Legislature(2017 - 2018)BARNES 124
04/20/2017 11:30 AM House ARCTIC POLICY, ECONOMIC DEV., & TOURISM
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| Audio | Topic |
|---|---|
| Start | |
| HJR19 | |
| Presentation(s): Marine Exchange of Ak | |
| HJR19 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| *+ | HJR 19 | TELECONFERENCED | |
ALASKA STATE LEGISLATURE
HOUSE SPECIAL COMMITTEE ON ARCTIC POLICY,
ECONOMIC DEVELOPMENT, AND TOURISM
April 20, 2017
11:32 a.m.
MEMBERS PRESENT
Representative Dean Westlake, Chair
Representative Andy Josephson
Representative Chris Tuck
Representative Mark Neuman
Representative David Talerico
MEMBERS ABSENT
Representative Bryce Edgmon
Representative Gary Knopp
COMMITTEE CALENDAR
HOUSE JOINT RESOLUTION NO. 19
Commending the Arctic Waterways Safety Committee; supporting the
adoption of prevention measures into international agreements to
ensure clear, universal, and enforceable marine safety measures
in the Arctic; and urging the state's delegation in the United
States Congress and the governor to promote the adoption of
spill prevention measures into international agreements; urging
the President of the United States and the United States
Department of State to initiate negotiations to enter into
international agreements to ensure safe and environmentally
responsible marine operations in the Arctic.
- HEARD & HELD
PRESENTATION(S): MARINE EXCHANGE OF ALASKA
- HEARD
PREVIOUS COMMITTEE ACTION
BILL: HJR 19
SHORT TITLE: ARCTIC MARINE SAFETY AGREEMENTS
SPONSOR(s): REPRESENTATIVE(s) WESTLAKE
04/07/17 (H) READ THE FIRST TIME - REFERRALS
04/07/17 (H) AET
04/11/17 (H) AET AT 11:30 AM BARNES 124
04/11/17 (H) Scheduled but Not Heard
04/20/17 (H) AET AT 11:30 AM BARNES 124
WITNESS REGISTER
JESSE LOGAN, Staff
Representative Dean Westlake
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Presented HJR 19 on behalf of
Representative Westlake, prime sponsor, with the use of a
PowerPoint presentation.
WILLIAM HARRINGTON
Anchorage, Alaska
POSITION STATEMENT: Testified in support of HJR 19.
ED PAGE, Executive Director
Marine Exchange of Alaska (MXAK)
Juneau, Alaska
POSITION STATEMENT: Co-presented on Marine Exchange of Alaska
with the use of a PowerPoint presentation.
PAUL FUHS, President
Board of Directors
Marine Exchange of Alaska (MXAK)
Juneau, Alaska
POSITION STATEMENT: Co-presented on Marine Exchange of Alaska
with the use of a PowerPoint presentation.
RACHAEL KALLANDER, Founder and Executive Director
Arctic Encounter Symposium (AES)
Cordova, Alaska
POSITION STATEMENT: Testified in support of HJR 19.
ACTION NARRATIVE
11:32:31 AM
CHAIR DEAN WESTLAKE called the House Special Committee On Arctic
Policy, Economic Development, and Tourism meeting to order at
11:32 a.m. Representatives Josephson, Talerico, Westlake, and
Neuman were present at the call to order. Representative Tuck
arrived as the meeting was in progress.
HJR 19-ARCTIC MARINE SAFETY AGREEMENTS
11:33:11 AM
CHAIR WESTLAKE announced that the first order of business would
be HOUSE JOINT RESOLUTION NO. 19, Commending the Arctic
Waterways Safety Committee; supporting the adoption of
prevention measures into international agreements to ensure
clear, universal, and enforceable marine safety measures in the
Arctic; and urging the state's delegation in the United States
Congress and the governor to promote the adoption of spill
prevention measures into international agreements; urging the
President of the United States and the United States Department
of State to initiate negotiations to enter into international
agreements to ensure safe and environmentally responsible marine
operations in the Arctic.
11:33:28 AM
The committee took an at-ease from 11:33 a.m. to 11:39 a.m.
11:39:12 AM
JESSE LOGAN, Staff, Representative Dean Westlake, Alaska State
Legislature, presented HJR 19 on behalf of Representative
Westlake, prime sponsor, with the use of a PowerPoint
presentation [hardcopy available in the committee packet]. He
mentioned that formerly he was a policy advisor to the Alaska
Arctic Policy Commission (AAPC). He relayed that HJR 19 deals
primarily with marine safety prevention measures as they pertain
to international traffic in the Bering Straits and bilateral
agreements with Russia.
