10d. Order - Port of Seattle Greenhouse Gas Objectives Update

1                                                                                    Item Number: 10d 
2                                                                                    Meeting Date: October 26, 2021 
3 
4                                                     ORDER 2021-10: 
5                                     AN ORDER OF THE PORT OF SEATTLE COMMISSION 
6 
7                           to endorse the Executive Director's acceleration of the
8                           carbon emission reduction targets of the Port of Seattle. 
9 
10                                                  PROPOSED 
11                                              OCTOBER 26, 2021 
12 
13                                                INTRODUCTION 
14    The impacts of climate change are evident across ecosystems and cultures around the world. The
15    August 2021 declaration by the UN Secretary General called the latest Intergovernmental Panel
16    on Climate Change (IPCC) report a "Code Red for humanity" and underscores the urgent need for
17    action. That same report also emphasized that human actions still have the potential to determine
18    the future course of climate and that the worst outcomes of climate change can be avoided or
19    limited with strong and sustained reductions in emissions of carbon dioxide and other greenhouse
20    gases (GHG). 
21 
22    The Century Agenda calls for the Port of Seattle to reduce air pollutants and carbon emissions, 
23    and sets the target for those reductions. For those GHG emissions the Port directly and indirectly
24    controls (Scope 1 and 2), the target is currently a reduction of 50 percent below 2005 levels by
25    2030 and to be at least carbon neutral by 2050. Similarly, the Century Agenda sets an objective 
26    and target for the Port's GHG "influenced emissions" (Scope 3) of 50 percent below 2007 by 2030
27    and 80 percent below 2007 by 2050. 
28 
29    The Port is making strong progress toward these targets, particularly due to the purchase of
30    renewable natural gas (RNG) to heat Seattle-Tacoma International Airport (SEA) and to fuel
31    shuttle buses.  Significant emission reductions have also been achieved in the Port's maritime 
32    operations due in large part by international and national maritime regulations of fuel quality,
33    increased use of shore power by cruise vessels, as well as by innovations in vessel and equipment
34    efficiency. 
35 
36    While the Port's aggressive carbon reduction initiatives have already achieved a 50 percent
37    reduction in portwide Scope 1 and 2 GHG emissions, the IPCC report makes it clear that the world
38    needs to accelerate progress to meet the urgency of the climate crisis. In response, the Port of
39    Seattle will be modifying its targets to meet that global call for action. Furthermore, the changes
40    necessary to achieve accelerated targets will also prepare the Port of Seattle and its partners for
41    an economy reliant on renewable sources of energy rather than fossil fuels. In addition, those
42    preparations will result in improvements to environmental and community health, as well as 
43    greater competitiveness given the increasing pressure on businesses to reduce their carbon
44    footprint. 

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45 
46    Therefore, the Commission is fully supportive of the Executive Director's recommendation to
47    update the Century Agenda objectives and targets to be net-zero or better on Scope 1 and 2
48    emissions by 2040, and carbon neutral or better on Scope 3 emissions by 2050. This change to
49    our emission reduction targets sends a clear market signal to industry and other Ports to partner
50    with us in the transition to clean fuels. 
51 
52 
53                                              TEXT OF THE ORDER 
54    To recognize the urgency of action needed to address climate change, the Port Commission
55    hereby formally endorses the Executive Director to update the Port of Seattle's Century Agenda
56    GHG reduction targets to the following: 
57 
58        1)  Scope 1 and 2  Port [Directly and Indirectly] Controlled Emissions: 
59                a.  15% below 2005 levels by 2020 
60                b.  50% below 2005 levels by 2030 
61                c.  Net-zero or better by 2040 
62 
63        2)  Scope 3  Port Influenced Emissions 
64                a.  50% below 2007 by 2030 
65                b.  Carbon neutral or better by 2050 
66 
67 
68                                      STATEMENT IN SUPPORT OF THE ORDER 
69    The Port of Seattle has a goal to be the greenest and most energy-efficient port in North America
70    and the Port's operating divisions are implementing GHG reduction plans to that end. 
71 
72    Recent Aviation Division reduction efforts include: 
73       (1)   Signing a 10-year contract in Q2 2020 to supply renewable natural gas (RNG) to fuel both
74            the boilers and Rental Car Facility (RCF) bus fleet at SEA 
75       (2)   Using renewable diesel in diesel fleet vehicles 
76       (3)   Procurement of Green Direct electricity for our Puget Sound Energy electricity accounts 
77       (4)   Providing airlines access to preconditioned air 
78 
79    Also, staff are partnering with the National Renewable Energy Laboratory (NREL) to evaluate
80    alternatives for updating the central mechanical plant with low-carbon fuels and advanced
81    technologies. Similarly, Aviation's Facilities and Infrastructure team continues to implement
82    energy saving projects throughout the terminal including lighting and heating ventilation and
83    cooling (HVAC) system upgrades. 
84 
85    In addition, the Aviation Division continues to develop partnerships and initiatives to reduce
86    Scope 3 emissions, such as advocating for policies (e.g., Clean Fuels Standard) in Washington, 
87    providing airlines access to pre-conditioned air to reduce aircraft auxiliary power unit run-times 
88    and electric infrastructure for airlines to convert their diesel tug fleet. The Port is also conducting

