Charleston’s Port Expansion Project
Port Posting Dynamic Increases

November 29, 2005 – Bernie Groseclose, President and CEO of the SC Ports Authority, brought us a detailed report on the current status of the Port Expansion Project. Several years ago the long range forecast was for the port to increase by 4.3% per year. But at the end of the current fiscal year the port had increased by 14%, yet its operating costs rose but .3%! With ever increasing numbers of clients the port is literally running out of space. One third of the business is now Asian and India has surpassed most European clients in port usage.

Charleston is the 4th largest port in the U.S. and the 2nd largest on the east coast. Yet, unlike major competitors Savannah and Norfolk, who are tax subsidized, Charleston is a private venture.

Six years ago all eyes were on Daniel Island as the place for expansion, but the 2002 state legislature declared that Daniel Island was no longer under consideration. The focus today is the old navy base in North Charleston. Permanent applications are now in place with the Corps of Engineers and the state to expand the port on the old navy base site. $5,000,000 has been spent to date on the studies, much of which has repeated studies done in the late 1990’s, but this is the way the public process works.

A major focus now is the mitigation plan for the areas affected:
– Marshes will be restored
– The Cooper basin will be preserved
– An oil spill recovery program will be put in place
– A 17 acre research site will be given to Clemson University
– A new park will be created
– Job training with scholarships will be set up

In addition, studies are underway to minimize the impact of increased transportation in the immediate area. And finally the expansion project will:
– Use space on a base which is largely a wasteland
– Create local jobs
– Provide economic development statewide
– Pump significant money into the local economy

In response to a question about railroads Bernie noted that about 25% of the freight is currently moved by rail, but 65% of the freight goes through the Wando terminal and there is no rail line to support it.

Reported by Fred Sales, Keyway Committee