Ignoring shippers' pleas, Oakland opts for 'green' container tax

2008-3-26

The Oakland Board of Port Commissioners voted to raise container taxes over the protests of the National Retail Federation which recently called on harbour authorities not to follow the course of Los Angeles and Long Beach.

Called a "green" measure to fund pollution reduction and improve infrastructure, the "Maritime Air Quality Policy Statement" was passed unanimously by commissioners who rejected pleas to avoid the tax that shippers say is misguided.

"Shippers have demonstrated our willingness to pay our fair share of the cost of improving air quality and infrastructure in the ports," said National Retail Federation vice president Steve Pfister, reported Massachusetts-based Logistics Management magazine.

"But we cannot support proposals that would be illegal, unfair, and ultimately ineffective," he said.

The NRF-backed alternate calls for statewide emissions standards, that would create a fund to help pay for truck replacement, and would create a public-private partnership to pay for infrastructure improvements. Independent truckers would not be banned as the Teamsters and some elected officials have demanded.

Released in March 2007, the alternate plan was prepared jointly by NRF, the American Association of Railroads, the Pacific Merchant Shipping Association, the Waterfront Coalition and others who use California ports.

The comparable LA/Long Beach plan includes a US$30 tax for each 40-foot container moving in or out of the ports earmarked for infrastructure and another $70 per container fee to help fund lower-emission trucks.

The new taxes proposed for the Port of Oakland would pay for road, bridge and rail infrastructure improvements and diesel truck replacements to ease traffic congestion and air pollution around ports.

Many of the infrastructure projects are located off port property, and NRF has argued that the ports lack the legal authority to impose fees to fund projects beyond their gates. The retail federation has also said the fees should be limited to containers moved by truck rather than rail since most of the projects funded are highway and bridge improvements.

Source: Schednet
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