Sadly again the taxpayers of the region and this country are being presented a dream that flies in the face of common sense of the knowledged. The Canadian market for retail goods is rapidly becoming a nusense market for the Chinese and other Asian Countries. This thought that being closer to Europe then Halifax by Sydney is not valid considering the Chinese are the financers of the 5 billion dollar Third locks system at the Panama Canal. From the Sea of Japan to the Panama Canal it is a straight 9000 mile full speed journey. Transitting the canal is typically about 12 hours, I know from personal experience . IN 2014 the new locks open with a capacity to have any ship transit Post Panamamax will not even become a new Panamamax as a new panamamax will indeed be larger then the largest post panamamax vessels. All US ports are preparing for this and a Shanghei to Houston journey is about 3 days less then the route through the Suez Canal to Halifax. The Suez canal route requires the navigation of seaway speed bumbs including the The Straits of Gilbraltor , Red Sea , The Suez Canal , The Straits of Malaca, and the Solamia coast. Piracy being a threat on that route which probably increases insurance for shippers. Shippers from Asia will defer to getting their products through a conflict free Caribbean Sea , Pacific Ocean and Panama Canal faster then going to Nova Scotia to then place containers on a train or truck with a day and half to get to a population centre with one million people. Texas and Florida combined have more people then Canada. Houston , Galviston, Mobile, Tampa, Miami , Port Everglades , Jacksonville , Savannah , Norfolk , New Jersey , New York and Boston all could handle this traffic with more capacity much closer to the market that counts for the Asians being the 14 trillion dollar economy named America. Vancouver and the West coast will service a Canada’s main growing market Western Canada. This indeed is a bonndoggle that Cape Breton is sold not unlike the oil refinery in Port Hastings and the Heavy water plants in Glace Bay and Port Hawkesbury. The next wave of shipping of goods for Chinese companies will not even transit the Suez or Panama Canals or the Pacific Ocean. Chinese companies are having difficulties with maintaining cheap labor and are looking to West Africa with all the raw material needed to produce there goods with plentiful cheap labor in Africa. About a 4000 mile straight line journey from a place like Sierra Leone to the Eastern Sea Board of the US. Europe is not going so sustain Halifax for container traffic as the fortunes of their manufacturing giants like BMW and others are connected to making product in the Southern US where you don’t have racial labour unions. People in Atlantic Canada do not realize the scale when we are talking of southern US ports . Savannah for example has enough running feet of docks to include the Fairview container terminal and every running front to the tip of Point Pleasant Park . This is one Ice Southern US port among many . Ikea ships all their North America product from Sweden to this port . The Return trip they load southern pine for the trips back to sweden.
Reading the log of comments and thinking of few points…
1. Sydney is more or less ice free now. I’ve been living here for 15 years and i’ve never seen ice past South Bar of any substance. Plus the Marine Atlantic ferries break up what there is in the outer harbour every day.
2. I thought that post-panamax vessels were too high to pass under both MacDonald and MacKay bridges? If that’s true then Hfx has to either raise the bridges or it can’t receive the ships. Development of the south end terminal is probably a non-starter.
3. It is a bandwagaon strategy locally, the politicians are doing their usual dance around the truth and the local business elite who have pulled millions out of ECBC and its predecessors are expecting you and me to subsidize their “business case”.
4. As Jeff stated a few posts back, there may well be a business case for a post-panamax transhipment entrepot somewhere in NS ( container and bulk) but the its likely a one location deal, and the rail line situation needs to be addressed to make it happen.
Bill, I too, was puzzled by the news reports. It made little sense to me, given the poor performance of Halifax over the last decade, that anyone would invest in the Sydney project. And let’s face it CN has never been all that keen on providing a decent level of service for Halifax. Any improvements have required a major push at many levels and taken far too long. Thanks for your good sense on many fronts.
Well done, Bill. The background and analysis behind the “headlines” exposes the recent announcements and flurry of activity as ill-considered and opportunistic. I believe that Brian Flynn’s comment on AllNovaScotia.com sums it up: the people of Cape Breton deserve something better than yet another boondoggle.
Has anyone seen the “Monorail” episode of the Simpsons? If I had to choose I would go for the monorail.This port is about 50 years too late.$200 oil means globalism is dead.
I couldn’t agree with you more. The reality is that Sydney has many disadvantages in being considered a viable container port. It is not ice-free and it takes longer to send goods to major economic centers like Montreal.