MR. LOGAN relayed that Slide 2 cites the Alaska statute and the
federal Act defining the "Arctic." He noted the yellow box on
Slide 2 demonstrating the constriction point of the Bering
Strait. He referred to Slide 3, entitled "Bering Strait
Transits 2008-2016," which illustrates the vessel traffic in the
Bering Strait during the last few years. He credited the Marine
Exchange of Alaska (MXAK) for the graph.
MR. LOGAN mentioned that the proposed resolution outlines some
of the needs and challenges in ensuring that all vessels
transiting the Bering Strait adhere to the same safety and
prevention measures. He explained that beyond three miles from
shore and up to the end of the Exclusive Economic Zone (EEZ),
the strait is under federal jurisdiction; beyond that, it is in
international and Russian waters. He asserted that the focus of
the proposed resolution is the vessel traffic in the Bering
Strait.
MR. LOGAN stated that the proposed resolution commends the
formation of the Arctic Waterway Safety [Committee] (AWSC),
urges the governor and the state's congressional delegation to
promote the adoption of the spill prevention measures and
international agreements, and urges the President of the United
States and the U.S. Department of State (DOS) to initiate
negotiations with the state's coastal neighbors to enter into
agreements to ensure safe and environmentally responsible marine
operations in the Arctic.
MR. LOGAN relayed that without the uniform safety and prevention
measures for all vessels transiting Alaska waters, the state
becomes increasingly vulnerable to adverse effects in the event
of a mishap or a tragedy. He mentioned that later in the
committee meeting, Paul Fuhs [President of the Board of
Directors, MXAK] and Captain Ed Page [Executive Director, MXAK]
will provide background on MXAK and offer more detail on how the
proposed resolution would fit into international agreements.
MR. LOGAN continued with Slides 4 and 5 to explain state policy
and the function of AAPC, which has been in existence for just
over two years. He stated that the goal of the commission was
to develop an Arctic policy for the state and create an
implementation plan for the policy. He said that for two years
the commission convened public meetings around the state: the
first was in Juneau; then meetings were held in Anchorage,
Fairbanks, Barrow, Kotzebue, Nome, and Unalaska. He mentioned
that each meeting began with a full day of listening sessions -
gathering information from local leaders, community members, and
stakeholders - to make the process as inclusive as possible.
MR. LOGAN referred to Slide 6 and relayed that in 2015 the
commission delivered its Final Report, the Implementation Plan
[for Alaska's Arctic Policy], and the Executive Summary,
provided in the committee packet and available electronically on
the website, "akarctic.com."
MR. LOGAN turned to Slide 7, entitled "Alaska's Arctic Policy,"
to highlight portions of the policy now codified in statute. He
mentioned that the policy was a direct result of work by AAPC
and former Representative Bob Herron, who introduced House Bill
1 in the Twenty-Ninth Alaska State Legislature, 2015-2016. He
cited AS 44.99.105(a)(2)(A), which read, "strengthen and expand
cross-border relationships and international cooperation,
especially bilateral engagements with Canada and Russia."
MR. LOGAN referred to Slide 8 and cited AS 44.99.105(a)(3)(A),
shown on Slide 8, which read, "enhance disaster and emergency
prevention and response, oil spill prevention and response, and
search and rescue capabilities in the region." He cited
subparagraph B, which read, "provide safe, secure, and reliable
maritime transportation in areas of the state adjacent to the
Arctic." He relayed that one of the most significant issues
with maritime transportation in the Bering Strait is that the
U.S. has jurisdiction over only a portion of it. He asserted
that if all transiting vessels are not adhering to the same
regulations, then it is possible that Alaska would see the
adverse effects of the dangers mentioned in this statute.
MR. LOGAN referred to AS 44.99.105(b), displayed on Slide 9. He
said that the state has decided in policy to support the
strategic recommendations of the implementation plan and to
address the infrastructure and response capacity to support the
Arctic region.
11:43:59 AM
MR. LOGAN referred to Slide 10, entitled "Artic Policy
Implementation Plan FOUR LINES OF EFFORT." He relayed that in
the Implementation Plan, each of the four lines of effort are
broken into multiple recommendations identifying the problem,
the lead agency, and the plan for implementation. He stated
that it was a "tool book" advising policy makers on a starting
point, (indisc.--coughing) players, and how to move forward.
MR. LOGAN referred to Slide 11, entitled "LINE OF EFFORT #2
ADDRESS RESPONSE CAPACITY." He stated that response capacity
requires strong partnership and communication to prepare for
incidents, respond, and develop best practices.
MR. LOGAN referred to Recommendation 2A on Slide 12, which is to
ensure strengthened capacity within the Administration to
address Arctic maritime, science, climate, and security issues.
He mentioned that the lead agency was the Governor's Office. He
stated that HJR 19 specifically speaks to the governor working
with other stakeholders and the [Alaska] U.S. congressional
delegation to support bilateral agreements on marine safety
standards within the Bering Strait and elsewhere.
