Report of the conference on marine resources of the coastal plains states

[From the U.S. Government Printing Office, www.gpo.gov]

Coastal Zone
Information
Center

COASTAL PLAINS CENTER
for MARINE
DEVELOPMENT
SERVICES
MTEIR

V3 REPORT OF THE
CONFERENCE,
ON MARINE RESOURCES
OF THE
COASTAL PLAINS STATES

DECEMBER 8-9,1977

WILLIAMSBURG, VIRGINIA

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1977

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COASTAL PLAINS CENTER
for MARINE
DEVELOPMENT
SERVICES MAR 2 7 1978

REPORT OF THE
CONFERENCE
ON MARINE RESOURCES
OF THE
COASTAL PLAINS STATES

DECEMBER 8-9, 1977

WILLIAMSBURG, VIRGINIA

Sponsored by the

coastal Plains Center
for marine Development Servi r S Li brary
in Cooperation with property Of CSC
Virginia
North Carolina
South Carolina U DEPARTMENT OF COMMERCE NOAA
Georgia
Florida COASTAL SERVICES CENTER
2234 SOUTH HOBSON AVENUE
CHARLESTON SC 2q4O5-2413

_A^

CONFERENCE PLANNING COMMITTEE

VIRGINIA

Maurice P. Lynch, Director, Officeof Special Programs, Virginia Instituteof
Marine Science

NORTH CAROLINA

William L. Rickards, Assistant Director, The University of North Carolina
Sea Grant College Program

SOUTH CAROLINA

Raymond J. Rhodes, Division of Marine Resources, South Carolina Wildlife
and Marine Resources Department

GEORGIA

James R. Wilson, Chief, Resource Planning Section,.Georgia Department
of Natural Resources

FLORIDA

Dale S. Beaumariage, Chief, Bureau of Marine Science and Technology,
Florida Department of Natural Resources

COASTAL PLAINS REGION COMMISSION

Stanford R. Beebe, Marine Resources Program Director

COASTAL PLAINS CENTER
FOR MARINE DEVELOPMENT SERVICES

Beverly C. Snow, Jr., Executive Director
Philip G. Hill, Geologist
Robert J. Hines, Biologist

CONTENTS
Page
Foreword ............................................................. v
Beverly C. Snow, Jr.

OPENING SESSION
Presiding: James E. Douglas, Jr.
Commissioner
Virginia Marine Resources Commission

An Overview of the Coastal Plains Regional Commission ................... 1
Claud Anderson

The Marine Resources Program of the Coastal Plains
Regional Commission ................................................. 3
Stanford R. Beebe

MARINE INDUSTRIAL DEVELOPMENT
Presiding: Robert E. Leak
Director
South Carolina State Development Board
industrial Development in Coastal Georgia ................................ 7
Vernon D. Martin

The Crisis at the Waterfront ............................................. 13
George Rounds

Ocean Politics and Deep Seabed Mineral Development ...................... 17
Richard J. Greenwald

TRENDS IN MARINE TRANSPORTATION
Presiding: M. V. "Bill" Craft
Executive Director
Virginia Port Authority

Ocean Transportation and Ports-What's Next? ............................ 21
W. Don Welch

Trends in Marine Transportation ........................................ 25
Ralph W. Hooper

Development of Containerization in International Trade ..................... 29
Roger H. Skove

ENERGY CONSTRAINTS IN MARINE AND COASTAL DEVELOPMENT
Presiding: Louis R. Lawson, Jr.
Director
Virginia Energy Office

Economic Data Requirements for the Evaluation of Energy
Constraints to Marine and Coastal Development ......................... 31
Catherine E. Meleky

Energy: The Critical Choices ........ ..................................... 41
Wayne 1. Parker

Energy Conservation in Seafood Processing ............................... 45
George J. Flick

iii

THE FUTURE OF FISHERIES DEVELOPMENT Page
Presiding: Robert P. Jones
Executive Director
Southeastern Fisheries Association, Inc.

Fisheries Development in the Southeast ................................... 51
Roger D. Anderson

Fishing for Fun and Profit ............................................... 55
Dale S. Beaurnariage

Need and Use of Low Technology Aquaculture ............................ 59
Michael Castagna

MARINE EMPLOYMENT OPPORTUNITIES AND NEEDS
Presiding: David A. Adams
Assistant Secretary for Resources Management
North Carolina Department of Natural Resources
and Community Development
A Preliminary Assessment of the Supply and Demand for
Marine Scientists and Engineers ....................................... 61
L. Jay Langfelder

Marine Employment Opportunities in the Southeast ........................ 67
Edward F. Mackin

Marine Employment Opportunities and Needs .............................. 83
Charles D. Matthews

LIST OF CONFERENCE PARTICIPANTS ................................ 87

FOREWORD

The Coastal Plains Marine Center is supported by the Coastal Plains
Regional Commission to provide continuing technical assistance to the public
agencies, academic institutions, and private enterprises engaged in managing,
exploring, and developing marine resources in Virginia, North Carolina, South
Carolina, Georgia, and part of Florida. The Center accomplishes its overall
purpose by transferring information and by coordinating the sharing of
expertise across State lines. It acts as a focal point for scientific and technical
information on the marine environment of the Region, its resources, and its
economic potential. The Centerprovides advisory and consulting services and
processes requests for information, free of charge, on all matters dealing with
marine environmental development of the Region. It establishes and maintains
communications between individuals and organizations in the Region, both
public and private, that are engaged in marine science and engineering
research, development, education, industry, and management. Through such
means as the sponsorship and conduct of this Conference and the publication
and distribution Pf this Report, it stimulates interest in the use of available
technology for the development of marine resources.
The purpose of this Conference was to serve as a means through which
Federal, State, and local government administrators, scientific researchers,
and representatives from private industry, as well as private citizens, could
address some of the major coastal and marine issues facing theCoastal Plains
States. The Conference brought together leaders in marine fields from both
inside and outside the Coastal Plains Region and having many different
backgrounds and approaches to the problems addressed. These participants
exchanged recent findings and ideas,and through the wider dissemination of
this Report, much of this information is being made availableto a much greater
audience.
This Conference was coordinated and this Report compiled by Philip G. Hill
of the Center staff. The entire Center staff participated in the editing of the
presentations for publication. The Center expresses its thanks here for their
participation to the co-sponsoring States of Virginia, North Carolina, South
Carolina, Georgia, and Florida; and to all of the session chairmen and speakers
whose names are listed in the Table of Contents in this Report.

BEVERLY C. SNOW, JR.
Executive Director
Coastal Plains Center for
Marine Development Services

January 31, 1978

AN OVERVIEW OF THE COASTAL PLAINS REGIONAL COMMISSION
By CLAUD ANDERSON
Federal Cochairman
Coastal Plains Regional Commission

It is a pleasure for me to join with you here today In a world that is increasingly being shrunk by
for the opening of this Conference on Marine mass communications and transportation,
Resources of the Coastal Plains States. For on this problems are magnified and made common to all.
very important occasion, the Coastal Plains Television and newspapers tell us daily that the
Regional Commission is proud of and takes credit problems of Israel and Egypt are our problems.
for having given birth to your host, the Center for Surely, when -international problems can become
Marine Development Services. The Center, present- domestic problems, then the problems of Florida
ly located in Wilmington, North Carolina, is an and Georgia are the problems of Virginia.
integral part of our overall Marine Resources Regional forms of government are governments
Program. It was developed and is supported by the of the future. The Regional concept as embodied in
Coastal Plains Regional Commission. the Title V Regional Comn-dssions, in my opinion,
As many of you know, the Coastal Plains and in that of others associated with this program,
Regional Commission is a Federal-State has the greatest potential for solving problems
partnership established under the Public Works which do not stop at State boundaries. Our five
and Economic Development Act of 1965. The States are bound together by a commonality of
Coastal Plains Regional Commission and its seven mutual concerns which lend themselves to a joint
sister Commissions located across our Nation are approach in their solution. Contrary to the past
designed to bring the Federal Government into an wherein the Commission has primarily focused its
effective alliance with State and local governments policies and projects on traditional problems of
in a full-scale effort to help economically lagging income disparity and lack of technical skills to meet
regions move into line with the rest of the Nation. the demands of today's industry, tomorrow's focus
This Federal-State partnership is unique in the must be broader, to include such things as the future
sense that, unlike other Federal assistance availability and quality of freshwater resources, the
programs, in the Title V Commissions the State question of urban-rural development and balance,
Governments are equal partners with the Federal minority business entrepreneurship, and a new
Government. This arrangement has several prin- "energy-use" life style. The National Administra-
cipal advantages. Firstly, it provides a new measure tion is particularly concerned with the development
of recognition of the States' role in selecting of energy sources which will balance needs with
economic development priorities and gives con- environmental concerns, taking into account the
siderable autonomy to the Governors to develop onshore impacts of offshore development, as well as
and approve projects commensurate with their protection of the coastal zone.
needs. Secondly, the Regional approach encourages I certainly hope that in your deliberations here
Governors of contiguous States to regularly meet today, you remember what I said earlier, that these
and make decisions on issues which impact problems are not respectors of local or State
individually and collectively on their States. political boundaries and, therefore, neither should
Regular meetings of this nature promote coopera- your proposed strategies and solutions be.
tion among neighboring States and enlarge the The Coastal Plains Marine Center is a fine
framework within which individual State decisions example of what I am talking about. This Center
are made. Thirdly, as Federal Cochairman, not only and this annual conference are valuable com-
am I a spokesman for the National Administration, ponents of the Commission's Marine Resources
but it is my responsibility to act as liaison between Program, and have taken on a greater significance
the State and Federal executive branches of with each passing year. The reasons for this are
government while administering the Federal dollars two-fold. Firstly, the Commission's active interest
appropriated annually to the Commission. This in tapping the potential of these vast resources has
arrangement removes traditional bureaucratic been intensified because of the addition of the
levels of government and makes it possible for the States of Florida and Virginia in the last two years.
Governors, as Commissioners, to identify a By expanding our boundaries, the Coastal Plains
problem on Monday and have services delivered on Regional Commission has taken on substantial new
Tuesday or Wednesday. areas for development. Secondly, and perhaps more

importantly, there is an increasing awareness at anticipate situations that might become problems. I
every level of the need for conservation and know that our own Marine Resources Advisory
management of the Nation's fisheries, marshlands, Committee is examining the activities of its first ten
tidelands, and other marine-related resources. years in existence and seeking recommendations
The Commission and its member States can be for improvements in the program and how
credited with great foresight in this regard when a influence can be brought to bear on other
program in marine resources was instituted in 1969 organizations and agencies, including those of the
which anticipated these needs in the Region. The Federal Government, in anticipation of the
original Commission States of North Carolina, problems which lie ahead. This kind of planning is a
South Carolina, and Georgia requested and receiv- necessity and is what the Coastal Plains Comn-lis-
ed funds for the construction of marine science and sion is all about.
extension centers which have come to serve as focal With this in mind, what takes place here over the
points for planning and management of these next two days will have an important bearing on
resources. With the recent completion of the three the direction of this program. Bringing together a
complexes in North Carolina, the Coastal Plains distinguished group of experts in this field can only
Region is in an excellent position to meet the be beneficial to what we do. So as you seek answers
challenges presented by the demands of contem- at this conference, let me urge each of you, as you
porary, society on our resources. Through these participate in the sessions, to be not only critical,
centers, located along the coast of the Region, but also creative.
valuable data is being accumulated which will be of I am confident that you will make a valuable
great assistance to the States and Federal Govern- contribution to this undertaking as the Commission
ment in the management of these resources. goes forward to meet the challenges before it. I
This, however, is only a beginning. So I charge know that you will find this conference meaningful
you this morning to look into the future and and productive.

THE MARINE RESOURCES PROGRAM OF
THE COASTAL PLAINS REGIONAL COMMISSION

By STANFORD R. BEEBE
Marine Resources Program Director
Coastal Plains Regional Commission

I am glad to be able to tell you about the Coastal place the last of this month. It will examine the role
Plains Regional Commission's Marine Resources that the Commissions and other programs play and
Program. Many of you have been involved in our will attempt to formulate new recommendations for
meetings and have served on our ad hoc com- econoniic development. However, of two things I
mittees. Your involvement demonstrates a techni- am sure:
que for moving the decision-making process closer 1. The Title V Commissions have moved the
to the States. That is an important point, but let me decision-making process closer to the States;
get back to it in a minute. and
To tell you about the Commission's Marine 2. They are more sensitive to short-term changes
Resources Program, I would like to raise three in their region's economy.
questions and then answer them. The second question is "How does the Com-
1. What is the Coastal Plains Regional Commis- mission's Marine Resources Program work?" The
sion? Title V legislation provides that citizen groups and
2. How does the Commission's Marine special committees will be used extensively. To
Resources Program work? satisfy this requirement, the Governors of the
3. What are some of the projects of the Marine original three States appointed a Marine Resources
Resources Program? Advisory Committee in early 1968 which was
In the early 1960's, the Congress began to look at composed of three individuals from each State.
regions of the country where the per capita income That Committee was to meet, exan-drie the marine-
was considerably below the National average. Prior related economy of the three States, and make
to this time there had been programs to promote the recommendations to the Governors.
economy, but none organized on a regional basis. The original findings of that Committee were
The thinking at that time was that before the sound, and many of the Commission's projects
National economy could advance, the lagging today reflect the thinking of that group. That
regions would have to be brought up to the National technique is still used by the Commission today.
average. The result was the 1965 Public Works and The Marine Resources Advisory Committee is
Economic Development Act. Title V of this Act made up of three members from each of the five
provided the authority for States with contiguous States appointed by the Governors and three
boundaries and common economic problems to members from Federal agencies appointed by the
form commissions and qualify for special Federal Federal Cochairman. This group meets quarterly,
assistance. In late 1966, the Governors of North and the Commission staff member provides them
Carolina, South Carolina, and Georgia petitioned with reports on Commission projects and data on
Ahe Secretary of Commerce for recognition as the the marine-related economy. Based on their own
Coastal Plains Regional Commission. That charter expertise, studies funded by the Commission, and
was subsequently granted, and the Commission is discussion at meetings, they recommend projects
now ending its tenth year. There are eight such Title and policy to the Commission. They act in an
V Commissions. They were designed to be a advisory capacity only; however, their recommen-
Federal-State partnership, with the Commission dations historically have been well received.
members being the Governors and a Federal When this Advisory Committee seeks a detailed
Cochairman appointed by . the President. The analysis of a particular segment of the economy,
Commission's purpose is to attack common they recommend that an Ad Hoc Committee of ex-
economic problems of the Region. By having.,a perts be put together to study the problem. The Ad
coordinated attack, a synergistic effect is achieved Hoc Committees are very informal, meet regularly,
that is not produced by one State attacking the same have special expertise in specified areas, and bring
problem. in additional outside experts and data for their
The regional concept is still. new, and many work. They serve strictly as volunteers, with their
questions are unanswered, A White House Con- expenses paid by the Commission. After studying a
ference on Balanced Economic Growth will take problem they will make specific recommendations

to the Marine Resources Advisory Committee. The intervals, at an elevation of approximately 500 feet,
Marine Resources Advisory Committee will review towing instrumentation which measures the
the recommendations and in turn present them to magnetic properties of the basement rock and the
the Governors and Federal Cochairman at a formal surface radioactivity, This data is then transferred
Commission meeting. They may be adopted as by computer onto contour maps which provide
policy by the Commission, rejected, or adopted in information on the location of heavy metals and the
part. These advisers have an excellent record of geologic formation of the basement rock. To date
pinpointing problems and making sound approximately $600,000 has been invested in this
recommendations. project, and in its first year titanium deposits of
This system has been remarkable in its ability to commercial value were located in Southeastern
come up with very workable solutions to some old Georgia, commercial value of which is estimated to
problems. In a minute I will talk about some of the exceed 600 rnillion dollars. just recently additional
projects that have been recommended. Currently, I valuable mineral deposits have been located in the
am working with a Venture Capital Ad Hoc Charleston, South Carolina area, and work is
Committee that will recommend methods of currently underway for further testing. It is
facilitating the flow of capital to new and expanding probable that in the next few years test oil wells will
businesses. This Ad Hoc Committee has been active be drilled because of the information provided by
for about six months and will be completing their the magnetic data. In addition, the magnetics
work in early 1978. 1 believe it is apparent from a provide information that can be used to locate
description of this process that in the Coastal Plains faulting and other geologic formations of commer-
Regional Commission, most of the recorm-nen- cial and scientific interest. This has been a
dations are made by people from our member States cooperative project between the U.S. Geological
who have both the expertise and the responsibility Survey and the Commission, and is an outstanding
for handling similar problems within their own example of how the Federal-State partnership can
States. work.
The third question which I posed concerned a In 1974 and 1975, the Marine Resources Program
description of some of the Commission's projects. worked with an Ad Hoc Committee on the seafood
One of the earliest and most important concepts to industry. This Comn-dttee's major recommendation
come out of the Marine Resources Program was to was that the Commission place emphasis on the
encourage the construction of modern marine planning for construction of at least one seafood
research and development centers in each of the industrial park in each of its States. Basically, the
States. Based on a study by the Commission in the seafood industrial park concept involves the
late 1960's, it was apparent that the States were not construction of a harbor with modern bulkheading,
prepared to handle research, development, and sufficient channel depths, and all facilities required,
management projects related to the coastal areas. including water, sewer, electricity, adequate ice,
Through planning grants and construction funds fuel and repair facilities, and a centralized freezer
from the Commission, each of the original three storage system. This concept will change the basic
States has completed modern research and marketing structure within the Coastal Plains
development centers. North Carolina has three such Region, providing a inore competitive setting for the
centers, located in Dare, Carteret, and New Hanover industry and one that will give more incentives to
Counties. South Carolina has a modern, expanding fishermen and will attract large institutional buyers
research and development center located at Fort to these complexes.
Johnson in Charleston. Georgia has a large research This same Ad Hoc C ommittee also recommended
and development complex which was constructed a regional marketing effort for underutilized
on Skidaway Island near Savannah. All of these species. This past year saw the first marketing
centers are now beginning to attract additional promotion on a five-State basis. This was a
Federal dollars in project money and to draw coop erative project between the National Marine
Federal programs to their locations. The framework Fisheries Service, the Gulf and South Atlantic
has been built for research and development centers Fisheries Development Foundation, Inc., the
that will stretch from Virginia to Florida. various State marketing offices, and the Coastal
Seeking to place emphasis on the development of Plains Regional Commission. Approximately 18
the Coastal Plains mineral resources, an Ad Hoc cities were targeted in the Midwest. The results are
Committee was appointed in 1974, composed of the in, and they are very impressive. As the seafood
State Geologists. They recommended that the industrial parks begin to provide more product at
Commission invest in aero-magnetic and aero- higher quality, the Midwestern market should be
radioactivity surveys of the -entire Coastal Plains well established for the Southeast.
Region. These surveys are flown at one-inile One of the earlier Commission projects

recommended by the Marine Resources Advisory you have had contact with this Center, you know
Committee was the establishment of a Center for that their responses to requests for help are
Marine Development Services. The primary func- immediate, accurate, and willingly provided. If you
tion of the Center was to be the transfer and are planning a conference or forum, they can help
exchange of information on all types of research and you.
development underway within the Region. This has I would like to close by mentioning two things.
to be one of the outstanding Commission projects. First the Commission is now into its tenth year. The
The meeting you are attending today is one of a Marine Resources Program will be doing an
series of Annual Conferences on Marine Resources extensive reveiw of the marine-related economy. As
sponsored by the Center. You will find more in the past, we will be using Ad Hoc Committees.
scientists, researchers, developers, and marine- We will be asking many of you to help us. Second, I
related personnel at this meeting than at any other would like to thank those here who have served on
marine meetino in the Southeast. The Center also committees. Your time and advice have been, and
assists in organizing forums and conferences for the will continue to be, appreciated by the Coastal
Regional transfer of information and expertise. If Plains Regional Commission.

INDUSTRIAL DEVELOPMENT IN COASTAL GEORGIA

By VERNON D. MARUN
Executive Director
Coastal Area Planning and Development Commission

it is a real pleasure for me to be here this morning Development Fund, I would like to explain to you
to inform you about two unique programs that the the circumstances under which this program came
Coastal Area Planning and Development Commis- into being.
sion (APDC) has been working on for quite some Due to a change in corporate priorities, W. R.
time, and is now in the process of implementing. I Grace and Company had been following a path of
say "unique" since each of these programs is the first divestment of domestic consumer food business for
of its kind to be attempted in the United States, and, the past several years. Two were actually divested
in my opinion, there is a lot to be learned by other in 1975. Four serious and extensive negotiations for
local units of government and regional agencies the sale of the Seapak Division of W. R. Grace were
throuc3hout the United States in these two areas. pursued with other major food corporations
The two, areas I will address involve a Regional throughout 1974 and 1975. One reason that those
Revolving Development Fund and a Regional negotiations had failed was due to the depressed
Tourism Program, both operating entirely within economic and market conditions of the frozen
the eight-county region that our agency serves. seafood industry which prevailed in 1974 and 1975.
Before I begin this discussion, let me explain to At that time the three most recent prospective
you the organization and function of the Coastal purchasers withdrew from negotiations after
Area Planning and Development Commission. The receiving information from their legal counsel that
Coastal APDC is one of the 18 similar agencies in anti-trust laws would prevent them from
the State of Georgia, and similar to some 650 other purchasing Seapak, since these companies already
regional agencies like it in the United States. Our had a major share of certain frozen food markets.
commission encompasses the entire coast of An additional reason was simply that many firms
Georgia and serves a population of more than did not have the 10 million to 15 million dollars in
300,000, including 25 local units of government. It is cash with which to purchase the company.
directed by a 30-member Board of Directors, who However, recovery started during the second half of
are appointed by the county seat governments and 1975, but the previous conditions had reduced
county commissions. The Board of Directors is Seapak's normal earnings temporarily, and that,
advised by various advisory councils and utilizes a plus the depressed seafood industry, had made it
professional staff of more than 30 people to carry impossible to attract outside investors for a normal
out the various plans and projects that are deemed divestment.
necessary by the local units of government and the Up until the industry fall-out, Seapak's sales and
Board of Directors. It is an agency whose budget pre-tax earnings enjoyed a healthy growth. In 1975,
this year exceeded slightly over a million dollars while not yet back to earlier levels, Seapak
and is -supported by State, Federal and local funds. continued to show a healthy $1,500,000 recovery
It has been in existence since 1963 and is a public from the 1974 loss, which was their first loss in 20
agency created to formulate public plans and years. Had the divestiture and liquidation of
policies which deal with such local or areawide Seapak become a reality, it would have had a major
issues as community growth, economic develop- disastrous effect in the region of Brunswick and
ment, or wise use of land and water resources. coastal Georgia, as well as Brownsville, Texas. The
Professional staff members prepare studies and fosses would have been:
plans in a variety of areas, including housing, 1. An annual payroll of $5;200,000, covering
transportation, law enforcement, older Americans, some 1,200 employees who would have been
health, recreation, tourism, and human resources. In terminated. Most of these employees would
addition to formulating public plans and policies, it have been from "nority groups.
provides technical assistance to its member 2. During the recent three years, Seapak had
governments to assist local officials in putting these spent some $8,500,000 on the construction and
plans into action and, in other ways, as requested modernization of plants and offices, primarily
by local officials, to help them carry out their duties at the Brunswick, Georgia location.
and responsibilities. 3. Loss of local taxes paid by Seapak that had
Before I outline to you the Regional Revolving increased from $23,000 annually in 1972 to

$108,000 in 1975, and now approach ap- and Company's divestment effort. Fortunately, we
proximately $135,000 annually. received the blessings of Mr. NUzell, as well as those
4. Uss of Seapak expenditures on raw materials, of the Director of the Southeastern Regional Office
supplies and services, and resulting con- of EDA, Mr. Charles Oxley, and proceeded to
tributions to the economy that totalled more develop a grant application to EDA for $5 million.
than $26,000,000 in 1975 alone. In addition, Of course, $5 million was not half the amount of
there was approximately $4,000,000 spent money needed to purchase Seapak, and we were
annually for freight payments, utilities, able to make the necessary financial arrangements
telephone service, etc. to receive a $2 million outside equity investment
So, as you can see, this represents a grand total of from Rich Frozen Foods, Inc., of Buffalo, New York,
some $30,000,000 worth of disbursements made by one of the Nation's largest and finest frozen food
Seapak into the local and general economy in that companies, and were able to acquire a loan from W.
one year of 1975. Had the intentions of W. R. Grace R. Grace and Company, the former corporate owner
proven successful, we would have had a disastrous of Seapak, in the amount of $4 million. As a result,
effect on our economy, due,to the liquidation of this we were able to consummate the $11 million total
very important firm. package that would give the employees of Seapak,
When negotiations reached a complete in a period of about 8 years, the opportunity,
breakdown, I was approached by Mr. Jack Cofer, through the establishment of an ESOP, to purchase
Chief Executive Officer of Seapak, asking for 51% of the Seapak Corporation.
possible financial assistance for a low-interest loan During the early phase of our working on this
that would help save one of the world's largest grant, the thought occurred to me again and again
seafood processing plants from being phased out of that, should EDA allow us to do so, it would be an
existence. We had learned of a program in which the excellent opportunity to establish a Revolving
Economic Development Administration (EDA) had Development Fund throughout coastal Georgia for
been involved in South Bend, Indiana, where there the purpose of creating additional economic
had been a similar situation threatening the closure development opportunities through the availability
and liquidation of South Bend lothe Corporation, a of low interest funds for various kinds of economic
corporation that had been in existence for nearly development projects and programs that are
100 years. In that case, EDA was able to make a allowable under the Title IX guidelines. Fortunate-
Title IX Grant to the City of South Bend. Title IX ly, I was able to convince the Administration that
funds are monies that are legislated specifically for this would, indeed, be a unique and extremely
economic adjustment problems, both positive and worthwhile program and we were, therefore,
negative; That grant was then loaned to the allowed to establish a mechanism whereby the
employees at an interest rate of P2% to allow the interest and principle payment would be returned
employees to purchase 100% of the ownership of the to our agency for the purposes of establishing and
South Bend Lathe Corporation through the es- implementing this Revolving Development Fund
tablishment of an Employee Stock Ownership Plan Program.
(ESOP). With the knowledge of that project, I In establishing this Development Fund, our Board
immediately contacted and requested an urgent deemed it necessary to have a smaller group than
meeting with the then Assistant Secretary of EDA, the 30-member Board of Directors for purposes of
Mr. Wilbur Nfizell. I explained to Secretary NEzell operating this in an effective, businesslike manner.
that the purpose of our project was to avoid They, therefore, have formed a development
liquidation of Seapak operations, and thus maintain corporation that consists of the same representation
the employment of over 1,000 employees in and number of our Executive Committee of the
southeast Georgia and Brownsville, Texas, and also APDC, which totals 11 members, and provides
provide these employees with the additional adequate representation from each and every
opportunity for an ownership position in the new county in our region. Since early 1977 the
business. A secondary benefit of the proposal corporation members, myself, and our legal counsel,
would have been to relieve and eliminate the heavy have been actively involved in developing the by-
and expensive financial reporting requirement of laws of the corporation that will govern the
W. R. Grace headquarters in New York City that operation of the corporation itself and, more
presented an opportunity for the new company to importantly, the lending guidelines that will be used
greatly reduce administrative expenses and im- for purposes of disbursing these funds to worthy
prove profit results. The third and final benefit economic development projects within our region.
would be the ability for Seapak to resume its Of course, these guidelines first have to receive
growth plan that, understandably, had been held in approval of the EDA Southeastern Regional Office,
restraint for the past two years, due to W. R. Grace in Atlanta, and once this is done we feel we will

have a fair amount of latitude to operate within north of Jacksonville. Two weeks from today, 1-95
these guidelines for purposes of developing and will be entirely open through the State of Georgia.
funding projects within our region. it is the general When that time comes, a tourist will be able to
intention of the corporation to use these funds for traverse the 125 miles of 1-95 through coastal
the purposes of stimulating new industrial growth Georgia in less than two hours without stopping at
for the area that is compatible and acceptable with all.
the environmental and ecological considerations History has proven that interstates throughout
-that are so important throughout coastal Georgia. the country have been a disaster to the old
The funds may be used to save existing industries highways and to the businesses which had
which may be experiencing difficulties due to short operated successfully for many years along them.
run market or business trends, and to help existing Certainly this has been the effect on the businesses
industries possibly expand their plant operations that have depended upon the traffic along U.S. 17
and activities-all of these, of course, with a keen for many, many years. The effect of the opening of
eye on the creation of as many new jobs as possible. the various portions of 1-95, which began back in
In the process of implementing our economic 1970, caused some businesses to shut down
development policy, the corporation has stressed overnight and others to close in less than two
very strongly its intention and desire to totally months. Those businesses that remained open
coordinate this program with the leading lending experienced an overnight dec rease in their revenue
institutions throughout coastal Georgia, the in- by as much as 90%.
dustrial development authorities, and others who We anticipated early that this was going to
have a vested interest in the economic development happen and made a decision to do something to
of our portion of the State. As a matter of fact, it is off set the damage not long after the first stretch of l-
our current feeling that most of our prospects and 95 opened in McIntosh County, Georgia in 1970. At
projects will be brought to us through these various that time, the potential disastrous effect on other
existing institutions and agencies. We, of course, businesses throughout the coast was acutely
will want to share our financial position as much as expressed by those businessmen who were hit first.
possible with the lending institutions within our The decision of my Board was to create an Advisory
region and participate with them to the highest Council on Tourism that was to meet and discuss
extent practical. Where possible, we would expect the various problems that would arise as the result
to require a reasonable amount of individual equity of that, and additional, openings of 1-95, and to
that will have a result of making each and every one suggest a manner in which this problem could be
of our funded projects a true and solid economic dealt with. The Advisory Council was made up of a.
development potential for our region. cross-section of individuals representing tourist
Many of you may be wondering about the interests, private businessmen, and those having
amount of funds that we will have available. We historical interest, and became increasingly active
will receive payments of interest only for the first and concerned in direct proportion to the succession
three years, in the amount of approximately of additional lengths of 1-95 being opened to traffic.
$175,000 per year. In 1981, the corporation will About two years ago, after the majority of 1-95 had
begin to receive annually approximately $345,000, been opened, it was recommended by the Advisory
of principal and interest, up through and including Council that our Commission undertake and
December 1999. complete a development plan with the expressed
We have released some publicity about the intention and purpose of devising an immediate and
corporation and have had a very good response successful way to deal with this problem.
from local individuals interested in participating in Following that recommendation, the Board was
the program, and have also been very much able to acquire a $20,000 grant from then Governor
encouraged by the enthusiasm shown by various Carter, of Georgia, through his Coastal Plains
representatives !of the lending institutions Regional Commission Development Fund, and
throughout the region. match those monies with funds available from the
That concludes my presentation on the Regional Coastal Highway District of Georgia, which for
Revolving Development Fund and now I would like many years built, maintained, and operated the
to briefly discuss with you the second phase of my Talmadge Bridge that brought traffic across the
topic, the Regional Tourism Program that we have Savannah River from South Carolina into Georgia
underway. on U.S. 17. We commissioned a consultant and
As I mentioned, the Coastal Area Planning and eventually completed the plan that is now being
Development Commission comprises the entire implemented and used as the guiding light in our
coastal region of Georgia, extending from the South program. The plan is entitled "A Plan for Coor-
Carolina line, north of Savannah, to the Florida line, dinating Tourism and Development in Coastal

Georgia." One of the major recommendations of that Let me briefly review with you some of the things
plan was that our agency create a Tourism Division we are attempting to do to lure tourists to coastal
within our organization that would attempt to bring Georgia.
together all of the individuals and groups in the A logo with an egret, one of our best known birds,
counties which had an interest in promoting as the central theme, will appear on all highways
tourism and in offsetting the negative economic leading into our areas, and will appear on all
impacts as a result of the opening of 1-95. 1 am brochures, visual communications systems, maps,
happy to tell you that our program is underway and signs, guidebooks, and displays associated with
making great progress, having begun officially with coastal Georgia. We plan to make it as well known
the hiring of our Director of Tourism on February 1, as the seagull, which is, as you know, the emblem
1977. The initial operation of our program's $40,000 for the Ocean Highway.
a year budget was funded in the first year by a We have been successful in bringing about an
$20,000 grant from Governor Busbee's Emergency agreement with Georgia's Department of Transpor-
Fund, and a matching $20,000 from the counties tation and the county zoning commissions regard-
themselves. For this current year and next year, it is ing requirements for outdoor advertising along the
proposed that the Coastal Plains Regional Commis- interstates., The counties and cities have been
sion grant will, be matched by the counties for the advised of what they must do and all of them are
operation of our program, and after the fourth year now amending their ordinances to bring them into
of operation, we feel that the tourist industry itself compliance. Some have already been submitted to
will support the program financially. the Georgia Department of Transportation for
Tourism is important to all of the States approval. '
represented here, and I would like to review with If finally approved, outdoor advertising will be
you what it means to Georgia from my eight-county tightly controlled and regulated, and geared to
area. aiding the motorist in finding needed services and
Tourism set records in Georgia for the first six points of interest, and not to harassing him with
months of 1977, when the travel industry posted distractions and signs which have little or no value.
sales of more than two billion dollars, an 11% Visual communication systems are perhaps the
increase over the same period last year. most effective method of acquainting the traveling
The Department of industry and Trade has public with attractions in an area. This being true,
pointed out that the four most attractive tourism we are devoting a great deal of time and funds to the
areas in Georgia are Atlanta, Plains (the home of coastal logo signs, displays, maps, guidebooks, and
President Carter), Savannah, and the remainder of brochures. These will be widely distributed
coastal Georgia. So, two of the major attractions are throughout the United States and Canada. In
in my back yard. addition, we are considering newspaper adver-
1-95 is now carrying about 22,000 motor vehicles tisements in designated areas of Canada from
per day. This translates into approximately 75,000 which we hope to attract additional tourists during
persons each day passing our door, and these the winter months.
figures will gradually rise to 30,000 motor vehicles We are also developing short-range radio broad-
and 100,000 persons, with the completion of the last casts along 1-95. This device has been used
section of 1-95. successfully in other areas of the United States. It
Georgia Governor George Busbee was quoted would mean establishing short-range transmitters
recently as saying, "The travel industry in Georgia at various points along U.S. 17 and 1-95 which could
has become so important that it generates 25% of all broadcast information regarding the local area to
retail and service sales in the State." The largest automobiles traveling through the corridor. Infor-
gains. are reported@by the lodging industry, with mation could be broadcast about facilities at
motels and hotels chalking up gains of 20%. various interchanges, locations of welcome
. Former Governor Marvin Griffin of our State stations, and other points of interest along the route,
was fond of saying that it was easier to pick a and make reference to the directional system.
tourist that it is to pick cotton. In a year like 1977 Working with the University of Georgia, we are
we are not going to have much cotton to pick, nor now putting together a program for training
crops to gather-crops are a disaster-but the personnel directly involved in serving the traveling
tourists will be here in increasing numbers. public. These personnel will include hotel, motel,
Our plans are to let them know that they are and restaurant employees, service station attend-
welcome, and that we are anxious to share with ants, welcome center employees, police, other
them the many and varied treasures along the coast public servants, and others involved with the
of Georgia. traveling public. The purpose of this training will be

educating these people about the resources of Regional Commission Grant came at a critical and
coastal Georaia, in order that they may be in a better opportune time for us. It served a good cause and
position to pass along information which is helpful permitted us to get off to a running start, and will
and factual. As a rule, they are the first persons to mean much to the area I represent.
see a tourist when he comes to coastal Georgia and We invite you to visit with us in coastal Georgia.
the last to see him on departure. It is important that There is much to see and do, and it would give us an
they make a good impression. opportunity to repay you for your generosity and
In closing, let me thank you for your proven understanding of a problem which has now become
interest in coastal Georgia. The Coastal Plains an opportunity for a great section of Georgia.

