Canadian politicians/stakeholders see benefits from U.S. lock project
Posted By BOB MIHELL
Tuesday, January 13, 2009
Sault St Marie This Week
Politicians from Sault Canada, Essar Steel Algoma, and the vice-president of the Canadian Shipowners Association have reacted favourably to a proposed new super lock at Sault Michigan.
Jim Weakley, the president of the American based Lake Carriers Association, acknowledged that the support of its Canadian neighbours was valuable and appreciated. But he wondered also if Canadian shipping wasn't getting somewhat of a "free ride" through the Sault Lock System comprising the MacArthur and Poe Locks, both maintained and operated by the U.S. government.
"I'm not sure how engaged the Canadian government, and the Canadian carriers are on this issue," Weakley said. He expressed some surprise there wasn't more involvement because of the steel mill located in Sault, Ontario, and the petroleum products and heavy equipment that passes through the American Sault locks to support projects like Alberta's Tar Sands development. "
Weakley said that the American government had passed a piece of legislation that waived the Canadian cost share for its cargo use of the Sault Michigan lock system.
Weakley, who said he viewed the Sault lock system as a North American asset, added, "Canadians basically get a free ride, although 52 per cent of the cargo moved by Canadian shipowners is moved to and from the United States."
Sault MP Tony Martin, MPP David Orazietti, and Mayor John Rowswell agreed that if the U.S. Congress grants the go ahead to start the long awaited project, there likely would be economic benefits for Sault Canada.
Rowswell said that he was definitely supportive of the Michigan initiative and said that he recalled City Council had officially offered its support for a new lock a few years ago.
Rowswell said that new infrastructure projects on either side of the international border almost guaranteed some mutual benefits for both sides.
Orazietti, who had some practical experience working as a tour guide through the lock system while a student, said, "I wholeheartedly support the initiative to build a superlock, because it increases industrial efficiency and our worldwide competitiveness."
But with respect to any financial support from the Ontario government, he said, "It is a federal jurisdiction. We need to see a more active role from the federal government in supporting these projects that are really international in scope."
Martin also shared his colleagues’ enthusiasm for the proposed new lock. "I think that's great. It's always good when we get investment in infrastructure in our area, whether it's our side of the border or the other," he said.
With respect to possible financial assistance from the Canadian government, Martin said, "No assistance has been asked for that, that I can determine. This is a project that has been on the books for a long time."
While Martin gave his endorsement for the new lock, he added this proviso: "The only concern I would have is that the due diligence would be done on both the environment and health and safety issues that always have to be addressed."
It was Bruce Bowie, vice-president of the Canadian Shipowners Association based in Ottawa, who reacted swiftly to inferences that maybe Canada should be footing some of the bill. "Americans don't build infrastructure in Canada, and Canadians don't build infrastructure in the U.S.," he said.
Bowie, whose association represents all the domestic marine carriers operating out of eastern Canada, was quick to add that they supported the new lock proposal.
"We very much support the efforts of the U.S. Corps of Engineers to move that project forward. We have supported Jim Weakley as well at various meetings, and any opportunities we have to give our support, we do."
But Bowie pointed out that the Canadian government has already the responsibility of operating and maintaining 13 of the 15 locks in the lower part of the system. "We've been very active in getting government support for restoration and continuing maintenance of those facilities," he said.
Bowie noted too that the Canadian and American marine fleets had developed different business models over the years. The Canadian ships are not over 800 feet in length because they need to access the smaller locks between Niagara and Montreal as part of their operations.
The American fleet, on the other hand, operates the 1,000 footers as the biggest proportion of their fleet.
"Our business model is based on the use of the current lock system. A lot of our traffic comes from the north shore of Quebec and is domestic," Bowie said. "The U.S. doesn't have the same domestic demand from the east coast as we do. That's probably why the business has developed that way."
Brenda Stenta, manager of corporate communications for Essar Steel Algoma said by e-mail that the ships currently servicing Essar range between 650 and 750 feet in length for which the current lock configuration was adequate.
But she added: "We recognize the proposed Lock may offer some opportunity for increased efficiency and shipping volume on the upper Great Lakes. We hope a new 1,000-foot lock would open up the possibility of year round shipping, which would be of great benefit to our business.
"With respect to capacity, we are able to accommodate ships up to 1000 feet in length at our export dock, ore and coal docks. However, bulk carriers are unable to get through the Welland Canal at this time."