MR. LOGAN referred to Recommendation 2C on Slide 13, which is to
expand the development of appropriately integrated systems to
monitor and communicate Arctic maritime information. He stated
that MXAK and the Alaska Ocean Observing System (AOOS) were
identified as the lead agencies for this recommendation. He
mentioned that a presentation from MXAK is scheduled later in
the committee meeting. He noted the map on Slide 13 showing the
major Arctic shipping routes; three of the routes converge in
the Bering Strait.
MR. LOGAN referred to Recommendation 2H on Slide 14, which is to
foster and strengthen international partnerships with other
Arctic nations and to establish bilateral partnerships with
Canada and Russia to address emerging opportunities and
challenges in the Arctic. He stated that the lead agencies for
this recommendation are the Office of International Trade,
Alaska's Congressional Delegation, U.S. DOS, and the President
of the United States. He referred to the Northeast Passage,
shown on the slide, and asserted that it is vitally important
not only because it is open for increased vessel traffic, but
because it reduces vessel transit by ten days and 10,000
kilometers. It represents savings for shipping to the Far East
and is increasingly being utilized.
MR. LOGAN referred to Slide 15, a repeat of Slide 3, to
emphasize that increased vessel traffic positions Alaska
uniquely. Vessels not calling on Alaska or U.S. ports are
considered innocent passage and are not subject to U.S. safety
prevention measures - increasingly a cause for concern.
11:47:34 AM
REPRESENTATIVE TUCK mentioned that he viewed a digital video
disc (DVD) on the Northwest Passage. He said that the route
shown on the map on Slide 14 is one of the two routes that
explorers tried to find for many years. He relayed that he
learned from the DVD that 15-25 percent of the world's supply of
oil and natural gas is in that region.
11:48:20 AM
CHAIR WESTLAKE opened public testimony on HJR 19.
11:48:43 AM
WILLIAM HARRINGTON offered his congratulations on the intent and
timeliness of the proposed resolution. He offered that lines 9-
12, on page 2, of HJR 19, clearly state that Alaska's ability to
control other nations' Arctic oil and gas ventures is
nonexistent. He relayed that on April 19, 2017, British
Broadcasting Corporation (BBC) Japan broadcasted a show
featuring Russian-Japanese collaboration to deliver Arctic gas
to Japan via huge Liquefied natural gas (LNG} tankers. He said
a $200 million Japanese investment was mentioned. He claimed it
was not possible to fully gauge the entire situation from this
reputable news source. He concluded that LNG tankers will ply
the Bering Strait and the Arctic if the Russian-Japanese
consortium has its way. He added that his modeling shows this
to be 12 to 15 years in the future. He urged that Alaska not
pursue a gas pipeline to tide water.
11:50:26 AM
CHAIR WESTLAKE closed public testimony on HJR 19.
11:50:40 AM
REPRESENTATIVE NEUMAN relayed that when he worked with AAPC in
its first year, his office worked on infrastructure and wildlife
policies. He stated that regarding infrastructure, there was
much discussion on location of entry ports to the Arctic; both
Dutch Harbor and the Northwest region were considered. He asked
for an update on that issue.
11:51:34 AM
MR. LOGAN answered that the question is longstanding, especially
as it relates to a deep-water port, which does not exist north
of Dutch Harbor - 800 miles from the Arctic Circle. He said
that [the possibility of] a dual port in Nome and Port Clarence
was most recently identified by the federal government and the
Army Corps of Engineers (ACE). He mentioned that an earlier
HAET committee meeting provided an update on what Nome is doing
to bring the port to fruition. He said that Cape Blossom near
Kotzebue has also been considered. He opined that other
communities would undoubtedly wish to have a port as well.
MR. LOGAN stated that one of the final reviews of ACE concerning
the deep-water port in Nome specifically stated that without an
anchor tenant, such as oil and gas drilling in the Chukchi or
Beaufort Sea, a port there may not be economically viable. He
added that with the right kind of agreements with Russia for
vessel transiting, there may be opportunities for transiting
vessels to call on ports. He added that Adak has the capacity
to be a storage and distribution center for vessels with ice
navigation capabilities "to come down through the Northeast
Passage, drop their cargo in Adak, and move back and stay within
icy waters where other vessels can then distribute to either the
U.S. or to Asia."
REPRESENTATIVE NEUMAN asked for the locations of the U.S. Coast
Guard (USCG) ports in Alaska besides Kodiak.
MR. LOGAN responded that to the best of his knowledge Kodiak is
the main station, and USCG has temporary stations north of
Barrow and out of Kotzebue for Arctic exercises.
REPRESENTATIVE NEUMAN shared that Alaska's congressional
delegation has been working very hard to get a U.S. ice breaker,
which he hopes would be stationed in Alaska.