T_ _H_E CRISIS AT THE WATERJFRONT

By GEORGE ROUNDS
Secretary
National Association of Engine & Bout Manufacturers

Boating is big business. There are some 2,000 were concerned about the ecological health of those
manufacturers of marine products (excluding waters. The Sierra Club, Friends of Earth, and the
miscellaneous accessories); 16,500 retail dealers, Environmental Protection Agency were little
distributors, etc.; and over 5,000 private marinas known, or did not exist. Water was abundant.
and yards. Boating directly employs 350,000 Streams, we were told, clean themselves every 100
persons in full time jobs, and approximately feet. There was enough marshland around, so what
100,000 additional workers on a part-time basis, if we dredged one out for a boat basin? Times have
generating a payroll in excess of $1 billion. changed.
Boating is a big sport. One in four Americans goes Today, there are 10 million boats in the United
boating each year-that is over 50 million people, States and 50 million Americans enjoying them
who use an estimated 10,105,000 boats of all sizes during the year. Each year brings more boaters and
and kinds and spend approximately $5.3 billion more boats. But for how long? The time may well be
dollars yearly on their sport. Curiously enough, at hand when the boating industry will have to
there is no state in the Union that does not have a accept the fact that it will not grow, that it has
boating populace. The boating fraternity has been reached its maximum market. Why? Because we
growing steadily at a rate of about 5% yearly for the have literally run out of room at the waterfront. The
past two decades, but the future of boating is in supply of slips, moorings, and boat storage facilities
jeopardy, and the key to its future lies in that thin has fallen far short of the demand, and the situation
piece of water and real estate called the coastal zone. is not improvino, nor is there much hope of
This fragile environment serves as a magnet for all improving the supply in today's economy.
peoples, each with a different intended use of the The factors contributin- to the boating crisis at
waterfront, and each considering inviolate his or the waterfront are, or should be obvious to
her right to use the waterfront as they see fit. everyone:
In actuality, there are distinct activities which are 1. The supply of developable waterfront proper-
water-dependent, and obviously, boating is one of ty is virtually depleted, and what is left is so
them. The recreational boating industry has an prohibitively expensive that investors who
obvious and direct relationship to the waterfront, might have been induced into putting their
wherever that waterfront may be, and whatever its money into boating facilities a few years ago,
value might be to the boating public. now recognize the pitiful return on investment
The value of the waterfront is multiple in that that a marina represents.
every boat and boater must pass through it to get to 2. Even if one could find the property and the
the water and enjoy his sport. It also must have investment capital, the environmental con-
certain aesthetic qualities essential to the enjoy- trols all but prohibit the development of that
ment of boating; and, with fishing so much a part of waterfront.
the boating scene, it also must have an ecological Many people feel that there is a dire shortage of
integrity. Therein lies one of the problems, one of the marina facilities, but until now, no one has sought to
elements of the crisis at the waterfront for boating. quantify that shortage. We at the National Associa-
In order to make boating possible, we must have tion of Engine and Boat Manufacturers have
access to the water and we need facilities at the attempted, in a limited way, to do so. We surveyed
water's edge to service and accommodate the boats. marinas in every state, by means of a mailed
We must provide the services without destroying questionnaire. We received 283 responses. If you
the environment on which boating's pleasures accept the estimate that there are some 4500
depend. marinas and yards in the United States, our
Twenty years ago, the problem was not as acute response represents about one-sixteenth of that
as it is today, but it was present. Forty years ago the marina population. We therefore projected the
problem did not exist at all because the boating actual response up by a factor of 16. This gave us a
public was relatively small in comparison with the total of 737,840 slips, moorings, and dry-stack
available waters, and the pressures on the coastal berths. We also learned there are 217,792 boatmen
and inland waters were light enough that none of us waiting for slips, moorings, or dry-stack berths. In

other words, we know that we have another 30% three partners in the coalition apply rational
more boatmen waiting for a place to keep their boat pressures and present a clear statement of the need.
than we have places to put them. Private enterprise can help apply that pressure as
We also asked the marina and yard owners how an information course and as coordinator.
many additional slips they could build on their Institutions. The research and advisory services
present property if there were no zoning, en- such as those of Sea Grant and the Marine
vironmental, or money restrictions placed on them. Advisory Service Programs can provide a wealth of
The answer was that 422,768 new slips could be third party data to support the other three members
available at the present sites were it not for the of the team and can help identify the needs and
impediments mentioned. That represents 194% of provide the creative solutions through research into
the present demand! new technologies and systems. Again, a solid
What then are the prospects for additional interface with private enterprise is necessary to
waterfront facilities? Are there new techniques and define industry's needs.
philosophies that must prevail if we are to meet the The Public. A vast source of political strength is
demonstrated need for additional facilities? Do we presently underutilized in boating, mainly because
have an obligation to meet that need? The answers the "good guys," the boating public, are not
to these questions are not easy. Nor are there organized into a cohesive force. Industry and the
singular answers, since each issue is intertwined, to institutions might be able to pull some of that force
a certain measure, with the other. together. At the very least, we can do our utmost to
Can we say that if the problem is industry's inform that sea of humanity about the problems and
problem, industry must then resolve it? The old the solutions.
answer of let the demand dictate the supply is no Private Enterprise With perhaps the highest
longer possible, for private industry and the stakes in this game, private enterprise faces the
individual entrepreneur have lost control of the toughest tasks:
situation, both from a situs standpoint and from an 1. Overcoming adverse public opinion.
economic standpoint. 2. Amassing valid supportive data.
The traditional role of private enterprise as the 3. Seeking creative solutions.
sole provider of boating facilities is no longer 4. Finding the dollars, both in its own pockets
realistic nor possible. The raw capital to finance and unlocking other resources such as state
such ventures is no longer there, and even if it were, funds, Bureau of Outdoor Recreation funds,
the cooperation of government is essential-to make and municipal funds.
the developments possible. Nor, for a number of 5. Simply staying alive in a fickle business by
reasons, can it be the sole role of government. While keeping those facilities, that are now open,
government may be the primary mover in the future operational.
of boating facilities' growth, the private sector, I might add, in light of number 5 above, that the
which can provide the expertise and management, marinas which responded to our questionnaire
must become involved. stated that the lack of profits resulting from soaring
Thus, a coalition of organizations bringing costs brought the demise of no less than 170
private enterprise, the public, governments, and marinas in the past five years, (that is not a
institutional forces to bear is now necessary to the projected figure), representing a loss of 13,327 slips.
growth of boating facilities for the following Those facilities were lost to another form of
reasons: development. While the new use was not specified,
1. Restrictions of law. one can assume that it was either non-boating
2. Restrictions of property availability. commercial, or waterfront residential.
3. Restrictions of environment. I can't help but wonder what would have
4. Adverse public opinion. happened if the communities in which those 170
Let's now view each sector's role in the overall marinas used to be had had a strong development
program: plan and policy that provided recreational facilities
Government. I choose to view government as a for their citizens. With such a community commit-
potential source of cooperation and funding in ment to its residents, any waterfront development
facilities development. Cooperation from govern- can include boating facilities.
ment is needed to help make the development of With one in five Americans looking to boating as
facilities possible by including boating in its long a form of recreation they choose to enjoy, I believe
range recreational planning. Government must be that government has an obligation to consider the
convinced of the desirability of re-examining needs of those people. However, I also believe that
current restrictions, both local and National, on the needs of all peoples have to be considered as
development. Government will respond if the other well. There are some people who have absolutely no

desire to ever set foot in a boat (I am sorry to say). Thus, while the crisis is indeed a National one, the
Nonetheless, I will wager that those same zealous solution must, of necessity, be local, or state, in
landlubbers will, if given the opportunity, sit at focus, The opposition is local and the benefits to the
dockside, or riverside, or shoreside, and watch the people are local. So a good measure of our efforts
boats, or just the river, go by. must be toward developing an awareness among
Therefore, I believe that the next major thrust of local industry and government to become involved
marina and boating facilities will come in those in finding solutions to the shortage. We have to
areas where the most people can be served with the retrain the public, to organize the public, and to
widest variety of waterfront pleasures. It has to educate the financial community.
come there, for more than just convenience reasons. So if you ask me where does industry fit into the
I am looking to the city-centers for the future coastal region, I must respond from my vested
growth of boating facilities. The reasons are clear: position by saying that we @ave to fit, if an industry
I .That's where the people are. that supports nearly a half-million jobs
2. The area usually is already developed and Nationwide, is to survive. How we fit will depend
now in the process of decay and there is little on how well we can work in concert and harmony
of an ecological nature that needs to be with the governments involved, with the private
preserved. In fact" marinas have been known institutions, and with the public. If the coalition
to improve the aquatic environment. works, boating will survive. If it does not, boating
3. The land areas most often are government will revert back a half a century to the time when it
owned, already in public hands, and thus was the sport of a wealthy few.
available for the town or city to work with. If we ignore the issues and do not seek to work on
4. The opportunities to expand boating facilities the solutions together, then 50 million Americans
elsewhere are limited, and at best highly are going to be extremely unhappy with us, and I do
controlled. not want 50 million Americans against me.

ANALYSIS OF NATIONAL SHORTAGE OF BOATING FACILITIES

Total Response: 283
Estimate Total Marinas/Yard in US: 4,500
Effective multiplier: 16
PRESENT SUPPLY Up to 2 25'- 40' 40' - 65' 65' & Up Total
Slips ....................................... 253,216 259,072 76,448 7,952 596,688
Moorings ................................... 39,056 26,928 11,360 1,504 78,848
Dry-Stack ................................... 58,800 3,504 - - 62,304

TOTAL AVAILABLE ....................... 351,072 289,504 87,808 9,456 737,840
47.6% 39.2% 11.9% 1.3%

Additional Needed ........................... 125,296 118,688 42,976 6,640 293,600
42.6% 40.0% 14.6% 2.26%

Slips Added in Past 5 years ................... 48,112 25,040 10,464 1,312 84,928

Trailer
Number of Boatmen Slips: Moorings Drystack Stored Total
Waiting for Facilities ....................... 168,096 31,984 9,360 8,352 217,792
77.2% 14.7% 4.3% 3.8%

Number of Slips
Lost in Past Five Years ..................... 13,327 (net)

Potential for Additional
Slips at Present Sites ....................... 422,768

Reasons for not expanding (in order): Environmental opposition: .................. 37.5%
Capital funding lack ....................... 36.1%
Zoning restrictions ........................ 27.5%
Lack of permits ........................... 23.2%
No demand .............................. 4.6%
Other: ................................... 28.9%
lack of space; cost;
government & local opposition;
lack of profit; high taxes &
insurance; lack of help.
Of Marinas/Yards CJosed in Past Five Years,
the Reasons Were: ........................... 39.4% sold to another form of development
30.9% lack of profits, high costs; & zoning problems

OCEAN POLITICS AND DEEP SEABED MINERAL DEVELOPMENT

By RICHARD J. GREENWALD'
Special Counsel
Deepsea Ventures, Inc.

Ten years ago, the United Nations General bassador Elliot Richardson, the head of the United
Assembly decided to begin discussions, in a States delegation to the Conference, has been forced
specially created Ad Hoc Committee, on what to notify the other delegations that the current
practical means might be devised to promote the text-that is, the ICNT-is so bad with regard to
peaceful uses of the deep seabeds and their ocean mining as to make the total treaty package
resources for the benefit of the world. Today, of unacceptable even if the United States interests
course, we have seen that Committee grow from its were protected in the remainder.
birth as a 44-Nation Committee studying issues The ICNT describes the resources of the deep
related to the minerals of the deep seabeds to a full seabed as the "common heritage of mankind" and
Conference of Plenipotentiaries, the so-called prescribes that all development shall be carried out
"Third United Nations Conference on the Law of the by, or on behalf of, an International Seabed
Sea." This Conference presently involves some 154 Authority. The ICNT would thus displace the
nations, the Vatican, and several dozen national freedoms of the high seas doctrine as the basis of the
liberation fronts. The subject matter has expanded right to mine the deep seabed. The Authority would
to include not only the deep seabeds, but also a host be composed of all nations who ratify the treaty
of other ocean issues including territorial seas, according to their individual constitutional
contiguous zones, the continental shelf, 200-mile processes. It would be modeled on the United
exclusive economic zones, fisheries, passage Nations, and comprised of a legislature of 155
through straits, the status of islands, archipelagoes, nations, known as the "Assembly"; an executive
the high seas, pollution, scientific research, branch of 36 nations, known as the "Council"; a
technology transfer, and settlement of disputes. The complex and somewhat emasculated judicial
ostensible objective of this Conference is to reach branch, known as the "Tribunal";' and a mining
agreement on a comprehensive treaty which would company known as the "Enterprise," which would
rewrite the law of the sea, including the law mine the seabeds for the Authority.
applicable to deep ocean mining. The administrative costs of the latter organ alone
The latest text produced by the Conference, have been estimated by the United Nations
which is commonly referred to as the "Informal Secretary General at $6,000,000 per year after its
Composite Negotiating Text," (ICNT), is composed start-up period, As in the case of the United
of some 303 Articles and seven Annexes, Nations, the United States would be expected to
themselves containing 114 more Articles. bear the largest part of the financing.
There are strong arguments being expressed in Thus, the Authority would have all attributes of a
the United States that this highly complex draft sovereign state except that of a population. It could,
treaty does not provide for basic protection of the through its Assembly, and on a one-nation/one-vote
United States interests in the following non-ocean basis, pass legislation binding on its member
mining areas: nations and their subjects. The United Nations
1. Security of investments in continental shelf General Assemblv cannot do this. The International
areas. Seabed Authority's Council could make major
2. Military transit of straits, and navigation fiscal, regulatory, or enforcement decisions which
through archipelagoes. would have an effect on all states, even those which
3. Scientific research on the high seas. voted against such a measure or chose not to
4. Environmental cooperation and standards. become members of the Authority. The United
Other speakers will undoubtedly address Nations Security Council cannot do this, and for
themselves to these issues. I will confine my
remarks to the evolving United Nations regime to good reason, as recent events have shown.
control ocean production of minerals and to Under the terms of the ICNT, the Authority could
discourage direct private, or state investment in decide, at a later date, that private enterprise has no
such activities. Indeed, the trend to prevent such place on an ocean floor governed by the power
activities has become so pronounced that Arn- politics of Third World socialism. In this event, by
means of a review conference, the Enterprise could
*Paper Presented by Robert 1. Pietrowski be granted an operating monopoly which would,

without compensation, appropriate the remaining to impose such a treaty regime on United States
values in existing mining operations. The United citizens, no further investment would be made in
States Constitution itself forbids the exercise of this ocean mining. These firms have been working in the
kind of power to the Federal Government. field since the early 1960's and the cumulative sums
The ICNT provides that a state or a private miner spent are now estimated in excess of $100,000,000.
must, in order to be granted a contract to n-dne, offer These companies, being cast early in the role of an
two mine sites to the Authority, of which the 11 endangered species," quickly perceived the
Enterprise will have the right to select the best. strength of leadership and the delaying power of the
Depending on the degree of data collection and anti-United States and anti-development forces in
evaluation required by the Authority, this could the United Nations seabed negotiations. According -
mean up to $100,000,000 in extra costs to the private ly, the industry turned, in 1970, to the Congress to
miner, and a windfall of equal amount to the find interim or alternative relief.
Enterprise. That adds up to a $200,000,000 Since 1971, the Congress has been considering
competitive disadvantage, all in "front-end money," bills which would regulate United States ships and
and all expended by the private miner in the period personnel in their exercise of the high seas freedom
prior to securing the right to mine. to mine the oceans. These bills, from their inception,
The ICNT provides that a private miner shall have specifically provided for their replacement by
always be under the "full control" of the Authority, a Law of the Sea treaty ratified by the United States.
which, as we have seen, is also his competitor. In these bills, which would be enforceable only on
Moreover, the Authority also has the power to tax United States ships and personnel, a code of
the private miner and to limit his production by conduct is created with the usual provisions of
reference to world demand and in commodity mining legislation relating to security of tenure,
conferences, wherein the Authority represents the diligence, taxation, and so forth. In addition, the
production of both the Enterprise and the private bills contain provisions related to the application of
miner. The Enterprise, on the other hand, will not United States environmental standards and
bear these burdens; it will be subject to neither prevention of monopoly. The most controversial
taxation nor production controls. provision, one which potential ocean miners feel is
If the private miner wishes to dispute an action the core of the legislation, requires the United States
by the Authority, or the effect of its regulations, he to compensate its licensed ocean miners in the event
will find his opportunities for judicial review and the United States ratifies a treaty which diminishes
relief quite limited. The Tribunal is denied jurisdic- or terminates the miner's present right to mine the
tion to decide cases involving the abuse of deep ocean floor, and in effect, confiscates in-
discretionary power by the Authority; nor may it vestments made in reliance on this right.
question whether the Authority has acted in Perhaps the most important feature of the
accordance with the provisions of the Treaty. This proposed legislation, from the broader perspective
constitutes a reversal of Thomas Jefferson's legacy of United States and world interests, is its
of a government of laws and not men. reciprocal nature. In an effort to encourage
Nor will the United States mining interests be cooperation between nations, the bills provide for
alone in suffering under these conditions. The recognition of the claims of like-minded nations, on
natural inclination of such an unfettered the condition that those nations recognize the
bureaucracy is to expand its jurisdiction. Such claims of United States miners. The customary law
expansion will only occur at the expense of other of the sea, particularly in its non-military
freedoms of the seas. applications, was founded on the principle that
It is hard to imagine that any rational diplomat maritime cooperation reduces the chances for
would take such a system seriously. Nations conflict. These bills retain that principle.
dependent on foreign sources for copper, nickel, During the first six years in which Congress
cobalt and manganese are unlikely to ratify such a considered domestic ocean mining legislation, the
treaty. The Senate of the United States is unlikely to Administrations ignored the usefulness of such
ratify such a treaty. The latter fact may give a legislation as a means to impart a sense of urgency
number of nations some pause, particularly in view into the lethargic United Nations negotiating
of the fact that the Third World and the Soviet sessions. Each year, Congress could expect
Union expect the United States to finance a major testimony from a parade of Administration law of
share of the costs associated with the Authority and the sea negotiators returning breathlessly from
its ocean mining organ, the Enterprise. Geneva or Caracas claiming that a disastrous
Representatives of the four United States negotiating session really represented progress
companies participating in ocean mining consortia toward an imminent and advantageous conclusion
have gone on record that, if the United States were of a comprehensive treaty. Each year brought pleas

from the Administration that Congress delay ocean law issues in the full expectation that the
domestic action on ocean mining. Each year the United States would place further concessions on
Administration's optimism was accompanied by a the table.
refusal to consider and comment upon domestic Happily, the current head of the United States
alternatives. Such an attitude led to passage in 1976 delegation, Ambassador Elliot Richardson, has
of a 200-mile fisheries bill, which is perhaps less recognized domestic legislation as a valuable tool in
effective than it might have been had the Ad- his negotiations and is now on record in support of
ministration cooperated earlier and more fully with such legislation.
Congress. Perhaps because of this lesson, in 1976 There are many ocean mining bills before the
Administration attitudes toward ocean mining and current Congress, the most important being Senator
related legislation began to shift. Metcalf's S. 2053, Senator Steven's S. 2168, and,
By late 1976, the Administration was movina Congressmen Murphy and Breaux's H.R. 3350. The
rapidly toward endorsing the concept of interim Metcalf and Murphy-Breaux bills contain
ocean mining legislation. This was due, in part, to provisions suggested by the Administration. It is
Third World disdain when Dr. Kissinger, in a burst likely that these bills will reach the floor in both
of terminal generosity, gave away the seabed store. houses of Congress early next year, and that similar
In a series of 1976 initiatives (in which dramatics legislation will be considered i n other ocean mining
took the place of preparation) the former Secretary countries.
of State proposed many of the most onerous One more session of the Conference is tentatively
features of the ICNT, namely, production controls scheduled for Spring 1978. Inter-sessional work in
on ocean minerals, United States provision of a preparation for this session has already begun.
large part of the Enterprise's funding, a 20-year Reports indicate that procedural problems have
review conference with provision to exclude private dominated these meetings, as they have stifled the
capital, and the requirement that private miners United Nations negotiations for the last decade. No
provide a mine site and technology to the Enterprise progress can be expected in 1978, nor can the
as a condition of obtaining a contract to mine. He negotiations reach fruition until the Third World
also proposed that the United States miner pay a gets its house in order by defining both its
share of his profits to the Authority with no leadership and its objectives. One cannot negotiate
provision for credit against United States taxes. with anarchy and, as ten years have amply proven,
The Third World greeted these proposals, not as a common anti-American bias provides sufficient
negotiating concessions by the United States, but glue to bind Third World solidarity in repose-but
rather as confirmation of a divine right. It therefore not in movement.
refused to budge in confrontations regarding other

OCEAN TRANSPORTATION AND PORTS-WHATS NEXT?

By W. DON WELCH
Executive Director
South Carolino Stote Ports Authority

Ocean transport technological changes in the past all of them may become obsolete in the face of a new
20 years have revolutionized the shipping industry, concept. The Soviet Union is reported to be
particularly in the present decade. Leading the constructing such vessels with a quarter ramp on
parade of changes was containerized cargo deck which would not require heavy, permanent
transported on specially-designed containerships. shoreside investment. Other ships already in use
Then came LASH ships, vessels built to carry- have slewing (swivel) ramps for stern load and
barges loaded with cargoes, and ro/ro (roll on/roll discharge.
off] freighters constructed to accommodate wheeled At Charleston we have not yet decided to provide
equipment which can be driven on and off the ship special facilities for LASH and ro/ro. We have,
rather than being lifted by a crane. Still another instead, adopted a wait-and-see policy. We have
development is the heavy-lift, shallow-draft vessel noted that no additional LASH vessels are reported
equipped with its own derricks which can operate to be on order or under construction, anywhere. We
in small, remote harbors with channel depths of less also believe that the avalanche of ro/ro activity is
than 20 feet and with inadequate or no shoreside temporary, likely to flatten out and even begin
cranes. declining within the next 5 to 10 years.
These new modes of transportation have been In general, ports worldwide have made a
accompanied and accelerated by a tremendous remarkable achievement in providing the facilities
boom in world trade. Dry cargo alone has risen to handle the giant surge in international trade and
350% since World War 11. Huge investments have its new modes of transport. Today, it costs many
been made and are being made for port facilities, millions of dollars to construct just one container
including those in developing countries such as in berth, install one specialized container crane, pave
the Middle East and Africa. Competition between and light adequate open storage areas, and provide
ports within the econornically-developed countries mobile container-handlers to move the boxes. The
has become very keen, and the United States is a intermodal era has imposed severe financial and
classic example. Ports which did not anticipate or social strains on port operations. Many port
looked askance at the predicted dramatic growth of operators, particularly in developing countries,
containerized shipping and were late coming on have not been able to keep pace with the modern
stream with dock, crane, and back-up facilities technology because of the costs involved. These
required for serving the new mode with speed and ports have simply lost out in the competitive
efficiency have lost cargo to other ports and have situation. This has been true to some extent even in
been playing a desperate catch-up game since. so-called developed countries which could afford
Hopefully, these current major investments are bigger and better ports-but have been reluctant, as
based on sound market intelligence. To protect the in Auckland, New Zealand, to "take the plunge"
financial integrity of the port industry, it is until the situation became critical.
imperative to avoid obsolescence in facilities, and The demand for efficiency and faster turnaround
not to overspend for one mode of ocean transporta- time for today's intermodal carriers places ad-
tion at the expense of another. At the Port of ditional pressures on port operations. Many major
Charleston, we have attempted to strike a ports are limited in expanding by land factors. They
reasonable balance, realizing that although 7011/6 or must resort to higher-density storage for the short
more of general cargo eventually will be carried in term; container maintenance and repair facilities
containers, break-bulk is here to stay and must be must be relocated well away from the dock areas;
accommodated. Prudence dictates also that we take and storage charges are increased as an incentive
a long, hard look at the future of LASH and ro/ro, for consignees to move their containers out more
modes rather than take a costly plunge on the basis rapidly. Some termifials have been-and others will
of chance. For example, there are not that many be-rebuilt or relocated in their entirety to serve the
LASH vessels in service-only 16-to warrant new generation of vessels with the modern facilities
large expenditures by @Ill ports for barge mooring they require. That is the case in Brisbane, beset with
and marshaling areas. In the case of ro/ro, ship channel problems and lying 22 miles upriver from
designs vary from bow to stern to side loading, and the sea. There, a $100 million container and ro/ro

terminal with two cranes is being constructed at the what the Soviets might do in their shipbuilding
mouth of the river. programs of the future, particularly in design. It
Port construction and modernization is going on seems hard to believe, but the Russians built a
just about everywhere on the globe, LeHavre is round ship in the 1870's-who knows, they might
building its third container berth, and Cape Town Fry -it again some day.
has ordered three container cranes. Long Beach is Ocean transportation, of course, must be linked
expanding with new omni-terminals to handle both with overland services. In containerized cargo, we
containers and break-bulk cargo. Charleston will have seen the introduction of the rail landbridge,
develop a brand-new marginal pier complex with minibridge, and micro-minibridge, terms which still
two container berths equipped with four container confuse some of us in the shipping industry. All of
cranes and two break-bulk cargo berths served by them involve through ocean rates in joint
two conventional gantry cranes. But that brings up agreements between steamship lines and rail
another port problem of the day which is particular- carriers. The landbridge links Europe and the Far
ly acute in the United States. The South Carolina East via railroad between U.S. East and West Coast
State Ports Authority is prepared to build that new ports. The minibridge handles shipments with a
terminal but has been waiting more than three single tariff and bill of lading which are marshalled
years to get a Corps of Engineers permit, thanks to a by rail at one port, thence transported by a unit train
welter of bureaucratic red tape and mandatory to a port on another U.S. coast for export, and vice
study-after-study and survey-after-survey, cou- versa. The microbridge is a relatively-new concept
pled with the concentrated opposition of en- not yet widely embraced which offers a through
vironmental extremists and "no growth" exponents, ocean rate directly to and from inland points located
who neither know nor care anything about the on waterways. As you probably have read, the
economics of ocean transportation, and even less water-rail agreements have evoked considerable
about port operating requirements. It is a controversy, especially the rninibridge, but they
democratic contradiction that in almost every have been approved by the Federal Maritime
element of our society, a relative handful of vocal Commission and upheld in court, meaning that they
dissidents can stifle or delay progress which stands likely will play a major role in U.S. foreign trade for
to benefit substantially the vast majority of citizens. many years ahead.
We have discussed briefly some of the The decided trend toward larger, more versatile
technological changes and requirements in the ships has been an important feature in transporta-
shipping industry on the ocean side-that is, a new tion changes. The average general cargo ship
breed of ships demanding a new breed of ports. weighed about 10,000 deadweight tons in the early
Much more could be said about the sizes and 1960's but is 5CP/o larger today. Of course, there is an
designs of ships today and tomorrow, including optimum size which may already have been
tankers and other bulk cargo vessels. One obvious reached, roughly 1,000 feet long and 50,000
development is that cargo liners are very expensive deadweight tons. The law of diminishing returns
to build, about three times more than five years ago. comes into play at about that point, as do maximum
For that reason alone, the average life of ships is draft capabilities and berth lengths at most major
being prolonged far beyond expectations. The ports. Vessel configurations also are restricted by
average age of the 132 U.S.-flag containerships, a interocean canals, such as the Panama Canal, and
large number of which are conversions, is 21 years, by narTow harbor entrances in some instances.
and 36 of them exceed 32 years in service. And at In this regard, we are not talking about the giant
this moment, only five new ones are on the way, but bulk carriers such as super tankers, the largest of
Sea-Land Service, the world's biggest containership which is 554,662 deadweight tons, with a length of
operator, has announced plans for five more large 1,312 feet, a beam-maximum width-of almost
vessels which individually can handle 2,000 con- 207 feet, and a loaded draft of 92 feet. The subject of
tainers in 20-foot equivalents. Those figures, how- ships and their designs is far too broad to cover
ever, pale by comparison with the USSR, which here, but suffice it to say that many bulk vessels
almost doubled the number and tonnage of its being built today have a lower length-to-breadth
merchant fleet between 1965 and 1975 and should ratio to decrease their drafts.
triple its present 12 pure containerships and 18 Two other recent developments in shipbuilding
ro/ro vessels by 1986. Right now they rank fourth in are worthy of note. The first commercial oceangoing
the world in vessels on order or under construction, ship with a catamaran hull will soon enter heavy-
well ahead of the U.S. They also have passed this lift service, although a major West German
country in oceangoing ship tonnage and steadily are shipyard announced in 1974 that plans were being
increasing their 2.90/6 share of U.S. cargoes in 1976 considered to construct a catamaran containership
toward a predicted 6.5% in 1985. It is hard to tell with all cargo and operating functions above the

water line and driven by eight propellers instead of ment, which could include docking systems, must
four. It is difficult to predict whether or not this be preceded, however, by the granting of legal
radical departure from conventional ship design authority to operate it and the support of pilots and
will take hold in the years ahead. Another masters. It is an exciting prospect which appears
development has.been the artubar-articulated tug feasible, although extremely expensive, and cer-
barge-with its own detachable power plant and tainly vital as international trade and the number of
wheelhouse. Such units are under construction for vessels in service continue their predicted growth.
both the bulk trade and container transport. The The world ship orderbook presently is the lowest
container artubars will be used in U.S. North since 1968 and last year dropped to only 38% of the
Atlantic coastwise service and in the Florida- 1974 high. New shipbuildings on order or under
Caribbean trade. Among the self-propelled barge construction represent just one-fourth of today's
units being built are two 580-foot ro/ro types with world capacity, and 86% of those vessels are sched-
three decks which can accommodate 380 forty-foot uled for delivery by the end of next year. But
trailers moving between Jacksonville and Miami to as mentioned earlier, it appears certain that
and from Puerto Rico and the Virgin Islands. containership fleets will be greatly expanded in the
Now, "what's next?" What can we foresee in the years to come. There may be a continued trend
next 10 years or so? We have already touched on toward combination carriers which will be
ship design and size and referred to the necessity for equipped to carry a blend of cargoes, including
a longer life span in view of the vastly-inflated costs containerized, unitized and palletized, ro/ro, heavy-
of construction. There is currently a serious over- lift, and liquid bulks. These self-sustaining "combo"
tonnage in tankers which is predicted to continue vessels are valuable in serving remote areas with a
well into the 1980's and perhaps beyond, largely profile of low or slow economic development, a
because of production of too many vessels in the limited volume of trade and inadequate dockside
30,000 to 100,000-ton deadweight range. cargo-handling equipment. LASH operations in the
In my opinion, it is very unlikely that we will long term will continue to have their place in the
witness further major technological changes in shipping wor!d. In the Middle East, for example,
shipping modes. There will likely be further they will continue to be valuable until the
refinements in the various components of con- congestion of ports in that area is relieved by new
tainerized cargo movement, in both ship and port and expanded terminals and equipment, inasmuch
facilities. One expert has declared that world trade as LASH ships discharge and load their barges
must have a 2.5-fold increase in containership while at anchor, well-removed from docks. This
capacity by 1990, which partially explains why the mode of shipping, however, has an inherent
Russians are building vessels at such a furious pace. limitation in that the barge cargoes must rely on
On the port side, the Federal Maritime Administra- water transit via navigable rivers and man-made
tion estimated three years ago that $400 million canals to effect overall transportation savings.
must be spent annually throughout the 1970's by Prospects are good that severe port congestion
the United States for facilities to handle the basic will no longer plague the shipping world after this
requirements alone. decade. In fact, the Arab zest for the world's goods
It would not be wise, however, to forecast and may lead those oil-rich countries to an excess of
support full-scale containerization for all develop- berth capacity, particularly for ro/ro and break-
ing ports in the world because of the tremendous bulk cargoes. And finally, a solid breakthrough in
investment involved, inadequate rail and highway solving problems related to dredging may become a
interface, insufficient land for back-up areas, and reality, including a doubled life expectancy for
lack of properly-trained operational and ad- existing spoil disposal areas.
ministrative personnel. Even in several well- Being an optimist, I see far more bright than
developed, long-established ports, a critical shor- foreboding prospects ahead for U.S. and for world
tage now exists in space for storing containers, ocean shipping-but we face tremendous
leading them to construct very costly, high-by, challenges in building up the U.S. merchant marine,
stacking warehouses, some in silo design. This last- stabilizing rates, and keeping the Russians at bay.
resort option adds substantial cost and inflexibility These problems can be licked, and they will be if we
to a container operation, and is avoided wherever band together in massive, cooperative efforts. In the
possible. critical area of our seacoast, it is absolutely essential
We should see in the United States during the that reasonable balance be established between
next 10 years, significant steps taken toward sea port development on the one hand, and en-
traffic controls and automated harbor navigation vironmental protection on the other. The National
facilities similar to those which govern the interest is not well served when internal battles tear
movement of aircraft. Such sophisticated equip- us apart, and either prevent or delay the construc-

tion of much-needed facilities. I submit that we are well for the ongoing competitive battle between our
playing directly into the hands of our friends the two systems.
Russians when we do this, and this does not bode

