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How The Hispanic Business Community Can Play An Active Role In Reducing Emissions From Freight

The success of Texas has long been linked to the success of Hispanics.  Today, nearly 40% of Texans are Hispanic.  As the Hispanic community continues to shape the future of Texas (nearly 50 percent of our state’s youth is Hispanic), EDF is paying close attention to the ongoing air quality and public health challenges facing Houston, Dallas, San Antonio and other areas with significant Hispanic populations.  Nationwide, one in every two Hispanics lives in a county that frequently violates health-based ozone standards (see U.S. Latinos and Air Pollution).  This means that Hispanics, especially those within sensitive subpopulations, such as children and the elderly, are at greater risk of public health effects, such as asthma, lung cancer, stroke and premature death due to increased exposure to harmful air pollution.

There is good news though!  Hispanic businesses can make a significant difference in reducing air pollution through their logistics and freight transportation operations in key hubs, such as Houston.  Last month, I attended the International Summit & Business Expo, hosted by the Houston Hispanic Chamber of Commerce.  At the conference, we met with representatives of several companies who are eager to grow their businesses in the Houston area and the rest of the state.  Additionally, we discussed how they can play a leading role in reducing the health burden for Hispanics and all Houstonians by supporting clean air initiatives, such as participating in the Houston regional clean truck program, signing up for the SmartWay Drayage Program and setting efficiency and emissions reductions goals.

EDF has a track record of working with companies and organizations to reduce emissions from freight transportation, and we look forward to engaging new partners on our collaborative effort to ensure healthy air for our communities and a thriving business environment.

The Houston-Galveston Area Council’s (H-GAC) Clean Cities Coalition and Clean Vehicles programs will host a clean fleet conference on June 5^th in Sugar Land, Texas.

Dedicated to helping transportation fleets conserve fuel and reduce air pollution through the use of alternative fuels, technologies, and retrofits, this year's conference features engaging discussion from industry, academic and governmental experts  on varied topics, such as:

• Creating a Clean, Sustainable Fleet
• Growth of Alternative Fuel Fleets and Infrastructure Networks
• Transitioning Your Fleet to Alternative Fuels
• On the Road: One Fleet and Multiple Fuels
• Driving Ahead: Alternative Refueling Infrastructure
• Texas’ Alternative Fuel Advantage

Dan Frakes, manager of Advanced Technology and Vehicle Fuels Policy for the Public Policy Center of General Motors, is the keynote speaker. Vic LaRosa, president of TTSI, an EPA SmartWay truck company at the Port of Houston, is speaking as well. Vic’s company is one of the partners in Houston’s hydrogen fuel cell electric hybrid truck demonstration project.

The two H-GAC programs responsible for bringing these key stakeholders together work collaboratively to spur momentum for innovative air pollution reduction strategies.  The Clean Cities Coalition mission is to reduce air pollution through the displacement of petroleum, by promoting and facilitating the usage of alternative fuels, advanced vehicle technologies, and fuel conservation initiatives.  The Clean Vehicles program incorporates a three-phase project management system to assist organizations in trying to secure funding for transportation solution projects.

As we’ve stated many times before, solutions for improving Texas air quality emerge from a variety of sources and cooperative efforts. We are encouraged that discussions in forums such as this one continue to take place, and we applaud the efforts of H-GAC in making it happen.

Voluntary truck replacement programs at ports are a common means of improving local air quality without imposing strict restrictions.  However, new research shows that these voluntary programs, while a critical component of a comprehensive clean air plan for ports, are limited in their overall effectiveness, especially when considered in the context of mandatory programs.  A new peer-reviewed study by Environmental Defense Fund, “Emissions reduction analysis of voluntary clean truck programs at U.S. ports”, will be published in the July issue of Transportation Research Part D: Transport and Environment.  The study, authored by Elena Craft, PhD and me, demonstrates that voluntary programs only reduce emissions by one to four percent compared to a baseline of truck emissions before program implementation.  Furthermore, the potential emission reductions are limited to 15 percent for particulate matter (PM) and 35 percent for nitrous oxides (NOx), two pollutants linked to serious health risks.  This means that, under current program guidelines, only a fraction of total truck emissions could be reduced through voluntary replacements.  These findings are striking given the accomplishments noted at ports that have implemented more rigorous programs, such as the Port of Los Angeles Clean Truck Program, which set a progressive ban on older, more polluting trucks, ultimately requiring the use of clean trucks that meet the 2007 emissions standards.

