Long Beach Waives Port Fees for Shore Power Users

by Ship & Bunker News Team
Thursday June 12, 2014

In a bid to attract more cargo ships while reducing pollution, the U.S. Port of Long Beach in California will waive fees for ships that comply with shore-power rules, local newspaper the Orange County Register reports.

"For ocean carriers, their biggest concern is cost containment and not making money," said Don Snyder, the port's director of trade development.

"It's hard to predict what kind of revenue will be generated from these incentives. It's very competitive up and down the coast.

"This is designed to retain business and attract business."

To achieve compliance and receive a two-year waiver of dockage fees, ships can shut off their engines and connect to the port's cold ironing equipment or use scrubber barges to clean emissions for their smoke stacks while continuing to run the engines.

The plan also includes waiving dockage fees if ships reduce speed within 40 miles of the port.

Snyder said the port, which is now projecting a slight drop in revenue, hopes to make itself more attractive to vessels.

If 75 percent of ships participated in the program, it would cost $4.9 million per year, but if the plan attracted new ship calls with a total of 250,000 containers to the port per year, it would bring in $20 million over two years.

The port is also extending an incentive to ocean carriers that will bring rail cargo to Long Beach.

A California law requiring ships to use shore power went into effect at the start of the year, but authorities gave ships some flexibility in adopting the technology.