MarEx Mailbag: Reader Response to Last Weeks E-newsletter
MarEx readers weigh in on last week’s lead editorial and an article addressing the scourge of modern day pirates. In last week’s edition of the MarEx e-newsletter, our lead editorial focused on the impact of oil price volatility on the maritime industry. Inspired, partly, from a joint Kings Point / Propeller Club luncheon attended in Washington, DC during the previous week, we made the point that the dropping price of bunkers won’t matter much if the price of crude oil drops below that which oil and gas operators can make a buck while getting out of a deepwater lease. In that case, a good percentage of the U.S. merchant fleet is going to be laid up. Read the editorial entitled, The Impact of Oil Price Volatility on the Maritime Industry: A double-edged sword, by clicking HERE. You can also read what one reader thought about the article:
Joe: I read with interest your bunker and workboat story. It is akin to a taxi driver being thrilled by the fact that gas is almost free, but confounded to no end because everybody is now taking the bus. Spiro G. Vassilopoulos MarEx Editor’s Note: Spiro is a loyal MarEx reader, sometimes a contributor and at one time, the subject of a Maritime Executive feature article. He has deep roots in the oil and gas industries. It is always good to hear from him. Thanks for weighing in, Spiro. The next letter refers to a contributed article from Stuart Flynn, vice president business development at global maritime security service provider, Securewest International, who weighed in on the all-important question of how to best combat piracy and further protect vulnerable commercial maritime assets. His article, entitled,
Joe: Seven ships in twelve days and now a supertanker? And the only actions that seem to be discussed are more patrol craft with binoculars and armed guards on the ships. Ridiculous!! What is needed is some old fashioned persistent maritime domain awareness (MDA). Elevated radars and AIS receivers coupled to a coordination post that can direct the patrol craft to intercept and inspect suspicious contacts before they come near a potential target. Surely the money now going to higher insurance costs, ransom payments and rerouting schemes could be pooled to pay for such a regional MDA and response posture that would put paid to this problem in short order. After all, Singapore seems to already be quite successful with such measures. A start would be for the US to demonstrate the feasibility of such a scheme in that theatre, perhaps using CBP Air and Marine’s state of the art capabilities to jump start such a plan. Gene Porter Nashua NH MarEx Editor’s Remarks: This MarEx reader also weighs in from time to time with some cogent observations. I’ll play devil’s advocate here for a minute, however, and put forth another point of view. It would indeed be nice if the United States put forth some time, talent, treasure and boots on the ground (boats in the water) to combat the brazen and growing scourge of piracy. America, however, is already stretched ultra-thin in its “policeman” roles in a hundred other spots around the globe. You can argue that a good portion of those U.S. assets are not being properly allocated in a few notable places, but not that we do not have our hands full – right or wrong – already. This is one of those times that I sit back and watch to see what the International community does. Will they step up and take a proper role? Is this not the time to do so? If not now, then when? I see that several countries have assets in the area. Good for them. Given the fact that the vast majority of the world’s merchant fleet is registered somewhere else than the United States – and crewed by a myriad of nationalities – it makes some sense that this should be an international effort. On the other hand, I’m sure someone else will point out that while those vessels may in fact be registered elsewhere, a good chunk of them are owned by U.S. companies. In any event, this is one time that the United States does not necessarily have to take the lead role. That’s my story, and I’m sticking to it.