This is a critical environmental and public health issue.  Short-haul drayage trucks have been found to contribute substantially to port area air pollution, and there is broad consensus from communities, cargo owners, transportation providers, and ports that older trucks need to be retrofitted or retired in order to reduce the public health risk from emissions associated with freight transportation.

In 2009, EDF announced a partnership with the Houston-Galveston Area Council and the Port of Houston to replace older, polluting trucks with new, cleaner models.  The outcome of this partnership resulted in the best incentive program in the country for owner-operator truck drivers.  The Drayage Loan Program combined federal and state grants to provide drivers with low-interest loans and high value grants to trade in their truck.  While voluntary programs, such as the one at the Port of Houston, have helped build stakeholder support and drive progress toward cleaner air, the limited capability of voluntary programs, as demonstrated by this study, highlights the need for stronger actions on behalf of all partners.  This is especially true for Houston, as emissions from trucks operating at the port are estimated to amount to approximately half of all emissions within the port’s 2015 projected emissions inventory. 

The ports that have enacted voluntary truck programs should be applauded; they trail blazed the path toward clean air with an important step and truckers started upgrading to newer, cleaner truck models.  But now is the time to do more and these early successes should be the force for driving greater environmental improvement.  We have the knowledge base, the partnerships and the resources to implement more rigorous truck programs and emission reduction initiatives.

Immediate Reductions Are Equivalent To Taking One In Eight Cars Off the Road

(source: www.eta.co.uk)

Today, the U.S. Environmental Protection Agency (EPA) released updated national vehicle emissions and fuel standards, commonly referred to as Tier 3, which will reduce the amount of sulfur in U.S. gasoline and establish stronger tailpipe emission limits on new passenger vehicles.

These measures will directly reduce toxic air pollutants, soot and smog – or ground level ozone as it is otherwise called – and at a low cost. Tier 3 is supported by state health officials, automakers, the emissions control industry, health and environmental groups, and national recreation groups because it will help protect public health, provide greater regulatory certainty for the automobile industry, and create jobs in refineries and manufacturing.  Furthermore, the additional cost to consumers of the cleaner gasoline will be less than a penny a gallon.

Why is Tier 3 important? Passenger vehicles are the second largest emitters of nitrogen oxides (NOx) and volatile organic compounds in the U.S. – the two primary pollutants that form ozone. Cars and light trucks also emit more than half of all carbon monoxide pollution, and contribute significantly to dangerous and sometimes lethal particulate matter emissions.  One of the Tier 3 supporters, Honda’s Senior Manager of Environment & Energy Strategy, Robert Bienenfeld explains that Tier 3 regulations will “enable a single national fleet to address all emissions regulations, and to reduce real-world emissions and improve public health.”

The benefit to the public will come from a dramatic and immediate cut in air pollution just from the sulfur reduction in gasoline alone – comparable to taking 33 million vehicles or one in eight cars off the road, according to National Association of Clean Air Agencies (NACAA).  Couple the fuel standards with the tailpipe standards and they will together reduce national motor vehicle emissions of NOx, carbon monoxide, and volatile organic compounds by 29, 38 and 26 percent respectively.

Bill Becker, the Executive Director of NACAA, notes that “There is no rule that will provide states and localities with as significant and as expeditious reductions in NOx as the Tier 3 regulations.” And when you think of Texas, a state with approximately 19,175,000 cars and trucks  driving across 80,000 miles of road, you can expect to see a significant air quality improvement.

It is safe to say that Texas is in need of cleaner, more efficient cars and trucks.  First, as we have reported many times, Texas is a high risk area for ozone health threats.  Last year, Texas exceeded ‘health-based’ ozone limits over 120 times in the larger metropolitan areas.  Second, Texas keeps growing, and with a rise in population comes a rise in the number of cars on the road as well as the associated health risks.  Luckily, Texas citizens are in a position to take control of their everyday car usage and shift gears on the type of car to buy. Hybrid and electric vehicles are clean alternatives and are becoming more popular in the state. And advanced technologies for gasoline and diesel vehicles are driving up miles per gallon (MPG) to help Texans capture fuel cost savings, despite the state’s challenges to fuel efficiency improvements.   There are other ways Texans can offset car pollution and save money – they can drive less, use public transportation and push local governments for clean, fuel-efficient programs. From a health perspective, cleaner cars mean cleaner air and improved health for Texas citizens.