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89    economic and technical research on infrastructure needs, feedstock availability, and production
90    facility costs for sustainable aviation fuel (SAF).  A joint study with King County evaluating the
91    feasibility of using municipal solid waste as a feedstock for SAF will be underway in 2022. 
92 
93    Lastly, the Aviation Division is developing several initiatives to reduce carbon emissions from
94    passenger vehicles driving to and from SEA, such as evaluating policy incentives to encourage
95    ground transportation service providers to transition to electric vehicles (EV) and use renewable
96    fuels, working with King County Metro on digital ticketing for transit, and installing EV charging
97    stations across SEA facilities. 
98 
99    Recent Maritime reduction efforts include: 
100        (1) Provision of shorepower for cruise ships 
101        (2) Improved equipment efficiency 
102 
103    Upcoming  Maritime/Economic Development Division (EDD)  GHG reduction efforts include
104    implementing the objectives within the 2020 Northwest Ports Clean Air Strategy and the
105    strategies in the Port's implementation plan, Charting the Course to Zero: Port of Seattle's
106    Maritime Climate and Air Action Plan (MCAAP). 
107 
108    The MCAAP identifies emission reduction actions by 2025 and by 2030 for each source of
109    maritime-related emissions to achieve a 50 percent reduction in GHG emissions by 2030 and
110    remain on course to phase out seaport-related emissions by 2050. Key commitments include: 
111       (1)   Utilize partnerships with community, industry, and government to reduce emissions 
112       (2)   Transitioning 100 percent of Port-owned light-duty vehicles to electric models or use
113            renewable fuels 
114       (3)   Eliminating fossil natural gas use in Port-owned buildings 
115       (4)   Installing shore power at all cruise ship berths 
116       (5)   Reaching 100 percent of homeport cruise ship calls connecting to shore power 
117       (6)   Addressing key constraints to deploy infrastructure for zero-emissions equipment,
118            locomotives,  vehicles,  vessels,  and  building  through  the  completion  and  early
119            implementation of the Seattle Waterfront Clean Energy Strategy. 
120 
121    Reaching  the new GHG reduction targets endorsed by this Order will require additional
122    investment and commitment from Port staff and partners. The Aviation team is already moving
123    in this direction with many projects underway. Although there will be some cost increases due to
124    compressing the implementation schedule, it is unlikely that moving the target up by ten years
125    will change the budget dramatically; however, the Port will need to commit financial and other
126    resources to ensure the organization remains on track to meet its goals. 
127 
128    For Maritime and EDD, given that the Port's Maritime and EDD emissions have increased in recent
129    years, achieving an accelerated GHG reduction target of net-zero Scope 1 and 2 GHG emissions
130    by 2040 will require several conditions and significant additional effort. 
131       (1)   Accelerate the elimination of fossil natural gas HVAC systems in Port-managed properties
132            and at all Port properties. 

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133       (2)   Purchase renewable natural gas for HVAC and domestic hot water systems within their
134            useful life or prohibitively expensive to electrify. 
135       (3)   Purchase renewable electricity from Seattle City Light and/or invest in additional onsite
136            renewable energy production ahead of the Clean Energy Transformation Act deadline. 
137       (4)   Accelerate implementation of the Sustainable Fleet Plan to deploy EV charging across
138            waterfront properties and purchase electric vehicles. 
139 
140    The Maritime team expects that changing the GHG targets will result in significant new urgency
141    to prioritize capital projects with carbon reduction opportunitieswhich in today's market,
142    without a uniform price on carbon, come at an incremental price above the conventional
143    approach. Accelerating decarbonization will put pressure on the capital budget immediately and
144    the Port must not forgo any opportunities to eliminate emissions as they arise in the annual
145    budget. Under the Sustainable Evaluation Framework, this may mean prioritizing approaches and
146    technologies that eliminate emissions over options that may carry a lower cost but also lower
147    emissions reductions. In addition to capital expenditures, achieving the goals 10 years earlier will
148    likely require additional staff support or increased use of outside services. 
149 
150    Partnerships will be essential to achieve changes in Scope 3 emissions goals, and we will need to
151    rely significantly on major federal and international policy changes, increased public and private
152    sector incentives, and additional technological innovation and advancements. For Aviation, the
153    Port can continue to reduce emissions by: 
154       (1)   Advocating for state and national policies that strengthen tailpipe standards for carbon
155            emissions, support initiatives to require all vehicles sold in the U.S. to be EV and install
156            charging infrastructure. 
157       (2)   Increasing environmental performance requirements for TNCs and taxis through service
158            agreements and expand those requirements to all ground transportation providers at
159            SEA. 
160       (3)   Continuing to lead in developing SAF although feedstocks for this fuel may be limited,
161            particularly as those feedstocks compete with other on-road renewable fuels (e.g.,
162            renewable diesel).
163 
164    For Maritime, the Port can influence maritime-related Scope 3 emissions by: 
165       (1)   Completing the installation of shore power at Pier 66 and working with the cruise lines to
166            reach 100 percent of homeport cruise ships equipped with shore power by 2030 and a
167            100 percent connection rate. 
168       (2)   Completing and implementing the Seattle Waterfront Clean Energy Strategy, which will
169            create a roadmap to decarbonize maritime operations in Seattle. 
170       (3)   Partnering with the NW Seaport Alliance to identify ways the Seattle Homeport can
171            contribute to meeting the Alliance's goals for the North Harbor. 
172       (4)   Engaging at the national and international levels to strengthen standards to support
173            sustainable maritime fuels and the transition to zero-emission technologies. 
174       (5)   Implementing green leasing policies that incorporate sustainability best practices into
175            landside leases. 

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