Port of Los Angeles to Launch Truck Incentive Program

Terminal operators with faster truck turn times at the Port of Angeles could reap some financial benefits through the port’s new incentive program set to launch on Feb. 1.

On Tuesday, the port announced the roll out of its Truck Turn-Time and Dual-Transaction Incentive Programs, which offers rewards for speeding up the drop off/pick up times for trucks and pressing trucks to do double duty on the same visit. The reward rates will be on a sliding scale as turn times improve.

“These best practices are needed now more than ever to relieve pressure on the supply chain due to the ongoing surge,” said Port Executive Director Gene Seroka. “Ports are more fluid when trucks move quickly in and out of the gates and more productive when a truck delivers one container and leaves with another in a single trip. We’re going to reward terminals for better performance.”

Lately, the port has been seeing much more imports, which has caused a shortage of containers for exports and fewer available chassis. This has created a bit of backup of containers at terminals and clogged traffic flow for trucks.

The new program allows terminals to get between 50 cents and $2.75 for every loaded or empty TEU if their truck turn times increase by 5 percent to 20 percent.

“If a terminal averages turn times of 35 minutes or less in a given month, it will earn the top rate of $3 per loaded or empty container,” according to the port.

Terminals can also get between 40 cents and $1.40 per loaded TEU when at least 50 percent of trucks make two transactions on the same visit in a month.

By Pacific Maritime