11:53:59 AM
CHAIR WESTLAKE announced that HJR 19 would be held over.
^PRESENTATION(S): MARINE EXCHANGE OF AK
PRESENTATION(S): Marine Exchange of AK
11:54:06 AM
CHAIR WESTLAKE announced that the next order of business would
be the presentation by Paul Fuhs and Captain Ed Page entitled,
"Marine Exchange of AK."
11:54:20 AM
ED PAGE, Executive Director, Marine Exchange of Alaska (MXAK),
co-presented on the Marine Exchange of Alaska with the use of a
PowerPoint presentation [hardcopy available in the committee
packet], entitled "Safe and Environmentally Sound Maritime
Operations in the Arctic." He explained that the Marine
Exchange of Alaska (MXAK) is a non-profit organization located
in Juneau; it was initiated 16 years ago. He stated that he and
Paul Fuhs [president of the MXAK board of directors] served in
the U.S. Coast Guard (USCG) in the 80s, and during that time,
there were many marine casualties, oil spills, vessel drownings,
and fires. He mentioned that Mr. Fuhs was a diver involved in
some of these vessel incidents; he is also the former mayor of
Dutch Harbor.
CAPTAIN PAGE relayed that he served 33 years in USCG and has
been in the marine safety program almost 50 years, both in
private industry and in USCG. He stated that during that
period, he worked on the Exxon Valdez spill response effort and
was also involved in several search and rescue cases resulting
in unfortunate outcomes including loss of life. He said he
became a strong advocate of prevention. Upon leaving USCG, he
and Mr. Fuhs discussed the "marine exchange" concept to involve
industry in the development of solutions. He maintained that
MXAK board of directors represents the marine industries that
operate in Alaska - the ports, the tanker operators, the fishing
vessel operators, the container operators, the pilot
association, and the towing industry. He added that MXAK
receives support from the State of Alaska, funding from the
cruise ship head tax, and contributions from USCG. He asserted
that the MXAK is responsible for the Automatic Identification
System (AIS) tracking system in MXAK's operation center, which
serves as the "nerve center" for USCG, and for information
exchange. He stated that MXAK's focus has shifted from the
Aleutians and Southeast Alaska to the Arctic. Even though
shipping in that area is not yet huge, it is increasing and
there is increased risk. He said that MXAK seeks to "shut that
down" and not suffer the consequences of a major oil spill.
CAPTAIN PAGE reiterated that his testimony is to provide
background, support, and context to the proposed resolution.
Since there is increased shipping in this new maritime frontier,
the admiral district commander, the headquarters commandant, the
vice commandant, and others recognize that the tools to deal
with these new challenges of maritime safety and environmental
protection will be unlike the lighthouses and buoys of the past;
new technologies are needed and the MXAK is advocating for them.
He mentioned the large cruise ship that passed through the
Northwest Passage this past summer and MXAK's role in tracking
the vessel and ensuring that if there is a mishap, it is
minimal.
CAPTAIN PAGE stated that the Arctic Waterway Safety Committee
(AWSC) was developed by the communities and is "owned" by them.
He added that he serves as the technical advisor to the
committee. He maintained that USCG personnel attend the
meetings to be aware of the local interests and concerns and to
ensure that residents have a role in decision-making for
managing shipping and its risks.
CAPTAIN PAGE relayed that maritime exchanges date back to the
1800s - sharing information with the maritime community and
USCG. In those days, spyglasses, semaphores, and chalkboards
were used; today personal digital assistants (PDAs), smart
phones, and computers are used. He mentioned that much of what
is used today was not possible ten years ago. For example, AIS
is new technology; it is akin to transponders in aircraft; and
it is required on all major vessels. Every couple of seconds,
information is broadcast via the AISs, and MXAK built the
network to receive those transmissions. He said the MXAK nerve
center in Juneau maintains 24/7 tracking of cruise ships,
container ships, USCG vessels, ferries, fishing boats, and
tankers.
12:00:20 PM
PAUL FUHS, President, Board of Directors, Marine Exchange of
Alaska (MXAK), explained that the vessels broadcast a signal
approximately every six seconds transmitting latitude and
longitude, which is accurate within three meters; therefore,
MXAK knows a vessel's location to within about ten feet and the
direction in which the vessel is pointed.
CAPTAIN PAGE stated that with support from the state, the
maritime industry, and USCG, MXAK has built, operated, and
maintained a network of 130 receiving stations throughout Alaska
and in the Arctic. The MXAK maintains a 24-hour operation
center; it is the largest vessel compliance monitoring system in
the world with a range of 1.5 million square miles. The next
largest is the Australian monitoring system for the Great
Barrier Reef, which is only 100,000 square miles.
12:01:17 PM
REPRESENTATIVE TUCK asked where the monitoring center is
located.
