SC: Slipping Further Beneath The Waves

One of South Carolina’s few opportunities to pick up some competitive ground lies on the banks of the Savannah River in Jasper county – i.e. the location of the last undeveloped deep water port site on the Eastern seaboard.

Why isn’t there a already a port there?

That’s easy … because this is South Carolina, where the efficient management of assets always, always, always takes a back seat to good ol’ boy politics.

Seriously … our General Assembly had plenty of time (and plenty of votes) to pass legislation this year making collard greens the state’s “official leafy vegetable,” but God forbid we take concrete steps to improve South Carolina’s competitive position.

The beat goes on …

South Carolina’s State Ports Authority (SPA) promised more than five years ago to lend its “full faith and resources” to building a port in Jasper county, but that turned out to be nothing but talk. Also, our state still refuses to accept private investment in port infrastructure, guaranteeing not only the protracted delay of a Jasper facility but the steady erosion of our competitive position in Charleston.

Once the fourth-busiest port in America, Charleston has seen its competitive position plummet over the last six years. In fact, the port has slipped all the way to No. 12 in the nation according to the American Association of Port Authorities.

“We have a lot of concerned customers out there that we’ve been delaying,” the port’s executive director said … over a decade ago.

Why?

Well, as we’ve noted on literally dozens of occasions, South Carolina continues to operate its port system under a 1950s-style “total state control” model that forbids private investment in public infrastructure. Meanwhile our competitors – like Alabama and Virginia – have dramatically expanded their port infrastructure (and created thousands of new jobs) by leveraging private investment.

We had hoped S.C. Gov. Nikki Haley would take an aggressive free market position as it relates to port expansion, but so far she’s done absolutely nothing to advance this issue.

South Carolina’s failure to leverage private investment to expand its Charleston infrastructure (and build a port in Jasper) represents one of the costliest consequences of our state’s antiquated, government-run approach to economic development – depriving us of billions of dollars in private investment and thousands of jobs.

Will our state’s leaders finally heed the writing on the wall? Or will they continue twiddling their thumbs as our state’s competitive position plummets further?

***

Follow FITSNews on Twitter and like us on Facebook

Tags: ,

Comments

  1. By Appropriate June 13, 2011 at 4:08 pm

    Aside from the fact we had a chance to have our port run professionally and upgraded appropriately san the taxpayer by selling it to Dubai businessmen…it’s fanstastically appropriate that “Hanjin” is painted on the side of a vessel carrying tons of goods made in China that will land on our shores.

    What better example of our failure as a nation is there?

    Reply

  2. By Billy Bob June 13, 2011 at 6:40 pm

    Hell yeah, we need more Chinese imports!!

    Reply

  3. By Waterfront commentator June 14, 2011 at 12:09 am

    The SCSPA does not want to proceed with the Jasper County terminal because:

    1) it will cannibalize its existing business;
    2) it will draw shippers distribution warehouses to Georgia (not SC), thanks to aggressive promotion and incentives by that state’s elected officials;
    3) it will draw upon the Savannah (not Charleston !!!) local longshoremans and clerks and checkers unions for labor;
    4) the stevedoring companies working at any Jasper County terminal will basically be working out of their existing offices and gear shops in Savannah and Garden City;
    5) Bill Bethea represents South Carolina in this venture, and he is widely despised by everyone in the industry, from waterboy to steamship chairmen (the SPA board celebrated when he left);
    6) S.C.’s governor has ABSOLUTELY no control over the SCSPA board, none of whom have any steamship or MTO (marine terminal operation) experience (the governor’s latest two SPA appointees were a lawyer (Henry McMaster) and someone named Karen Floyd, described by Wikipedia: “Karen Floyd is an American politician from the state of South Carolina. She currently serves as the chairman of the South Carolina Republican Party.”
    7)GPA’s staff is anxious to “rip” SPA at this new terminal, according to my contacts. One small example: all international travel will be via ATLANTA with PERSONAL ATTENTION by the STAFF OF GEORGIA’s GOVERNOR. Steamship line, freight forwarder, shipper and consignee executives get THE ROYAL PERSONAL TOUCH by GPA, which enjoys good relations with the press (like the Journal of Commerce). SPA, on the other hand, has NO COORDINATION with the Governor’s Office, Commerce Dept., Public Railway, and actively scorns the press. (SPA press manager Byron Miller is widely despised and distrusted by everyone in the industry.)
    8) Jimmy Newsome is very capable as the new CEO but he is surrounded by FUD (fear, uncertainty and doubt) by EVERYONE in state government. Although an enlightened manager, he knows where his bread is buttered: in Charleston. Don’t expect any good ideas from him regarding Jasper.

    Yep, it’s Bill Bethea at bat for South Carolina.

    Don’t hold your breath.

    He’s a world-class loser.

    Reply

  4. By Darth June 14, 2011 at 12:14 pm

    and you got closet Dem Keith Summey that wants to further diminish Charleston’s capacity as a port by denying an upgrade of rail lines through an area that his real estate buddies are dodging Innovista finance scam murmurings over on the ol’ Navy base, but he only wants the Hunley as a attraction next to the gambling crusies to nowhere and riverfront condos built on filled in drydocks…

    But such is “progressivism”.

    Reply

  5. By Amos June 14, 2011 at 1:50 pm

    Another advantage GA has over SC in the “trade wars” between their ports authorities:

    Ever notice when you enter GA on I-95 from SC that it suddenly “expands” from 4 lanes to 6 lanes?

    That is because the GA legislature years ago authorized many billions of dollars of STATE money to be spent to WIDEN IT to make their highway system more efficient and competitive.

    Talk to a pricing manager at ANY trucking company for intrastate or interstate rates from, say, Savannah to Chattanooga versus Charleston to Chattanooga and you will see that on a per mileage rate, GA beats SC.

    This is why GA gets much of the business to Alabama, Mississippi, Tennessee, and Arkansas.

    No state leadership for the SPA.

    And a very bad board.

    Reply

  6. By ChucktownGMcock June 14, 2011 at 2:40 pm

    This is the same SCSPA board that just had an ex-SC State Football COACH appointed to it! SC is just a$$backwards.

    On another note, Charleston County just laid off a bunch of employees while they’re buying ipads for kindergarteners.

    Reply

  7. By chaudemature March 29, 2012 at 8:41 am

    I could not think you are more right.

    Reply

Leave a Reply

*