-TRENDS IN MARINE TRANSPORTATION

By RALPH W. HOOPER
President
Interstate and Ocean Transport Company

As an operator of oceangoing and coastal vessels 87%, are on navigable waterways. Roughly one-
and barges and a representative of The American fifth of the counties in the United States are
Waterways Operators, Inc., the National trade waterfront counties and these account for 58% of all
association for the barge, towing and shipyard the Nation's productivity, 55% of all manufacturing
industries, I am grateful to share with this jobs, and 51% of all new manufacturing facilities.
distinguished group some of our experience and Since 1952 more than 10,000 industrial plants have
concepts of marine transportation. been located or expanded along the navigable
Those of us in the marine transportation business waterways of the United States, creating thousands
have a lively appreciation of the importance of of permanent jobs and representing a capital
protecting our marine resources while at the same investment in excess of $175 billion.
time being aware of the healthy competition Transportation on our inland and coastal
surrounding our industry. waterways today is geared to flexible, low-cost
This Conference demonstrates the keen interest delivery of large volumes of basic raw materials,
displayed by Virginia, North Carolina, South fuels, chemicals, grains, and other bulk com-
Carolina, Georgia, and Florida in protecting our modities. This alert bulk transport segment is the
beautiful estuarine environment while endorsing only portion of our transportation network not rate-
economic growth for the region. We in the private regulated by the Government. Another segment of
sector hope we can continue our joint endeavors the industry hauling non-bulk and "packaged"
with you in the contribution to responsible, orderly products, though rate-regulated, serves the
utilization and protection of coastal and inland waterway system carrying steel and machinery in a
waters. most efficient manner.
One such resource which happens to be shared The barge and towing industry has continued to
by the five participating States is the Atlantic -row, developing several trends along the way. I
Intracoastal Waterway. From Norfolk to Miami, would like to touch briefly on these and give you
this canal accounts for 4.5 million tons of commerce some idea of where the industry is going in the
annually, consisting primarily of iron ore and future.
concentrates, fertilizers, paper and pulp, residual In terms of ton-miles generated, the growth has
and other fuel oils. In addition, internal movements been spectacular. In 1940, a total of 22.4 billion ton-
in the major harbors from Norfolk north to Maine, miles were produced by the barge and towing
along the Atlantic Coast, account for another 44 industry, compared to 267.2 billion in 1976, an
million tons of commerce. This transportation eleven-fold increase.
service depends heavily on our mutual interests in Today's traffic consists of petroleum and coal
developing and protecting such a natural blessing. products, which account for 60% of a4l barge traffic,
The Gulf Intracoastal Waterway carries 96.9 and grains, chemicals, and sand and gravel account
million tons of commerce by barge, consisting of for another 23%. All told, the barge and towing
crude petroleum, marine shells, coal and lignite, fuel industry accounts for about 65% of total domestic
oils, and basic chemicals. To provide the complete waterborne transportation.
picture, the major harbors along the Pacific Coast The barge and towing industry moves an ever-
account for some 28 million tons of internal increasing share of the Nation's total transporta-
commerce each year. tion. According to the Transportation Association
Most of our great centers of population, of of America, inland river traffic accounted for 5.2% of
industrial production and commercial distribution, total transportation in 1947, 8.1% in 1960, and 9.3%
and our centers of culture owe their origins and in 1970. In 1976, the industry reached an all-time
initial growth to commerce on our rivers and in our high of 11,4%. This figure excludes barge traffic
coastal waters. At one time, the city of Oxford, which moves on the coasts and the Great Lakes, but
Maryland, only 90 miles across the Bay from here, is an excellent indication of the industry's in-
was the largest port on this continent. creasing share of total transportation. Total barge
,It is no accident that of the 150 cities in the United traffic, including coastal and Great Lakes, accounts
States with a population of 100,000 or more, 131, or for 12.3% of all transportation, which incidentally is

moved at 2% of the Nation's freight transportation "In the event that water transport of hazardous
bill, representing an annual savings to shippers substances were to cease, present capacity of
and consumers of approximately $13 billion. the overland modes of transport would not be
It takes an ever-growing fleet of boats to provide sufficient to handle the overload. It would take
the power and barges to provide the cargo capacity a minimum of two and a half years, and
to move the large volumes of traffic handled today. probably much longer, to develop additional
Presently, the fleet consists of 4,240 towboats and haulage capacity in the overland modes to
tugboats with a combined horsepower in excess of accommodate the hazardous substances
5.5 million and a fleet of 26,787 dry and liquid currently shipped by barge."
barges with a cargo-carrying capacity of 35.6 In addition, our industry can boast several other
million net tons. The inventory of towboats since economic advantages. For instance, for regulated
1960 has increased by only about 5%, but the total commodities, rail has an empty factor of 45%,
horsepower has more than doubled. The average compared to only 12% for barge. Rail requires the
horsepower per vessel has been increased from 628 labor of approximately 240 men to move 100,000
in 1960 to 1,317 in 1976. tons of freight. That same movement by barge
Both the number and combined cargo capacity of would require only 96 men.
dry and liquid barges have risen substantially. The Rail transportation requires between 84 and 168
fleet has increased by 62% and the capacity has horsepower per 100 tons of freight compared to only
grown by 118%. Average capacity per barge has 23.3 horsepower for barge transport. Barge equip-
grown from 990 tons in 1960 to over 1,330 tons in rhent costs about $60 per ton of capacity compared
1976. to $156 for rail. And for rail equipment, it requires
Technological innovations have allowed for the 500 pounds of structural steel to produce one ton of
design and efficient use of more powerful towboats capacity while barge equipment requires only 375
able to move upwards of 40 barges in some cases. pounds of steel to produce the same ton of capacity.
The future will bring more of the same. What will the future hold for barge transporta-
The barge and towing industry today constitutes tion? According to all predictions, increased traffic
the most energy-efficient method of freight dis- of almost every corrunodity, especially fuels. And
tribution in the United States, consuming only 500 this increased traffic will not be at the expense of
BTU's per ton-mile. This compares with 750 BTU's other modes of transportation, which are also
per ton-mile for railroads, a full 50% more. In projected to haul additional tonnages in the future.
addition, the industry enjoys the position of being According to the Federal Energy Ad-
the most inexpensive and safest mode of transpor- ministration's Project Independence Report, the
tation. waterways may be required to carry 63 million tons
Put another way, a gallon of fuel will move one of coal annually above present volumes by 1985, a
ton of freight about 300 miles by barge. That same 50% increase. Barge transport of coal from Hampton
gallon will move that same ton less than 200 miles Roads is already significant and the report states
by rail. that the barge industry, based on past performance
Barge rates are approximately four or five mills and future indications, will be able to meet this
per ton-mile. Rail rates, according to the ICC, demand.
average 18.5 mills per ton-mile. Even rail unit trains All told, the increase in number of barges from
cannot compete with barge rates. Other modes have 1975 to 199o will be about 41%, while capacity will
even higher rates, with the exception of pipeline increase by about 46%. The total traffic on the
transportation. inland waterways is expected to be 774 million tons
In the area of safety, an Arthur D. Little, Inc. in 1990, compared to 563 million tons in 1975, a 38%
study in 1974 analyzed typical movements of ten increase.
hazardous commodities by barge, rail and truck. At the outset of these remarks I mentioned that
The results show that, in almost every instance, those of us in the marine transportation business
barge transportation provides the cheapest move- have a lively appreciation of the importance of
ment, the least urban exposure, the least short-term protecting our marine resources. Safety is a matter
environmental impact due to a spill, the least of continuing and vital concern to our industry-
relative human exposure, the lowest expected value concern for the general public in the areas where
of property loss and the longest interval between transportation is performed, concern for the safety
spills. The study concludes: of the cargoes carried, and concern for the quality of
"The barge mode of transport is apparently the rivers and shipping lanes used for navigation.
better inspected and regulated from a safety Our industry is guided and governed by some of
point of view than either truck or rail. the most highly developed regulatory controls in

existence to safeguard the movements of oil and the accommodate maneuverability of these vast tows,
so-called dangerous cargoes. The industry has multiple rudders-in fact as many as 10 per
supported legislation to license those in charge of towboat-are used to twist and position the tows
operating towing vessels, which eventually became into locks or battle currents. This propulsive and
law. The industry then worked closely with the maneuvering combination tends to alleviate
Coast Guard to implement the massive licensing damages in normal dockings. The industry has led
program and further supported legislation to in communications systems, using VHF, UHF and
require bridge-to-bridge radio-telephones on tow- single side-band radio from their very inceptions.
ing vessels, which also became law. Depth finders and multiple radars are common.
We, as concerned citizens and members of the In the coastal segment, the significant trends are
transportation industry, endorse and will fully toward super barges, vessels of over 30,000
support Federal programs that enhance safety, but deadweight tons, which are pushed or towed by
always cautioning that the economic and operating large seagoing tugs. Several unique and patented
impacts are within reasonable bounds. The Coast devices have created breakthroughs enabling these
Guard, through enforcement of its own regulations units to move faster and be more safely
and those of the Environmental Protection Agency, maneuvered in and out of harbor and when
already has an ongoing comprehensive program for docking. One concept developed by our company,
vessel safety and protection of the marine environ- called the "Stinger System," has also been patented.
ment, and they are now aggressively pursuing a This device enables a protrusion from the tug's bow
program to prohibit substandard vessels from to fit a concave receptacle in the barge's notch,
operating in the navigable waters of the United permitting the two units to remain together in
States. significant waves encountered in coastal waters.
Let us isolate, then, some of the facets of the In this presentation, I have endeavored to cover
industry besides its econon-dc contribution and talk some of the trends reflected by the barge and towing
about some of the trends which may interest you. industry over the recent years as well as what can
As mentioned before, the bulk segment of the be expected in the future. Our industry performs a
barge industry is unregulated and has free entry for vital transportation function, and in our current
competition. This happy circumstance leads to energy situation, a mode of transportation which
rapid technologic development to improve perfor- can move goods cheaply, safely, and with a
mance. On the western rivers system unique minimum of energy expended while at the same
hydrodynamic achievements have been made to time moving large volumes of energy products. As
incorporate very high horsepowers into shallow- time goes on these benefits will be even more
draft hulls using efficient propeller designs normal- important to the economy of our Nation, the
ly shrouded in Kort nozzles which significantly protection of our marine resources, and the well-
increase the thrust of the propeller. In order to being of our people.

DEVELOPMENT OF CONTAINERIZATION
IN Ell-JTERNATIONAL TRADE
By ROGER H. SKOVE
Vice President
Seatrain Lines, Inc.

It is indeed a privilege to come here and have the conveying trucks, lay it down, set it out in the
opportunity to address this very distinguished weather, subject it to pilferage and all the other
group. Also, it is nice not to have to face any things that happen to cargo exposed in that manner,
shippers this morning, and believe me, with the rate then re-lift it onto a vessel, take it to another point
increases and the competitiveness that was somewhere and again put it on some sort of
mentioned earlier, after coming off of 59 days of conveyance, whether it- be a truck, railroad, or even
hard and sometimes dubious contact with the in some cases the horse and buggy. So, he decided to
various unions, I feel almost as though I am on put a container on a truck, move the truck right onto
vacation. shipboard, take it to its final destination and, where
I assume that most of you are involved with some possible, run it on into the interior.
facet of the industry that is ecology-minded, or The first place where we started this type of
some other less tangible aspect than that in which I operation was an extension of our existing domestic;
am involved on a day-to-day basis. It is very rare services to Puerto Rico. In 1954 and 1955, Sealand
that I have an opportunity to talk to a group where I began several very small operations which carried
do not have competitors sitting in the audience, on into the 1960's. Other steamship lines soon saw
questioning everything I say and taking exception that this was a trend that was being readily
to my sources. I prefer them not to be here, so that I accepted by the shipping public, and that if they did
can be as broad as possible in talking about the not move in the same direction, they would be left
marine transportation industry and its develop- behind in advancements as far as the industry was
ment of containerization. I will also, at the concerned. By 1965 several lines were into this with
conclusion of my remarks, tell you something about existing vessels and very little expertise. At that
Seatrain, and perhaps why we are where we are point, railroad and trucking people were the source
and some of the things we are doing in related fields, of much of what was known at that time because
such as energy and some other areas. they were the ones who were bringing the cargo
Containerization is a wonderful way to move down to the piers. At the very outset, the knowledge
products from- one point to another. Whereas our of this group of people was all in a very few minds.
systems here in the United States are absolutely The next step involved a lot of investment. Then a
fantastic, I have found very few areas elsewhere in great deal of time evolved, but by the early 1970's
the world that have the capacity we have in the the system became much more sophisticated, and
utilization of lakes, rivers, and other points up and containerization really began to catch on. In fact, in
down the coast. However, in my own field, with the early stages, not more than 3 or 4% of the cargo
containerization and the tremendous capital invest- moved in containers. Today, in general, depending
ment that is necessary to operate a viable and upon the port you are looking at, 40-5011/o of the
profitable business for the stockholders and to keep tonnage that moves into or out of the United States
everything in perspective, we have had to expand to is now in some containerized form.
become more a worldwide than a domestic Several factors helped this type of transportation
operation. Containerization, as we know it today, is considerably. When moving cargo in a container,
the prime way of moving valuable cargo, normally the container becomes the packaging box, and the
finished goods rather than raw material, into an cost of preparing a shipment for rehandling two,
overseas port. three, four, or five times is greatly reduced.
The initial thrust of this business began in 1954. Secondly, one of the major problems in moving
Mr. McLean started a company by the name of cargo was the factor of loss brought about by theft,
Sealand (not my company) and came up with the damage, or mysterious disappearance. At one time
excellent idea that if you were going to transport it was said, and I would not want to be quoted, but I
cargoes from one point to the other, and then down think it was pretty close, part of a seaman's income,
to the sea and then to some point overseas, it seemed probably as much as 20%, was supplied by that
rather inconsistent with good judgment to have to cargo which he could find other means of disposing
bring that cargo down to the piers, take it off the of instead of putting it on the vessel he was

supposed to be working. So, when this area of loss beginning to buy some hard goods. In our industry,
was taken away, part of the insurance costs were that all means a positive factor. The technology and
vastly reduced and, generally speaking, it became the quality of the products that we are making in
less expensive to move cargoes from one point to the America are going to continue to be in demand. We
other. More sophisticated means also resulted in the as a company, and as an industry, are going to
streamlining of documentation, which is a big continue to respond to these demands. We think
problem in our industry. With the speeding up of that the next 12 to 18 months are going to be strong
vessels and the decreased time it now takes to go for us. The economy in this Country is holding. I do
from the U.S. East Coast to overseas points, the not want to go into that too deeply, for I am not an
paper work that is necessary to move cargo through economist, but we do see trends, We see trends in
customs, etc. was now finding itself to be far behind the changing of the dollar, and we see trends in that
the cargo. Before, the paper work was getting to the the dollar is buying more in overseas markets than
destination weeks ahead of time. So that was it has for a while, and our exports are beginning to
another system that had to be speeded up, and that pick up. We went through a period in which imports
has been done and has worked out very well. Now were heavy and exports were down. We reversed
we had customers who liked the method, and we that in the last 3 or 4 months, and our current
had receivers on the other end who thought the projections for 1978 are more in this direction.
method was an excellent way to handle cargo. We My own company, Seatrain Lines, started out in
also had port people who moved into the forefront 1929, but it was not until 1965 that we began to get
of this particular type of transportation and built into some broader markets. We have expanded
good ports throughout the world, and things began from a small operation of 5 vessels to 27 vessels
to work, except that we lacked markets. presently operating in all sectors of the industrial
Puerto Rico obviously was not large enough to world. We built 4 turbo-jet engine, very large
sustain the type of investment that the companies container ships, each holding 943 40-foot con-
were making. The next market was Europe. This tainers. This was the first innovation of that type of
market has grown considerably and has provided propulsion that we had in our industry, and we did
excellent economic advantages for this Country, this in concert with the United States Government.
both through exports and imports. Markets in the We opened up the Brooklyn Navy Yard, which had
Far East, including those in Japan, Taiwan, Hong been closed for many years, and have just
Kong, Thailand, and the Singapore area, have also completed a third supertanker and have a fourth
grown, and Australia and New Zealand are coming one on the way and soon to be finished. The old
along very rapidly now. The latest exposure is in Manhattan was used in the experiments going up
the Middle East where much money has been into the Northwest Passage to see if it was feasible
brought forward and there are many buyers in the to bring oil out that way when the Alaskan oil find
market, but it is not a very sophisticated market yet. was brought to a refinery. We have worked with the
It is mostly a market for finished materials, and not United States Goverriment in building some special
much of a raw material market, but that will come. crane-operated ships. We have built some special
All of this has allowed industries such as our own, tankers, and we have 17 ships of that nature, five of
with the tremendous capital investments that we which are on some type of lease to the Navy for
have, to take advantage of the new technical aspects bunker purposes. We joined with the Tobago
of the business, and whether they be in utilization, Government to open a refinery down there and
safety features, data processing, or com- helped in moving cargoes to and from those islands
munications, to help the industry as a whole. and eventually back up into the States. We joined
We did run into a problem in 1974-75 when the forces with 6 Eskimo tribes to arrange proper
world economic situation brought a halt to some of handling of oil coming out of Alaska, in both the
the expansion programs that we all had in mind. holding station up there as well as moving it down
But the economy is now beginning to pick up a little to the West Coast, and eventually all the way down
bit again. We see inventories at a more manageable to the Panama Canal. These examples will give you
level. We see the money market presently operating an idea of what a company like ours can do. It takes
at 61/2 to 9%, which is a healthy area in which good management. It also takes a lot of cooperation
businesses can borrow and carry over to accounts from all agencies, including government agencies,
receivable. We see the stockpiling that was private agencies, port agencies, and just people who
tremendous in Japan and throughout the world in are generally interested in keeping the steamship
1974 reduced pretty much to manageable levels. business a viable and contributing segment of our
The economy in the industrial nations is economy.
strengthened, and the underdeveloped countries are

ECONOMIC DATA REQUIREMENTS FOR THE
EVALUATION OF ENERGY CONSTRAINTS
TO MARINE AND COASTAL DEVELOPMENT

By CATHERINE E. NELEKY*
Office of Policy Development
and Long Range Planning
National Marine Fisheries Service

The supply of conunercial fishery products has FUTURE ENERGY COSTS
increased from 4,366 million pounds in 1966 to 5,350 TO THE FISHING INDUSTRY
million pounds in 1976, a 23% increase. A primary For most forecasts of future energy costs, two
reason for this increase has been the development of major assumptions are usually made. First, it is
the U.S. fishing industry through capital invest- assumed that large. arbitrary price increases, such
ment and technical innovation. Capital investment as occurred in 1973 and 1974, will not be repeated.
and technical innovation have been facilitated by Second, the assumption is made that prices will
the availability of relatively inexpensive energy increase at an average rate of inflation in the
inputs needed to power the machinery and industrial countries. The upper limit for energy
equipment used in the catching, processing, and prices will reflect the costs of alternative energy
distribution of fish products. sources and the revenue requirements of the OPEC
In the first half of the century, a dramatic change nations, while the lower limit will reflect the costs of
occurred concerning the acquisition of energy production.,
resources. The limitation of supply by major oil- In a study prepared by the White House for the
producing countries in 1973, and the subsequent joint Committee on Taxation, prices for U.S. "newly
quadrupling of price in imported crude petroleurn, discovered" crude petroleum production would be
meant a major increase in costs to the U.S. fishing $16.78 per barrel in 1980 and $21-90 per barrel in
industry. Since future supplies and prices of energy 1985, as shown in Table 1.1 In a study done by the
resources are uncertain, information concerning the United States International Trade Commission, the
energy dependence of the fishing industry is OPEC state's sales price for "marker" crude
essential for public and private energy programs. petroleum (the price to which all other OPEC crude
The major objective of this study was to petroleums are indexed) as of July 1, 1977 was
detern-dne the current status of energy consumption $12.70 per barrel. At an inflation rate used in the
data for the fishing industry and to identify those National Energy Plan of 5.5% per year, the OPEC
areas where information is not available or is 11 marker" price, f.o.b. Saudi Arabia would be $14.91
inconsistent. An attempt was made to define the per barrel in 1980 and $19.49 per barrel in 1985. The
fishing industry and its components and to define U.S. price would be equal to the above prices plus
data needs in each. Research was then done to transportation and applicable duties and would be
determine the kind and extent of data available as close to the predicted U.S. crude petroleum price.3
well as its reliability. This data will then be used to Based on these and other predictions of energy
determine future economic data requirements for resource prices, the Department of Energy has
the evaluation of energy constraints to marine arid forecast increases in the prices of jet fuel (primarily
coastal development. diesel fuel and kerosene), gasoline, and electricity at

*Paper co-authored by Brian 1. Rothschild

'As the price of imported crude petroleum increases, energy proven U.S. reserves of crude petroleum are obtainable at a price
production using domestic secondary sources is possible. In of $15 per barrel. At $20 per barrel, up to 5 times the current
Estimates of the Economic Cost of Producing Crude Oil by the proven reserves are available. For further information see
United States Senate Committee on Interior and Insular Affairs, footnote 3.
recent estimates indicate that, in the United States, at crude
petroleum prices of $12 to $15 per barrel, production from large 'Platt's Oilgrarn News Service, June 13, 1977, p. 3
frontier deposits of crude petroleum becomes econon-dcally
feasible. The production of synthetic fuels from coal and other
sources is possible at a price of $15.0o per barrel. The Energy 3Factors; Affecting World Petroleum Prices to 1985, United
Research and Development Administration indicates in its States International Trade Commission, USITC Publication 832,
market oriented program that roughly 3 to 4 times the current Washington, D.C., September 1977, pp. 7-10.

a similar rate. The price of jet fuel is expected to and its age. Each of these factors can effect fuel
increase from $4.20 per million BTU's in 1975 to efficiency and requirements. In addition, tonnage,
$4.40 and $4.60 per million BTU's in 1980 and 1985, hull construction, and hold capacity information
respectively. Gasoline prices are expected to would help to clarify the relationship between fuel
increase at an average annual rate of 5.5% to 6% requirements and vessel characteristics.
from 1975 to 1980. Electricity for industrial use is Data on costs of fishing effort will provide the
predicted to cost $7.70 per million BTU's in 1980 basis for the determination of relation between total
and $8.50 per riiillion BTU's in 1985, almost double cost and energy costs. Data requirements associated
the 1975 price of $5.60 per million BTU's .4 with variable costs, fixed costs, and opportunity
costs are also necessary. Variable costs include: the
Table 1-United States Projected Crude Petroleum cost of goods and services, such as ice, food, nets,
Domestic Wellhead Prices: 1980 and 1985 ropes, etc.; crew costs and payroll taxes; and,
(In current dollars per barrel) operating capital. Fixed costs consist of the cost of:
Catego 1980 1985 insurance premiums; miscellaneous expenditures
Newly discovered ............. f677-8 2-1.90 such as office, telephone, travel, bookkeeping, etc.;
New ........................ 14.18 18.54 and depreciation allowances. Opportunity costs
Lower tier .................... 6.35 8.29 reflect foregone opportunities by the owner, either
by working as a crew member on his vessel, or
Tertiary ..................... 16.79 21.90 managing his own business. These costs include
Stripper ..................... 16.66 21.74 costs of management and cost of operator's labor.
North Slope .................. 10.30 15.34 Finally, data on fishing effort is needed to
N.P. Reserves ................. 16.79 21.90 determine a measure of fuel efficiency. Data to be
Sources: The White House analysis of price trends for the joint
Committee on Taxation as given in Platt's Oilgram collected include the number of hauls and the time
News Service, June 13,1977. spent fishing by fishery and class of vessel.

The Processing Sector. The processing sector
Price increases in energy requirements of the includes all of the activities associated with the
fishing industry will effect its producing capability. conversion of fish and shellfish into a saleable form
The extent of such an effect on each sector of the by various processes, and its marketing and
industry must be determined. The following section distribution. The major areas of inquiry in this
contains a determination of the data requirements sector include: shipments and end-of-period freezer
useful as decision-making inputs. holdings or inventories by major species, product
type, and form (canned, frozen, etc.); costs of
THE FISHING INDUSTRY production by major species; costs of cold storage
For purposes of this study, the fishing industry by form, area, and type of cold storage medium; and,
will be divided into two sectors, the harvesting transportation costs.
sector, and the processing sector. The harvesting Costs of production include employment costs,
sector will consist of those activities associated the cost of fish or shellfish, capital expenditures,
with the catching of fish and shellfish and their and other variable and fixed costs. Costs of cold
transportation to shore, or some other place of sale. storage will vary according to the form of the
The processing sector encompasses those activities product (blocks, boxes, etc.), the fish species, the
which take place from dockside to the ultimate type of freezer, the freezing medium, and construc-
consumer. tion materials, the geographical area, usage fre-
quency, and the length of time the product is in the
The Harvesting Sector. Data requirements for the freezer. Data required for the estimation of
harvesting sector include fuel requirements of transportation costs include knowledge of
current fishing vessels according to their marketing and costs associated with the various
characteristics and number, a breakdown of costs forms of transportation, such as truck, plane, and
associated with fishing effort, and future energy- train. Required knowledge of marketing routes
saving technology. includes point of origin, the number of markets in
The determination of fuel requirements for the which th 'e product is bought and sold, the manner in
current U.S. fishing fleet depends on the size and which the product is transformed or further
characteristics of each vessel, its engine size and processed between the time it leaves one market
type, its netting and gear, its construction materials, -and enters another, and the final consumer. The
quantity of processed fish transported through the
marketing system should also be determined,
4Department of Energy, unpublished statistics. In the preceeding paragraphs, data requirements

for the estimation of energy usage in the fishing produced. The source of the BTU-per-pound ratio
industry have been enumerated. In the following was not documented. The data sources were the
section, current major research efforts to supply 1972 Census of Manufacturers, and Agricultural
energy data for the fishing industry are presented Statistics, 1974.5
and evaluated to obtain an estimate of energy costs. Source: National Marine Fisheries Service, unpublished es-
Data concerning energy usage in fisheries are timates
available in various forms; that is, variations occur Energy Estimate: 1330.2 million gallons (1974)
in the extent of detail, the order of accuracy, the Standard Units: 166.4 trillion BTU's
extent of coverage, and reliability of the source. This Estimated Fuel Consumption by the U.S. Fishing
research effort concentrated on the acquisition of Fleet, 1970 and 1972 - 1974.
the most current studies available on the total
energy expenditure by the fishing industry. million gallons
Type of Fuel 1970 1972 1973 1974
ESTIMATES OF ENERGY REQUIREMENTS IN Gasoline
THE FISHING INDUSTRY Commercial
The following studies represent the current Fishing ...... 68.4 68.4 61.0 58.0
attempts to estimate total energy requirements in Inboard
the harvesting and processing sectors. Studies Rec.
dealing with only a few species of fish or one Vessels ...... 121.8 129.2 151.0 160.0
geographical area were considered to be limited in Outboard
scope and application and, therefore, not included. Rec.
Vessels ...... 407.9 432.4 469.0 486.0
The Harvesting Sector. In June, 1975, a review of Diesel fuel ........ - - - 626.2
the current literature was done by Booz, Allen and The above estimates for gasoline and diesel fuel
Hamilton, Inc., management consultants under consumption were derived from surveys of the
contract to the Federal Energy Administration, to
obtain estimates of e@ergy usage in the fishing National Marine Fisheries Service. The estimate for
industry. Efforts were made to obtain energy gasoline consumption resulted from a survey of
estimates for total energy use in direct use, sales at large marine terminals and was adjusted to
producing production inputs, capital inputs,' the account for smaller dealers. The estimate was
wholesale sector, producing production inputs for designed to be an indication of fuel consumption
the wholesale sector, the retail sector, producing and may be subject to an error of over 100%. The
capital inputs for the retail sector, and transporta- estimate for diesel fuel consumption was derived
tion in wholesale and retail sectors. from estimates of regional diesel fuel consumption.6
Source: Energy Consumption By Transportation Mode and M
The only information obtained was an estimate Embargo Scenarios - Economic Adjustment anU
for energy usage by commercial fishing vessels, as im, ac s
follows: Energy Estimate: 114 thousand barrels per day (1974)
Source: Energy and Food: Energy Used in Production, Standard Units: 163.9 trillion BTU's
Processing, Delivery, and Marketing of Selected Food End Use Energy Demand By Marine Vessels
Items.
Energy Estimate: 43,300 13TU's per pound of fish product Thousands of Barrels Per Day
125.8 trillion BTU (1973)
Standard Units: same as above Type of Fuel 1972 1973 1974
Motor Gasoline .......... 41 44 46
Energy estimates contained in this report are Distillate Oils ............ 56 66 68
given in BTU's per pound of fish product consumed (Commercial Fisheries
for 1973, up to, but not including, the point of only) ................. 9 8 7.5
processing; principally, therefore, for the fueling of
trawlers and fishing boats. The estimate of energy End use demand forecasts for certain types of fuel
usage was obtained by applying a BTU-per-pound were made for marine vessels. Marine vessels
ratio to total pounds of canned, frozen and fresh fish included in the study were pleasure boats and

'Albert 1. Fritsch, linda W. Dujack and Douglas R. Jamerson, Administration, Washington, D.C., 1976. pp. IV-8 & IV-9.
Energy and Food: Energy Used in Production, Processing,
Delivery and Marketing of Selected Food Items. CSPI Energy 'National Marine Fisheries Service, Department of Commerce,
Series VI, Center for Science in the Public Interest, June 1975 in unpublished estimates, March 1975.
Energy Use in the Food System prepared for the Federal Energy

commercial fishing boats. Demand is defined as Since diesel fuel consumption data were only
primary stock disappearance, that is, stock moved available for 1973, the 1973 ratio of U.S. diesel fuel
into secondary storage, consumed or exported. consumption to gasoline consumption was assum-
Forecast calculations and procedures documenta- ed to hold for every state, for each year 1967,1971,
tion is not described in the report .7 and 1974.
Source: Energy and Environmental Analysis, Inc. The overall data quality, as evaluated by the
Energy Estimate: 15,444 thousand barrels (1974) reporting company, is unknown due to their
Standard Units: 60.8 trillion BTUs inability to assess the accuracy of the National
Fuel Consumption By Commercial Fishing, Marine Fishery Service survey, evaluate state-by-
1967, 1971 and 1974 state variation in E/O coefficients, account for
Thousands of Barrels possible gasoline to diesel fuel shifts and to assess
Type of Fuel 1967 1971 1974 the error introduced by using one year's E/O
coefficient for another year.8
Motor Gasoline ....... 1,680 1,384 Source: National Energy Accounts: Energy Flow in the U.S.
1947-1972.
Distillate and Fuel Energy Estimate: 85.7 Trillion 13TU's (1971)
Oil (Diesel Fuel) .... 13,206 16,534 13,611 Standard Units: Same as above
Lubricants ........... 434 547 449 In this study, data (Tables 2-4) were collected on
The above fishing industry data includes gasoline gasoline, diesel fuel, motor oil, and grease consump-
and diesel consumption for commercial fishing only tion from 1947-1972 for fisheries. Gasoline. con-
and does not include energy used by fish hatcheries sumption figures represent commercial fishery use
and fish and game preserves. The data is based on a only (fuel for fishery vessels), and were derived
survey by the National Marine Fisheries Service of from a study by the National Marine Fisheries
the largest marine fuel distributors (reviewed Service, mentioned earlier in this report. Figures
earlier). According to this study, data was not were estimated by finding a 1974 coefficient in
available on electricity use or other fuels outside of gallons per ton of gross weight in the commercial
gasoline and diesel oil. fishing fleet and multiplying that coefficient by the
Gasoline energy consumption was estimated on a total gross weight in tons for each year 1947-1972.
state-by-state basis using National E/O coefficients The tonnage statistics are from annual volumes of
and state data on commercial landings. For 1974, Fishery Statistics of the United States, "Summary
the coefficient for gasoline was calculated directly of Operating Units."
from 1974 U.S. gasoline consumption estimated by Estimates of consumption figures for diesel fuel
the survey and 1974 commercial landings published are classified as waterborne vehicle use by
by NOAA_ The E/O coefficient for 1971 was commercial fisheries. Estimates for motor oil
calculated by combining 1970 and 1972 energy and consumption are classified as function uses in
output data, The E/O coefficient for 1967 was marine transportation for the fishery sector. All
estimated from data for the closest available year, fishery data was assigned the lowest quality rating
1970. by this firm.9

7Energy Consumption By Transportation Mode anad COHII Washington, D.C., March 1977, pp. 443-447, G-1, G-39, G-77, G-
Embargo Scenarios - Economic Adjustment and Im2acts, lack 115, G-153,
Faucett Associates, Washington, D.C., May 1973 and January
1974. gNational Energy Accounts: Energy Flow in the U.S. 1947-
1972, Volume I and 11, Jack Faucett Associates, submitted to the
OEnergy Consumption Data Base, Volume 111, Chapter 1, The Federal Energy Adn-dnistration, Washington, D.C., November
Agricultural Sector, Final Report, Energy and Environmental 1975.
Analysis, Inc. prepared for the Federal Energy Administration,

Table 2
Energy Usage, By Type of Fuel
1954, 1958, 1962, 1967, and 1971.