Click here to find out more ways to reduce your own car footprint, limit gasoline usage and save money at the pump.

Source: www.earthtechling.org

Thanks to funding from the Department of Energy (DOE) and some committed regional stakeholders that include  Houston Galveston Area Council (HGAC), Total Transportation Services, Inc. (TTSI), Air Products, Vision Industries, and EDF, 20 dirty, diesel powered heavy duty trucks, the ones carrying large containers, will be replaced with zero-emission TYRANO™ hydrogen fuel cell-electric trucks.  The DOE granted HGAC $3.4 million in funding to launch a zero emission engine technology demonstration project – the largest of its kind- at the Port of Houston Authority (PHA), where heavy duty trucks are projected to account for almost half of all port emissions by 2015.

Expected emission reductions from the project include 39 tons of nitrogen oxides and 0.8 tons of particulate matter per year. This award is especially timely as the Houston area is on the verge of a non-attainment designation with the newly strengthened particulate matter standard and still struggles to meet the national ambient air quality standard for ozone.  In addition to reductions of criteria air pollutants, the demo will enable the displacement of 200,000 gallons of diesel annually (equivalent to reducing 2,180 tons of CO₂).

Historically speaking, the cargo transport sector has been confined to older, dirtier diesel engines. This award signifies a positive step forward in demonstrating a new technology for the freight sector. The trucks are expected to be rolled out later this year, and will be fueled with hydrogen locally sourced from natural gas feedstock.

In addition, over 80 percent of the truck components will be built and assembled right here in America.  Clean air and clean energy for a better economy makes for a triple win.

This week, I participated in a panel at the Georgia Foreign Trade Conference titled: “Beyond the Headlines – How the industry implements environmental improvements.” The panel represented some of the biggest powerhouses in the port industry talking about environmental performance and sustainability, including:

• James Jack, Executive Director, Coalition for Responsible Transportation (CRT)
• Dean Tracy, Director of Import Transportation, Lowe’s
• Curtis Foltz, Executive Director, Georgia Ports Authority
• Tony Chiarello, President and CEO, TOTE, Inc.
• Rick Gabrielson, Senior Director, International Transportation, Target Corporation

Peter Tirschwell, Senior Vice President of Strategy, UBM Global Trade, Journal of Commerce, moderated the discussion.

Each of the speakers shared some new and exciting initiatives going on within their organizations. Some of the highlights included:

• Information on the two new LNG containerships recently purchased by Tony’s company, TOTE. Scheduled to be operational on short hauls in US waters in 2014, the over 700 foot long containerships are expected to be the largest ships of any type in the world to be primarily powered by liquefied natural gas (LNG). This new technology was developed as part of an effort for short sea shippers to comply with the new fuel standards that have been adopted as part of the emission control area (ECA).
• New environmental efforts underway at the Georgia Ports Authority include the first electric rubber tired gantry crane
  

  Georgia Foreign Trade Conference

• Corporate sustainability initiatives underway at Lowe’s
• Corporate sustainability initiatives underway at Target
• The Coalition for Responsible Transportation, an industry association committed to supporting sustainability efforts at ports

I’d like to thank Georgia Ports Authority for the invitation to participate in this year’s conference, and for their leadership in incorporating environmental sustainability as part of their overall strategic plan. Recognizing and highlighting powerful players focused on sustainability and best practices in the industry is just plain good business.

Last October, Environmental Defense Fund co-hosted a workshop with the American Association of Port Authorities (AAPA) on performance metrics at ports. On Thursday, January 17, a group of thought leaders from the October workshop gathered to memorialize the workshop and discuss how those metrics might be used to highlight top performing ports with regard to environmental performance. The meeting specifically focused on air pollution as related to the movement of containers at large ports.

The diverse set of participants represented some of the nation’s largest ports, including Port of Long Beach, Port of Seattle, Virginia Ports Authority, Port of Houston Authority, Port Authority of New York and New Jersey, Jacksonville Port Authority as well as the Environmental Protection Agency, AAPA, and the Coalition for Responsible Transportation. Discussion ranged from typical terminal performance metrics currently in place at ports to cutting edge environmental initiatives that are underway as well as considerations on how to be inclusive of differences in port size and management/operational structures.

