The economic impact of short-sea shipping: using the Fraser River as a commercial highway

Truck traffic is expected to increase by 50% between now and 2021 generated primarily by container trades. Road congestion currently costs the Lower Mainland economy up to $1.5 billion a year. The BC government has carried out the Gateway project aiming to decrease road congestion and air pollution from idling automobiles. However, building roads and bridges cannot be a long term solution. An alternative to road transport if possible must be found. This paper revisits the feasibility of Short Sea Shipping using the Fraser River. It carries out an economic impact study of the benefits and costs, including environmental costs; and it includes a comparative study when SSS becomes feasible compared to trucking as truck idling time on roads and at the deep-sea terminals increases. Not only is SSS more environmental friendly, but also price competitive when congestion is taken into account.