Trillion BTU's
Energy Product 1954 1958 1962 1967 1971
Light Hydrocarbon
gases except
propyl and
butanes ............................... .004 .012 .012 .020 .048

Gasoline .................................. 7.410 7.830 7.200 8.407 10-622
Motor .................................. 7.132 7.499 6.901 8.061 10.260
Aviation ................................ .278 .331 .299 .346 .362

Diesel Fuel ................................ 45.412 49.268 49.641 61.564 74.129

Lubricants and
greases ................................. 1.080 1.022 .880 .658 .598

Petroleum Products
(let fuel) ................................ - - .039 .133 .301

TOTAL ........................... 53.906 58.132 57.771 70.782 85.699

Source: National Energy Accounts, lack Faucett Associates, 1975. -

Table 3
Energy Consumption, By Function
1954, 1958, 1962, 1967, and 1971

Trillion BTUs
Functional Use 1954 1958 1962 1967 1971

Fuel and Power Use .......................... 53.906 58.132 57.771 70.780 85.699
Transportation Fuel ........................ 53.906 58.132 57.771 70.780 85.699
Personnel Passenger
Highway Vehicles .......................... 2.739 2.579 1.875 1.647 2.105
Trucks ................................... .560 .854 1.041 1.935 3.352
Aircraft ................................... .282 .335 .342 .484 .669
Waterborne Vehicles ........................ 50.325 54.364 54,513 66,714 79.574

Source: National Energy Accounts, lack Faucett Associates, 1975.

Table 4
Transportation Fuel Use By Energy Product
1954, 1958, 1962, 1967, and 1971

Trillion BTU's
1954 1958 1962 1967 1971

Personnel Passenger
Motor Gasoline ............................ 2.676 2.530 1.842 1.622 2.078
Lubricating oil ............................. .057 .045 .031 .024 .025
Greases ................................... .006 .004 .002 .001 .001

Trucks
light Hydrocarbon
Gases except
Propyl and Butyl ......................... .004 .012 .012 .020 .048
Motor gasoline ........................... .462 .646 .708 1.086 1.721
Diesel Fuel .............................. .082 .181 .303 .804 1.549
Lubricating oil ........................... .011 .015 .016 .033 .031
Greases ................................. .001 .001 .001 .001 .002

Aircraft
Aviation gasoline .......................... .278 331 .299 .346 .362
Lubricating oil ............................. .004 .004 .004 .005 .005
Petroleum Products
(jet fuel) ................................ - - .039 .133 .301

Waterborne Vehicles
Motor gasoline ............................. 3.994 4,324, 4351 5.353 6.480
Diesel Fuel ................................ 43.330 49.087 49.338 60.761 72.580
Lubricating oil ............................. .910 .867 .764 .564 .503
Greases ................................... .091 .085 .061 .036 .030

Source: National Energy Accounts, Jack Faucett Associates, 1975.

Source: National Energy Accounts: Energy Flows in the U.S. the processing sector are made according to
1947-1972, Bureau ot Mnes Survey Standard Industrial Classification (SIC) numbers.
Energy Estimate: 602.3 million gallons (1972)
Standard Units: 75.3 trillion BTU's For the fishing industry, SIC numbers 209 1, Canned
and Cured Fish and Seafoods'; and 2092, Fresh or
The figures in Table 5 are adjusted Bureau of Frozen Packaged Fish apply.
Mines data for gasoline and diesel fuel usage in
commercial fishing. The original Bureau of Mines SIC number 2091 and 2092 are found under
figures appeared in an accounting of all marine Division D, manufacturing, of the SIC"schedule. The
transportation fuels. Data for distillate oil which manufacturing division includes establishments
includes diesel fuel and gasoline originally came engaged in the mechanical or chemical transforma-
from Mineral Industry Surveys "Sales of Fuel Oil tion of materials or substances into new products ...
and Kerosene" (Annuals), Bureau of Mines. The The product of a manufacturing establishment may
figures were designed to be rough order of be "finished" in the sense that it is ready for
magnitude estimates.10 utilization or consumption, or -it may be "semi-
finished" to become a raw material for an establish-
The Processing Sector Estimates for fuel usage in ment engaged ip further manufacturing . . .

101bid., p. 131-134

Table 5 Table 6
Gasoline and Distillate Oil Usage Purchased Fuel and Electricity Consumption and
in Commercial Fishing, Costs for Canned and Cured Fish and Seafood
1960-1972 Industry (SIC 2091) and Fresh or Frozen
Nlillions of gallons Packaged Fish and Seafood Industry
(SIC 2092),1974
Gasoline Distillate
Year Usage Oil Usage Canned and Cured Fish and Seafood Industry
1960 ........................ 35.4 362.2 Purchased fuels and electric energy
1961 ........................ 35.3 361.0 Kilowatt-hour equivalent (billions) ........ 1.3
1962 ........................ 34.8 355.8 Total Cost (million dollars) ............... 8.2
1963 ........................ 36.0 368.1
1964 ........................ 36.6 374.0 Purchased fuels
1965 ........................ 38.0 388.5 Kilowatt-hour equivalent (billions) ........ 1.2
1966 ........................ 40.2 411.2 Cost (million dollars) .................... 5.4
1967 ........................ 42.9 438.1 Purchased electric energy
1968 ........................ 46.1 471.2 Kilowatt-hour equivalent (millions) ...... 143.8
1969 ........................ 47.1 481.4 Cost (million dollars) .................... 2.8
1970 ........................ 48.9 500.0
1971 ........................ 51.7 523.3 Fresh or Frozen Packaged Fish and Seafood
1972 ........................ 54.6 547.7
Purchased fuels and electric energy
Source: National Energy Acc=s Energy Flows in the U.S. Kilowatt-hour equivalent (billions) ........ 1.1
1947-1972, Bureau 07 Survey, 1975 Total Cost (million dollars) .............. 11.0

Section 2091-Canned and Cured Fish and Purchased fuels
Seafoods. Kilowatt-hour equivalent (billions) ........ 0.8
Establishments primarily engaged in cook- Cost (million dollars) .................... 4.0
ing and canning fish, shrimp, oysters, crabs,
and other seafood, including soups; and Purchased electric energy
otherwise curing fish for trade ... Kilowatt-hour equivalent (millions) ...... 331.0
Section 2092-Fresh or Frozen Packaged Cost (million dollars) .................... 7.0
Fish and Seafood. Source: Fuels and Electricity Consumed Census of
Establishments primarily engaged in Manufactures, 1974
preparing fresh and raw or cooked frozen
packaged fish and other seafood, including
soup. This industry also includes es- Source: Energy Efficiency Improvement Targets
tablishments primarily engaged in the shuck- Energy Estimate: SIC 2091 - 4.8 trillion BTU'S (1974)*
ing and packing of fresh oysters in nonsealed SIC 2092 - 4.1 trillion BTU's (1974)*
containers." SIC 2091 6.2 trillion BTU's (1972)
SIC 2092 3.7 trillion BTU's (1972)
Source: Fuels and Electri Ener!y 1 Standard Units: Same as above
co @nsumed
-2 91 3 billion kilowatt-hour
Energy Estimate.. 17
equivalents (1974) Four main types of analyses were done for each
SIC 2092 - 1.1 billion kilowatt-hour equivalents (1974) industry defined as being within the food and
Standard Units: SIC 2091 - 4.4 trillion BTU's
SIC 2092 - 3.8 trillion BTU's kindred products industry. Among these were
Canned and Cured Fish and Seafood (SIC 2091) and
The following table (Table 6) contains estimates Fresh or Frozen Packaged Fish and Seafood (SIC
of fuel consumption for SIC categories 2091 and 2092). Of the four types of analyses, this paper will
2092 .12 consider two: the industry composite energy type

*Estimated

"Standard Industrial Classification Manual, Office of the tures, Bureau of Census, Department of Commerce, Washington,
President, Washington, D.C., 1972, p. 68. D.C., 1974, p. 142.

"Fuels and Electric Energy Consumed Census of Manufac-

(ICET) profile established for the 1972 base year, preparation (3%), processing (28%), warehousing
and the industry composite energy use (ICEU) (25%) and miscellaneous uses (11%). The following
profile. The ICET profile identified the amount of table presents the above breakdown iri terms of
energy consumed and the distribution of energy by actual fuel usage (Table 7).
fuel type. The ICEU profile determined energy use In 1972, 3.7 trillion BTU's were used to package
on two levels: intermediate uses, including the 1,233 million pounds of fresh or frozen fish and
percentage distribution of energy for direct use, shellfish (SIC 2092), that is, 2,996 BTU's per pound.
boiler use, and electrical use; and end uses, Boiler use accounted for 72% of total energy
including all major final uses of energy, each as a usage, while direct use and purchased electricity
percentage of intermediate use. accounted for 5% and 23%, respectively. Boiler usage
In 1972, 6.2 trillion BTU's were used to can and may be divided into various end uses as follows:
cure 1,618.6 million pounds of fish and seafood, receiving (1%), preparation (909/6), processing (3%),
(SIC 2091) that is, 3,827.4 BTU's per pound of fish warehousing (1%) and miscellaneous use (1%).
and seafood. Intermediate energy usage was Energy in direct uses was expended for the fueling
divided as follows: boiler use (79%), direct use of plant vehicles. Purchased electricity was used in
(14%), and purchased electricity (70/6). Energy end the following activities: receiving (270/6), prepara-
use for boiler usage can be divided into receiving tion (290/6), processing (9%), warehousing (30%), and
(1%), warehousing (1%), and miscellaneous use miscellaneous uses (5%). The following table
(5%). Energy used in direct usage was primarily for presents the above breakdown in terms of actual
the fueling of plant vehicles. End use for purchased fuel usage (Table 8).
electricity was characterized as: receiving (5%),

Table 7
Energy Usage By Activity
for Canned and Cured Fish and Seafood Industry (SIC 2091), 1972

Trillion BTU

Total Intermediate End
Use Use Use

Receiving ...................... 0.049
Preparation .................... 2.204
Boiler Use ..................... 4.898 Processing ..................... 2.351
Warehousing ................... 0.049
Miscellaneous .................. 0.245

6.200 Direct Use ..................... 0.868 Plant Vehicles .................. 0.868

Receiving ...................... 0.022
Preparation .................... 0.135
Purchased Electricity ............ 0.434 Processing ..................... 0.122
Warehousing ................... 0.109
Miscellaneous .................. 0.048

Source: Energy Efficiency Improvement Targets, 1976

A broad variety of data sources were utilized in Cured Fish and Seafood Industry (SIC 2091) and
generating the intermediate and end-use dis- the Fresh and Frozen Fish and Seafood Industry
tributions for each industry. Trade associations and (SIC 2092) is shown in tables 9 and 10. In the
industry representatives provided energy use data Canned and Cured Fish and Seafood Industry, fuel
in many cases. Published sources dealing with oil usage increased from 1.8 trillion BTU's in 1962 to
energy use by process were also consulted.13 2.3 trillion BTU's in 1972, then decreased to 1.2
Energy usage by type of fuel for the Canned and trillion BTU's. Consumption of natural gas in-
creased rapidly from .45 trillion BTU's in 1962 to 2.9
"Energy Efficiency Improvement Targets, Food and Kindred trillion BTU's in 1972, then decreased slightly in
Products Industry, Development Planning and Research 1974 to 2.2 trillion BTU's. Net electricity use
Associates, Inc. Prepared for Federal Energy Administration, increased from .28 trillion BTU's in 1962 to .53
June 1976, pp. 5-7, 25-26, 156-161 and 42-1 to 44-13. trillion BTU's in 1974.

Table 8
Energy Usage By Activity
for Fresh and Frozen Packaged Fish and Seafood Industry (SIC 2092), 1972

Trillion BTU

Total Intermediate End
Use Use Use

Recei ving ...................... 0.027
Preparation .................... 2.398
Boiler Use ..................... 2.664 Processing ..................... 0.080
Warehousing ................... 0.027
Miscellaneous .................. 0.133

3.700 Direct Use ..................... 0.185 Plant Vehicles .................. 0.185

Receiving ...................... 0.230
Preparation .................... 0.247
Purchased Electricity ............ 0.851 Processing ..................... 0.077
Warehousing ................... 0.255
Miscellaneous .................. 0.043

Source: Energy Efficiency Improvements Targets, 1976

Table 10
Table 9 Energy Usage By Type of Fuel,
Energy Usage By Type of Fuel, Fresh or Frozen Packaged
Canned and Cured Fish and Seafood Industry Fish and Seafoods Industry
(SIC 2091), 1964, 1972, 1974 (SIC 2092), 1962, 1972, 1974

Trillion BTU Trillion BTU

Fuel Type 1962 1972 1974* Fuel Type 1962 1972 1974
Distillate Oil ............. 0.874 1.796 0.717 Distillate Oil ............. 0.304 1.186 1.044
Residual Oil .............. 0.975 0.477 0.521 Residual Oil .............. 0.196 0.343 0.553

Total Fuel Oil .......... 1.849 2.273 1.238 Total Fuel Oil .......... 0.500 1.529 1.527

Coal ..................... 0.104 0.118 - Coal ................... - 0.597 -
Natural Gas .............. 0.452 2.899 2.184 Natural Gas .............. 1.786 0.365 0.835
Other Fuels .............. 0.663 0.453 0.817 Other Fuels .............. 0.272 0.339 0.586

Total Purchased Fuels ... 3.068 5.742 4.239 Total Purchased Fuels ... 2.558 2.830 3.018

Net Electricity ............ 0.281 0.452 0.539 Net Electricity ............ 0.313 0.864 1.077
Total Purchased Fuels Total Purchased Fuels
and Net Electricity .... 3.349 6.195 4.778 and Net Electricity .... 2.871 3.694 4.095

*Estimated *Estimated

Source: Energy Efficiency improvement Targets, 1976 Source: Energy Efficiency Improvement Targets, 1976

In the Fresh or Frozen Packaged Fish and Seafood slightly in 1974 to .84 trillion BTU's. Net electrical
Industry, total fuel oil usage tripled from .50 trillion usage increased from .31 trillion BTUs in 1962 to
BTU's in 1962.to 1.5 trillion BTU's in 1972, then 1.07 trillion BTU's in 1974.14
increased slightly to 1.6 trillion BTU's in 1974.
Natural gas usage decreased from 1.8 trillion BTU's
in 1962 to .37 trillion BTU's in 1972, then increased "Ibid, pp 42-6 and 44-5.

CONCLUSIONS studies on energy use are needed. These studies
The following conclusions may be deduced from should be species specific and focus on obtaining
the various discussions presented in the paper: energy use from the ex-vessel level to the final
1. Energy use estimates for the harvesting sector demand level. Only by understanding the entire
vary widely. flow of energy within the fishing sector and related
2. Energy use estimates for the processing sector components can bottlenecks be identified, and
also vary. policies to alleviate these bottlenecks be developed.
3. The estimates on energy use in the harvesting
sector, done by National Marine Fisheries
Service personnel, were to be considered "ball- SELECTED REFERENCES
park" estimates due to weaknesses in Development Planning and Research Associates. Energy
methodology. Since estimates by the NMFS EfficiencV Improvement Targets. Food and Kindred Products
were the basis for all other studies made of the Industry. Prepared for the Federal Energy Administration, June
harvesting sector, excluding one, these es- 1976.
timates are subject to the same weaknesses. Energy and Environmental Analysis, Inc. Energy Consump-
4. The studies concerned with estimating energy tion Data Base. Volume III, Chapter 1. The Agricultural Sector.
Final Report. Prepared for the Federal Energy Administration.
usage by the processing sector had inconsis- March 1977.
tent results and were limited, due to the almost Executive Office of the President. Standard Industrial
exclusive use of Census of Manufacturers Classification Manual. U.S. Government Printing Office.
data which is confined to SIC industry Washington, D.C. 1972.
designations. Fritsch, A. J., L. W. Duiack, and D. R. Jammerson. Energy and
Food: Energy Used in Production, Processing, Delivery an
5. Many of the estimates on fuel usage are Marketing of Selected Food Items. Center for Science in the
currently inadequate because they were based Public Interest. CSPI Energy Series VI, June 1975 in Energy Use
on pre-embargo data and, thus, fail to consider in the Food System. Prepared for the Federal Energy Ad-
post-embargo shifts in energy use due to price ministration. Washington, D.C. 1976.
lack Faucett Associates. Energy Consumption By Transporta-
changes and conservation measures. tion Mode and Oil Embargo Scenarios-Econornic Adjustment
6. A comprehensive analysis of the energy and Impacts. Washington, D.C. May 1973 and January 1974.
utilization in the fishing sector cannot be Jack Faucett Associates. National Energy Accounts: Energy
completed until the transport sector is includ- Flow in the U.S. 1947-1972. Volume I and Il. Submitted to the
ed. Data on transporting fish and seafood Federal Energy Administration. Washington, D.C. November
products are relatively unavailable. 1975.
Platt's Oilgram News Service. June 13, 1977.
7. Detailed analysis of energy consumption is U.S. Department of Commerce. Fuels and Electric Energy
restricted by the fact that most estimates of Consumed. Census of Manufacturers. Bureau of Census. U.S.
energy use are based on simple trend ex- Government Printing Office. Washington, D.C. 1974.
trapolations. U.S. Department of Commerce. National Marine Fisheries
Since most of the studies fail to provide adequate Service. funpublished statistics).
U.S. International Trade Commission. Factors Affecting
decision making and analytical information on World Petroleum Prices to 1985. USITC Publication 832.
energy use in the U.S. fishing sector, more detailed Washington, D.C. September 1977.

ENERGY: THE CRITICAL CHOICES

By WAYNE 1. PARKER
Georgia Office of Energy Resources

In 1973, before the Arab embargo, the United Coal is abundant and would allow the oil and gas
States imported 35% of the oil it used-concern was saved to be used in applications for which there are
so great that "Project Independence" was proclaim- no substitutes, such as transportation. New
ed, but to no avail. Imports are now providing 48% methods of using coal, including gasification or
of the oil used in this Country. fluidized-bed combustion, can improve its efficien-
In 1971, that imported oil cost the United States cy. Coal will be more important in our near future,
$3.7 billion. Last year, the figure increased ten-fold but its long-term use is limited by the inherent
to $36 billion and is expected to be $45 billion in social costs, including air pollution from sulfur
1977. This strains our balance-of-payments, and emissions and the effects of strip mining.
concern about that burden has been a major cause Nuclear power was planned to fill a larger role in
of the dollar's current troubles in foreign exchange electrical power generation. But uranium and
markets. The oil remaining in this Country is now construction costs have both soared, and plant
more difficult and costly to find. Though high prices construction has slowed. There are also many
would encourage some additional production, the lingering concerns about the dangers of nuclear
fact remains that the United States is running out of power, and some countries, such as Sweden, have
oil. It is estimated that we have only 8% of the placed a moratorium on further development.
world's remaining recoverable oil, whereas the A great deal of research money is being spent to
Middle East possesses 62%. Surprisingly, for the see if hydrogen fusion, the force which powers the
first time in history, the Soviet Union is the world's sun, can be obtained in a reactor here. Fusion
leading oil producer, not the United States. reactions do not involve the radioactive emissions
Though gasoline prices rose following the oil inherent in the common fission reactors, but the
embargo, they remain far below those of most technology has not yet been proven. But any
countries. Europeans, who have little domestic oil, attempts to further centralize our energy sources
pay, on the average, almost $2.00/gallon. A does not give credit to the potential of more efficient
confused American public asks why prices aren't sources.
higher here, if there really is a growing shortage of The best central generating facilities still waste
oil. about 70% of the energy they consume. They also
The price of gasoline has been kept low in the require tremendous capital investments that now
United States because most of our domestic run to almost a billion dollars per unit in the case of
production comes from already existing wells, nuclear plants. That is a major reason for the
which were constructed when oil was easier to find. increasing price of electricity.
Additionally, our political and economic influence But our need for energy has not diminished. This
in the Middle East, along with other factors, has is especially true in coastal areas, which are centers
successfully delayed major price increases by the for distribution, fishing, manufacturing, and
OPEC nations. Pressure is building against this tourism. Increases in the costs of fuels can have
dampening effect, and prices will have to increase damaging effects on profitability. Since food and
significantly in the near future. housing require fixed expenditures for any
Though prices to the consumer have been kept household, any increase in energy cost will curtail
low, we pay the heavy costs of economic and travel and leisure activities first. impacts will first
military instability. Imagine the effects of another be felt on tourism, and thus the economy of coastal
oil embargo which could cut our oil supply by one- regions.
half! As though that wasn't enough of a problem, Manufacturing, agriculture, and all other sectors
our second most widely used fuel is natural gas, have also been affected, and will suffer from future
which is even in shorter supply. In many areas, no shortages and price escalations. Industries in-
new natural gas customers are being accepted, and terested in locating in a particular state once asked
last winter's shortage proved how critical the the question: "What environmental regulations will
situation has become. we face?" Now another question i's posed: "What
The Administration is counting on coal, our third energy sources are available and what will it cost?"
most widely used fuel, to substitute in some cases With most of our Country's population growth
for oil and gas consumption. occurring in coastal regions, energy questions loom

ever-larger. Such questions are not only about As with other nations, we must build or restore
supply, but also about the energy facilities which systems for mass transportation. Improvements in
are moving to coastal areas. The increase in offshore our rail system and development of local transit
drilling, new coal and nuclear power plants, oil and systems could especially benefit coastal areas.
gas transport, and pipelines involve some of the Along with walkways and bikeways, such systems
most significant impacts coastal areas in all could reduce the impact of higher energy costs on
countries must consider. tourism and also normal manufacturing and sales
Thus, we see that an energy supply future which operations. Most industrial nations do in fact have
follows past practices is fraught with hard mass transit systems far superior to ours, The trend
decisions. Let us now look to the demand for energy toward more and more traffic and congestion could
and how it might be adjusted to improve this bleak be reversed by turning capital investments away
outlook. from new roads and toward systems that would
It has long been assumed by many people that our reduce the need for highway expansion. This would
economic growth is dependent upon growth in our not only save energy, but would lessen two main
energy supply, but we are finding the opposite to be problems in metropolitan areas, congestion and air
true. Our extremely high rate of consumption has pollution.
created economic and political instability, and is Economics will, in part, dampen the demand for
cause for much concern about our ability to energy. As gasoline prices increase, people will
continue the independence which we have enjoyed drive fewer miles. When that time comes, however,
for so long. if we don't act now, there may be no good
It has been clearly demonstrated that we have the alternatives to the use of petroleum products, and
capability to drastically reduce our energy appetite. the impacts could be harsh.
West Germany, among other nations, has the same We also know that energy conservation can
gross national product per capita as we, but uses greatly aid the industrial sector. Our office has been
only one-half as much energy to produce it. They working with Georgia Tech to provide energy
manage their energy better, and utilize readily management assistance to industry. They have
available conservation methods. For example, already shown tremendous success, with energy
cogeneration, the use of waste heat to produce savings of 15% or more on many occasions with
electricity, provides only 4% of our needs, as small capital investments. With significant capital
compared to 12% of the electrical demand in West investment, savings of 30-40% have been realized.
Germany. As a result of the era of very cheap power, we
We need only look to our glass skyscrapers to see have come to accept inefficient buildings, cars,
how energy inefficient our buildings have become. appliances, lights, heaters, and electric
A study by the American Institute of Architects toothbrushes. It is often surprising for people to find
concludes that improvements in buildings could what little energy a well-designed car or house
reduce our total energy consumption 33% by 1990. actually needs. The current shortage of insulation
The Massachusetts Institute of Technology is attests to the fact that people are willing to take
constructing a building which will obtain 85% of its steps once the effect on their pocketbook is clear.
energy from passive solar design. This means that Last winter's cold weather had one positive side-
the building is oriented to absorb and store the sun's effect-it was an education for us all in energy
energy in the winter, and to shed that warmth in the conservation.
summer. It is "passive" because there are no pumps Our first step, then, must be to wring every bit of
or mechanical motion involved, just good design. use we can from each unit of energy. Almost every
For the average home-owner, even simple measures type of energy use can be improved, and the cost is
on existing buildings, . such as insulation and usually a good investment that will pay for itself
weathe .rstripping, can save 15-20% in home energy many times in both energy and dollar savings. Also,
bills. the economic value of energy conservation in-
Automobiles in America have become more vestments will increase as the cost of energy rises.
widely used and, paradoxically, less efficient over And, if the direct economic benefits are good, the
the years. Government regulation finally reversed social advantages are treme'ndous. A move toward
that trend, and the 1976 cars were 27% more energy self-sufficiency and,greater frugality with
efficient than those produced in 1974. As older cars our resources can only improve our international
are replaced by increasingly efficient newer models, posture and image.
the.figures will continue to improve. Significantly, As conservation takes effect through the replace -
the automobile industry has not suffered as a result ment of inefficient cars, buildings, and machines,
of the change. Time and again, it is being sho'wn.that we can develop alternative energy sources to
energy conservation is goodfor everyone. replace those now being depleted. The most rapidly

growing resource available to us is solar energy. existed in the United States. By the 1920's, wind
The technology is proven and the economics are power had become a major source of electrical
,constantly improving. Solar water heaters were in power on farms and homesteads across the country.
widespread use in Florida during the 1950's, until The establishment of the REA in 1930 made
the price of electricity went so low as to make them federally subsidized centrally-generated electrical
non-competitive. The sun powers all of our natural power available to farms, and thus signaled a
systems, including the wind, rain, and temporary end to wind power. Rapidly increasing
photosynthesis, and now promises to energize our prices of electricity and oil and gas have rekindled
built environment as well. The most common interest in wind energy and the industry is
applications for solar energy use are hot water and expanding. Coastal regions provide good conditions
space heating, which are currently economical in for this energy source; the largest windmill in the
most areas of the country. Such systems usually world will soon be constructed in North Carolina by
have sufficient storage capacity for several days use the Federal Department of Energy. The most
without sun, and have conventional back-up promising future, however, is with the small
systems for longer, cloudy periods. On balance, windmills for local applications, which are becom-
they usually supply 50-7011/6 of a home's heating and ing more efficient and less costly.
hot water needs. Wood, the sun, and the wind can provide-efficient,
Solar-powered air-conditioning is also available, free, and locally owned and controlled energy on-
but now requires a longer period to pay for itself. site. They can also provide a mechanism for beating
Most states have enacted tax incentives for solar inflation in one important aspect of our economy.
energy equipment, and the Federal Government is In the long-range, we may find that our energy
about to pass a tax credit which should spur the needs are best met by conservation and low
growing industry even more. The most significant technology energy sources. The expense of many
problem now facing the development of solar large-scale technologies, both in dollars and social
energy is the unfamiliarity of the public, builders, costs, are proving higher than we planned, and new
contractors, and architects with this new sources such as solar promise infinite and non-
technology. As solar systems become more com- polluting energy supplied by an industry that is
monplace, and as the equipment becomes more labor-intensive and community oriented.
standardized, solar energy is expected to meet more But what about transportation? Though still
and more of our energy needs. virtually untapped, fuels such as hydrogen and
It is also possible to make electricity directly from methane may someday replace our now-vital
the sun with solar (or photovoltaic) cells. They are gasoline and diesel fuel. Hydrogen can be produced
usually made from silicon, which is abund 'ant, and from water by electrolysis, and the electricity
are very durable. They are still very expensive, but needed could be provided by solar, wind power, or
with new developments and mass production, the other sources.
price is expected to decrease in a manner similar to Our office is working with Georgia Tech and the
electronic calculators. Georgia Department of Natural Resources on a
Solar power has also been adopted for many proposal to make newly acquired Ossabaw Island
agricultural uses, including heating, crop drying, energy self-sufficient. The Island is curTently
and irrigation. powered by a diesel generator, the fuel being
In the Coastal Plains Region, there is great brought over by boat. This involves great expense
potential for the better use of wood as an energy for an island with a small population. Several
source. We are all familiar with wood burned in a alternative ideas are under consideration, including
stove or fireplace. Now that equipment is being a combination of hydrogen/solar system which
f designed to distribute heat more efficiently, and would meet all of the Island's energy needs. Solar
other uses of wood as an energy source are being energy could provide heating, hot water, air
developed. Wood gasification is one means of conditioning, and the electricity to make hydrogen.
providing energy for industrial applications. A windmill could be used to pump water and make
Pelletization of wood gives it a BTU content per unit additional electricity for hydrogen production. The
almost equal to coal, but without the dangerous hydrogen could be used for cooking and to power
sulfur dioxide. There is much low-grade wood that the vehicles on the Island, a transition that is not
is suitable as an energy source that constitutes difficult for the internal combustion, engine.
simple waste at this time. More complete use of the Projects such as this one will continue to be
wood already being harvested is one way to provide developed and offer the hope of clean, new ways of
large additional amounts of energy. meeting our energy needs. The challenge we face is
Another age-old source of power is that of the not so complex as we sometimes believe, and the
wind. In 1900, a $4 million windmill industry answers may in fact come from the simple

questions we need to ask ourselves. Those however, choose to change our energy consumption
questions involve every aspect of our energy use and make the slow transition from an exhaustive
and how we can squeeze more social benefit out of fossil fuel economy to one based on conservation
every available BTU or kilowatt-hour of energy. and renewable resources. No more important step
To continue our past practices of waste locks us could be taken toward securing the American
into a difficult, if not disastrous, path. We can, future.