As the collaborative process of developing a recognition program for top performing ports and terminals moves forward, EDF and other stakeholders will be reaching out to additional constituencies to ensure that the group develops an environmental performance toolkit that balances local needs and circumstances while addressing industry-wide challenges. We envision that the performance metric toolkit will encompass a variety of modes and sectors of activity at ports, including ships, heavy-duty trucks, cargo handling equipment, rail, and harbor craft. Many ports currently have programs that mitigate emissions from these sectors and the toolkit is anticipated to serve as a foundation for highlighting top environmental performers in the field.

As supply chain sustainability becomes a more visible concern, federal health-based air quality standards are strengthened, and the Panama Canal expansion presents new opportunities for the shipping industry, we expect that the effort to establish environmental performance metrics will help drive efficiency and environmental improvements at ports. Together, with our stakeholders, we look forward to continuing the dialogue and building an effective tool for port sustainability and environmental recognition.

The current expansion of the Panama Canal, expected to be completed by early 2015, creates tremendous opportunities for the global freight transportation industry and may have significant effects on many ports in the United States, particularly in Houston and other Gulf areas. Today, I am happy to announce the publication of a peer-reviewed paper that analyzes the environmental implications of potential changes in container shipping as a result of the expansion. “Panama Canal Expansion: Emission Changes from Possible U.S. West Coast Modal Shift ,” is featured in a special issue of the journal Carbon Management. This paper, a collaboration by researchers at the University of Delaware, Rochester Institute of Technology, and Environmental Defense Fund (EDF), estimates changes in carbon dioxide (CO₂) emissions and regional criteria pollutant emissions such as nitrogen oxides and particulate matter.

Our study found that using larger, more efficient container ships instead of the traditional truck/rail overland network for East Coast-bound cargo may not necessarily offset the increase in carbon emissions resulting from a longer waterborne distance traveled. Although the carbon effects may be negligible, localized air pollution is anticipated to rise in ports with projected growth in cargo volume. This includes the emissions of criteria pollutants that increase the risk for health impacts, such as asthma and lung disease. Ports located in federal nonattainment areas, such as the Port of Houston, could be faced with additional traffic from the Panama Canal expansion that creates further air quality concerns (see our previous post on this issue). Although some ports, shippers and carriers are working to improve their environmental performance, more needs to be done to ensure we leverage the opportunities from an enhanced Panama Canal.

Air pollution concerns are even more relevant now for Houston now that the U.S. EPA has strengthened the annual particulate matter (PM) standard to 12 micrograms per cubic meter. This change, projected to save thousands of lives, reinforces the need to understand future emissions scenarios and strategically improve air quality.

As our paper illustrates, short sea shipping may be one way to alleviate traffic and pollutant emissions along the East and Gulf Coasts. As the shipping sector evolves following the Canal expansion, we are researching the impact of short sea shipping and other strategies to understand how they might mitigate some greenhouse gas and criteria emissions as well as increase reliability, network optimization and time of delivery.

As carriers and shippers look to reduce their environmental footprint, our report demonstrates that a systems approach must be taken to fully understand the effects of route selection, modes and distribution networks. An intermodal strategy can best take advantage of infrastructure developments such as the Canal expansion, provided that we carefully consider all of the costs and benefits. We continue to evaluate the impact of an expanded Panama Canal for the Houston region, and are working tirelessly to ensure that any growth is smart growth.

Complete supply chains are inherently international and logistics decisions made in Bentonville, Arkansas can have impacts in ports such as Callao, Peru just as carrier choices made in Santiago, Chile may affect operations in Houston, Texas. While these complexities present challenges to the transportation and logistics sectors, they are also opportunities to collaborate across regions, companies, and industries. Much of the work required to improve air quality in transportation hot spots and drive efficiency gains in routing and distribution networks involves myriad actors. Of course, carbon accounting and technology adaptation are practices that are not limited to the U.S. and there is growing international interest in making supply chains more sustainable.

