California’s massive container-ship traffic jam is still really jammed
Peak shipping season is coming soon and the “parking lot” of container ships stuck at anchor off the coast of California is still there, with Oakland surpassing Los Angeles/Long Beach as the epicenter of congestion.
Shipping giant Maersk warned in a customer advisory on Wednesday that Los Angeles and Long Beach “remain strained with vessel wait times averaging between one to two weeks.” But it said “the situation is even more dire at the Port of Oakland, where wait times now extend up to three weeks.”
West Coast port delays are having severe fallout for liner schedules. Congestion in California equates to canceled voyages as ships can’t get back to Asia in time to load cargo. Even as U.S. import demand soars, the effective capacity in the trans-Pacific trade is being sharply curtailed by voyage cancellations.
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Ocean carriers with vessels calling at the Port of Long Beach are set to be be further incentivized to deploy their greenest ships.
The Long Beach Board of Harbor Commissioners earlier this month approved changes to the port’s Green Ship Incentive Program, launched in 2012, that incorporate the international Environmental Ship Index (ESI). The ESI is a voluntary system that identifies seagoing ships exceeding the current emission standards of the International Maritime Organization.
Beginning July 1, 2021, the updated program will include three incentive levels ranging from $600 to $6,000, depending on a vessel’s ESI score. Vessels with main engines meeting International Maritime Organization’s Tier III standard, which require dedicated NOx emission control technologies, are eligible for an additional $3,000 credit, meaning a vessel could be eligible for up to $9,000 on every call.
Dive Brief:
The Long Beach Board of Harbor Commissioners approved an exemption from the Clean Truck Fund Rate for the cleanest natural-gas-powered trucks, according to an announcement Monday. The rate, which has been set at $10 per 20-foot equivalent unit for any non-zero-emissions truck at the Port of Long Beach and the Port of Los Angeles, has not yet been implemented.
This new exemption applies to trucks picking up or dropping off loaded containers at the Port of Long Beach that use natural gas engines that meet the 0.02 grams of nitrogen oxides per brake horsepower-hour standard, according to the announcement. To be eligible for the lifetime exemption, trucks must be purchased and registered in the Port Drayage Truck Registry by Dec. 31, 2022.