Port of San Diego Awarded Nearly $59 Million Federal EPA Grant For Electrification Efforts at Both Maritime Cargo Terminals

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The Port of San Diego has been awarded a nearly $59 million grant from the United States Environmental Protection Agency (EPA) for the Port’s San Diego Clean Cargo Project (CCP), which will further electrify operations at the Port’s two maritime cargo terminals and support Zero Emissions (ZE) freight movement. An additional $28 million in match funding provided collectively by the Port of San Diego, the San Diego Air Pollution Control District (APCD), Dole, PASHA, Skycharger, and SSA Marine brings the total project cost to $86 million.

The San Diego CCP will significantly reduce emissions to neighboring communities by implementing the following project components: 

• Construct all remaining improvements to the Tenth Avenue Marine Terminals’ (TAMT) legacy 12-kilovolt (kV) electrical distribution system (12-kV loop) to support zero-emissions electric equipment and shore power systems.
• Install two shore power systems to support commercial harbor craft at TAMT and deployed throughout San Diego Bay.
• Install a shore power system to support Ocean Going Vessels calling at TAMT that can connect to the system.
• Advance a proposed Zero Emissions Truck Stop, strategically located to serve the Port of San Diego’s two maritime cargo terminals, the arterial corridor Harbor Drive, and the region’s freeway network.
• Purchase and deploy battery-electric zero-emissions equipment, vehicles, and charging infrastructure, including 32 pieces of cargo handling equipment, 20 medium-duty stevedore shuttle vans, and 25 heavy-duty trucks.

“The Port of San Diego has long been a leader in powering our national supply chain and advancing low-emission technology, and the San Diego Clean Cargo Project will take that commitment even further,” said Senator Alex Padilla (D-Calif). “This critical investment, made possible by the Inflation Reduction Act, will electrify two of the Port’s high-volume cargo terminals to reduce air pollution in surrounding communities and stimulate economic growth.”

“The Port of San Diego long worked to advance clean air initiatives and electrification at its maritime terminals, something I pushed for enthusiastically when I served on the Port Commission years ago,” said Congressman Scott Peters. “This year, I was very pleased to support San Diego in the Clean Ports Program: Zero-Emission Technology Deployment Competition. This award ensures that San Diego continues to be at the forefront of sustainable, efficient goods movement while improving air quality and supporting the health of our portside communities.”

“The Port of San Diego is essential to powering our regional economy, serving as a key transportation hub for goods and materials,” said Congressman Juan Vargas. “I’m glad to see this federal funding awarded to the Port of San Diego to help it lead on clean cargo practices and reach its environmental and public health goals.”

“We are immensely grateful to the EPA for its financial support and to our congressional delegation for helping us deliver on our promises to support commerce, community, and the environment,” said Chairman Frank Urtasun, Port of San Diego Board of Port Commissioners. “The Port does not do this work alone and is fortunate to have the support of the Environmental Health Coalition and tenants like Dole, PASHA, SSA Marine, and one of our selected developers, Skycharger, who share our vision of health equity for all.”

“The San Diego Working Waterfront is thrilled with EPA’s award notice,” said Sharon Cloward, president of the association. “Businesses within the Port district have been at the forefront of transitioning to zero-emission equipment.  We look forward to working with the Port and manufacturers to deploy this new zero emission equipment and infrastructure to reduce emissions while growing our regional economy.”

In addition to the support of Port tenants, a service provider, and one of the developers working with the Port, the Environmental Health Coalition (EHC), a local environmental justice organization, has agreed to partner with the Port to conduct community outreach and implement a workforce development program. An allocation of $400,000 in funding has been designated for community outreach that will be conducted over a four-year span. Another $500,000 will be for the implementation of a workforce development program.

"This grant from the EPA is a significant step toward demonstrating a clean energy future for the Port of San Diego and ports nationwide," said Franco Garcia, Executive Director of the Environmental Health Coalition. "Portside communities understand the importance of zero-emission electric trucks and cargo handling equipment, and this grant empowers them to advocate for their health and their future. Environmental Health Coalition is prepared to mobilize four decades of successful community organizing in Barrio Logan and West National City to educate portside communities about the substantial environmental and public health benefits of electrifying maritime operations and achieving the ambitious goals laid out in the Port's Maritime Clean Air Strategy."

As an environmental champion of San Diego Bay and for all who live, work and play on and around the bay, the Port is advancing multiple complementary initiatives that have served as the foundation for the San Diego CCP including:

• Maritime Clean Air Strategy (MCAS) – adopted in October 2021, the MCAS serves as the Port’s strategic document in improving air quality through the implementation of 34 clean air initiatives presenting the Port’s vision of “Health Equity for All.”
• Climate Action Plan (CAP) – adopted in 2013, this plan serves as a guide for action including a set of greenhouse gas reductions policies and measures.
• TAMT Redevelopment Plan – Phase 1 resulted in the removal of two obsolete warehouses and created much-needed laydown area for project cargo like windmill components. It also included improvements to on-dock rail, utilities, and new lighting and pavement. Additionally, an exemplary stormwater treatment system was developed to maximize stormwater capture on the terminal. The project brought new maritime cargo business to the Port and created more local jobs.

The Port and EPA staff have begun the process of finalizing the grant agreement with the goal of starting the project in early 2025. The timeline for completion of these projects is anticipated for 2028.