10a. Memo - Charting the Course to Zero: Port of Seattle’s Maritime Climate
COMMISSION AGENDA MEMORANDUM Item No. 10a ACTION ITEM Date of Meeting November 16, 2021 DATE: October 29, 2021 TO: Stephen P. Metruck, Executive Director FROM: Sandy Kilroy, Senior Director Environment, Sustainability and Engineering Jon Sloan, Interim Director, Maritime Environment & Sustainability Alex Adams, Sr. Manager, Environmental Programs Ryann Child, Sr. Environmental Management Specialist SUBJECT: A Resolution to Adopt Charting the Course to Zero: Port of Seattle's Maritime Climate and Air Action Plan ACTION REQUESTED Request a second reading of Resolution No. 3792 and Commission adoption of Charting the Course to Zero: Port of Seattle's Maritime Climate and Air Action Plan. A first reading of Resolution No. 3792 occurred on October 26, 2021 EXECUTIVE SUMMARY Charting the Course to Zero: Port of Seattle's Maritime Climate and Air Action Plan (the MCAAP) is the Port's first ever comprehensive plan to address climate change and air pollution from maritime sources and is the Port's implementation plan for the 2020 Northwest Ports Clean Air Strategy (NWPCAS), which was adopted in April 2021. The MCAAP charts the course to achieve the Port's Century Agenda target of a 50% reduction in greenhouse gas (GHG) emissions by 2030 and implement the NWPCAS vision to phase out emissions from seaport-related sources by 2050. The MCAAP identifies and evaluates the impact of emission reduction strategies for scope 1, 2, and 3 GHG emissions from administrative operations of the Maritime and Economic Development Divisions (Maritime/EDD), including energy used in Port buildings, fuel used in fleet vehicles and equipment, and emissions associated with employee commuting and solid waste transportation and disposal. It also identifies strategies to reduce air and GHG emissions from Maritime/EDD tenants and maritime activity, such as cruise sailings, grain terminal operations, commercial fishing, and recreational marinas. In addition, the MCAAP includes the Port's habitat restoration programs to acknowledge the future carbon sequestration potential of shoreline and marine habitats. The MCAAP strategies and actions were informed by extensive engagement across internal Port departments and with external community, government, and industry stakeholders. Template revised January 10, 2019. COMMISSION AGENDA Action Item No. 10a Page 2 of 12 Meeting Date: November 16, 2021 Implementation of the MCAAP will continue to be informed and projects further defined by ongoing engagement with near-port communities, government agencies, and maritime industries and will prioritize actions that advance environmental justice and help resolve environmental health disparities. BACKGROUND For more than a decade, the Port has worked collaboratively with regional ports, government, community, industry partners and non-profits through the NWPCAS to reduce seaportrelated air pollution and GHG emissions. In April 2021, the Ports of Seattle, Tacoma, the combined container operations of The Northwest Seaport Alliance (NWSA), and the Vancouver Frasier Port Authority in British Columbia (together, the Northwest Ports), jointly committed to a new vision to phase out emissions from seaport-related activities by 2050. Through the 2020 NWPCAS, the Northwest Ports will work toward the 2050 vision by leading changes in equipment, fuels, and infrastructure that support cleaner air for local communities and fulfill the ports' shared responsibility to help limit global temperature rise to 1.5C. Since the 2020 NWPCAS vision and objectives are high-level and span the Northwest Ports' operations and different governance structures, each port committed to releasing a portspecific plan for implementation. Port -specific implementation plans enable each port to identify, prioritize, and focus resources on actions and investments in a way that is strategic and relevant to their individual business and policy contexts, and to the regions where they operate while still maintaining the long-standing collaborative NWPCAS effort. The MCAAP is Port of Seattle's NWPCAS implementation plan. The MCAAP adds detail to the strategies and actions the Port of Seattle will take locally to achieve the ambition set in the NWPCAS (Figure 1). The MCAAP builds on the Port's environmental successes, such as providing shore power for cruise ships since 2005 and generating over 400,000 kWh of solar energy on Port rooftops. It includes related projects, programs, and strategic planning efforts to chart the course to zero-emissions, including the development of the Seattle Waterfront Clean Energy Strategy, which is a priority action within the MCAAP to identify future energy infrastructure needed to support long-term decarbonization of maritime operations in Seattle. The scope of the MCAAP does not include GHG or air pollutant emissions associated with SeattleTacoma International Airport, the NWSA, or Port of Tacoma. Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA Action Item No. 10a Page 3 of 12 Meeting Date: November 16, 2021 Figure 1. Inter-relationship of Port of Seattle's Maritime climate, air, and clean energy planning efforts to phase out seaport-related emissions in Seattle Northwest Ports Clean Air Strategy Maritime Climate and Air Action Plan Seattle Waterfront Clean Energy Strategy Projects and programs to support the zeroemission transition DETAILS Development The Port began developing the MCAAP alongside the 2020 NWPCAS. Both documents were informed by a twoyear engagement process with a representative panel of community, environmental and health advocacy organizations, industry representatives, and Tribal, federal, state, and local government agencies in the Puget Sound region. After adopting the 2020 NWPCAS in April 2021, the Port, the NWSA and the Port of Tacoma responded to public requests for additional time to review and engage on the details of the implementation plans for each entity. Accordingly, the three organizations designed and jointly led an engagement process focused on the implementation plans over the summer of 2021. This process, which was informed by the goals of the Duwamish Valley Community Benefits Commitment, included targeted outreach to near-port communities and equitable, accessible opportunities to learn about and share feedback on the ports' proposed approaches to reduce climate and air pollution. The extended community engagement period launched in early July and concluded in mid-August 2021. The engagement process included a dedicated webpage with links to each organization's implementation plan, a community readers guide to help improve access to the full MCAAP draft, an online survey available in six languages, a NWSA-led survey of the trucking community, several public webinars, targeted outreach to neighborhood groups, meetings with industry, government, non-profit, and community-based organizations, and interactive workshops. Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA Action Item No. 10a Page 4 of 12 Meeting Date: November 16, 2021 Feedback from engagement on NWPCAS implementation in the Seattle and Tacoma harbors fell into the following themes: (1) Strong consensus on the need to achieve zero emission operations by 2050 and to prioritize the clean energy transition (2) Feedback on the importance of interim emission reduction targets (3) Desire for the ports to lead by example and prioritize clean air and climate investments to address health disparities in environmental justice communities (4) Desire for more accountability, communication, and transparency in reporting and decision-making by the ports (5) Consensus on the importance of reducing emissions from trucks, but concerns about cost, feasibility, and equity for drivers (6) Concerns about ocean-going vessels as a major source of emissions and the impacts of vessel traffic on marine life The feedback the Ports of Seattle, Tacoma, and the NWSA received helped inform the implementation strategies within each plan. Changes were made to actions in the final MCAAP to better reflect community priorities. These themes, the results of engagement, and a detailed list of changes the Port made to its MCAAP were summarized publicly in a report-out webinar and detailed in an engagement summary document posted on the Port's website. In addition to the extensive engagement on the MCAAP itself, the Port worked with the Port Community Action Team and a Duwamish Valley community-based organization to develop the resolution that accompanies the MCAAP. Vision, guiding principles, and GHG targets The MCAAP upholds the same vision as the 2020 NWPCAS: Phase out emissions from seaport-related activities by 2050, supporting cleaner air for our local communities and fulfilling our responsibility to help limit global temperature rise to 1.5C. It also shares the same guiding principles to inform how the Port will work toward the NWPCAS vision, which are: community health, climate urgency, social equity, innovation, evidence-based decisions, focused resources, leadership, accountability, and port competitiveness. With the 2020 NWPCAS as the overarching policy framework, the MCAAP focuses on strategies and actions through 2030 to achieve the Port of Seattle's Century Agenda target of a 50 percent reduction in GHG emissions by 2030 and make progress toward the 2050 vision of the NWPCAS. The MCAAP also acknowledges the Port's long-term GHG emission reduction targets in the Century Agenda. Given the urgency of the climate crisis and the Port's desire to transform operations to eliminate GHG emissions, the Executive Director accelerated the Century Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA Action Item No. 10a Page 5 of 12 Meeting Date: November 16, 2021 Agenda's GHG reduction targets on October 26, 2021. The accelerated targets (outlined in Table 1) are included in the MCAAP. Table 1. Port of Seattle's Century Agenda GHG reduction targets Original Targets Accelerated New Targets Scope 1&2 15% below 2005 levels by 2020 15% below 2005 levels by 2020 Port Directly and 50% below 2005 levels by 2030 50% below 2005 levels by 2030 Indirectly Carbon neutral by 2050 OR Net-zero or better by 2040 Controlled Carbon negative by 2050 Emissions Scope 3 50% below 2007 by 2030 50% below 2007 by 2030 Port Influenced 80% below 2007 by 2050 Carbon neutral or better by Emissions 2050 The MCAAP also acknowledges alignment with international, state, and local priorities, including Resolution 3767: The Duwamish Valley Community Benefits Commitment and the Duwamish Valley Clean Air Program. Port of Seattle's Maritime-Related Emissions The MCAAP addresses the Port's maritime-related emissions in two sections: Port Maritime Administration and Maritime Activity. Port Maritime Administration emission sources include building and campus energy, fleet vehicles and equipment, employee commuting, solid waste, and the future carbon sequestration potential of shoreline habitat restoration. Port Maritime Administration emissions sources make up 6% of the Port's total maritime-related GHG emissions. While a mix of scope 1, 2, and 3 emissions, Port has relatively more influence over these sources. Maritime Activity sources include ocean-going vessels (cruise and grain ships), harbor vessels (tugboats, commercial fishing, and recreational vessels), cargo-handling equipment, provisioning trucks and cruise buses, and rail locomotives. Maritime Activity sources contribute 94 percent of the Port's total maritime-related GHG emissions. As the Port does not own or operate vessels or equipment within maritime activity sectors, it has limited influence over GHG emissions from these sources, which all fall entirely under Scope 3. Figure 2 shows the relative contribution of each of the Port's maritime emissions sources to the Port's overall maritime emissions. Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA Action Item No. 10a Page 6 of 12 Meeting Date: November 16, 2021 Figure 2. 2019 profile of Port of Seattle maritime-related GHG emissions 1.7% 1.1% 1.1% 1.6% 0.3% Emission Reduction Strategies and Commitments by 2030 The MCAAP identifies a set of ambitious, timely strategies and actions to be taken by 2025 and 2030 for both Port Maritime Administration and Maritime Activity sectors to decrease GHG and air pollutant emissions by 50 percent. Key actions to be taken by 2030 include: (1) Continual engagement with community, industry, and government to reduce emissions (2) 100% of Port-owned light-duty vehicles are electric or use renewable fuels (3) No fossil natural gas use in Port-owned buildings (4) Shore power infrastructure installed at all cruise ship berths (5) 100% of homeport cruise ship calls connect to shore power (6) The Seattle Waterfront Clean Energy Strategy (SWCES) has established industry and utility partnerships and the Port and partners are addressing key constraints by deploying enabling infrastructure for zero-emissions equipment, locomotives, vehicles, vessels, and buildings A full list of MCAAP strategies and emission reduction potential for each sector is included in Table 2 (next page). Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA Action Item No. 10a Page 7 of 12 Meeting Date: November 16, 2021 Table 2. Summary of emission reduction strategies by MCAAP sector and estimated GHG emission reduction potential by 2030 Approximate Annual Metric Port Maritime Administration Strategies Tons (MT) CO2 Reduction Potential by 2030 Building and Campus Energy (BC) BC1: Eliminate fossil natural gas 1,400 BC2: Implement energy audit conservation measures 330 BC3: Install energy efficient lighting and controls 140 BC4: Reduce plug loads and upgrade controls 25 BC5: Maximize use of renewable energy 50 BC6: Advance energy data management and planning Critical to other efforts BC7: Apply high performance lease terms Critical to other efforts BC8: Strengthen energy conservation communication and Critical to other efforts education Fleet Vehicles and Equipment (FV) FV1: Use drop-in renewable fuels 330 FV2: Deploy electric vehicle charging across Port waterfront Critical to other efforts FV3: Transition to electric vehicles 250 FV4: Right-size vehicles and fleet 75 FV5: Use technology to gather data and improve efficiency Critical to other efforts FV6: Educate Port drivers on eco-driving and fleet use Critical to other efforts practices Employee Commuting (EC) EC1: Encourage use of flexible work arrangements 350 EC2: Update employee commute benefits for low-emission 210 commutes EC3: Expand employee communication