Clean Truck Program Gives Boost to Local Economy

In the midst of what many are calling the Great Recession the Clean Trucks Programs at the Los Angeles and Long Beach Ports are proving that enacting effective green policies can protect the environment and benefit the economy.

Since its peak in 2006, nationwide sales of commercial heavy-duty trucks have fallen by about 70 percent. In October of last year however when the ports began their trucks programs local dealerships in Southern California saw a significant upswing in sales of port drayage trucks. Overall over 5,000 new diesel and alternative-fueled trucks have been bought and put into service at the ports. Some companies such as TEC of California Inc. which has sold over 700 trucks to port trucking firms this year have actually fared much better this year than in 2008 despite the continued downswing in the economy. For other dealers the increase in port truck business has helped them to weather the flat-lining of interstate truck sales.

With the ports estimating that at least 4,000 new trucks still need to be replaced in the near future dealerships can expect a steady stream of trucking firms to continue buying new trucks. This is because by 2012 all the trucks that service the ports will have to be either diesel or alternative-fueled trucks that meet 2007 emissions standards.

The president of FTR, a trucking industry research firm, clearly states the commercial truck industry is in very poor shape. “But if there is one place where trucks are selling well, it’s in places like California and the ports specifically because of environmental mandates that have a lot of support.”

Going forward the challenge facing the ports will be to increase the deployment of alternative-fueled trucks in the ports. Of the 5,000 new trucks deployed so far only around 300 are alternative-fueled. In addition to greater reductions in toxic and smog forming emissions these trucks emit significantly fewer climate changing gases than diesel trucks. Earlier this year the ports exempted them from the $35 cargo fee and provided grants to applicants seeking to purchase alt-fuel trucks. This has helped to offset tightened credit standards and the higher costs of Liquefied Natural Gas (LNG) and electric trucks.

By continuing to put in place policies that encourage the purchase and deployment of these cleaner trucks the ports will continue to work towards meeting environmental goals and play a vital role in laying the latticework for a local and regional green economy once economic growth resumes.