The Intersection of Development, Movement of Goods, and Sustainability
Nine months ago the Port of Detroit launched a decarbonization project aiming to reduce its environmental impact and improve air quality. The project – in partnership with Tunley Environmental and Southwest Detroit Environmental Vision (SDEV) – involves a range of initiatives, beginning with a full assessment of the port’s current fossil fuel emissions. Concurrently, the construction of the Gordie Howe International Bridge is well underway, due to be completed in September 2025, which has many implications involving sustainability in Southwest Detroit. SBN Detroit interviewed, Mark Schrupp, executive director of the Detroit/Wayne County Port Authority, to get an update on the decarbonization efforts and obtain some insights on how those efforts overlap with the bridge development and the future of air quality and sustainability in that area. Q: We last spoke in August, at which time you were just launching the decarbonization project. Where does it stand now? A: The baseline assessment of the carbon footprint of the Port of Detroit is near completion. This is a significant milestone. We have measured all emissions of bringing materials into the port, including equipment used to move materials, emissions from tugboats, and ships, and broke it down by terminal and operator. Next, we’ll lay out plans for eliminating that footprint over the next twenty years. Q: What will initial strategies involve? A: Most of our focus will be on diesel. Ships and heavy equipment operate on diesel and the quickest fastest way to reduce emissions is to convert to biodiesel. We are pushing hard for that. The long-term solution may be hydrogen, but this involves major upgrades and renovations to the vehicles and ships, and the infrastructure. In the meantime, we can reduce carbon emissions by 14% to 15% by switching to a biodiesel blend right away. This will have immediate impacts on global warming and air quality. Q: Is the use of electricity an option? A: It’s not a good option. The heavy-duty equipment used in the port region would need massive batteries to power them, and there are just not a lot on the market today. All U.S. ships that operate in the Great Lakes are being encouraged to convert to biodiesel. Canadian ships are already switching to B20 and higher blends. This will help when ships are docked and running on generators. Q: How does this intersect with the development of the Gordie Howe International Bridge and the use of diesel and biodiesel in heavy-duty trucks? A: The significant increase in truck traffic in Southwest Detroit makes it more likely to get funding to convert those trucks to hydrogen or biodiesel. The concentration of diesel fuel in this region makes a strong case for that. The switch to biodiesel would help immensely, as the heavy equipment used in the ports can run on that too. It would have a massive impact on the air quality. The challenge is getting enough biodiesel supply. It is a supply and demand issue. Also, without government incentives, biodiesel costs more than regular diesel. Other states have implemented tax credits or financial incentives to the producers, and a mandate for the users, creating a carrot and a stick scenario. What is needed is legislation to create funding to increase the supply and incentives to bring down the cost. Canada has created a penalty in the shipping industry for those who don’t use biodiesel. In the Port of Detroit, there is one fuel company – Waterfront Petroleum – that supplies the fuel for most ships. That company has received some funding and is ramping up its ability to provide biodiesel for the ships in reaction to this Canadian penalty. We are working to help them secure funding, etc. At the same time, we are helping to educate ship owners on using biodiesel. There are some extra filter changes and small operational things that need to be done to get the most from the fuel. Industry players promoting this to help ship and truck owners understand how to use it. Q: Overall, do you think the development of the bridge is a negative or positive for the port? A: The bridge has driven up prices on land in the area. One of the projects we are working on is to extend a rail line to the waterfront for a private partner, and the prices for land to run that rail line have gone up because of speculation around the bridge. But it will have a positive impact on our region in terms of manufacturing. The bridge will help keep Detroit as the epicenter of most of the automobile production. If auto manufacturing remains strong, those sectors will need more raw materials that flow through the port. This will be bolstered by the bridge because it will make the movement of goods more efficient. This will ultimately have a ripple effect on our economy – for the positive. We are also looking at ways we can leverage the bridge to help make the port of Detroit more of an intermodal hub for finished goods and other kinds of goods. For example, instead of big ships unloading on the coast in Quebec or New York and then putting materials on trains to reach our region maybe having the bridge makes Detroit/Windsor a better destination for those shippers to reach midwestern customers. We are still researching this. The challenge is that the really big ships can’t get into the Great Lakes. But we are looking at ways to be more efficient with smaller ships and other solutions. The idea is ultimately to take some of the railroad traffic off the East Coast rail lines and get the goods closer to the customer. Q: What are the next steps in terms of your decarbonization project? A: We are planning a community event to showcase the process and planning and next steps. We are really pleased with the work and collaboration efforts involved in this project and are looking forward to sharing it with the community. We are also in a
