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PORTS & INFRASTRUCTURE

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other initiatives being considered are so-called “P3” Public

How is it Going?

Over the past two years, the two port alliance increased Private Partnerships to help offset future port investments. overall volumes and held onto its market share, whereas in Wolfe lays out the Alliance’s investment strategy by say- past years, it was seeing a slow reduction of that Trans-Pacifc ing, “The details are still being worked through. I think the market share. Wolfe explains, “This past full year – 2016 – strength of the port – our gateway – is to make investment in we didn’t increase the market share yet we didn’t lose market the in-ground infrastructure, whether it’s wharfs, pavement, share. So that was encouraging. Now, we’ve got to continue to utilities; things of that nature. Where the private sector might work towards constant improvement because we can’t rest on come in and make their investment would be in equipment, our laurels – this year is another highly competitive year, so buildings, some of the other vertical infrastructure that they we’ll see how we do this year.” need to operate.”

But, as NWSA aspires to be ‘that gateway that is easiest Separately, and with eye towards the massive – some say to do business with,’ Wolfe also knows that they have work unworkable – Clean Air Action Plan (CAAP) which will re- to do. The shift in liner alliances from four to three partner- portedly cost the ports of Los Angeles and Long Beach, CA a ships brought with it a shuffing of cargo at the gateway – and collective $16 billion between now and 2030, we asked Wolfe others, to be fair – and this created certain operational inef- how and where the Alliance was addressing the all-important fciencies at some terminals. Wolfe insists that the alliance is issue of its environmental footprint. “We need to do the right working through all of it. thing,” he replied, adding, “We’ve invested just in Tacoma

Locally, even with the sea change that has deeply impacted probably over 200 million dollars in the last 10 to 15 years to the liner trades, the NWSA came out about even in terms of clean up some of the contamination that has existed here in volumes, but some of the more immediate challenges include the tide fats – not created by the port, created by private sec- the impact of cargo shifting from one terminal to another. Wolfe tor and industry back in the early years – and we have stepped promises, “Our team is really focused in that area right now. As up to clean up those properties. Seattle has done the same. So we improve upon that, I believe that more cargo will come our we have a great track record of doing the right thing from an way. The other thing I would say is that we are looking for, and environmental standpoint.” encouraging new ways in which our terminal operators may Long term, the alliance seeks to align its interests with that partner with each other. That is made easier by having all of of its customers. And, says Wolfe, the customers also want the terminal assets under one company.” The next steps, Wolfe to do the right thing. At the same time, “It needs to be bal- said, is to work in partnership with the terminal operators to anced with practical reality of the marketplace. I look at it as look for ways in which service levels can be expanded while sort of the 80/20 rule: let’s go after the 80 percent frst and at the same time maintaining a price point that is competitive. attack that because that’s the biggest bang for our buck. And

One way to do that involved the implementation and use of a where the industry can do its part in that, we should, whether new tool called DrayQ, a commercial App that helps to speed that’s purchasing equipment or encouraging our customers to the fow of cargo along local freight corridors, reduces idling- purchase equipment that is using low sulfur diesel, or electric related air emissions and saves fuel. DrayQ technology is de- vehicles – and let’s look at it holistically. I think that’s a smart signed to give truck drivers real-time information about wait way to achieve an outcome that we all, in this community, times in and around marine cargo terminals and traffc camera want to see.” views at the touch of a fngertip. Drivers can use the app to As this edition of MLPro was headed to production, the determine the best time to enter a terminal and reduce the time International Longshore and Warehouse Union had just rati- spent in traffc, which helps reduce air emissions from idling fed a three-year extension to its contract with the Pacifc and saves fuel. For dispatchers or shippers, it helps to opti- Maritime Association. The vote, noted the NWSA, extends mize schedules and improve customer expectations. That’s the coastwide contract through July 1, 2022. That kind of already yielding measurable gains, says Wolfe. labor stability can only be a positive indicator for the near “What it does is it creates for us greater visibility to the true term future, especially when one considers the alternative turn-time of a truck through a terminal. DrayQ allows us full and what has happened just a few miles to the south in Port- visibility to that.” land, Oregon. Beyond this, the Alliance also announced that it will reimburse up to $2 million to extend gate hours at its international container terminals during peak season.

A Look to the Future

Executing a game plan that was only developed 18 months That kind of commitment speaks volumes as to what might ago, the early results aren’t necessarily easy to measure. But, come next. Whatever it is, Seattle and Tacoma will face it says Wolfe, the Alliance needs to see that through. Among the together, as one.

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