Climate United launches $250m electric drayage truck lease program in California

  • U.S. based coalition, Climate United, who focus on enabling the clean energy transition across the country, have announced a new program to make fully-electric haulage trucks more affordable to independent and small fleet operators.
  • The funding will focus on drayage trucks, which are those that move cargo from ports to their final destination.
  • This program will initially focus on the Californian ports of Long Beach and Los Angeles, with the $250 million going towards the purchase of 500 fully-electric class 8 trucks, but the scheme is set to later expand nationwide.

Climate United’s initiative hopes to drive electric truck adoption amongst smaller fleets

This $250 million investment was backed up by a $6.97 billion award Climate United recently received from the Environmental Protection Agency’s National Clean Investment Fund, which consisted of a total $14 billion worth of grants which was also split out between two additional organisations.

These electric trucks will be leased to both small fleets and independent operators, making an electrification switch easier for those who are cautious of the higher initial outlay. Climate United will partner with Forum Mobility to bring about this program, who already operate electric truck charging depots both in Californian ports and along critical haulage routes. Getting Californian operators to switch is particularly critical, as state law will require all drayage trucks to be zero-emission by 2035. This particular project is estimated to prevent 50,000 tonnes worth of CO2 emissions per year, not only fighting climate change but also localised air pollution near these ports, emitted from current diesel trucks.

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The OEMs that Climate United will reach out to for the delivery of these 500 electric trucks have not yet been confirmed, with the organisation noting that it is ‘requesting proposals from qualified manufacturers’.

Beth Bafford, CEO of Climate United, commented:

“Electric drayage trucks cost less to operate, but high upfront costs make it difficult for independent owner-operators and small fleets to transition to all-electric. Through tax credits, incentives, and attractive financing, we are significantly reducing a cost barrier to sustain small businesses and help them lead the transition to electric vehicles. Investing in an inclusive green economy means supporting and growing small businesses, reducing pollution, improving public health in local communities that have historically borne the brunt of truck pollution, while building supply chains that make America more competitive globally.”

Matt Schrap, CEO of the Harbor Trucking Association, added:

“For zero-emission battery-electric truck deployments to scale, cost has to be at the forefront of any discussion. HTA appreciates innovative solutions that can help support fleets in this push for zero-emission. It is always encouraging to see a program that reduces upfront costs by pairing both infrastructure and the truck together. They are inexorably intertwined, you can’t have one without the other and when the two are combined, it solves a lot of challenges for carriers.”

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