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Thursday, August 22nd, 2024

U.S. Transportation Department enrolls first nine ships in Tanker Security Program

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In order to secure a presence in international commercial shipping and bolster military usefulness at sea, the U.S. Department of Transportation’s (DOT) Maritime Administration (MARAD) enrolled nine ships into its Tanker Security Program (TSP) this week.

“Today we are announcing the first ships to join the Tanker Security Program, which will help strengthen both our supply chains and our national security by delivering fuel to our armed forces around the world while creating hundreds of good jobs for American mariners,” U.S. Transportation Secretary Pete Buttigieg said.

The TSP was created to improve the U.S. supply chain and the movement of liquid fuel products, backing American-owned, flagged and crewed commercial product tankers operating in international commercial shipping. Each vessel involved will be active, commercial viable and privately owned, while granting the U.S. Department of Defense (DoD) access to tankers capable of loading, transporting and storing on-station bulk petroleum refined products.

“The TSP accomplishes two key maritime sealift objectives: it grows our U.S.-flagged fleet and it significantly expands our ability to deliver vital fuel supplies to support military missions across the globe,” Maritime Administrator Ann Phillips said. “Implementation of the TSP is a significant milestone for MARAD and the U.S. maritime industry.”

All vessels will be drawn from three companies: Overseas Shipholding Group, Inc., Crowley-Stena Marine Solutions, LLC and Seabulk Tankers, Inc. Of the nine vessels involved, four will operate under the U.S. flag, while five will work with the U.S. Coast Guard to expedite reflagging to the U.S. registry and begin operating under TSP agreements in short order. Each vessel will receive a maximum $6 million per year, prorated monthly for qualified service under the program.

While involved in U.S. foreign commerce, the vessels will also be able to be called upon for use during times of war or national emergency, under the new contracts.