EPA announces historic $400M clean ports investment in New Jersey

Today, the U.S. Environmental Protection Agency announced nearly $400 million in Clean Ports Program funding for the Port Authority of New York and New Jersey and SeaStreak LLC. This transformative investment, part of President Biden's Investing in America agenda, will fund new zero-emission equipment and infrastructure, alongside comprehensive climate and air quality planning.

Port Authority of New York and New Jersey has been selected to receive an anticipated $344,138,135 to work with 5 collaborating partners to implement their proposed project, Catalyzing Change: Zero-Emissions NY-NJ Port Projects for a Greener Future. The proposed project includes the deployment of electric cargo handling equipment and drayage trucks with supporting charging infrastructure, including through a ZE Equipment for Ports (ZEEP) Voucher Incentive Program and Green Drayage Accelerator (GDA) program. PANYNJ commits to reducing the number of polluting vehicles at the port by scrapping a portion of the existing fleet. The project also includes the installation of vessel shore power infrastructure. As part of this project, PANYNJ will implement a comprehensive community engagement plan and train workers to operate and maintain new equipment and infrastructure.

SeaStreak LLC has been selected to receive an anticipated $54,954,000 to deploy high-speed zero-emission ferries for service between northern New Jersey and New York City. In addition to the ferries, the project includes deployment of shore power electrical equipment infrastructure with integrated battery energy storage system to allow fast, efficient, and cost-effective vessel charging. The proposed project also includes the establishment of a community stakeholder group and collaboration with educational institutions and industry groups to advance training, workforce development and technology awareness.

The grants are funded by President Biden’s Inflation Reduction Act — the largest investment in combating climate change and promoting clean energy in history— and will advance environmental justice by reducing diesel air pollution from U.S. ports and near surrounding communities while promoting good-paying and union jobs that help America’s ports thrive.

"Ports are essential to moving and bringing us goods that we depend on, but they are also sources of air and climate pollution impacting the surrounding communities,” said EPA Regional Administrator Lisa F. Garcia. "By advancing zero-emission technologies, we are tackling air pollution head-on while creating good-paying jobs that support local economies and families. This tremendous investment demonstrates EPA's commitment to environmental and climate justice, and economic opportunity while also ensuring that our port communities can breathe cleaner air.”

“Bringing these federal dollars back to New Jersey means cleaner air, less traffic on our busiest routes, and a long-term boost for communities like Highlands,” said House Energy & Commerce Ranking Member and U.S. Representative Frank Pallone, Jr. (NJ-06). “This project is about more than cutting dangerous pollution; it's about strengthening our local economy and supporting sustainable transit solutions that benefit residents and businesses alike. Projects like this put New Jersey on the cutting edge of homegrown, clean energy.”

“Ports are vital both to our economy and our fight against climate change,” said U.S. Representative Rob Menendez (NJ-08). “That’s why I was proud to support the Port Authority's efforts to secure this funding. Building greener, more efficient ports means great jobs for our families and a cleaner future for everyone who calls this region home.”

“The EPA’s historic investment through its Clean Ports Program to the Port Authority of New York and New Jersey and SeaStreak LLC, the ferry company that runs between NJ and NYC, will support infrastructure modernization, the creation of new jobs, and environmental sustainability. It’s a huge win to the region from every angle and a testament to the Port Authority of NY/NJ and SeaStreak’s commitment to the fight against climate change," said U.S. Representative LaMonica McIver (NJ-10).

“There is no overstating the importance of the Clean Ports Program in New Jersey. Our state is home to the fourth largest container port in the country and the largest on the East Coast, hauling in over 100 million tons of cargo each year. The electrification of port equipment and infrastructure is a vital component in the state’s clean energy goals and will lead to meaningful reductions in greenhouse gas emissions and other air pollutants to improve air quality in overburdened communities in Newark and Elizabeth,” said New Jersey Environmental Protection Commissioner Shawn M. LaTourette. “My DEP colleagues and I overwhelmingly support the work being done by our partners at the EPA, the Port Authority of New York and New Jersey and SeaStreak, LLC as they utilize the Clean Ports Program to ensure New Jersey’s port complex is equipped with the latest, clean technology while boosting job creation in the clean energy sector.”

“We appreciate the recognition and support from our government and community partners to ensure the critical work at the Port of New York and New Jersey is accomplished with an eye toward the future,” said Port Authority Chairman Kevin O’Toole. “This funding will reverberate well beyond the docks, allowing us to work together with nearby communities to ensure that the busiest port on the East Coast sets a new standard for collaboration, innovation, and sustainability.”