CAPTAIN PAGE responded that the MXAK monitoring center is on the
waterfront next to the Juneau-Douglas bridge about 100 yards
from the waterfront construction at the end of Harris Harbor.
He added that it is a new location; it is above Juneau
Electronics; and he invited the committee members to visit the
center.
MR. FUHS encouraged the committee members to visit the center.
He asserted that it is a "marvelous piece of technology," and
MXAK staff can convey a more in-depth perspective of the vessel
[motor vessel (M/V) Destination] that sank with no survivors [on
2/11/17].
12:02:08 PM
CAPTAIN PAGE declared that the system has captured the attention
of Canada and Russia. He said that he has traveled to both
Moscow and Ottawa, at their invitation and expense, because
Canada and Russia are trying to replicate MXAK's system. He
added that MXAK is sharing the concept and the technology due to
shared concerns and possible common solutions.
CAPTAIN PAGE referred to Slide 14 to point out the waterways
being managed by MXAK. He stated that MXAK monitors vessel
distance from shore, safety practices in the Arctic, and
compliance with the voluntary standards to which the marine
industry has agreed to participate to minimize risk of oil
spills. He asserted that MXAK's focus is aiding with prevention
and with response. He maintained that if there is a problem,
MXAK immediately knows what vessels are in the area to aid and
in that way, prevent a major disaster.
CAPTAIN PAGE stated that "an ounce of prevention is worth a
pound of cure" and offered that MXAK learned that the hard way
during the grounding of the M/V Selendang Ayu. He related the
events of that incident: The USCG contacted MXAK to locate the
Selendang, which was in distress. The conditions surrounding
the Selendang Ayu became extreme. The USCG and tugs were
limited in the assistance they could offer at that point. The
ship broke in half. The rescue helicopter crashed. Six ship
crew members died. There was a major oil spill and a loss of
the vessel. He opined that the tools for early notification
that MXAK currently utilizes would probably have prevented that
sequence of events. He added that due to new standards, vessels
must stay farther off shore unless they are coming into port.
He added that this is true for vessels that are subject to U.S.
regulations; the proposed resolution would encourage the
international community to participate in these standards as
well.
12:04:37 PM
REPRESENTATIVE NEUMAN asked for the size and types of vessels
that MXAK monitors.
CAPTAIN PAGE answered that USCG expanded the vessel
requirements: there are international community requirements
and requirements of various other countries. He declared that
every commercial vessel over 65 feet is required to have the AIS
technology, including fishing vessels. He added that, as it
turns out, fishing vessels of any size are choosing to use the
equipment: it is relatively inexpensive; and through use of
this equipment, crew can determine the name, size, and
destination of another vessel approaching them at night and
communicate with the other vessel's crew. He added that even
recreational boats are acquiring the AIS technology because it
is one of the greatest technological advances in maritime safety
in the last 30 years.
12:05:54 PM
MR. FUHS relayed that the technology includes an emergency
button notifying MXAK staff that a vessel is sinking or has
other problems. He stated that "we used to say search and
rescue," but maintained that now there is no search, it is just
rescue. He reiterated that MXAK can locate a vessel within 10
feet and a nearby vessel can be summoned for assistance. He
mentioned the sinking of the Alaska Juris, in which 26 crew
members were saved by a thousand-foot container ship diverted
from its sailing route on the great circle.
REPRESENTATIVE NEUMAN asked for the average cost to outfit a
boat with AIS technology.
CAPTAIN PAGE responded that large commercial vessels are
required to have the more sophisticated Class A AIS, which costs
about $2,500. Smaller vessels can use a Class B AIS, which
costs about $500.
REPRESENTATIVE NEUMAN asked if there is a yearly fee associated
with the AIS.
CAPTAIN PAGE answered no.
12:07:25 PM
CAPTAIN PAGE referred to Slide 20, entitled "U.S. Jurisdiction
Innocent Passage Vessels." He stated that USCG has jurisdiction
out to 200 miles for vessels engaged in U.S. trade. The vessels
shown on the map are most likely traveling from Vancouver,
British Columbia (BC), or Prince Rupert, BC, to China. They
have no trade with the U.S., but since they pass through U.S.
waters, they present risks. He said that the challenge is to
bring the innocent passage vessels "into the fold" as far as
complying with the risk mitigating measures. He asserted that
these vessels are not required to stay off shore, which is one
of the safety measures. If a vessel breaks down off shore, crew
have time to act - fix the problem, find a tug, or have a
helicopter deliver parts. If a vessel is one mile off shore,
there is no time to fix the problem. This is a standard to
which vessel operators agree. He mentioned that many of the
innocent passage vessels comply with the standard at MXAK's
urging because it is a good "standard of care." He relayed an
example of a captain with a German shipping company who demanded
to know why MXAK requires his vessels to do an innocent passage.
