Effective from April 1st 2022, Port of LA will begin collecting its Clean Truck Fund Rate to help speed the transition to zero-emissions trucks, serving the San Pedro Bay port complex.
As informed, the action was approved by the Los Angeles Board of Harbor Commissioners.
Revenues will exclusively fund zero-emissions trucks and associated infrastructure to further the Port’s goal of eliminating emissions from all trucks calling at the Port by 2035.
The approved CTF Rate of $10 per twenty-foot equivalent unit (TEU) hauled by non-exempt trucks, was jointly set by the ports of Los Angeles and Long Beach in March 2020.
As we continue to move record-breaking cargo through the busiest port in the Western Hemisphere, it is vital that we implement the Clean Truck Fund Rate to expedite the transition of trucks servicing the Port to zero-emissions. Cleaning up the air at our Port will protect surrounding neighborhoods, workers, and our region as whole. I am proud to have championed this program and thank the Commissioners for passing this significant policy.
….said Mayor Eric Garcetti.
Additionally, to get a head start on funding the deployment of zero emissions trucks, the Port will soon seek proposals from local drayage companies partnering with truck manufacturers to deploy 10 zero-emissions short-haul drayage trucks that call at marine terminals and operate within a short distance (e.g., trucks operating in an approximate 25-miles radius) of the ports.
A competitive process will be used to select one team for a $3 million grant toward the grantee’s truck and infrastructure costs.
The Clean Truck Fund Rate is just one component of the funding needed to achieve our ambitious goals. The transition to ZE trucks will require a broad public-private partnership.
….said Port Executive Director Gene Seroka.
The Los Angeles Harbor Commission approved the Port tariff’s terms and date for implementing the CTF Rate, and the resolution’s CTF Spending Plan priorities of exclusively zero-emission trucks incentives. The Port tariff sets forth the rates, charges, rules and regulations for doing business at the Port.
With a short list of exemptions including cargo transported by non-zero-emission and non-low NOx trucks, the CTF Rate will be charged to cargo owners whose containerized cargo is trucked in or out of Port terminals. The rate will sunset Dec. 31, 2034.
The Port will also exempt trucks that meet or exceed California’s low NOx standard through Dec. 31, 2027. However, the low NOx trucks must be enrolled in the Port Drayage Truck Registry and in Port service by the end of 2022 to obtain the short-term exemption.
The CTF Rate, also due to be implemented by the Port of Long Beach, is expected to initially raise $45 million per port.
Concluding, the CTF Rate was among the measures introduced in the 2017 Clean Air Action Plan (CAAP) Update to accelerate progress toward a zero-emissions future while protecting and strengthening the San Pedro Bay ports’ competitive position in the global economy.