**Freight Costs Surge 30% Following Francis Scott Key Bridge Collision**
A Baltimore trucking company has filed a lawsuit against the owners and operators of the container ship Dali, alleging that their negligence has severely impacted its operations. Grace Ocean Private Ltd. and Synergy Marine Group, the owner and crew manager of the Singapore-flagged vessel, are seeking liability protection from a federal court in Maryland after the ship collided with the Francis Scott Key Bridge in March, leading to its destruction.
Underwood Energy Inc., a company specializing in hazardous materials transport and rail-to-truck transfers, argues that the negligence of the ship’s owners and managers directly resulted in the bridge’s collapse. They claim this negligence has caused a significant economic downturn in Baltimore, adversely affecting local businesses like theirs that depend on reliable infrastructure for transporting essential hazardous materials.
Underwood Energy’s lawsuit, filed Wednesday, emphasizes the necessity of holding the ship’s owners accountable for their actions, which have caused lasting damage to the community and businesses reliant on safe transport routes.
Following the bridge collapse, trucks transporting hazardous materials, including nine operated by Underwood Energy, are now forced to navigate a 30-mile detour around the Patapsco River to reach clients south of Baltimore. The city’s tunnels, the Harbor Tunnel and Fort McHenry Tunnel, prohibit vehicles carrying hazardous materials.
Sean Underwood, the owner of Underwood Energy, explained, “We’re essentially navigating around the Baltimore beltway to access I-95 south, putting us at a significant disadvantage due to competition on the south side of the bridge.”
**Facing Loss of Contracts**
In the highly competitive propane and butane transport industry, even slight increases in costs can greatly affect profitability. “We’ve seen freight rates rise by 3-5 cents per gallon due to the additional time required for the detour around Baltimore, which adds 45 minutes to an hour each trip,” Underwood stated. He estimates that overall freight costs have surged by as much as 30%, which can lead customers to consider alternative suppliers.
Underwood indicated that his company typically services between 1,700 to 1,800 trucks annually through their transfer facility, but the current detour has severely impacted that volume. “In our best year, we handled 15.9 million gallons of product, but I’ve lost roughly 7 to 8 million gallons in contracts because of the bridge closure,” he noted, expressing concern about contract renewals for the coming year.
As the damages incurred by Underwood Energy continue to accrue, specifics on the financial impact are not outlined in the lawsuit, according to the company’s attorney.
Most frustrating for Underwood is the reliance of Grace Ocean and Synergy Marine on an 1851 maritime law to limit their liability for the damages caused by the bridge collision. He argued, “That bridge was originally built to facilitate the movement of hazardous materials, considering the tunnel restrictions. I designed my facility nearby to make transport more appealing for clients – it’s nearly impossible to justify operating without that bridge.”
“It’s absurd to think that a company based in Singapore could evade accountability for the damages it caused in the U.S. due to a law established before the invention of the internal combustion engine,” Underwood concluded.
