report - Oceans Beyond Piracy

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THE ECONOMIC COST OF SOMALI PIRACY, 2012 Average cost per trial: Country Europe Cost Belgium 1 $633,800.00 Belgium 2 $633,800.00 France $633,800.00 Germany $4,856,145.00 Italy 1 $633,800.00 Italy 2 $46,249.00 Netherlands $633,800.00 Average Cost $1,174,484.86 Source: http://www.spiegel.de/international/germany/german-trial-of-somalipirates-turns-into-pointless-and-expensive-farce-a-855252.html Cost of trial per day € 35,000= $46,249 (currency conversion January 16, 2013) Germany: 46,249*105 day trial duration= 4,856,145 Italy: 46,249*1 day trial duration= 46,249 Other Costs found here: http://www.spiegel.de/international/world/ torture-execution-german-justice-through-the-eyes-of-a-somalipirate-a-755340.html Approximate trial cost: €500,000= $663,800 (currency conversion January 16, 2013) Region Average Cost Source Africa $227.97 ECOP 2011 (pp.22-24). Same methodology used, but with January 16, 2013 conversion Asia $7,313.96 rates. Retrieved from http://oceansbeyondpiracy.org/sites/default/files/economic_ cost_of_piracy_2011.pdf N. America $307,355.00 DeLisi, M., et al. (2010). Murder by numbers: monetary costs imposed by a sample of homicide offenders. Journal of Forensic Psychiatry & Psychology, Vol. 21(4), 501-513. Cost per year of imprisonment: source ECOP 2011 (pp.22-24) Retrieved from http://oceansbeyondpiracy.org/sites/default/files/economic_cost_of_piracy_2011.pdf Total Imprisonment Cost: pirates imprisoned*cost per year of imprisonment Total Regional Cost: total trial cost + total imprisonment cost ©2013 53 a project of One Earth Future Foundation
THE ECONOMIC COST OF SOMALI PIRACY, 2012 Appendix H: Methodology for Calculating Cost of Military Operations A. Cost of Naval Vessel Deployment: 1. Average diesel fuel price during 2012: $3.97 per gallon. Retrieved from the Energy Information Administration website. (Average Diesel fuel cost for 2012 available at: http://www.eia.gov/forecasts/steo/ and http://www.eia. gov/todayinenergy/detail.ctm?id=7630) 2. Methodology for adjusted daily fuel consumption: Calculation of daily fuel consumption: • Divide the listed range by the listed fuel capacity (in some cases converted from tons to liters) to calculate the ‘gas mileage’ for each craft. • Divide the ‘gas mileage’ by the listed cruising speed to calculate ‘gallons burned per hour’. • Multiply ‘gallons burned per hour’ by 24 to get daily fuel consumption. 3. Adjustment: as per discussions with a navy representative, ships are assumed to be operating 25 days per month, aircrafts fly 5 hours per day and helicopter 4 hours per day. 4. # deployed units*300*(diesel fuel cost*adjusted daily fuel consumption)+daily operating cost 5. Model ships used for classification: Frigate: Oliver Hazard Perry Class (U.S.); Destroyer: Arleigh Burke Class (U.S.); Auxiliary: average of Quinghaihu Supply Ship (China), INS Sukanya Patrol Ship (India), and Galicia Class Amphibious Ship (Spain); Aircraft: P-3C Orion (multiple countries); Helicopter: SA341J Gazelle. 6. Methodology for cost per sailor per day: • Daily cost assumption for a frigate: $ 52,146.67 • $52,146.67/300= $173.82 • # deployed units*sailors aboard*cost per sailor per day*300 B. Cost of UAV Deployment: 1. Hourly Cost: • Reaper: http://www.elpasotimes.com/news/ci_19628409 • Robotic Helicopter: http://www.unmanned.co.uk/unmanned-vehicles-news/unmannedaerial-vehicles-uav-news/dsei-northrop-grumman-and-qinetiq-offer-uk-gazelle-conversion/ Total cost for demonstration program for a year in the UK=$15.8m/365/24= $1,804 • Global Hawk: http://www.dailytech.com/USAF+Hopes+U2+to+Global+Hawk+Transition+Done+ in++2015/article22425.htm Total flight cost given= $35,000/24 hours (usual flying time) = $1,458 • Hermes 450: http://abcnews.go.com/Politics/story?id=1413025#.TwSEfiNr9w0 2. Mission duration per day: some UAVs can remain in flight up to 30 hours, but we averaged endurance as 24 hours and 8 hours for the Robotic Helicopter; figuring that only 50% of the time, is devoted toward counter-piracy efforts. a project of One Earth Future Foundation ©2013 54
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