“We’re immensely grateful and thrilled to receive this significant funding from the EPA, allowing us to accelerate the deployment of zero-emission technology across our port facilities,” said Port Authority Executive Director Rick Cotton. “This award is a crucial step forward in our commitment to sustainability and will help us meet the Agency’s net-zero emissions goal by 2050. We are grateful for the EPA’s partnership as the Port Authority continues our aggressive pursuit of our climate agenda.”

“This extraordinary award represents a significant step toward our community engagement and sustainability efforts, and we extend our sincere appreciation to all of the port partners who made it happen,” said Bethann Rooney, port director at the Port Authority of New York and New Jersey. “The cargo moved here radiates out across the country, but it would not be possible without the collaboration of the port community. Our goal is to ensure that all stakeholders have a voice as we look to maximize the impact of every dollar to deliver cleaner air, new equipment, and a port that leads the way on sustainability and community engagement.”

"Seastreak is committed to being the one of the most environmentally friendly passenger ferry operators in the country,” said James D. Barker Vice President, Sales & Marketing at Seastreak. “High-speed electric ferry technology is a new and quickly evolving space. With this grant, we are excited to contribute to a new frontier in maritime technology while continuing our efforts to improve air quality within the communities we serve."

Ports are vital to the U.S. economy and are responsible for moving goods and people throughout the country. At the same time, the port and freight equipment responsible for moving goods including trucks, locomotives, marine vessels, and cargo-handling equipment contribute to significant levels of diesel air pollution at and near port facilities. This pollution is especially harmful to nearby communities’ health and contributes to climate change. The funds announced today will improve air quality at ports across the country by installing clean, zero-emission freight and ferry technologies along with associated infrastructure, eliminating more than 3 million metric tons of carbon pollution, equivalent to 391,220 homes' energy use for one year.

In February 2024, EPA announced two separate funding opportunities for U.S. ports – a Zero-Emission Technology Deployment Competition to directly fund zero-emission equipment and infrastructure to reduce mobile source emissions and a Climate and Air Quality Planning Competition to fund climate and air quality planning activities. The competitions closed in May 2024 with over $8 billion in requests from applicants across the country seeking to advance next-generation, clean technologies at U.S. ports.

After a thorough and rigorous grant application review process, EPA selected 55 applications in total to receive this historic investment. Applications to the Clean Ports Program were evaluated in part on their workforce development efforts, to ensure that projects will expand access to high-quality jobs. Grant selections also align with the Administration’s national goal for a zero-emission freight sector, the National Blueprint for Transportation Decarbonization and the ‘all-of government’ National Zero-Emission Freight Corridor Strategy.

Selected projects cover a wide range of human operated and human maintained equipment used at and around ports, with funds supporting the purchase of battery-electric and hydrogen-powered equipment, including over 1,500 units of cargo handling equipment, 1,000 drayage trucks, 10 locomotives, and 20 vessels, as well as shore power systems, battery-electric and hydrogen vehicle charging and fueling infrastructure, and solar power generation.

Initial estimates of tailpipe reductions from this new equipment are estimated to be over 3 million metric tons of CO2, 12 thousand short tons of NOx, and 200 short tons of PM2.5 in the first 10 years of operation. These estimates are based on initial counts of proposed zero-emission equipment and shore power installations and do not consider benefits from retiring older vehicles, among other factors. These simplified estimates were prepared using national default emissions and activity factors and will be refined over time with more detailed information from selectees.

In addition to protecting human health and the environment, the program will protect and grow good-paying and union port jobs, create new good-paying and union jobs in the domestic clean energy sector, and enhance U.S. economic competitiveness through the innovation, installation, maintenance, and operation of zero-emissions equipment and infrastructure. The program’s historic investment in zero-emission port technology will also help promote and ensure the U.S. position as a global leader in clean technologies.

EPA’s Clean Ports Program advances President Biden’s Justice40 Initiative, which aims to deliver 40% of the overall benefits of certain federal investments to disadvantaged communities that are marginalized by underinvestment and overburdened by pollution. Disadvantaged communities will benefit from cleaner air and access to high quality jobs that will be created to operate zero emissions technologies at ports.

EPA ensured that near-port community engagement and equity considerations were at the forefront of the Clean Ports Program’s design, including by evaluating applications on the extent and quality of their projects’ community engagement efforts. The program will also help to ensure that meaningful community engagement and emissions reduction planning become a part of port industry standard practices by building on the successes of EPA’s Ports Initiative and the Diesel Emissions Reduction Act programs. These programs have previously invested over $196 million to implement 207 diesel emissions reduction projects at ports with an additional $88 million to multi-sector projects that involve ports and have encouraged strong community-port collaboration.

The agency anticipates making awards once all legal, statutory, and administrative requirements are satisfied. Selectees will work with EPA over the coming months to finalize project plans before receiving final awards and moving into the implementation phase. Project implementation will occur over the next three to four years depending on the scope of each project.