BCSN - Volume 1, Issue 5

INSIDE: WCMRC OIL SPILL RESPONSE FLEET AND ASSET GUIDE

BC SHIPPING NEWS

Volume 1 Issue 5

www.bcshippingnews.com

September, 2011 Retail Price: $4.95

B.C. ports

Nanaimo’s 50th anniversary plus mid-season updates from Vancouver, Victoria, Prince Rupert and Port Alberni.

Spill response

B.C. spills: Western Canada Marine Response Corporation is ready.

Industry Insight

Bernie Dumas, Nanaimo Port Authority: Right place, right time.

Plus:

Waterfront Shipping Donation raises awareness.

Pacific North Coast Integrated Management Area: Pay close2011 attention.

September BC Shipping News 1

September 2011

Volume 1 Issue 5

Contents Cover Story - P.30 B.C. ports:

Ray Dykes writes a retrospective looking at the past 50 years of Nanaimo Port Authority. Plus: mid-season updates from Vancouver, Victoria, Prince Rupert and Port Alberni.

10 Industry Insight Right place, right time: The President and CEO of Nanaimo Port Authority arrives amidst a perfect business storm.

26 WCMRC fleet guide

Spill response assets

A handy reference guide to Western Canada Marine Response Corporation’s full complement of vessels and assets available for spill response on the West Coast.

52 Technology/New Products Automated Draught Indicator System (ADIS) Weir-Jones Engineering Ltd., a Vancouver company, has developed a technology that helps ships sail more efficiently, save fuel and reduce carbon emissions.

D E P A R T M E N T S

F E A T U R E S

Bernie Dumas

6

Letters / News briefs

9

Industry growth

15

Legal affairs

18

Cruise

20

History lesson

Letters to the editor and news.

McRae Electric expands to the Island.

The scope of federal power: what falls under “navigation and shipping”.

North America cruise port growth.

The Port of Vancouver, 19th century style.

21

Oil spill response

38

Port security

41

Environment

44

PNCIMA

49

Waterfront Shipping

B.C. spills: WCMRC is ready.

A review of PortSecure plus the successful implementation of an integrated marine security program in Prince Rupert.

Outcomes from the Marine Environment Protection Committee meeting.

Questions raised about funding conflict.

Donation raises awareness.

September 2011 BC Shipping News 3

September 2011 Volume 1/Issue 5 Publisher McIvor Communications Inc.

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President & Editor Jane McIvor Contributing Writers Kaity Arsoniadis-Stein Stephen Brown Bernie Dumas Ray Dykes Paul D. Mooney Carrie Schmidt Bruce Turnbull K. Joseph Spears Donna Spalding Iain Weir-Jones Advertising Mark Collett/MSL Marketing & Sales Phone: 604-351-0211/E-mail: mjcollett@xplornet.com

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4 BC Shipping News September 2011

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EDITOR’S NOTE

Hoping for dialogue based on facts...not fear.

C

aptain Ardeshir Yousefi sent in a letter (on page 6) which outlined his concerns (and in some cases, shock) over the proposed tanker traffic ban bill put forth by B.C. MP Finn Donnelly on June 14, 2011. Captain Yousefi’s letter is very well written and deserves your attention.

During our correspondence, Captain Yousefi noted that he had also been in touch with Barbara Yaffe, columnist with the Vancouver Sun, who indicated she was “bombarded with negative response” following her article on the Kitimat Pipeline Project (“Opinion: B.C. first nations need to embrace natural resource projects”, Vancouver Sun, July 25, 2011). Indeed, you can see some of the responses online in the comment section (at least the ones that weren’t removed by staff due to offensive language).

Through our additional correspondence, Captain Yousefi’s message was simple enough — and something we here at BC Shipping News have been stressing since Day One — there is a strong need to educate the public on the many facets of tanker traffic, oil spills and the shipping industry’s efforts in this area: the regulations and safeguards that have been put in place worldwide through the International Maritime Organization; the voluntary Tanker Exclusion Zone that already exists on the West Coast; the fact that we as a global society are dependent on oil and as long as that fact exists, the undeniable reality that the oil must somehow get from the ground to the end-user.

Yes, there is risk. But there is risk to everything in life. Everytime I get in my

car, I risk getting into an accident. Does that mean I stop driving? No. I take precautions — I wear my seatbelt; I don’t talk on my cell phone and I follow the rules and regulations of the road.

...we continue our efforts to educate, promote awareness and hope for meaningful dialogue that is based on facts rather than fear.

In this issue of BC Shipping News, we continue our efforts to educate, promote awareness and hope for meaningful dialogue that is based on facts rather than fear when it comes to tanker traffic and oil spills on the B.C. Coast.

In addition to Captain Yousefi’s letter, Captain Stephen Brown, President of the Chamber of Shipping of British Columbia, has provided a very revealing look at who is driving much of the effort to ban tanker traffic on Canada’s West Coast and how this well-funded U.S. organization has taken much more than a passing interest in Canadian matters.

Captain Brown’s frustration over the Canadian government’s lack of will to address the obvious conflict of having the Moore Foundation fund the Pacific North Coast Integrated Management Area consultations is understandable.

We also feature an educational piece on the resources, plans and procedures that are in place should the unthinkable happen. In working with Bruce Turnbull and the staff at Western Canada Marine Response Corporation (more

well-known to the industry as Burrard Clean Operations), I was impressed with the knowledge and dedication to preparedness that defines the backbone of this organization.

Kaity Arsoniadis-Stein’s article on outcomes from the IMO’s Marine Environment Protection Committee meeting in London, England brings an international perspective to the discussion and highlights the significant accomplishments that have been achieved to advance efforts to further reduce the industry’s impact on the environment.

Iain Weir-Jones provides a look at an innovative draught measuring system technology that reduces fuel consumption and produces less carbon emissions — yet one more example of how the industry is constructively working on ways to lessen its impact on the environment.

Captain Yousefi had one final message for readers of BC Shipping News: send a note to Barbara Yaffe, Stephen Brown, Kaity Arsoniadis-Stein or anyone else who is trying to provide an alternative point of view to the debate on tanker traffic and show them your support. As Captain Yousefi points out, if we don’t get involved and support our industry, a tanker traffic ban proposal is just the beginning. Many more bans will follow.

BCSN

September 2011 BC Shipping News 5

LETTERS TO THE EDITOR Proposed tanker traffic ban causes concern Dear Jane: During this past year I have seen a lot of positive and optimistic moves in maritime fields in British Columbia. I have met many dedicated and enthusiastic individuals working very hard to promote maritime activities in B.C. and present this region to the world as it really should stand.

Some world-class gatherings were held, including BIMCO’s General Meeting 2011 and Nautical Institute’s AGM 2011. I have seen the birth of your wonderful, informative and educational magazine and Chamber Of Shipping and Captain Stephen Brown’s endless efforts and hard work to promote the shipping industry in the region.

Despite all these efforts, initiatives and optimism within the maritime industry, I was very surprised and deeply saddened to read in COS’ newsletter on June 24, that one of B.C.’s MPs has introduced a Private Member's Bill to make a “Tanker Traffic Ban” on B.C.’s North and Central Coast which was seconded by another British Columbia MP!!

I don’t think (I certainly hope not) that such a Bill will go through because it would be the most damaging and counterproductive act which will damage the region’s positive image and take much needed confidence and optimism away from the people involved. There are so many major projects on the horizon — the Kitimat Pipeline Project, the NSPS Shipbuilding contracts, Arctic & NW Passage development, etc. — that will improve the region’s economy and secure jobs for many years to come and will greatly change British Columbia’s image in the eyes of the world and can expand the trading area far beyond the Pacific and right up to the Indian Ocean.

The world is getting fed up with piracy problems in Somalia and the Indian Ocean; the Middle East’s reliability as an energy supply source; and failure of nuclear energy to replace oil. It is B.C.’s chance to get into the act and show itself as a reliable alternative to the world.

6 BC Shipping News September 2011

This can only be done if all parties involved work in harmony. Government, politicians, private and public sectors, and individuals must move together with a positive and realistic attitude to reach this goal. The world is not going to wait and see if the B.C. Coast is going to ban tanker traffic and whether the Bill will pass or not. They will feel the ‘attitudes’ and if they don’t see a ‘shipping friendly attitude’, they will just move elsewhere.

The industry has grown and improved in safety and pollution prevention to the highest possible standards.

Canada owns the second largest oil reserve and second largest coastline in the world. The majority of this oil is in Alberta and the closest access to transport this oil by sea is through the B.C. Coast. Therefore, projects like Kitimat are a “MUST” and should go through smoothly to give confidence to foreign investors and interested parties to take part in these projects. Surely we do not expect these pipelines to be taken through to the East Coast and transport the oil from there.

It was claimed by one of the B.C. MP’s that in the recent election, 80 per cent of the public were in favour of making the B.C. Coast a “Tanker Free Zone’’. I think if this is true then the shipping/ maritime industry has failed in its duty to inform and educate the public in understanding and acknowledging the tremendous efforts and steps taken to make shipping the safest means of transportation in Canada.

Vancouver is one of two ports in the world which provide shore power to the cruise ships and Canada, along with the U.S. and Northern Europe, are well in advance of IMO’s emission control and ballast control programs. Canadian coasts have some of the strictest regulations in the world relating to safety of shipping, pollution prevention and environmental protection.

I have been here in Vancouver for a year now and so far, have seen COS and

Captain Brown and your magazine as mostly carrying the burden of promoting the shipping industry in the region.

However, the quality and knowledge of the presenters from local firms in various seminars and events and also the articles and contributions by individuals published in your magazine all prove that there is a tremendous level of experience, expertise and confidence that exists in the region.

There is an immense competition in different ports to attract business and it is the greatest opportunity for B.C. ports to reach their deserved international standing.

Government has shown its support and confidence in the industry through the National Shipbuilding Procurement Strategy (NSPS). I hope that B.C. shipyards will win one of the NSPS contracts which will be a great success and most needed boost in British Columbia’s shipping industry.

However, I think everyone who is involved in the shipping industry has a great responsibility and must contribute in any way they can to inform and educate the public and the politicians and relieve them of their concern and raise their confidence about the safety of shipping in B.C. waters.

The West Coast’s maritime future depends on projects like the Kitimat Pipeline to open the door for Canada and B.C. to play a much bigger role as an international economic power and not just look for a trading partner south of the border.

If it starts with a tanker traffic ban there will be a lot more “BANS” in the future which will destroy the maritime industry for good.

Best regards, Captain Ardeshir Yousefi ASTA Marine Services Ltd. Something to say? Send a letter to jane@bcshippingnews.com.

BCSN

INDUSTRY TRAFFIC Mustang Survival announces new Directors of Sales for North America

T

o support current and planned growth initiatives in U.S. target markets, Mustang Survival is pleased to announce that Michael Grupa will be transitioning from his current role as Director of Business Development, Professional, to join the sales team as Director of Sales, U.S. Professional & Military Major Accounts.

Grupa joined Mustang Survival in 2009 and has been instrumental in shifting Mustang’s focus from selective markets in the first responder and commercial/ industrial marine categories to becoming an industry leader and full-line supplier of flotation and thermal protection products in these market categories.

Also driven by shifting conditions in the recreational market, Mustang is announcing that Brian Milligen has been promoted from Canadian National Sales Manager to Director of Sales, U.S. Recreation & Canada Recreation/ Professional markets.

“It is a pleasure to work with such a devoted team as Mustang Survival,”

said Milligen.

“I consider it a great honour to now be able to contribute to this team north and south of the border.”

Office moves OMIC (Overseas Merchandise Inspection Co. Ltd) will relocate as of August 29, 2011 to: Suite 614 - 850 West Hastings Street Vancouver, BC V6C 1B4 Telelephone: 604-637-6737 Fax: 604-637-6738

Mustang S u r v i va l ’s range of in- Brian Milligen novative and industry-leading solutions are trusted and used by recreational, professional and military users all over the world.

ABS Vancouver has moved to: 305 - 850 Harbourside Drive North Vancouver, BC V7P 0A3 New Contact Number: Telephone: 604-986-0811 Fax: 604-986-0819

Western Canada Marine Response Corporation

Correction...

In the July/August issue of BC Shipping News, Lieutenant Jason Knowles was incorrectly identified. Our apologies to Lieutenant Knowles for the error...

British Columbia's "Transport Canada Certified" Marine Oil Spill Response Organization Ready to protect the West Coast marine environment 24 hours a day, 7 days a week Over 2,000 registered members including: Oil handling facilities l Marine transportation companies l Water and air passenger services Shipping companies l Commercial fishing fleets l Fishing camps

Marine Oil Spill Response Network: Local marine contractors l Fishermen's Oil Spill Response Team (FOSET) l Coastal First Nations Environmental response contractors l Oil spill response advisors l Mutual aid response partners

24-hour Spill Emergency Line: 1-855-294-9116 (toll-free) or 604-294-9116 www.wcmrc.com

Lt(N) Jason Knowles

South Coast — Head Office: 604-294-6001 Vancouver Island — Duncan: 250-746-9443 l North Coast — Prince Rupert: 250-624-5666

September 2011 BC Shipping News 7

INDUSTRY traffic Unique program provides aid to communities worldwide

C

aptain Mark Drewelow, owner of yacht agency C2C San Diego, has experienced firsthand the growth of the superyacht industry in the Pacific Northwest, British Columbia and Alaska over the last decade. As founder and Executive Director of YachtAid Global (YAG) he is excited because this growth creates opportunities for the delivery of humanitarian, development and conservation aid to coastal communities worldwide.

YachtAid Global delivers to schools, medical clinics, cultural centres and other organizations in remote and isolated locations including Alaska, Indonesia, Panama, Costa Rica, Nicaragua, French Polynesia, Mexico, Chile, Brazil and more. They work with an impressive

roster of superyachts to provide the owners, crew and the maritime community with an outlet to give back in a unique way that does not change the course of their cruise.

YachtAid Global utilizes a network of volunteers who co-ordinate logistics, patrons who sponsor supplies and superyacht owners and crew that offer to transport them. Canadian volunteer Darryl Anderson of Wave Point Consulting commented that YachtAid Global offers many ways to help because “you can donate, provide school supplies, clothing, toys, food and or cash”.

To find out more, please visit www. yachtaidglobal.org or to become involved, contact Mark (info@yachtaidglobal.org) or Darryl (wavepoint@shaw.ca). There

Specializing in the treatment and disposal of bilge water, waste fuel, waste oil, sludge and hazardous waste.

Tel: 250.380.0436 Cell: 250.858.8036 Fax: 250.380.0437

825 Admirals Road Victoria, BC V9A 2P1 plehmann@pwws.ca

is a video on YouTube which provides a good overview — visit www.youtube. com and search by “YachtAid Global”.

Royal name restored

T

he Honourable Peter MacKay, Minister of National Defence, announced that the Government of Canada has restored the use of the historic designations of the three former services: the Royal Canadian Navy (RCN), the Canadian Army (CA), and the Royal Canadian Air Force (RCAF).

“Restoring these historic identities is an important way of reconnecting today’s men and women in uniform with the proud history and traditions they carry with them as members of the Canadian Forces,” said Minister MacKay. “A country forgets its past at its own peril. From Vimy Ridge to the Battle of the Atlantic and from Korea to the defence of Europe during the Cold War, the proud legacy of the Royal Canadian Navy, the Canadian Army, and the Royal Canadian Air Force will once again serve as a timeless link between our veterans and serving soldiers, sailors and air personnel.”

By reinstating the Royal Canadian Navy, Canadian Army, and the Royal Canadian Air Force, the Government is restoring a central component of Canada’s military heritage.

TSI promotions

E

ric Waltz, President of TSI Terminal Systems Inc. announced, with immediate effect, the promotion of Mr. Chris Ng to Director, Marketing & Sales.

John Leonard, Executive Vice President Operating Group, has also announced that Brian Gimblett has been promoted to Director, Terminal Operations, Vanterm effective September 6, 2011.

8 BC Shipping News September 2011

industry growth

McRae Electric announces Island expansion

R

ecognizing the trend of increased activity on Vancouver Island, McRae Electric Ltd. has announced it will be opening up a division on the Island, aptly named, McRae Electric Island Division Ltd. (M.I.D. Electric).

“We first considered an expansion to the Island five years ago,” said Mike Gabriele, General Manager for McRae Electric, “but the timing wasn’t right, both from an industry perspective as well as for the company. Recently though, we’re seeing a lot of potential through companies like Victoria Shipyards and BC Ferries and felt there were some really good opportunities to support our existing customers on both sides and expand our services to others.”

Gabriele expressed great enthusiasm in welcoming John Stamatiou to head up the Island division. Previously with BC Ferries and well-known in the marine electrical field for his abilities, experience and knowledge, Stamatiou will be based in Ladysmith. “It’s a mid-Island location that provides easy access to our existing and new customers throughout Vancouver Island, north or south,” said Stamatiou. “As time progresses, perhaps within the next year, we’ll look at establishing an office closer to Victoria.”

In the meantime, Stamatiou will be supported by staff based in Vancouver but dedicated to Island work plus a pool of talent from the International Brotherhood of Electrical Workers (IBEW), Local 230. The news was welcomed by Philip Venoit, Business Manager for IBEW: “With a membership of over 400 marine electricians, electronic technicians and technologists, our partnership with McRae — the first dedicated marine electrical contractor on the Island — is a win/win for everyone.

We’re in both the public and private shipyards and if B.C. is one of the successful bidders for the Procurement Strategy, we’ll see a significant increase in the opportunities for our members.”