Detroit/Wayne County Port Authority Seeks Decarbonization
Michigan’s largest inland port, the Port of Detroit is located on the Detroit River in Wayne County as well as the navigable portions of the Rouge River. The Detroit/Wayne County Port Authority oversees the port, which is made up of multiple marine terminals for handling general, liquid, and bulk cargo as well as passengers. Each year, the Port Authority oversees more than eight million tons of cargo at 29 private and public sector terminal facilities in the Port of Detroit, including international and domestic commodities, which are shipped in and out of the port. The port is the third-largest steel-handling port in the nation. At the Port Authority’s own terminal, steel, aluminum, and project cargoes are handled for the support of the manufacturing community in Southeast Michigan. Now, the port is undergoing a decarbonization project which aims to reduce its environmental impact and improve air quality. The decarbonization project will be undertaken in partnership with Tunley Engineering and Southwest Detroit Environmental Vision (SDEV) and will involve a range of initiatives, including the implementation of renewable energy sources, the electrification of port equipment, and the use of cleaner fuels while ensuring residents and businesses in the area are involved and have input. Said Raquel Garcia, executive director of SDEV, “We are on board to – among other things – make sure the community understands what’s happening in their own backyard and that they have access to people leading the project.” SBN Detroit spoke with the executive director of the port, Mark Schrupp, about the project and its impact on tourism, area businesses, and more. Q: The Port of Detroit is going green with the goal of net zero by 2040. Can you provide some background on how you arrived here and how you are taking this on? A: Discussions originated in early 2022 with the Great Lakes St. Lawrence Governors & Premiers, looking at ways to help decarbonize the maritime industry. Our two overarching goals are to improve air quality and reduce greenhouse gas emissions. A lot of the ports on the West Coast and Europe have been doing good work for several years. The Midwest is a little behind but starting to accelerate. We reached out to state Sen. Stephanie Chang, and she has been a great supporter. She assisted in helping us to secure $1 million in state funding to undertake a study on where we are today and develop a plan to decarbonize. The big challenge is that the Port Authority does not have the authority to compel the private terminals, which are responsible for 95% of the cargo, to participate. We have been identifying incentives and working to persuade these terminals to develop a single plan, measure the greenhouse gas emissions, and develop strategies together. To start, we needed outside expertise. We put together a scope of work in December and put out an RFP and ended up partnering with Tunley Engineering, which has been eager to jump in and help. We have also been working heavily with Southwest Detroit Environmental Vision (SDEV) who – among other things – is helping us to connect to the community to ensure we understand what their interests are. You can’t take on just a decarbonization plan… in the port region where people work and live it’s also about air quality, vibrations, sound and particulate matter, and more. So, we are looking at these things and working to address them through best practices. Since April, we’ve been engaging with terminals to get a baseline report of greenhouse gas emissions for each terminal. Once finished, we will publish an interactive map for people to see the current carbon footprint. We are specifically looking at the carbon footprint of moving cargo in and off the water – not the industrial practices of the businesses. We are also looking at the cruise ships that we service at our downtown dock, and the impacts and the footprint of governmental entities that participate in the port, such as the Detroit Police Harbor Master, U.S. Army Corps of Engineers, and more. This is a good time to be taking all of this on. There is a lot of federal and state funding and tax incentives that help bring down the initial cost of switching fuel sources. We’ll be applying for grants to help the terminals move forward. Q: What other entities are you working with to take on this project? A: We are engaging with many organizations and local sustainability offices to help and support our efforts. We have been working with The Department of Environment, Great Lakes, and Energy (EGLE) to get data and take advantage of any grant opportunities to tackle air quality and particulate emissions. We have met with the EPA Region 5 office in Chicago to stay close in terms of funding opportunities and ways they can support our efforts. The International Maritime Organization has a 2050 plan in place and is setting standards around the fuel in the ships that move in international waterways. They are looking at cleaner fuel alternatives as well. The Port has a fueling station run by Waterfront Petroleum, and they are working toward a biodiesel fuel that can be used without having to change engines. Maritime infrastructure is very expensive and lasts a long time, so making changes needs to be planned carefully. Changing fuel to a lower carbon footprint, like biodiesel is a good first step because it doesn’t require any changes to ship engines. Zero-carbon fuels like hydrogen and ammonia will take more planning and investment. We can’t do it all at once but should do what we can as we work in the right direction. Q: Do you think this a unique undertaking for a port authority? A: Ports on the coasts have been working on this for some time. California has led the way and those ports are ahead of us. The Port of Cleveland has done work to reduce its carbon footprint. So, they are a little ahead of us, but
