessing they can justify why they need a monopolistic hold on the services they provide. Public safety and all that. However that knife cuts both ways. I’ve got one msg for them, sometimes you can’t have your cake and eat it too. Open your services up to competition and then we’ll see what the true value of the services should be and the state will be saved from the hassle of dealing with the very few taxpayers who dock ships. Regulation is there to keep private industry in check and set standards. As for the Massachusetts legislature I have another message: You don’t need to own the cow to buy the milk.
Best Regards,
Tim Axelsson
MarEx Editor’s Remarks: This reader’s comments regarding the non-competitive nature of state pilot associations are not new ideas, but they have been addressed over the years by many others who could defend the system far better I could ever hope to do it. I have no horse in that race. In general terms, however, individual states have the right to govern commerce on their own waterways as they see fit. Most choose to run regulated and tightly controlled state pilotage systems that exclude anyone else from providing pilot service on registered (foreign flag) tonnage. In places where DNA can sometimes be the primary qualification for advancement to a pilot’s slot, these arrangements tend to draw a lot of heat. Boston is not one of those places. In fact, the transparent competition process for open slots there has arguably produced a well-qualified pilot group. Now, there aren’t many places where registered tonnage is (or was) guided by an open and competitive system, but one that comes to mind immediately is Long Island Sound. Not too long ago, they (the pilots themselves) dubbed the arrangement there as the “competition days,” and individual pilots competed with each other and with structured pilot groups, as well. It was, by some accounts, a disaster. Pricing wars would produce situations where bidding might take place right up until a particular vessel made arrival. Charles Beck, the Maritime Transportation Manager, Bureau of Aviation and Ports for the State of Connecticut, in 2006 said, “The practice was good for keeping the rates low for shippers, but not necessarily conducive to marine safety.” Could competition work in other places? Maybe – but there doesn’t seem to be too much support for it and the only recent working model for what might transpire if “open market competition” were the rule of the day isn’t very encouraging. At the end of the day, running a pilot service is an expensive adventure, requiring equipment, boats and a myriad of other tools. Periodic rate increases keep pace with inflation, allow for equipment upgrades and repairs and yes, give the pilots a raise from time to time, too. What’s reasonable? I don’t know. But, I am quite sure that ten years in between rate adjustments is probably too long. In Long Island Sound, it took 25 years to get a raise in rates. Beyond this, and in the case of Massachusetts, playing politics with marine safety shows a remarkable lack of common sense and an equal amount of disregard for adequately representing the interests of the citizens of the Commonwealth.
Dear Mr. Keefe,
I am not directly involved in the shipping business, but I do find the piracy situation disturbing. Why wait for the pirates to attack ships under their terms and conditions. It seems to me that there should be a concerted / coordinated international military effort to hit the pirates where they live. With all of the sophisticated electronic equipment / technology available, it should be fairly easy to locate the hijacked vessels (and the pirate vessels) and confront them in their own backyard. I am a firm believer in the old motto “All is fair in love and war” and I would have to consider this is a war. If the intention of these pirates is to commit ”armed robbery” with the intention, since they are armed, of taking lives if necessary, than they should be treated accordingly with all due respect to the Somalian government.
Wayne McConnell
MarEx Editor’s Remarks: Mr. McConnell’s suggestions appear to be similar to the “firming” of international resolve to solve this crisis. There are a lot of potential solutions on the table; we get advisories of all of them. They range from arming the crews, training them to be “security teams,” putting security teams on board, using water cannons and ear-piercing sound barrages and the list goes on. I don’t know what the answer is but I do like last week’s announcement of a “Counter-piracy task force.” Reportedly, naval ships and assets from more than 20 nations comprise the Combined Maritime Forces. U.S. Navy Rear Admiral Terence "Terry" McKnight has been named the commander of the new task force which will be fully operational by the middle of January. Thanks for writing, Wayne. Read on for one more.
Well Joe, it looks like the Navies of the world are finally getting their anti-piracy acts together. First the EU MSC (HOA) center, and now the USN-led CTF-151.
But there has got to be a better way to deal with crime on this maritime street than deploying dozens of warships. Capt. Denham says, “A force of less formidable warships with good sea keeping capability, maneuverability, appropriate weapons and personnel would be more appropriate rather than first line warships; exterminating flies with baseball bats is not effective, however patrol and rotary wing aircraft are essential to provide immediate response and effective surveillance.”
But there is an even less expensive approach that needs to be tried. Just as street crime is deterred by bright illumination and remote cameras, piracy would surely be deterred by the type of broad area persistent airborne active radar surveillance that could detect and track even small craft moving at high speed and report their location and movements to all ships in the area – perhaps through the new EU Maritime Security Center. Surely it would be better to maneuver the target ships away from the pirates, or interdict the pirates at a distance rather than waiting until they climb the pilot ladders (are they really still routinely in place?) or until the mariners hear the clang of RPGs impacting containers.
It would seem that the Nations that are dedicating warships to these law enforcement activities could at least support an experiment along the foregoing lines by deploying enough modern surface surveillance radar equipped aircraft backed up by helo intercepts to provide random coverage with enough persistence to deter the current gangs of thugs.
But perhaps not. Perhaps it is not a prosecutable offence to be caught racing across the Indian Ocean in a small boat with assault weapons at the ready. If not, it should be. Piracy need not become either a drain on the world’s Navies or a rational for bigger Navies.
Happy New Year
Gene Porter
MarEx Editor’s Remarks: Mr. Porter has written into MarEx in the past; more than once. He has his opinions on what should be done. I can’t say that I have any better ideas. Thanks for weighing in, Gene.