ENERGY CONSERVATION IN SEAFOOD PROCESSING

By GEORGE J. FLICK'
Food Science Department
Virginia Polytechnic and State University

Make no mistake about the present energy
situation. The shortage is real and all industries, Food Energy
businesses, and individuals must learn to accept the
fact and cope. There is no need, however, to develop (KCAL Input/Gram Protein)
negative attitudes since a concerted drive to Herring a ................ 6.58
eliminate energy waste can return many benefits.
Wheat ................... 13.7
Before discussing the seafood utilization in- Ocean Perch a ........... 17.3
dustry, let's first consider the broad aspects of Blue Crabs b ............. 27.5
energy requirements for food in the United States Pink Salmon c ........... 30.4
during the past decade. Rice .................... 40.0
A recent study sponsored by the National Science Cod .................... 78.5
Foundation and conducted by the Oak Ridge Tuna .................... 81.3
National Laboratory, discloses that about 12% of the Haddock a .............. 92.0
total National energy budget is consumed by the Halibutc ................ 93.2
food cycle. The distribution is as follows: Flounder a ............. w. 95.2
Eggs ................... 132
Food Processing ................... 33% Catfish d ................ 139
Agriculture ........................ 18% Boilers .................. 149
Households ....................... 30% King Salmon ** ........... 159
Wholesale & Retail Trade ........... 16% Pork ................... 186
Transportation ..................... 3% Milk ................... 263
Shrimp e ................ 598
The total energy consumed in food production Range Beef .............. 685
during 1963 was 6,100 trillion BTU's. As shown in Lobster f ................ 769
the above list, an astonishing 30% of the energy used Feed Beef ............... 800
in food utilization is expended in the process of Range Lamb ............. 818
preparing the food in the consumer's home.
. The study also showed the various allocations of a Atlantic d = Aquaculture
energy according to food commodities:. b= Chesapeake e = Gulf
Dairy ............................. 16% c = Pacific f = Maine
Fruits & Vegetables ................ 18d/0
Flour & Cereal Products ............. 13%
Sugar & Sweets .................... 10%
Alcoholic Beverages ................ 10% The next table indicates the energy used in
Meat, Poultry, and Fish ............. 27% seafood production. The total energy given, ex-
Other Foods ........................ 6% pressed in kilocalories of energy per. kilogram of
food output, includes harvesting and processing
In a.study by the University of Connecticut, it sectors of the distribution chain, and also includes
was shown that the energy used to produce a gram those costs allocated to fuel, electricity use,
of seafood protein, when compared to other types of depreciation of equipment. maintenance,. and
protein, is usually less; however, there were three utilization of raw ingredients and packaging
exceptions: king salmon, shrimp, and lobsters. The materials. Also included is Pn estimate based on
following table lists the breakdown of various types storage for 90 days, from the time of processing to
of seafood and non-seafood products and the energy the time of purchase by a consumer from a retail
required to produce the product: outlet.

*Paper Co-authored by Donn Ward and Frank Huang

ENERGY USE- IN SEAFOOD PRODUCTION
KCAL/KG

Processed
Food Harvesti Processing+ Seafood" Wholesalel Retail Total

Perch (Frozen Filet) ................. 1,330 4,640 8,470 352 70 81890
Sardines (Canned) .................. 580 12,200 13,800 13,800
Salmon (Canned) ................... 4,560 11,500 19,000 19,000
Cod (Fresh Filet) .................... 4,280 5,260 18,500 6.1 110 18,600
Flounder (Fresh Filet) ................ 5,250 5,130 20,300 6.1 130 20,400
Halibut (Frozen Steaks) .............. 11,500 5,280 25,800 352 170 26,300
Haddock (Fresh Filet) ............... 8,070 5,830 28,200 6.1 110 28,300
Salmon (Fresh) ..................... 19,800 6,030 33,500 6.1 70 33,500
Lobster (Live) ...................... 33,700 160 33,900
Tuna (Canned) ...................... 16,100 8,360 41,500 41,500
Scallops (Frozen) ................... 49,800 352 150 50,300
Shrimp (Fresh) ..................... 74,800 10,000 134,000 6.1 110 133,800
Blue Grab (Steamed) ................ 2,290 21,500 138,000 6.1 210 137,800

Includes boats, gear, and repair - includes + plus harvesting
+ Includes paper, ingredients, machinery I Includes storage for go days

It has been noted that the increased amount of kilogram of protein. For example, harvesting energy
energy utilized in fishing over the past few years consumption relative to protein output a ratio of 117
has not yielded a proportional quantity in fish to. 1 exists for lobsters relative to sardines. It should
landed. In contrast, the overfishing that has been also be noted that the value of 769 kilocalories per
practiced by various nations has resulted in an gram of protein for. lobsters, the most energy
increased use of energy per unit volume of catch. intensive seafood, compares with 800 kilocalories
Studies by the Food and Agriculture Organization per gram for feed lot beef. It is interesting, however,
(FAO) of the United Nations have shown that the . that Atlantic herring *require surprisingly little
energy cost of fishing for the last few percent of the energy in harvesting, only 6.58 kilocalories per
fish in a school is much greater than that spent for gram of protein. This is less than what is needed to
the majority of the school. It has been estimated that grow a gram of incomplete. protein from corn,
the cost per ton used in taking the last 2% would be wheat, or oats. Also of interest is the fact that tuna,
about 10 times that for the first 98%. However, it the only example of fish caught by large modern
must be remembered that it is usually advan- ships traveling to foreign waters, does not consume
tageous for a vessel to take the maximum catch as much energy as might be expected. When fishing
since the cost of the fuel is low and offset by the cost in the same area, large ships, although they catch
of the raw product, especially if a highly desirable more, require more energy than older, smaller ships
species is being sought. per pound of seafood, caught.
It must be remembered that, even if more energy One of the reasons why the total energy
is devoted to fishing, additional species would required for shrimp and blue crabs is high (when
not be landed in a greater amount. Many of the compared to that of perch, salmon, and cod) is that
desirable, species -have been overfished and it is shellfish have significantly lower product yields. It
doubtful that extensive fishing efforts would be is not uncommon for a blue crab to yield less than
able to obtain significantly increased yields. What is 10% from the harvest weight. Values as low as this
becon-dng more popular are the under-utilized are not obtained in the fin fish industry. Usually,
species and a reallocation of our current marine yields of one-third for fish filets to 75% for steaks Eire
food products. At the present time, only one-third to sometimes achieved. On an average, approximately
one-half of the fish caught is now used for human 50% yield of a fish is usually obtained after
consumption. The remainder is used for industrial processing.
fishery products which eventually are incorporated This comparison of unprocessed seafoods with
,Ti
into poultry and other animal feed rations. other protein food sources indicates that fish
In harvesting seafood it should be noted that utilization is less energy intensive than many farm
there is a wide variation in energy used to produce a animals and some field crops.

Two related 1980 energy efficiency improvement COMPOSITE ENERGY PROFILE
goals have been established for the seafood in- Fuel Type 1962 1971 1972 1974
dustry: - - 06- --- -
1. Gross Goal-12% Distillate Oil ....... 26 29 29 15
2. Net Goal-10% Residual Oil ........ 29 8 8 11
The gross goal represents the projected improve- Total Oil ......... 55 37 37 26
ment from 1972 to 1980 in energy efficiency per unit Coal ............... 3 2 2 -
of output, which is deemed both technologically Natural Gas ........ 14 47 47 46
feasible and economically practical based on Other Fuels ........ 20 7 7 17
analysis. The net goal reflects an overall adjustment Total Fuel ........ 92 93 93 89
of the gross goal for exogenous factors. For example, Electricity .......... 8 7 7 11
the Environmental Protection Agency (EPA),
Occupational Safety and Health Act (OSHA), and It must be remembered that energy conservation
Food and Drug Administration (FDA) regulations
are projected to increase energy requirements of the at this point in time may be less important to the
industry over the period by at least 2%. seafood industry than several other issues. To
many observers it appears the industry may be
Seafood products can be divided into two general fighting for survival. There are many areas that are
classes: of vital concern to the industry, such as EPA
1. Products produced for human consumption. guidelines, foreign fishing, Regional Management
2. Products produced for animal food and bait. Councils, FDA regulations, minimum wages, and
While the two classes use an almost identical OSHA regulations, which may produce inefficien-
process for the same raw material and, perhaps, are cies in the utilization of seafood.
produced in the same establishment, it is important There is also a growing consumer resistance to
to segment their energy cost into different seafood products due to increasing retail costs.
categories. If this were not done, 100% of the energy Because of the importance of these issues, it is not
used by the seafood industry would invariably surprising that energy utilization has been given a
wind up being assigned to 60% of the industrial somewhat lower priority.
product. This problem would arise because energy Factors affecting energy conservation goals are:
utilization is reported in terms of the Standard 1. Energy Prices
industrial Classification (SIC), which does not take 2. Energy Conservation Equipment Investment
into consideration the classification of the ultimate Costs
consumer. As a word of caution, when reviewing 3. Investment Capital Availability
any energy allocated by a food industry, it must be
remembered that the Standard Industrial Let us now consider the composite seafood
Classification only considers the type of product industry energy use profile. This profile is divided
being processed and not the audience for whom the into two categories:
product was intended. 1. Intermediate Use Energy Distribution, and
The canned and cured seafood industry is 2. Use Energy Distribution ,
relatively product extensive. The important species The intermediate use energy distribution is broken
are tuna, salmon, clams, shrimp, and sardines but down among fuel inputs and purchase of electricity.
these constitute only the largest in volume. It should The fuel input is broken down into direct use and
be remembered that the product varies by grade, boiler use. In 1972, the seafood industry consumed
packing medium, can size, and many other factors. 14% of all energy purchased in direct uses. Seventy-
The canned and cured seafood industry had energy nine percent went to boiler operations for steam
consumption characteristics as listed: generation, with the remaining (7%) being purchas-
ed for electricity. The direct use of fuel input was
SIC 2091 ENERGY CONSUMPTION accounted for by plant vehicles used to transport
1. 2091 used 0.5% of total SIC group 20 during raw and processed product at the receiving and
1974. warehousing stages. The fuel used in processing
2. 2091 ranked 39 among 47 SIC 20. plants is primarily allocated to preparation (45%),
3. Canned fish required: 4,000 BTU/Ib. in 1971; processing (48%], and miscellaneous (7%) which
3,000 BTU/Ib. in 1974. includes receiving, warehousing, and boiler losses.
It is estimated that 33%of the overall boiler output is
In 1972, the seafood industry composite energy lost through the stack, through blow-down, steam
profile was as follows: traps, poor stearnline insulation, and general heat

losses in converting fuel input to boiler output. As the loss of energy, since the BTU input is
expected, the majority of heat is used in prepara- greater than the BTU output as final steam.
tion, precooking, and processing (retorting) with the This loss is commonly referred to as boiler
remainder being used for other items such as space efficiency or fuel to steam efficiency. Energy is
heating. The retort is one of the greatest users of also lost in the form of hot air going up the
energy in the blue crab and canning industries. The stack, the incomplete burning of boiler fuel,
stationary retort is not very efficient and a typical radiation and convection losses, and other
thermal energy balance is as follows: miscellaneous losses. It is possible that some
THERMAL ENERGY BALANCE losses can technologically be reduced by 14%
STATIONARY RETORT by 1980. Much of this improvement will be in
the operation and maintenance controls, better
Energy Energy combustion controls, a minimization of blow-
Operation Used Lost down procedures, repair of line and valve
----------- 0/0 ------------ leaks, use of insulation, and sizing of boiler to
Heating (of product) ...... 16.7 - requirements. Also important is the elimina-
Venting ................. - 36.4 tion of hot water leaks from equipment or
Crate & Retort Heating ... - 16.4 hoses and the use of automatic shutoff nozzles
Condensate Heating ...... - 11.2 on clean up hoses. Other measures could
Radiation ............... - 19.3 include proper clean up water temperatures
Electricity is used primarily for lighting, running and types of detergents with energy savings in
belts and motors, and for refrigeration. mind. It is important to note that steam clean
Let us consider the above problems in more detail up uses considerably more energy than does
and discuss the technologically feasible and hot water clean up. The second major
economically practical measures that can be used to conservation measure through reduced boiler
reduce energy use. use involves heat recovery from preparation
steam in processing cooling water. It is
1. Direct Use technically feasible to reduce steam use by 5%
It is technically feasible to conserve ap- in both precooking and retorting by exchang-
proximately 10% of the energy going to plant ing heat from the two processes. One simple
vehicles by improving vehicle maintenance technique that could be adopted in seafood
and driving practices. This savings will be processing plants is the use of heat from
maintained by using better-tuned vehicles, refrigeration compressors being used to
careful routing, and minimizing vehicle use. preheat water for hot water systems. The third
Other changes that can be brought about are: boiler use conservation measure is to lower
making maximum use of common-carrier thermostats to reduce space heat. The
fleets and railroads, conversion of large trucks temperature could be reduced to 50' during
to diesel engines, and replacing large size nonwork periods and 650 during work
company cars with compacts or subcompacts, periods. This method would involve
enforcement of the 55 mile-an-hour speed housekeeping and perhaps some capital in-
limit, use of radial tires over the conventional vestment.
tires, having drivers avoid prolonged engine 3. Purchased Electricity
idling, devices mounted atop tractor cabs and Purchased electrical energy conservation
on trailer noses that reduce air drag, installa- techniques involve changing lighting practices
tion of automatic speed control devices, and and using electrically driven belts and motors
utilization of full primary loads in backhaul- more efficiently. Conservation of fighting
ing. These improvements are largely costless energy is derived mainly by turning out lights
and are technologically and econon-dcally and making more use of natural lighting by
achievable. The end-use efficiency in the direct maintaining and cleaning windows and
use, resulting primarily from management, is skylights. Capital investments in photocells,
forecast at 10%. monitor switches, and fluorescent lights is
2. Boiler Use technologically feasible. A second major
Improved boiler or steam use offers the most conservation measure to reduce purchased
improved efficiency in energy use through electrical energy use requires sizing electrical
reduction of boiler losses, a curtailment of hot motors to fit load requirements. It is estimated
steam used to heat boiler feed water, and more that a 3% gain of energy efficiency could.be
efficient use of hot water. The conversion of achieved if the above practices are im-
fuel energy to usable steam energy results in plemented.

4. Other Considerations stages. Consequently, a food processing company
Other considerations will actually increase the may be forced to suspend processing operations for
overall energy use by the processing industry. a considerable period of time.
As human labor costs increase, technological Materials are purchased from a supplier. What
innovations will be introduced to replace the happens if the supplier is forced to curb production?
high cost manual labor. It is anticipated that Moral: Get assurances from the supplier or look for
the increased use of mechanization will result another source. In analyzing supply information,
in a 1% greater energy use by 1980. It is also the following should be considered:
estimated that enforcement of new 1. Estimate the severity of shortages.
regulations, as previously mentioned, (EPA, 2. Project the time profile of shortages.
FDA, etc.) will also have or require an overall 3. Decide whether the shortage is absolute or
energy efficiency impact of approximately 1%. relative.
Consequently, during the next four years 4. Anticipate the range of prices and supplies.
energy use will increase by 2%. The overall 5. Estimate the timdng of price changes.
energy use efficiency goal is composed of three There are several general considerations that
elements-gross goal, adjustments for other seafood processors should consider and remember
considerations, and net goals. The fish with respect to energy restrictions. A list containing
industry (SIC 2091) is estimated to be able to the major aspects is as follows:
meet a gross goal of 12% in energy efficiency 1. Unattractive products can become attractive.
improvement by 1980. Adjustments for other 2. Company should develop product rationing.
considerations in complying with federal Rely on price.
statutes reduce this goal by 2%, to yield a net Reduced allocations with penalty extra
goal for the industry of 10%. This goal is for the purchase.
composite industry and it meets the criteria of Strict rationing.
technological feasibility and economic prac- 3. Company should know consumer buying
ticafity. Energy used by seafood plants is patterns with respect to supply and demand.
important, but what should also be considered Seafood processors should set up contingency
are the implications from suppliers. While the plans that can become quickly operational should a
seafood industry may be a low energy user, crisis develop. If a company anticipates substantial
what if their suppliers are not? Moral: Each curtailment, it might want to activate a cost
processing company should obtain informa- reduction program to protect profit margins. A
tion on the vulnerability of their suppliers * similar program might be triggered by sharp
One example of this is the energy used in increases in the cost of supplies. The final task is
container production. one of devising specific steps to be taken now, and
possible steps to be taken if specified events occur
ENERGY USED IN CONTAINER PRODUCTION in the future. A good procedure is to establish an
Container Energy (TOE) action plan for immediate implementation and then
Tinplate ........................ 1.2 formulate a series of contingency plans with trigger
Aluminum ...................... 6.3 mechanisms.
Plastics ......................... 2.9 A crucial element for the success of this whole
Paper .......................... 1.6 exercise is to establish ways to measure the effect of
the action and ways to follow events which are
Glass .......................... 0.4 basic to contingency plans. Plans too often have
TOE = Tonne Oil Equivalent been implemented without appropriate monitoring
As seen in the above information, the type of and control so that, if not disastrous, the results
containers that would be available to the seafood were less than desired. Irnplicit in the control
industry could change significantly should energy process are steps aimed at evaluating the effects of a
restrictions be imposed at the federal level. At the given plan on operations and profits. The company
present time, aluminum cans are being used to should go about an energy audit systematically,
package various fresh seafood products. While the identifying and evaluating all relevant elements,
company may have the processing line geared to the and will surely come through the energy crisis in
production of products in aluminum cans, energy better shape than the one that doesn't. This should
curtailments may necessitate that a substitute be the aim of management. Anything less would
product be obtained. It is quite possible that a surely place a company in a situation that may have
substitute product will require the allocation of disastrous effects on its financial structure. Energy
increased capital investment and require a time audits are perhaps one of the most useful devices a
interval between the planning and implementation plant can have to inventory their energy use and

cost. The information to be obtained from an energy industry last year was the curtailment on the use of
audit is as follows: natural gas. Perhaps in the future the seafood
1 . Flistorical and present energy usage and an industry may wish to seriously consider the
assessment of energy sources having the establishment of an industrial park which could
greatest impact. utilize coal in a central type of boiler which would
2. A compilation of specific current problems. provide the necessary steam for space heating and
3. Industry profile of minimum energy re- product utilization. Also, if gasoline is restricted in
quirements to maintain production at different the future, employees may not be able to drive to
levels. work and perhaps an industrial park would
4. A list of actions taken to conserve energy with facilitate more effective carpooling and mass
expected savings and a list of alternatives. transportation.
The energy crisis was quite obvious in Virginia In summary, the seafood industry should find it
last year. As we look to the future it may be technically feasible to conserve 17% energy and
necessary to develop new institutional structures in economically practical to conserve 12% energy (9%
order to meet expected energy problems within the from improved operating procedures). However,
future. Some of the changes to be made may not be replacement of labor by machines and new
desirable to management of current seafood regulations imply a 2% energy use increase. This
operations. However, the alternative to accepting should result in a net energy conservation goal of
and adopting the changes may be to face uncertain- 10%.
ty. One of the problems that affected the seafood

FISHEMES DEVELOPMENT IN THE SOUTHEAST

By ROGER D. ANDERSON
Executive Director
Gulf and South Atlantic Fisheries
Development Foundation, Inc.

INTRODUCTION the domestic fleet is capable of harvesting only
one-fifth of the available finfish resources.
Since 1960, the world catch of seafood has nearly 5. Domestic fleets and processing facilities are
doubled, while domestic production has remained tradition-bound. For example, harvesting and
essentially static. Though American fishery production are concentrated on a limited
production has been constant, the Nation's appetite number of species, with five edible species
for seafood has sharply expanded. Through home accounting for 60% of volume and 70% of
and institutional routes, consumers purchased value. Additionally, 80% of the industry fish
more than five million metric tons of seafood last catch is concentrated on a single species, i.e.
year, with a retail value near nine billion dollars. menhaden. Expansion will require con-
The inability of domestic firms to meet this demand siderable product diversification with signifi-
has lead to increased importation of fishery cant market development, both here and
products, resulting in a balance of trade deficit abroad.
approaching two billion dollars. At present, 6. Seafood transportation and marketing
domestic production represents 37% of the edible networks are poorly established. Most
seafood market, as compared to a 59% market-share processing, storage, and transportation
in 1.960. facilities, as well as marketing support
services, are undeveloped. Considerable
modernization and technical input, reflecting
NATIONAL OVERVIEW the experiences of other food-related in-
With the passage of the Fishery Conservation and dustries, are required.
Management Act, the domestic industry has shown
great interest in re-asserting itself. Numerous and
formidable economic barriers must, however, be SOUTHEASTERN FISHERIES
overcome. Specifically, the industry must address
the following: The shrimp industry, the most important fishery
1. The industry base is fragmented, i.e. the in the Gulf and South Atlantic, has been beset by a
seafood industry is composed almost entirely series of problems over the past several years.
of small businesses. The majority of these Shrimpers have been faced with increased competi-
enterprises are unable to acquire the financial, tion from imported product, resulting in a decline of
technical or managerial support needed for dockside prices. Concurrent with this has been the
major expansion. escalation in operating costs, primarily due to
2. Over half of domestic processing plants increased fuel prices. Uncertain market conditions,
employ fewer than 20 people, with annual combined with higher operating costs, have
sales of less than $350,000. By comparison, the continued to squeeze vessel profitability, escalating
average for other food-related industries costs in an already inflated marketplace. While
approaches 56 employees, with nearly four fishing effort has continued to increase, both
million dollars in annual sales. through a greater number of boats and more
3. American vessels have limited harvesting efficient gear, catch per unit of effort continues to
capacities, with the average vessel employing decline. Treaties with foreign governments con-
three crewmen, or less, with annual gross tinue to phase out American shrimping in distant
earnings of less than $100,000. waters. Displaced vessels will return to territorial
4. Industry-wide capital requirements are sub- waters, thus increasing effort on domestic stocks.
stantial. To replace foreign participation, and To respond to these spiraling pressures, both
achieve additional growth over the next 10 industry and goverrunent have sought to focus
years, an investment of five billion dollars is attention on new fisheries. As described in a draft
needed to modernize and construct needed copy of Fisheries Development in the United States,
vessels and processing facilities. At present, a 1977 publication of the National Marine Fisheries

Service, significant new fishery potential may plans for those fishery resources that the Board
include: Potential believes have commercial potential. Thus, while the
Production Foundation is a private, non-profit corporation, it
Fishery (million pounds) works closely with state, Federal and other
Trawl Bottomfish ................... 3,400 organizations that share similar goals and objec-
Coastal Pelagics .................... 5,800 tives. This working relationship includes the
Mullet ............................. 150 identification of problems that require limited
Squid ............................. 20 commercial development; the development of
Spanish Mackerel ................... 75 problems and projects that attempt to solve these
Inshore Sharks ..................... 50 problems; and the responsibilities of each
Bonita/Little Tuna ................... 10 organization's role in such efforts. As a result, the
Dolphin/Amberjacks ................. 5 Foundation seeks out the research and development
Slope Invertebrates .................. 3 expertise existing in the National Marine Fisheries
TOTAL 9,513 Service, Sea Grant, state agencies and other
institutions and agencies, endeavoring to com-
GULF AND SOUTH ATLANTIC FISHERIES municate industry's concerns and interests. As
DEVELOPMENT FOUNDATION, INC. appropriate, industry assistance and contracts are
awarded to qualified individuals and organizations.
To address these new potentials, the industry The Foundation, per se, does not intend to
trade associations of the Southeast, working compete with state and academic institutions for
through the cooperation of the National Marine existing monies, nor does it conduct research itself.
Fisheries Service, formed the Gulf and South Rather, the Foundation cooperatively administers
Atlantic Fisheries Development Foundation, Inc. development programs through the commitment of
While the Foundation is a new concept, its mandate its Trustees, Executive Committee, and Executive
for wise and careful fisheries development is clear. Director. The Executive Director handles day-to-
With direction from industry, and ongoing input day activities including contract administration,
from government, the Foundation has set out to information dissemination, and general staff
serve as: support. He, in turn, relies on an Executive
1 . A means through which the commercial Comnlittee composed of the President, Robert P.
fishing industry can determine its research Jones (Southeastern Fisheries Association), Vice
and development needs, then implement President, Robert G. Mauermann (Texas Shrimp
projects and programs to meet them. Association), and Secretary-Treasurer, Norman P.
2. A mechanism through which fishery-related Angel (North Carolina Fisheries Association), for
funds can be channelled to meet mutually ongoing guidance. Additionally, the Board meets
desired objectives. quarterly, as well as being regularly apprised of
3. A conduit through which public sector important business and activity, particularly that
organizations can effectively coordinate their which is within immediate purview of respective
efforts via a single organization, representing Trustees.
both the Gulf of Mexico and South Atlantic. C.entral to the Foundation's goals and objectives
4. A potential advisory body to the Gulf of is an effort to assist the States in developing more
Mexico and South Atlantic Fishery Manage- fisheries interest and support. Where endeavors are
ment Councils. not currently available, the Foundation endeavors
The Foundation is directed by a Board of Trustees to bring resources forward. With the expertise
composed of one or two representatives from the already available, the Foundation endeavors to
coastal States stretching from Texas to Virginia. enhance both the conservation and better use of the
The Trustees represent Statewide organizations or, marine stocks in the Gulf and South Atlantic.
in the absence of such organizations, fishery
cooperatives and/or individuals closely identified FUTURE DEVELOPMENT
with a wide spectrum of Statewide fishing
activities. To date, 15 Trustees represent the region. On a National scale, it has been estimated that for
Current support for the Foundations's activities each one n-dllion dollars in additional fleet landings,
comes primarily from the Coastal Plains Regional 113 jobs, 33 directly in fishing and 80 in support
Comr-nission and Economic Development Ad- industries, can be established. Consequently, if
ministration. In addition, member organizations American production could offset one-half of the
contribute time and support, as do cooperating two billion dollar trade deficit in fisheries, well over
agencies and institutions. The Foundation aims to 50,000 new jobs could be created. While this is not
cooperatively establish research and development expected as an overnight turn-about, the potential

unquestionably exists. Research, development, and to the Nation offers:
additional legislation are needed to stimulate this 1. Potential for greater cash flow and capital
situation. accumulation.
Through joint action of industry and government, 2. Increased interest by the investment com-
fisheries development can thus mean the establish- munity.
ment of- 3. Greater opportunity for export market
1. Solid economic bases for analyzing growth development.
opportunities. 4. Improved quality control and consumer
2. Basic information and training for industry protection.
diversification and growth. 5. Greater availability and variety of product
3. Financial incentives, i.e. loans, loan selection.
guarantees, and tax incentives, to reduce risk While this development poses major challenges to
and encourage expansion. industry and goverm-nent, the opportunities and
4. Mechanisms whereby industry can act collec- rewards are great, offering both public and private
tively to solve its own problems. benefits. With the renewed interest in this Nation's
Though little industry expansion has been noted fishing heritage and potential, the challenge will not
in recent years, the future of fisheries development go unnoticed.

FISMNG FOR FUN & PROM

By DALE S. BEAUMARIAGE
Chief
Bureau of Marine Science and Technology
Florida Department of Natural Resources

Reliable access to food resources has guided our of Hawaii, recently stated in an article in Oceans
human destiny for centuries. Transition from a magazine that "Traditionally, all oceanic resources
nomadic life, wandering after roving animal have been understood as either res nullius or res
populations, or following seasonal fruiting of wild communis," He further expressed the opinion tEa--t
crops, to the settlement of villages where res nullius resources are "no one's and subject to
agricultural practices provided man time to occupy appropriation, whereas res communis resources are
himself with other pursuits, is generally anyone's, and not subject to appropriation." It is
acknowledged as the behavioral birth of civiliza- important that we correctly define these terms,
tion. particularly with regard to appropriation, since the
As these civilizations flourished, exploration of essence of Kent's article on fishery management
new parts of this planet became a pursuit of the bold equity is fundamental to what I want to discuss.
and led to the birth of many nations, ours being one Black's Law Dictionary (Revised 4th Edition) states
of the finest in history. Here, in Williamsburg, we that res nullius means property of nobody.
are constantly reminded that considerable attention However, it occupies this status because it has
was given by the colonists to the importance of self- never been appropriated by any person and because
sufficiency in providing food for the people. Today's (in the Roman Law) it is not susceptible to private
gathering is undoubtedly aware that initial settle- ownership. Res communis does indeed mean things
ment in a coastal area was no accident, for readily common to all, and although capable of being used
available seafood resources have facilitated the and enjoyed by everyone, even in single parts, can
dispersal of human populations throughout the never be exclusively acquired as a whole.
world. Kent describes how, within the recent decade, the
As we think of the intervening time since our principle of common heritage has been adopted by
Nation was born here in Virginia, we recognize that the United Nations General Assembly. This
our free enterprise system and democratic prin- common heritage principle is being interpreted by
ciples of government have allowed unprecedented the Law of the Sea Conference participants as
growth. We have explored the interior of this vast applying only to resources of the sea floor beyond
country, tapped its great mineral and forest national jurisdictions. Since it could, however,
resources, and developed an agricultural capacity of conceivably be applied to fisheries, we should be
substantial scope-so substantial that the value of aware of four major points guiding its application.
our fishery resources are rudimentary in com- Kent fisted these principles:
parison to those of agriculture. However, it is not 1. Peacefulness-The resources should be used
our standards which count anymore. only for peaceful purposes.
The value of fish as a primary renewable natural 2. Equity-The benefits derived from the use of
resource is today being examined by many nations the resource should be distributed equitably.
and many groups of people within those nations. This in turn means that ...
a. As a common heritage, everyone is entitled
Perhaps this attention will establish the true value
of fish to people more clearly than ever before. to share in some measure in the benefits
Historically, fish have been considered valuable from the use of the resource. This
either as food or for entertainment. Fishermen have necessarily implies non-appropriability,
been categorized as commercial fishermen, or such that no individual, corporation, or
sports fishermen, according to a variety of strongly government has the right to claim the
held notions as to who were the better (or worse) of resource for its own exclusive benefit.
the lot. Government scientists and law enforcement b. A greater share of the benefits should go to
officers charged with fishery management are, the poor.
incidentally, held at various levels of esteem by 3. Environmental Integrity-As the heritage of
both groups and widely manipulated by each the future, as well as the present, users of the
according to the issue at hand. resources should show respect for the en-
George Kent, a political scientist at the University vironment, limiting both depletion and pollu-

tion. substitution of alternative recreational experiences
4. -Common Management-To give effect to and the inability to "measure" the value of the
these principles, a governing agency responsi- recreational experience. Similarly enigmatic is the
ble for their implementation must be es- measure of risk taken by commercial fishermen in
tablished. That agency, acting in behalf of all employing capital and labor to catch fish as a
mankind, should provide for participation by profession. A value established for that risk would,
all affected parties in the making of its however, more likely yield reliability from a market
decisions. viewpoint, since economists can equate opportuni-
Adopting these common heritage principles for ty costs with excess profits earned by fishermen in
management of international fisheries would also a variety of fisheries and thereby demonstrate how
bear directly upon domestic fisheries, thus locking much a man is willing to relinquish to remain a
goverm-nent squarely into a principal role in professional fisherman. (Excess profits exist after
dividing up the pie due into its role as manager or fishermen pay themselves a return for labor, 6
trustee for all the people. management, and investment.) It is necessary to
Division of the interests in fish stocks among determine how much a sports fisherman will
government managers, recreational and commer- sacrifice to participate in taking similar risks to
cial harvesters has permitted those stocks to be reveal a commonality of human desires which
managed either for fun or profit, which have been should reduce the schism between ardent members
considered mutually exclusive goals. Each civilian of each group.
segment has used its influence to competitively gain The majority of the human problems encountered
advantage over the other via government's in fishery management are not caused by true
regulatory role so that archaic, subsistence-level fishermen, but by those people peripherally
exploitation or unreasonable access restrictions engaged in commercial or recreational fishing. They
limit full utilization of many available fish stocks. are first to champion unlimited and easy access as
Recognizing that fish stocks are limited, more often an inalienable right, they steadfastly refuse to
by habitat than reproductive potential, we have acknowledge (and usually perpetuate) inequities in
rightfully assigned government the task of assuring government fishery management programs, and
a renewable supply of these stocks through habitat they are the people to whom government is
protection plans, or by regulating fishing mortality incredibly most responsive. True fishermen are risk
through a variety of conservation laws. Unfor- takers. True fishermen pit their experience, time,
tunately, the public share of the cost of assuring and ingenuity against nature to succeed in catching
such a renewable supply may become dispropor- fish. Their success resides in their ability to reduce
tionate to the public value of the resource. This the probability of failure. Dilettante fishermen want
happens because economic principles which outline a guarantee of success for their investment of time
the most efficient allocation of resources cannot be or money. This difference is crucial in determining
applied where common property resources are how fisheries will be managed.
involved. This is the basic flaw in attempting to Fishing must remain a primary food producing
have government equitably allocate scarce enterprise for its ultimate protection. This can and
resources according to the principles of common should be accomplished where fun and profit will
heritage. complement each other and still permit our
With no measure of resource value, the concept of domestic fishing capacity to crow to the point
a competitive market, efficiently allocating the where we may compete in the worldwide seafood
resources needed for production, is inoperable. market. If this Nation is to enter that market, I
Resources under a competitive situation are believe it is essential that we establish a precedent
allocated by an equilibrium of supply and derived for considering U.S. fishery resources res nullius or
demand for the resource which determines price res communis ornnium rather than as belonging to
and quantity traded. Supply depends upon both the common heritage of mankind or res communis
production costs and the availability of raw humanitatis.
material, while derived demana for the resource is I feel this distinction is subtle but vital to the free
established by the marginal productivity of the enterprise system. Legal scholar, Stephen Corove,
resource and the final finished product price. Since examining this common heritage concept in an
a common property resource has no "true value" this article published in the San Diego Law Review
allocation system cannot operate. recognized that the governmental machinery
Although a great deal of effort is being expended required to properly represent "mankind" would be
to establish the recreational value of fish, there is no necessary if the authority to delegate disposal of the
adequately definable market from which a price interests in its property rights were to legally evolve
may be derived because of the high level of in a substantive manner.

