NCTA Issue 2, 2020

Page 14

Coal by Barge / Jennifer Carpenter

Coal by

Barge: The Operational and Policy Outlook

By Jennifer Carpenter, President and Chief Executive Officer, American Waterways Operators

D

uring the current COVID-19 pandemic, with many Americans struggling economically and concerns about supply chain continuity in the headlines, there has been much reflection on the goods, services, and capabilities that we typically take for granted. Meat processing plant employees, truck drivers, grocery store clerks, and other frontline supply chain workers have been rightfully recognized for their everyday heroism in keeping our nation supplied despite unprecedented challenges. Less media attention has been shed on the men and women who make up industries that operate further back in that supply chain—but who are equally critical to keeping our country safe, 12 | COAL TRANSPORTER

supplied, and secure. This has been true not only for producers of key fuels such as coal, and the companies generating and distributing electricity from it, but also for transporters of other energy sources and vital cargoes that power our nation and drive its economy, in good times and bad. The tugboat, towboat, and barge industry is a critical component of U.S. supply chains. In a typical year, the industry transports over 760 million tons of commodities on waterways throughout the United States, contributing nearly $34 billion to GDP annually and supporting over 300,000 American jobs. Coal—a fuel that remains fundamental to powering the nation, maintaining American energy independence, and supporting robust international trade— makes up a significant portion of that cargo, with over 100 million tons of coal transported on domestic waters by barge in 2019, both for domestic consumption and for export to foreign markets. American Waterways Operators (AWO) is proud to be part of the multimodal transportation system that moves this essential energy source. We are also proud of the important benefits that barge transportation offers our coal industry customers. As PricewaterhouseCoopers (PwC) noted in its 2017 study on the economic contributions of the tugboat, towboat,

and barge industry, barge transportation is a highly efficient mode of freight transportation. A single inland dry cargo barge can move as much coal as sixteen railcars; a standard 15-barge tow moves as much coal as 216 railcars. The PwC study also highlights the extraordinary safety of barge transportation. This record results both from the nature of waterways navigation and its less frequent interaction with the traveling or commuting public and from the industry’s foundational commitment to safety. That commitment underpins the AWO Responsible Carrier Program—a safety management system for tugboat, towboat, and barge companies that provides a framework for continuously improving company safety performance—and is what propelled AWO to work proactively with the U.S. Coast Guard to craft the “Subchapter M” towing vessel safety regulations that took effect in 2018 to raise safety standards across our industry. To ensure that the barge industry can keep delivering for our coal customers, we need to manage the challenges of today’s complex and dynamic operating environment and advocate for public policy that keeps the maritime supply chain functioning efficiently. This spring, the Department of Homeland Security identified commercial maritime workers as part of the


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