Key players in the expansion to the Island (left to right): Mike Gabriele, Brian McNeil, Philip Venoit, Nick Folino, Ervin Robicheau and John Stamatiou.

Venoit predicted that the Procurement Strategy would see membership numbers rise to 500. “It will mean the difference between having a job and having a career for our members,” said Venoit.

Stamatiou and McRae Electric are able to offer extensive expertise in new installations, maintenance and refits for propulsion controls, generators and any electrical component of a ship. With BC Ferries since 1992, Stamatiou oversaw the electrical needs for the BC Ferries fleet, including the Coastal Class ships which required travel to Germany for training and commissioning during their construction.

Nick Folino, Superintendent, said that the match between Stamatiou’s skills and McRae’s long standing reputation for expertise in marine electrics, was a perfect fit. “Since 1981, McRae Electric has been providing electrical services for the shipping industry in B.C. At that time, it was still a very small community and we’ve seen enormous growth — not just to the industry but to the services and products offered by McRae.” Folino noted that McRae Electric’s recent partnership with Techsol, a marine electro-technology company, provided an additional level of expertise for McRae in automation throughout the vessel's operating systems. As the western representative for Techsol, McRae Electric staff have been trained in service, installation, trouble-shooting

and repairs of their systems. Techsol provides custom design and manufacturing of fully integrated consoles, engineered power distribution such as switchboards, MCC, secondary distribution panels, generator control (both locally and remote), main engine control, thruster control, variable pitch control and a number of additional systems covering navigation/communication equipment, steering, fire detection, pump and valve control. “Techsol is already used on Canadian Coast Guard vessels, part of the BC Ferries fleet, the BRATT tug, and Translink’s third Seabus. Some of the vessels mentioned have systems that are fully automated, from power management to propulsion control coupled with extensive HMI capabilities. This is the trend — increased electronics and new technology that provide for greater control over a ship’s main systems.”

As for future growth of the company, both Folino and Gabriele agreed that McRae’s focus would remain in B.C. to capitalize on opportunities here. “We see a very bright future for McRae Electric on the Island,” said Gabriele.

“With John at the helm and the promise of growth of the shipbuilding industry here, we are looking forward to some very positive results.”

More information is available at www.mcraeelectric.com. BCSN September 2011 BC Shipping News 9

INDUSTRY INSIGHT

Right place, right time Bernie Dumas, President & CEO of the Nanaimo Port Authority arrived in the midst of a worldwide recession, new environmental regulations and a general downturn in port business just in time to turn it all around.

B

ernie Dumas, President & CEO of the Nanaimo Port Authority, came to the port just as the world’s economy headed into a recession, environmental regulations were coming into effect and the shipping industry in general was facing severe constrictions.

After two and a half years at the helm of the mid-island port, Dumas reflects back on the challenges of those first months, the efforts of recovery and the opportunities ahead — not just for Nanaimo but in context of port activity in British Columbia and Canada.

BCSN: Looking at the economy first, describe the impact of the recent economic recession on the Nanaimo Port Authority.

BD: The NPA’s main source of revenue over the past five decades has traditionally been in the collecting and loading of dimensional lumber. When the 2008 economic crash occurred, the mills on Vancouver Island faced a dramatic drop in volumes to the U.S. A number of mills closed nearly overnight, effectively stopping the flow of 10 BC Shipping News September 2011

product moving out of our terminals.

I arrived in January 2009 to a market that was not looking very good and a balance sheet that was heading south very fast.

I arrived in January 2009 to a market that was not looking very good and a balance sheet that was heading south very fast.

Between 2008 and 2009, our revenues dropped almost 30 per cent but by 2010, we were back on the upswing and we are seeing that increase continue through 2011.

While the economic crisis affected all ports across Canada, the smaller port authorities, who typically rely on a few core commodities, were the hardest hit and faced the most difficult challenges.

Vancouver Island has a total population of less than 750,000 people (or 16 per cent of the province estimate of around 4.45 million). The Central Island population

— where the majority of our business and revenue is generated — is approximately 150,000, so the challenges for a port authority of our size were serious given the evaporation of our core business due to the forestry industry.

BCSN: What about other ports — on Vancouver Island and elsewhere in B.C? BD: There are four Canadian Port Authorities operating in B.C. (Vancouver, Prince Rupert, Port Alberni and Nanaimo). It’s like a Mutt and Jeff scenario — having two large Class A ports operating on the coast with two smaller authorities trying to survive. Our big brothers certainly felt the hit but they are coming out of the crisis stronger with a number of new infrastructure projects on stream, many as a result of the Asia-Pacific Gateway Initiative.

Unfortunately, the two smaller ports on B.C.’s coast have not shared in the benefits of the APGI, which is disappointing as we offer good opportunities to play a role in the global supply chain.

BCSN: How does the Greater Victoria Harbour Authority fit in?

INDUSTRY INSIGHT BD: The Greater Victoria Harbour Authority (GVHA), is not one of the 17 federal port authorities in Canada — they operate under a municipality arrangement. GVHA can certainly handle freight cargoes from the Ogden Point Terminal but they have decided to focus more on their cruise and marina business. Their cruise business has blossomed over the past few years and GVHA are a major player in the cruise industry on the North American West Coast.

One of the key focuses for most, if not all ports, is the development of port infrastructure.

BCSN: What about the rest of Canada?

BD: Growth and recovery over 2009 was significant in every region across Canada. The Association of Canadian Port Authorities (ACPA) provided a good update recently which indicated Canadian ports generate, on an annual basis, 250,000 direct and indirect jobs with $10.2 billion in salaries; add $30 billion to Canada’s GDP; pay $2.2 billion in federal and provincial income taxes and another $2 billion in consumption tax.

One of the key focuses for most, if not all ports, is the development of port infrastructure. ACPA recently undertook an Infrastructure Study which indicated a need for an investment of approximately $6 billion for port infrastructure over the next 10 to 15 years. The trade volume through Canadian ports is expected to double over this same timeframe and it’s critical that Canada has the necessary port-related infrastructure to continue to serve important supply chains. The freight capacity of our ports and their inland inter-modal connectors greatly determine whether we maintain our international edge and quality of economic life. Failure to keep pace with trade growth will create

bottlenecks, increase costs and hold facilities to services for ship repair and back economic prosperity if we don’t even to infrastructure and attractions plan now. for increasing Nanaimo’s tourism BCSN: What are the major factors opportunities, Nanaimo Port Authority affecting continued recovery for NPA? plays a significant role in the overall BD: In the short term, the NPA needs growth of the city. We see partnerships the recovery of the forest product indus- with the City, the various industry sectry on the island. We have been working tors serviced by the port, and First closely with our island suppliers during Nations groups as one of the keys for these hard times to make improvements future growth. and offer incentives to get back to traditional market volumes —and it is work- For the West Coast as a whole, the ing. The core commodities are still very important to the NPA’s survival but the opportunities related to increased lesson learned after the 2008 economic trade with Asia are what’s driving the crisis is that we cannot expect to live off forest products solely if we expect to be economy... successful. Over the past couple of years, the NPA has spent a great deal of time For the West Coast as a whole, the opinvestigating and evaluating new busi- portunities related to increased trade ness opportunities that would broaden with Asia are what’s driving the econthe scope of services available at the omy while the U.S. continues its recovport to create new revenue streams. ery from the recession.

BCSN: What are the next steps BCSN: Has the Asia-Pacific Gateway for growth — both short-term and Initiative had any impact on the NPA long-term? or do you see any future opportunities BD: As just mentioned, the NPA is stemming from it for Nanaimo? working hard toward diversifying our BD: As mentioned earlier, the APGI services and activities. We have shifted has had a great impact for the ports at our commercial activities from our Assembly Wharf terminal (near the downtown core) to what we hope will be our flagship terminal for cargo at Duke Point. The first step in the change has been the construction of the new cruise ship terminal at the Assembly Wharf this past year.

The $24 million project is the largest in the port’s history and will convert the Assembly Wharf into a community transportation hub over the next decade.

From seaplanes to May 2011 — Bernie Dumas speaks at the official opening of recreational boating Nanaimo Port Authority’s new cruise terminal.

September 2011 BC Shipping News 11

INDUSTRY INSIGHT Vancouver and Prince Rupert over the past few years but unfortunately has not offered the Island ports any new opportunities. Now that the APGI has established a successful path with the larger ports, I hope that new opportunities can be shared with the smaller ports in the years ahead. We have a role to play in the supply chain between Asia and the West Coast. Short-sea shipping, which was part of the APGI’s original agenda, could be extended to help the Island develop new initiatives.

BCSN: What factors have impacted most on port operations over the past decade?

BD: Security, environmental, First Nations and aging infrastructure challenges have all greatly changed dayto-day operations of port authorities across Canada and particularly here on the West Coast. All ports are trying to

address these issues and especially the cost of implementing changes with limited or no support from government.

The public perception that a port authority receives funds from Ottawa to operate their facilities might have been the case back in the ‘80s under the old system as harbour commissions but when the federal government changed ports from commissions to authorities the rules changed. Since 1999, ports have been expected to be selfsufficient and actually direct surplus revenues to Ottawa. Some new projects have certainly received support from provincial and federal governments but older infrastructure that requires updating has been left for the ports to address.

Security and environmental upgrades have meant dramatic changes over the past few years and in most cases it is Bernie stands in front of construction of up to the port to cover the cost.

Bernie and Doug Peterson, Manager of Marketing & Sales for the Port, at the Seatrade Cruise Shipping Convention.

12 BC Shipping News September 2011

The 17 official federal port authorities are major national assets for today’s needs but must consider the country’s needs well into the future. To ensure that these assets continue to meet our needs, it is critical that the facilities are kept up to date. Many ports in Canada are dealing with terminals and facilities that are 50, 75 or even 100 years old and need to brought up to today’s standards. The ports within the Association of Canadian Port Authorities are voicing the need for a federal government infrastructure funding program to address the needs of port authorities across Canada. The association has yet to be successful in securing federal funding but we will continue to stress the need for securing the necessary funding to maintain facilities and address the services for the benefit of all Canadians.

Security and environmental upgrades have meant dramatic changes over the past few years and in most cases it is up

the new cruise terminal.

to the port to cover the cost. The ports in Canada have faced sufficient pressure from government to upgrade security and address environmental issues.

Government agencies do not adjust their regulations based on the size of the port so the smaller ports have been faced with serious increases in costs to upgrade their security and environmental standards to meet government requirements. With the construction of the new cruise terminal, which required R-1 status for security, our costs were well over $250,000 which is a big bill for a port of our size.

Regarding First Nations, on the B.C. Coast especially, ports continue to see challenges to projects, such as those involving land development. Additional attention and resources are required to address these challenges and there can sometimes be a significant impact on the project, including time, cost, etc.

Our most recent experience of this was the development of the new cruise

INDUSTRY INSIGHT ship terminal. We were successful in securing both federal and provincial funding but the biggest challenge by far was working through the environmental assessment process and gaining community support.

BCSN: While we’re on the subject of the new cruise terminal, could you provide some insight into the project and what it took to complete?

BD: We secured $8.5 million federal support as part of the National Stimulus Program but it came with the mandate to complete the project by March 31, 2011. Funding was secured in September 2009 and it took over 10 months to finalize and obtain the necessary permits before the project could start. The process was unfriendly, stressful and required an enormous amount of time to complete. Construction began in August 2010 to create a new floating dock, welcome centre and upgrades to the civil works of the Assembly Wharf.

And, by the way, the majority of work had to be done during the winter season under a short timeline. The majority of the contracts were awarded to companies in B.C. and in particular companies based on Vancouver Island. The project soon became a community endeavour with great support from the local trades, engineering partners and the City of Nanaimo to get the project completed on time. Over 170,000 man-hours of work went into the development with most of this going to local trades as well as First Nations. We completed the facility in April 2011 — just one month over the timeline which had been extended by the federal government to all Stimulus projects across Canada.

We received our first cruise ship — the Norwegian Pearl — on May 7 of this year. Some of the paint was still wet but the call was a great success for the port and our community as a whole. In the beginning, we faced opposition from local First Nations and it took a considerable amount of time and effort to reach an agreement before moving forward. The negotiation process was hampered by the threat of losing federal funding if we didn’t complete the project on time so it was a fairly stressful time during negotiations.

BCSN: What are your forecasts for increased cruise activity to Nanaimo? What else needs to be done to further develop Nanaimo’s cruise industry?

BD: The cruise operators have a large number of ports around the world attempting to secure business. They do not commit easily and it requires patience and hard work to gain their support. The NPA began its cruise business in 2002 and over the years has developed a good relationship that we hope will assist us in securing more business for the new terminal.

Building a suitable dock and welcome centre as well as acquiring customs inspection services is only part of the package.

Suitable attractions and shore excursions are key to the longterm success of handling cruise ships in any community and we are working closely with the City of Nanaimo, Destination

About Bernie Dumas

B

orn and raised outside Montreal, Bernie began a career in the marine industry working at Fednav while still attending college in the mid-‘70s. He joined Montreal Shipping (Montship) in 1976 and held a variety of management positions.

Bernie enjoyed a 16-year career with Montship, moving through the ranks to Traffic Manger before accepting a General Manager position with Inchcape Shipping for Cho Yang Container Lines. After five years, Bernie joined China Shipping Canada and spent 10 years there as General Manager, primarily to establish their Canadian operations. With positions in Saint John, N.B., Halifax, Montreal, Toronto, Vancouver and now Nanaimo, Bernie has enjoyed a 37-year career in the shipping industry. He is Past President of the Vancouver Transportation Club and Past President of the Plimsoll Club of Vancouver.

“During most of my career,” says Dumas, “I have been a customer of a port authority and this has given me a strong understanding of the needs and challenges of our port clients.

This has helped greatly in my current position as President & CEO.” Bernie lives in Nanaimo with Shelley, his wife of 32 years and grown children Kimberley and Christopher who have both relocated to Vancouver Island. When asked how he spends his free time, Bernie replied: “What free time?” However, golfing, reading and fishing are at the top of his list for recreational activities.

With the NPA celebrating its 50th year in operation, Bernie is optimistic about the port’s future and feels the best is yet to come. “Our close proximity to Vancouver offers the NPA a great advantage to develop a wide variety of services that cater to the marine industry. The NPA has, over the past few years, become the “Solutions Port” for many customers looking for a location to get the job done in a less congested environment.”

In providing advice for the next generation of the workforce, Bernie notes: “Our industry has great opportunities for a career and offers a global network. Canada is a trading nation and what better job to have than to help our country move cargo to international markets.”

About the Nanaimo Port Authority Ray Dykes provides an in-depth and informative look at the history of Nanaimo Port Authority on page 30...

September 2011 BC Shipping News 13

INDUSTRY INSIGHT Nanaimo and the local business community as well as our local First Nations representatives to develop unique activities that will provide an enjoyable experience for passengers visiting Nanaimo. The Port created a five-year plan to achieve our goal of securing 30-40 calls per season to our new facility. We are working with the Cruise BC Association on a number of initiatives to sell B.C. as a destination and I am confident that we will achieve our goal within the time frame set.

We’re working towards diversifying our operation over the next few years to provide for new revenue sources.

BCSN: In your opinion, what can we expect to see from port performance overall going into 2012 and longer term?

BD: All of the ports in Canada are doing better than many of our U.S. counterparts but the global economic situation remains very fragile and we

Bernie stands with Prime Minister Stephen Harper during the announcement of federal funding for the new cruise terminal. could face more challenges in the months and years to come. We are seeing many companies in Canada and in B.C. with a stronger financial position and they are beginning to expand their operations. Trade is increasing at the

global level and I’m optimistic that this increase will only serve to better the position of Nanaimo Port Authority.

We’re working towards diversifying our operation over the next few years to provide for new revenue sources. A new economic crisis in Europe would change the timetable for recovery.

Vancouver Island is projecting a sizable increase in population over the next decade as the baby boomers head into retirement. The large box stores are establishing a stronger presence on the island, creating challenges and opportunities that come with moving larger volumes of freight to the central island.

The NPA has been considering shortsea-shipping opportunities for a number of years and we are now convinced that the time is right to implement intact container movements between Vancouver and Nanaimo to improve the flow of cargoes but also to address environmental concerns. Europe and Asia are years ahead in short-sea shipping and the B.C. Coast is an ideal location to adopt a stronger coastal operation that would offer sizable reductions in carbon emissions for our province. BCSN

14 BC Shipping News September 2011

LEGAL AFFAIRS

The scope of federal power: The determination of what matters fall under “navigation and shipping”

By Paul D. Mooney

A Vancouver lawyer with Bernard & Partners

T

he Constitution Act, 1867 sets out the division of legislative powers between the Federal Parliament and the provincial legislatures. Under section 91(10), the Parliament of Canada has exclusive legislative authority within a variety of classes of subjects including, “navigation and shipping”.

Conversely, the legislature in each province pursuant to section 92(10) may exclusively make laws in relation to matters coming within a variety of classes of subject including, local works and undertakings as well as property and civil rights.

The Courts have examined the scope of s.91(10) “navigation and shipping” in a large number of cases. It is generally acknowledged that the class of subjects falling under the ambit of “navigation and shipping” is to be widely construed.

This means that the Federal Parliament has power to legislate not only on matters concerning maritime navigation but on a large number of marine matters that touch on shipping, ship services and even marine insurance.

A recent example of the scope of s.91(10) is the Ryan’s Commander case, specifically referenced as Newfoundland

(Workplace Health, Safety and Compensation Commission) v. Ryan Estate 2011 NLCA 42.