Fish should rightfully not be subject to govern- not bureaucracy. However, it will take sacrifice,
ment allocation while alive and free to move about. hard work, true sportsmanship and respect for
They should be equally accessible to all while in nature.
this state, with ownership conveyed to individuals The primary use of our fishery resources as food
only after the fish have been captured. The relative should be acknowledged by all concerned. This is a
proclivity of individuals to excel in successful principal mandate of the Eastland Fisheries Survey
fishing would therefore guide the equitability of and is totally compatible with the concept of
resource distribution. optimal sustained yield. In fact, estimates ranging
Only with these criteria can government objec- from 25 to 50% of the per capita consumption of
tively protect the renewability and achieve the seafood in this Country has been attributed to
optimal sustained yield of fish resources. recreational catch, the size of which is yet to be
Otherwise, government is charged with the adequately determined. There is clearly nothing to
impossible task of equitably allocating resources prevent us from viewing the food producing
with highly variable spatial and temporal distribu- capabilities of our recreational fishermen as a latent
tion patterns and generally unpredictable annual labor force of commercial fishermen whose deriva-
abundance fluctuations. tion of satisfaction from angling for their supper is
Transferring the responsibility for developing supplemented by sale of part of the catch to defray
techniques to predict such distribution and abun- trip expenses. Such fishermen should be accom-
dance patterns to the private sector via considering modated by government but we should at all costs
such resources res communis orm-lium will not only avoid the myopic view of accommodating them to
speed up the development of such capabilities, but the exclusion of other fishermen who capture fish
should also instill an investment in those resources with nets.
which will best protect their renewability. Remember, fishing is risk taking with no
Protection of resource renewability and full guaranteed satisfaction or success. It is also time;
utilization of the food producing capabilities of our the probability of success increasing proportional to
coastal zone (10 times more efficient in converting the time engaged in fishing. Not only is there room
solar energy into protein than the richest terrestrial for both anglers and netters, but the processor,
fields) is of utmost importance in a world where faced with trying to -assure markets of dependable
food is fast becoming the limiting resource for production from fickle Mother Nature, requires
survival. It is shamefully naive and criminally both groups working together to supply him with
indulgent to assume that we can appropriate fish. Biologically, the distribution and abundance of
common heritage resources for the entertainment of fish is controlled primarily by habitat. This limiting
our privileged few in the face of critical needs and factor must be recognized by all three user groups
superior harvesting and processing technologies of and they must stand together against those
other nations. alternative uses of such habitat proposed by
The issues involved in negotiating allocations for segments of our society unconcerned about food
foreign fishing of surpluses within the new Fishery production and distribution. Although commercial
Conservation Zone come right up to the shoreline and recreational fishermen have stood together in
and into our bays and estuaries. The U.S. domestic the past to stave off pollution and indiscriminate
fishing capabilities are miserably ineffective marsh dredging, they have now drifted apart and
because fisheries in this Country have not played a are quibbling over the remaining accessible fish
significant role in its economy. We can change that, resources in undegraded portions of our coastline.
if not in domestic consumption, certainly in the Government can play a significant role in
world market. But first we have to put our inshore bridging the widening rift between user groups by
fisheries in order. We can no longer afford to have providing a mechanism to facilitate deriving the
our house divided, sports interests pitted against fullest possible benefits to society from recreational
commercial interests, fishermen against processors, and commercial exploitation of the stocks under its
government against all of the above. care. It can use the previously mentioned measure
Fishing for fun and profit will allow us to of opportunity costs, representing the sacrifice
establish an economic climate in which the which true fishermen make to participate in taking
degredation of coastal water quality will not only be risks on being successful in capturing (owning) fish,
halted, but reversed. Fishing for fun and profit will as an entry fee to obtain the privilege of having
encourage investment in risk taking, rekindle the access to res communis ornnium. This, combined
indominatable American ingenuity which enabled with the institution of fishing guilds where
us to tap other great wealths. Fishing for fun and professional fishermen display progressive levels of
profit can be accomplished in a free enterprise competency and responsibility to compete for better
system where entry is limited by sound economics, opportunities to acquire more of such common

property, should foster U.S. advancement in received from the experience and the additional
equitably allocating access to finite fishery costs which they were willing to incur in capturing
resources. those fish would out compete some commercial
Such a mechanism would permit a value to be fishermen in satisfying market demand. Some
assigned to common property resources and species would still require production efforts by
facilitate both exclusion of inefficient fishermen as both sports and commercial fishermen to satisfy
well as reward most efficient fishermen according market demand, but this competition would be in
to the open market system. Individual owner- an open, free enterprise system, not behind the
operators would proliferate within the commercial closed doors of some bureaucratic system where
fishing industry because their level of economic merit rarely has anything to do with decisions.
profit would be lower than that required by large Thus, the recreational harvest would be fully
corporations, allowing owner-operators more utilized, a true value would be established for fish
incentive to fish. Devotion of more time to fishing products emphasizing their utility as food (a scarce
would also create an incentive to reduce the risk resource, internationally), and all participants
involved, encouraging investment in new equip- would be encouraged to fish according to
ment that would improve domestic fishing capacity government's recommendations of how best to
and modernize the industry. Corporations would be perpetuate continued use of renewable, primary,
encouraged to vertically integrate exploration, unappropriable resources.
harvesting, processing and distribution to attempt
to derive the greatest overall benefit from every
infrequent experience they have in simultaneously SELECTED REFERENCES
predicting market acceptance and resource Black, Henry Campbell. Black's Law Dictionary. Revised 4th
availability. Acquiring the capital for such vertical Edition. 1882 p. 1968.
integration would depend upon public investment,
thus attaching a more tangible value to the Gorove, Stephen. The Concept of Common Heritage of
renewable fishery resources. Each of these avenues Mankind: A Political, Moral or Ugal Innovation? San Diego Law
is likely to be followed by businessmen operating Review, 9(3): 390-403, 1972.
under less government control in fisheries than is Hardin, GarTett. The Competitive Exclusion Principle.
now being forecast. Science, 131: 1293-1297, 1960.
Some species would likely be harvested only by Kent, George. Equity in Global Fisheries I Management.
recreational fishermen [depending upon the region), Oceans, September: 60-64, 1977.
especially if they were encouraged to introduce
some of their catch into acknowledged market Smith, Frederick, Jr. The Fisherman's Business Guide. 172 p.
channels. We would find that the enjoyment they 1975.

NEED AND USE OF LOW TECHNOLOGY AQUACULTURE
By NUCRAEL CASTAGNA
Virginia Institute of Marine Science

The harvest of traditional marine resources, once bottom dwelling species would be the most
thought to be unlimited, has leveled off to between amenable to field culture in the United States. Of
100-150 million metric tons/year. This is probably the benthic species, the bivalve mollusks have the
close to the maximum sustainable level of harvest greatest number of attributes that one would look
for these resources. We can speculate that using for in a culturable species. The life histories of
new techniques or exploiting new species may add clams, scallops, mussels, and oysters have been
another 25% to the harvestable fishery sometime in known for years. A large number of species can be
the future. The United Nations Food and cultured and some tolerate a wide range of
Agriculture Organization . (FAO) reported that, environmental conditions. The sessile nature of the
assuming continuous population increases, a world organisms makes containing them in a relatively
shortage of fishery products could be expected small area economically attractive. These species
within 10 years (FAO, 1974). The report suggested are herbivores, obtaining food by filtering the
several means of avoiding this shortage and one phytoplankton from the water and converting this
was to increase fishery production by aquaculture. directly into a protein source that is large enough
NOAA reported that from 1970-1975 the world and nutritious enough a'-," harvestable and usable
wide output from aquaculture had increased by by man. In addition, most species have an
about 50% to approximately 6 million metric tons established market demand.
(NOAA, 1975), giving support to the United The interest in culturing these species in the
Nations suggestion. However, because of the costs United States is intense and in the last ten years
involved, it is doubtful that aqua6ulture will be a there have been well over 100 private companies
means of providing a source of inexpensive protein. formed to culture one or more species of marine
In the United States aquaculture has shown a bivalves. Some of these ventures have been rather
dynamic growth over the last decade and one can modest, consisting of a trailer or small greenhouse
cite the exemplary advances in salmon, trout, and and grow-out areas, while others have been large,
catfish culture. The reasons for these advances are highly technical, and very costly systems. Some of
complicated, but technology, favorable economics, these larger facilities attempt to avoid the problems
nutritional information for all life stages, and of multiple use of grow-out areas by sophisticated,
relative ease of isolating the growing areas are complicated, and costly engineering systems
certainly among the more important aspects of the designed to complete the cycle from egg to market
growth of freshwater and anadromous fish culture. unde r controlled conditions. Unfortunately, the
One should remember that this was not an more technical, the more sophisticated, and the.
instantaneous industry. Much of the early work on higher the energy demand, the greater the capital
these species was done in Federal and state investment and the operational costs. Often, as a
hatcheries. In these hatcheries the basic techniques reflection of these costs, the unit cost of producing a
were developed, not with a profitable culture shellfish is high when compared to simple field
system in mind, but to restock streams which had grow-out systems, or the price of the wild harvested
been overfished. The culture of these species is now product. Thus, for these complicated systems in
at a point where major advances are being made by today's market, the profit per unit of product is often
genetic research. quite low.
The culture of marine species has lagged far Although the trend in bivalve culture has been
behind. The reasons are many, but the lack of toward these more technical and more
specific nutritional information, the competition sophisticated methods, perhaps a critical evalua-
with natural harvests, the inability of the tion of this trend is necessary at the present time.
mariculturist to conveniently separate his culture The cost of fossil fuels has greatly increased in the
system from the marine system, and the difficulties last few years and will probably continue to do so in
imposed by multiple use and abuse of productive the foreseeable future. These increased co@ts mean
near-shore areas are among the more serious that energy saving procedures often make the
problems. From the standpoint of food production, difference in profit and loss in any type of
particularly if multiple uses are to be made of the production, not to mention those which have small
marine waters, it would appear that, generally, profit margins to begin with. Another difficulty

with these large technical systems is that the capital ambient sea water with only a minimum of
investment is high for both starting and year-to- filtering and no food added. Temperature
year operation. Relatively long periods (at least control is not needed.
three to seven years) are usually necessary before 5. A juvenile grow out or nursery unit. juvenile
any income is realized from such an endeavor; and grow out canl@e_carried out in the field where
even longer periods may be necessary before a protection can be provided or in small,
profit can be shown. The current high interest rates controlled, benthic nursery areas.
make borpowing such large sums of money difficult, 6. A finishing grow out or final grow out unit.
if not unattractive, to potential investors. The low Finishing or final grow out may require
profit margin, the high capital cost, and the high risk thinning of the nursery areas or planting of the
of failure in any new scheme makes the investment rafted individuals in benthic beds. Some
even more unattractive. Unfortunately, many individuals may be harvested at this time.
research plans are satisfied if the end result shows a 7. An algal culture or food production unit. The
modest profit. In the financial community anyone area of greatest initial savings is in the algal
who is going to invest in a high risk business culture unit. Instead of using unicellular algal
expects high returns. These expected returns would culture with its attendant high labor costs, the
have to be on the order of 20-40% in order to attract a Wells-Glancy method can be used. This
major investor who has the capital to maintain the consists of either selectively filtering or
system for the three to seven years start up period. centrifuging sea water and storing it in gently
These arguments do not suggest these large aerated tanks in a solarium. The small
technical schemes have no place in the culture phytoplankton that passed the filter or
scene, but do suggest that they still have to undergo centrifuge bloom in the tanks that are warmed
further development before we are going to see their and lighted by the sun. After 24 to 72 hours the
widespread acceptance by the financial community. filtered seawater, with its bloom of
This also suggests that anything that can be done to phytoplankton, can be used as growing media
lower the capital investment may make the for the larvae. This has the advantage of
potential culturist more willing to risk the hardship having a natural mixture of species and there
of beginning a business. are no major costs of labor or energy to
To understand where we can save on this capital maintain the system. In addition, the use of
investment, we can look at a culture system and 'see natural water for feeding the plantigrade and
which sections are most amenable to reducing the field grow out eliminates the need for
system's effectiveness. A bivalve culture system culturing large volumes of phytoplankton to
usually consists of the following: support growth of the species. These factors
1. A conditioning or holding unit for ripening or also eliminate the need for large troughs or for
holding spawning stocks. The conditioning pumping large volumes of water.
unit can be eliminated. Instead, the spawning The above method has been in development at the
season is increased by utilizing spawning Virginia Institute of Marine Science Eastern Shore
stock from other areas as natural gonadal Laboratory for a number of years and the use of
development occurs. It is cheaper to ship these simple techniques has been shown to be
animals than to maintain them in a warm or practical. Several groups are utilizing the system in
cool system. commercial ventures.
2. A spawning unit. Instead of using expensive Thus, until major advances are made in the
heat exchangers, spawning can be ac- highly technical systems, a less captial-intensive
complished using a simple water bath to heat means of culture can be utilized. The system is
spawning stocks in small containers of sea flexible so that it can be used on a variety of species;
water. Alternatively, spawners can be placed and portions of the more technical systems can be
in a trough where small volumes of running incorporated as they become economically attrac-
filtered sea water can be introduced through a tive.
coil of plastic tubing immersed in a container SELECTED REFERENCES
of heated water.
3. A larval culture unit. Larval culture uses Food and Agriculture Organization of the United Nations.
filtered centrifuged sea water warmed in a "Assessment of the World Food Situation: -Present and Future."
solarium or greenhouse., Temperature is 125 p. FAO Report E/Conf. 65/3. 1974.
controlled by use of fans to exhaust heated air. National Marine Fisheries Service, and National Sea Grant
4. A plantigrade culture unit (post larval stage). Office. NOAA Aguaculture Plan, 1975.157 pp. National Marine
Plantigrade culture can be carried out utilizing Fisheries Service. 1975.

A PRELIMINARY ASSESSMENT OF THE SUPPLY AND DEMAND
FOR MARINE SCIENTISTS AND ENGINEERS

By L. JAY LANGFELDER
Director
Center for Marine and Coastal Studies
North Carolina State University

INTRODUCTION might have on the future of marine sciences. As part
The assumption that one can predict the future of this study, some evaluation of manpower
about anything with any degree of confidence is requirements will be made. Also, the National
dangerous. Furthermore, to assume that one can Academy of Science is initiating a study on marine
predict manpower needs, particularly for an scientist requirements. When these two studies are
extremely small segment of the National manpower completed, I would hope that much more definitive
needs, is doubtful. Nevertheless, I will attempt to statements regarding the opportunities for marine
briefly look at the supply and demand factors that scientists can be made.
are available and offer, at least, a qualitative SUPPLY SIDE
assessment of the employment opportunities that
are likely to be available for marine science Before discussing the supply side of the marine
graduates. science equation, it might be worthwhile to look at
The task of a meaningful manpower assessment supply and demands for scientists and engineers as
is further complicated because the assessment of a whole. The most recent data are presented in
manpower needs should be on an individual Figure 1 from a report of the National Science
discipline basis such as physical oceanography, Foundation (1). It may be seen that in the five major
rather than on a general basis. Unfortunately, categories, the 1972 supply slightly exceeds the
National statistics are often not kept to this degree demand and in 1985, this increase in supply over
of specificity. In addition, in attempting to use past demand will increase. This is particularly true in
and current data from which to extrapolate future engineering and social studies. This leads to the
data rules out the event of a major perturbation to situation shown in Figure 2 (1) where it is predicted
the system. For example, the recent move of a that there will be about a 15% increase in non-
portion of the Office of Naval Research from the science and/or engineering activities by those
Washington, D.C. area to Bay St. Louis, Mississippi holding doctorates in 1985. This increase in non-
lead to a rather substantial demand for physical science and engineering employment is brought
oceanographers because a number of about because of the competition for jobs within
oceanographers who were employed in the ones primary discipline. Therefore, it should be
Washington area did not wish to make the move to expected that competition in the science and
Bay St. Louis. engineering area for people involved in education
By the way of one further disclaimer it should be and research and development will be quite keen.
noted that the Social Science Data Center at the Turning to the supply of marine scientists, Table
University of Connecticut is presently conducting a 1 (2) indicates the number of marine scientists and
major study of the present Federal support for the engineers who are listed as receiving degrees for the
marine sciences and the effect that current trends years 1972-73, 1973-74 and 1974-75.

Table I - Degrees Conferred by Degrees and Years.

1972-73 1973-74 1974-75
Discipline B.S. M.S. Ph.D. B.S. M.S. Ph.D. B.S. M.S. Ph.D.
Oceanography ........ 292 154 89 237 199 70 253 169 95
Marine Biology ....... 96 19 14 163 99 25 273 87 15
Ocean Engineering .... 88 112 10 136 80 36 210 99 28
476 285 113 536 378 131 736 355 138

General Biology ....... 31,571 2,983 627 36,630 3,210 657 39,153 3,139 637

from Reference 2

The source of these data does not present any consulting field in areas of environmental impact
information for chemical oceanographers or assessment. This type of activity is being performed
geological oceanographers. However, the by a large number of small to medium sized firms.
11 oceanographer" category is listed under the The major academic institutions in the marine
heading of physical scientists and may include sciences were surveyed because they are supplies of
these two disciplines. The "marine biology" descrip- employees and, therefore, it was expected that they
tion probably does not include biologists that are would have knowledge of employment oppor-
aquatic oriented and who would, in fact, seek tunities. In addition, they themselves are one of the
employment as marine biologists. The bottom row major employees of Ph.D. degree holding marine
of figures indicates the number of "General Biology" scientists. The result of this small survey that was
degrees conferred during the same time period. It conducted through the various university place-
can be seen if only 1011/o of these graduates are in a ment centers yielded little information on employ-
marine related area that it will have the effect of ment prospects. It is clear that at the advanced
causing about a 50% increase in the total number of degree levels, employment is sought directly within
doctoral graduates available in the marine sciences. the individual discipline. job opportunities come to
Essentially the same situation applies in the the attention of the faculty and are passed along to
categories of General Zoology, Physiology, the graduate students on essentially an individual
Biochemistry, and the various engineering dis- basis.
ciplines. Therefore, even through National statistics In terms of universities as employees it appears
on degrees conferred are gathered and documented, that there has been an increasing number of schools
it is still virtually impossible to accurately assess that have recently begun new marine science
the present new supply of manpower available for programs, or which have enlarged ongoing
careers in marine scientist. programs. This expansion of university activities
It can be assumed; however, from Table 1 that has obviously had an effect on both the supply and
there is a gradual but increasing trend in the demand. On the supply side, the increasing number
number of degrees awarded in the marine sciences. of universities offering degrees will obviously lead
Therefore, the new entries into this job market to an increasing number of people in the job market.
appear to be slightly increasing. On the demand side,'the growth of these programs
has lead to the need to employee faculty to operate
DENLA,ND the programs. It appears that in the early 1970's the
balance may have favored the demand side, but
In attempting to estimate the demand for marine recently the balance favor the supply side.
scientists, two approaches were taken. The first The Bureau of Labor Statistics in the Department
was an attempt to get direct estimates of jobs of Commerce has compiled some statistics on the
available. The second was an attempt to determine anticipated need for oceanographers. This category
a trend in Federal research funding which, one 11 oceanography" is one of 800 categories used by
could argue, is indicative of the manpower re- Bureau of Labor Statistics and it is impossible to
quirements. know exactly who is included in this designation.
The attempt to obtain a direct estimate of Their estimate of employed oceanographers in 1976
manpower requirements was pursued by com- is 2700. Their estimate of demand in 1985 ranges
municating with a representative number of from 3100 to 3400. They also estimate that 100 to
industrial employers of marine scientists, major 125 openings per year will be available to meet this
academic institutions in the marine sciences, the expansion and to replace normal attrition.
Bureau of Labor Statistics, the National Science In attempting to assess the growth of
Foundation, and the Scientific Manpower Commis- oceanography through Federal support, the most
sion. useful documents come from the annual study by
The rather limited survey of prospective in- the National Science Foundation (3). Figure 3
dustrial employees indicates that none of these indicates the level of support from 1967 through
firms was actively seeking marine scientists and 1978 for basic and applied research. With the
only one indicated that they expected to seek any in exception of the period from 1972 to 1973, there has
the near future. Because of the small size sample, it been a steady growth in the funding of
should not be concluded that there are no openings oceanographic research by the Federal Govern-
for marine scientists in the industrial sector. ment. The average increase for combined basic and
However, the results of the survey do indicate that applied research has been increasing about 20
the industrial sector is probably not a fruitful area million dollars per year for the past several years.
for those seeking employment in marine sciences. Based on the 1977 budget of 184 million dollars, this
One exception to this picture could be in the is an increase of about 10%. While this may appear

to be a rather substantial increase, in the light of estimates of National Center for Education
present inflation the real program increase is Statistics in the disciplines of oceanography,
probably less than 4%. The other information marine biology, and ocean engineering. If the
shown on this Figure is the percentage of research assumption that a small percentage of general
funds that are allocated by the Federal Government biology graduates will also compete in the marine
as a percentage of their total ocean program. It may sciences job market then it is apparent that the
be seen that for the last 3 years, this percentage is supply greatly exceeds the expected demand.
reasonably small, and about the same, which The still unanswered question that is of
indicates that there is little or no emphasis on paramount importance to prospective graduate
increasing Federal funding for oceanographic students and university programs is: within the
research. This rather nominal increase in past and marine science field, are there disciplines where the
present Federal funding is consistent with the supply exceeds the demand and other disciplines
nominal increases in the employment patterns that where demand exceeds supply? If one attempts to
have been predicted directly. It is, of course, advise prospective graduate students or develop or
recognized that direct employment assessment use strengthen programs, this must be done on a
Federal funding levels as an input to the estimate. discipline basis such as physical oceanography or
biological oceanography. To the writer's knowledge
COMPARISON OF SUPPLY AND DEMAND there are few definitive statistics that can be applied
The important factor in assessing manpower to answer this question. The one piece of informa-
requirements is the relative value of supply and tion that may provide some insight is a breakdown
demand. It appears that the total supply of of funding by description of the Navy's Ocean
oceanographers or marine scientists/engineers is Science Program (4). Table II shows the funding
sufficient to meet the demand based on the from 1972 to 1976.

Table 11 - Funding for Naval Oceanographic Program

Fiscal Year (In Millions)

1972 -1973 1974 1975 1976*
Underwater Acoustics ........................ $26.7 $24.3 $25.3 $25.5 $28.0
Physical Oceanography ....................... 20.7 19.0 19.3 19.3 21.4
Geology and Geophysics ...................... 9.3 8.5 8.6 8.6 9.8
Chemical Oceanography ...................... 2.2 2.0 2.0 2.0 2.2
Biological Oceanography ...................... 3.7 3.4 3.4 3.4 3.7
Engineering Research ......................... 3.1 2.8 2.7 2.9 3.2
Other ...................................... 2.5 1.1 0 0 0
Total $68.2 $61.1 $61.3 $61.7 $68.3

*Estimated figures only

from Reference 4

Two factors are obvious from this table. One is that Because such limited data on demand of marine
engineering, including acoustics, and physical scientists by discipline is available, perhaps the
oceanography are the predominant areas of activity best approach is to make subjective judgements
in the Navy's program. The second is that there has based on informed opinion. The writer attempted to
been little change in funding over these years. Of draw on the opinions of those in the acaden-tic
course the Navy's program represents a rather community, Federal agencies, and private industry.
specialized need for marine science information. In Unsubstantiated opinions seem to be that there
addition the entire Department of Defense's ocean presently exists, and will continue to exist, an
program only represents about 301/6 of the Federal excess of biological oceanographers, or marine
Ocean Science efforts (5). Obviously, agencies such biologists. Chemical oceanography, and to a limited
as the Environmental Protection Agency and the extent, geological and physical oceanography are
Bureau of Land Management have very different rather small disciplines in terms of numbers of
research needs, and as a result are funding in quite people employed. Because of the small size of the
different areas. work force, rather subtle changes can produce

rather important changes in the supply/demand purpose if it raises a warning flag that jobs may not
ratio. For example, the initiation of an ocean mining be abundant for recent and future graduate degree
effort by firms in this Country could provide holders in marine sciences.
sufficient demands for marine geologists to com-
pletely change the employment potential for marine
geologists. For this reason it is difficult to make SELECTED REFERENCES
definitive statements about future supply and National Science Foundation. Projections of Science and
demand balances in these disciplines. The ocean Engineering Doctorate Supply and Utilization 1980 and 1985.
engineering discipline is also rather small and 1975.
highly varied. Although the concensus of opinion is National Center for Education Statistics, Department of
that ocean engineers will be in demand, it is Health, Education, and Welfare. Earned Degrees Conferred 1972-
important to note the lateral mobility of engineers 73 and 1973-74, 1974-75 1976 and 1977.
from traditional land based employment to marine National Science Foundation. Federal Funds for Research,
based jobs. This lateral mobility probably would Development, and Other Scientific Activities, n.d.
come into play in the event of a major new demand National Academy of Sciences. Directions for Naval
for certain types of ocean engineers. Oceanography. 1976.
1 confess that this presentation has probably shed Interagency Committee on Marine Science and Engineering,
little light on the assessment of employment Federal Council for Science and Technology. The Federal Ocean
potential for marine scientists and engineers. Program-Budget Summary, Fiscal Years 1975-1977. 1976.
However, the presentation may have served its

Physical Engineering Mathe- Life. Social
Sciences matics Sciences Sciences
(000) Ali Fields (000) S
120

400-

100 -
S U

80- U
U
S S
300- U U S
60- X U S
X U
U X
40- S U
S X
S
U 0 U
X 20 - S U
200f _L 0 X
0
1972 1985T 1972 1 1985 1 1972 11985 11972 11985 11972 11985 11972 119-857
NOTE: Vertical bars indicate range between Probable and Static Model values of supply and utilization.
SOURCE: National Science Foundation

Figure 1. Supply and Utilization Ranges of Science/Engineering Doctorates, 1972 and 1985.

(Percent)
0 10 20 30 40 50 60 70 80

Academic 1972
11985

Nonacademic R&D

ALL FIELDS

Other S/E

Non-S/E

Physical Sciences Engineering Mathematics Life Sciences Social Sciences
(Percent)
0 20 40 60 80 0 20 40 60 80 0 20 40 60 80 0 20 40 60 80 0 20 40 60 80

Academic

NonI academic
R&D

Other S/E

Non-S/E

L -.j

SOURCE: National Science Fo undation

Figure 2. Utilization of Science/Engineering Doctorates, 1972 and
1985 (Probable Model)

Total Federal Ocean Program
200-- Year Percentage of Research Total Budget
Funds to Total Budget (In Millions)
180.- 1975 23.5 $782.5
.01
1976 18.3 872.5
Cn 160 1977 19.2 956.6
z
0 140
I
-j
120--

z
100--

APPLIED
W
80--

-j
-j 60-
0

40-
I - - - --*- Note: Fiscal Years 1977 and 1978
20-- are estimates.

01
67' 68 69 70 71 72 73 74 75 76 77 78
FISCAL YEARS

Figure 3. Federal Funds for Basic and Applied Research
In Oceanography.