and education 60 EC4: Continue to advocate for better transportation access 60 Solid Waste (SW) SW1: Maximize diversion of common recyclables and 60 organics SW2: Minimize solid waste generation 60 SW3: Expand specialized items recycling 15 SW4: Enhance communications with employees and tenants Critical to other efforts Habitat Restoration and Carbon Sequestration (HR) HR1: Complete Smith Cove Blue Carbon Benefits Study To be determined HR2: Continue shoreline restoration projects To be determined Maritime Activity and Cross-Sector (XS) Strategies Approximate Annual MT CO 2 Reduction Potential by 2030 Cross-Sector (XS) Strategies Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA Action Item No. 10a Page 8 of 12 Meeting Date: November 16, 2021 XS1: Facilitate cross-industry clean energy planning Critical to other efforts XS2: Leverage green lease terms Critical to other efforts XS3: Advocate for local, state, and federal policy and Critical to other efforts funding XS4: Engage with community, industry, and government Critical to other efforts Waterside: Ocean-going Vessels (OGV) and Harbor Vessels (HV) OGV1: Install shore power at all major cruise berths by 2030 13,000 OGV2: Support international efforts to phase out emissions To be determined from OGV OGV3: Support OGV efficiency improvements and emission To be determined reductions HV1: Provide infrastructure for zero-emission HV by 2030 Critical to other efforts HV2: Support accelerated turnover of HV to zero-emission To be determined models HV3: Support HV efficiency improvements and emission To be determined reductions Landside: Cargo-handling equipment (CHE), Trucks (TR), and Rail (RR) CHE1: Provide infrastructure for zero-emission CHE by 2030 Critical to other efforts CHE2: Support adoption of zero-emission CHE by 2050 To be determined CHE3: Support CHE efficiency improvement and emission To be determined reductions TR1: Provide infrastructure for zero-emission trucks by 2030 Critical to other efforts TR2: Support adoption of zero-emission trucks by 2050 To be determined TR3: Support truck efficiency improvements and emission To be determined reductions RR1: Provide infrastructure for zero-emission on-terminal Critical to other efforts rail by 2030 RR2: Support adoption of zero-emission rail by 2050 To be determined RR3: Support rail efficiency improvements and emission To be determined reductions Implementation Implementation of this plan will require focused action and investment by the Port, the active pursuit of external funding sources, and collaboration with a coalition of partners spanning sectors. While the MCAAP charts the course to zero emissions at Port of Seattle, many decision points remain intentionally open-ended regarding the Port's actions and priorities in the future. Engagement with near-port communities impacted by maritime emissions, maritime industry, Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA Action Item No. 10a Page 9 of 12 Meeting Date: November 16, 2021 government agencies and non-governmental organizations, tribal governments, and others will be critical to helping the Port identify, scope, and prioritize projects that can improve air quality, protect community health, and achieve GHG emission reductions targets. The Port is committed to working with near-port communities on an ongoing basis to identify communitybased projects and investment priorities and to help inform an equitable transition to zero emission maritime activities and port maritime administration. Engagement with Port tenants, terminal operators, and maritime industries is also a key focus of implementation. The Port will work with equipment owners and operators to understand energy requirements, infrastructure needs, and technology constraints and leverage agreements and leases as an important method to implement strategies. The Port will report on progress annually and take an adaptive management approach to monitoring, reporting, and reviewing the MCAAP strategies and actions. This approach allows the Port to update the plan as new emissions data becomes available or with advancements to the technology, policy, or funding landscape. FINANCIAL IMPLICATIONS Focused resources will be needed to implement the strategies and actions in the MCAAP, including consistent annual funding and capital planning. Implementation will require holistic and ongoing evaluation of benefits and costs. Table 3 summarizes cost estimates for select projects identified within the first five years. The capital project cost estimates are projects budgeted in the Port's five-year Capital Improvement Plan and represent planning level estimates and do not represent the total cost of investment needed to achieve all of the strategies and actions identified. The estimates also do not include the full cost of staff time, external costs to industry or others, nor