America's Marine Highways are a crucial, but underutilized part of the nation's logistics network. The Marine Highways encompass a system of navigable waters, including coastal waters, rivers, lakes, and canals. This network facilitates the safe, economical, and sustainable movement of passengers and goods. By linking these waterways, marine highways lighten the load on overburdened roads and railways, lowering greenhouse gas emissions and enhancing the overall sustainability of the transport system.
In 2018, trucks transported 11.9 billion tons of cargo across the U.S., accounting for 64% of the total freight volume. This figure has increased by 33% over the past decade, and by 2045, trucks are projected to move 16.4 billion tons of cargo, an additional increase of 34%. This expected growth will heavily strain the U.S. Interstate Highway System, necessitating the diversification of freight transport to ease congestion on major roads.
Short-sea shipping and domestic waterborne transport present viable alternatives, providing additional capacity for freight movement. Marine transportation also provides significant benefits in the alleviation of land-based congestion, not to mention that it is more economical and environmentally efficient. These benefits provide a significant advantage to not only shippers, but to consumers and the country as a whole. As a result, the US Department of Transportation has created a framework to encourage the use of waterways, the United States Marine Highway Program (USMHP).
What is the United States Marine Highway Program?
The U.S. Marine Highway Program was officially established in 2007 under the Energy Independence and Security Act. This program integrates marine highways into the broader transportation system, recognizing their potential to enhance freight movement efficiency and reduce environmental impact.
It is worth noting that the Maritime Administration (MARAD) of the Department of Transportation does not directly operate the Marine Highway System, but rather recognizes designated navigable waterways as part of America's Marine Highway Program to encourage their use and development. The first round of grant funding was awarded in 2010 and since, multiple projects and routes have received federal assistance and funding to improve infrastructure and promote usage.
Funding and Grants
This program is primarily funded through MARAD grants, including the America's Marine Highway Grants and funding from the Infrastructure Investment and Jobs Act (IIJA). These grants support a variety of projects, such as infrastructure improvements, vessel acquisition, and technological advancements. Additionally, the program receives annual federal budget appropriations, and state and local governments often contribute matching funds to maximize the impact of these federal grants. Public-private partnerships also play a crucial role, with private companies investing in marine highway projects alongside government funding.
To access these funds, eligible entities such as state and local governments, port authorities, and private sector operators must go through an application process. This involves submitting detailed proposals that outline the project's scope, benefits, and financial requirements. MARAD evaluates these applications based on criteria such as economic impact, environmental benefits, project readiness, and alignment with national transportation goals. Projects that demonstrate significant potential for reducing congestion, lowering emissions, and improving efficiency are prioritized. Successful applicants receive grant awards tailored to cover eligible expenses, including construction, equipment purchase, and technology implementation.
Once grants are awarded, recipients must adhere to reporting requirements to ensure that the funds are used appropriately and that project goals are met. MARAD monitors progress and provides oversight throughout the project's lifecycle. Many grants require matching funds from non-federal sources, encouraging collaboration between public and private entities. This matching requirement varies based on the specific grant program and project needs. Overall, the Marine Highways program's funding structure promotes sustainable, efficient, and safe transportation of goods and passengers through the nation's waterways, leveraging a combination of federal, state, and private resources to achieve these objectives.
Components of the Marine Highway System
The Marine Highway System comprises several key components that work together to deliver expected benefits to shippers. These components include major routes, ports, and various types of vessels.
Routes
The U.S. Marine Highway System features multiple strategic routes designed to ease congestion on roadways and railways by utilizing the nation's navigable waterways. Key routes include:
- The M-5 Corridor: Runs along the West Coast, connecting major ports from California to Washington.
- The M-95 Corridor: Extends along the East Coast, linking ports from Florida to Maine.
- The M-70 Corridor: Crosses the Mississippi River and its tributaries, supporting bulk goods and commodities shipping between the central U.S. and Gulf Coast ports.
Other notable routes are the M-10, M-35, M-55, M-90, and M-65 Corridors, each serving specific regions and facilitating trade while reducing reliance on land transportation.
- The M-10 Corridor: The M-10 Corridor uses the Gulf Coast and links the Gulf of Mexico with the Atlantic Ocean, enabling trade between Florida and Texas.
- The M-35 Corridor: The M-35 Corridor crosses the Great Lakes and links major manufacturing facilities in the Midwestern states to overseas ports. This enables better trade while decreasing the expensive land travel.
- The M-55 Corridor: The M-55 connects central U.S. to southern ports. It moves agriculture and manufactured items from the Mississippi River to the Ohio River.
- The M-90 Corridor: The M-90 runs along the northern Atlantic coast. It connects the ports in New York with Canada, boosting cross-border trade and reducing road traffic.
- The M-65 Corridor: M-65 Corridor links the Tennessee River to the Gulf of Mexico through the Tennessee-Tombigbee Waterway's inner waterways and can serve as a principal transit path for bulk and containerized cargo.
Alaska Marine Highway System (AMHS)
The Alaska Marine Highway System (AMHS) is one of the many marine highways throughout the United States, linking Alaska, Washington, and British Columbia. This state-operated ferry service connects over 30 communities in Alaska, many of which are inaccessible by road. The AMHS supports Alaska's economy by transporting goods, tourists, and residents, playing a crucial role in the state's logistics, tourism, and commerce sectors. Additionally, it reduces greenhouse gas emissions and fuel usage by offering cleaner transportation alternatives.
Ports
Critical to the Marine Highway System are ports, which serve as hubs for loading and unloading goods. Key ports include those in New York and New Jersey, Los Angeles, New Orleans, and Houston. Examples of more advanced ports, such as those facilitating intermodal connections and handling larger freight volumes include:
- Port of Virginia: This port has implemented advanced intermodal solutions to connect marine, rail, and road transport. Its on-dock rail facility allows for direct transfer of containers between ships and trains, reducing handling times and improving efficiency.
