Inland Waterways ~ A Role in the Nation’s Economy
Moving Cargo Cost-Effectively
Inland waterways provide the vital, safe, and cost-effective transportation of raw materials and goods. All told, [link url=”http://waterwayscouncil.org/waterways-system/” title=”38 states directly benefit from inland waterways“] and the movement of goods on this system. Some [link url=”http://waterwayscouncil.org/waterways-system/” title=”features of the inland waterways“] include:
- Comprised of 12,000 miles of navigable waters
- Includes more than 240 locks
- More than 566 million tons of goods and commodities moved in 2013
- 346 tons of which were moved from inland waterways to ports for export
- Valued at over $216 billion dollars
- Vessels carry the equivalent of 51 million overland truck trips annually
Helping Provide Energy and Decreasing Demands on Surface Transportation Infrastructure
As part of the nation’s transportation infrastructure, [link url=”http://waterwayscouncil.org/waterways-system/” title=”inland waterways have been a vital part of delivering the nations goods at an economically sound cost“], especially for oversized or overweight freight.
In addition, these waterways provide delivery of the nation’s energy needs, [link url=”http://waterwayscouncil.org/waterways-system/” title=”including coal (20%), petroleum, and petroleum products (22%)“] in addition to chemicals, iron, steel, and intermodal containers.
If trucks were used to carry the cargo currently shipped on barges, the number of vehicles added to interstates and local roadways would increase exponentially. Inland waterways ease surface transportation demands including roadway congestion, load capacity on bridges, and lessen roadway impacts by not adding wear and tear to surfaces, preventing an increase in costs for required repairs or maintenance.
Impacts on Inland Waterways from the Expanding Global Economy
More than [link url=”http://waterwayscouncil.org/waterways-system/” title=”60% of the country’s grain is moved by barges through inland waterways for export“], helping the nation compete in the global export market. To accommodate the growing need for these commodities and to provide cost-effective transportation in today’s global economic environment, [link url=”http://www.infrastructurereportcard.org/a/#e/inland-waterways-infographic-01″ title=”vessel sizes have increased more than 9% with the anticipated Panama Canal expansion“], putting new demands on large and small ports and inland waterways. In addition, many of the new barges are also too large to fit through the older and aging locks.
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Currently, many of the navigation channels that lead into east coast ports are [link url=”http://www.infrastructurereportcard.org/a/#e/inland-waterways-infographic-01″ title=”unable to accommodate the 45 foot draft of the new ships“], and [link url=”http://www.infrastructurereportcard.org/a/#p/inland-waterways/conditions-and-capacity” title=”delays due to service interruptions of failing or degraded locks or dams“] account for hundreds of millions of dollars in losses annually. According to the ASCE, an [link url=”http://www.infrastructurereportcard.org/a/#p/inland-waterways/investment-and-funding” title=”approximate $900 million dollars annually is required“] to invest in projects to improve inland waterways and ports, including dams and locks, in order to maintain the nation’s competitive viability in the global market.
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In addition, [link url=”http://www.asce.org/uploadedFiles/Issues_and_Advocacy/Our_Initiatives/Infrastructure/Content_Pieces/failure-to-act-ports-aviation-report.pdf” title=”ASCE is anticipating an increase of nearly 11% of traffic on the nation’s inland waterways by 2020“], or more than 51 million tons of cargo. The ability to move this freight efficiently and effectively will impact almost every sector of the nation’s economy, including energy generation, food supplies, and exports, so looking ahead at future potential problems or outcomes is also a good idea.
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Investment Needed for an Interconnected System
It should come as no surprise then, that inland waterways are often directly dependent on the nation’s ports – and vice versa – for both import and export abilities, interconnecting the two systems. As a result of the expanding trade, and yes, the Panama Canal expansion, the need to address growing deficiencies in these two systems is vital to the nation’s economic health.
Unfortunately, funding has not changed much in the last twenty years – even though [link url=”http://www.infrastructurereportcard.org/a/#p/inland-waterways/investment-and-funding” title=”projects often exceed expected timelines, leading to cost overruns“], something the industry can ill afford. Barge operators saw the need for an [link url=”http://www.infrastructurereportcard.org/a/#p/inland-waterways/investment-and-funding” title=”increase in funding and voiced a willingness to pay more than the then current $.20 cents per gallon on fuel“] to help cover the costs of needed maintenance, repairs, upgrades, or replacements. This increased funding [link url=”http://www.iwr.usace.army.mil/Portals/70/docs/IWUB/annual/UB_Annual_Report_2014_Final_01Feb15.pdf” title=”was approved in 2014 at an additional $.09 cents per gallon“]. Although the extra funding has helped considerably, project delays still need to be brought under control to avoid absorbing those extra funds in cost overruns. Currently, the [link url=”http://www.iwr.usace.army.mil/Portals/70/docs/IWUB/annual/UB_Annual_Report_2014_Final_01Feb15.pdf” title=”Inland Waterways Users Board is working diligently“] to help contain this issue, but more work remains to be done.
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Public-Private Partnerships and Key Stakeholders Needed
To further address issues with the inland waterways, the [link url=”http://www.infrastructurereportcard.org/a/#e/inland-waterways-infographic-01″ title=”ASCE also proposes a three step process“], one of which is to engage key stakeholders in a national freight strategy that includes shipping companies, manufacturer’s, and retailers and covers all modes of transportation, likely helping to streamline the entire system.
It seems like a pretty good idea, especially since all modes are interconnected anyway. The use of public-private partnerships might also be a key to maintaining and repairing systems more quickly and efficiently, as the entire inland waterway system would likely benefit from advanced technologies in the private sector. It might help with project delays and cost overruns, too.
Inland Waterways: A Vital Component
Inland waterways play a vital role in the nation’s infrastructure and their efficient and effective operations are key factors in maintaining a viable position in today’s global economy.
The unimpeded movement of raw materials and goods for consumption and export cannot happen without significant attention to this system and its many needs, including the important role of a smooth functioning lock system – something that will be explored in the next blog on this important topic.
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