In this article for Bunkerspot, Allyson Browne of the High Ambition Climate Collective examines the ongoing efforts to decarbonize U.S. ports and maritime infrastructure.
As the world grapples with the escalating impacts of climate change, ports hold immense power to lead the charge towards a sustainable future. These bustling hubs of international trade are not just gateways for goods but prime catalysts for global environmental change. Maritime activities currently account for approximately 3% of global carbon emissions, releasing pollutants that disproportionately impact nearby communities.
As climate change intensifies, the resilience of port infrastructure is increasingly tested, demanding immediate and decisive action. Port electrification is no longer an option; it is an imperative for mitigating climate impacts, adapting to new environmental realities, and building resilience for the challenges ahead.
Last summer, the International Maritime Organization (IMO) adopted the 2023 Strategy on Reduction of GHG Emissions from Ships. This strategy aims to peak GHG emissions from international shipping as soon as possible and achieve net-zero GHG emissions by 2050. It also calls for a 40% reduction in the carbon intensity of international shipping by 2030. While the strategy focuses on shipping, it necessitates significant action from ports, which must develop the infrastructure and capacities to enable vessel electrification and bunker clean fuels. Additionally, ports must address the evolving needs of shore-side operations and the electrification and fuel-switch for cargo-handling equipment, heavy-duty vehicles, harbour craft, rail, and aviation where applicable.
Simultaneously, ports are facing increasingly severe and frequent storms, rising sea levels, and the responsibility to protect and preserve critical coastal ecosystems. In 2022, the Environmental Defense Fund’s (EDF) report Act Now or Pay Later: The Costs of Climate Inaction for Ports and Shipping found that without ambitious action to reduce emissions, climate change impacts could cost the shipping industry up to $25 billion every year by the end of the century. The report projects that additional annual damages to port infrastructure could reach nearly $18 billion by 2100. Storm-related port disruptions could add another $7.5 billion each year, reflecting the economic losses incurred by ports, shippers, and carriers due to port closures and the costs to shipping customers. Together, these added future costs due to climate change are roughly equivalent to the total annual net earnings for the container port sector in 2019.
Port electrification is no longer an option; it is an imperative for mitigating climate impacts, adapting to new environmental realities, and building resilience for the challenges ahead.
The call to action is clear: port climate action planning must account for mitigation, adaptation, and resilience—ensuring ports can meet industry needs to decarbonize while preparing for and adapting to the realities of a changing climate.
In the U.S., federal funding for port climate action planning, technology deployment, and infrastructure development underscores the urgency and unprecedented opportunity to advance these efforts. The Bipartisan Infrastructure Law and the Inflation Reduction Act have committed over $20 billion to support port infrastructure and waterway improvements and decarbonization, including the $3 billion allocation in the Inflation Reduction Act’s EPA Clean Ports Program. This program will fund zero-emission port equipment and technology, help ports develop climate action plans to reduce air pollutants, improve air quality and public health in neighboring communities, and advance environmental justice.
NAVIGATING THE COURSE
Despite a clarion call to action, significant challenges persist, and a great chasm exists between leaders and laggards. U.S. ports are motivated to decarbonize by various drivers, including state and local regulations, customer demand, and community pressure. These drivers often lead ports to set climate and clean air goals, which trigger the development of strategies and actions to reduce emissions. However, even motivated ports face significant challenges:
Infrastructure Development: Transmission lines, electric power supply, and charging infrastructure are developing too slowly. For instance, the Port of Long Beach has highlighted the need for significant upgrades to the local grid to support their ambitious electrification plans. Without accelerated infrastructure development, including utility, transmission and distribution systems, and clean energy resource development, ports will struggle to meet their decarbonization targets.
Funding Constraints: Public funding is insufficient to achieve ambitious decarbonization goals. While federal programs are providing substantial funding, it falls far short of the total investment needed. The Port of Los Angeles has cited the high costs of electrification projects, which exceed available public funds, necessitating additional private investment and innovative financing solutions.