- Port of Chicago: As a major intermodal hub, the Port of Chicago exemplifies the successful integration of marine and rail transport. It handles millions of TEUs annually and connects the Great Lakes region with national and international markets via its extensive rail and road network.
Vessels
The marine highway network incorporates boats, container ships, and Ro-Ro (roll-on / roll-off) yachts. Heavily hauled vessels are commonly barges, which are usually used for hauling bulk items and bigger items like boxes and pallets, while Ro-Ro boats and container ships should be suited for handling containerized cargo and vehicles. These vessels are made for the difficult conditions of inland waterways and coastal routes. Let's understand the different types quickly:
Barges
Barges are flat-bottomed vessels primarily used for transporting bulk goods and heavy equipment. They are typically towed or pushed by towboats or tugboats.
Container Ships
Container ships are big ships that carry standard shipping containers. They transport containerized freight over long distances and are important to the worldwide logistics community.
Roll-on/Roll-off (Ro-Ro) Vessels
Automobiles, pickups, trailers, and machinery are transported on roll-on / Roll-off (Ro-Ro) vessels. These ships feature ramps inside, where vehicles can be driven on and off the boat.
Tankers
Tankers are specialized vessels that transport liquid cargo such as oil, chemicals, and liquefied natural gas (LNG). They have specialized tanks that ensure the safe and efficient transport of hazardous materials.
Bulk Carriers
Bulk carriers are designed for carrying dry bulk cargo such as grain, ore, and cement. These vessels have large cargo holds optimized for handling loose materials.
Passenger Ferries
Passenger ferries operate on marine highways to transport passengers and vehicles, connecting communities, especially in areas with limited or non-existent road access, like AMHS.
By leveraging these components, the marine highway system provides a reliable and sustainable ecosystem alternative to traditional transportation methods.
Facilitating Intermodal Transport
Navigable waters and inland waterways are crucial for facilitating intermodal transport. The efficient use of these waterways, supported by robust port infrastructure and advanced logistics technology, drives the success of intermodal transport systems.
The Port Planning and Investment Toolkit (PPIT) - Marine Highway Module developed by MARAD plays a vital role in this integration. This module provides ports and stakeholders with comprehensive guidance on planning, developing, and investing in marine highway projects.
By addressing critical aspects such as infrastructure needs, regulatory compliance, and financial planning, the Marine Highway Module ensures that ports are well-equipped to support efficient marine highway operations. This, in turn, enhances the overall intermodal network by providing reliable and cost-effective waterborne transport options that complement rail and truck services.
The toolkit’s emphasis on stakeholder engagement, environmental sustainability, and performance monitoring is just one example of how MARAD further strengthens the integration of marine highways into the broader logistics chain, ultimately optimizing the entire intermodal transport system.
Challenges to Leveraging Marine Highways
Despite the substantial benefits, marine highways still face several significant challenges:
1. Infrastructure Limitations:
Many ports and waterways lack the modern infrastructure needed to support efficient marine highway operations. This includes outdated docks, inadequate cargo handling equipment, and limited intermodal connections. Investment in expanding port facilities, lock and dam system improvements, and enhancing intermodal connections is crucial to overcoming these limitations and maximizing the potential of marine highways.
2. Regulatory Hurdles:
The development and expansion of marine highways are often hindered by complex regulations and permitting processes. Each state and federal agency involved in the regulation of waterways has its own set of rules and procedures, which can be confusing and time-consuming to navigate. For instance, obtaining the necessary permits for new terminal construction or upgrades can take years due to environmental impact assessments, public consultations, and compliance with safety standards. These regulatory challenges require significant time and resources, often deterring potential investments in marine highways.
MARAD collaborates with federal, state, and local agencies to streamline regulatory processes, thereby reducing redundancy and conflicting regulations. This collaboration helps facilitate the advancement of marine highway projects. Additionally, MARAD advocates for supportive policies and regulations, working with legislators and regulators to promote waterborne transportation and address regulatory challenges.
3. Market Awareness:
Many shippers and logistics providers are not fully aware of the advantages offered by marine highways, leading to their underutilization. The benefits of marine highways, such as cost savings, reduced congestion, and lower environmental impact, are often overshadowed by the more familiar and traditional modes of transport like road and rail. This lack of awareness can be attributed to limited marketing and outreach efforts by marine highway advocates and operators. Additionally, misconceptions about the reliability and speed of waterborne transport persist.
To address this, innovative solutions like those provided by OpenTug play a crucial role. OpenTug's real-time tracking and monitoring capabilities enhance visibility, allowing operators to have a clear view of their cargo and vessel status at all times. This improved visibility reduces delays, enhances operational efficiency, and provides shippers with accurate ETA predictions, fostering greater confidence in marine highways as a reliable transport option. Furthermore, OpenTug's automation of booking, quoting, and cost estimation processes saves time and reduces the administrative burden associated with quoting complex jobs. By streamlining these processes, OpenTug enables operators to focus on optimizing their operations and expanding their services.
Conclusion
America's Marine Highway Program bolsters a sustainable, efficient, and reliable alternative to traditional transport modes, significantly enhancing the country's logistics network while minimizing environmental impact. With proper investment and prioritization of U.S. infrastructure, the marine logistics industry is poised to significantly enhance its efficiency, competitiveness, and sustainability, ultimately becoming a leading force in global transportation networks.
OpenTug is dedicated to driving more cargo to America’s waterways while transforming the operational efficiency of marine transportation companies. To learn more about OpenTug’s offerings, visit our website.
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