The International Maritime Organization should produce an update on the implementation stages in IMO member states of new container weight requirements, a group of non-vessel operating common carriers said in an open letter (here). The Feb. 28 letter was signed by executives at CaroTrans International, Ecu-Line, Shipco Transport and Vanguard Logistics Services. The group of NVOCCs, which called itself the Global Consolidators Working Group, laid out concerns for the IMO's requirement for verified gross mass (VGM) reporting under amendments to the Safety of the Life at Sea Act (SOLAS), set to take effect July 1. The shippers add to a growing list of concerns over the implementation plans (see 1602190034).
The Agriculture Transportation Coalition (AgTC) has provided guidance to its members for implementing the verified gross mass (VGM) under amendments to the Safety of the Life at Sea Act (SOLAS) set to take effect July 1, according to a message from the group to members on Feb. 25. Coast Guard Assistant Commandant for Prevention Policy Rear Adm. Paul Thomas again indicated to AgTC this week that there is no need to delay VGM implementation or to change the “current cargo weight information flow from shipper to carrier,” because the current process for exporter submission of cargo and weight complies with SOLAS. Thomas added it is unreasonable to ask shippers to provide and certify tare weights for carriers’ containers, stating VGM requirements will be met if shippers provide container gross cargo weights, and the carriers provide tare weights for their equipment to the master documents to be collected by marine terminal operators. SOLAS allows VGM to be provided through one of two methods—Method 1 involves weighing the packed container, and Method 2 involves weighing and adding the mass of the container’s components (see 1602190034).
John DeCrosta will join the Federal Maritime Commission as senior advisor for Legislative and Public Affairs, said FMC Chairman Mario Cordero in a news release (here). DeCrosta will report directly to Cordero and will coordinate "all legislative and public affairs activities throughout the Commission," said the agency.
The Federal Maritime Commission voted on Feb. 18 to approve a request for comment on "a new calculation methodology that would aim to align fees with program costs," the agency said (here). The FMC also voted to seek comment on a proposal involving ocean common carrier and marine terminal operator agreements and another on non-vessel-operating common carrier service arrangements, it said. The agency also finalized regulatory changes that "limit Commissioners’ terms and permit attorney fees to be awarded to the prevailing party in any complaint proceeding brought under the Shipping Act," it said.
The Federal Maritime Commission reached settlements totaling $520,000 in civil penalties with five carriers, freight forwarders and non-vessel operating common carriers (NVOCCs), it announced Feb. 18 (here). Of that total, $170,000 in civil penalties will be assessed against the carrier Volkswagen Konzernlogistiks for operating under agreements that were unfiled or not yet in effect, said the FMC. Penalties against the four forwarders and NVOCCs – Orient Star, Ba-Shi Yuexin Logistics, Thornley & Pitt and Razor Enterprise – stem from obtaining ocean transportation at less than the rates and charges otherwise applicable.
The U.S. and Cuba have agreed to reestablish scheduled cargo and passenger air travel between the two countries, with top officials from each country signing the deal Feb. 16 in Havana, the Department of Transportation said (here). “We are excited to announce the availability of new scheduled air service opportunities to Cuba for U.S. carriers, shippers, and the traveling public, and we will conduct this proceeding in a manner designed to maximize public benefits,” Immediately following the signing, DOT invited U.S. air carriers to submit applications to provide passenger and cargo flights to and from Cuba for the first time in more than 50 years. The applications are due March 2; answers to applications are due March 14; and responses to those answers are due March 21.
The Federal Maritime Commission will meet on Feb. 18 at 10 a.m. to discuss "International Ocean Transportation Supply Chain Engagement" and other issues, the agency said (here).
The planned new port metrics program should include information on loading and unloading operations with consideration of ship and berth size, among other things, said a group of trade associations representing various industries involved in international trade in a Jan. 14 letter (here). The letter, addressed to Transportation Secretary Anthony Foxx, includes advice on "key metrics" that should be included within the Bureau of Transportation Statistics working group effort to develop the measures. The metrics can help “jump-start” private efforts to bolster efficiency and decrease congestion at U.S. ports brought on largely by big container ships, a recent surge of “very large scale” operating alliances between containership owners, evolving critical equipment procedures, and an aging port infrastructure, said the groups.
Seven shipping companies agreed to pay the Federal Maritime Commission a total of $334,000 in civil penalties related to the agency's investigations into violations of federal shipping laws, said the FMC in a press release (here). The companies, British Association of Removers, Sparx Logistics USA, Azap Motors, Wilhelmsen Ships Services, Aromark Shipping, Knopf International, N/J International settled with the FMC without admitting they violated the law or FMC regulations, said the agency. British Association of Removers and Sparx Logistics USA each agreed to pay $80,000, the largest individual penalties, said the FMC. The allegations involve several issues, including mishandling of service contracts and operations without an FMC license or bond, said the agency.
There's ongoing concerns with PierPass system at the Ports of Los Angeles and Long Beach and a lack of competition, "created by PierPass’s current practices," Federal Maritime Commission Chairman Mario Cordero said at a National Industrial Transportation League meeting on Nov. 19 (here). PierPass "would be wise to conduct a third party independent audit," which "would go a long way toward restoring lost trust," he said. Cordero said he will be "relentless in his pursuit of a resolution to the existing environment of distrust." Stakeholders from every major group have told Cordero that service has gone down while costs have gone up, calling into question "whether PierPass is fulfilling the mission it was authorized to fulfill," he said. Cordero also said the agency will need to increase staffing levels, up from 125 employees, to keep pace with international shipping increases.