Late last week, PierPass Inc., the company created by marine terminal operators at the ports of Los Angeles and Long Beach in 2005 to address multi-terminal issues such as congestion, security and air quality, announced that 10 of the 13 container terminals at the Los Angeles-Long Beach ports plan to adopt a cargo appointment system.
While each individual terminal will each have their own appointment system, all participating terminals must adhere to 3 common rules:
- Appointments will be mandatory at all participating terminals.
- The appointment systems will apply to import containers at all terminals.
- Appointments for exports are being evaluated as a potential future requirement.
- All individual terminal appointment systems will be accessible via links from PierPass’ websites.
Five of the ten terminals already operate under a version of an appointment system but they have agreed to adopt the new rules above. The other half plan to introduce this agreed upon appointment system in 2016.
What affect will this have on the industry?
PeirPass claims that the cargo appointment system will provide truck drivers with predictability and improved productivity by reducing their turn times. However, system success requires that truckers stick to the strict time windows set by the marine terminals. Truck drivers have expressed strong resistance to similar systems in the past because these windows can be difficult to meet.
Converting to the appointment system may take some time, but it is a significant step towards possibly reducing the congestion and long turn times at these ports.
Please feel free to reach out to our experts if you have any questions about how this will affect your specific business process.