...the Federal Parliament has power to legislate not only on matters concerning maritime navigation but on a large number of marine matters that touch on shipping, ship services and even marine insurance.

The facts of the case are unfortunate.

David and Joseph Ryan were brothers and worked as commercial fishers on the north east coast of Newfoundland.

They owned and operated a 65-foot fishing vessel, “Ryan’s Commander”.

In 2003, the brothers had contracted with two companies to design and build the vessel which was subsequently inspected by Transport Canada to ensure it was safe, suitable for its intended use and met stability requirements. On September 19, 2004, the vessel, having already unloaded its catch, was heading from Bay de Verde to its home port of

St. Brendan’s. It hit heavy seas and capsized. The brothers were able to abandon ship but their life raft also capsized and both drowned. Some members of their families subsequently received compensation from Newfoundland Workplace Health but ultimately in 2006 the families of the brothers commenced an action against the design and build companies and the naval architect for negligence and breach of contract in design and construction. The suit also included a claim against the Attorney General of Canada alleging negligence for the vessel inspection and stability testing.

The design and build companies filed an application with the Workplace Health, Safety and Compensation Commission (the “Commission”) seeking a determination as to whether the families’ law suit was barred by the provisions of Newfoundland’s Workplace Health, Safety and Compensation Act (the “Workplace Act”). The Workplace Act provides that claims relating to injuries brought against an employer or worker by a worker or their dependant(s) will be compensated by the provincial scheme.

This effectively bars any injured parties September 2011 BC Shipping News 15

LEGAL AFFAIRS from commencing a civil suit where such injuries arise in a worker-worker or worker-employer context. A similar system is in place in British Columbia under the Workers Compensation Act. It was determined upon investigation by the Commission’s internal review specialist that, among other things: 1. the design and build companies were employers and the naval architect was an employee and thus a “worker” under the Workplace Act; 2. some of the family members had already received some compensation from the Commission pursuant to the provisions of the Workplace Act; 3. at the time of the sinking, the vessel was on its way home and accordingly the brothers were in the course of their “employment” when they drowned; 4. the law suit by the family was barred by the provisions of the Workplace Act; and 5. the litigation bar set out in the Workplace Act extended to claims other than mere negligence, such as the breach of contract alleged in the claim by the family members.

On appeal of these findings to the Newfoundland Court (Trial Division), the court held that findings One to Three

16 BC Shipping News September 2011

plus finding Five were correct. The finding that the law suit was barred by the provisions of the Workplace Act was held to be wrong on the basis of a s.91(10) division of powers argument and as such the entire decision of the review specialist was quashed. The court concluded that the provincial Workplace Act could not operate to bar a maritime negligence or contract case because such claims are governed by federal law, not provincial law. This finding was upheld upon further appeal to the Newfoundland Court of Appeal.

The court acknowledged that, in this case, there was some overlap of powers; the federal government had power over navigation and shipping while the provincial government had power over occupational health and safety legislation...

At the trial division, the court concluded that the families were bringing their claims under federal legislation, specifically the Marine Liability Act (the “MLA”). The MLA provides for injured parties in maritime claims to seek damages by way of compensation. It also allows for “dependant” claims by virtue of s.6.

The court acknowledged that, in this case, there was some overlap of powers; the federal government had power over navigation and shipping while the provincial government had power over occupational health and safety legislation by virtue of property and civil rights. Specifically, the court stated that the fishing enterprise undertaken by the Ryans could be considered a provincial undertaking but the application of the Workplace Act clearly impaired the right of any injured party to bring a civil action under the federal MLA. Mr. Justice Hall, at paragraph 30, declared: “The issue then is whether the statutory bar impairs the federal right to bring such an action, and whether the federal right to bring such an action is an integral part of the federal jurisdiction over navigation and shipping or whether the provincial intrusion by way of the statutory bar is merely casual or incidental, thus not giving rise to the application of the interjurisdictional immunity doctrine.”

Mr. Justice Hall went on to state, at paragraph 32: “An analysis of workers’ compensation legislation in pith and substance reveals that it is in fact an insurance scheme. If it was limited to an insurance scheme and did not contain the statutory bar against action upon employers or workers registered under the scheme, there would be no difficulty in concluding that the Marine Liability Act and the Workplace Health, Safety and Compensation Act can exist side by side. However, where the Workplace Health, Safety and Compensation Act intrudes on the core of the power of the federal government to the extent that it “impairs” that power,

LEGAL AFFAIRS the doctrine of interjurisdictional immunity does apply. There can be no greater level of impairment of the power to sue then to bar the exercise of that power. Therefore, it is logical to conclude that the Workplace Health, Safety and Compensation Act does impair the federal power to sue under the Marine Liability Act, which power to sue I have determined is a core feature of federal legislation governing navigation and shipping in that it is an essential element of the requirement for uniformity of legal rights in navigation and shipping situations. I am therefore satisfied that section 44 of the Workplace Health, Safety and Compensation Act must be read down to conclude that it can not have the effect of barring any action which the First to the Seventh Applicants would have against the First to the Fourth Respondents under the Marine Liability Act of Canada.”

On appeal this issue was reviewed and reconsidered. The Court of Appeal was divided on its decision with two in favour of federal jurisdiction and one not. The majority of the court recognized the clash of the two regimes at paragraphs 54 to 58, stating: “The federal government has allowed no fault-based tort law under the rubic of maritime negligence law…

By contrast the province of Newfoundland and Labrador, in line with other provinces, has eliminated the fault-based tort regime in respect of workplace injuries and substituted a no-fault insurance scheme which requires all employers in the province covered by the scheme to pay into a common insurance fund, out of which claims for compensation by workers and their dependants resident in the province can be satisfied.”

The majority then reviewed the doctrine of interjurisdictional immunity to determine if the infringement of the Workplace Act into federal jurisdiction was merely minimal or in fact went to the core of the federal government’s control over navigation and shipping.

The majority held that the statutory bar under the Workplace Act did encroach on the protected core of federal

jurisdiction over navigation and shipping because “maritime negligence law has been determined to be part of the core of that jurisdiction.”

The majority also held that despite the fact that most worker claims barred by s.44 of the Workplace Act did not fall under the ambit of Canadian maritime law, those that did were affected to a serious degree with an ultimate result that the workers’ rights under maritime law would be totally extinguished.

A different finding was held to apply relating to the “preventative” portion

2011 BCCA 35. In that case, a number of parties challenged the province’s ability to enact and enforce certain provisions of the Occupational Health and Safety Regulations relating to vessel stability, an area thought to be governed by the Federal Parliament by way of the Canada Shipping Act, 2001 and regulations. The British Columbia Court of Appeal held that there was no conflict between the two legislative regimes and in fact the provincial regime served to plug “gaps” in the federal regime.

This decision was not analyzed by the Newfoundland Court of Appeal in the Ryan’s Commander case.

of the scheme in the recent decision of

If the Ryan’s Commander case stands,

Jim Pattison Enterprises Ltd. v. British

then it is quite possible that the litiga-

Columbia

tion bar under British Columbia’s own

The majority then turned their focus on the doctrine of paramountcy. Under this doctrine, federal jurisdiction will prevail: where it is impossible to have dual compliance with both federal and provincial law; or, where the operation of the provincial statute serves to frustrate the federal law. The majority found that it was impossible to have dual compliance as the provisions of the Workplace Act did not provide for an “election” for maritime claimants.

That is, the provisions set an absolute bar rather than allowing those affected to opt in or opt out of the provincial scheme. Additionally, the provisions also stripped the right to commence an action from the numerous dependants as specifically provided for under s.6 of the MLA.

Workers Compensation Act...will be

It is interesting to note that this decision was in the context of the “compensation” portion of the no-fault legislative insurance scheme. A different finding was held to apply relating to the “preventative” portion of the scheme in the recent decision of Jim Pattison Enterprises Ltd. v. British Columbia (Workers’ Compensation Board)

Paul Mooney is an associate lawyer with Bernard & Partners. His practice includes enforcement of maritime liens, debt collection, vessel arrest and security, carriage of cargo, collision, marine insurance, bodily injury, and constitutional issues arising in a marine context.

challenged using the same argument.

If the Ryan’s Commander case stands, then it is quite possible that the litigation bar under British Columbia’s own Workers Compensation Act (as well as workers compensation schemes in other provinces) will be challenged using the same argument. Leave to appeal to the Supreme Court of Canada is being sought in the Jim Pattison case. We understand that leave to appeal will likely be sought in the Ryan’s Commander case. We will see if the Supreme Court of Canada considers the issues raised in these two cases to be important enough for hearing.

Paul can be reached at mooney@bernardpartners.com September 2011 BC Shipping News 17

CRUISE INDUSTRY

North America cruise port growth

By Donna Spalding, North West and Canada Cruise Association

W

ith larger ships carrying more passengers, port development has matched the pace by adding new destinations to attract cruise lines and their guests worldwide.

Home ports are typically where cruise guests start or end their cruise and where ships take on their supplies.

Home ports are not destinations, but the gateway to the destinations.

Over the past 10 years, the number of home ports in North American has grown from three to 22. This, as recognition of the value, safety and excitement of visiting destinations that taking a cruise builds. These developments have occurred, in part, to respond to the

Customs Brokers • Steamship Agents Complete Import & Export Services Quality Service Since 1911 401-1208 Wharf St., Victoria, B.C. V8W 3B9 Tel: 250-384-1653 • Fax: 250-382-3231 E-mail: kingbros@kibro.com

Port Metro Vancouver is Canada’s largest and North America’s most diversified port, trading $75 billion in goods with more than 160 trading economies annually. We’re also

collaborating with government and industry partners to invest nearly $9 billion in the coming years to further develop the Vancouver Gateway.

18 BC Shipping News September 2011

guest’s desire for easier access to their port of embarkation and alternative methods of travel to get there.

Cruise home ports may host not just one but several major cruise lines, with the number of embarking and disembarking passengers ranging from hundreds of thousands to millions each year. Home port embarkations in 1980 were 1.4 million passengers on North American itineraries, by 2014 that number is expected to reach 21.6 million passengers.

During 2007, approximately 1,000 cruise ship calls were made at Canadian home ports and destination ports. This generated nearly two million passenger arrivals throughout the six-month cruise season. This generated $1.1 billion in direct spending by the cruise lines, passengers and crew; and 9,791 annualized full- and part-time jobs.

In 2012, Port Metro Vancouver expects 188 calls, most of which are cruise lines home porting for Alaska (the destination). This translates to a forecasted 660,000 passengers and represents most of Canada’s home port business. For the most part other Canadian ports serve as ports of call — they are the destination.

Not all ports are suitable as home ports. First and foremost in the viability of any port is the ability to bring guests to the port. Attributes include large air access/capacity with direct flights to/ from large North American population centres. Sufficient ground transportation capacity for passengers, crew and ship stores; sufficient hotel capacity for passengers and crew; and the capability to cater to multiple shiploads of passengers at one time. In addition they must have adequate terminal facilities for passenger and baggage screening, customs and immigration processing, check-in, and baggage lay-down. Home ports tend to be large cities.

CRUISE INDUSTRY Ports of call on the other hand are usually attractive smaller cities or towns — off the beaten path or hidden gems — with convenient proximity to the cruise route; popular with passengers and with sufficient tour and sightseeing opportunities.

The accompanying chart details port growth, comparing 2003 to 2010. The top five ports accounted for 59 per cent of North American cruise passenger departures. Vancouver experienced a decline from 2009 to 2010 — the impact of excessive taxes and fees on cross-border airlift presents substantial barriers to travel and tourism in Canada. They are also in large part responsible for a wholesale migration of cruise ships to home port in Seattle rather than in Vancouver for the Alaska trade.

Increasing environmental awareness creates new challenges for the cruise industry and port development. Cruise lines are continuously upgrading to keep cruise vacations attractive Departure Port (000)

2003

2010

Miami

1,867

2,151

Fort Lauderdale

1,100

1,759

Port Canaveral

1,114

1,299

New York

432

556

San Juan

579

522

Seattle

165

469

Galveston

377

429

Tampa

419

425

Long Beach

171

414

Los Angeles

516

374

Vancouver (CN)

466

272

New Orleans

297

261

San Diego

93

242

Baltimore

215

Cape Liberty

198

Mobile

183

Jacksonville

172

Honolulu

173

Another significant change over the past 10 years has been the increase in security now practiced at all ports as well as onboard the ships. In 2004, the International Ship and Port Facility Security (ISPS) Code, developed by the International Maritime Organization, was brought into force. The Code provides a framework for security plans which, in addition to establishing roles and responsibilities for maritime security, provides requirements to monitor and control access of people and cargo.

Ogden Point Port Terminal Victoria, BC

-modern marine terminal -provisions and ships stores -customs and immigration -100,000 ft2 transit warehouse -productive and flexible stevedores -large staging area

126

Charleston

117

Boston

82

Seward

65

Whittier

63

San Francisco

40

Southampton

32

Norfolk

27

Other Ports

580

118

All Ports

8,349

10,609

Home port growth between 2003 and 2010.

and exciting, while doing their part to research and develop environmentally sustainable operating practices.

In addition to the growth in home ports is their partnership with the cruise industry. In 2009, Port Metro Vancouver became the first port in Canada and third in the world to install shore power for cruise ships, allowing ships to shut down their diesel engines and connect to a land-based electrical grid while docked at Canada Place. Since that time, another five ports have installed the “plug in” option, bringing the current total to eight. The search for “green technologies” continues —the ports of San Diego and Los Angeles (the home port of the original “Love Boat” in the 1970s) have both invested in solar power systems, reducing carbon emissions, improving air quality and increasing economic opportunities.

Greater Victoria Harbour Authority www.victoriaharbour.org 250-383-8300

September 2011 BC Shipping News 19

HISTORY LESSON

The Port of Vancouver, 19th century style

By Carrie Schmidt

on behalf of the Vancouver Maritime Museum

T

he Port of Vancouver has a long history. But relative to other ports, it’s actually been a fairly recent, and short, history. Perhaps an accurate statement would be that it has a history, period. And there is the tricky thing about history — it’s only as long or as short as what has been recorded.

Vancouver is celebrating its 125th anniversary this year, but it was a hub of activity long before 1886. The city’s namesake, Captain George Vancouver (1757-1798) explored and mapped the Pacific Coast during his epic voyage of 1791-1795. Before that, indigenous fishers, hunters and traders settled in areas we now call Burrard Inlet, English Bay, False Creek and the mighty Fraser River, as far back as 8,000 years ago.

It was in the mid-19th century, after Britain and the United States signed a treaty that established the 49th Parallel international boundary, that transport and trade through the Inside Passage and the Strait of Juan de Fuca really started hopping. The 1851 discovery of gold in the Queen Charlotte Islands, along with another gold discovery along the Fraser River in 1857, brought fortune hunters galore to Pacific coastal waters. The entrepreneurial spirit also hit the area in full force: sawmills started popping up in New Westminster, and by 1870, a new town site named 20 BC Shipping News September 2011

“Granville” was laid around the infamous Gassy Jack’s saloon, providing goods, services, and lodging to sailors, loggers and millworkers.

In 1875, the area’s first lighthouse was built at Point Atkinson, and shortly after that, whispers of a transcontinental railroad turned into solid plans — and more jobs. The canning industry also flourished: by 1878, eight canners on the Fraser produced over five million one-pound cans of salmon, and within a mere four years, those numbers were doubled.

In 1885, the Canadian Pacific Railway decided to terminate the transcontinental railroad at Granville — this news pushed the relatively small settlement of a hundred buildings and several hundred people into a massive boom: within six months, those hundred buildings multiplied to over a thousand. Even the devastation of the June

13, 1886 fire couldn’t stop the growth of the young city of Vancouver — the CPR dock and the beginnings of the CP’s Empress line meant that this once small settlement was now the gateway to the coveted trade from the Orient.

The facts and dates listed here were borrowed liberally from James Delgado’s publication Waterfront: The Illustrated Maritime Story of Greater Vancouver. It is an extremely informative book and features a number of images held by the W.B. & M.H. Chung Library and Leonard G.McCann Archives at the Vancouver Maritime Museum. The book itself is available through the gift shop of the Museum.

For more details about Captain Vancouver’s voyage, please visit the Vancouver Maritime Museum’s main gallery exhibit, I Am Vancouver, until October 14, 2011.

July 1887 — the site of the Canadian Pacific Railway dock, Canada’s gateway to the Pacific Rim and relatively fast passage to Asia. The average time of travel from Yokohama to the B.C. Coast was 41.5 days in 1886 and a vessel’s cargo of tea ranged from a lightweight 529,000 to 1.8 million pounds.

OIL spill response

B.C. spills:

Western Canada Marine Response Corporation is ready

I

t should come as no surprise that BC Shipping News has been closely monitoring the debate regarding tanker traffic on the West Coast of Canada.

While politicians, environmental groups and shipping organizations continue to put forth arguments for and against a tanker traffic ban — indeed, BC Shipping News has already published one informative article by Captain Stephen Brown, President of the Chamber of Shipping of British Columbia (Tanker Traffic: fact versus fiction, May 2011, Volume 1 Issue 2, page 46) — we thought it appropriate and timely to provide an educational look at marine oil spill response capabilities in B.C. before delving more into the debate about tanker traffic.

