FROM PAST TO PRESENTA BC SHIPBUILDER’S PERSPECTIVE Presented By Malcolm McLaren PresidentAllied Shipbuilders Ltd.November 2009
God & Shipbuilder We AdoreIn Times of Danger, Not BeforeWhen War Is Over, All Things RightedGod Is Forgotten, The Shipbuilder Slighted ...with apologies to Kipling
Launch of 10,000 Ton Victory (Liberty) Ship West Coast Shipbuilders, Vancouver – Future Site of 2010 Winter Olympics
Fort Chilcotin in English Bay - June 1942 The first WWII ship built by West Coast Shipbuilders (Hull #101) was launched March 7, 1942 and was a casualty of war having been sunk on July 24, 1943
Allied Shipbuilders Site – 1969 North Shore of Vancouver Harbour
The 75-foot drum seiner Katrena Leslie (Hull # 214) underway in fog in English Bay
Ships for Offshore OilThe West Coast & Arctic - Past- Is there a future for Canadians?
The drill rig Sedco 135F was built by Victoria Machinery Depot
OFFSHORE OIL & GAS Do governments have a role in making sure these opportunities are available to Canadians?
1970 to1980 – Arctic Oil Exploration Good for Shipbuilding & Ship Repair Major Damage to - Hull - Rudders & Stocks - Propellers
The Kigoriak was the first icebreaker to operate year-round in the North American arctic
470 Car Ferry Construction In Steel - 1993 Simple / Effective
Chuck Ko Allied’s technical manager and Ed Stephenson Allied’s steel superintendent in front of the Spirit of British Columbia (Hull # 254) just before launch
Chip Barges Built in BC – Post 2000Current Demand For Wood Chip Transport ?
Slow TimesMetal Shipbuilding Yard Closures1990’s - Burrard Drydock (Versatile, North Vancouver) - Yarrows (Versatile, Victoria) - Bel-Aire Shipyard, North Vancouver - Westcoast Manly, Vancouver - Vito Steel Boat, Delta - Matsumoto, North Vancouver - Shore Boats, Richmond
1986 – 1800 Ton Lift Capacity Floating Dry-dock 1990’s – B.C.’s Future was in Ship Repair Work for Some Most Shipbuilding Yards Close
West Coast Shipbuilding Yards That Have Built Complex Vessels Over 30 Meters Long: - Allied Shipbuilders- Vancouver Shipyards (WMG)- Victoria Shipyards (WMG)
THE COST OF CANADIAN BUILT SHIPS - BUILDERS MUST COMPLY WITH STRINGENT SAFETY & ENVIRONMENTAL STANDARDS, ETC. - CANADIAN MARINE REGULATORY CLIMATE AMONG MOST CHALLENGING IN THE WORLD - TO MY KNOWLEDGE, NOT DUE TO EXCESSIVE PROFITS FOR THE BUILDER
‘WHAT’ IS TO BE BUILT - TO BUILD REASONABLY PRICED SHIPS, THE CUSTOMER MUST COME TO THE PARTY - TOO OFTEN GOVERNMENT SHIPS ARE NEEDLESSLY COMPLEX - BUILD SIMPLE―UTILITARIAN―EFFICIENT - ACT AS IF IT IS YOUR OWN MONEY
High Speed Ferry Owners Idea – Builders Receive the “Credit”
100 Car Commuter Ferry Spartan, Utilitarian, Efficient
BC Shipbuilding - Price Distribution Example - 360 foot / 100 vehicle ferry
Global Shipbuilding Practise For many governments, shipbuilding is an important aspect of their national pride and industrial policy. Consequently, the industry worldwide operates in a distorted marketplace.
Challenges For Canadian Shipbuilders European Union - Had direct subsidy until recently - Supportive Government Policy United States - Canadian built commercial vessels prohibited from USA, but US builds enjoy duty free access to Canada. Korea - Previous bailout by government / IMF - Supportive Government Policy China - Very low wage rates and supportive government policy Brazil – Supportive Government Policy
ONLY REASONABLE THAT CANADIANS ARE INVOLVED WITH THE DEVELOPMENT AND PRODUCTION OF THEIR NATURAL RESOURCES. MUST HAVE NATIONAL POLICIES WHICH CREATE A COMPETITIVE DOMESTIC MARKET TO USEFULLY EMPLOY CANADIANS.
GOVERNMENT LEGISTATION ACTION Ensure Canadian Industry Engaged In Building Ships For Resource Development. - The Rest Of The World Does
Current CanadianFederal Government Policy “The federal government will continue to procure, repair and refit vessels in Canada subject to operational requirements and the continued existence of a competitive domestic marketplace”
GOVERNMENT PROCUREMENT ACTION - COMPETITIVE BID PROCESS FOR PROCUREMENT - PRIVATE SECTOR SHIPYARDS RATHER THAN GOVERNMENT SHIPYARDS - UTILIZE THE EXISTING “SURVIVOR” SHIPYARDS; THEY HAVE PASSED THE TEST - IMMEDIATELY COMMENCE PRACTICAL SHIPBUILDING PROJECTS - BUILD NEW GOVERNMENT SHIPS ON A RATIONAL SCHEDULE TO ENSURE CONTINUITY OF WORK