Technological Gaps: While some technologies are ready for deployment at scale (such as electric cargo-handling equipment and shore power systems), many others are at low- and mid-technology readiness levels. Prototypes and pilot projects like those at the Port of Long Beach (heavy-duty vehicle charging stations) and Port of San Diego (electric tug) are promising, but it will take time to assess scalability potential and evolve technologies to address equipment performance constraints. It is critical for ports to deploy market-ready electrification solutions and to host demonstration projects for newer technologies. This dual approach requires a whole-of-supply-chain and government commitment to advancing maritime technology.
Although these challenges are real, they are not insurmountable. By leveraging available tools, fostering collaborative efforts, and drawing inspiration from industry leaders, ports can overcome these obstacles and accelerate their electrification journey, paving the way for a climate-positive future.
Without accelerated infrastructure development—including utility, transmission, and distribution systems, as well as clean energy resource development—ports will struggle to meet their decarbonization targets.
LEVERAGING RESOURCES AND OPPORTUNITIES
Shore Power Emissions Calculator (SPEC): To address infrastructure development challenges, the U.S. Environmental Protection Agency (EPA) developed this tool to estimate the emissions mitigation potential of shore power systems. The updated Shore Power Emissions Calculator provides accurate data on emissions reduction, supporting ports in their strategic planning and decision-making.
Standardization, Adaptability & Safety: To overcome technological gaps and barriers to widespread adoption, it is critical that ports consider standardizing shore power systems and energy storage systems and developing mobile positioning devices for vessel adaptability ensure broader adoption and efficiency, facilitating a seamless transition from traditional to electrified equipment. Regarding energy storage, forums like the Maritime Battery Forum provide the industry with a dedicated space to develop standardization and safety practices for new and efficient energy storage technologies.
Public-Private Partnerships and Government Grants: Funding constraints can be mitigated through collaborative efforts between the public and private sectors. Securing government grants plays a crucial role in funding and implementing electrification projects, and it is essential for ports and industry stakeholders to continue advocating for federal and state funding for planning and technology development.
Low/Zero-Emission Energy Sources: Integrating low/zero-emission energy sources such as solar and wind power, along with microgrids, charging infrastructure, and battery storage systems, addresses both technological gaps and infrastructure development challenges. These integrations can significantly accelerate decarbonization and enhance energy resilience. The rise of wind power, particularly in California and the Northeast U.S., exemplifies how ports can leverage renewable energy to support their decarbonization efforts. For example, the Port of Long Beach is pursuing a wind project called Pier Wind, a proposed 400-acre terminal designed to facilitate the assembly of offshore wind turbines, which would be towed to wind farms off Central and Northern California. If approved, Pier Wind would be the largest facility of its kind in the nation and help California meet its renewable energy goals. Projects like these require substantial planning, public-private partnerships, and integrated resource development, and the Port is demonstrating leadership on how ambitious projects like these can be accomplished.
THE URGENCY OF ELECTRIFICATION PLANNING
Over the next decade, the maritime industry must undergo an unprecedented energy transition to achieve the IMO's goal of carbon neutrality in global shipping by 2050. Ports are at the forefront of this transformation, and the stakes have never been higher. The Port Electrification Handbook by PNNL, developed in collaboration with industry leaders, offers comprehensive guidance on electrification projects. The report addresses economic feasibility, resilience impacts, and environmental justice considerations. Utilizing this Handbook, ports can navigate the complexities of electrification with confidence and clarity, ensuring they are well-equipped to meet the challenges and seize the opportunities ahead.
LEADING BY EXAMPLE
PortMiami: PortMiami's proactive capital program includes initiatives to ensure infrastructure resilience in response to climate change. Their shore power project features an advanced cable management system, switches, remote monitoring, and configurations adaptable to various vessel sizes. Helga Sommer, Acting Assistant Director of Capital Development at the port, emphasizes, "Our shore power project exemplifies our commitment to sustainability and climate adaptation, ensuring our facilities can endure the increasing challenges of climate change and continue to serve the community and industry effectively."