Although the number of incidents of spills from tankers have significantly decreased over the past 20 years while the volume of traffic has increased (again, see Captain Brown’s article in our May issue), as long as we rely on our coastal and inland waters for commerce,

recreation and food, there will always be a risk of a spill, whether tanker traffic is banned or not. No matter how small or large that risk is, the ability to respond quickly and effectively is essential.

Regardless of the debate on tanker traffic, marine spill response has, is, and always will be, an integral part of the marine industry in Canada.

Regardless of the debate on tanker traffic, marine spill response has, is, and always will be, an integral part of the marine industry in Canada. Here on the West Coast, we are lucky to have the Western Canada Marine Response Corporation (WCMRC) as the go-to organization for spill response. The expertise, professionalism and dedication of staff are evident, not only through conversation or touring facilities, but also in their reputation throughout North

America, exampled by their recent assistance in the response to the BP oil spill in the Gulf of Mexico.

Established in 1976, Burrard Clean Operations (BCO) — now a division of the Western Canada Marine Response Corporation (WCMRC) — was founded by four oil companies and a pipeline company in Burrard Inlet as a way of co-operatively funding spill response capabilities. BCO became a division of the federally certified WCMRC when the Canada Shipping Act was amended to include regulations and standards to protect all navigable waters in 1995 (see the side-box for details on the governance of marine spill response).

Now, with over 2,000 members, WCMRC has 22 full-time staff and 500 available trained responders, 28 oil spill response vessels with construction on an additional one starting in September, 52 response trailers and 14 support vehicles. Responsible for a geographic area of response that includes September 2011 BC Shipping News 21

oil SPILL RESPONSE 27,000 km of shoreline, WCMRC covers the coastal portions of B.C., extending to the 200 nautical mile limit, as well as all inland navigable waters in the province. The province is broken down into eight distinct area plans which factor in local support, contacts and locations for equipment as well as staging areas, and protection and treatment strategies. Main offices/warehouses are located to cover the North Coast (managed by Robert Stromdahl), the South Coast (managed by Scott Wright) and Vancouver Island (managed by Bill Jahelka).

“Every spill is different,” says Kevin Gardner, President and General Manager. “It’s our job to ensure, number one, the safety of the public and response personnel, then control the source of the spill and maximize the protection of environmentally sensitive areas. This takes a very high level of co-ordination among many partners and to achieve that takes a great deal of training and preparation. While we can’t anticipate every scenario in which a spill might occur, we can train for various conditions, including area of the spill, marine conditions and volume.

For example, a spill in a river can be very different from an ocean spill and will require different equipment and actions from responders.”

At work: WCMRC staff lower a GT185 Oil Skimmer.

Each year, WCMRC conducts a rigorous oil spill responder training program which includes the training of its own personnel, marine contractors, WCMRC members and FOSET members (Fishermen’s Oil Spill Emergency Team). “As a federally certified Response Organization, we are required to undertake a program of equipment deployment and table-top exercises over the three year certification period,” says Scott Wright, South Coast area manager. “Once a year, we do notification exercises, 150-tonne

At work: WCMRC staff use a sea slug as part of their spill response.

22 BC Shipping News September 2011

equipment deployment and a table-top scenario for a response to a 1,000-tonne spill. Every two years, we perform a 2,500-tonne equipment deployment, and every three years, we undertake a table-top scenario of a response to a 10,000-tonne spill. Training and preparedness are crucial to effective oil spill response.”

On average, WCMRC responds to approximately 20 incidents per year.

In describing a typical response scenario, Wright notes that it usually starts with a phone call. “Every ship over 400 gross tonnes (and tankers over 150 gt) must, by law, have a Ship Oil Pollution Emergency Plan (SOPEP) that is kept on board the vessel and which captain and crew are well versed on its contents. The ship must ensure the SOPEP is exercised and tested on a prescribed basis and there must also be an arrangement in place with a certified Response Organization — i.e., WCMRC for ships travelling through Western Canadian waters. The same applies to oil handling facilities.”

When a spill occurs, the ship’s OSC (on-scene commander) calls the WCMRC emergency response number which then activates the response

oil SPILL RESPONSE process from the on-duty staff person at WCMRC. The line is staffed 24 hours a day, seven days a week. “We’ll connect with the spiller (or Responsible Party) and undertake a safety assessment as our first step. We’ll need to know what and how much product has been spilled, the operating environment, marine conditions and any other relevant facts that would influence an initial evaluation in order to assess safety of responders.”

Following that initial assessment, WCMRC will mobilize personnel and equipment. Vessels, equipment and personnel are strategically located along the B.C. Coast to ensure the fastest possible response time, even to the most remote location within WCMRC’s geographic area of response. The Canada Shipping Act 2001 Planning Standards provide a guideline for response times depending on the level of marine activity in the area. “For example,” says Wright, “Port Metro Vancouver is considered a Designated Port and requires a dedicated response package that must remain in the harbour.”

One of the most significant roles for WCMRC during a spill response is to manage the overall co-ordinated response effort under the responsible party. This involves the initiation of a spill management team callout where communication is established with Environment Canada, the B.C. Ministry of Environment and REET, the Regional Environmental Emergency Team who then forms a committee of local stakeholders, including First Nations, Canadian Wildlife Services, Fisheries and Oceans and other representatives who have jurisdictional and mandated responsibilities for local interests. REET plays a key role in identifying sensitivities and priorities. Another important asset is the Fishermen’s Oil Spill Emergency Team (FOSET). With extensive knowledge of B.C.’s Coast and comprehensive response training, the FOSET and Marine Contractor network provides vessels of opportunity and

Who’s who in marine spill response...

W

ith industry responsible for the creation and funding of spill response capabilities, government agencies became the regulators. Under the Canada Shipping Act:

• Transport Canada is the lead regulatory agency and sets the guidelines and establishes the regulatory framework for preparedness and response to shipsource oil spills as well as other ship-source spills of hazardous and noxious substances; • Canadian Coast Guard (under Fisheries and Oceans Canada) is the lead federal agency responsible for ensuring an appropriate response to ship-source spills; and • Environment Canada is the federal authority for providing environmental advice during a ship-source oil or chemical spill.

Here on the West Coast, the Provincial Government also plays a role in spill response through the B.C. Ministry of Environment’s Environmental Emergency Management Program.

Transport Canada certifies the Response Organizations under a set of regulations and standards. The Canadian Coast Guard has the role of Federal Monitoring Officer and will take charge of a spill if a spiller is unknown, unwilling or unable. In Canada, four Response Organizations are certified: • Western Canada Marine Response Corporation (WCMRC) — responsible for all navigable waters of British Columbia; • Eastern Canada Response Corporation (ECRC) — covering a geographic area of response in all navigable waters east of the Rocky Mountains, except in the Saint John, N.B. and Point Tupper, N.S. areas; • Atlantic Emergency Response Team (ALERT) — covering the Saint John, N.B. area; and • Point Tupper Marine Services Ltd. (PTMS) — covering Point Tupper, N.S. area.

Ships must abide by a number of regulations governing pollution prevention — not just from the Government of Canada (through the Canada Shipping Act, 2001, the Arctic Waters Pollution Prevention Act, the Migratory Birds Convention Act and the Fisheries Act) but also through the International Maritime Organization’s International Convention for the Prevention of Pollution from Ships. Examples of regulations and precautionary procedures include: • Mandatory double hull requirements for tankers greater than 5,000 gross tonnes; • Discharge limits and restrictions; • Requirements for meeting specified construction, equipment, reporting and operational standards; • A requirement for ships in excess of 400 gross tonnes or tankers in excess of 150 gross tonnes to have a Ship Oil Pollution Emergency Plan and have an arrangement with a certified Response Organization, such as WCMRC; • Voluntary exclusion zone for transiting tankers on the West Coast; and • Extensive use of designated escort tugs.

September 2011 BC Shipping News 23

oil SPILL RESPONSE personnel that extends WCMRC’s marine coastal response capabilities.

Transport Canada is the authority for providing certification and ongoing monitoring of Response Organizations as well as development and administration of policies, regulations and programs that aim to protect Canadian marine environments and waters. The Canadian Coast Guard plays the role of Federal Monitoring Officer for ship source spills to ensure the activities of the Responsible Party and its Response Organization are satisfactory. If the CCG is not satisfied with the response they have the power to take over the response.

Response operations are managed through an Incident Command System. The ICS structure provides flexible response capabilities that can be adapted to the specific characteristics of the incident. WCMRC has also developed detailed Field Operations Guides for each position, with stepby-step instructions for the tasks to be performed during the initial response period through to the demobilization of resources. In the event of a major spill, an Incident Command Post is established to serve as the main point of co-ordination and communication between the Responsible Party’s Incident Commander, the lead government agency, the WCMRC Spill Response Manager, command staff, REET, stakeholders and WCMRC’s general staff.

200 nautical mile limit.

24 BC Shipping News September 2011

For the field response, WCMRC maintains an inventory of specialized booms, skimmers, vessels, barges, support vehicles and other equipment integral to the effectiveness of the response. “These packages are used by our personnel and contract responders, including the Fishermen’s Oil Spill Emergency Team, to clean up the spill,” said Robert Stromdahl, area manager for the North Coast. “The equipment we use — the amount and type — is determined mainly by the environmental conditions prevalent in the area. For example, we would use larger vessels to provide for greater safety in unsheltered waters. For sheltered waters, we can use smaller vessels and for shoreline cleanup, specialized equipment such as Shore Seal Boom or Flushing Kits can be quite effective.”

While their main focus is on marine spill response, WCMRC also plays a role in land spills as well as providing additional services such as preventative booming, equipment rentals, training, sorbent sales and response plan consulting.

For land spills, WCMRC administers a Land Spill Emergency Preparedness (LSEP) Program in conjunction with the Canadian Petroleum Products Institute.

The LSEP Program provides for a move consistent and adequate preparedness amongst responders and improves the overall preparedness capability for responding to land-based transportation

incidents. WCMRC conducts yearly assessments of contractors to ensure minimum qualifications are being met on issues such as equipment availability, maintenance programs for emergency response equipment and training exercises for contractors.

...575,000 tonnes of oil spilled into the Gulf of Mexico. Over 47,000 responders were mobilized; 6,700 vessels and 3.9 million feet of boom were used...

As noted earlier, WCMRC participated in the cleanup of the Gulf Oil Spill in 2010. Bill Jahelka, Vancouver Island area manager, described WCMRC’s involvement in the Gulf of Mexico oil spill, noting that 13 crew from WCMRC were sent to different staging areas in four states (Florida, Mississippi, Alabama and Louisiana) and provided support through assignments such as boom repair, shallow water barge systems training and operations, resource tracking and logistics support. A typical staging area could contain as many as 25 vacuum trucks, 25 shore tanks, 100,000 feet of boom, 50 vessels, and up to 1,000 people.

Between April 20 and July 15, 575,000 tonnes of oil spilled into the Gulf of Mexico. Over 47,000 responders were mobilized; 6,700 vessels and

oil SPILL RESPONSE 3.9 million feet of boom were used in an operation that, as of last August, had spent over $8 billion in the spill response process. “We learned many valuable lessons from our participation,” said Jahelka. “You don’t need a lot of people working at the Incident Command Post to be effective — if there are too many people, there is a risk of losing span control. There were also challenges with multi-agency co-ordination in terms of controlling redundancies and ensuring effective communications.”

WCMRC were brought in to assist with the Gulf Oil Spill under a mutual aid agreement with the Marine Spill Response Corporation in the U.S. “The agreement allows us to call on resources from each other in an emergency — similar to other agreements we have with countries on a global basis.”

Closer to home, WCMRC has responded to over 650 spills since its inception in 1994. “Industry’s track record has been very good. We’ve responded to spills as small as one litre and as large as 100 tonnes from a variety of different vessels,” said Gardner. When asked if there were any trends that could be seen in recent years regarding the source and type of spills, he noted that the size and

frequency of spills had decreased and that more and more companies were requesting preventative booming before any product transfers. "There is greater awareness of the risks. Companies have become more cognizant of their responsibility to protect the environment," said Gardner.

As far as future trends in technological and procedural improvements, prevention continues to be a main focus while recent investments in research and development of vessels, booms and skimmers continues to improve capabilities for response. A recent contest offered over a million dollars to the best technology advance in spill equipment. The Wendy Schmidt (wife of Google chairman Eric) Oil Cleanup X Challenge launched the contest last year in response to the BP oil spill. The idea was to come up with better solutions to capture oil on the surface and to minimize damage to the environment.

From a pool of 350 registered teams from around the world, the top 10 finalists in the challenge were announced in June of this year. Winners for prizes — $1 million for first place, $300,000 for second and $100,000 for third — will be announced in October. A panel of eight judges will select the three systems that

have the highest oil recovery rate of over 9,460 litres per minute. Examples of inventions include an absorbent coating material that can be applied to a company’s drum or disc surface skimmers in minutes and, once in place, boost the oil recovery rate by as much as 500 per cent; a device known as the Victory Oil Sweeper which consists of two forwardangled rigid floating arms that channel surface oil into a skimmer mounted between them; or a system that moves through the water, taking in surface oil and water via a ramp-like front gate with the water released back into the ocean by opening gates in the bottom of the hull while leaving the oil in the reservoir. (For more on this contest, visit: www.iprizecleanoceans.org.)

For WCMRC, future plans include building a second $1.5 million fast response skimming vessel as well as adding 60,000 feet of boom to their coastal inventory. “As the industry changes, so too must our spill response capability,” said business support manager Bruce Turnbull. “It’s our vision to be regarded as the industry model in the marine oil spill response community and we are well on our way to achieving that goal.”

BCSN

September 2011 BC Shipping News 25

WCMRC FLEET/asset guide SKIMMING VESSELS

EAGLE BAY (Aluminum Hull) LOA: 15.54 m Tonnage: 22.97 t Propulsion: 2x 488 hp Auxiliary: 5 kW gen-set Lifting Gear: 540 kg Hiab Seacrane Skimmer: x2 LAMOR Brush Packs Product Capacity: 6.8 t Recovery Capacity: 32.8 t/hr Built/Shipyard: 2008/Rozema Location: North Coast

BURRARD CLEANER No.2 (Aluminum, Split Mono Hull) LOA: 12.8 m Tonnage: 5.9 t Propulsion: 165 hp Auxiliary: 190 hp Lifting Gear: Crane 700 kg Skimmer: Conveyor Filter-Belt Product Capacity: 16 t Recovery Capacity: 16.2 t/hr Built/Shipyard: 1977/Marco Location: South Coast 26 BC Shipping News September 2011

RESPONSE VESSELS

BURRARD CLEANER No.1 (Aluminum, Split Mono Hull) LOA: 12.8 m Tonnage: 5.9 t Auxiliary: 190 hp Lifting Gear: Davit 225 kg Skimmer: Lori Brush, Disk, Weir Product Capacity: 16 t Recovery Capacity: 49.2 t/hr Built/Shipyard: 1977/Bennett Location: South Coast

BURRARD CLEANER No.9 (Steel, Split Mono Hull) LOA: 22.86 m Tonnage: 63.3 t Propulsion: 671 hp Auxiliary: 2x 50 kW Generators Lifting Gear: Crane 750 kg Skimmer: Conveyor Filter-Belt Product Capacity: 80 t Recovery Capacity: 22 t/hr Built/Shipyard: 1991/Marco Location: Vancouver Island

BURRARD CLEANER No.8 (Twin Screw, Aluminum Hull) LOA: 14.9 m Tonnage: 15.3 t Propulsion: 2x 385 hp Lifting Gear: Davit 225 kg Product Capacity: 2,300 l Boom: 1,350 ft., General Purpose Built/Shipyard: 1990/Shore Boats Location: South Coast

BURRARD CLEANER No.11 (Twin Screw, Aluminum Hull) LOA: 14.9 m Tonnage: 15.3 gt Propulsion: 2x 385 hp Lifting Gear: Davit 250 kg Product Capacity: 2,300 l Boom: 1,350 ft., General Purpose Built/Shipyard: 1992/Shore Boats Location: Vancouver Island

WCMRC FLEET/asset guide BOOM VESSELS

BARGES

BURRARD CLEANER No.6 (Sea Truck)

BURRARD CLEANER No.10 (Tank Barge, Steel Hull)

LOA: 11 m Tonnage: 5.9 t Propulsion: 2x 225 hp Boom: 1,000 ft., General Purpose Built/Shipyard: 1989/Raider Aluminum Location: Vancouver Island

LOA: 56.4 m Tonnage: 889 gt Auxiliary: 3x 671 hp Lifting Gear: Crane 17 t Skimmer: GT 185 Product Capacity: 2,140 t Recovery Capacity: 8 t/hr Boom: Ro, Zoom, Fire, General Purpose Built/Shipyard: 1966/Yarrows Ltd. Location: Vancouver Island

BURRARD CLEANER No.7 (Sea Truck) LOA: 11 m Tonnage: 5.9 t Propulsion: 2x 225 hp Boom: 1,000 ft., General Purpose Built/Shipyard: 1990/Raider Aluminum Location: South Coast

BURRARD CLEANER No.12 (Aluminum Hull) LOA: 9.1 m Tonnage: 8.39 gt Lifting Gear: 750 lb Hand Winch Skimmer: rotating brush Product Capacity: 15.9 t Recovery Capacity: 2 t/hr Built/Shipyard: 1993/A.B.D.Enterprises Location: South Coast

BURRARD CLEANER No.17 (Tank Barge, Steel Hull) LOA: 51.2 m Tonnage: 447 gt Auxiliary: hydraulic power packs Lifting Gear: Crane 1,000 kg Skimmer: GT 185 Product Capacity: 1,023 t Boom: Ro, NOFI Sweep System Other: Crew and First Aid Room Built/Shipyard: 1977/Sikanni Oilfield Const.

