Request for Information
Primary source
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Issuing agencies
Abstract
The Federal Maritime Commission seeks public comment on whether congestion of the carriage of goods has created an emergency situation causing a substantial, adverse effect on the competitiveness and reliability of the international ocean transportation supply system. Information received in response to this request will help inform the Commission's decision on whether an emergency situation exists, and whether to issue an emergency order to address any such situation.
Full Text
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<title>Federal Register, Volume 87 Issue 156 (Monday, August 15, 2022)</title>
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[Federal Register Volume 87, Number 156 (Monday, August 15, 2022)]
[Notices]
[Pages 50085-50087]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-17582]
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FEDERAL MARITIME COMMISSION
[Docket No. 22-19]
Request for Information
AGENCY: Federal Maritime Commission.
ACTION: Request for Information.
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SUMMARY: The Federal Maritime Commission seeks public comment on
whether congestion of the carriage of goods has created an emergency
situation causing a substantial, adverse effect on the competitiveness
and reliability of the international ocean transportation supply
system. Information received in response to this request will help
inform the Commission's decision on whether an emergency situation
exists, and whether to issue an emergency order to address any such
situation.
DATES: Submit comments on or before September 14, 2022.
ADDRESSES: You may submit comments, identified by Docket No. 22-19, by
email to: <a href="/cdn-cgi/l/email-protection#96e5f3f5e4f3e2f7e4efd6f0fbf5b8f1f9e0"><span class="__cf_email__" data-cfemail="f586909687908194878cb5939896db929a83">[email protected]</span></a>. For comments, include in the subject line:
``Docket No. 22-19, Request for Information.'' Comments should be
attached to the email as a Microsoft Word or text-searchable PDF
document.
<bullet> Instructions: For detailed instructions on submitting
comments, including requesting confidential treatment of comments, see
the Public Participation heading of the Supplementary Information
section of this document. Note that all comments received will be
posted without change
[[Page 50086]]
to the Commission's website unless the commenter has requested
confidential treatment.
FOR FURTHER INFORMATION CONTACT: William Cody, Secretary; Phone: (202)
523-5908; Email: <a href="/cdn-cgi/l/email-protection#6714020415021306151e27010a0449000811"><span class="__cf_email__" data-cfemail="2655434554435247545f66404b4508414950">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
I. Background
On June 16, 2022, the Ocean Shipping Reform Act of 2022 (``OSRA
2022'') became law.\1\ Section 18 of OSRA 2022 authorizes the Federal
Maritime Commission (the Commission) to issue an emergency order
requiring any common carrier or marine terminal operator to share
certain information with shippers and other specified entities when the
Commission unanimously determines that congestion of the carriage of
goods has created an emergency situation of a magnitude such that there
exists a substantial, adverse effect on the competitiveness and
reliability of the international transportation supply system.\2\
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\1\ Ocean Shipping Reform Act of 2022 (``OSRA 2022''), Public
Law 117-146 (June 16, 2022).
\2\ See generally, OSRA 2022, sec. 18(c)-(d).
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If the Commission determines that cargo congestion has created an
emergency situation, it may issue an order requiring any common carrier
or marine terminal operator to share directly with relevant shippers,
rail carriers, or motor carriers information relating to cargo
throughput and availability. Such information sharing among industry
participants is to improve the efficient transportation, loading, and
unloading of cargo to or from (1) any inland destination or point of
origin, (2) any vessel, or (3) any point on a wharf or terminal.\3\
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\3\ See OSRA 2022, sec. 18(c).
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Any Commission-issued emergency order must be tailored in terms of
duration and geographic scope; consider the likely burdens on common
carriers and marine terminal operators; and consider the likely
benefits on congestion relating to the purposes of the Shipping Act
stated in 46 U.S.C. 40101.\4\
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\4\ See 46 U.S.C. 40101. See also OSRA 2022, sec. 18(d)(2)
(detailing the criteria for the Commission to consider when issuing
an emergency order under Section 18).
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An emergency order issued under OSRA 2022 would remain in effect
for a period of not longer than 60 days and may be renewed by a
unanimous vote of the Commission. The authority to issue an emergency
order under Section 18 of OSRA 2022 terminates 18 months after the date
of enactment of the Act.\5\
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\5\ See OSRA 2022, sec. 18(f)(1)-(2).
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A common carrier or marine terminal operator subject to a
Commission-issued emergency order may file a petition for exception
from one or more requirements of the emergency order. Petitions for
exception must be based on a showing of undue hardship or other
condition rendering compliance with such a requirement impracticable.
Not later than 21 days from the petition filing date, the Commission is
required to determine whether to grant the petition.\6\
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\6\ See OSRA, sec. 18(e)(1)-(2).
