Comment Log Display

Curtin Maritime Written Testimony 

CHC operators understand the importance of taking meaningful steps
towards reducing harmful Particulate Matter (PM) and Greenhouse Gas
Emissions (GHG) such as SOx, NOx, and CO2 within our areas of
operation. In our efforts to meet upcoming CHC regulations, we have
dedicated resources towards researching and implementing new
technologies within our fleets. However, the newly proposed CHC
amendment promulgates an impractical expansion of existing CHC
regulations. This amendment will now include engine upgrade
requirements to be met within a timeframe that is simply not
feasible for Subchapter M operators. Concerns regarding these
additional regulations have arisen based upon valid observations of
blatant discrepancies littered throughout the new amendment
proposal process. These include, but are not limited to the
following:

1) Overall impact to our industry sector (marine construction)
Alot of CA dredge projects require the use of clamshell dredges
which are also subject to the tenets of the new CHC amendments.
For tug operators who own and employ dredge assets this pending
regulation will proliferate an additional layer of regulatory
action taken against their fleets.
There is a limited number of Subchapter M operators capable of
handling the volume and scope of marine construction work along
California's coast.
Impacts of these CHC Amendments will be reflected through
Reduction in the number of marine construction firms able to
operate in CA at the necessary capacity.
Higher rates and possible delays of vital marine construction
projects which must occur so that our ports can handle the traffic
of large container ships. CHC operators will move assets out of
California in lieu of retrofitting. If this happens there will be a
vacuum of this niche equipment out of state, which will further
exacerbate the current supply chain issues. 

2)Ship assist vessels and Coastal barge transport are crucial to
our nation's supply chain. Barge transport is a key option for
alleviating port congestion, traffic mitigation, and reducing
emissions (compared to truck drayage). 
CARB community emission reduction plan clearly states that on road
mobile sources and industrial sources will cause NoX to increase
through 2029. Coastal barge transport has the ability to have a
greater impact on emission reduction in disadvantaged port
communities, in a quicker time frame, than the new CARB CHC
engine/aftertreatment regulations will have. 

3)Marine Construction firms w/ CHC assets should be held to the
same ruling as Commercial Fishing Fleet. The exclusion of
Commercial Fishing Vessels is based upon factors which are every
bit as prevalent for tug and barge operators. If negative financial
impacts to industry sectors were being considered during the
development of this amendment then surely Subchapter M operators,
whose primary functions involve clamshell dredges and barges
(assets which will also be impacted), should be considered for
exemption as well. Commercial Fishing Vessels currently account for
23% of statewide PM2.5 and will remain one of the largest emitters
of PM2.5 through 2035 (15%) as cited by CARB.

4)The current lack of incentive structure will be further impacted
by these regulations. The CHC regulations proposed would render
obsolete the investments towing companies have made through
existing grant programs in the state of California. If CHC
operators want to take advantage of carl moyer, vw, dera, funding
sources we may be faced with a situation where in a couple years
CARB introduces another set of standards that make that vessel
upgrades obsolete. This is a clear case of trying to push progress
through regulation vs incentivization. This regulation undercuts
the purpose of these grant programs which is to incentivize
companies to invest in best available technologies at the time
because there is a possibility that a subsequent CARB regulation
will render that tech obsolete. When we do new construction we use
the best available technology. CHC operators are not trying to
circumvent cleaner emission technology but trying to point out that
the technology has to be feasible first.