SCAG has partnered with the Mobile Source Air Pollution Reduction Review Committee (MSRC) to establish Program Guidelines and issue a Call for Projects for the Last Mile Freight Program (LMFP). The LMFP is a component of a larger goods movement emission reduction effort established by the MSRC. Last mile freight activity is a critical component of supply chains for both consumers and intermediary businesses dealing with physical goods. E-commerce has had a profound impact on last mile delivery growth, and in 2020, the COVID-19 pandemic has only exacerbated the frequency of deliveries adding further stress to global supply chains. At the same time, air quality challenges continue to impact the public health of the region.
As part of SCAG’s Connect SoCal plan (2020–2045 Regional Transportation Plan/Sustainable Communities Strategy), the Accelerated Electrification strategy is a Key Connection of the Plan seeking to de-carbonize or electrify vehicles including those within goods movement. The LMFP serves as an initial step towards implementing freight-related clean vehicles/equipment and infrastructure to support cleaner air goals.
SCAG has developed a two-phased approach for the LMFP:
Phase 1: Focusing on the commercial deployment of zero-emission or near-zero emission (ZE/NZE) heavy and/or medium duty on road trucks (including ZE/NZE equipment and supporting infrastructure).
Phase 2: Will expand on Phase 1 projects to deploy operational strategies being demonstrated by last mile delivery companies.
A total of $16,751,000 is available for Phase 1 of the LMFP through the Call for Projects and selection process.
Achieve immediate greenhouse gas emission and criteria air pollutant (for NOx and PM2.5) reductions from commercially deployed vehicles/equipment and facilitate supporting infrastructure;
Inform both industry and the public regarding ZE/NZE vehicle/equipment and supporting infrastructure performance, and how this information can be used to scale emission reductions to contribute to regional air quality goals;
Provide private operators and the public with information on return on investment (ROI) and cost-effectiveness insights into ZE/NZE vehicle/equipment and infrastructure operations, maintenance, and reliability;
Create greater transparency regarding the need for public versus private ZE/NZE supporting infrastructure;
Inform the needs and/or help address the challenges to significantly scale ZE/NZE vehicles/ equipment and infrastructure in the region; and
Achieve geographic funding diversity and ensure that the LFMP provides economic and environmental benefits across the entire region.
Additionally, the LMFP is guided by a set of core principles as follows:
Creating transparency as to critical barriers impeding the transformation of the last mile freight market;
Measuring success for both public and private entities;
Optimizing where investments can generate the strongest benefits for further growth; and
The Phase 1 call for Projects focused on commercial deployment of ZE/NZE heavy- and/or medium-duty on-road trucks (including ZE/NZE equipment and supporting infrastructure). Please find more information on the program background and goals in the Last Mile Freight Program Guidelines.
Applications submitted for this project type should support the LMFP goals that are aligned with SCAG’s Accelerated Electrification strategy, which is a Key Connection outlined in Connect SoCal. All planning applications must meet the eligibility requirements as described in the LMFP Guidelines. The final deliverable for all projects must include the significant components mentioned in the application, including project summary, readiness and implementation, and cost effectiveness, among others.
Examples of eligible projects include but are not limited to the following:
ZE/NZE Heavy/Medium Duty Vehicles: 1) Last mile delivery vehicles supporting e-commerce industries such as package/parcel deliveries to residents and businesses; 2) Last mile delivery vehicles supporting retail/wholesale trade, manufacturing, construction, and other transportation and logistics services from business to business; 3) Last mile delivery vehicles supporting major freight facilities.
ZE/NZE Heavy/Medium Duty Equipment: 1) Trailer equipment supporting e-commerce industries, retail/wholesale trade, manufacturing, construction, and other transportation logistics services from business to business; 2) Last mile operating equipment for local delivery station, sortation, and other local facilities serving residents and businesses.
ZE/NZE Heavy/Medium Duty Supporting Infrastructure: 1) On- or off-site fueling charging hubs or depots.
The Application Workshop was held on Tuesday, May 18 from 10 a.m. to noon. This workshop was designed to assist interested organizations in preparing applications, provide a forum to answer questions and provide additional information.
SCAG LMFP, is awarding $16.8 million through its Last Mile Freight Program to fund investments in zero and near-zero commercial vehicle technologies that reduce emissions during last-mile freight operations and support the region’s clean-air goals included in the Connect SoCal Regional Transportation Plan/Sustainable Communities Strategy.
SCAG’s Regional Council and the Mobile Source Air Pollution Reduction Review Committee unanimously approved awarding of the funds in November 2021 and January 2022.
Project Title & Business Name
Cumulative Award Funds
WattEV HD Battery Electric Truck Deployment: Enabling Equitable Electrication / Watt EV
Good to the Last Dropoff – Sysco’s Zero Emission Last Mile Freight Initiative / Sysco Corporation
Accelerating Zero Emissions Last Mile Freight in the South Coast Air Basin /Quality Custom Distribution
Penske Accelerated Electrification of Last Mile Freight Operations / Penske Logistics, LLC
GLI Electrification / Gonzalez Logistics, Inc.
Expanding Access and Scaling Electrification (EASE) for Small Fleets / Zeem Solutions
New Bern Buena Park Electrification Project / Pepsico