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Port of Los Angeles to Provide Cash Incentives for Environmentally-Sensitive Ships

The Port of Los Angeles said it became the first seaport in North America and the Pacific Rim to adopt an international clean air program that rewards ocean carriers for bringing their newest and cleanest vessels to the Port. The Harbor Commissioners voted May 3 to approve an Environmental Ship Index (ESI) program to take effect July 1. Fourteen European ports have adopted the program.

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ESI is a web-based tool developed by the World Ports Climate Initiative (WPCI), a project of the International Association of Ports and Harbors (IAPH). Ship emissions are the single-largest source of air pollution from port-related operations. While diesel particulate matter (DPM) from ships calling at the Port of Los Angeles decreased 68 percent and sulfur oxide (SOx) emissions 74 percent between 2005 and 2010, Los Angeles officials see the ESI as another strong step to encourage the building and deployment of cleaner-burning ships in the TransPacific trade lane.

Initially, up to 30 percent of the ships calling at the Port are expected to qualify for the ESI incentives. Thirty percent participation would cut diesel particulate matter (DPM) emissions by 16 tons within the first year and reduce emissions of other primary pollutants, namely nitrogen oxides (NOx), sulfur oxides (SOx) and carbon dioxide (CO2), L.A. officials said. The Port has committed $450,000 to jumpstart the program.

There are three incentive opportunities within this program to convince shipping companies to participate, according to the fact sheet. To be eligible for any incentive, operators must register with ESI and register with the Los Angeles Harbor Department. For each vessel, the operator must upload the following information to the ESI website to obtain an ESI score:

  • NOx Points: Rated power, and rated engine speed (rpm) as well as actual NOx emissions (g/kWH) for the vessel’s main and auxiliary engines.
  • SOx Points: Amount and fuel sulfur content per bunkering event for heavy fuel oil, marine gas oil (MGO)/marine diesel oil (MDO) between 0.5 and 1.0 percent sulfur and MGO/MDO less than 0.5 percent sulfur.
  • Confirmation that the vessel is capable of using onshore power supply or Alternative Marine Power)
  • CO2 Points: Confirmation that the vessel has a Ship Energy Efficiency Management Plan.

Incentives granted per call basis at the Port of Los Angeles vary depending on the vessel's points score:

  • 40 or greater $1,250 per call
  • 35-39 $1,000 per call
  • 30-34 $750 per call
  • 25-29 $250 per callOGV6 -- Technology Advancement Program Demonstration