Captain Page replied, "I'm not requiring, but tell me, do you
think it's a good idea to stay offshore; to notify us if there
is a casualty; and have your AIS on?" The shipping company
captain responded, "Of course ... I make all my vessels do it."
Captain Page offered that it is an "easy sell"; the shipping
company captain just does not like anyone suggesting to him how
to operate his vessels.
MR. FUHS commented that insurance carriers are invested in this
practice, since they pay the costs associated with damages to
environment and cargo.
CAPTAIN PAGE added that the value of cargo on some container
ships is as much as $1 billion; some container ships are 950
feet long and carry 10,000 containers. He referred to Slide 21,
entitled "North Slope Maritime Activity 2016," and Slide 22,
entitled "Kaktovik Region Maritime Traffic Summer 2016," to
illustrate historical track lines to identify the risk and
higher risk events. He added that most of the vessels
represented in the illustrations are research vessels and tug
boats, so do not present much risk. He said that MXAK pays
close attention to oil tankers and the larger cargo vessels. He
referred to Slide 23, entitled "Bering Strait 2016," which is
colored coded to show the types of ships. He added the
information is used by USCG to determine port access routes to
manage the risk. He referred to Slide 24, entitled "Bering
Strait Transits 2008-2016," which illustrates the growth of
traffic through the Bering Strait region. He referred to Slides
25 and 26 to report that MXAK is also working closely with USCG
using the "Arctic Next Generation Navigational Safety
Information System" to develop transmitters that can transmit
information about whales, whalers, and other information to
manage risk and response incidents. He gave the example of a
buoy in Cook Inlet, which would not stay in place due to ice
movement, being replaced by a virtual buoy that was transmitted
through technology.
12:11:37 PM
MR. FUHS added that the virtual buoy is displayed to the bridge
of the ship and appears to crew just like a buoy - right side
green, left side red. Crew know their location in the channel.
He added that the channel going into the Port of Anchorage is
only 1,000 feet wide through the (indisc.--coughing) shoal, and
it must be transited precisely and at high tide; therefore, the
virtual buoys are of great importance.
CAPTAIN PAGE stated that the International Maritime Organization
(IMO) Polar Code went into effect in January of this year:
implementing a series of measures to manage risk in the Arctic;
and recognizing that an oil spill in the Arctic is very
damaging, difficult to recover, and the best option is
prevention. He referred to Slides 29-31 to highlight excerpts
from the Polar Code: a premium placed on ship monitoring and
tracking; future protection of Arctic people, Arctic coastal
communities, and traditional lifestyles; and the protection of
the unique environment and eco-systems of the polar region. He
added that these excerpts demonstrate the state's engagement and
interest in protecting the Arctic through implementation of
these measures.
CAPTAIN PAGE referred to Slides 32-34 to relay an example of how
a ship that is not complying with risk mitigating measures is
notified: the 24-hour MXAK operation center contacts the
vessel; it notifies crew that it is not complying with
standards; and it asks what the vessel's intentions are, but
does not direct the ship. He relayed that in response to the
notification, the vessel changes course and replies, "Message
well received and noted. We have deviated to comply with
standards."
MR. FUHS added that in that instance, the vessel was attempting
to transit through the wrong pass, and the pass did not have the
water depth necessary to accommodate the vessel. The MXAK staff
caught the error and redirected the ship.
CAPTAIN PAGE said that MXAK staff ensure ships go through
charted waters that are well surveyed and of sufficient depth.
12:13:46 PM
REPRESENTATIVE TUCK asked on what occasions marine pilots are
used.
MR. FUHS responded that a marine pilot is only required if a
ship calls on a state port; no marine pilot is required if the
ship is just passing through.
REPRESENTATIVE TUCK referred to Slide 28 [showing the IMO Polar
Code area] and asked why the IMO jurisdiction is not a uniform
circle.
CAPTAIN PAGE replied it is because of the Gulf Stream; the Gulf
Stream influences the temperature of the waters making them
milder in the region of Norway. He said the IMO does not want
the measures to apply to waters that are not ice covered or "act
like Arctic waters." He confirmed for Representative Tuck that
the partial circle on the map is not the Arctic Circle.
12:15:32 PM
CAPTAIN PAGE declared that there are similar needs throughout
the Arctic region, and the Polar Code area is not strictly the
Arctic Circle, but Arctic waters.
CAPTAIN PAGE mentioned that MXAK has been working closely with
AWSC to identify ways to minimize potential for local (indisc.)
being impacted by larger ships. He reported that through the
Arctic maritime "Safety Net" project, MXAK can track the smaller
vessels and make crew aware of other vessels. There is an
application ("app") on their iPhones through which they can view
Arctic maritime activity and ships in their region. He
maintained that the crew of small vessels can become aware of a
ship passing by that may be breaking ice and changing the
environment, creating substantially more risk.
