Jones Act carriers say US protectionist law freely flouted

AMERICAN-flagged Jones Act carriers have told US Congressional committee that foreign-flag operators often slip in and out of coastal waters with cargo and passengers without being stopped.

"These vessels are blatantly ignoring the Jones Act. Worse, the agency charged with enforcing the Jones Act - Customs and Border Protection [CBP] - has failed to live up to its responsibilities," Offshore Marine Service Association (OMSA) president Ken Wells told to the House Subcommittee on Coast Guard and Maritime Transportation.

"We have become very concerned the Jones Act is being degraded and that the numbers of foreign-flag vessels in the offshore energy sector is increasing," he said.

Section 27 of the 1920 Jones Act requires vessels carrying people and cargo from or between US ports in coastal waters to be American-built, owned, operated and crewed, reports American Shipper.

Two years ago OMSA, which represents 250 shipping companies, hired a full-time investigator to track foreign vessels in the offshore energy sector.

OMSA said there were about 85 foreign vessels working in the offshore energy sector on a regular basis. Another 60 foreign vessels have worked in the Gulf Of Mexico in the last few months, according to OMSA, but have since departed.

Mr Wells said both CBP and the Coast Guard lack the tools to adequately track foreign vessels and hold them accountable. OMSA has found cases where foreign vessel operators working in the Gulf routinely shut off their AIS (automatic identification system) transponders, equipment they are required by law to use.

Said Lake Carriers' Association president James Weakley: "Our vessels operate under strict and extensive Coast Guard standards. The regulations enforced by the US Coast Guard are the most demanding in the world. Our vessel operators are highly penalised by their insurance underwriters and by demanding charterers if they attempt to cut corners or run a slipshod operation."
(Source:www.schednet.com)