California Big Rigs Face First U.S. Emission Curbs

By Adam Satariano

Oct. 24 (Bloomberg) -- The first U.S. rules regulating diesel pollution spewed from ``big rigs'' were released by California regulators, affecting roughly 1 million trucks carrying goods around the state.

The California Air Resources Board measures would require trucks operating in the state to install technology that improves efficiency and reduces smog-forming emissions. The rules, which would take effect in 2010, are opposed by the trucking industry because of its estimated $5.5 billion cost.

Heavy-duty rigs are the largest remaining source of unregulated diesel emissions, responsible for 32 percent of smog- forming pollution in California, the board said. Diesel exhaust is associated with cancer as well as cardiovascular and respiratory problems. The board said the rules are expected to save 9,400 lives from 2010 to 2025.

``These regulations will ultimately help improve both public health and the economy, especially when you account for the reduced health care costs we will see thanks to fewer hospital visits,'' Mary Nichols, the chairwoman of the Air Resources Board, said in a statement.

The regulations are expected to affect more than 400,000 trucks registered in the state, 500,000 out-of-state vehicles that do business in California and more than a half million trailers. The state last year required new emission-reduction technology on trucks that operate at ports and for off-road vehicles.

Cost to Truckers

More than $1 billion in funding assistance will be made available to the truckers to help cover the costs of cleaning-up and revamping the vehicles, the agency said.

That won't be enough for truckers in the state who will have to pay $80,000 to $150,000 to get their big-rigs retrofitted, said Julie Sauls, a spokeswoman for the California Trucking Association. The cost, which could be triple the $5.5 billion estimated by the state, is compounded by the economic slowdown, she said.

``When people are buying less and aren't building homes, we aren't transporting as many goods,'' Sauls said. ``We aren't generating the kind of revenue we would normally use to upgrade our fleets.''

State officials say the rules are necessary for Los Angeles and San Joaquin Valley to meet federal air quality standards that they are now violating. A final vote by the board on the regulatory changes is slated for mid-December.

To contact the reporter on this story: Adam Satariano in San Francisco at asatariano1@bloomberg.net