MARINE EMPLOYMENT OPPORTUNITIES IN THE SOUTHEAST

By EDWARD F. MACKIN
President
Marine Associates

Marine employment is concerned with the years, encountered difficulty recruiting and holding
production of goods and services used on, or in, the technical and skilled workers in certain marine
water, or in the development of resources from the crafts. While a number of reasons can be cited to
sea. Employment in the marine sector of the United explain why this difficulty has persisted, only one
States is comparable to agriculture. While farm explanation applies to all five employment settings.
labor is in contraction, marine employment will This is the lack of a supply of trained personnel
expand well into the 1980's. This study is limited to adequate to the growth in demand of those
only five industries that are part of the marine industries in the region that compete for skilled
sector. They are shipbuilding and repair, boat- workers. There are few training programs for new
building and repair, commercial fishing, water workers and wage rates in similar industries
transportation, and those establishments that drawing on this labor pool are often more attractive.
directly service and supply the other four employ- The purpose of this study is to document the current
ment settings. This last group includes marine and near-future manpower requirements of the
electronics firms, marine engine, electrical, welding region's marine sector. The results of this study
and repair shops, chandlers, line and net shops, and demonstrate that the five employment settings that
similar firms specializing in providing goods and make up the marine sector are undergoing rapid
services to the marine market. expansion and the need for certain technical and
The part of the marine sector not examined in this skilled workers is substantial in 1977 and will
study is too large to identify here in any detail continue through 1980. The data used to make these
because it would have to include the manufacturers manpower determinations were collected over a
of sporting goods for use on or in the water, bait four month period, March through June 1977, and
shops, marinas and yacht basins, aquariums, were assembled through the joint cooperation of
numerous marine science and high technology- individuals in private industry, Federal and State
based marine establishments, the U.S. Army Corps Government agencies, and public education at the
of Engineers, the numerous marine education State and local level.
programs at the secondary and university level, the
U.S. Coast Guard, and many similar marine- THE STUDY DESIGN
oriented Federal agencies. All of these examples are The differences in occupational structure and
part of 19 distinct employment settings that can be employment settings in the marine sector preclude
identified in the Standard Industrial Classification the use of a single methodology for determining
Manual.
The geographical focus of this study includes the manpower requirements. A separate set of
northern parts of Florida extending from a point procedures was designed to measure employment
slightly below St. Augustine, and crossing the State levels, growth, and total demand for each of the five
on an imaginary line to include Panama City and industries, In the case of the shipbuilding and repair
Pensacola and all of the labor market above this industry, different operations had to be tailored for
line. While the major port cities of Brunswick and each of the three States. For example, in South
Savannah, Georgia, and Charleston, Georgetown, Carolina, shipbuilding employment is primarily
and Beaufort, South Carolina represent the centers made up of civil service workers in the Charleston
of marine activity of those States, the entire labor Navy Yard where job turnover is very low. This is
markets of the two States were used for purposes of in sharp contrast to the situation in Florida, where
data. collection, reduction, and final analysis. all shipbuilding and repair is almost exclusively
Therefore, all employment figures reported here concentrated in the private sector making it
reflect the major marine sector of South Carolina particularly sensitive to.a different range of market
and Georgia and slightly more than one third of influences.
Florida. Consequently, the methodology used in conduc-
ting this investigation consisted of three indepen-
PURPOSE OF THE STUDY dent operations. First, all available State and
Federal labor market reporting systems were used
Employers in the study region have, for several to establish an accurate base for determining 1977

and 1980 employment levels in the five marine Marine employment in 1977 represented 1.25% of
industries. As part of this first operation, the author the study region's total non-agricultural employ-
followed the research procedures recommended by ment of 4.583 million. This total non-farm employ-
the U.S. Department of Labor's Bureau of Labor ment for the region is made up of 1.169 million for
Statistics (BLS). The author also had access to the South Carolina, 2.061 million for Georgia, and 1.353
BLS data in the Labor Department's Regional Office million for Northern Florida. Total employment for
in Atlanta. The second operation included the 1977 is an estimate representing a simple extrapola-
design of a special mail survey instrument that was tion of historical trends between 1970 and 1975,
sent to 1,000 selected marine employers in the study whereas marine employment -in this report is a
area. The results of the survey provided an accurate measured figure based on the manpower survey
measure of 1977 employment in five technical and and follow up interviews with employers.
twenty-four craft occupations. The third operation Table 1, at the end of this paper, is a composite of
consisted of interviewing forty persons from each of total demand and the number of average annual job
the five employment settings, government officials, openings for the region's marine sector by selected
and other persons familiar with local labor market occupations for the period 1977-1980. Total demand
conditions. Each person interviewed was asked to for all five employment settings is projected to be
assess the survey results for their particular 39,719 by 1980 while total demand for the 29
industry and market area. Both the interviews and selected marine occupations will be 26,459 con-
survey results provided a means for estimating the stituting 66.6% of the larger figure. The number of
growth in employment between 1977 and 1980 as job openings in the 29 selected marine occupations
well as pinpointing specific manpower problems is projected to be 8,823 each year between 1977 and
critical to the industry. 1980.

OVERVIEW SHIP BUILDING AND REPAIR
Employment in the region's five marine in- The region's ship building and repair industry is
dustries for 1977 is 57,562 and is projected to made up of 23 firms with the largest, the Naval
increase by 13,654 new workers to 71,216 in 1980. Shipyard in Charleston, employing 7,200 workers.
This represents an annual rate of growth in marine Within the three States of the study region are
employment of 7.91/o which is slightly more rapid shipyards ranging in size from 200 to 2,000
than the 6.4% of the region's non-agricultural employees. While most firms have the capacity to
employment. Ship and boat building and repair, undertake new construction, current employment is
water transportation, and all of the marine service primarily concentrated in ship maintenance,
and supply firms that support these industries modification, and repair, Total employment in this
should all participate in this expansion, while industry is 13,876 in 1977 with a projected
commercial fishing will maintain a much lower expansion to 15,980 in 1980. The shipbuilding
increase in employment over the three-year period. industry is often compared with the construction
Specific industry employment levels can be industry because of its cyclical nature and
compared in the table below. dependence on skilled craftsmen who move from
firm to firm, frequently changing their place of
Total Marine Employment residence. This industry has slowly regained its
In The Study Region economic strength after a long period of stagnation.
Average While Navy yard employment is not expected to
Annual undergo a significant growth, shipbuilding and
Rate
Industr 1977 1980 of Growth, repair in the private sector is anticipated to expand
ShipbuildinF, in the region by 15% between 1977 and 1980 with
and Repair ........... 13,876 15,980 5.1 Florida increasing employment at a rate of 9.3% per
Boatbuilding year. Projected employment increases in Georgia,
and Repair ........... 8,945 11,334 8.9 on the other hand, will reflect the traditional
Water Transportation .... 12,238 14,319 5.7 historical trend of only 2.1% annually with South
Commercial Fishing ...... 149322 15,009 1.6 Carolina increasing at a slightly higher annual rate
Marine Services of 2.3%. While it is unlikely that these anticipated
and Support .......... 8,182 14,574 6.6* growth rates will decrease before 1980, any new
Total .................. 57,563 71,216 7.9% major shipbuilding program of the magnitude of the
*This rate does not reflect the addition of new firms, Merchant Marine Act of 1970 will greatly increase
only the expansion of established firms in the future expansion. For example, in 1973, under the
marine service and support industry. Federal Government's Construction Differential

Subsidy Program, 1.3 billion dollars of contracts industry is unique within the region's marine sector.
were let, with the region's shipyards receiving their Firms range in size from small two or three
share. Without government subsidy programs, the employee operations producing a few boats per
private sector yards have been in a position to year, to internationally famous builders who
successfully compete in the international market for frequently employ more than 400 workers and
foreign ship conversions and repair contracts. An construct upwards of one hundred large commer-
equally important area that will influence future cial fishing trawlers annually. The technology
shipyard employment is the emergence of the utilized in the modern boating industry includes the
offshore industry. Serni-submersible drilling rigs, working of various types of woods,. metals, and
jack-ups, and drill ships are all fabricated in regular. synthetic materials such as fiberglass and ferro
shipyards. Should current exploration activity in cement. Vessel technology includes special propul-
the Atlantic prove that large deposits of oil exist, a sion units, steering gear, deck machinery, and
new and sustained demand will be exerted on the auxiliary equipment utilizing every form of modem
established industry. However, there is already a mechanical and electrical energy. This includes
major concern on the part of many industry leaders electronics, refrigeration, hydraulics, pneumatics,
over the entry of new types of establishments into and even small steam generating systems for
the region, firms which may require large numbers distilling sea water. By considering the technology
of technical and skilled workers presently in use, the size of the work force, capital re-
employed in the industry. All of this exerts a build- quirements, and markets served, the boating
up of pressure on the existing pool of labor, thus industry begins to compare with ship building in its
forecasting the need to train new workers and to importance to the region's economy, particularly in
upgrade a large number of the established work its demand for well trained manpower.
force. Table 2 shows that for each year between New boat construction is only one segment of this
1977 and 1980, there will be 2,751 new job openings industry, and for Florida, its only State rival is
in the 29 selected marine occupations that were California. When the total number of es-
measured in this study. Of this number, 460 will be t.ablishments in Florida, as a whole, are joined with
the result of expansion and 2,291 will be required to Georgia and South Carolina, the overall region in
meet average annual job turnover due to voluntary 1976 accounted for 10.6% of the entire U.S. boating
separations, deaths, and retirements. industry.

BOAT BUILDING AND REPAIR

In terms of diversity, the boat building and repair

The following table has been prepared to illustrate the size of the region's boat building segment relative to
the other types of establishments that make up the overall boating industry for 1976.

THE REGION'S BOATING INDUSTRY
Three-
National State
Major Groups Total FLA. GA. S.C. Totals
Marine Dealers .............................. 11,314 838 206 160 1204
7.4% 1.86/6 1.4% 10.6%
Marinas & Yacht Harbors ..................... 2,441 208 15 31 254
8.5% .6% 1.3% 10.4%
Marine Retailers ............................. 17,997 1378 294 284 1956
7.7% 1.6% 1.6% 10.8%
Average: .................................. 7.9% 1.3% 1.4% 10.6%

Specific Types of Firms
Wholesalers, Distributors, or jobbers ........... 2,041 161 27 29
Boat Builders .................. ............. 2,089 165 27 29
Sailboat Builders ............................. 288 23 4 4
Access. & Equip. Mfrs . ....................... 2,441 193 32 34
Mfr's Representatives ......................... 1,006 79 13 14
Mass Merchandisers ......................... 1,163 92 15 16
Electronics Dealers ........................... 3,092 244 40 43
Yacht Brokers & Consultants .................. 260 21 3 4
Outboard Motor Dealers ....................... 10,108 799 131 142
Outboard Boat Dealers ....................... 9,723 768 126 136
Inboard Boat Dealers ......................... 5,843 462 76 82
Houseboat Dealers ........................... 2,324 184 30 33
Inboard/Outboard Boat Dealers ................ 7,774 614 101 109
Sailboat Dealers ............................. 5,764 455 75 81
Aux. Powered Sailboat Dealers ................ 2,177 172 28 30
Pontoon Boat Dealers ......................... 3,449 272 45 48
Hdwe. & Access. Dealers ...................... 12,395 979 161 174
Boat Trailer Dealers .......................... 10,188 805 132 143
Inboard Engine Dealers ....................... 3,626 286 47 51
Safety Equipment Dealers ..................... 10,500 830 137 147
Boat Materials (Repair) Dealers ................ 6,923 547 90 97
Paint Dealers ................................ 9,891 781 129 138
Rope & Cable Dealers ........................ 11,063 874 144 155

The principle source of the statistical information ditional information required by the National
used to construct the table is the National Boating Boating and Safety Act of 1974. Using this source,
Industry Association, but this source represents the study team identified 452 boat building and
only a part of this employment setting. Since repair firms in the region. This number is con-
membership in the trade association is voluntary, siderably greater than the 252 boat building firms
not all employers are included in the data displayed that are members of the National Boating Industry
in the table. Inasmuch as the focus of the manpower Association and reflected in the above table.
study is to measure employment among employers Perhaps a number of the 734 Boat Materials
only in the study region, a more comprehensive and (Repair) Dealers reflected in the table are included
precise listing of boat building and repair firms had as part of the U.S. Coast Guard computer listing.
to be developed. To prepare this fist, a computer This would begin to explain the large difference
printout maintained by the U.S. Coast Guard of between the two sources. Unfortunately, the study
more than 5,000 boating manufacturers was used. staff had no way of making this determination.
This more extensive source reports the name of the Therefore, the U.S. Coast Guard Boating Safety
firm and its address as well as indicating the type of listing was used in the mail survey,
boats manufactured. The list also records ad- Employers who were interviewed point out the

impact which fiberglass has had on the boat repair change. The total commercial registrations have
business, suggesting that this factor be considered increased by 4.1%. The largest increases have been
when planning new training programs. Fishermen, in fiberglass (33.8) and aluminum (14) boats. There
as well as sportsmen, are currently replacing are large increases in fiberglass boats in the 16-26,
traditional wood vessels with fiberglass hulls. In at 26-40 and 40-65-foot classes. Boat builders and
least one marina the repair service has declined by a commercial fishermen in Florida are now
factor of seven because of the change to the large use demonstrating that these boats are versatile craft
of fiberglass. The following tables of commercial that can change gear quickly and fish for different
boat registration in Florida between the years of species depending on the season, supply, or market
1973 and 1976 are an illustration of this dramatic price.

Florida Commercial Boat Registrations for 1972-73 and 1975-76a

Under 16 feet 16 feet to under 26 feet

Percent Percent
Type of hull 72-73 75-76 change 72-73 75-76 change

Wood ............................. 5,547 3,583 -35.4 4,600 4,605 + .1
Aluminum .......................... 1,499 1,569 + 4.7 211 419 +98.6
Steel .............................. 58 53 - 8.6 57 65 +14.0
Fiberglass .......................... 4,932 5,406 + 9.6 2,343 4,023 +71.7
Other ............................. 168 159 - 5.4 43 47 + 9.3
Total .............................. 12,204 10,770 -11.8 7,254 9,159 +26.3

26 feet to under 40 feet 40 feet thru. 65 feet

Percent Percent
Type of hull 72-73 75-76 change 72-73 75-76 change

Wood ............................. 1,873 1,815 - 3.1 1,113 1,082 - 2.8
Aluminum ......................... 103 74 - 28.2 21 25 + 19.0
Steel .............................. 122 106 - 13.1 114 129 + 13.2
Fiberglass .......................... 486 886 + 82.3 104 210 +101.9
Other ............................. 9 19 +111.1 4 5 + 25.0
Total .............................. 2,593 2,900 + 11.8 1,356 1,451 + 7.0

Over 65 feet Total

Percent Percent
Type of hull 72-73 75-76 change 72-73 75-76 change

Wood ............................. 304 383 + 30.0 13,437 11,468 -14.7
Aluminum ......................... 7 12 + 71.4 1,841 2,099 +14.0.
Steel .............................. 113 124 + 9.7 464 477 + 2.8
Fiberglass .......................... 8 10 + 25.0 7,873 10,535 +33.8
Other ............................. 1 2 +100.0 225 232 + 3.1
Total .............................. 433 531 + 22.6 23,840 24,811 + 4.1

afficludes fishing, shrimp, oyster, sponge, charter, spring lobster, live bait, mackerel, and for hire.

This should point out the apparent trend in the use of resin and cloth repair and in mold building.
type of marine repair people needed. Fiberglass is These areas might be successfully included as part
the boat of the future in the Southeast in both of a program at the junior college level. '
commercial and sport fishing. Trained repairmen Personal interviews concerning expansion in
and builders will be needed. Some employers who marinas and boat building and repair firms
were interviewed pointed out needs in the small suggested strong growth in employment well into
boat repair and building area, such as training in the 1980. Florida boat building firms in particular are

operating at full capacity in 1977. Continued WATER TRANSPORTATION
expansion in the number of pleasure boats and This industry includes establishments engaged in
private sport fishing boats is expected to add to the freight and passenger transportation on the open
demand for additional new and used boats. Also
associated with this expansion is a need for seas or inland waters, and establishments fur-
additional marina facilities. Two marina operators nishing such regular services as lighterage, towing,
interviewed expressed plans for expansion, but and canal operation. Also included are excursion
dredging permits and other environmental boats, sightseeing boats, water taxis, and cargo
regulations, they said, are slowing growth in this handling operations from' the time cargo, for or from
industry. a vessel, arrives at shipside, dock, pier, terminal,
staging area, or intransit areas until cargo loading or
Employment in 1977 in the boat building and unloading operations are completed. This industry
repair industry for the region is 8,945 with a also includes the operation and maintenance of
projected expansion to 11,334 in 1980. The greatest piers, docks, and related buildings and facilities.
rate of growth will take place in Georgia with 13.5%
growth per year followed by South Carolina at Employment in water transportation for the
12.3% per year. This very high rate is explained study region will increase from 12,238 in 1977 to
because of the small base figures for Georgia and 14,319 by 1980. This represents an increase of 17%
South Carolina. Georgia employed 396 workers in or an average annual growth rate of 5.7%. Also,
1977 and will expand employment by 183 persons employers interviewed indicated they found dif-
to a total of 579 by 1980. South Carolina has a ficulty in recruiting licensed personnel such as tug
slightly larger level of employment, 801 in 1977, and operators, particularly mates and captains. In-
it will increase by 333 new workers to a total of dustry sources also indicated that new plant
1,134 by 1980. Boat building and repair industry locations on the region's inland waters will add to
employment in the study region of Florida will current employment. While there was no way for
increase from 7,745 in 1977 to 9,621 or 7.5% per year, the study staff to assess this impact, the U.S. Army
or by 1,876 new workers by 1980. In overall terms, Corps of Engineers oversees a permit system
the region's boat building and repair industry will governing onshore, near shore, or near, offshore use
create 600 new jobs per year between 1977 and 1980 of the Nation's navigable waters. Interviews with
if the projected 8.2% rate of growth can be the Corps staff indicated that further research
maintained. would be needed to determine the size of any recent
Based on the survey results, the ten most or planned waterside facility.
important occupations in the, boat building and While all major harbors and ports in the study
repair industry can be compared in the table below. region project a steady increase in shipping activity,
increased mechanization of cargo handling will tend
to limit growth in longshore employment. Labor
Ten Occupations in Greatest Demand turnover in this industry is not as high as in ship or
Total Annual job boat building and repair. While significant numbers
Occupation Demand Openings of technical level personnel and skilled craftsmen
Boatbuilder ............. 563 188 are employed in this industry, longshoremen
Laminator ............... 1301 434 represent the single largest occupational group
Carpenter ............... 1055 352 (2,791) in 1977. The strong unionization of this
Electrician .............. 316 105 segment of the work force may tend to mitigate
Mechanic ............... 309 103 against the growth in employment projected for
Painter ................. 187 62 1980. However, the International Longshoremens
Cabinetmaker ........... 216 72 Association, AFL-CIO is strongly conunitted to the
Engr/Sci Technician ...... 131 44 health and welfare of its members, and for this
Welder ................. 92 31 reason, the union and management may view
Mech/Engr Technician .... 39 13 favorably any new training program that will
The mechanics employed in the industry include both diesel and enhance the occupational safety and health of the
heavy equipment specialists as well as small engine repairmen. worker in this industry.
It was not possible to separate the exact numbers. The ten occupations in the water transportation
For more detailed occupational information on industry that indicate the greatest demand can be
the region and in each individual State, see Table 3. compared in the table on the next page:

Ten Occupations in Greatest Demand air/sea search and rescue operations conducted
Average between September and June each year are carried
Total Annual job out in behalf of commercial fishermen in U.S.
Occupation Demand Openings waters. The single most common causal factor of
Longshore ............... 1,301 434 accidents, according to Coast Guard investigations,
Mates .................. 739 246 is the failure of commercial fishermen to
Marine engineer ......... 116 39 demonstrate an adequate knowledge of the weather
Deckhand ............... 853 284 or the International Rules of the Road. Another
Carpenter ............... 109 36
Rigger .................. 52 17 proble 'm noted by industry representatives is that of
crews going offshore who have few capabilities for
Diesel mechanic ......... 170 57 11 on-the-spot" repairs. The results are costly returns
Machinist, outside ....... 78 26 to port or shortened trips with no catch, when minor
Electrician, inside ........ 45 15 repairs would have prevented losses. Most
Painter ................. 58 19 employers did not feel that any program at the
More detailed employment information on this junior college level to train commercial fishermen
industry, for the region and each of the three States, would meet with much success. Most employers
can be found in Table 4. indicated that any formal education program would
have to be accompanied by on-the-job training at
COMMERCIAL FISHING sea.
AND SEAFOOD PROCESSING The industry shows a relatively high average age
of its employees, 48 years of age in Florida, for
This industry includes fishing, processing, example, and a low level of entry for young
packaging, and wholesaling of food from the sea. fishermen. Most commercial fishermen are not high
Fishing includes the catching of finfish, shrimping, school graduates, and less than half earn their entire
crabbing, lobstering, clamming, oystering, and the income from fishing. Only 480/6 of Florida fishermen
gathering of sponges. Processing includes the who register commercial boats are full-time
cooking, canning, freezing, or other means of fishermen. A full 30% of all commercial boat
preparing seafood for markets at the wholesale registrants earn over 50% of their income from
level. sources other than fishing. A similar situation
FISHING prevails in Georgia and South Carolina. Therefore,
few of these fishennen would take advantage of
The total number of commercial fishermen in the training programs.
three-State region has been virtually constant in
recent years. Some growth of this industry should Age Distribution of Florida Commercial
occur in terms of developing under-utilized Fishing Boat Owners, 1974 and
fisheries. It is projected that any development of All Males Employed in Florida, 1970
under-utilized fisheries will cause existing
fishermen to shift from overcapitalized fisheries,
such as shrimp, rather than increase the total Florida Commercial All Males Employed
number of fishermen in the industry. The increase Fishing Boatowners in Florida Year of Age
in the number of commercially registered fiberglass -_ 1974 1970
boats sees a movement to larger, more versatile ---------- ------ - ----- Percent ----- - -----------------
craft capable of net fishing, modified trawling, or 4 12 Under 21
trap fishing. This foretells a more versatile 11 29 21-30
commercial fisherman, who will be able to operate 42 32 31-50
in several fisheries. The same number of pounds, or 24 17 51-60
more fish, may be caught with fewer labor inputs. 19 11 over 60
Possibilities for training or retraining exist for
new fishermen as they come into the industry to Total employment in this industry is 14,322 in
replace those lost due to separations (12.5% per 1977 with a projected expansion to 15,009 in 1980.
year). If training is to be offered, most industry This represents a 1.6% annual rate of growth, the
people believe it should occur at the vocational smallest in the region's marine sector. The 1977-
school level in such areas as navigation, electronics, 1980 employment projection is corroborated by
and diesel engine repair. industry representatives, including employers and
There is a good argument for upgrading persons reporting agents of the National Marine Fisheries
now in the industry. Approximately 75% of all Service.

PROCESSING AND WHOLESALING junior college retraining might provide programs to
give middle management and first line supervisory
While entry into fishing will be primarily limited personnel basic skills in' managing people.
to replacement, most expansion in the overall Educational institutions are either lacking, or
industry will take place in processing and unknown, to employers in local areas. Most
wholesaling. Increases in the processing of im- employers have special manpower problems, with
ported seafoods will most likely account for this specific educational needs in the fields of skilled
expansion. In spite of the available data, some mechanics, fish butchers, better fishing methods,
owners of seafood wholesaling and processing and training in boat operations.
firms are optimistic about the number of employees The ten occupations in the commercial fishing
they will require by 1980, in part because of the industry that indicate the greatest demand can be
recently passed Fishery Conservation and Manage- compared in the table below:
ment Act which may increase the supply of the
catch available to the domestic seafood processing
segment. However, this expansion, should it occur, Ten Occupations in Greatest Demand
will be mainly associated with capital intensive Average
Total Annual job
measures rather than labor saving equipment. Occupation Demand Openings
Declines in the number of small fish houses and Electronics mechanic ..... 29 10
associated employment are expected to continue Deckhand ............... 595 198
offsetting increased employment in large process- Fisherman .............. 2551 850*
ing firms. This decline in the number of es- Mechanical tech .......... 222 74
tablishments has continued since 1971. Increased Marine engineer ......... 29 10
mechanization and volume of processed products Diesel mechanic ......... 131 44
per larger firm may require additional skill and Mates .................. 299 100
training on the part of plant workers. Some Boatbuilder ............. 29 10
technical skill problem areas pointed out in the Painter ................. 37 12
interviews were heading and wrapping machine Carpenter ............... 37 12
operators and general plant mechanics with
electrical and mechanical skill. Refrigeration *This large number will come about primarily because of the
mechanics were also pinpointed as a problem area. replacement of older fishermen who will leave the industry.
Some seafood processors thought that, with the More detailed employment information on this
exception of a few specialized skills, college trained industry, for the region and each of the three States,
people might be overtrained for their industry. can be found in Table 5.

MARINE SERVICE AND OFFSHORE SUPPORT isolated and referenced as offshore employment. A
careful review of the development of offshore
This employment setting is a composite of four industry in parts of the Gulf and North Sea
types of marine industries which, grouped together, indicated that the established marine sector is the
constitute a significant share of the marine sector: foundation for any new offshore enterprise. These
electrical, electronic, metal fabrication, and machine findings were confirmed by interviews with
shops that directly service the ship and boat authorities in the offshore field. The platforms used
building and repair industry; marine suppliers to drill and later pump oil are usually fabricated in
including ship chandlers, wholesalers, bunkering regular shipyards. The loading and movement of
and fuel operations, and marine specialty firms equipment and supplies to and from offshore
primarily in business to service and supply builders operations are carried out by the established water
of marine products and marine retailers; marine transportation industry. All of this new activity
construction including dredging, pile drivera, stimulates an increase in demand for additional la-
diving, and salvage; and marine engineering survey bor in the established firms, and often new firms are
and consulting firms. In addition, are new marine established which in turn hire new personnel. The
employers of sufficient size to seriously affect study staff made a special effort to identify any new
manpower needs in the region's near future. firms in the region and to determine the impact the
Originally, it was thought that current and new operations will have on the existing labor
projected employment in the emerging "offshore markets. All employers who participated in the
industry" would require that this setting receive survey were assured that the information they
special attention. However, the study team did not provided would be held in confidence. New
identify sufficient economic activity that could be employers in particular were reassured of this

procedure so as to guarantee that their projected More detailed employment information on this
manpower estimates could be incorporated in the industry can be found in Table 6 for the region and
report. each of the three States.
A total of 502 marine service and support The methodological procedures used to deter-
industries were identified in the study region mine current and near future employment levels in
employing an average of 16.3 workers per firm or a the period 1977-1980, as well as occupational
total workforce of 8,182 in 1977. Determining the structure and job turnover, are included in the
average annual growth rate for this segment of the publication, South Atlantic and Gulf Marine
marine sector posed a unique problem because the Manpower Project, which was published by
new firms could not be included in the base year. Florida junior College, Jacksonville, Florida. An
Projected employment for 1980, however, includes example of the mail survey instrument and the
the future estimate of established employers who statistical analysis used to reduce the data collected
participated in the survey, as well as the 1980 from the survey is also included in the publication.
employment forecast made by the new firms who Other technical information to be found in the
expect to be in full operation in the target year, 1980. publication includes explanatory statements con-
It should be noted that of the 502 established firms, cerning the National/State Industry Occupation
120 are in South Carolina, 112 are in Georgia, and Matrix System and the Standard Industrial
270 are located in that part of Florida completing the Classification System.
study region.
'Me ten occupations in the marine service and
offshore support industry that indicate the greatest
demand can be compared in the table below:

Ten Occupations in Greatest Demand
Average
Total Annual job
Occupation Demand Openings
Elec/Electronic Tech . ..... 685 228
Shipfitter ............... 322 107
Machinist, inside ......... 167 56
Pipefitter ............... 368 123
Welder ................. 917 306
Painter ................. 476 159
Sheetmetal worker ....... 175 58
Diesel and Heavy Equip.
mech .................. 623 208
Rigger .................. 307 102
Carpenter ............... 202 67

Table 1

TOTAL AND AVERAGE ANNUAL DEMAND FOR THE STUDY REGION'S FIVE MARINE EMPLOYMENT SETTINGS
1977-1980
Ship Building Boat Building Water Transportation Commercial Fishing Marine Service Total All industries
and Repair and Repair and Support
Average Average Average Average Average Average
Total Annual job Total Annual job Total Annual job Total Annual job Total Annual job Total Annual job
Demand Openings Demand Openings Demand Openings Demand Openings Demand Openings Demand Openings
Total for
The Industry ................. 13,271 4,424 6,211 2,070 5,865 1,955 5,867 1,956 8,505 2,8.35 39,719 13,240
Total for
Selected Occupations .......... 8,252 2,754 4,662 1,554 3,930 1,310 4,072 1,357 5,543 1,848 26,459 8,823
I Technical Levels
Eng'r/Sci tech ........... 26 9 131 44 44 15 0 0 229 76 430 144
Mechanical tech ......... 54 18 81 27 25 8 222 74 130 43 512 170
Elec/Electronic tech ...... 26 9 39 13 16 5 14 5 685 228 780 260
Draftsman ............. 79 26 23 8 15 5 0 0 62 21 179 60
Loftsman .............. 14 5 9 3 0 0 0 0 0 0 23 8
11 Metal Trades and Related
Boilermaker ............ 285 95 0 0 0 0 0 0 16 5 301 100
Shipfitter ... .......... 711 237 18 6 14 5 0 0 322 107 1,065 355
Machinist, inside ........ 501 167 63 21 60 20 0 0 .167 56 791 264
Machinist, outside ...... 422 141 0 0 78 26 14 5 98 33 612 205
Pipefitter .............. 669 223 0 0 12 4 0 0 368 123 1,049 350
Welder ................ 1,530 510 92 31 38 13 29 10 917 306 2,606 870
Painter ................ 926 309 187 62 58 19 37 12 476 159 1,684 561
Sheetmetal worker ...... 203 67 46 15 15 5 0 0 175 58 439 145
III Electrical Trades
Electrician, inside ....... 414 138 316 105 45 15 14 5 24 8 813 271
Electrician, outside ...... 192 64 30 10 23 8 0 0 12 4 257 86
Electronics mechanic .... 181 61 18 6 25 8 29 10 49 16 302 101
IV Mechanics
Diesel mechanic ........ 191 66 63 21 170 57 131 44 623 208 1,830 613
Heavy Equip. mechanic.. 261 87 309 103 82 27 0 0
V Maritime and Related
Mates ................. 34 11 18 6 739 246 299 100 71 24 1,161 387
Marine engineer ........ 66 22 18 6 116 39 29 10 43 14 272 91
Deckhand .............. 66 22 30 10 853 284 595 198 145 48 1,689 562
Fisherman ............. 0 0 0 0 0 0 2,551 850 0 0 2,551 850
Rigger ................. 423 141 18 6 52 17 14 5 307 102 814 271
Crane, derrick, and
hoist operators ....... 300 100 18 6 25 8 0 0 105 35 448 149
Longshore .............. 133 45 0 0 1,301 434 0 0 0 0 1,434 479
VI Boatbuilding and Related
Boatbuilder ............ 0 0 563 188 0 0 29 10 150 50 742 248
Laminator (boat-bld'g) ... 133 45 1,301 434 0 0 14 5 149 50 1,597 534
Carpenter .............. 317 106 1,055 352 109 36 37 12 202 67 1,720 573
Cabinetmaker .......... 89 29 216 72 15 5 14 5 18 6 352 117

Table 2

TOTAL REGIONAL EMPLOYMENT IN SHIPBUILDING AND REPAIR

In Selected Occupations 1977 to 1980

Demand in Selected Occupations 1977-1980

Employ- Employ- Average
ment ment Total Due to Due to Annual job
1977 1980 Demand Growth Separations Openings
Total Employment for
The Industry ............... 13,876 15,980

Total Employment for
Selected Occupations ........ 8,990 10,370 8,252 1,380 6,872 2,751

I Technical Levels
Eng'r/Sci tech ......... 69 80 26 11 15 9
Mechanical tech ....... 139 161 54 22 32 18
Elec/Electronic: tech. . . . 69 80 26, 11 15 9
Draftsman ........... 208 240 79 32 47 26
Loftsman ............ 27 33 14 6 8 5

II Metal Trades and Related
Boilermaker .......... 199 231 285 32 253 -95
Shipfitter ............ 702 832 711 130 581 237
Machinist, inside ...... 715 813 501 98 403 167
Machinist, outside .... 773 860 422 87 335 141
Pipefitter ............ 959 1,081 669 122 547 223
Welder .............. ' 881 1,057 1,530 176 1,354 510
Painter ............... 625 760 926 135 791 309
Sheetmetal worker .... 254 289 203 35 168 67

III Electrical Trades
Electrician, inside ..... 619 696 414 77 337 138
Electrician, outside .... 119 150 192 31 161 64
Electronics mechanic 412 452 181 40 141 61

IV Mechanics
Diesel mechanic ...... 208 240, 197 32 165 66
Heavy Equip mechanic 278 319 261 41 220 87

V Maritime and Related
Mates ............... 35 41 34 6 28 11
Marine engineer ...... 69 80 66 11 55 22
Deckhand ............ 69 80 66 11 55 22
Fisherman ........... 0 0 0 0 0 0
Rigger ............... 485 560 423 75 348 141
Crane, derrick, and
hoist operators ..... 439 491 300 52 248 100
Longshore ............ 139 161 133 22 ill 45

VI Boatbuilding and Related
Boatbuilder .......... 0 0 0 0 0 0
Laminator (boat-bld'g) . 139 161 133 22 ill 45
Carpenter ............ .303 352 317 49 268 106
Cabinetmaker . . ***** I* 56 70 89 14 75 29
State figures for annual job openings have been rounded.

