Egypt demands over $1B in damages after Suez Canal blockage

Re:Egypt demands over $1B in damages after Suez Canal blockage by throw0101a on Sunday April 04, 2021 @10:56AM (#26689929)

> It makes no sense for the lost transit fees to be paid by the insurance companies as most vessels waited the 6-day period and then got to traverse the canal with some days in delay (so Egypt still got that money).

Except during those six days no ships went through, and so no revenues were collect. That is, Egypt could have gotten more revenue if no ships were delayed—and remember some ships started going around Cape Horn in South Africa.

It's about the 'opportunity cost' of the blockage.

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Re:Egypt demands over $1B in damages after Suez Canal blockage by kshacker on Sunday April 04, 2021 @11:58AM (#26690507)

So is the opportunity cost 6 days of outage or maybe 0.2 days since most of the traffic was just delayed rather than Re-routed?

Also I am not a lawyer, but if I were one, I would wonder if there have been previous outages like this and how has that cost been recovered? And how many times has the canal delayed the ships anyways and not paid them?

Also would the canal pay from this money the ships that were delayed as they were also an affected party.

The game can be played from multiple sides.

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Re:Egypt demands over $1B in damages after Suez Canal blockage by dotancohen on Sunday April 04, 2021 @01:15PM (#26691170)

  > It's about the 'opportunity cost' of the blockage.

It should be noted in context that the Suez canal occasionally closes preemptively when high winds are expected or experienced.

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