Sri Lanka is perhaps the foremost country in the
world to react to anything from politics to economics, rather
than act to prevent a crisis or exploit the opportunities.
Terrorism, climate change and energy crisis are the three major
problems faced by the world community, rich or poor, developed
or developing countries.
As enough and more are being written and
discussed on the first two problems, let us turn the search
lights on energy crisis which is affecting every citizen in Sri
Lanka. Scientists supported by Government and the business
sector in countries across the globe from Brazil to Australia
and including oil producing countries such as Iran are seeking
to develop alternative sources of energy. Bio fuel is being
increasingly used in Brazil even to drive motor vehicles.
Recently a mixture of bio-fuel and jet fuel was used to fly
successfully a jet plane as an experiment. Nuclear energy and
wind power are other alternative sources of energy that are
being used.
Coming down to earth and most relevant to Sri
Lanka is an experimental voyage of the new cargo ship MS. Beluga
Skysails from Germany to Venezuela assisted by sails. Time
magazine and our own media highlighted the event with
photographs of the ship sailing with computer controlled sails
which were called a kite. Did our policy mandarins or the
shipping community take notice of this and its potential use in
Sri Lanka to save energy and valuable foreign exchange besides
protecting the environment? I wonder. The recent experiment
using MS. Beluga Skysails is nothing new. After all, for over a
century sailing ships were used by globe trotters like Magellan,
Captain Cook, Columbus and Vasco de Gama. Such ships were also
used by the colonial powers to capture and rule empires on which
the sun never set. Incidentally our famous lawyer Colvin R. De
Silva quipped that the sun never set on the British Empire
because the sun never trusted the British!
In more recent times, when the first major oil
crisis occurred with a sudden sharp increase in prices
consequent to the creation of OPEC Cartel, several major
shipping lines experimented the use of sails in addition to the
use of ships’ engines. That crisis caused a major recession in
shipping and several thousands of cargo ships and tankers had to
be laid up in harbours including Trincomalee. Incidentally we
made use of the opportunity to earn additional foreign exchange
from those ship owners.
However, once the world community learnt to live
with the OPEC dictated oil prices the need to cut down the use
of oil was forgotten. Fortunately, the current drive to search
for alternative sources of energy is motivated and powered by
the fear of climate change, need to protect the environment and
finite resources of hydrocarbon staring in the face of the world
community.
In our own little space on the planet, the focus
is on the right royal battle being waged between power and
energy policy mandarins and consumers. Use of alternative
sources is not even in the back burner. For several decades
alleged oil resources in our territorial waters gave hope to the
people, but nothing more. We may or not find oil in volumes to
justify heavy investment or commercial exploitation. There is no
doubt however about the availability of natural wind power for
ships to sail in our coastal trade.
For over a century sailing cargo ships were used
profitably in the South Asian regional trade. Calicut tiles were
among the products carried from Calcutta to Colombo. As was
highlighted in an earlier article "shipping services for
economic development of the north (Island 14/01/08) prudence
demand early steps to be taken to organize an economically
viable coastal shipping services connecting the ports of
Colombo, Galle, Trincomalee and KKS. While trains and trucks
cannot be powered with sails, coastal ships can use the wind
power at no cost to our economy, besides contributing to a clean
environment.
Many may not be aware that sailing ships or
country crafts are transporting today cargo between India, Sri
Lanka and Maldives. They are equipped with engines to be used if
necessary in rough weather. These coastal ships with capacities
ranging from 300-500 tons transport a wide range of products
from cement, sugar and manufactured products such as
pharmaceuticals. They are increasingly competitive with other
ships. While other cargo ships keep on adding bunker surcharges
to meet the rising cost of bunkers, country crafts maintain rate
stability.
I wonder whether our policy mandarins are aware
that current freight rate on cargo to KKS from Colombo is USD
78/- per freight ton, while the freight rate on cargo from
Tuticorin to Colombo carried by country crafts is only USD 13/-
for weight cargo like rice, sugar and USD 26/- for volume cargo
like onions and chilies. Mind you, at the request of the
Presidential Advisors SLPA provides free stevedoring services to
ships carrying cargo to the North, in order to keep down the
prices for the consumers.
These figures highlight not only the possible
savings on freight cost to KKS, but also on bunkers consumed by
ships which are currently transporting cargo from Colombo to KKS.
By using country crafts for our coastal trade several benefits
could be achieved besides keeping the prices for the consumers
in the North at affordable levels. First such a service could
facilitate our coastal trade by connecting the ports of Colombo,
Galle, Trincomalee and KKS. On their outbound voyages they could
carry cargo to the North and on the return voyages they could
carry not only cargo from the North, but also flour from
Trincomalee and even salt from Hambanthota to Colombo. Besides
the savings on freight cost and oil imports, country crafts are
ideal for training our sea farers including those in the Navy.
Even developed countries like Germany and Japan use sailing
ships to train their seafarers. Above all, while cargo ships
costing millions of dollars are purchased from foreign
countries, country crafts could be easily built locally
providing both employment and developing a new industry.
Currently an average size country craft built in India cost
around Rs. 6 million due to the rising demand. India’s maritime
policy includes the promotion of India’s coastal trade with such
vessels. Trincomalee harbour is ideally situated to establish a
boat building yard due to comparatively lower labour cost and
the need to develop the economy in the Eastern region.
If all this is true and staring in the face of
the policy mandarins, one might ask why they are immune to
change and progress. Perhaps innovation is not their forte and
it is safer
and easier to sail along. Colombo south port
should have been completed three years ago and operational now.
Sadly, today even the construction of the break water is held up
due to a quarrel between two sets of bureaucrats. Ceylon
shipping Corporations fleet remain at two container ships (down
from 12) and built in the 1980’s. Currently futile and risky
attempts are being made to buy multi million dollar container
ships. Perhaps a fleet of country crafts is not very impressive
even if more profitable. Private sector shipping community
prefer to be providers of shipping services even in
contravention of regulations by a few. Such contraventions are
at the expense of country’s foreign exchange earnings. But it’s
sadly lacking is enterprise, one sees in other sectors such as
ship and boat builders, agriculture and garment industry. SLAVO
too deserves to be blamed for this situation. Apparently their
energy is being dissipated in a battle to avoid paying import
duties on ships.
As one cannot expect the Shipping Ministry to
move even one inch or do what is urgently required to reap the
benefits of using sailing ships for our coastal trade, let us
hope that other relevant ministries such as environment,
consumer affairs and power and energy examine the feasibility
for a start. By using wind powered sailing ships Sri Lanka could
save foreign exchange on oil imports, facilitate expansion of
coastal trade, develop a boat building industry, facilitate
bi-lateral trade with Maldives and India besides creating
additional employment opportunities.
An angry observer frustrated by the vanishing
opportunities asked me ‘why throw pearls before swine’. Pretty
harsh I thought.