Central Valley Business Times: Truckers warn of shakeout over CARB rule

 

A California truckers’ group warns there will be widespread business failures in their industry if the California Air Resources Board approves a tougher rule for emissions from diesel engines.

CARB is set to vote in three weeks on the rule that could see virtually every diesel truck and bus operating in California having their engines replaced or retrofitted with air pollution control devices starting in 2010.

The trucking industry says the upgrading and replacement will cost $5.5 billion “at a time when there is little to no access to capital to finance engine retrofits or replacements.”

Bob Ramorino, president of the California Trucking Association and president of Roadstar Trucking in Hayward, says this will prompt a widespread shakeout in the industry.

“Our concern comes with the speed with which this regulation is going to bring about the change,” he says.

“There’s going to be a shakeout. No matter what we do, this is a watershed turn of events for the transportation industry,” Mr. Ramorino says. “It fundamentally will change our business model.”

(Mr. Ramorino amplifies on his concerns in a CVBT Audio Interview. Please left-click on the link below to listen now or right-click to download the MP3 audio file for later listening.)

The truckers’ group , which calls itself “Driving Toward a Cleaner California,” says it will ask CARB to consider the current economic climate and adopt a rule that cleans the air without seriously harming the goods movement sector of the economy. They want compliance staved off until 2020.