US Extends Jones Act Waiver

Image Courtesy: United States Coast Guard

The US has decided to extended the limited Jones Act Waiver on the back of the severe disruptions of the oil supply system resulting from Hurricanes Harvey and Irma.

The waiver, which was initially signed on September 8, was extended at the recommendation of the Departments of Defense and Energy.

Effective immediately, the waiver will facilitate movement of refined petroleum products, including gasoline, diesel, and jet fuel, to be shipped from New York, New Jersey, Delaware, Maryland, Pennsylvania, New Mexico, Texas, Louisiana, Mississippi, Alabama, and Arkansas to Florida, Georgia, South Carolina, North Carolina, Virginia, West Virginia, and Puerto Rico.

The extension applies to covered merchandise laded on board a vessel through and including September 22, 2017.

The Jones Act prohibits the transportation of cargo between points in the US, either directly or via a foreign port, or for any part of the transportation, in any vessel other than a vessel that has a coastwise endorsement.

The last Jones Act waiver was issued in December 2012, for petroleum products to be delivered for relief assistance in the aftermath of Hurricane Sandy.

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