do they reflect cost savings (e.g., saving on energy or fuel costs), cost recovery opportunities from the investments, or future grant funding. Table 3. Five-year implementation cost estimates Project Plan Strategy Cost Estimate 2021-2025 Capital Projects (approved and prospective) Shore power at Pier 66 Cruise Terminal OGV1: By 2030, install shore $14,100,000 by 2023 power at all major Port of Implementation cost is net after grant Seattle cruise berths funding Install new shore power capacity for HV1: By 2030, sufficient $485,000 tugs at Harbor Island Marina's "E" Dock infrastructure is in place to enable adoption of zeroemission harbor vessels Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA Action Item No. 10a Page 10 of 12 Meeting Date: November 16, 2021 Project Plan Strategy Cost Estimate 2021-2025 Upgrade shore power and electrical HV1: By 2030, sufficient $1,500,000 capacity for fishing vessels at Terminal infrastructure is in place to 91 enable adoption of zeroemission harbor vessels HVAC upgrades Pier 66, World Trade BC1: Eliminate fossil natural $4,600,000 Center West gas Install LED lighting in all waterfront BC3: Install energy efficient $3,700,000 properties lighting Purchase energy management BC6: Streamline and $700,000 software for waterfront properties advance energy data management Install electric vehicle charging stations FV2: Deploy electric vehicle $850,000 at waterfront locations charging across Port waterfront properties 5-year Fleet Replacement for Maritime, FV4: Right-size vehicles and $9,600,000 Economic Development Division, and fleet Pier 69 Near-term implementation of the XS1: Seattle Waterfront $500,000 Seattle Waterfront Clean Energy Clean Energy Strategy Strategy Investments could include pilot projects, studies, or infrastructure upgrades. Implementation costs may vary significantly and may also include grant funding support Capital Projects Subtotal $36,035,000 Programmatic Projects Completion of the Seattle Waterfront XS1: Seattle Waterfront $200,000 Clean Energy Strategy Clean Energy Strategy National Renewable Energy Lab study BC5: Maximize use of $75,000 at Terminal 91 renewable energy Sustainable Evaluation Framework Cross sector $150,000 Sustainable Maritime Fuels Program OGV2: Support domestic $250,000 and international efforts to Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA Action Item No. 10a Page 11 of 12 Meeting Date: November 16, 2021 Project Plan Strategy Cost Estimate 2021-2025 phase out emissions from ocean-going vessels Domestic and international maritime OGV2: Support domestic $150,000 environmental policy engagement and international efforts to phase out emissions from vessels Non-capital outside services Cross-Sector $1,900,000 Programmatic projects may include an inventory of maritime leases and development of green lease terms, building energy audits, cruise emissions research, completing the Puget Sound Maritime Air Emissions Inventory, and community and industry engagement. Programmatic Subtotal $2,725,000 TOTAL $38,760,000 ATTACHMENTS TO THIS REQUEST (1) Resolution No. 3792 (2) Charting the Course to Zero: Port of Seattle's Maritime Climate and Air Action Plan (3) Presentation slides PREVIOUS COMMISSION ACTIONS OR BRIEFINGS October 26, 2021 First reading of Resolution No. 3792 to adopt Charting the Course to Zero: Port of Seattle's Maritime Climate and Air Action Plan May 18, 2021 Briefing for the Energy and Sustainability Committee on the Maritime Climate and Air Action Plan April 6, 2021 The Northwest Seaport Alliance Managing Members adopted the 2020 Northwest Ports Clean Air Strategy January 12, 2021 Commission briefing on the final 2020 Northwest Ports Clean Air Strategy and draft Port of Seattle implementation actions December 11, 2020 Briefing memo to NWSA Managing Members on 2020 Northwest Ports Clean Air Strategy development September 1, 2020 Third briefing for the NWSA Managing Members on 2020 Northwest Ports Clean Air Strategy development August 6, 2019 Second briefing for the NWSA Managing Members on 2020 Northwest Ports Clean Air Strategy development December 2018; June 2019; January 2020; June 2020; August 2020; and November 2020 Briefings and Engagement with the NWSA Managing Members Environmental Working Template revised June 27, 2019 (Diversity in Contracting). COMMISSION AGENDA Action Item No. 10a Page 12 of 12 Meeting Date: November 16, 2021 Group on 2020 Northwest Ports Clean Air Strategy development July 3, 2018 First briefing for the NWSA Managing Members on 2020 Northwest Ports Clean Air Strategy development December 10, 2013 The Commission adopted the Northwest Ports Clean Air Strategy 2013 Update January 22, 2008 The Commission adopted the original Northwest Ports Clean Air Strategy Template revised June 27, 2019 (Diversity in Contracting).
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