An example of new opportunities to engage more broadly on supply chain sustainability comes from last month’s Council of Supply Chain Management Professionals (CSCMP) Annual Conference. I met a representative from the Buenos Aires-based radio program “Hablemos de Logística” and we discussed trade growth in Latin America, environmental challenges facing the region, industry views on supply chain sustainability, and EDF’s vision and goals for regional efforts on transportation and logistics environmental programs. This interview (in Spanish), which aired on the October 23^rd broadcast of “Hablemos de Logística,” captures some of our discussion. The radio program’s media group also includes Foro Logística, an event-based group that hosted the 4^th Forum on Sustainability and the Supply Chain on November 6 in Buenos Aires. While the media group focuses on all aspects of supply chain and logistics topics, they understand the growing role that sustainability will play in this sector.

As EDF helps bring sound science and market-based economics to solving some of the world’s greatest environmental challenges, we are regularly looking for new partners and new opportunities. The global nature of supply chains and growing international awareness of transportation-related environmental concerns means there is better availability to work with diverse stakeholders on supply chain sustainability. This work translates to carbon reductions and air quality improvements for numerous regions as sustainability practices (such as those highlighted by my colleague Elena Craft) become more fully integrated in global supply chains.

La logística es internacional por su naturaleza y el interés en la sustentabilidad de la supply chain va creciendo cada año en América Latina. EDF se ha dedicado a solucionar temas de la huella de carbono, la eficiencia en transporte de carga y la contaminación del aire con varios socios del sector comercial, transportación y público. En la conferencia de CSCMP tuvimos la oportunidad de conversar con Fabio Contino, Director de “Hablemos de logística” un programa de radio basado en Buenos Aires. Hablamos sobre  los desafíos medioambientales en la región, el rol de sustentabilidad en la supply chain y la visión de EDF para una logística más eficiente y sustentable. La entrevista fue emitida en el programa del 23 de octubre y también online. EDF espera avanzar estos temas en América Latina y trabajar con autoridades portuarias, el sector del transporte, coordinadores de logística y el sector comercial para realizar una supply chain más sustentable.

While most of EDF’s freight transportation clean air efforts address emissions from the trucking and ocean sector, use of our nation’s railroad system for intermodal goods movement has been growing. In fact, the Association of American Railroads (AAR) reports that intermodal traffic on U.S. rail has risen from 6 million units in 1990 to nearly 12 million in 2011.

As rail lines come to view intermodal as a growth sector and revenue generator, there are significant opportunities to ensure that freight transportation remains on a path toward sustainability. In that context, Norfolk Southern and GE Transportation hosted the 2^nd Annual Railroad Sustainability Symposium last week to highlight current sustainability practices in the sector and to create a dialogue about how sustainability impacts railroads, freight transportation and supply chain logistics.

The symposium covered a wide range of topics including new locomotive technology, sustainability measurement, and land restoration efforts. Perhaps most relevant to clean air issues in environmental hotspots was an update on the NS 999, an electric switcher locomotive prototype first rolled out in 2009 by Norfolk Southern. This locomotive was designed with the express purpose of serving rail yards, an area with high traffic density and idling rates, as well as harmful emissions.

The NS 999 emits no pollutants from combustion and would be most impactful in reducing harmful criteria pollutants which threaten public health. Efforts to continue testing and developing the locomotive are ongoing, but the NS 999 represents a significant effort to address emissions at some of the most critical junctures of the supply chain.

Also of particular interest was the discussion on metrics and calculations for sustainability efforts. A number of companies represented at the symposium are a part of the Carbon Disclosure Project and/or the Dow Jones Sustainability Index. Many spoke of the need for accountability of emissions estimations and third-party verification of data that feeds into sustainability and emissions modeling.

The AAR showcased their carbon calculator, a popular tool also used by other transportation stakeholders like the Port of Seattle. These calculators estimate the amount of carbon dioxide emissions avoided by using a particular route or mode. Companies, shareholders, regulators and other interest groups continue to push for transparency in sustainability to allow consumers and suppliers of transportation services to measure their impact and achievements in this area.

The symposium was informative and the dialogue collaborative as representatives from the rail industry, shippers, logistics partners and others met to advance the sustainability agenda for railroads. Rail is a growing player in the intermodal market and new infrastructure developments across the country promise to spur additional growth for this sector.

Houston is recognized as a major rail hub for the region and at the Port of Houston, locomotives represent approximately 13 percent of port nitrogen oxide (NOx) emissions and 8 percent of port particulate matter (PM) emissions according to the 2007 Goods Movement Air Emissions Inventory. As we work towards improving air quality in environmental hotspots and reducing carbon emissions across the supply chain, we look forward to engaging with rail partners on freight sustainability.