U.S. Great Lakes pilotage costs to rise 7 percent

(WASHINGTON) — The U.S. Coast Guard published a final rule Friday in the Federal Register outlining U.S. Great Lakes pilotage rates for the 2024 shipping season.

The new rates seek to generate revenue for each of the three U.S. Great Lakes pilot associations by implementing hourly charges for pilotage services according to geographic area. Pilotage rates are paid by vessel operators serving Great Lakes ports.

Although pilotage is a necessary service for safe navigation, Great Lakes ports have historically criticized the Coast Guard for being insensitive to high pilotage costs, which can negatively impact the competitiveness of maritime commerce on the Great Lakes-St. Lawrence Seaway system.

The Coast Guard proposes to increase the overall cost of U.S. Great Lakes pilotage in 2024 compared to 2023 by $2.6 million or 7 percent. In 2024, the Coast Guard is proposing a total workforce of 58 fully registered pilots and six apprentice pilots. The Coast Guard will be increasing annual individual pilot compensation from $424,318 to a new high of $440,658 – a 3.8 percent increase.

The recent history of pilotage cost increases is detailed below.

(Year / pilot numbers / total estimated cost / percentage over prior year)

2014 / 36 / $12,889,868

2015 / 36 / $15,451,455 / +20 percent over 2014

2016 / 37 / $19,103,678 / +24 percent over 2015

2017 / 45 / $22,326,381 / +14 percent over 2016

2018 / 49 / $25,156,442 / +12.7 percent over 2017

2019 / 51 / $27,988,185 / +11.3 percent over 2018

2020 / 52 / $28,268,030 / +1 percent over 2019

2021 / 55 / $30,332,652 / +4 percent over 2020

2022 / 60 / $32,486,995 / +7 percent over 2021

2023 / 62 / $37,659,194 / +16 percent over 2022

2024 / 64 / $40,280,666 / +7 percent over 2023

To view a copy of the Federal Register notice, click here.

– American Great Lakes Ports Association

By Professional Mariner Staff