Location: South Coast

BURRARD CLEANER No.16 (Aluminum Hull) LOA: 15.2 m Tonnage: 37.11 gt Boom: 1,000 ft. General Purpose Location: Vancouver Island

September 2011 BC Shipping News 27

WCMRC FLEET/asset guide WORKBOATS

WORKBOAT No.20 (Workboat) LOA: 5.5 m Tonnage: 4.6 gt Propulsion: 100 hp Built/Shipyard: 2000/Nordel Custom Marine Location: South Coast

WORKBOAT No.23 (Workboat) LOA: 4.9 m Tonnage: 4 gt Propulsion: 90 hp Built/Shipyard: 2005/Lifetimer Boats Location: Vancouver Island

CREW BOAT

WORKBOAT No.21 / No.22 (Workboats) LOA: 5.5 m Tonnage: 4.6 gt Propulsion: 115 hp Built/Shipyard: 2004/Broadwater Industries Location: North Coast / Vancouver Island

BURRARD CLEANER No.5 (Crew Boat) LOA: 7.3 m Tonnage: 5.1 gt Propulsion: 200 hp Auxiliary: 10 hp Built/Shipyard: 1981/Argo Location: South Coast

WORKBOAT No.24 / No.25 (Landing Craft) LOA: 5.5 m Tonnage: 4.6 gt Propulsion: 115 hp Built/Shipyard: 2008/Broadwater Industries Location: South Coast

NUMEROUS SKIFFS (Work skiffs) LOA: 4.6 to 5.2 m Tonnage: Up to 4 gt Propulsion: Up to 50 hp Location: North & South Coasts

Western Canada Marine Response Corporation 24-HOUR EMERGENCY RESPONSE: 604-294-9116 / Toll-free: 1-855-294-9116 South Coast (Head office): 604-294-6001 Vancouver Island: 250-746-9443 / North Coast: 250-624-5666 www.wcmrc.com 28 BC Shipping News September 2011

WCMRC FLEET/asset guide EQUIPMENT TRUCKS, TRAILERS, RESPONSE UNITS

Work Vehicles South Coast: • 5 work trucks • 1 5-ton truck with crane • 1 2-ton flat deck truck • 1 SUV & 1 ATV North Coast: • 1 work truck Vancouver Island: • 2 work trucks • 1 1-ton flat deck truck Trailers Over 50 ranging from 4.6 to 16.2 metres containing boom, decontamination kits, skimmers, temporary storage, safety supplies, personal protective equipment and sorbents.

Mobile Response Units South Coast: • Mobile Command/Communications Unit • Mobile Logistics Unit North Coast/Vancouver Island: • Mobile Command/Communications Trailer

BOOM

Boom is used to create a floating barrier serving to contain, divert and deflect spilled oil. Thousands of feet of boom are stored in WCMRC warehouses, vessels, trailers and with WCMRC partners to ensure a fast and effective spill response.

Boom consists of a length of rugged fabric with buoyant filler stitched into the side intended to float above the water, and a heavy chain or other ballast inserted into the bottom to weigh down the sub-surface skirt and make it sink.

WCMRC uses General Purpose, Shore Seal, River, NOFI, Ro, Zoom and Kepner Boom.

PORTABLE SKIMMERS

Portable skimmers are lowered into the spill and then can be moved through oily water. Special wiper blades remove the oil from both sides as it passes through.

Skimmers float on the surface and are fitted with a brush, disk or drum that collects oil as it rotates. The oil is then scraped off and discharged from the skimmer into temporary storage.

OTHER EQUIPMENT

Boom vane

Floating collar

Sea slug September 2011 BC Shipping News 29

b.c. ports

After 50 exciting years, Nanaimo seeks new vision

By Ray Dykes

T

he Port of Nanaimo has arguably been around in one form or another since 1852 when the first shipment of coal left the harbour for Victoria on board the schooner Cadboro.

There wasn’t even a town back then, but numerous coal mines were soon opened in and around the midVancouver Island settlement and people were shipped in from Great Britain by the boat load to provide the willing labour.

The fledgling port even boasted the first railway in western North America, which was operating by 1863, taking the coal down from the Douglas Slope mines to a crude Nanaimo dock.

The coal was of high quality and it drew the sailing ships and later steamers to the location and its picturesque harbour. Surprisingly, it wasn’t until 50 years ago that the port was officially organized by the Federal Government, putting it under the control of the Nanaimo Harbour Commission (NHC) on January 1, 1961.

The Nanaimo Port Authority replaced the harbour commission on July 1, 1999, bringing with it more autonomy and borrowing power. Today, it can look 30 BC Shipping News September 2011

back on an exciting ride over the past five decades since Ottawa organized the harbour city as a port.

In a checkerboard history punctuated by reliance on coal and then forestry for its fortunes, the Port of Nanaimo has had to stay flexible and opportunistic as, first coal died a slow death and then, more recently forestry went into the doldrums with pulp mills and sawmills closing up and down Vancouver Island.

The Port of Nanaimo would be the shipping catalyst for Vancouver Island growth...

At the height of the forestry boom, the port’s key downtown Assembly Wharf was under increasing pressure and the harbour commissioners — spurred on a by a “expand or miss the boat” mentality — drew up ambitious plans to develop further terminal space in the inner harbour area. Their dreams were met with widespread public protest and disillusionment in 1973 and subsequent hand-wringing led to some heavy-duty studies.

Eventually, there was a change of focus and the unabashed commissioners

opted for an adventurous proposal to develop deep water and land facilities at Duke Point to the south of the main harbour.

The original plans saw two or three deepsea docks, two sawmills and a pulp mill, and an oil tank farm in what the then popular Nanaimo Mayor Frank Ney described as “the greatest thing that could possibly happen to our city and area at this time.”

The Port of Nanaimo would be the shipping catalyst for Vancouver Island growth and become its most important and busiest forestry products export port.

After studies and further delays and a rising price tab (as high as $110 million), the harbour commission decided to go ahead and build a single deepsea dock at first, backed by a comprehensive industrial park with a decided marine flavour. It was led off with a new sawmill to be built by Doman Industries as the first official customer. The Harmac Pulp Mill, opened in 1950, already ran a successful export dock just to the south.

In conjunction with the B.C. Development Corporation — the province’s representative in a partnership with the NHC — a new reality was developed

b.c. ports for Duke Point and Port of Nanaimo growth. However, by September 14, 1981, when the Duke Point expansion was finally opened, it was a much scaled down version of the original proposal with one deepsea berth and a barge unloading ramp, plus almost endless industrial backup lands.

Blame forestry for the change of heart.

After a record-setting pace through the 1970s and into the 1980s, the industry lost it way in a cyclical tailspin that saw volumes drop to a fraction of previous years.

“Those ambitious plans for Duke Point were never realized,” says Doug Peterson, a long-time Nanaimo Port Authority employee, and Manager of Marketing & Sales. Instead, the Duke Point of today offers: • A single deepsea berth at 171 feet and offering all-tide sailing with a draught of 13.5 feet.

• A 15-acre paved cargo assembly area.

• A fenced area for lumber and project cargoes.

• A 100-tonne, steel loading ramp — the largest all-purpose loading ramp in the Pacific Northwest.

• In June 1997, BC Ferries opened a second Nanaimo terminal at Duke Point (the first is at Departure Bay

north of the harbour) for a truck and passenger service to Tsawwassen south of downtown Vancouver.

• And there’s even the first container crane (ex CenTerm) on Vancouver Island, added in 2000 with the aim of seeing Nanaimo become a feeder port to Port Metro Vancouver.

“Thanks to the cyclical nature of the forestry industry, only the one new sawmill was built and a second pulp mill never came to Duke Point,” reflects Peterson.

Not that the Duke Point experiment hasn’t paid off. With the devastating forestry demise and the industry’s current fight back to some sort of earnings credibility, having a deepsea dock and abundant backup lands has helped Nanaimo diversify.

Today, Duke Point handles kaolin (used in paper making), project cargoes such as recycled pulp mill equipment heading overseas, crushed rock, hog fuel, scrap metal, and more recently imported road salt, which is stockpiled under cover for use on Island and Lower Mainland icy winter roads.

At the helm of the Port of Nanaimo today, President & CEO Bernie Dumas, has taken the past couple of years to hammer home a new message.

“Our port needs to reinvent itself, we need to diversify” he has said to frequent audiences. And so, a new transformation marks the Port of Nanaimo today as it celebrates 50 years as a federally-controlled port, a port seeking a new vision.

With an occasional deficit year, the Nanaimo Port Authority has looked to partnerships as the way ahead...

Looking back over the history of the past 50 years, “it has been a very bumpy ride,” admits Dumas. “There haven’t been the revenues over the past decade to improve and upgrade our facilities as we’d like.”

With an occasional deficit year, the Nanaimo Port Authority has looked to partnerships as the way ahead, such as the three-way funding split for the $24 million new cruise ship facility opened in May 2011. That attractive building and permanent floating dock, capable of handling the biggest ships on the West Coast-Alaska run, was cost-shared by the federal and provincial governments ($8.5 and $5 million respectively), the Island Economic Trust ($3.5 million), and the Port Authority ($7 million).

Nanaimo’s new cruise terminal.

September 2011 BC Shipping News 31

b.c. ports The aim is to attract 30 to 40 calls a season by the large cruise ships. The Port Authority has become a regular at Seatrade Cruise Shipping Conventions in Miami and a founding member of Cruise British Columbia Association, determined to make individual ports such as Nanaimo, Prince Rupert, Vancouver and Victoria destinations in their own right on the world cruise ship map.

The port likes the new terminal so much it plans to move its offices from an historic but cramped downtown site into the cruise ship facility in the fall.

There’s nothing like being at the heart of the action with room to swing a few new ideas around.

But, 50 years down the road from 1961, the Nanaimo Port Authority has also shown a determined doggedness in bringing the public back to the waterfront with a variety of park and walkway projects as well as urban development.

At times the NPA has stepped in and acquired property to give it a better chance of affecting the desired outcome. The Cameron Island residential development, marina and visiting vessel pier is a case in point. The harbour commission bought the once coal handling and later passenger terminal site in 1988 and quickly found a developer who would transform it into a lasting legacy, a sought-after residential prize with a 4.5 kilometre waterfront walkway all the way through the downtown harbour and on to the Swy-a-Lana tidal lagoon, park and playground and beyond to Brechin Point.

In 1993, the port added a $6.7 million Pioneer Waterfront Plaza — a mix of commercial space on the downtown harbour front, including a dramatic mast-like lookout tower, two levels of public parking, and a public plaza which hosts a popular summertime farmers market and the noontime firing of the Bastion Guard cannon.

The port has also been a standout catalyst for revitalizing the downtown of Nanaimo, a city where the original core 32 BC Shipping News September 2011

threatened to die because of a nationleading percentage of outer suburban shopping malls per head of population.

It was also a principal sponsor of the Port Theatre in 1998, where performing arts thrive, and a major backer of the Vancouver Island Convention Centre, which opened in 2008 and highlights its closeness to the attractive harbour.

The port has also been a standout catalyst for revitalizing the downtown of Nanaimo...

Add in annual bath tub races, a floating boat show, yacht races, a dragon boat festival, and a carefully fostered sense of sharing the waterfront, and the vision of the future Nanaimo Port becomes clearer.

Dumas is convinced there is “good news just around the corner”. He is adamant that Duke Point will yet see its true potential as a multi-berth

deepsea facility that has huge potential to attract new business.

But, it won’t be something the port intends to do alone. As well as partnerships with all levels of government, Dumas is welcoming hints that the federal government might be reconsidering how port authorities operate.

Like other port authorities across Canada, Nanaimo sends a percentage of its revenues (in good years and in bad) directly to Ottawa. Dumas is concerned that this prevents essential facility upgrades that could help attract new business to Vancouver Island’s busiest port.

“We have our own borrowing ability based on revenues, but we should be keeping the money sent to Ottawa each year for infrastructure upgrades,” he says.

Ray Dykes is a former journalist who has worked his way around the world.

He is now based in Nanaimo as a writer/ photographer.

Ray can be reached at prplus@shaw.ca.

Imported road salt is yet another sign of diversification at Nanaimo Port Authority.

b.c. ports

B.C. ports update

Key word for Vancouver is ‘diversity’

P

ort Metro Vancouver recently released its 2011 mid-year numbers, indicating a one per cent increase in total cargo tonnage handled over 2010, noting that 2010 saw recordbreaking levels of activity in key sectors and unprecedented infrastructure development. “As this year unfolds, it is clear that our strength lies in our diversity,” said Robin Silvester, President & CEO of Port Metro Vancouver. “Demand from Asian economies continues to be the cornerstone of the Port’s success and will drive our business in the future.” Currently, the Port’s foreign tonnage is approximately four times that of its domestic tonnage.

Highlighting the statistics for key sectors, Port Metro Vancouver reported: • Automobile volumes dropped 28 per cent, from 210,000 to 152,000 tonnes over the same period in 2010, most notably as a result of the major disruption in manufacturing caused by the Japanese earthquake and tsunami. Metric tonnage of auto volumes has yet to recover to 2008 levels where inbound tonnage saw a high of 456,000 tonnes compared to 2010’s total of 382,000 tonnes.

• While breakbulk cargo was down six per cent overall by mid-2011 (from 8.4 to 7.9 million tonnes), foreign breakbulk exports posted a 12 per cent increase due mainly to strong demand for Canadian forest products (logs, lumber, and other wood products).

• Dry bulk volumes saw an increase of 5.3 per cent from 33.6 to 35.4 million tonnes while liquid bulk dropped 22 per cent from 5.9 to 4.6 million tonnes. Losses in cargoes such as petroleum products (down 28 per cent to 3.4 million tonnes) were offset by stellar performances in areas such

as potash and other fertilizers which posted increases of 38 to 45 per cent respectively.

• Containerized cargo continued the pattern of growth seen in 2010 when inbound cargo jumped 16 per cent over 2009 to almost 1.3 million TEUs and outbound cargo rose 18 per cent to just over 1.2 million TEUs. Mid2011 numbers for container traffic grew by five per cent to almost 1.2 million TEUs for combined inbound and outbound.

• After suffering a downturn by as much as 36 per cent in 2010, the cruise sector posted a 16 per cent increase by mid-2011 with 81 cruise calls and almost 260,000 passengers — up from 70 calls and 225,000 passengers from the previous year. The port is expecting growth in the use of shore power for 2011 with 56 shore power-enabled cruise calls (up from 44 in 2010).

During the port’s Annual General Meeting, held in June 2011, Silvester recognized both federal and provincial governments for their leadership and vision through the Asia-Pacific Gateway Initiative. “Governments, industry and Port Metro Vancouver together have committed nearly $9 billion specifically to develop the Vancouver Gateway in coming years,” said Silvester. “The Port is currently leading, developing, funding or contributing expertise to landside projects in three separate areas: the North Shore Trade Area, the South Shore Trade Area and the Roberts Bank Rail Corridor. These projects will provide critical connections to overseas markets, enhance rail and port operations, and improve mobility in communities.”

Project updates include: • The Low Level Road Improvement Project advanced after North Vancouver

City Council voted in favour of a motion to proceed with a design and community engagement phase, on July 18, 2011.

• Pre-consultation has just wrapped up on the Roberts Bank Terminal 2 Project, part of the Container Capacity Improvement Program. Port Metro Vancouver is considering an additional multi-berth container terminal at Roberts Bank which would provide additional capacity of more than two million TEUs per year. Depending on results from the pre-consultation phase (due to be posted on the Port Metro Vancouver website). The Port is still to consider scope, scale and specific location for the additional terminal.

• Preliminary planning and design work has started on the South Shore Corridor Project which aims to reduce road and rail conflicts and improve transportation access and reliability for businesses operating within the Port. The project, proposed from Heatley Avenue to McGill Street, will include a new elevated road over Stewart Street between Clark Drive and Victoria Avenue. Formal community consultation is scheduled to begin in the fall of 2011.

Port Metro Vancouver is busy in a number of other business areas and provided the following update on activity throughout the region: • Port Metro Vancouver has made great improvements to container dwell times, reducing times by approximately 30 per cent to consistently fewer than three days — down from an average of over 3.5 days in January 2010.

• While not directly involved in negotiations, Port Metro Vancouver was very pleased to see the ratification of September 2011 BC Shipping News 33

B.C. PORTS

A bird’s eye view of Port Metro Vancouver’s domain. an eight-year Collective Agreement between the BC Maritime Employers Association and the International Longshore and Warehouse Union, creating long-term stability and reliability for Port users.

• Port Metro Vancouver started dredging the Fraser River in June as part of its 2011 maintenance dredging program. Dredging of the lower Fraser River will continue daily until March 2012.

• Port Metro Vancouver released its first ever Sustainability Report in June 2011. The report highlights key social, financial and environmental achievements and milestones. The report is available, along with the port’s 2010 Annual Report, online at www.portmetrovancouver.com.

• A Port Community Liaison Committee was established recently in Delta with 14 members representing the Corporation of Delta, Tsawwassen

First Nation, community organizations, port industry and Port Metro Vancouver. The committee will meet regularly to share information and foster open communications amongst all stakeholders.