It is suspicious that there are six private interests promoting government-funding for the dredging project, when they themselves aren’t putting their money where their mouth is. NSP is only contributing $1million to the project even though they had retained earnings of $200 million in 2009. The other five, including Laurentian Energy, aren’t putting up a dime to support the dredging.
If the private sector isn’t willing to put their money where their mouth is, I don’t see why taxpayers should have to.
Right on! This message has to get through to politicians of all parties. With the development of the Donkin mine, plus other mineral activities taking place in Cape Breton, a need for improved port facilities will be a priority for the economic development of eastern N.S. The matter of our antiquated rail lines is another sad story
I agree with your concerns with this. Too often our politicians are unprepared to take a politically unpopular decision (Yarmouth Ferry decision excepted); particularly when it involves Cape Breton. You also are well aware of the proposed Melford Terminals proposal; one that would provide additional container capacity and involving either no or significantly less government support.
I think there could be a business case for a new terminal in Nova Scotia that could exploit the Provinces close proximity to suppliers in Europe, the Middle East and Northern Africa.
The new terminal in Nova Scotia would be designed to handle containers, bulk materials and liquids. The new terminal would be designed to break larger cargos down into smaller packages and would deliver these goods by vessel.
The Nova Scotia vessels would deliver cargos primarily to Ports along the U.S. Eastern Seaboard that are currently served by more than one carrier (i.e. CSX, Norfolk Southern, BNSF etc.) to drive the most competitive price to deliver goods to end markets.
These vessels would be designed to again exploit Nova Scotia’s close proximity by sea, to markets in Boston, New York, New Jersey, Philadelphia, Baltimore, the Carolinas and Georgia and would compete with the rail rates that CN charges for moving cargo to these same markets through Montreal, Toronto and Chicago.
Ideally the fleet of vessels could be retrofitted in Nova Scotia (assuming it is cheaper to retrofit existing Carriers than build/buy new ones) which is something that could benefit many communities in the Province.
Finally, I think it makes the most sense a new terminal outside of Metro Halifax as there are currently two terminals that are served by the same rail carrier, and both are operating at less than 50% capacity.
It makes sense to rationalize these terminals to one location which would have a positive impact on traffic flows in the City and could lead to redevelopment opportunities at one of the existing sites.
Your article is very timely and raises many questions that many are wondering about. It seems that there is a “bandwagon” strategy here . The proponents want everyone to jump on, and the politicians are starting to jump on it seems without revealing any details that shows this is a viable project. The first problem this reveals is that the Province has not conducted any independent analysis of the container business in NS, let alone what is proposed for Sydney. We all know Halifax has lost traffic and one reason is rail. Halifax is a Federal Crown Corporation managed port; so they have certain advantages; rail is a problem for Halifax as CN said last fall they are not investing until traffic starts to return to normal levels. All this talk of jobs for Cape Breton has never been explained either. We know that in Halifax there are far fewer jobs than there used to be . Where are the containers going to come from and where are they going ? What businesses on Cape Breton currently ship container loads of anything ? The proponents are sticking to generalities and you see no signs of any shipping companies saying they are committed. Some locals in Sydney say the sand bar at the harbour entrance will never leave , it may be gone for a few years , but it will be back . So, how long between the first dredging and the second one , and who will pay for that. The federal Liberal MP’s are playing politics , and even now Dexter is doing the same , and he goes and commits $15 million on a project that will give no immediate return while many existing industries in NS would give an immediate return, e.g the ferry to Yarmouth.
We need ‘numbers’ and transparency from Dexter, not fuzzy speeches based on what the proponet says. Dexter, do your homework first . The last few times the Feds invested in Cape Breton with the Cape Breton Growth Fund, what happened? That $100 million was never accounted for and we know from recent media reports that there were several projects that just did not happen, but no one is really telling us where the money went. So,whoever Dexter has in charge of this had better do their home work and put the cards on the table to justify their $15 million and show us the money will be an investment in a solid business.
At this time in our economic growth and position one mistake and it could be devastating for our economy. We still want a quick fix. Just think how many jobs this could result in if we supported small corporation to grow and start.