Table 3

TOTAL REGIONAL EMPLOYMENT IN BOAT BUILDING AND REPAIRS

In Selected Occupations 1977 to 1980

Demand in Selected Occupations 1977-1980

Employ- Employ- Average
ment ment Total Due to Due to Annual job
1977 1980 Demand Growth Separations Openings

Total Employment for
The Industry ............... 8,945 11,334

Total Employment for
Selected Occupations ........ 6,697 8,498 4,662 1,801 2,861 1,554

1 Technical Levels
Eng'r/Sci tech ......... 188 238 131 50 81 44
Mechanical tech ....... 116 148 81 32 49 27
Elec/Electronic tech. . . . 59 74 39 15 24 13
Draftsman ........... 34 43 23 9 14 8
Loftsman ............ 10 14 9 4 5 3

II Metal Trades and Related
Boilermaker .......... 0 0 0 0 0 0
Shipfitter ............ 25 32 18 7 11 6
Machinist, inside ...... 89 113 63 24 39 21
Machinist, outside .... 0 0 0 0 0 0
Pipefitter ............ 0 0 0 0 0 0
Welder .............. 134 170 92 36 56 31
Painter .............. 268 340 187 72 115 62
Sheetmetal worker .... 67 85 46 18 28 15

III Electrical Trades
Electrician, inside ..... 456 579 316 123 193 105
Electrician, outside .... 45 57 30 12 18 10
Electronics mechanic 22 29 18 7 11 6

fV Mechanics
Diesel mechanic ...... 89 113 63 24 39 21
Heavy Equip mechanic 447 567 309 120 189 103

V Maritime and Related
Mates ............... 22 29 18 7 11 6
Marine engineer ...... 22 29 18 7 11 6
Deckhand ............ 45 57 30 12 18 10
Fisherman ........... 0 0 0 0 0 0
Rigger ............... 22 29 18 7 11 6
Crane, derrick, and
hoist operators ..... 22 29 18 7 11 6
Longshore ............ 0 0 0 0 0 0

VI Boatbuilding and Related
Boatbuilder .......... 805 1,020 563 215 348 188
Laminator (boat-bld'g) . 1,877 2,380 1,301 503 798 434
Carpenter ............ 1,520 1,927 1,055 407 648 352
Cabinetmaker ........ 313 396 216 83 133 72

Table 4

TOTAL REGIONAL EMPLOYMENT IN WATER TRANSPORTATION

In Selected Occupations 1977 to 1980

Demand in Selected Occupations 1977-1980

Employ- Employ- Average
ment ment Total Due to Due to Annual job
1977 1980 Demand Growth Separations Openings
Total Employment for
The Industry ............... 12,238 14,319

Total Employment for
Selected Occupations ........ 8,187 9,583 3,930 1,396 2,534 1,310

1 Technical Levels
Eng'r/Sci tech ......... 98 115 44 17 27 15
Mechanical tech ....... 61 71 25 10 15 8
Elec/Electronic tech. . . . 37 43 16 6 10 5
Draftsman ........... 31 37 15 6 9 5
Loftsman ............ 0 0 0 0 0 0

11 Metal Trades and Related
Boilermaker .......... 0 0 0 0 0 0
Shipfitter ............ 31 37 14 6 8 5
Machinist, inside ...... 122 143 60 21 39 20
Machinist, outside .... 184 215 78 31 47 26
Pipefitter ............ 31 37 12 6 6 4
Welder .............. 92 108 38 16 22 13
Painter .............. 122 143 58 21 37 19
Sheetmetal worker .... 31 37 15 6 9 5

III Electrical Trades
Electrician, inside ..... 122 143 45 21 24 15
Electrician, outside .... 61 71 23 10 13 8
Electronics mechanic 61 71 25 10 15 8

IV Mechanics
Diesel mechanic ...... 429 501 170 72 98 57
Heavy Equip mechanic 208 243 82 35 47 27

V Maritime and Related
Mates ............... 1,566 1,833 739 267 472 246
Marine engineer ...... 422 286 116 42 74 39
Deckhand ............ 1,407 1,647 853 240 613 284
Fisherman ........... 0 0 0 0 0 0
Rigger ............... 122 143 52 21 31 17
Crane, derrick, and
hoist operators ..... 61 71 25 10 15 8
Longshore ............ 2,791 3,265 1,301 474 827 434

VI Boatbuilding and Related
Boatbuilder .......... 0 0 0 0 0 0
Laminator (boat-bld'g) . 0 0 0 0 0 0
Carpenter ............ 244 286 109 42 67 36
Cabinetmaker ........ 31 37 15 6 9 5

Table 5

TOTAL REGIONAL EMPLOYMENT IN COMMERCIAL FISHING
SEAFOOD PROCESSING AND WHOLESALE ESTABLISHMENTS

In Selected Occupations 1977 to 1980

Demand in Selected Occupations 1977-1980

Employ- Employ- Average
ment ment Total Due to Due to Annual job
1977 1980 Demand Growth Separations Openings

Total Employment for
The Industry ............... 14,322 15,009

Total Employment for
Selected Occupations ........ 10,113 10,398 4,072 285 3,787 1,357

I Technical Levels
Eng'r/Sci tech ......... 0 0 0 0 0 0
Mechanical tech ....... 467 509 222 42 180 74
Elec/Electronic tech. . . . 30 33 14 3 11 5
Draftsman ........... 0 0 0 0 0 0
Loftsman ............ 0 0 0 0 0 0

II Metal Trades and Related
Boilermaker .......... 0 0 0 0 0 0
Shipfitter ............ 0 0 0 0 0 0
Machinist, inside ...... 0 0 0 0 0 0
Machinist, outside .... 30 33 14 3 11 5
Pipefitter ............ 0 0 0 0 0 0
Welder .............. 61 65 29 4 25 10
Painter .............. 81 87 37 6 31 12
Sheetmetal worker .... 0 0 0 0 0 0

III Electrical Trades
Electrician, inside ..... 30 33 14 3 11 5
Electrician, outside .... 0 0 0 0 0 0
Electronics mechanic 61 65 29 4 25 10

IV Mechanics
Diesel mechanic ...... 282 306 131 24 107 44
Heavy Equip mechanic 0 0 0 0 0 0

V Maritime and Related
Mates ............... 622 679 299 57 242 100
Marine engineer ...... 61 65 29 4 25 10
Deckhand ............ 1,243 1,359 595 116 479 198
Fisherman ........... 6,913 6,913 2,551 0 2,551 850
Rigger ............... 30 33 14 3 11 5
Crane, derrick, and
hoist operators ..... 0 0 0 0 0 0
Longshore ............ 0 0 0 0 0 0

VI Boatbuilding and Related
Boatbuilder .......... 61 65 29 4 25 10
Laminator (boat-bld'g) . 30 33 14 3 11 5
Carpenter ............ 81 87 37 6 31 12
Cabinetmaker ........ 30 33 14 3 11 5

Table 6

TOTAL REGIONAL EMPLOYMENT IN MARINE SERVICE AND OFFSHORE SUPPORT

In Selected Occupations 1977 to 1980

Demand in Selected Occupations 1977-1980

Employ- Employ- Average
ment ment Total Due to Due to Annual job
1977 1980 Demand Gromh Separations Ope-gs
Total Employment for
The Industry ............... 8,182 14,574

Total Employment for
Selected Occupations ........ 5,611 9,347 5,543 3,627 1,916 1,848

1 Technical Levels
Eng'r/Sci tech ......... 376 451 229 75 154 76
Mechanical tech ....... 278 334 130 56 74 43
Elec/Electronic tech. . . . 302 843 685 541 144 228
Draftsman ........... 139 167 62 28 34 21
Loftsman ............ 0 0 0 0 0 0

11 Metal Trades and Related
Boilermaker .......... 33 39 16 6 10 5
Shipfitter ............ 57 329 322 272 50 107
Machinist, inside ...... 294 363 167 69 98 56
Machinist, outside .... 93 162 98 69 29 33
Pipefitter ............ 57 384 368 326 42 123
Welder .............. 1,047 1,666 917 610 307 306
Painter .............. 237 599 476 362 114 159
Sheetmetal worker .... 90 228 175 138 37 58

III Electrical Trades
Electrician, inside ..... 57 69 24 12 12 8
Electrician, outside .... 33 39 12 6 6 4
Electronics mechanic 105 127 49 22 27 16

IV Mechanics
Diesel and Heavy
Equip mechanic ..... 908 1,299 623 391 232 208

V Maritime and Related
Mates ............... 139 167 71 28 43 24
Marine engineer ...... 82 98 43 16 27 14
Deckhand ............ 228 275 145 47 98 48
Fisherman ........... 0 0 0 0 0 0
Rigger ............... 147 392 307 245 62 102
Crane, derrick, and
hoist operators ..... 229 275 105 46 59 35
Longshore ............ 0 0 0 0 0 0

VI Boatbuilding and Related
Boatbuilder .......... 245 294 150 49 101 50
Laminator (boat-bldg) . 105 197 149 92 57 50
Carpenter ............ 294 408 202 114 88 67
Cabinetmaker ........ 35 42 18 7 11 6

MARINE EMPLOYMENT OPPORTUNITIES AND NEEDS

By CHARLES D. MATTHEWS
President
National Ocean Industries Association

My first reaction when I was asked to participate you may never have heard of a "mud man," but
in this panel discussion was: "Why me? I'm not an direct jobs like this on the ocean are now going
educator or a trainer." But, on reflection, I realized it begging, as well as many other ones too. The
is appropriate for me to be here because the member education and training system should start concen-
companies of the National Ocean Industries trating more on the practical aspects of vocational
Association (NOIA) are, in a way, the end reason training in practical, useful jobs where the workers
for our discussion because that is where the jobs get their hands dirty, because believe me, working
are-in the ocean industries. So, I appreciate being in the oceans' environment is pretty dirty work.
here to share some of my impressions with you This point was well made by Roger Anderson
although you might not like or agree with what I and Ed Mackin in their paper presented last May to
have to say. the 1977 Offshore Technology Conference in
First, let me get something off my chest which has Houston on the projected marine employment in
been bugging me for some time, and which I have 1980 by industry and occupationsl subdivisions.
expressed to other groups and educators. If the Those data indicated that nearly 2,360,000 persons
purpose of marine education is, indeed, to prepare would be employed in marine activities in 1980
one for getting a job and going to work in the ocean with only some 30,950 or about 11/4%, engaged in
environment, then we are all going about it in the scientific pursuits and 52,860, or a little less than 2
wrong way. This view is reinforced almost every 1/4%, in engineering pursuits. Some 1,317,000 will
day from my vantage point in the National Ocean be employed as fitters, craftsmen, mechanics,
Industries Association when I receive a serious seamen, longshoremen, fishermen, laborers, and
letter requesting employment in the oceans. Most of other support personnel.
them go something like this: Don't misunderstand the point I am trying to
"Dear Mr. Matthews: make. We will continue to need scientists, and
in May I will be graduating from Hometown U. indeed, cannot get along without them. But, I am
with a degree in marine biology or oceanography. saying we don't need them in the near future in such
Upon graduation, my main employment interest inflated numbers.
is to do research or to work in ocean activities. Trying to get a firm grip on this whole problem of
Will you please send me a list of companies marine manpower and education is about as easy as
requiring such people or other information where trying to tack Jello to the wall. Everyone has a
I can get a job in my chosen field?" different idea about how to go about it and none is
I am saddened, because I think the colleges and really successful. Perhaps one of the serious short
universities along with such a large segment of our comings contributing to this dilemma is that we do
current society have made such a fetish of the need not have a National marine education policy
for having a college education as a prerequisite of enunciated by the Federal Government at an
being successful. Coupled with this attitude, appropriately high level of the Executive Branch
Jacques Cousteau has made the oceans so since the Government's activities do impact on the
glamorous that the higher educational system is situation.
graduating thousands of B.A., M.A., and Ph.D. Over a decade ago, the Presidential Commission
marine biologists and oceanographers who cannot on Marine Science, Engineering and Resources,
find the jobs. The current system is simply which became known as the Stratton Commission,
overloaded. Those of us who are concerned for these recommended that the Federal Government expand,
young people should start concentrating more on its support for ocean engineering and marine
the practical, "hand-on" jobs in the oceans because technician training . at all levels. Some of the
these jobs provide good money and benefits to Stratton Commission's specific recommendations
men-and let me add-women, but also they may have been followed, but not the one on manpower.
serve as a springboard to other related types of The Commission recommended that NOAA be
work. We need boll weevils rather than biologists. assigned the responsibility "to help assure that the
The industries need roughnecks, roustabouts, tool Nation's marine manpower needs are satisfied and
pushers, swabbers, oilers, and so forth. Many of to help devise uniform standards for the

nomenclature of.marine occupations." The respon- is recognized that all the ocean industries must do a
sibility for carrying out this assignment was given good job of recruiting and an even better job of
to the Sea Grant Program which was moved to retaining qualified personnel. One of the problems
NOAA from the National Science Foundation. which has been developing from this increase in
However, at no time has adequate funding been company training programs is that good employees
provided for this program to carry out its n-Assion. are being lured away from the original employer
Nevertheless, in spite of the money problems and after he has paid for the employee's training. The
lack of guidance from NOAA, Sea Grant did fund offshore trainee retention rate is about 2011/6 for long-
programs to produce marine technicians of several term. While this is substantially better than for the
kinds, supported graduate programs in ocean hiring of "walk-ons," the rate can be increased thus
engineering, and programs in law and economics. saving expense to the companies and uncertainty to
Most of the programs started with Sea Grant the employees.
money have continued with funds from their own Many NOIA members also tell me the ocean
institutions and have become a regular part of the industries are something of an ocean-based foreign
curriculum. legion where a person can spend several years
The Sea Grant Program Improvement Act of seeing the world before settling down to his life's
1976 placed a somewhat broader education mission vocation. The most serious problems with recruit-
on the Sea Grant Program by stating as an objective ment have been selecting suitable candidates and
for Sea Grant: "Providing assistance to promote a trying to decide between a candidate's general
strong education base." The appropriations act for enthusiasm for a career or one for world travel.
fiscal 1977 which followed made it even sharper by There are entry level job positions which are not
specifically appropriating funds to be used for dead-end jobs. This is a well-founded fact, but not a
education over and above what NOAA had well known one. It is necessary for industry to do a
requested. better job in the area of informing prospective
Basically then, we have a few pieces of a employees, but also the education institutions as
legislative program reflecting to some degree a well. The message that must be communicated is
legislative understanding of the problem, but we that there are opportunities for long-term growth
still have no over-all policy. We have the skeleton, for those willing to make a commitment to learn,
but have yet to "flesh it out." All the recent work, and grow. Work on th e- oceans is hard, but it
Presidential Administrations have shared in this is satisfying also.
blame for this situation. Coupled with recruitment is training and safety.
The companies of the ocean industries have Once the personnel are on-board it is in everyone's
grown tired of the false starts, the lack of direction best interest that they know how to do their job
and dedication from Washington, and have begun safely. Naturally, this is a function of recruitment
to wash their hands of the whole thing so far as (i.e., finding the right person for the right job, etc.)
Federally-funded vocational training and education But the majority of training and safety are learned
is concerned. Being fundamentally committed to as an employee. A company's training program
self-help, risk taking enterprise, the companies have should be designed not to lose employees either to
approached the problem of an inadequate supply of accident, another company, or another industry.
capable marine employees by starting their own Training programs are as unique as each
training schools. For example, the International individual company, but the main purposes usually
Association of Drilling Contractors has set up an serve three objectives:
extensive program of manpower training and 1. To orient new men to the company and its
career improvement through a network of colleges safety program and to prepare them for their
and universities. Individual company traffiffig job assignments.
centers are springing up all over the country. 2. To integrate experienced men into the com-
Special self-help approaches now make it pany through advanced technical training.
possible for the companies to concentrate on 3. To upgrade and provide employees on new
improving their manning requirements by more equipment and procedures.
effective recruitment through existing channels. Typically, training for a service boat company
However, there is a continuing present and future will include both practical and theoretical aspects of
need for dependable, adaptable, and dedicated the, business with an overview of the -general
personnel for the offshore industry. An on-going industry as well. Throughout training programs a
search is needed. Factors contributing to program balanced rnix of pra ctical "on-the-job" training and
efficiency are identification of potential career textbook methods are employed. In addition, many
personnel, vigorous recruitment, careful screening, companies now employ counselors to follow an
orientation, training, and appropriate placement. It employee's progress and develop a training and

advancement pattern integrated with a life-long believe there is anyone here who can, or will,
career pattern. Promotion, pay, and security factors dispute the statement that if offshore development
are vital to this system. Throughout all programs, does not proceed with dispatch and vigor, there Will
there must be a balance among safety, indoctrina- be thousands of jobs lost in the oceans. And, that is
tion, training, and career advancement. what we are discussing here today. This gets us
The last point I want to make regarding marine back to my point that actions by the Federal
employment relates to government policy but not Government- can and do affect the marine
the education shortcomings mentioned earlier. It's employment opportunities and needs.
no secret that the Federal Government is playing a In closing, let me say one more thing. Last May, at
bigger and bigger role in not only our personal but the Offshore Technology Conference mentioned-
professional lives as well. To a large extent the earlier, I moderated a similar panel to this one on
number of jobs are directly affected by government Marine Manpower. One of the papers there was
policies and actions. given by Harold Goodwin, who was for many years
For example, let me mention for a moment a a leader of the Sea Grant Program and, in my
particular piece of legislation, now pending before opinion, is still one of the great advocates of
the Congress, which will prove my point. H.R. improved marine manpower education and train-
1614-the Amendments to the Outer Continental ing. Hal concluded his presentation by quoting from
Shelf (OCS) Lands Act-has been studied by both a report concerning the goals for a National Marine
the University of Rhode Island and Tulane Education Policy he was helping to prepare for the
University and they have come to the conclusion "University of Delaware entitled, "An Introduction
that its enactment will delay offshore energy to Marine Science." I would like to quote those same
development for a minimum of three years and goals and say amen.
maybe as much as six years. Tulane's study "Let it be clear from the beginning that those who
concerned itself primarily with the impact on the advocate marine education do not call for revolu-
State of Louisiana of enacting H.R. 1614. Let me tion, disruption, or substantial alteration in the
quote a couple of sentences from the summary of present system of education, but only for content
the Tulane Study: balance that will result in successful pursuit of the
"Absent enactment of the OCS Bill, Louisiana following goals:
companies and others in the Gulf region between 1. A marine-literate society
,, aware of the
now and 1984 would normally be expected to invest importance of the oceans and marine environ-
over $2.5 billion in offshore activities. This level of ment and the reasons for that importance; a
capital investment would not only preserve existing society able to understand and participate in
jobs for tens of thousands of workers associated public and personal decisions affecting or
with the offshore industry but would create nearly affected by America's needs in the seas and
a quarter of a million new jobs. But if the OCS bill inland waters.
becomes law this increase in investment which 2. A corT)s of marine-competent pLofessionals,
would create the new jobs will not be made for as technicians, and workers America's sea
long as possibly six years." people, educated and trained to carry out the
In estimating the possible impact of a three-year Natior@s marine missions whatever those
delay in exploration and development of the Gulf missions may be.
OCS, Dr. John Moroney of Tulane concluded that 3. In the coastal zones, and near the great inland
"the range of employment postponed is estimated waters, a public better 2guipped to use the
between 40,503 and 67,757 man-years." aqu tic environment for recreational renewal,
He goes on to point out that using an estimated with greater understanding, safety, and enjoy-
six-year delay, and investment requirements ment.
estimated according to the current lease sale 4. A new breed of public man gers, whether
schedule total employment postponed in the Gulf elected, appointed, or career-professionaL able
region could be as high as 181,000 man-years, or to make decisions that recognize and ensure
possible jobs. proper balance among America's needs and
Perhaps there are some in this audience who will interests in the coastal zones and the world of
disagree with me about the merits or demerits of water."
enacting H.R. 1614, but I am not here to argue that And to that, I say
point. We can discuss that issue later. But, I do not Amen!

CONFERENCE PARTICIPANTS

Leon E. Abbas Loyal G. Bouchard
Economist-Marine Recreation Atlantic Marine Center
Marine Advisory Service National Oceanic and Atmospheric
UNC Sea Grant College Program Administration
Room 105, 1911 Building 439 W. York Street
North Carolina State University Norfolk, Virginia 23510
Raleigh, North Carolina 27607 Benjamin T. Boughan
Robert D. Abrams Virginia Department of Transportation
Coordinator, Environmental Education and Highways
Great Neck Public Schools 1401 E. Broad Street
341 Lakeville Road Richmond, Virginia 23219
Great Neck, New York 11020 David E. Bowker
Langley Research Center
David A. Adams NASA, MS 272
Assistant Secretary for Hampton, Virginia 23185
Resources Management
North Carolina Department of Natural Michael P. Bradley
Resources and Community Development Duke University Marine Laboratory
P.O. Box 27687 Beaufom North Carolina 28516
Raleigh, North Carolina 27611 Deryck Bratton
J. Frank Alspaugh Fifth Coast Guard District
Director U.S. Coast Guard
Virginia Division of Industrial Development 431 Cxawford Street
1010 State Office Building Portsmouth, Virginia 23705
Richmond, Virginia 23219 C. Q. Brown
East Carolina University
Claud Anderson P.O. Box 2781
Federal Cochairman Greenville, North Carolina 27834
Coastal Plains Regional Cominission.
1725 K Street, N.W., Suite 413 Walley W. Brown
Washington, D,C. 20006 Earth Satellite Corporation
7222 47th Street (Chevy Chase)
Roger D. Anderson Washington, D.C. 20015
Executive Director
Gulf & South Atlantic Fisheries Victor G. Burrell, Jr.
Development Foundation, Inc. Director
Lincoln Center, Suite 571 South Carolina Marine Resources
5401 West Kennedy Boulevard Research Institute
Tampa, Florida 33609 P.O. Box 12559
Charleston, South Carolina 29412
Ron Ayres
Virginia Institute of Marine Science James W. Butler
Gloucester Point, Virginia 23062 Executive Director
Coastal Plains Regional Comnrission
William A. Bailey 215 East Bay Street
Natural Systems Management, Inc: Charleston, South Carolina 29401
20 South King Street lee Hood Capps
P.O. Box 877 Neuse River Council of Governments
Leesburg, Virginia 22075 P.O. Box 1717
Paul Baker New Bern, North Carolina 28560
Conservation Council of Virginia Michael Castagna
5 East Queen Street Eastern Shore Laboratory
Hampton, Virginia 23669 Virginia Institute of Marine Science
Wachapreague, Virginia 23480
Dale S. Beaumariage
Chief James C. Cato
Bureau of Marine Science and 1170 McCarty Hall
Technology University of Florida
Division of Marine Resources Gainesville, Florida 32611
Florida Department of Natural
Resources Neil M. Chapin
202 Blount Street, Crown Building Virginia Office of Emergency Services
Tallahassee, Florida 32304 7700 Midlothian Pike
Richmond, Virginia 23235
Stanford R. Beebe A- F. Chestnut
Marine Resources Program Director Director
Coastal Plains Regional Cominission Institute of Marine Science
215 East Bay Street University of North Carolina
Charleston, South Carolina 29401 Morehead City, North Carolina 28557

Carvel Blair Richard W. Clark
Institute of Oceanography Virginia Tech Extension Service
Old Dominion University Agriculture Center, City Hall
Norfolk, Virginia 23508 Virginia Beach, Virginia 23456

Allen L. Comstock Adolph A. Hight
Teledyne Hastings-Raydist District Engineer
P.O. Box 1275 U.S. Army Corps of Engineers
Hampton, Virginia 23661 P.O. Box 1890
George R. Conner Wilmington, North Carolina 28402
Virginia Department of Transportation Philip G. Hill
and Highways Geologist
1401 East Broad Street Coastal Plains Marine Center
Richmond, Virginia 23219 1518 Harbour Drive
Marion Cox Wilmington, North Carolina 28401
Office of Coastal Zone Management Robert 1. Hines
National Oceanic and Atmospheric Marine Biologist
Administration Coastal Plains Marine Center
3300 Whitehaven Street, N.W. 1518 Harbour Drive
Washington, D.C. 20235 Wilmington, North Carolina 28401
M. V. "Bill" Craft
Executive Director Charles W. Hollis
Virginia Port Authority U.S. Army Corps of Engineers
1600 Maritime Tower P.O. Box 1890
Norfolk, Virginia 23510 Wilmington, North Carolina 28402
Kenneth A. Dierks Ralph W. Hooper
Virginia Marine Resources Commission President
Box 756 Interstate and Ocean Transport
Newport News, Virginia 23607 Company
Three Parkway
James E. Douglas, Jr. Philadelphia, Pennsylvania 19102
Commissioner
Virginia Marine Resources Commission Frank Huang
Box 756 Seafood Processing Research
Newport News, Virginia 23607 and Extension Unit
Joab M. Dowling Department of Food Science and
South Carolina Coastal Council Technology
P.O. Box 5706 Virginia Polytechnic Institute and
Hilton Head Island, South Carolina 29928 State University
P.O. Box 369
Harold W. Dubach Hampton, Virginia 23669
Acting Director
North Carolina Marine Resources Robert F, Hutton
Center at Ft. Fisher Director, State Affairs Office
General Delivery National Oceanic and Atmospheric
Kure Beach, North Carolina 28449 Administration
6010 Executive Boulevard
BiR DuPaul Rockville, Maryland 20852
Virginia Institute of Marine Science
Gloucester Point, Virginia 23062 W. B. Johnson
John T. Everett Florida Department of Environmental
National Marine Fisheries Service, F2 Regulation
Washington, D.C. 20235 Koger Office Center
Taflabassee, Florida 32304
Roy Fingerson
Office of the Federal Cochairman J. C. Jones
Coastal Plains Regional Conunission Director
1725 K Street, N.W., Suite 413 Office of Marine Affairs
Washington, D.C. 20006 North Carolina Department of
Administration
George 1. Flick, Jr. 417 N. Blount Street
Food Science and Technology Department Raleigh, North Carolina 27604
Sea Grant Program
Virginia Polytechnic Institute and Robert P. Jones
State University Executive Secretary
Blacksburg, Virginia 24061 Southeastern Fisheries Association
Dick Fox 124 West Jefferson Street
Amoco Tallahassee, Florida 32301
P.O. Box 5077 Edwin A. Joyce, Jr.
Atlanta, Georgia 30302 Director
Katherine J. Gilbert Division of Marine Resources
South Carolina Coastal Council Florida Department of Natural Resources
14 S. Washington Street 530 Crown Building
Sumter, South Carolina 29150 Tallahassee, Florida 32304
William J. Hargis, Jr. Ernest S. King
Director Virginia Office of Emergency Services
Virginia Institute of Marine Science 7700 Midlothian Pike
Gloucester Point, Virginia 23062 Richmond, Virginia 23235
Davis Hays Harriet Knight
Fisheries Assessment Division South Carolina Coastal Council
National Marine Fisheries Service 4 Carriage Lane
Washington, D.C. 20235 Charleston, South Carolina 29407

William H, Lacey, III John Meier
South Carolina Wildlife and Marine Bureau of Land Management
Resources Department U.S. Department of the Interior
217 Fort Johnson Road 500 Camp Street, Suite 841
Charleston, South Carolina 29461 New Orleans, Louisiana 70130
L. Jay Langfelder Catherine E. Meleky
Director Office of Policy Development and
Center for Marine and Coastal Studies Long Range Planning
North Carolina State University National Marine Fisheries Service
Box 5923 2001 Wisconsin Avenue, N.W.
Raleigh, North Carolina 27607 Washington, D.C. 20235
James A. Lanier Peter O'Rourke
Virginia Institute of Marine Science Georgia Department of Natural Resources
Gloucester Point, Virginia 23219 270 Washington Street, S.W.
Louis R. Lawson, Jr. Atlanta, Georgia 30309
Director John F. Overstreet
Virginia Energy Office Deputy Director for Economic Development
823 East Main Street Bureau of State Planning and
Richmond, Virginia 23219 Community Affairs
270 Washington Street, S.W.
Robert E. Leak Trinity Washington Building
Director Atlanta, Georgia 30334
South Carolina State Development Board
P.O. Box 927 Wayne Parker
Columbia, South Carolina 29206 Georgia Office of Energy Resources
Jacob W. Lehman 270 Washington Street - Room 615
Bureau of Land Management Atlanta, Georgia 30334
U.S. Department of the Interior George Patrenos
500 Camp Street, Suite 841 Florida Department of Natural Resources
New Orleans, Louisiana 70130 Grown Building
Millington Lockwood Tallahassee, Florida 32304
Environmental Data Service Jane S. Patterson
National Oceanic and Atmospheric North Carolina Department of
Administration Administration
Room 534, Page Building 11 116 W. Jones Street
3300 Whitehaven Street Raleigh, North Carolina 27603
Washington, D.C. 20007 Michael L Payne
Jon Lucy Office of Coastal Zone Management
Virginia Institute of Marine Science National Oceanic and Atmospheric
Gloucester Point, Virginia 23062 Administration
Maurice P. Lynch 3300 Whitehaven Street
Assistant Director Washington, D.C. 20235
Virginia Institute of Marine Science Robert F. Pietrowski
Gloucester Point, Virginia 23062 Law Offices of Northcutt My
Richard A. Lyons Watergate Six Hundred Building
U.S. Coast Guard Washington, D.C. 20037
400 7th Street, S.W. John B. Pleasants
Washington, D.C. 20590 Virginia Institute of Marine Science
Gail R. McTeer Gloucester Point, Virginia 23062
South Carolina Coastal Council J. Keith Porter
P.O. Box 1026 Virginia Seafood Council
Beaufort, South Carolina 29902 Post Office Box 188
2600 Washington Avenue
Edward F. Mackin Newport News, Virginia 23607
President
Marine Associates Thomas A. Price
Jersey Lane Gulf Stream Marine
Manchester by the Sea, Massachusetts Box 570956
01944 SW 220 Street
Vernon D. Martin Miami, Florida 33157
Executive Director, Coastal Area Richard Raulerson
Planning and Development Commission National Marine Fisheries Service
P.O. Box 1316 9450 Koger Boulevard
Brunswick, Georgia 31520 St. Petersburg, Florida 33702
Curt Mason Theodore Rice
Coastal Engineering Research Center Director, Beaufort Laboratory
Kingman Building Southeast Fisheries Center
Ft. Belvoir, Virginia 22060 National Marine Fisheries Service
National Oceanic and Atmospheric
Charles D. Matthews Administration
President Beaufort, North Carolina 28516
National Ocean Industries Association
1100 17th Street, N.W. Ann Rooney-Char
Suite 410 Virginia Institute of Marine Science
Washington, D.C. 20036 Gloucester Point, Virginia 2306Z

George Rounds Carl A. 'fboren
Executive Secretary Assistant City Engineer
National Association of Engine City of Virginia Beach
and Boat Manufacturers DPW/Eng[neering Division
P.O. Box 5555, Grand Central Station Municipal Center
New York, New York 10017 Virginia Beach, Virginia 23456
Paul A. Sandifer
South Carolina Marine Resources James M. Waddell, Jr,
Research Institute Chairman
P.O. Box 12559 South Carolina Coastal Council
Charleston, South Carolina 29412 P.O. Box 1026
Ron Schn-iied Beaufort, South Carolina 29902
Virginia Institute of Marine Science
Gloucester Point, Virginia 23062 H. Scott Wagner
Langley Research Center
Robert Schoen NASA
U.S. Geological Survey Hampton, Virginia 23665
Reston, Virginia 22092
Thomas 1. Schoenbaurn Donn Ward
School of Law Seafood Processing Research and
University of North Carolina Extension Unit
Chapel Hill, North Carolina 27514 Department of Food Science and
Technology
Sallie 1. Scott Virginia Polytechnic Institute and
South Carolina Coastal Council State University
Box 384 P.O. Box 369
Sullivans Island, South Carolina 29482 Hampton, Virginia 23669
Jack Shiniko
Virginia Water Resources Cominission Bill Wardle
Box 756 Virginia Institute of Marine Science
Newport News, Virginia 23607 Gloucester Point, Virginia 23062
Lawrence E. Shirley
Bureau of Mines W. Don Welch
P.O. Box 2828 Executive Director
Raleigh, North Carolina 27602 South Carolina State Ports Authority
Roger H. Skove P.O. Box 817
President Charleston, South Carolina 29402
Seatrain Lines, Inc.
Port Seatrain Edward F. Wilson
Weehawken, New Jersey 07087 Outer Continental Shelf Activities
Virginia Office of Commerce and
Beverly C. Snow, Jr. Resources
Executive Director 1027 Ninth Street Office Building
Coastal Plains Marine Center Richmond, Virginia 23219
1518 Harbour Drive
Wilmington, North Carolina 28401 James Wilson
E. Lynn Suydam Chief of Section
Rappahannock Community College Resource Planning Section
North Campus Georgia Department of Natural Resources
Warsaw, Virginia 22572 270 Washington Street, S.W.
James B. Talley Atlanta, Georgia 30309
Georgia Department of Natural
Resources Harvey Young
270 Washington Street, S.W. Georgia Department of Natural Resources
Room 815 270 Washington Street, S.W.
Atlanta, Georgia 30334 Atlanta, Georgia 30309

DATE DUE

GAYLORD No. 2333 PRINTED IN U@Sk

3 6668 14107 1037

Published by
Coastal Plains Center for Marine Development Services
1518 Harbour Drive * Wilmington, N. C. 28401