Port Metro Vancouver trades $75 billion in goods annually with more than 160 trading economies, generating across Canada an estimated 129,500 jobs, $6.1 billion in wages, and $10.5 billion in GDP. BCSN

Bright future ahead for Port Alberni

W

ith increases in total tonnage up by as much as 40 per cent over the same period in 2010, this year is turning out to be a solid year for Port Alberni Port Authority. Lumber is up 50 per cent, from approximately 46,500 to 69,600 and raw logs are up 39 per cent, from approximately 249,500 to 346,400. The number of vessel calls went from 25 in the first six months of 2010 to 36 in the first six months for 2011. In addition to increased activity from the forestry sector, cruise activity is also positive with two port calls from Holland America Lines in 2011 and another two already tentatively on the books for 2012.

34 BC Shipping News September 2011

“Much of our work over the past year has been in improvements to our recreational marinas,” said Manager of Property and Community Relations David McCormick. “Between 2010 and 2011 to date, we have made capital investments of over $1.7 million to our recreational marinas — Clutesi Haven, Harbour Quay and China Creek — and another $8.2 million total investment is being targeted to the Fishermen’s Harbour Improvement Project, pending successful funding applications.”

Improvements at Fisherman’s Harbour would include a new floating breakwater with associated facilities, a new service float, a wharfinger building,

a new driveway, a reconfigured service area and improvements in loading/unloading with two new hoists and industrial yard lighting. Future development of Fisherman’s Harbour is expected to include dredging and remediation of contaminated soils, a boat service/repair yard with a new marine hoist, fuel tanks and a coastal dock for vessel service and unloading.

McCormick also expressed great interest towards the progress of the Raven Underground Coal Mine project currently being proposed by Compliance Coal Corporation. “Port Alberni is currently the preferred shipping option for the mine located along the

B.C. PORTS eastern coast of Vancouver Island, just south of Courtenay,” said McCormick.

“Approximately one to 1.3 million tonnes of metallurgical coal would be shipped each year to Asian markets.”

With the public comment period for the project having just wrapped up at the end of June, the approval process will continue through 2011 and into 2012 as Compliance Coal Corporation

works with federal and provincial government agencies to ensure they are meeting the Application Information Requirements/Environmental Impact Statement (AIR/EIS) Guidelines of the B.C. Environmental Assessment Office. An additional 50-day public comment period will be conducted prior to a final assessment report and recommendations on the project to

the provincial Minister of Environment and the Minister of Forests, Mines and Lands.

In addition to the Raven project, McCormick noted that future business opportunities in short-sea shipping, commercial ice and fish processing to name just a few, indicated a positive forecast ahead for Port Alberni Port Authority. BCSN

The Morning Spruce coming into Port Alberni with the Maritime Lighthouse in the foreground.

New CEO in Victoria sets priorities

G

reater Victoria Harbour Authority’s work in the port of Victoria is evolving swiftly. The appointment of Chief Executive Officer Curtis Grad is one of the latest steps in that process. From the beginning of his appointment, Grad looked forward to working with the GVHA management team, board of directors and the community. “My overall aim is to preserve the character of Victoria Harbour as a living and dynamic working harbour, marine transportation hub and accessible community asset,” said Grad.

Moving from a management position at the Queen Alia International Airport in Amman, Jordan, Grad brings a long

history of airport infrastructure development and leadership to Victoria.

The skills are easily transferrable to his new position — from port management and planning to transportation logistics, project management and infrastructure renewal and expansion — and Grad is no stranger to Western Canada, having been in management at both Nanaimo and Abbotsford airports.

One of Grad’s first priorities includes the creation of an overall harbour plan for Victoria’s port. In the long term, Grad would like to see the overall plan encompass a diversity of activities and anticipates a process that will draw on input from the wide and varied group

of harbour stakeholders and port users.

“At this point, I’m proposing we talk with everybody that’s involved — public, private as well as not-for-profit port users — to see if we can start combining our efforts and our resources. I think that there’s room for greater efficiencies and consolidation.”

Grad sees better site utilization as one priority for Ogden Point and is looking forward to developing a master plan that will examine commercial and publicamenity opportunities for the deepsea terminal facility. After a market analysis and community consultation, the site will proceed to rezoning with the City of Victoria. Master planning for the deepsea September 2011 BC Shipping News 35

B.C. PORTS

Curtis Grad joins the Greater Victoria Harbour Authority as the new Chief Executive Officer. terminal will be focused on expanding marine-related services and finding appropriate upland uses that support and complement marine activity.

“The staging areas next to the two large concrete piers at Ogden Point should remain as flexible as possible to allow for a variety of uses,” said Grad.

“This flexibility gives GVHA the ability to take advantage of market/niche opportunities and growth periods in marine industry. The main guidelines for future development do not include hotels, casinos or residential development but will provide for a focus on economic development opportunities for, and awareness of, local First Nations.

Grad would like to see plans for Fisherman’s Wharf include integration with the City of Victoria’s harbour pathway and will likely seek rezoning for the property to allow GVHA to expand commercial opportunities and optimize parking, which is a current limitation of the site. “At Fisherman’s Wharf where 36 BC Shipping News September 2011

the clientele is varied and eclectic — commercial fishing, marina moorage, float homes, eateries and tourism — the focus is on enhancing what is already working well,” said Grad. “GVHA is looking to add depth and diversification at the site, as well as strengthening the financial focus to allow for sustainable development.”

Developing Fisherman’s Wharf to its full potential means taking into account what is practical and sustainable, while maintaining the eclectic character that is a great draw for visitors and residents alike. Consultation on the marina development strategy is set to begin this fall. In the Inner Harbour, the Causeway marina was expanded with the addition of a crescent float. Curving around below the public walkway, the crescent float forms a new pickup and drop off point for harbour ferries at the heart of Victoria’s historic waterfront.

While Grad works to get comfortable with the many facets of his new

position, GVHA is reporting a positive year to date. At the Ogden Point deepsea terminal, 210 cruise ship visits are scheduled for the 2011 season, slightly lower that the number of calls in 2010 (228 ship visits) but still generating a healthy contribution to Victoria’s economy. The four-millionth cruise ship passenger to visit Ogden Point arrived on August 15. Pier B saw the arrival of the Disney Wonder in May, the inaugural British Columbia call of the Disney Cruise Lines vessel as they began their first season on the Alaska route. The Disney Wonder is headed for retrofits at the Esquimalt Graving Dock in September and is scheduled to return to Victoria for 14 visits in 2012.

Ogden Point has a long and proud history as a cargo port is in the transshipment business — goods that arrive and leave by water. Although in recent years cargo at Ogden Point has declined dramatically, the onsite 110,000 squarefoot warehouse at Pier A is a major asset

B.C. PORTS and opportunity for cargo and other marine-related logistics businesses. For the past few years, one of the main cargoes has been yachts, delivered in bulk aboard a carrier. Hold cleaning work and cable ship operations have also been part of the activities at Ogden Point.

With a number of properties under its management, GVHA staff have been busy on a number of fronts including: • pleasure vessel moorage at the Causeway marina; • luxury yacht moorage, commercial

loading facilities, Night Market and other community events at Ship Point; • transient vessel moorage and service facilities for yachts at the Wharf Street Marina; and • long-term moorage with float homes and kayak rentals at both the Johnson Street and Mermaid Wharf marinas.

Of special highlight for the summer season, Victoria’s Inner Harbour welcomed the Russian three-masted Pallada training vessel in August and

the Victoria Dragon Boat Festival with 90 teams from across North America competing on a 500-metre course.

GVHA was also pleased to announce that it was the first harbour authority on the West Coast to join the Green Marine Program as part of its environmental leadership efforts. While the facility is already setting high standards, Green Marine delivers a series of benchmarks that will allow Ogden Point to continue improving its environmental performance. BCSN

Prince Rupert cargo movement still going strong

T

he Port of Prince Rupert continues the upward trend of cargo volumes moving through its coal, grain and container terminals.

Following a record-setting high in 2010 — with a 35 per cent increase in cargo volumes over 2009 and surpassing the 13 million tonne mark for the first time — the Prince Rupert Port Authority confirmed that volumes have continued to spiral upward through the first half of 2011.

At the end of July, foreign cargo movement through the Fairview Container Terminal was up one per cent, while Ridley Terminals, Inc. saw a staggering 21 per cent increase in coal and other bulk shipments. For the first seven months of 2011, total foreign cargo tonnage was up almost 11 million tonnes, 13 per cent over 2010 at this time.

Expectations for continued growth remain high and the Port has embarked on planning exercises to address future capacity. A draft 2020 Land Use Management Plan was released to stakeholders in June and is currently being reviewed by the community and stakeholders. The Plan was developed following a comprehensive consultation period which allowed Port users and the community as well as First Nations and other stakeholders to assist in its drafting.

The Plan proposes a number of initiatives for Port lands and infrastructure, including: • expansion of the Fairview Container Terminal • provision for other bulk terminals on Ridley Island • a general cargo terminal on Ridley Island • a new short-sea shipping terminal • redevelopment of Ridley Island’s inner harbour terminals for light industrial commodities • a logistics industrial park (for export and import) as well as a general marine industrial park Work has already begun on the Ridley Terminals, Inc. expansion project which will add 14 hectares to its 55-hectare working site. The terminal is approaching its capacity of 12 million tonnes of coal annually. The addition of a new dumper system is underway, as is the installation of a third stacker/reclaimer.

The estimated completion date for this phase of the Ridley Terminal expansion is expected to be in December 2011.

Other highlights for the current year included welcoming the MV COSCO PRINCE RUPERT on its maiden voyage to the Fairview Container Terminal in April. Since the opening of the Fairview Terminal in 2007, the strong partnership and collaboration between

Prince Rupert Port Authority, Maher Terminals, CN Rail and COSCO have established an efficient, high-speed corridor between Asian and North America markets.

In preparing for the 2011 cruise season, the Port initiated a Community Cruise Task Force which includes representatives from the Community Futures Development Corporation of the Pacific Northwest, local business leaders, the City of Prince Rupert and related agencies such as Tourism Prince Rupert. The Task Force developed 16 different initiatives aimed at enhancing the cruise ship passenger experience.

Prince Rupert’s 2011 cruise season includes 21 visits from the Norwegian Star between May and September, representing a total of approximately 50,000 passengers and 20,000 crew. “This is our seventh successful year of operation at the Northland Cruise Terminal where we have welcomed over 500,000 passengers and 14 different cruise ships since opening,” said Shaun Stevenson, Vice-President, Marketing & Business Development for Prince Rupert Port Authority.

Another initiative underway in Prince Rupert is the Prince Rupert Integrated Law Enforcement Team (PRILET). Joe Spears provides an overview of this holistic approach to security on page 40.

BCSN

September 2011 BC Shipping News 37

PortSecure 2011: The Evolution of Marine Security

A view from Canada’s West Coast

By K.Joseph Spears

R

ichmond, British Columbia was the site of the fifth annual PortSecure Conference and Expo from May 25-27, 2011 which brought together a variety of marine security users, professionals and government officials from across Canada and internationally for two days of information-sharing and dialogue on marine security. It is an interesting gathering. The PortSecure Conference has been held in Vancouver for a number of years and there has been consistently a developing program to show the best practices and experiences of groups involved in marine security as this aspect of multi-modal marine operations has evolved since September 2011.

PortSecure is the brainchild of Ralston MacDonnell, a Halifax-based engineer who runs the MacDonnell Group, a consultancy that been involved

in maritime security training for many years delivering services to clients across Canada who are legislatively mandated to have certification under the Canadian Marine Transportation Security Act S.C. 1994, c.40 administered by Transport Canada Marine Security. The firm is committed to professional development in the maritime security field.

The company has sought to develop a variety of Port executive training programs and has now branched out to do work in the U.S. maritime security field.

Given that Canada’s international trade is extensive with the United States, having Canadian firms with knowledge of these U.S. regulatory requirements will be a benefit as regulatory requirements become increasingly more specialized and overlapping.

One of the successes of the conference has been the PortSecure advisory

Assistant Commissioner Vija Poruks and Lt.-Cmdr John Morrison.

38 BC Shipping News September 2011

committee that has provided advice on security issues of concern to the marine industry which seeks to meet and exceed the regulatory security requirements.

Past the keynote speakers have included the Honourable Stockwell Day Minister of Public Safety of Canada. The agenda from past PortSecure programs and materials on past conferences can be found at the MacDonell Group PortSecure website: www.portsecure.ca As the article on the developments in Prince Rupert in this issue indicates, the processes and practices of maritime security operations and practices have been evolving for a number of years, Getting together to discuss debate and decide on the best practices on a regular basis provides an excellent opportunity to develop robust and resilient marine security practices from coast to coast to coast. In the past, Transport Canada

Professor Alex Morrison (Honourary Col.), Staff Sgt. Lee Patterson, Ken Gisborne and Commander Matt Plaschka.

port security Marine Security has been active in the conference.

This year’s PortSecure program was especially useful as it brought together a variety of regulatory agencies involved in various operational elements of maritime security. Transport Canada Marine Security had no speakers in attendance but other federal agencies with a marine operational presence were front and centre. The conference was an opportunity to meet and discuss issues from a variety of perspectives on a formal and informal basis. There was plenty of time built into the program to ensure that this important dialogue took place. Previous conferences have focused on a review of port-related security issues and the land-sea interface.

However, as this article’s title indicated, the conference took a broad holistic approach to the issue of marine security in Canadian waters and its evolution.

All of these issues in the marine security field are interconnected. Everyone has a role to play in making Canada safe and secure. Conference attendees had the opportunity to learn about the role of other government departments and their operational role and mandate in the marine security field. This allows individual companies to gain insight and develop best practices and procedures to ensure Canada’s security in a rapidly changing world is maintained.

Highlights from this year’s conference included: • Rear Admiral Greenwood, Commander, Maritime Forces Pacific examined the

military port interface and big picture with respect to maritime defense and security. RADM Greenwood, in his normal candid fashion, provided a unique and candid perspective of the challenges of guarding the Western approaches to the second largest coastal nation in the world.

• Lt.-Cmdr. Dan Somma, of the U.S. Coast Guard Headquarters gave a detailed presentation of developments on the USCG/Transport Canada Compliance and Enforcement Working Group and recent developments at the IMO for a port and ship security manual for contracting governments.

The U.S. Coast Guard has been working to develop a variety of new regulations which will impact Canadian cargo moving to, from and through the United States.

Other speakers looked at container screening initiatives as well as border security issues in a continental context and what became clear in the presentations by Paul Simpson of L-3 and Bill Dewitt of SSA was that the private sector needs to be front and centre on these issues. [A personal highlight of this conference was having a beer with Bill Dewitt, a former Navy Seal who has parachuted into action with a tactical nuke between his legs. He didn’t mention if it was a training mission.]

An afternoon panel examined the role of various federal agencies in water-side security and included DFO, CCG and the Navy — all of whom who have separate but complementary roles. Director

Ralston MacDonnell and Rear Admiral Nigel Greenwood.

General of Conservation and Protection Randy Nelson talked about the role of fisheries officers. Vija Poruks, Assistant Commissioner, Pacific Region, Canadian Coast Guard, talked about the key role that the CCG plays in this field. Cmdr.

Matt Plaschka provided an overview of how the Canadian Navy monitors the coastal waters; the military assets that can be brought to bear; and the importance of communications and reporting suspicious activity.

The remainder of the conference was a series of informative multiple panels that covered a broad range of issues including the consistency of implementation of the Marine Transportation Security Regulations. The materials from the workshop on the MTSR are available from the MacDonnell Group or BC Shipping News. It is clear that as the marine security regime develops, input from industry will be increasingly important — partnerships and friendships that were developed at this conference bode well for the future.

PortSecure is an important element of Canada’s marine security and the 2012 Conference is a must-attend for those in industry and government.

It is the only venue in Canada where it is possible to learn, in a very timely fashion, best practices from around the country and internationally on maritime security with deliverable outputs from the conference. That is an invaluable aspect of this gathering. Everyone in the marine world has a role to play Canada’s marine security.

Speaker Brig.-Gen. (Retired) Jim Bruce (SAIC) and Joe Spears.

September 2011 BC Shipping News 39

port security A holistic approach: marine security in Prince Rupert The Prince Rupert Integrated Law Enforcement Team (PRILET)

By K.Joseph Spears

T

he annual PortSecure Conference provided attendees with valuable information and personal experiences about the best practices in maritime security. Attendees heard firsthand about an exciting development in marine security in Prince Rupert. The Prince Rupert Integrated Law Enforcement Team (PRILET) and new Operations Centre provides valuable lessons for other ports.

It is evident that close working and personal relationships were key to the development of the highly effective PRILET team given the complex overlapping jurisdictions in the maritime security field. When it comes to marine security, personal interaction and the input of mariners and the broader marine community is essential and critical to a successful, safe and secure outcome.

Maintaining safe and secure borders and the seaward approaches to Canada is not a new maritime problem or ocean management issue. It is simply the rediscovery of a very old problem. Marine security, however we define it, received renewed and reinvigorated attention post 9/11. This led the international shipping community, through the International Maritime Organization (IMO), to develop the International Port and Ship Security Code (ISPS Code). National governments, including Canada, have adopted legislation and regulations to implement this code but the ISPS code is just one piece of the marine security matrix. Since the terrorist attacks of 9/11, marine threats have become more complex and asymmetrical. These threats are not limited to terrorists or migrants but include various criminal activities as well as the enforcement of marine environmental legislation.

More government agencies have entered the picture but the solution to the problem has remained the same.