Sadly again the taxpayers of the region and this country are being presented a dream that flies in the face of common sense of the knowledged. The Canadian market for retail goods is rapidly becoming a nusense market for the Chinese and other Asian Countries. This thought that being closer to Europe then Halifax by Sydney is not valid considering the Chinese are the financers of the 5 billion dollar Third locks system at the Panama Canal. From the Sea of Japan to the Panama Canal it is a straight 9000 mile full speed journey. Transitting the canal is typically about 12 hours, I know from personal experience . IN 2014 the new locks open with a capacity to have any ship transit Post Panamamax will not even become a new Panamamax as a new panamamax will indeed be larger then the largest post panamamax vessels. All US ports are preparing for this and a Shanghei to Houston journey is about 3 days less then the route through the Suez Canal to Halifax. The Suez canal route requires the navigation of seaway speed bumbs including the The Straits of Gilbraltor , Red Sea , The Suez Canal , The Straits of Malaca, and the Solamia coast. Piracy being a threat on that route which probably increases insurance for shippers. Shippers from Asia will defer to getting their products through a conflict free Caribbean Sea , Pacific Ocean and Panama Canal faster then going to Nova Scotia to then place containers on a train or truck with a day and half to get to a population centre with one million people. Texas and Florida combined have more people then Canada. Houston , Galviston, Mobile, Tampa, Miami , Port Everglades , Jacksonville , Savannah , Norfolk , New Jersey , New York and Boston all could handle this traffic with more capacity much closer to the market that counts for the Asians being the 14 trillion dollar economy named America. Vancouver and the West coast will service a Canada’s main growing market Western Canada. This indeed is a bonndoggle that Cape Breton is sold not unlike the oil refinery in Port Hastings and the Heavy water plants in Glace Bay and Port Hawkesbury. The next wave of shipping of goods for Chinese companies will not even transit the Suez or Panama Canals or the Pacific Ocean. Chinese companies are having difficulties with maintaining cheap labor and are looking to West Africa with all the raw material needed to produce there goods with plentiful cheap labor in Africa. About a 4000 mile straight line journey from a place like Sierra Leone to the Eastern Sea Board of the US. Europe is not going so sustain Halifax for container traffic as the fortunes of their manufacturing giants like BMW and others are connected to making product in the Southern US where you don’t have racial labour unions. People in Atlantic Canada do not realize the scale when we are talking of southern US ports . Savannah for example has enough running feet of docks to include the Fairview container terminal and every running front to the tip of Point Pleasant Park . This is one Ice Southern US port among many . Ikea ships all their North America product from Sweden to this port . The Return trip they load southern pine for the trips back to sweden.
paul taylor | March 7, 2012 |
Reading the log of comments and thinking of few points…
1. Sydney is more or less ice free now. I’ve been living here for 15 years and i’ve never seen ice past South Bar of any substance. Plus the Marine Atlantic ferries break up what there is in the outer harbour every day.
2. I thought that post-panamax vessels were too high to pass under both MacDonald and MacKay bridges? If that’s true then Hfx has to either raise the bridges or it can’t receive the ships. Development of the south end terminal is probably a non-starter.
3. It is a bandwagaon strategy locally, the politicians are doing their usual dance around the truth and the local business elite who have pulled millions out of ECBC and its predecessors are expecting you and me to subsidize their “business case”.
4. As Jeff stated a few posts back, there may well be a business case for a post-panamax transhipment entrepot somewhere in NS ( container and bulk) but the its likely a one location deal, and the rail line situation needs to be addressed to make it happen.
Dan | July 20, 2010 |
Bill, I too, was puzzled by the news reports. It made little sense to me, given the poor performance of Halifax over the last decade, that anyone would invest in the Sydney project. And let’s face it CN has never been all that keen on providing a decent level of service for Halifax. Any improvements have required a major push at many levels and taken far too long. Thanks for your good sense on many fronts.
Mike Patrick | June 21, 2010 |
Well done, Bill. The background and analysis behind the “headlines” exposes the recent announcements and flurry of activity as ill-considered and opportunistic. I believe that Brian Flynn’s comment on AllNovaScotia.com sums it up: the people of Cape Breton deserve something better than yet another boondoggle.
Name Withheld | June 21, 2010 |
Has anyone seen the “Monorail” episode of the Simpsons? If I had to choose I would go for the monorail.This port is about 50 years too late.$200 oil means globalism is dead.
glen | June 20, 2010 |
I couldn’t agree with you more. The reality is that Sydney has many disadvantages in being considered a viable container port. It is not ice-free and it takes longer to send goods to major economic centers like Montreal.
It is suspicious that there are six private interests promoting government-funding for the dredging project, when they themselves aren’t putting their money where their mouth is. NSP is only contributing $1million to the project even though they had retained earnings of $200 million in 2009. The other five, including Laurentian Energy, aren’t putting up a dime to support the dredging.