Port of San Diego: With a $4.9 million grant from the California Energy Commission, the Port of San Diego installed a renewable, solar-powered microgrid at the Tenth Avenue Marine Terminal. This microgrid includes battery energy storage and energy efficiency lighting retrofits, providing a resilient power source while reducing greenhouse gas emissions and saving the port approximately 60% annually on electrical utilities.
Port of Virginia: Striving for net-zero carbon by 2040, the Port of Virginia powers all terminals with electricity from clean resources, reducing carbon emissions by 45% per container. It is the first port on the U.S. East Coast to be powered by 100% clean energy, setting a benchmark for other ports.
Port of New York and New Jersey: Implementing science-based Climate Resilience Guidelines, the Port of New York and New Jersey aims to mitigate the effects of climate change on its facilities. The port introduced the first all-electric straddle carrier in the U.S. in 2019 and has committed to achieving net-zero carbon emissions by 2050.
A CALL TO PORTS WORLDWIDE
The success stories of ports across the U.S. demonstrate that significant progress is achievable with the right strategies and investments. To meet ambitious decarbonization goals, ports worldwide must begin their comprehensive climate action planning, implementation, and development now.
A PRIMER ON CLIMATE ACTION PLANNING FOR PORTS
Conduct Comprehensive Baseline Assessments and Resource Planning: Ports must start by establishing their baseline emissions inventory across their Scope 1-3 emissions portfolio. Utilize tools like the EPA’s Shore Power Emissions Calculator to understand emissions mitigation potential and prioritize electrification efforts. This baseline will inform the port’s Climate Action Plan (CAP). At this stage, the port should also commence the resource planning process to ensure that utilities/energy supply will meet the port’s needs over time.
Develop the Climate Action Plan: Formulate the detailed Climate Action Plan (CAP), which will be the framework to help the port measure, track, and reduce GHG emissions, adapt to climate change, and make the port more resilient. The CAP should include its mitigation (decarbonisation), adaptation and resilience goals with interim targets, timelines, budgets and key milestones. With respect to electrification, the PNNL Port Electrification Handbook offers invaluable guidance for this process. The CAP should consider where and how industry and community stakeholders can contribute to goal achievement and ensure a just and equitable transition. Environmental Defense Fund and Arup’s Practical Pathways for Port Decarbonization and Environmental Justice offers a series of best practices for net zero-aligned activity and creates measurements for accountability. Specifically, it provides a dashboard with key steps ports can take to help them reach net zero by 2050. Many of these same steps are fundable under the Clean Ports Program, which seeks to reduce air pollution near domestic ports impacting nearby communities. The U.S. EPA also provides a suite of resources for port-wide planning practices to improve air quality, increase port resilience and enhance community-port collaboration.
Identify and Plan Projects: Start with proven technologies and scale up gradually, focusing on high-impact areas such as shore power systems and renewable energy integration. Consider hosting demonstration projects in collaboration with maritime and blue technology incubators, accelerators and advisory firms.
Secure Funding to Develop Projects: Explore public-private partnerships and apply for government grants to fund electrification projects. For U.S. ports, EPA keeps an up-to-date list of funding opportunities on their website.
Monitor, Evaluate and Adjust: Establish a robust monitoring and evaluation framework to ensure projects meet goals and adapt strategies based on performance data. Ports must strive to provide open and transparent access to data to their customers and their communities for visibility and accountability.
SUSTAINABILITY THROUGH ELECTRIFICATION
The imperative for comprehensive climate action planning, implementation and development is clear. Ports have a unique opportunity to lead the global effort towards sustainability through electrification. By following the strategies outlined here and leveraging available tools and resources, ports can become leaders in climate mitigation, adaptation and resilience. The stakes are high, but with concerted effort and collaboration, the maritime industry can navigate this critical transition successfully, fostering a resilient and sustainable future for all.