12:16:54 PM
MR. FUHS referred to Slide 38, entitled "Cost Prohibitive
Federal Oil Spill Response Equipment Requirements." He relayed
that national oil spill pollution response standards require
that oil spill response be within a certain amount of time and
with a certain amount of equipment. He said that if Alaska had
to meet those requirements, many depots would need to be
established around the state - as shown on the slide - at a cost
of hundreds and hundreds of millions of dollars to be borne by
the entire industry. The USCG, recognizing that the maritime
industry could not meet those standards, allowed the industry to
propose prevention measures instead. In response, MXAK
developed safety measures. He offered that Mr. Harrington was
partly correct in testifying that Alaska does not have absolute
jurisdiction [over Arctic waters], but maintained that proposing
the prevention measures as an alternative was acceptable to the
vessel operators. He stated that the measures do not apply to
35 percent of the vessels, which are Canadian, or to Russian
vessels. He asserted that MXAK is working on international
agreements with Canada and Russia, because these two countries
have some of the same concerns; U.S. vessels transit very close
to the coast of BC. He mentioned that Russia appears to be open
to an agreement and to demonstrating that the two countries can
work together on an issue that cannot be criticized.
MR. FUHS relayed that the Arctic Economic Council (AEC) is
comprised of the Arctic Native corporations and the Arctic
shipping companies. The shipping companies support standard
requirements and prevention measures; the insurance companies
support [the requirements and measures] as good business
practices. American shippers support the measures as a way of
"leveling the playing field"; if they must meet the
requirements, all vessels should have to meet the requirements
and benefit from greater safety.
MR. FUHS referred to Slide 40, entitled "Arctic Circulation
Patterns," and offered that an incident in the Bering Strait
would affect the entire coast. He stated that the proposed
resolution references the "Law of the Sea Treaty"; the U.S.
[Congress] has not adopted the treaty; and the Alaska
congressional delegation has indicated that the possibility of
that happening is even more remote today. The countries that
have adopted the treaty have the authority to issue regulations
for ice-laden waters including those of Canada and Russia. He
stated that MXAK has offered to apply its technology to these
waters, because it can view the entire Bering Strait.
12:20:24 PM
MR. FUHS referred to Slide 41, entitled "Bering Strait Seaway,"
and relayed that MXAK has proposed to Russia a seaway modeled
after the St. Lawrence Seaway, which flows through the Great
Lakes region and is shared with Canada. He mentioned that
establishing the Bering Strait Seaway would entail agreeing on
the location of shipping lanes, monitoring of the seaway, and
implementing prevention measures. He said that in the last
conference he attended, Russian President Vladimir Putin
specifically stated that Russia supports collaboration on the
Bering Strait, which will facilitate negotiating the Russian
bureaucracy. Mr. Fuhs mentioned he will be meeting with the
Russian Ministry of Transport. He maintained that the
technology that MXAK has already developed will facilitate this
collaboration. He stated that the MXAK budget is about $4
million per year: a little over half is from the private
sector; $1.7 million is from USCG, which shares the data; and
$600,000 is from State of Alaska cruise ship head tax funds.
MR. FUHS, in response to Representative Neuman's question
regarding deep water ports, stated that it may be possible to
create a 28-foot port in Kotzebue. He asserted that the
question involves the definition of "deep water draft." He said
the U.S. Navy wants the depth to be 35-40 feet. He relayed that
when U.S. Senator Lisa Murkowski [of Alaska] met with the U.S.
Secretary of the Navy [Richard Spencer], the secretary stated
that the U.S. wished to protect its sovereignty militarily in
the Arctic. She asked, "What resources, what money are you
bringing to the table?" Secretary Spencer replied, "Oh, we
didn't mean that .... Let us assure you [we] have very strong
feelings about our sovereignty in the Arctic." Consequently,
MXAK concluded it needed a major industrial partner to drive the
economics of the effort. He added that in the meantime, all
materials for port development are coming up to the Arctic by
barge, which is very effective but very expensive. Beach access
is often the only access.
MR. FUHS stated that the proposed resolution would be very
important. He relayed that in discussions with the Secretary-
General of IMO [Kitack Lim of the Republic of Korea] at the
Arctic meetings in Juneau, Mr. Lim was very impressed with MXAK
operations. Mr. Lim offered that the IMO pays greatest
attention to official government bodies; therefore, the
resolution would be important, as would the forthcoming letter
from the governor. He offered that the proposed resolution
would be used effectively in fostering support from groups such
as the Pacific NorthWest Economic Region (PNWER). He maintained
that the intent of the proposed resolution is not to put
additional requirements on business; industry organized the
effort; and vessel operators appreciate the monitoring and the
prevention measures. He added that MXAK has never received any
complaints.
