California investing $1.5bn in port infrastructure projects

California has announced an investment of more than $1.5bn which would enhance the operations of several ports in the US state.

Around $1.2bn will fund 15 projects creating an estimated 20,000 jobs and increasing the capacity to move goods throughout the state’s global trade gateways while lessening environmental impacts on neighbouring communities.

Projects receiving funding will help boost capacity to move goods through the ports of Los Angeles and Long Beach – the busiest ports in the Western Hemisphere – as well as enhance all major trade centres throughout the state – from San Diego to the Central Valley to the Bay Area.

The remaining $350m, administered by the California State Transportation Agency (CalSTA), was also awarded to 13 projects that eliminate street-level rail crossings, reduce emissions, and keep goods and people moving.

The funding – particularly the investments in zero-emission projects, which account for nearly 40% of the Port and Freight Infrastructure Program awards – builds on a partnership between the governments of California and Japan announced this March to collaborate on strategies to cut planet-warming pollution at seaports and establish green shipping corridors as part of the state’s broader strategy to aggressively combat and adapt to climate change.

These awards are part of California Governor Gavin Newsom’s executive order for longer-term budget proposals that support port operations and goods movement.

“No other state has a supply chain as critical to the national and global economy as California. These investments – unprecedented in scope and scale – will modernize our ports, reduce pollution, eliminate bottlenecks and create a more dynamic distribution network,” said Governor Newsom.

“This game-changing grant will make a tremendous difference in our efforts to bring more business and jobs to the harbour, enhance the efficiency of cargo movement and accelerate the Port of Long Beach’s ongoing transformation to zero-emission operations,” added Port of Long Beach CEO Mario Cordero.

“This investment in critical Port of Los Angeles projects, along with supporting regional projects, will accelerate our efforts to boost competitiveness, create jobs, and enhance decarbonization efforts,” concluded Port of Los Angeles executive director Gene Seroka.