405 



considering the establishment of public-private corporations, a la Comsat, to 

 develop projects along the coasts and estuaries of their states as a source of 

 financing. 



5. Water Pollution Abatement or Water Management Control is gaining momen- 

 tum, but requires not only government regulations at the federal, state and 

 municipal'level, but also adequate financing. Yesterday, Vice President Agnew 

 spoke of his success in gaining the approval of the Maryland Legislature, while 

 he was Governor, of a $130-million bond issue for pollution abatement in his state. 



6. Desalination presents limited opportunities in certain areas. New processes 

 are being developed to lower the cost of making fresh water from salt water. The 

 outlook here has been setback considerably by the scrapping, due to the substan- 

 tially higher projected costs, of the proposed Bolsa Chica project for generating 

 electricity and making fresh water out of salt using nuclear energy in Southern 

 California. 



7. Chemiicals and Drugs from the Sea , we regard as relatively tmattractive as 

 synthetics and natural sources from the land are generally much more compete- 

 tive. A great deal of research needs to be done here. 



8. Food - much is being said about what needs to be done to stimulate our domes- 

 tic fishing industry. Progress will take time, money and research. Undoubtedly, 

 viable projects Avill develop in certain areas which will be profitable. Here 

 government initiative is needed to remove the many local jurisdictional problems 

 about which Mr. Crutchfield spoke yesterday. The FPC program has government 

 support. Here again, the test must be, what is the cheapest source of protein? 



9. Shipping and Shipbuilding are very cyclical and receive government subsidy. 

 Containerization does provide opportunities for economies. Perhaps there are 

 some opportunities for specialized shipping and shipbuilding. 



10. Marine Electronics and Instrumentation are areas of great potential which need 

 research and development as the Commission has pointed out. Communications 



in the sea, sonar, T. V. , lighting, underwater habitats, submersibles, rescue 

 and safety operations in great depth, all need support. Here government research 

 f\ands must become an important source of financing as budget pressures from 

 Vietnam ease. We look at government funds as seed money providing the cata- 

 lyst to activate industry in the sea and particularly in this area. 



11. Weather Forecasting and Control, including the monster buoy and the balloon 

 program, data gathering, mapping the ocean bed, are additional activities which 

 will be receiving increasing attention. 



We have touched on many sectors of oceanology. Venture capital funds are 

 available for projects which may not render immediate returns. I could foresee 

 that the growth of mutual funds and particularly ones featuring investments in 

 oceanology, such as the Oceanic Fund, represented here today by Dick Peffenbach, 



