Hurricane Milton: Maritime Industry and Government Race to Secure Florida Gas and Fuel Reserves

As Hurricane Milton barrels towards Florida’s west-central coast, the domestic maritime industry and government officials are racing against time to secure fuel and gasoline supplies and prepare for what could be one of the most destructive storms in the region’s history.

The Category 5 hurricane, packing winds of up to 163 mph, is expected to make landfall Wednesday night at least as a major Category 3 hurricane with sustained winds greater than 111 mph, prompting urgent preparations across the state and mass evacuations that have left some fuel pumps in the state dry.

Governor Ron DeSantis on Tuesday reported that the state has already acquired significant fuel reserves, partly due to unused supplies remnant from Hurricane Helene, with 268,000 gallons of diesel and 110,000 gallons of gasoline staged for prompt distribution. “We also have another 1.2 million gallons of both diesel and gas that are currently en route,” DeSantis said.

Since Florida lacks direct access to the major Colonial and Products (SE) pipelines, most of its fuel arrives via vessel from U.S. Gulf Coast refineries. However, some areas in the state get fuel by truck from Colonial Pipeline extensions ending in southern Georgia. The remaining fuel comes from imports, primarily from Europe.

The impact on Florida’s fuel supply is a critical concern, as Port Tampa Bay and SeaPort Manatee, which receive more than 40 percent of the state’s petroleum products, lie in the storm’s projected path. Nearly 90 percent of Florida’s refined petroleum products are transported from Gulf Coast refineries under the Jones Act, a law that requires the use of American-built, -crewed, and -owned vessels for domestic trade.

“The Jones Act is the most important line of defense securing the energy needs of the third-largest state in the country,” the Florida Maritime Partnership said in a statement.

The domestic maritime industry has been working closely with state marine fuel terminals to ensure shoreside facilities are at capacity before the storm hits. At least 70 U.S.-flag tank vessels operate in the Florida/Gulf Coast trades, standing ready to respond to the needs of storm-affected areas.

Jones Act: To Waive, Or Not to Waive

The looming threat of prolonged fuel shortages inevitably raises questions about the potential for a Jones Act waiver in Florida. Such waivers, which typically permit the use of foreign-flagged vessels to transport petroleum cargoes within affected areas, are rare and can only be issued in the “interests of national defense” and after determining that no Jones Act-compliant shipping is available.

The Jones Act waiver issue is highly contentious. Those in favor of waivers argue that the law hinders disaster response efforts and waivers speed help to speed up deliveries by allowing foreign ships to operate between U.S. ports. Opponents, however, maintain that waivers that post-storm supply chain issues typically stem from shore-based distribution problems—including at impacted ports—rather than a lack of compliant vessels or ocean supply chains, and that waiving the Jones Act only encourages exploitative practices.

In 2017, a limited Jones Act waiver was granted after Hurricanes Harvey and Irma to allow fuel shipments,  including gasoline, diesel, and jet fuel, to ports in the U.S. Southeast. Weeks later, in the wake of Hurricane Maria’s devastation of Puerto Rico, the Trump Administration—facing mounting criticism over its response—issued a 10-day waiver eight days after the storm’s landfall. The temporary waiver covered all products being shipped to Puerto Rico from the U.S. mainland.

More recently, in 2022, the Biden administration approved a “temporary and targeted” Jones Act waiver for diesel shipments to Puerto Rico after Hurricane Fiona devastated the island.

‘Very Serious Situation’

As Milton approaches, its wind field is expected to expand significantly. The National Hurricane Center warns that “damaging winds, life-threatening storm surge, and heavy rainfall will extend well outside the forecast cone.” The hurricane’s intensity and size make it a potentially catastrophic event for west-central Florida.

“This is a very serious situation,” said a National Hurricane Center meteorologist. “Residents in Florida should closely follow orders from their local emergency management officials. Evacuations and other preparations should be completed today”.

With Milton’s landfall imminent, the race against time continues. The domestic maritime industry stands ready to resume fuel deliveries once ports reopen, but the full impact of this powerful storm remains to be seen.

As Florida braces for impact, the effectiveness of current preparedness measures and the potential need for emergency actions like Jones Act waivers will be put to the test in the coming days.

Read Next: FEMA Fumbles Again: Naval Resources Left Idle in Hurricane Milton Response

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