US invests nearly $580 million in port improvement projects

The U.S. Department of Transportation’s Maritime Administration (MARAD) has revealed plans to invest nearly $580 million from the Bipartisan Infrastructure Law to fund 31 port improvement projects in 15 states and one U.S. territory. 

As part of President Biden’s Investing in America agenda, this funding is expected to help increase both capacity and efficiency at coastal seaports, Great Lakes ports, and inland river ports.

The port improvement projects are developed to strengthen supply chain reliability, create workforce development opportunities, enhance freight efficiency, lower costs, reduce emissions, and improve the safety, reliability, and resilience of the ports.

“America’s ports are essential to our nation’s supply chains, and thanks to the Biden-Harris Administration, we have projects underway all across the country—from Long Beach to Milwaukee to Monroe—that are making it possible for our ports to move more goods each year and keep costs down for families,” said U.S. Secretary of Transportation Pete Buttigieg.

“Modernizing America’s port infrastructure is essential to strengthening the multimodal network that supports our nation’s supply chain,” said Maritime Administrator Ann Phillips. 

“Approximately 2.3 billion short tons of goods move through U.S. waterways each year, and the benefits of developing port infrastructure extend far beyond the maritime sector. This funding enhances the flow and capacity of goods moved, bolstering supply chain resilience across all transportation modes, and addressing the environmental and health impacts on port communities.”

Some of the projects include improvements on ports such as the Port of Oakland, Georgia Ports Authority (GPA), Don Young Port of Alaska, and Port of Davisville. The funding for these initiatives comes from the Port Infrastructure Development Program (PIDP), which is administered by MARAD.

The PIDP received a boost of $2.25 billion through the Bipartisan Infrastructure Law, a landmark piece of legislation aimed at modernizing America’s infrastructure. This funding is specifically allocated to enhancing port infrastructure to address the evolving needs of the freight transportation system.

The primary goal of the Port Infrastructure Development Program is to bolster the capacity and efficiency of both urban and rural ports, which are crucial to the movement of goods throughout the country.

By investing in key upgrades, the program helps to ensure that ports are better equipped to handle growing freight volumes, improve operational efficiency, and reduce congestion. This, in turn, supports a more resilient and sustainable supply chain, according to the officials.

In February 2021, President Biden ordered a multi-agency approach to tackle supply chain disruptions brought on by the COVID-19 pandemic and later launched the Supply Chain Disruptions Task Force and the Council on Supply Chain Resilience to strengthen the supply chains. 

Antonio Santos, the Federal Climate Policy Director at Pacific Environment, expressed support for the U.S. Department of Transportation’s Maritime Administration’s announcement of $580 million in funding for port improvement projects under its Port Infrastructure Development Program.

He also noted that projects that prioritize investments to reduce harmful pollution at ports, such as the $53 million project at Port Everglades that includes the purchase of zero-emissions cargo-handling equipment and the retiring of older, diesel-powered equipment, are especially important for the future.

He further stressed that achieving a zero-emission maritime sector is essential for protecting the health of port workers and communities living near the nation’s ports.

To remind, last month, the U.S. Environmental Protection Agency (EPA) revealed that 55 applicants across 27 states and territories will receive nearly $3 billion through its Clean Ports Program.

These grants, funded by the Inflation Reduction Act, will support the deployment of zero-emission equipment, as well as infrastructure and climate and air quality planning projects at ports across the country. The aim is to advance “environmental justice” by reducing diesel air pollution in U.S. ports and surrounding communities while promoting good-paying and union jobs.