If the private sector isn’t willing to put their money where their mouth is, I don’t see why taxpayers should have to.
Mike Kennedy | June 19, 2010 |
Right on! This message has to get through to politicians of all parties. With the development of the Donkin mine, plus other mineral activities taking place in Cape Breton, a need for improved port facilities will be a priority for the economic development of eastern N.S. The matter of our antiquated rail lines is another sad story
Joel Matheson | June 15, 2010 |
I agree with your concerns with this. Too often our politicians are unprepared to take a politically unpopular decision (Yarmouth Ferry decision excepted); particularly when it involves Cape Breton. You also are well aware of the proposed Melford Terminals proposal; one that would provide additional container capacity and involving either no or significantly less government support.
Anonymous | June 15, 2010 |
Well put. Any reaction yet from politicians?
Mark Parent | June 15, 2010 |
Thanks Mark. Not yet but I sense from media interest that this will take some steam during the week.
Bill
Bill | June 15, 2010 |
I think there could be a business case for a new terminal in Nova Scotia that could exploit the Provinces close proximity to suppliers in Europe, the Middle East and Northern Africa.
The new terminal in Nova Scotia would be designed to handle containers, bulk materials and liquids. The new terminal would be designed to break larger cargos down into smaller packages and would deliver these goods by vessel.
The Nova Scotia vessels would deliver cargos primarily to Ports along the U.S. Eastern Seaboard that are currently served by more than one carrier (i.e. CSX, Norfolk Southern, BNSF etc.) to drive the most competitive price to deliver goods to end markets.
These vessels would be designed to again exploit Nova Scotia’s close proximity by sea, to markets in Boston, New York, New Jersey, Philadelphia, Baltimore, the Carolinas and Georgia and would compete with the rail rates that CN charges for moving cargo to these same markets through Montreal, Toronto and Chicago.
Ideally the fleet of vessels could be retrofitted in Nova Scotia (assuming it is cheaper to retrofit existing Carriers than build/buy new ones) which is something that could benefit many communities in the Province.
Finally, I think it makes the most sense a new terminal outside of Metro Halifax as there are currently two terminals that are served by the same rail carrier, and both are operating at less than 50% capacity.
It makes sense to rationalize these terminals to one location which would have a positive impact on traffic flows in the City and could lead to redevelopment opportunities at one of the existing sites.
That’s just my two cents …
Jeff | June 14, 2010 |
Your article is very timely and raises many questions that many are wondering about. It seems that there is a “bandwagon” strategy here . The proponents want everyone to jump on, and the politicians are starting to jump on it seems without revealing any details that shows this is a viable project. The first problem this reveals is that the Province has not conducted any independent analysis of the container business in NS, let alone what is proposed for Sydney. We all know Halifax has lost traffic and one reason is rail. Halifax is a Federal Crown Corporation managed port; so they have certain advantages; rail is a problem for Halifax as CN said last fall they are not investing until traffic starts to return to normal levels. All this talk of jobs for Cape Breton has never been explained either. We know that in Halifax there are far fewer jobs than there used to be . Where are the containers going to come from and where are they going ? What businesses on Cape Breton currently ship container loads of anything ? The proponents are sticking to generalities and you see no signs of any shipping companies saying they are committed. Some locals in Sydney say the sand bar at the harbour entrance will never leave , it may be gone for a few years , but it will be back . So, how long between the first dredging and the second one , and who will pay for that. The federal Liberal MP’s are playing politics , and even now Dexter is doing the same , and he goes and commits $15 million on a project that will give no immediate return while many existing industries in NS would give an immediate return, e.g the ferry to Yarmouth.
We need ‘numbers’ and transparency from Dexter, not fuzzy speeches based on what the proponet says. Dexter, do your homework first . The last few times the Feds invested in Cape Breton with the Cape Breton Growth Fund, what happened? That $100 million was never accounted for and we know from recent media reports that there were several projects that just did not happen, but no one is really telling us where the money went. So,whoever Dexter has in charge of this had better do their home work and put the cards on the table to justify their $15 million and show us the money will be an investment in a solid business.
PS | June 14, 2010 |
At this time in our economic growth and position one mistake and it could be devastating for our economy. We still want a quick fix. Just think how many jobs this could result in if we supported small corporation to grow and start.
Brian Knight | June 14, 2010 |