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Monday, November 25, 2024

Arizona Trucking Association on California's 'net zero' mandate for truckers: ‘This is going to raise prices or costs for everybody’

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Tony Bradley, President and CEO of the Arizona Trucking Association. | Arizona Trucking Association

Tony Bradley, President and CEO of the Arizona Trucking Association. | Arizona Trucking Association

In a legal showdown with far-reaching implications, sixteen states have launched a complaint against California's mandate to ban internal combustion engines in medium and heavy-duty vehicles.

At the heart of the dispute is California's regulation known as the Advanced Clean Fleets, which aims to compel truckers across the nation to transition to zero-emission vehicles. 

Plaintiffs, including the Arizona Legislature, argue that the mandate is not only impractical but also threatens to disrupt the entire supply chain. 

The lawsuit also claims that the regulation, while appearing to only apply in California, will have national consequences by raising prices and slowing transportation.

Tony Bradley, President and CEO of the Arizona Trucking Association, minced no words when discussing the potential ramifications of the mandate. 

“The impacts for not only Arizona, but the nation are tremendous,” Bradley told Grand Canyon Times. “The fact of the matter is California is the largest state economy in the United States. A lot of our imports come through the ports of Long Beach and L.A.”

“The mandate that has been proposed is impractical and impossible to meet because of several factors, first of which is we don't have the infrastructure to support electric vehicles, which is what they're requiring.”

“The cost of putting that infrastructure in place is astronomical. And then finally, the cost of buying those vehicles is astronomical. And there's just not enough of those vehicles being produced that we can purchase what they're requiring.”

“Furthermore, the payload capacity of those vehicles is not what we can do currently today. And there's very little proof that there will be any positive impact on our environment. There's actually better ways to solve the challenge they're trying to solve without these mandates.” 

Bradley also highlighted the inevitable burden that consumers would bear due to inflated transportation costs. 

"If you increase the cost of delivering that product by a factor of two to four times... the cost of a dozen eggs is going to go through the roof," he said.

Bradley also stressed the fundamental economic principle of supply and demand. 

"Trucking is a supply and demand business, and if you are making the vehicles more expensive to deliver, you decrease supply," he said. "This is going to raise prices or costs for everybody."

In a scathing critique of the mandate's proportionality, Bradley drew attention to the marginal environmental gains it seeks to achieve. 

"What they're trying to solve is a 1.5%. Just think about the costs that are going to be borne... to solve a problem that is 1.5% of what it used to be," he said.

The plaintiffs have filed a complaint for declaratory judgment and injunctive relief against the Executive Officer of the California Resources Board and the Attorney General of California. 

Despite the regulation applying to California only, the lawsuit states that it will have nationwide consequences.   

“This will inevitably disrupt the supply chain for all manner of goods, slow interstate transportation, raise prices on goods across the country and impose costs on taxpayers and governments around the country,” the lawsuit reads. “It is a misconceived and nationwide policy executed without the blessing of Congress or the consent of elected leaders in affected states.”

The lawsuit argues that the Advanced Clean Fleets regulation violates the Commerce Clause of the Constitution, claiming federal laws gave control of motor carriers to the federal government, superseding any state regulations.

“That means it cannot bypass the CAA and the FAAAA nor impose rules that fall within the Commerce Clause’s negative implication,” according to the lawsuit. “But defendants, California’s chief law enforcement and environmental enforcement officers, have done just that through their implementation and enforcement of Advanced Clean Fleets."

The plaintiffs also object to the additional costs associated with electric trucks, including road damage and higher purchase prices compared to traditional models.

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