Summary:
- California Allocates $27M for Port Upgrades
- Key Projects Include Enhanced Data Visibility and AI Integration
- Funding Aims to Boost Supply Chain Efficiency and Resilience
California’s business and economic development office has allocated $27 million to enhance 10 projects across its five container ports, aiming to upgrade data systems and improve interoperability to bolster the nation’s supply chain.
The state’s ports of Hueneme, Los Angeles, Long Beach, Oakland, and San Diego manage 40% of all containerized imports and 30% of containerized exports in the U.S.
Dee Dee Myers, Director of the California Governor’s Office of Business and Economic Development, emphasized the importance of these ports for national and global supply chains. These historic, first-of-their-kind awards will allow us to use data to improve the functionality of our supply chain, and we look forward to working with our ports to further the momentum that these projects will generate across the state.”
Announced on July 11, the funding is part of the California Containerized Ports Interoperability Grant Program, established through a 2023 legislative allocation to strengthen supply chains post-COVID-19. In April 2023, California’s five container ports signed an MOU to share real-time data and improve information interoperability, aiming to enhance freight system resilience, cargo efficiency, emissions reduction, and economic competitiveness.
The largest allocations went to the Port of Los Angeles (29.4%, with three grants totaling $7.95 million), Port of Long Beach (29.2%, with three grants amounting to $7.87 million), Port of San Diego (a $4.24 million award), and Port of Hueneme (a $4.24 million grant). The Port of Oakland received the smallest grants, totaling $3 million.
In evaluating project proposals, a technical advisory committee considered various factors, including each port’s 20-foot-equivalent-unit volume, vessel and container dwell times, truck turn times, data requirements, proposed interoperability enhancements, and the overall impact on the state’s port system.
The Port of Los Angeles will apply the funds to three key initiatives: establishing a mobile app for improved data visibility, developing a Carbon Intensity Gateway for environmental and emissions data, and expanding its trucking appointment system with AI integration.
The upgraded appointment system will unify cross-terminal scheduling with near real-time container-tracking data into a single platform, enabling better identification and movement of available containers. This system will list all available appointments across the port complex, with future plans to integrate it with other port trucking appointment systems, including those at the Port of Long Beach. Both ports are working on a long-term business model to address trucker needs, as detailed in the California Containerized Ports Grant program report.
Gene Seroka, Executive Director of the Port of Los Angeles, stated, “California is leading the way with policy and funding to advance supply chain digitalization. This GO-Biz funding will enable us to accelerate the Port Optimizer technology, boosting efficiency, reducing community impacts, and enhancing our competitiveness.”
The Port of Oakland plans to use its funding to create an integrated data environment for stakeholders and introduce a Unified Terminal Appointment System. These upgrades aim to improve drayage efficiency by reducing truck turn times and traffic congestion through enhanced data-driven traffic management.
Bryan Brandes, Maritime Director at the Port of Oakland, emphasized that the funding will enhance the trucker appointment system, creating a more seamless experience. These improvements are crucial for better supply chain visibility, efficiency, and planning at local, state, and national levels.
California Transportation Secretary Toks Omishakin highlighted that the funding and collaboration among the state’s ports will provide crucial data to enhance cargo movement, creating a more efficient, reliable, and resilient transportation network.
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Source: Transport News