Presented by Robert Kanter, Ph.D. Managing Director of Environmental Affairs and Planning

1. Green Port Long Beacha template for…..Reducing the Air Quality Impacts of Trade Related Activities Presented by Robert Kanter, Ph.D. Managing Director of Environmental Affairs and Planning

2. Action Plan Development • Clean Port Summit – March 2006 • Outcome: work together towards solutions • SPBP Clean Air Action Plan Working Group formed • Both Ports • South Coast Air Quality Management District (AQMD) • California Air Resources Board (CARB) • Environmental Protection Agency (EPA)

3. Action Plan Drivers • Minimize health risk from port operations • Accelerate existing emissions reduction efforts • Set consistent project-specific & source-specific standards • Enable port development

4. Action Plan Foundations • Work cooperatively to minimize adverse environmental impacts of operations • Build upon ports & tenants existing programs • Reduce “Fair Share” of port-related operational emissions • Ensure that all new projects meet health risk criteria • Action Plan is a “Living Document” which will be updated & improved annually

5. Target Polluants: DPM, NOx, SOx • DPM - Diesel Particulate Matter: Microscopic particles that includes soot from diesel exhaust; toxic air contaminant • NOx - Nitrogen Oxides: An ozone precursor that significantly contributes to smog • SOx - Sulfur Oxides: A precursor to particulates • The South Coast Air Basin exceeds federal air quality standards for both ozone and particulate matter

6. Sources and Challenges

7. Pollutant Contribution by Source Rail Locomotives 13% (4,533 tons) Rail Locomotives Ocean-Going Vessel 6% (111 tons) 36% (12,834 tons) Heavy-Duty Vehicles Heavy-Duty Vehicles 10% (188 tons) 26% (9,264 tons) Cargo Handling Harbor Craft Equipment Cargo Handling 13% (4,603 tons) 14% (259 tons) Equipment 12% (4,234 tons) Harbor Craft Ocean-Going Vessel 11% (218 tons) 59% (1,136 tons) SOx Heavy-Duty Vehicles Cargo Handling 1% (120 tons) Equipment Rail Locomotives 1% (55 tons) 2% (133 tons) Harbor Craft 6% (520 tons) Ocean-Going Vessels 90% (8,019 tons) NOx DPM DPM Port of Los Angeles Baseline 2001 & Port of Long Beach Baseline 2002

8. Control Measures

9. Three Levels of Standards

10. Standards – Three Levels • San Pedro Bay Standards • Reduce public health risk from port-related toxics • Prevent port-related violations of National Ambient Air Quality Standards (NAAQS) • Reduce port “Fair Share” pollutant emissions • Project Specific Standards • Meet 10 in 1,000,000 excess cancer threshold • Implement maximum feasible controls for projects exceeding CEQA thresholds for criteria pollutants • Source Specific Standards

11. Vessel and Truck Strategies • Ocean-Going Vessels • Vessel Speed Reduction and Green Flag Program • Shore to ship electrification • Low sulfur diesel fuels for main & auxilliary engines • NOx and PM controls on new and existing vessels • Heavy-Duty Vehicles (Trucks) • Replacement/Retrofit of dirty diesel trucks and progressive ban from service • Introduce alternative fuels (e.g. LNG)

12. Vessel and Truck Strategies • Railroad Locomotives • Purchase clean switcher and line-haul locomotives • Standards for new or modified rail yards • Cargo Handling Equipment • Turnover, replace with Clean equipment • Integration of alternative fueled • vehicles • Retrofit • Harbor Craft • Re-power or replace vessels

13. Evaluation of Technologies/Concepts • Technology Advancement Program • Combine expertise & resources • Source category emission reductions • Evaluate “Green Container Transport” concepts • Emission inventory improvements • Ports’ funding commitment: $15 million over 5 years

14. Implementation Strategies • Lease Requirements • Tariff Changes • CEQA Mitigation • Incentives • Voluntary Measures

15. Tracking, Monitoring, and Reporting • Expand Port-Area Real Time Air Monitoring Network • Emissions Inventory-Regular Updates • Monitor Progress on Clean Air Action Plan • Report Progress on Clean Air Action Plan

16. Reporting and Comparing • Inventory = activity record + estimating methodology (engines and specs) • Most recent reporting comparing 2008 to 2005 baseline

17. Vessel Emissions, ‘08 vs. ‘05 • Reductions in PM, SOx, NOx, CO, and HC • CARB auxiliary engine low-sulfur fuel regulation • Increased compliance with Green Flag Program

18. Truck Emissions, ‘08 vs. ‘05 • Clean Trucks Program began on October 1, 2008 • 50% decrease in truck idling time • Lower cargo throughput, lower VMT

19. Harbor Craft, ‘08 vs. ‘05 • Increase in harbor craft activity, increase in emissions • Significant reduction in SOx due to use of ULSD

20. Yard Equipment, ‘08 vs. ‘05 • 89% reduction of SOx due to use of ULSD in all diesel cargo handling equipment • Newer equipment, continued use of emission reduction technologies and alternative fuels

21. Rail Locomotives, ‘08 vs. ‘05 • Overall decrease in emissions • Newer engines, use of ULSD • Increase in on-dock rail throughput

22. Port-wide Emissions,‘08 vs. ‘05 • TEUs decreased 3% • Decrease in all criteria pollutant emissions • Diesel Particulate Matter (DPM) declined 21%

23. Emissions per TEU, ‘08 vs. ‘05 • Increased efficiency • With better technology and cleaner fuels, cargo activities are producing less air pollution per unit of cargo

24. GHG Emissions, 2008 vs. 2005 • Greenhouse Gas Emissions decreased 7% in 2008 compared to 2005

25. Summary • 2008 cargo volume decreased 3% from 2005 • Emission declined much more than cargo: • Particulate matter declined 21% • NOx dropped 14% • SOx decreased 18% • CO fell 7% • HC decreased 17% • Greenhouse Gas emissions decreased 7%