Security management is done through 40 BC Shipping News September 2011

the collection of information and identification of possible threats which are then assessed to determine further action. The dependable and low-tech sensor, the Mark One eyeball, for example, is still an effective tool in the marine security toolbox. Another important component is the free flow of information and clear communications between agencies and input from private citizens.

In marine security, it is often the analysis and potential linkages — not always self-evident at first — that become clear following a review by many experienced eyes, leading to successful security outcomes. These principles are applicable at the national, regional and local level.

In Prince Rupert, the development of PRILET was designed to support Prince Rupert and the entire B.C. North Coast with a focus on strategic solutions to national security issues and gaps. PRILET consists of the following groups: RCMP Border Integrity Program; RCMP North Coast Marine Section; RCMP Prince Rupert Municipal Detachment; Prince Rupert Port Authority; Canadian Border Services Agency; Transport Canada Security; Transport Canada Marine Safety; and CN Rail Police. The group is chaired by the RCMP Border Program.

PRILET co-ordinates all of the resources in various incidents including natural disasters, terrorist acts or marine pollution which could affect the Port of Prince Rupert and/or the north coast of British Columbia. One of the keys to this program was developing a surveillance platform, funded by the RCMP’s E Division, which provides for an integrated communication systems. The integrated communications allow all agencies in times of crisis, a dependable means to communicate. As any sailor knows, radios that actually work are a beautiful thing.

One of the key components of the system is the Port Security Operations Centre (PSOC), a command facility in the

Port of Prince Rupert which has a monitoring capability on a 24/7 basis. The Port recognized the opportunity that PRILET presented and invited various partner agencies to be part of the PRILET implementation and operations. This project was partially funded through the federal government’s Interdepartmental Marine Security Working Group (IMSWG).

PSOC provides an opportunity for a common work area for ongoing monitoring as well as a place for interaction between the various agencies — seen to be key to the program’s overall success.

The close interaction has fostered a good working relationship between agencies which has served to further increase the level of security. This was evident in the presentation.

PRILET plays an important role in security in the area and closes an identified security gap in the maritime environment. In the future, this concept will be integrated into the West Coast Maritime Security Operations Centre (MSOC) and the Canadian Coast Guard’s Marine Communications and Traffic Services (MCTS) system, resulting in more intelligence sharing and heightened maritime domain awareness. The creation of PRILET by people working together was a creative solution to a complex problem.

Marine security is a team sport.

As was stressed in the great team presentation by David Fisher, Manager, Port Security, Prince Rupert Port Authority, and Mike Fox, Sergeant, Prince Rupert Border Integrity Program, RCMP, personalities and egos are parked at the door. Close and solid working relationships have developed. Everyone has worked together for the best interests of overall marine security. It is a lesson we can all learn and emulate as our maritime threats increase. PortSecure 2011 allowed these best practices developed in Prince Rupert to be shared with the larger marine community.

environment

The MEPC 62: Significant achievements for the industry Kaity Arsoniadis-Stein attends the International Maritime Organization Marine Environment Protection Committee (MEPC) 62nd session in London, England July 11-15, 2011.

A

s part of the Canadian Delegation at the MEPC 62, headed by Pierre Marin of Transport Canada, I can report that the session was of historic significance for two reasons: Firstly, it was the last MEPC meeting to be headed by the current SecretaryGeneral, Mr. Efthimios Mitropoulos.

Mr. Mitropolous has been SecretaryGeneral of the IMO since 2003 and has been affiliated with the IMO for over 45 years. Secondly, in addition to the extensive achievements made vis à vis the tabled agenda, the MEPC 62 observed intense negotiations that resulted in a monumental deal making shipping the first industry sector to introduce global mandatory greenhouse gas reduction measures.

ships of 400 gross tonnage and above to adopt the Energy Efficiency Design Index (EEDI) and for all ships to adopt the Ship Energy Efficiency Management Plan (SEEMP).

These regulations are expected to come into force January 2013. Under the EEDI, ships built between 2015 and 2019 will have to rate 10 per cent higher in terms of their energy efficiency performance. For ships built between 2020 and 2024 the rating will increase to 20 per cent. For those built after 2024 an energy efficiency improvement of 30 per cent will be required.

Mandatory Measures to Reduce Greenhouse Gases (GHGs) Under the deal, the new regulations (which are amendments to MARPOL Annex VI Regulations for the prevention of air pollution from ships) add a new Chapter 4 to Annex VI Regulations on energy efficiency for ships. The amendments make it mandatory for all new

builders would be free to use the most

As long as the required energy-efficiency level is attained, ship designers and

cost-efficient solutions for the ship...

The EEDI is a non-prescriptive, performance-based mechanism that leaves the choice of technologies to use in a specific ship design to the industry. As long as the required energy-efficiency

level is attained, ship designers and builders would be free to use the most cost-efficient solutions for the ship to comply with the regulations.

Throughout the week of the MEPC 62, developing nations led by China, Brazil and Saudi Arabia worked hard at preventing adoption of these amendments, mirroring similar diplomatic positioning with respect to emission cuts in UN climate talks. They did, however, secure a waiver (a loophole), which would allow developing nations to apply for a waiver and thus avoid implementation of the standards until 2019. The issue is that developing nations want developed nations to provide capacity building to enable developing nations to comply with any new standard. One can therefore assume that more ships will be built in the yards of developing nations until 2019 in order to circumvent the new rules.

The debate resulted in the need to take a vote (a procedure not embraced by the Secretary-General who wished for consensus and not a “divided” House). The end voting result, which September 2011 BC Shipping News 41

environment allowed only Parties to MARPOL Annex VI to vote (while binding on all 180 member states of IMO) had 48 votes in favour and five against (China, Brazil, Saudi Arabia, Chile and Kuwait) with 12 abstentions. In my opinion, having taken a vote should not be perceived as a negative consequence because the vote showed a small minority of five States against the mandatory measures to reduce GHG emissions and therefore, not reflective of a “divided” house but rather, a remarkable achievement by the IMO. Further Achievements at the MEPC 62 There were additional achievements during this very productive session including: 1. Amendments to designate the U.S. Caribbean Sea as a new Emission Control Area (ECA) with an amendment to make old steamships exempt from the requirements on sulphur relating to both the North American and U.S. Caribbean Sea ECAs. The MARPOL amendments are expected to enter into force January 1, 2013 with the new ECA taking effect January 1, 2014.

2. Amendments to designate the Baltic Sea as a Special Area regarding pollution by sewage from ships. The amendments are expected to enter into force on January 1, 2013.

3. Amendments to designate the Strait of Bonifacio as a Particularly Sensitive Sea Area (PSSA). The MEPC also agreed, in principle, to designate the Caribbean Sea as a PSSA, noting the Netherlands would submit detailed proposals for associated protective measures to the NAV Sub-Committee, which would provide recommendations to the Committee with a view to final designation of the PSSA at the MEPC 64 in October 2012.

4. The adoption of revised Annex V Regulations for the prevention of pollution by garbage from ships.

The amendments are expected to enter into force on January 1, 2013. The main changes include the updating of definitions; the inclusion of a new requirement specifying that discharge of all garbage into the sea is prohibited, except as expressly provided otherwise (the

discharges permitted in certain circumstances include food wastes, cargo residues and water used for washing deck and external surfaces containing cleaning agents or additives which are not harmful to the marine environment); expansion of the requirements for placards and garbage management plans to fixed and floating platforms engaged in exploration and exploitation of the sea-bed; and the addition of discharge requirements covering animal carcasses.

5. The adoption of guidelines for reception facilities under MARPOL Annex VI. 6. The adoption of guidelines for the future adoption of draft amendments to the NOX Technical Code 2008 with regard to particular requirements related to marine diesel engines fitted with selective catalytic reduction (SCR) systems.

7. The MEPC agreed to a work plan on addressing the impact in the Arctic of black carbon emissions. The Sub-Committee on Bulk Liquids and Gases (BLG) was instructed to:

IMO Secretary-General Efthimios Mitropoulos and MEPC Chairman Andreas Chrysostomou received a standing ovation at the close of the MEPC 62 in London, England.

42 BC Shipping News September 2011

environment

Kaity Arsoniadis-Stein with outgoing IMO Secretary-General Efthimios Mitropoulos. develop a definition for black carbon emissions from international shipping; consider measurement methods for black carbon and identify the most appropriate method for measuring black carbon emissions from international shipping; investigate appropriate control measures to reduce the impacts of black carbon emissions from international shipping in the Arctic; and submit a final report to the MEPC 65 (in 2014).

8. The MEPC adopted the first ever international recommendations to address biofouling of ships to minimize the transfer of aquatic species. Research indicates that biofouling is a significant mechanism for species transfer by vessels.

A single fertile fouling organism has the potential to release many thousands of eggs, spores or larvae into the water with the capacity to found new populations of invasive species such as crabs, fish, sea stars, molluscs and plankton. Minimizing biofouling will significantly reduce the risk of transfer.

9. The MEPC adopted the 2011 guidelines for the development of the Ship Recycling Plan.

10. The MEPC developed updated guidelines for the development of the Inventory of Hazardous Materials, which are intended

to assist in the implementation of the Hong Kong International Convention for the Safe and Environmentally Sound Recycling of Ships, adopted in May 2009.

11. The MEPC adopted guidelines related to the implementation of ballast water management and adopted the procedure for approving other methods of ballast water management in accordance with Regulation B-3.7 of the Ballast Water Management Convention.

This will open the door for new methods and concepts to prevent risks arising from the transfer of invasive species, provided that such methods will ensure at least the same level of protection of the environment as set out in the Convention and are approved in principle by the MEPC. This working group was chaired by Transport Canada’s Chris Wiley. Guidance on scaling of ballast water management systems was also approved.

The MEPC reiterated the need for countries to ratify the International Convention for the Control and Management of Ships Ballast Water and Sediments, 2004, to achieve its entry into force at the earliest opportunity. To date, 28 States, with an aggregate merchant shipping tonnage of 26 per cent of

the world total, have ratified the Convention. As a side note, the aforementioned convention will enter into force 12 months after the date on which not fewer than 30 States, the combined merchant fleets of which constitute not less than 35 per cent of the gross tonnage of the world’s merchant shipping, have become parties to it.

12. The MEPC approved guidelines for the carriage of blends of petroleum oil and biofuels, which set out carriage and discharge requirements for biofuel blends containing 75 per cent or more of petroleum oil (they are subject to Annex I of MARPOL); biofuel blends containing more than one per cent but less than 75 per cent of petroleum oil (subject to Annex II of MARPOL); and biofuel blends containing one per cent or less petroleum oil (also subject to Annex II of MARPOL).

The MEPC 62 was a politically complex session with a heavy agenda that was masterfully navigated by its Chairman, Andreas Chrysostomou of Cyprus. Both Mr. Mitropoulos and Mr. Chrysostomou received a standing ovation at the close of the MEPC 62. This session marked significant achievements for the shipping industry which through the IMO enables implementation of vital regulatory standards with global applicability.

September 2011 BC Shipping News 43

pncima

Pacific North Coast Integrated Management Area (PNCIMA)

By Captain Stephen Brown President, Chamber of Shipping of British Columbia

W

hilst many in our industry may not have heard of this initiative, those that are aware have every reason to pay close attention to its development. Let’s begin by briefly explaining the origin and intent. With an apology in advance for some heavy reading here, the authority behind PNCIMA originates with the Oceans Act of 1996 which, in abbreviation, states as follows: Development and implementation of strategy The Minister, in collaboration with other ministers, boards and agencies of the Government of Canada, with provincial and territorial governments and with affected aboriginal organizations, coastal communities and other persons and bodies, including those bodies established under land claims agreements, shall lead and facilitate the development and implementation of a national strategy for the management of estuarine, coastal and marine ecosystems in waters that form part of Canada or in which Canada has sovereign rights under international law.

44 BC Shipping News September 2011

Principles of strategy The national strategy will be based on the principles of: (a) sustainable development, that is, development that meets the needs of the present without compromising the ability of future generations to meet their own needs; (b) the integrated management of activities in estuaries, coastal waters and marine waters that form part of Canada or in which Canada has sovereign rights under international law; and (c) the precautionary approach, that is, erring on the side of caution.

From the outset, both the governance and funding models adopted by PNCIMA have been controversial.

Integrated management plans The Minister, in collaboration with other ministers, boards and agencies of the Government of Canada, with provincial and territorial governments and with affected aboriginal organizations, coastal

communities and other persons and bodies, including those bodies established under land claims agreements, shall lead and facilitate the development and implementation of plans for the integrated management of all activities or measures in or affecting estuaries, coastal waters and marine waters that form part of Canada or in which Canada has sovereign rights under international law.

Marine protected areas For the purposes of integrated management plans, the Minister will lead and co-ordinate the development and implementation of a national system of marine protected areas on behalf of the Government of Canada.

Governance and funding From the outset, both the governance and funding models adopted by PNCIMA have been controversial.

Governance of the initiative is split between Federal Departments, led by the Department of Fisheries & Oceans (DFO), and First Nations with the Provincial Government retaining observer status. This has been

pncima developed into an over-arching Steering Committee with rotating chairmanship which directs a secretariat. In response to heavy pressure for engagement, the Port of Prince Rupert has recently been invited to join the Steering Committee as a marine industry representative.

...there is great disappointment...at the decision of the federal government to largely relegate funding of PNCIMA to U.S.-based philanthropic organizations.

In the fall of 2010 an Integrated Oceans Advisory Committee (IOAC) was established and which might be described as the “development committee of PNCIMA”. Membership of this committee, which is guided by agreed terms of reference, is comprised of representation from the following sectors: • Marine Transportation • Renewable Energy • Non Renewable Energy • Commercial Fisheries • Recreational Fisheries • Coastal Local Governments • Recreation • Tourism • Aquaculture The committee is mandated to meet every second month in a coastal location, the most recent meeting being in Haida Gwaii in June, the next being in Prince Rupert in September.

Also now in formation are four working groups which comprise: • Integrated Economic Strategies • Marine Transportation and Vessel Safety • Commercial, Recreational and First Nations Marine Fishing • Marine protection We have canvassed for industry participation in these working groups and needless to say, we will have strong representation. Earlier this year, all sectors were also invited to nominate representatives to a PNCIMA Marine Technical Advisory Team (MTAT) for which the

Steering Committee has established a vetting/selection committee to consider the nominations received.

We see the objectiveness of this committee as a crucial element in providing guidance to IOAC members.

Returning to the issue of funding, there is great disappointment, and no small amount of concern at the decision of the federal government to largely relegate funding of PNCIMA to U.S.based philanthropic organizations. The Gordon and Betty Moore Foundation, based in San Francisco, has committed up to $8.3 million to PNCIMA “to assist with the ambitious plan to work with communities, First Nations, stakeholders, and provincial and federal agencies, to complete a draft integrated oceans management plan by December 2012”. Mr. and Mrs. Moore have for many Area covered under PNCIMA. years channelled funding secured through their sale of Intel to the Tides Foundation and more recentcauses close to their core interests. ly through Tides Canada. The Tides Foundation which was founded in 1976 Through this legal loophole, non- by Drummond Pike, a student anti-war activist who subsequently became inprofit entities can also create for-profit volved in advocacy politics, makes no organizations and then funnel money secret of the fact that it is funding many of the Environmental Non-Government Organizations (ENGO) and First Nations to them through Tides... groups actively working to oppose industrial project developments in British Quoting their website: “As responsible stewards of the resources Columbia. Mr. Pike resigned from the entrusted to us, the Foundation forms and organization in September 2010. invests in partnerships to achieve signifiThe structure of the Tides Foundation cant, lasting and measurable results in en- has been described as follows: vironmental conservation, science and the The Tides Foundation was set up as a San Francisco Bay Area.” public charity that receives money from The vehicles for much of their finan- donors and then funnels it to the recipients cial distribution and accountability have of their choice. Because many of these rebeen threefold — i.e. direct, through cipient groups are quite radical, the donors September 2011 BC Shipping News 45

pncima often prefer not to have their names publicly linked with the donees. By letting the Tides Foundation, in effect, “launder” the money for them and pass it along to the intended beneficiaries, donors can avoid leaving a “paper trail.” Such contributions are called “donor-advised,” or donordirected, funds.

Through this legal loophole, non-profit entities can also create for-profit organizations and then funnel money to them through Tides — thereby circumventing the laws that bar non-profits from directly funding their own for-profit enterprises.

If a donor wishes to give money to a particular cause but finds that there is no organization in existence dedicated specifically to that issue, the Tides Foundation will, for a fee, create a group to meet that perceived need.

In 1996, the Tides Foundation created, with a $9 million seed grant, a separate but closely related entity called the Tides Center, also headed by Drummond Pike.

While the Foundation’s activities focus on fundraising and grant-making, the Center, in its role as fiscal sponsor, offers newly created organizations the shelter of Tides’ own charitable tax-exempt status, as well as the benefits of Tides’ health and liability insurance coverage.

Tides Canada claims to be independent of the Tides Foundation but as the researcher Vivian Krause has identified: • Tides USA has reported on its web-site, “We also collaborated in the launching of Tides Canada Foundation.”

• The “founding chair” of Tides Canada is also the founder of Tides USA, and was its CEO for 34 years.

• The Vice-Chair of Tides Canada, Mr. Joel Solomon, is a former chair of the board of Tides USA. In correspondence dated March 2011, Ms. Krause goes on to make a number of additional observations which appear to highlight the close connection between the Tides Foundation and Tides Canada: 46 BC Shipping News September 2011

• U.S. tax returns for 2008 say that Tides Canada paid $27.3 million “to fund conservation planning projects and conservation initiatives of the Nuxalk and Lax Kw’alaams First Nations”.

