Daily Digital Magazine: Pg. 3 — July 10, 2019

Port Authority of New York and New Jersey unveils master plan

Bistate agency strategizes on how to accommodate port growth over the next 30 years.

   The Port Authority of New York and New Jersey has unveiled a 70-page master plan that seeks “to maximize and diversify land use, unlock freight network capacity and identify innovative revenue opportunities across its marine facilities” for the next 30 years.
   Authors of the report say it is neither definitive nor final but “provides a framework of potential options and a guide for future land use decisions.”

Port Authority of New York and New Jersey unveils master plan

Bistate agency strategizes on how to accommodate port growth over the next 30 years.

Port Authority of New York and New Jersey unveils master plan

Bistate agency strategizes on how to accommodate port growth over the next 30 years.

 
Continued from previous page
   The Port Authority of New York and New Jersey has unveiled a 70-page master plan that seeks “to maximize and diversify land use, unlock freight network capacity and identify innovative revenue opportunities across its marine facilities” for the next 30 years.
   Authors of the report say it is neither definitive nor final but “provides a framework of potential options and a guide for future land use decisions.”
   Release of the master plan comes at a time when the Port of New York and New Jersey is experiencing record cargo growth. The port handled a record 3,041,814 TEUs (20-foot equivalent units) in the first five months of 2019, more than the 3,008,468 TEUs handled at the Port of Long Beach, long the nation’s second-largest port after the Port of Los Angeles, in the same time period.
    Container demand at port authority facilities is projected to increase from 7.2 million TEUs in 2018 to between 12 million and 17 million TEUs by 2050.
   During the next 10 to 15 years, the port will focus on maximizing past investments such as the deepening of the harbor and raising of the Bayonne Bridge so that larger ships can pass beneath it, it said.
   After that, “Phase II will see the implementation of the port authority’s long-term vision, with potential new investment,” the port said, including at sites where it has container terminals and intermodal railyards.
   Today, 75% to 80% of the port’s container traffic moves through the container terminals in Newark and Elizabeth, N.J., and around 10% moves through the Global Container Terminals facility at Howland Hook, which is located on Staten Island, N.Y. Those terminals are all west of the narrow waterway called the Kill Van Kull. Another 15% or so moves to terminals east of Kill Van Kull — about 10% to the Global Container Terminal in Bayonne and less than 5% to Brooklyn, N.Y.
    A conundrum facing the port is the fact that most of the container cargo moving across its docks is headed for distribution facilities in New Jersey, while the majority of people in the New York metropolitan area live in New York City or other areas east of the Hudson River.
   The port authority also noted 85% of inbound container activity currently is destined for the local truck market and that one of its goals is to achieve long-term growth that is faster than that in the immediate area around the port, attracting discretionary cargo that could move through competing ports.
   That goal “hinges on capturing a larger share of imports destined for inland distribution centers. To accomplish this, port authority facilities must compete on price and service reliability with other Atlantic Coast ports.”
   It could also require a need to increase intermodal rail capacity.
    Last year the port made 646,000 container lifts at its four ExpressRail on-dock or near-dock intermodal terminals, which have a capacity to handle 1.5 million containers. There may be a need over the next 30 years to expand staging tracks and track lengths to support longer unit trains. By 2050 the port authority projects it may be lifting 1.5 million to 2.8 million containers.
   Intermodal rail terminals also may “start to accommodate domestic intermodal containers as more international cargo shipments are transloaded into 53-foot domestic trailers in locations at or near the port authority facilities.”
   Short-sea shipping or “marine highways” also may increasingly be used to move cargo to and from the port’s terminals.
   The port authority said it “has made regional barge service one of its strategic initiatives.” This includes support for the North Atlantic Marine Highway Alliance, which “seeks to foster the use of barge services to offset the use of trucks and supplement rail cargo to and from the port and New York City Economic Development Corporation’s Freight NYC plan, designed to reduce dependency on trucking distribution of freight in and around New York City in favor of rail and marine barging.
   “Commodities such as beverages, wood, paper, rubber and iron and steel have been identified as ideal candidates for distribution via the marine highway.”
   International cargo moving through port authority container terminals is focused on a cluster of warehousing/distribution centers located along the New Jersey Turnpike.
   In 2005, a study showed 66% of cargo volume trucked from the port was destined to distribution centers in four New Jersey counties — Hudson, Essex, Union and Middlesex — while a 2017 study found that share had grown to 79%.
   The amount of cargo moving directly to destinations east of the Hudson River fell from around 10% in 2005 to less than 5% in 2017.
   “These figures do not mirror the population statistics, where the study area’s population is more heavily weighted east of the Hudson River (61%),” including New York City, Long Island, Westchester County and Connecticut.
   The plan noted that this means additional truck movements as cargo must move first out of the port to those New Jersey distribution centers and then onward to destinations east of the Hudson River.
    The port master plan says while it “may not be able to affect the location of warehousing and distribution center activity, consideration will be given to minimizing truck trips in and around the port and optimizing interstate access in and around the port district.
    Options for increasing container terminal capacity at the port include:
    • Adding a container berth on the east face of Port Newark South;
   • Building out the Howland Hook Marine Terminal on Staten Island;
    • And supporting the existing tenant in Bayonne, Global Container Terminals, while investigating potential for a northern container terminal in the vicinity.
    The port authority said automobile traffic at the port is projected to climb from 573,000 vehicle units to between 800,000 and 1.3 million units by 2050.

At the midpoint of 2019, many experts expect the economy’s momentum to slow due to the potential for trade tensions to accelerate, global economies to deteriorate or climate-related risks to materialize.

The fastest liner transit (excluding transshipments) from China to the Netherlands is from Yantian to Rotterdam at 23 days, according to BlueWater Reporting’s Country to Country Transit Analysis by Service tool.

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Port Authority of New York and New Jersey unveils master plan

Bistate agency strategizes on how to accommodate port growth over the next 30 years.

Jul 10, 2019 on Dec 27, 2018AmericanShipper.com

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Port Authority of New York and New Jersey unveils master plan

Bistate agency strategizes on how to accommodate port growth over the next 30 years.

Jul 10, 2019 on Dec 27, 2018AmericanShipper.com