LA, Long Beach harbors adopt spending plan for Clean Truck Fund
A spending plan to use the Clean Truck Fund program to provide incentives for zero-emission trucks and infrastructure was approved by the Los Angeles and Long Beach harbor commissions Thursday ahead of the program’s introduction April 1.
The ports of Los Angeles and Long Beach, which are the two largest container ports in the country, charge cargo owners for using trucks that don’t meet clean air standards and use the revenue to incentivize the transition to zero-emission trucks at the San Pedro Port Complex.
“Our two ports have set a high bar for getting clean trucks on our streets, and this spending plan and its incentives will help accelerate that transition. We are the only port complex in the nation that is driving a changeover to cleaner trucks and broader zero-emission drayage truck technology commercialization to this magnitude. It’s truly a groundbreaking effort,” Los Angeles Harbor Commission President Jaime Lee said in a statement.
The ports will collect a fine of $10 per 20-foot equivalent unit hauled by a truck that does not have an exemption. Zero-emission trucks are exempt from the rate, along with trucks that meet or exceed California’s low nitrogen oxide standard through Dec. 31, 2027. Loaded containers entering or leaving marine terminals by on-dock rail will also be exempt. The rate is set to expire on Dec. 31, 2034, according to the port.
The spending plan outlines priorities for using the funds, including a program to give at least $150,000 to licensed motor carriers in the Port Drayage Truck Registry that purchase zero-emission trucks. Each truck funded through the incentive must provide drayage services to the San Pedro Bay Port Complex for three years.
The spending plan also includes an Infrastructure Funding Program, which is modeled after existing federal, state and local grant programs and will provide funds to help carriers install or obtain zero-emission charging and fueling infrastructure.
“The Clean Truck Program allows us to aggressively balance pursuing zero-emissions operations with economic vitality and competitiveness,” Port of Long Beach Executive Director Mario Cordero said in a statement. “The Clean Truck Fund spending plan is a vital part of this. It is our hope the incentives and infrastructure program will lead to other public and private investments as we work together with our many partners to transition our operations to a greener future.”
The Clean Truck Fund Rate is expected to collect about $45 million annually for each port. Each port aims to eliminate all emissions from port trucks by 2035.
The Port of Los Angeles and Port of Long Beach first set the rate for planning purposes in March 2020, and it was developed as part of the 2017 Clean Air Action Plan Update with outreach to the industry and community.
Port-related emissions in the San Pedro Bay have decreased since 2005 by 90% for diesel particulate matter, 63% for nitrogen oxides and 97% for sulfur oxides, according to the port, which aims to reduce greenhouse gases to 40% below 1990 levels by 2030 and 80% below 1990 levels by 2050.