The California Air Resources Board recently waived its emissions rules for the state’s truck and railroad industries. It left the 2022 amendments to CARB’s Commercial Harbor Craft Rule in place. This discriminatory policy prompted Jennifer Carpenter, president and CEO of the American Waterways Operators, to write to California Governor Gavin Newsom asking him to overrule CARB.

CARB waived the truck and rail compliance requirement on Jan. 13 because those industries complained that complying would be too expensive for operators. Transitioning to electric trucks and railroad engines requires buying new units that cost multiples of units powered by hydrocarbons. Electric trucks and railroad engines will carry or pull less cargo, forcing owners to use multiple units to haul the same cargo as their current vehicles.

In her letter to Newsom, Carpenter pointed out that “Our industry safely and efficiently moves over 665 million tons of cargo each year while emitting 43% less greenhouse gases than rail and 832 percent less than trucks – the two transportation sectors that no longer need comply with CARB’s most recent emissions rules.” In addition, her members employ over 50,000 Californians and create more than $12.2 billion in annual economic activity. The most environmentally efficient transportation business is penalized while its dirtier competitors operate unrestricted.

With the Environmental Protection Agency granting CARB’s request to enforce its 2022 rules, maritime vessels will be required to install diesel particulate filters on vessels. However, as Carpenter wrote, “DPFs have a history of catching fire on trucks because of their extremely high temperatures. If such an event were to occur, vessel crews must flee overboard.”

Carpenter also noted that new vessels must accommodate DPFs even when the technology does not exist. The policy requires existing vessels to undertake expensive retrofits. However, there are only five drydocks in California that can perform retrofits. Not only will maritime vessel owners face extended times out of service undergoing retrofits, but the estimated $5 million cost may prove too costly, especially for smaller operators.

The AWO letter to Newsom points out that “A recent survey by the Pacific Merchant Shipping Association found that there has already been an exodus of harbor craft since the regulations were adopted, resulting in a lack of ship-assist tugboats necessary to keep deep-draft vessels operating safely and efficiently and threatening cascading problems for California’s supply chain.” 

Will CARB continue with its damaging maritime vessel emissions rules? They will harm the industry and consumers who are forced to pay higher transportation costs for cargoes arriving in California. 

G. Allen Brooks is an energy analyst. In his over 50-year career in energy and investment, he has served as an energy security analyst, oil service company manager, and a member of the board of directors for several oilfield service companies. He is a Senior Fellow of the National Center for Energy Analytics. 

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