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Section 18 of OSRA 2022 requires that, not later than 60 days after
the effective date of the Act, the Commission must issue a request for
information seeking public comment regarding specific criteria--namely,
(1) whether congestion of the carriage of goods has created an
emergency situation of a magnitude such that there exists a
substantial, adverse effect on the competitiveness and reliability of
the international ocean transportation supply system, (2) whether an
emergency order under Section 18 would alleviate such an emergency
situation, and (3) the appropriate scope of such an emergency order, if
applicable.\7\ During this process, the Commission may also consult (as
it deems appropriate) with other Federal departments and agencies and
persons with expertise relating to maritime and freight operations.\8\
This notice fulfills this OSRA 2022 requirement.
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\7\ See OSRA 2022, sec. 18(b)(1)(A)-(C).
\8\ See OSRA 2022, se. 18(b)(2).
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II. Request for Information
At the beginning of the COVID-19 pandemic, the demand for worldwide
ocean transportation services decreased significantly as lockdowns were
imposed globally and people were hesitant to engage in normal economic
activities. Accordingly, ocean common carriers cancelled many voyages,
and the supply of ocean transportation services decreased.
Within a few months, however, U.S. consumer spending shifted
markedly. Spending on services decreased significantly, while consumer
spending on goods increased considerably--leading to a renewed and
increased demand for ocean transportation services. Carriers responded
with increases in vessel capacity, however this rapid shift in cargo
volumes driven by consumer demand led to bottlenecks throughout the
U.S. supply chain system. In particular, increased container dwell
times at marine terminals led to inefficiencies, including delays in
vessel berthing and motor carrier services at U.S. ports.
Over the last 2 years, there have been a variety of strategies
employed by industry participants to reduce congestion throughout the
U.S. ocean transportation system. For example, some carriers have
diverted vessel services away from the most congested port areas in an
effort to alleviate severe cargo congestion at major U.S. ports. This
shift, however, has often resulted in increased congestion at
previously non- or less-congested U.S. port areas or regions. Total
U.S. port congestion, measured by the number of containers on ships
waiting to berth, average ship waiting time at key U.S. ports, and
container dwell time have all decreased in recent months. Relevant
metrics, however, remain higher than pre-pandemic levels.
In view of these factors and consistent with the requirements set
out in Section 18 of OSRA 2022, the Commission is seeking public
comments on the following:
(1) Whether congestion of the carriage of goods has created an
emergency situation of a magnitude such that there exists a
substantial, adverse effect on the competitiveness and reliability of
the international ocean transportation supply system. If so, please
explain why and provide examples or data to support your view. If not,
please explain why and provide examples or data to support your view;
(2) Whether an emergency order pursuant to Section 18 of OSRA 2022
would alleviate or improve such an emergency situation--and if so, why,
and if not, why not; and
(3) The appropriate scope (duration and geographic) of such an
emergency order, if the Commission were to issue such an order and the
basis for that scope.
III. Public Participation
How do I prepare and submit comments?
Your comments must be written and in English. To ensure that your
comments are correctly filed in the docket, please include the docket
number of this document in your comments.
You may submit your comments via email to the email address listed
above under ADDRESSES. Please include the docket number associated with
this notice and the subject matter in the subject line of the email.
Comments should be attached to the email as a Microsoft Word or text-
searchable PDF document.
[[Page 50087]]
How do I submit confidential business information?
The Commission will provide confidential treatment for identified
confidential information to the extent allowed by law. If your comments
contain confidential information, you must submit the following by
email to the address listed above under ADDRESSES:
<bullet> A transmittal letter requesting confidential treatment
that identifies the specific information in the comments for which
protection is sought and demonstrates that the information is a trade
secret or other confidential research, development, or commercial
information.
<bullet> A confidential copy of your comments, consisting of the
complete filing with a cover page marked ``Confidential-Restricted,''
and the confidential material clearly marked on each page.
<bullet> A public version of your comments with the confidential
information excluded. The public version must state ``Public Version--
confidential materials excluded'' on the cover page and on each
affected page and must clearly indicate any information withheld.
Will the Commission consider late comments?
The Commission will consider all comments received before the close
of business on the comment closing date indicated above under DATES. To
the extent possible, we will also consider comments received after that
date.
How can I read comments submitted by other people?
You may read the comments received by the Commission at the
Commission's Electronic Reading Room at <a href="https://www2.fmc.gov/readingroom/">https://www2.fmc.gov/readingroom/</a>.
By the Commission.
William Cody,
Secretary.
[FR Doc. 2022-17582 Filed 8-12-22; 8:45 am]
BILLING CODE 6730-02-P
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