In 2008, Tides Canada was paid $50,000 by the Rockefeller Brothers Fund...apparently to increase pressure on Alberta policy makers.

• U.S. tax returns on online records show that Tides Canada has been paid for several projects that mention oil, tar sands or fossil fuel development, and that Tides Canada has made grants for

at least eight projects that mention oil or tar sands.

• In 2004, Tides Canada was paid $70,000 by the William and Flora Hewlett Foundation “to develop a strategic plan to address the development of oil and gas in British Columbia”.

• In 2007, Tides Canada was paid $1.5 million by the William and Flora Hewlett Foundation “for the oil and gas fund”.

• In 2008, Tides Canada was paid $50,000 by the Rockefeller Brothers Fund Inc. for a web-site titled “Oil Sands Tourism” apparently to increase pressure on Alberta policy makers.

• In 2010, Tides Canada was paid $400,000 by the William and Flora

The composition of the Integrated Oceans Advisory Committee (IOAC).

Existing advisory processes

Integrated Oceans Advisory Committee

Working Groups

PNCIMA PLANNING PROCESS Website and written submissions

PNCIMA planning process framework.

Meetings and workshops

pncima Hewlett Foundation “for efforts to reduce fossil fuel development”.

• According to the U.S. tax returns filed

by Tides Canada Foundation, Tides Canada made at least eight grants that are related to oil, tanker traffic or tar sands including: • $202,608 for a “Tar Sands Research project and communications work on Alberta’s Energy Footprint” and paid the “Prairie chapter of the Sierra Club for its Tar Sands Campaign”.

• $200,000 for Ducks Unlimited’s “Athabasca Watershed water quality research”.

• $191,773 to Ducks Unlimited “to document the extent of polycyclic hydrocarbon being released from Alberta tar sands”.

• $105,000 to Environmental Defense for the “Toxic Tar Sands Phase I Project.”

• $40,654 for the Dogwood Initiative in 2008, and $46,639 in 2009.

• $27,000 to the Turning Point Initiative “to hire a co-ordinator to engage with government, industry, environmental groups, media and the public regarding the proposed Enbridge Gateway tar sands pipeline”.

• $9,750 “in support of indigenous tar sands educational campaign”.

• Tides Canada, and its parent organization, the U.S. Tides Foundation, are funding no less than 36 organizations in campaigns that would thwart the Alberta oil industry and block Canadian oil exports to Asia.

Also of some interest is the position of Mr. Joel Solomon who, as noted above, is a former Chair of the Board of Tides USA and is currently the Vice-Chair of Tides Canada. Mr. Solomon is also President & CEO of “Renewal Partners”.

In a 2010 interview with the Huffington Post, Mr. Solomon is quoted as saying: “TIDES was founded in the U.S., and we helped bring it into Canada, where it is now one of the larger grant makers in the country.”

In the same interview, Mr. Solomon, who speaks frequently of his “500-year plan for sustainability beginning with British Columbia” went on to explain: “Renewal Partners was designed to make lots of small investments in earlystage businesses such as Happy Planet Foods. Our long-term thinking allowed us to invest “patient capital” — we weren’t looking for the rapid growth and quick exit that traditional investors are, and which can have such a destructive impact on communities.”

December 2010, Ms. Krause stated the somewhat obvious: The Pacific North Coast Integrated Area Management Initiative (PNCIMA) extends from the northern tip of Vancouver Island to the southern tip of Alaska but not Vancouver Island. Thus, PNCIMA covers precisely the area where oil tankers would need to pass — but not other parts of the B.C. Coast. While Moore has paid or promised $28 million for PNCIMA, Moore granted less than $1 million for the West Coast of Vancouver Island.

...PNCIMA covers precisely the area

Ms. Krause has been warned to tone

where oil tankers would need to pass

down her campaigning on a number of

— but not other parts of the B.C. Coast.

occasions by lawyers acting for Tides Canada.

He went on to disclose: “Most recently, we’ve been working with others on Vision Vancouver, a new political party. Mayor Gregor Robertson had a landslide victory — just days after Obama’s win — on a progressive platform: greenest city in the world, end homelessness, a creative and entrepreneurial economy. The election of Mayor Robertson is the result of creating conditions where these things could take hold. Nearly 20 years of moving in a purposeful direction.”

Getting back to PNCIMA, in an interview on the Bill Goode show in

It should be noted that Ms. Krause has been warned to tone down her campaigning on a number of occasions by lawyers acting for Tides Canada. The Marine Transportation Sector representatives on the IOAC have also been requested by DFO to stop raising the funding controversy, but we have respectfully declined to do so.

Whatever the facts of the matter, it is clear that there are questions which are not being answered and the marine industry in B.C. feels entirely justified in

Scott Islands off the northwest coast of Vancouver Island — proposed Marine Wildlife Area.

September 2011 BC Shipping News 47

pncima raising its concerns to the highest levels of government for the decision to permit Tides Canada, and all its money, anywhere near PNCIMA.

...the marine industry in B.C. feels entirely justified in raising its concerns to the highest levels of government...

As we go forward, our involvement with PNCIMA also becomes increasingly complex on account of: • Separately funded initiatives to establish Marine Protected Areas related to Haida Gwaii, the Sponge Reefs in Hecate Strait and on the North Coast of Vancouver Island.

• In this same area (Northern Vancouver Island), Environment Canada is actively pursuing the establishment of a Marine Wildlife Area around Scott Islands, having the potential to exclude transiting vessels despite there being no evidence that marine traffic has or will ever impact the resident migratory bird colony.

• The work of the West Coast Aquatic (directly funded by the Moore Foundation) to separately develop a

DFO-planned national network of Marine Protected Areas. plan for Marine Protected Areas on the West Coast of Vancouver island • A DFO-Provincial initiative, over and above PNCIMA, to established province-wide Marine Protected Areas split into four regions.

As if this were not enough, DFO earlier this year published its national plan for a network of Marine Protected Areas.

We hope you get the picture. Whilst there are many people out there who doubtless have a passionate belief in the ideals of PNCIMA, there are many groups who see it as a convenient vehicle on which to hitch a ride to further their special interests — not least the antitanker brigade and their steady but very deliberate promulgation of disinformation to influence public opinion.

The Shape of dventure.

The Shape of dventure.

48 BC Shipping News September 2011

VMM VanDop Ad_prd.indd 1

11/02/11 11:04 AM

WATERFRONT SHIPPING

On hand for the cheque presentation: Captain Stephen Brown, Captain Oscar Pinto, Reverend Nick Parker, and Jone Hognestad.

Photo credit: Mits Naga

Donation raises awareness for the needs of seafarers.

I

f everyone followed the example of Waterfront Shipping Company Limited (WFS), a subsidiary of Methanex Corporation, the work of the Mission to Seafarers would be a whole lot easier as would the lives of seafarers who depend on the Mission while in port. As part of a week-long awareness campaign in recognition of the Day of the Seafarer (June 25), Waterfront Shipping raised approximately $10,000 for the Vancouver chapter of the Mission to Seafarers.

“It started with a $5,000 donation from our parent company, Methanex Corporation,” said Jone Hognestad, President of WFS. “As part of our corporate commitment to social responsibility, we usually support a number of organizations each year, including the Mission and the Canadian Coast Guard Auxiliary. This year, we wanted to do more in conjunction with the Day of the Seafarer to highlight the importance of seafarers to our operations on a global scale.”

With that initial amount in hand, WFS suppliers, partners and employees were invited to participate. In addition

to a generous donation from WFS’ partner in Sweden, Marinvest, one creative way WFS increased the total amount contributed was with a contest in which staff guessed the deadweight of a model ship in the head office. “Fifty percent of the take went to the Mission,” said Hognestad. “We also had a contest during the lunch reception for the best dressed sailor. It was great to see the staff so engaged and, while the presentation was for just under $9,000, the total contribution from employees and colleagues who donated individually was much more. I understand a number of staff have signed up for the Cycling for Seafarers fundraiser this fall.”

Not only were funds raised for a worthy cause, but the campaign itself was equally successful in raising awareness amongst staff about the Mission and the many ways it supports seafarers. Over 85 employees of Waterfront Shipping and Methanex attended the reception where they watched the DVD on International Shipping on the West Coast, produced by the Chamber of Shipping of British Columbia and heard from Reverend Nick Parker who

provided an overview of the Mission’s activities and the importance of supporting seafarers — both here in Vancouver and all over the world.

To illustrate the global significance of the Mission, Hognestad noted that the Methanex Middle East office was also very active in their support. “The Methanex Middle East office has provided donations that have been used to purchase tshirts that were part of a gift package to seafarers at Christmas in addition to another $2,500 Cdn that was matched by Methanex Corporation to purchase phone cards to contact family and friends.”

Reverend Parker expressed admiration for the efforts of WFS and Methanex. “The Mission relies on support and donations from the shipping industry so a contribution like this is always appreciated,” said Reverend Parker. “It’s more than that though — Waterfront Shipping’s efforts provided an opportunity to raise awareness for the needs of seafarers. The more people know, the more likely they are to get involved and a ripple effect is created that provides leverage for our other fundraising events.”

September 2011 BC Shipping News 49

Photo credit: Mits Naga

WATERFRONT SHIPPING

Angela Madaski and Liliane Tran were both recognized during the WFS Reception.

Jone Hognestad (centre) presents awards to Frankie Chiu and Hannah Lau.

Captain Bert Bjorndal, Captain Stephen Brown and WFS staff in the background enjoying a laugh at the WFS Reception.

50 BC Shipping News September 2011

Reverend Parker noted that the funds raised locally would go toward improving the facilities at Roberts Bank.

As a wholly-owned subsidiary of the Methanex Corporation and the largest methanol ocean tanker fleet in the world, WFS has 18 tankers globally that distribute methanol to major markets in North America, Asia Pacific, Europe and Latin America. “Shipping is an integral part of Methanex operations and we recognize the challenges for seafarers and their contribution to our overall success,” said Hognestad. “A ship’s agent will provide some basics but their focus, naturally, is on the ship. The Mission plays an important role and does an excellent job of meeting the needs of the seafarer.”

Reflecting its corporate nature that ties in with its Responsible Care® designation from the Chemistry Industry Association of Canada — a closely audited process which upholds a high level of conduct over a wide range of disciplines — WFS pays significant attention to issues related to environmental protection, occupational health and safety, security and social responsibility. “Responsible Care is essentially the ethics of how to do business in the chemical industry,” Hognestad explained. “In practice, it means looking after a product ‘from cradle to grave’ — from production to sales and distribution but also going beyond that to how a buyer disposes of it. From a shipping perspective, we apply the Responsible Care® principles to many aspects, including the living and working conditions on our ships as well as the safety and security of our crew.”

Responsible Care® is a voluntary program in which Methanex and WFS have participated since 1995. Hognestad described the number of ways Responsible Care® is integrated into their code of conduct for shipping, including ensuring comfortable living quarters and working conditions plus extensive training to handle methanol safely as well

WATERFRONT SHIPPING

Putting philosophy into action: the Marinex, jointly owned by WFS and Marinvest, includes a basketball court (right) to increase comfort for the crew. as nitrogen which is produced onboard for use in the cargo tanks when empty. “We aim for the highest safety standards to minimize risk to our employees, customers, suppliers, the environment and the communities in which we do business,” said Hognestad. “While we own two of the ships in partnership with Marinvest, and have a higher influence on the level of comfort for crew, we do insist on certain standards from our other ship owners to ensure safety, superior accommodations and acceptable working conditions and we do perform regular inspections of the ships to ensure with this as the main focus.”

Noting that a ship’s crew can sometimes consist of as many as six different nationalities, Hognestad said that high morale and proper training were just two ways to ensure effective operations. “Our crew are part of the overall Methanex community and we place just as much priority on their well-being as we would on any other staff person. That’s why we’re so supportive of the Mission to Seafarers. Their dedication to the comfort of seafarers matches our own philosophy. ” By creating an event surrounding the donation, WFS gave staff an opportunity to learn more about the issues facing seafarers. “Very few people here in the head office understood some of the more serious concerns for crew. Issues like piracy, criminalisation, safety and comfort, or the psychological aspects of being separated from family while at sea,” said Hognestad. “Piracy, for example, is something that we don’t often think about here in Vancouver because it occurs so far away. Our staff here were impressed with the fact that, as part

of our Responsible Care® culture, we won’t send ships through pirate-infested waters.”

Overall, the WFS campaign for raising funds and awareness for the work of the Mission was a great success. In summing up the initiative, Hognestad expressed pride in how his staff rallied to the call for support for the Mission and hoped that other companies would be encouraged to follow their example.

BCSN

The Mission to Seafarers Whether it be local, national or international, the global network of Mission to Seafarers centres offer a warm and hospitable “home away from home,” for those who visit the world’s ports.

Visit www.flyingangel.ca for more information on ways to support the Mission, including the Cycling for Seafarers event coming up on September 17.

September 2011 BC Shipping News 51

TECHNOLOGY Safety, fuel efficiency and reduced emissions:

Key benefits of innovative marine technology developed by Vancouver company.

By Iain Weir-Jones

W

eir-Jones Engineering Ltd. of Vancouver, B.C., has developed a technology that, with its low cost and convenient installation, challenges the existing methods of draught measuring systems.

The Automated Draught Indicator System (ADIS™) helps ferries and oceangoing vessels — including those operated by BC Ferries — sail more efficiently, save fuel, and reduce CO2 emissions.

The system requires no underwater hull penetrations and can be installed in as little as eight hours on existing vessels.

ADIS™ defines the position of the static water plane relative to the vessel so that the position of any part of the ship relative to the water plane can be accurately determined.

Since its development, the technology has been adopted by BC Ferries, Washington State Ferries, Alaska Marine Highway System and the United States Navy.

The ADIS™ operation is based on (minimum) four ultrasonic transceivers installed at fore, aft, port, and starboard above the waterline. In the standard

ADIS Ultrasonic Transceiver.

This ADIS display shows the current draft values at both ends of the vessel.

52 BC Shipping News September 2011

ADIS™ central signal processing unit is housed inside of the NEMA 12 rated steel enclosure in order to comply with NMEA standards. The central signal processing unit collects the data from all the sensors, and upon analysis sends the draft results to the displays in each wheelhouse. configuration, each transceiver generates short bursts of ultrasonic energy and captures the reflections from the water surface.

The embedded microprocessor in the sensor measures the travelling time of the generated ultrasonic wave and accurately determines the distance of water surface from position to the transceiver’s mounting. In addition, the sensor takes advantage of an internal temperature sensor to compensate for temperature effects on the measurements.

The sensor digitally sends the measured level values that define the position of the water plane relative to the vessel to the central processing unit.

In the central processing unit, the position of any part of the ship relative to the water plane is accurately calculated.

The draught of the vessel is determined based on the level readings at the port

and starboard freeboard, fore and aft.

The depth of the keel below the water plane is calculated using the dimensions of the vessel and proprietary algorithms which ensure accuracy by correcting for the presence of propeller wash in dock and waves while underway.

Two bridge display outputs are available for double-ended vessels or for alternate display locations. The bridge display provides six digital readings; draught forward and aft, draught and freeboard amidships, port and starboard. Data can also be routed to other data storage systems such as the Hull Condition Monitoring System and the Voyage Data Monitoring System.

Potential customers such as operators of tankers, container ships, high-speed craft and bulk carriers can benefit from real-time information displayed by ADIS™ including:

TECHNOLOGY •

•

Accurate draught measurements (better than ±10 mm) crucial during the loading process with greater precision available if required.

Loading information about hogging, sagging and trim.

A key benefit of the system is how it makes ships and other marine structures considerably safer. When installed on displacement hulls, high-speed and naval vessels, and marine structures such as semi-submersible drilling platforms, ADIS™ enables operators to record precisely how much cargo has been loaded or unloaded to avoid overloading or instability.

Since its initial development, the system has been continuously upgraded and more features have been added.

In 2004, the second generation system with four sensors was developed, and in 2010, the third generation was introduced that includes a GPS interface which enables the ADIS™ to deactivate certain alarm features once the vessel is underway.

The mean time between failures for the third generation is in excess of 50,000 hours.

Iain Weir-Jones is the president of WeirJones Engineering Ltd. He has more than 40 years of experience in the design and development of proprietary monitoring and analytical systems. He can be reached at iain.weir-jones@weir-jones.com

The information can be used to improve the handling of vessels or precisely monitor the trim of a floating structure.

In addition to the benefits of enhanced stability and passenger/cargo safety, the use of ADIS™ on ocean going vessels offers two very tangible benefits which are are becoming increasingly important in terms of environmental considerations: improved fuel efficiency and reduced CO2 emissions achieved by optimizing the vessel’s trim. In the case of tankers, this is usually only practical when the vessel is in ballast, but the cost savings and emission reductions are significant and result in the owner’s cost of ADIS™ being recovered in less than two month’s sailing in ballast.

ADIS™ was first developed in the early 1990s in conjunction with BC Ferries. The first generation of ADIS™ was equipped with two draught measurement sensors and the system was installed in 1993 on the BC Ferries vessel Queen of Victoria for a three-year test run.

After more than 20,000 hours of successful and problem-free operation, the first generation of ADIS™ became available to marine operators and constructors as a proven commercial product. As a result, ADIS™ became the standard draught indicating system on the BC Ferries fleet of vehicle ferry vessels.

September 2011 BC Shipping News 53

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