12:24:17 PM
CHAIR WESTLAKE stated that he supports the idea of congruity
with the Russian Arctic region. He expressed his appreciation
for the companies that hired ships to ply the coast and do
wildlife studies. He mentioned MXAK's vessel tracking with an
accuracy of within ten [feet] as it relates to first-line
response to an oil spill coming from the other side of the
border. He added that the flow charts for the Bering Strait are
a big problem. He offered the support of the committee for
MXAK's efforts.
CAPTAIN PAGE responded that MXAK appreciates the legislative
support in the last couple years. He offered that MXAK would
not have existed if the state had not allowed the use of Exon
Valdez settlement money to "jumpstart" the effort. He added
that the industry and the state provided the initial impetus,
and USCG said, "We want in."
CAPTAIN PAGE, in response to Representative Neuman's comment
regarding an ice breaker, said that all indications suggest that
securing an ice breaker will come to fruition, but doing so will
require a very long process; it would be a billion-dollar
project; and it would not happen sooner than ten years. He said
that there seems to be a fair amount of support for having an
icebreaker and for having sovereignty, control, and influence in
the Arctic. He said that with respect to Arctic ports, the USCG
has no ports in the Arctic and the closest port is in Kodiak.
He mentioned that temporary air stations can be deployed in
Barrow and Kotzebue, but USCG ships currently must come from
Kodiak or Hawaii.
HJR 19-ARCTIC MARINE SAFETY AGREEMENTS
12:26:48 PM
CHAIR WESTLAKE announced that the final order of business would
be the return to HOUSE JOINT RESOLUTION NO. 19, Commending the
Arctic Waterways Safety Committee; supporting the adoption of
prevention measures into international agreements to ensure
clear, universal, and enforceable marine safety measures in the
Arctic; and urging the state's delegation in the United States
Congress and the governor to promote the adoption of spill
prevention measures into international agreements; urging the
President of the United States and the United States Department
of State to initiate negotiations to enter into international
agreements to ensure safe and environmentally responsible marine
operations in the Arctic.
12:26:52 PM
CHAIR WESTLAKE reopened public testimony on HJR 19.
12:27:05 PM
RACHAEL KALLANDER, Founder and Executive Director, Arctic
Encounter Symposium (AES), testified that AES is the largest
annual Arctic policy and economics symposium in the U.S. She
mentioned that AES just hosted the Fourth Annual Arctic
Encounter in Seattle on April 13 and 14; AES also hosted a group
of young Alaskans as part of its team. She relayed that AES
hosted Arctic Encounter in Paris last year during the United
Nations (UN) Convention on Climate Change, also referred to as
COP 21. She shared that there were stimulating discussions at
last week's symposium and expressed her belief that the proposed
resolution is timely. She mentioned that many Alaskans
participated in the conference. The conference speakers
included Alaska Senator Lisa Murkowski, Alaska U.S.
Representative Don Young, Ambassador [Geir H. Haarde] from
Iceland, Ambassador [Kre R. Aas] from Norway, and the former
Prime Minister of Greenland [Aleqa Hammond]. She said that all
were enthusiastic and optimistic to work with the State of
Alaska, the legislature, and Alaska's congressional delegation,
to "push forward" on many issues impacting the Arctic and the
people who live in the Arctic. She offered her support for HJR
19 and the efforts to raise awareness.
MS. KALLANDER stated that she wished to share the AES mission,
which is to gather together all the stakeholders to engage
challenges and debate solutions for responsible development,
sustainable environments, and healthy communities. She said
that she learned at last week's symposium that the stakeholders
have an opportunity and a responsibility to raise awareness
together. She said that she feels compelled to point out that
"we're in a time and place in history in which we really have to
innovate and advocate for the best future possible results."
She offered that there are many young Alaskans around the state
who are engaged in these issues. She emphasized the importance
of the committee's role in involving Alaskans in these issues
that will impact the future of the state. She offered the
assistance and support of AES for the committee's efforts.
12:30:30 PM
CHAIR WESTLAKE, after ascertaining that no one else wished to
testify, reclosed public testimony on HJR 19.
[HJR 19 was held over.]
12:30:49 PM
ADJOURNMENT
There being no further business before the committee, the House
State Affairs Standing Committee meeting was adjourned at 12:31
p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| Marine Exchange Presentation.pdf |
HAET 4/20/2017 11:30:00 AM |
Marine Exchange of Alaska - Paul Fuhs & Captain Ed Page Presentation |
| HJR19 ver A.PDF |
HAET 4/20/2017 11:30:00 AM |
HJR 19 |
| HJR 19 Presentation.pdf |
HAET 4/20/2017 11:30:00 AM |
HJR 19 |