Partnering with Pacific Rim Ports on Clean Air Strategies

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Partnering with Pacific Rim Ports on Clean Air Strategies Ralph G. Appy,, Ph.D. Environmental Management Division Port of Los Angeles American Association of Port Authorities Harbors, Navigation and Environment Seminar Vancouver, B.C. Canada June 7, 2006

Partnering w/pacific Rim Ports Overview The Realization You Can t Do It Alone Working Towards Solutions Collaboration Initiatives Into The Breech Next Steps

The Realization You Can t Do It Alone City of Los Angeles NNI Process One Year Intensive Unconstrained Evaluation Multi-Participant (Everyone & the Kitchen Sink) 1,000s of Hours Based on Unconstrained Cargo Growth 68 Measures Covering 5 Source Categories ~16 Billion Dollars Over 20 Years ~10 Billion Dollars for Ocean-Going Vessels Alone Realization Conclusion: It Takes a Village with a LOT of Money OGVs Represent ~36% NOx,, ~56% PM (2001 EI) The Port of Los Angeles Can Not Do It Alone

Working Toward Solutions Local Action Proposing a Joint San Pedro Bay Ports Clean Air Action Plan Elimination of Public Health Risk Is Top Priority Moving Away From Mass Emissions Focus New Clean Air Policy Elimination of Public Heath Risk Reduction of DPM and Criteria Pollutants Targeting Reduction In Health Risk Partnering w/scaqmd, ARB, EPA Continue Coordination w/port of Long Beach New Goals to Meet New Policy Have Programs In Place to Eliminate Health Risk Facilitate Growth While Reducing Emissions (Grow Green) Monitor, Document, & Report Performance Source Specific Goals

2004 Top Container Ports In TEUs, or Twenty-Foot Equivalent Units -2004 (000s) Top North American Ports 1. Los Angeles, CA 7,320 2. Long Beach, CA 5,780 3. New York/ New Jersey 4,470 4. Oakland, CA 2,044 5. Charleston, NC 1.860 6. Virginia Port Authority 1,800 7. Tacoma, WA 1,797 8. Savannah, GA 1,695 9. Vancouver, BC 1,664 10. Seattle, WA 1,466 Top World Ports 1. Hong Kong 21,930 2. Singapore 21,330 3. Shanghai 14,550 4. Shenzhen 13,660 Los Angeles/Long Beach 13,100 5. Busan 11,430 6. Kaohsiung 9,710 7. Rotterdam 8,220 8. Los Angeles 7,320 9. Hamburg 7,000 10. Dubai 6,420 11. Antwerp 6,060 12. Long Beach 5,780 In 2004, the Port of Los Angeles & Long Beach handled: 43% of all total U.S. IMPORT containerized trade 22.8% of all total U.S. EXPORT containerized trade

Working Toward Solutions Global Collaboration Initiatives Port s Collaboration Strategy Ports Terminal Operators Fuel Providers Engine and Vessel Manufacturers Initial Focus On Pacific Rim Ports Find Out What Other Trading Partners Are Doing Determine Willingness to Collaborate on Air/Environmental Issues Learn from Each Other s Programs Work Jointly to Develop/Evaluate Potential Port Policies & Measures (Initially Focusing on OGVs) Avoid Boutique Strategies Between Ports Better Understand Fuel Availability & Limitations Formation of a Pacific Ports Air Quality Collaborative

Working Toward Solutions Collaboration Initiatives Pacific Rim Ports Port Initiatives Shanghai Initiatives Received MARAD Grant w/technical Support from EPA Signed Letter of Intent First Successful Delegation Completed November 2005 Addn Meetings in February & April 2006 Staff Exchanges July 2006 Mayor s Initiative Fall 2006 Teaming with Marketing Department Leverage Synergies Between Env.. Marketing/International Staff Utilize Established Agents & Contacts Poll Other Pacific Ports to Determine Interest

Working Toward Solutions Collaboration Initiatives Pacific Rim Ports Port Initiatives (cont d) Other Pacific Rim Ports Tokyo Nagoya Busan Hong Kong Pacific Ports Air Quality Collaborative Port Centric Focus EPA Region IX Grant Through West Coast Diesel Collaborative Encourage Communications & Collaboration on Air Quality Issues Between Ports Around the Pacific Rim Provide the Opportunity for Port Staff Exchanges Where Possible, Provide a Common Voice on Recommendations from the Group on Air Quality Issues, Suggested Control Strategies, & Technical Methods

Working Toward Solutions Collaboration Initiatives Fuels/Manufacturers Focus on Fuel Providers Pacific Fuels Availability & Distribution Barriers to Market Focus on Engine Manufacturers Meetings with MAN & Wartsila Green Engines Main & Auxiliary Engine Operations Fuels & Lube Oils Current & Future Engine Technologies Verification Collaboration Opportunities

Working Toward Solutions Collaboration Initiatives Fuels/Manufacturers (cont.) Focus on Vessel Manufacturers Met with Hyundai Heavy Industries Accommodations for AMP Accommodations for Main Engine after-treatment treatment devices Accommodations for Additional Tankage flexibility Current & Future Engine Technologies IAPH Resolution MARPOL Annex VI not good enough Treaty Should be Modified International Standard for Shore-side Power to Ships ISO/IMO Meetings?

Into the Breech Next Steps Complete POLA Clean Air Plan Form Pacific Ports Air Quality Collaborative Planning for First Meeting of Pacific Ports Air Quality Collaborative Meetings w/additional Ports Meetings w/additional Manufacturers Meetings w/international Standards Bodies

Security Modern Terminals Hong Kong

China

Netherlands

Korea

Super Size It Shanghai, China

Working Toward Solutions Local Action Proposing a Joint San Pedro Bay Ports Clean Air Action Plan (cont.) Control Measures Shifting Primary Implementation Strategy to Lease Requirements Focusing Port Incentive Funding To Trucks, OGVs (Targeted), Research & Development/Demonstrations Limited Funding Participation Rate Requirements Gift of Public Funds New Regulations (ARB CHE, OGV, HDV?) Since NNI Partnering w/scaqmd, ARB, EPA for Funding & Expertise Revamping Control Measures to Reflect Above Changes Lease Requirements Changes Control Measure Implementation Timelines & Reductions Need Resolution of 24 nm Boundary vs Current Over Water Boundary

Perspectives Issues for Adoption of Clean Air Measures Regulatory Authority Over OGVs What is the limit of authority over international flags? Within a country, who regulates OGV? Wharf face or out to sea? Costs What can be borne by local jurisdiction? What can be passed to terminal operator? Competitiveness Will it cost me business? Standards and Local Conditions Does the standard recognize international variability? Political Realities Local vs National Port Authorities Local Issue Drivers