CSUN RESEARCH TEAM Dr, Alireza Kabirian, Dr. S. JimmyGandhi, Dr. Emad Al-Wakil, Dr. Abhijit Mukherjee Dr. Rais Ahmed

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1 CSUN RESEARCH TEAM Dr, Alireza Kabirian, Dr. S. JimmyGandhi, Dr. Emad Al-Wakil, Dr. Abhijit Mukherjee Dr. Rais Ahmed & Mr. David Alba Co-Founder President GRID Logistics Inc. PROPOSING GENUINE 21 ST CENTURY FREIGHT TRANSPORTATION SOLUTIONS FOR THE REGION 2013 METRANS International Urban Freight Conference

2 Challenge No. 1 International Port Competitiveness + 10 million Twenty-foot Equivalent Unit (TEU) (annually) 5-10 million TEU 2-5 million TEU Under 2 million TEU When Combined, the Ports of Los Angeles and Long Beach Have a 10 to 1 port disadvantage to larger container ports along the Pacific Rim while India s port infrastructure is exploding

3 Opportunity No. 1 So. California s East/West Trading Opportunities million Twenty-foot Equivalent Unit (TEU) (annually) 5-10 million TEU 2-5 million TEU In 10 years, Asia and India will have a 15-to-1 middle-class consumer population advantage over our U.S. economy. The Opportunity: Our ports to capture the future importer/exporter markets

4 Since Containerization over 50 years ago, the container terminal and intermodal Trucking and rail network has not fundamentally changed

5 20 th Century Container Shipping has a 3-Part Supply Chain Problem 50 Year old A Frame Crane and Terminal Facility Designs 50 Year Old Intermodal Terminal Designs 50 Year Old Truck Logistics Utilization 5

6 Approach: Upgrade the Old Container Supply Chain - Innovative Crane Technologies and Terminal Designs Build a 21 st Century Urban/Port Freight Transmission Network Newly Consolidated Railyard Designs Increase speed of ship and train loading adding value to industry with unprecedented performance A Modern Day Freight Pipeline Network Separate freight from freeway networks Decongesting road traffic, reducing road damage and improve Air Quality

7 SHIP SHIP SHIP SHIP SHIP 10 FREEWAY SHIP SHIP ALAMEDA CORRIDOR EAST SHIP SHIP SHIP SHIP Terminal Operator On Dock Rail Yard Terminal Operator On Dock Rail Yard Today s Port Logistics Busier than it looks City of Commerce & DTLA Consolidated Freight Service (CFS) Facility Terminal Operator On Dock Rail Yard Terminal Operator On Dock Rail Yard RAIL TRAFFIC CHOKE POINT Terminal Operator On Dock Rail Yard ALAMEDA Terminal Operator On Dock Rail Yard Terminal Operator On Dock Rail Yard Terminal Operator On Dock Rail Yard Terminal Operator On Dock Rail Yard Terminal Operator On Dock Rail Yard Terminal Operator (EXPANSION) 2 MORE On Dock Rail Yard Near Dock Rail Yard Intermodal Container Transfer Facility (ICTF) 710 FREEWAY FREEWAY TRAFFIC CHOKE POINT ONLY SOLUTION IS TO WIDEN TRAIN TRUCK 6 0 F W Y Consolidated Freight Service (CFS) Facility INLAND EMPIRE

8 The BIGGER the vessel, the longer it takes to discharge and loadback cargo! PROBLEM 1 OLD CONTAINER TERMINAL COMPLEXES SERVICING ULTRA-LARGE CLASS SHIPS

9 Gamechanging Technologies Ship to Shore Crane Technology New crane system estimated to double the speed of container discharge and loadback by over 100%. APMT s FastNet Next Generation Container Vessels 18,000 TEU megaships so large, ships may not be capable of crossing a post-widened Panama Canal.

10 #2 TRUCKS Released in December, 2012 the Urban National Mobility Report determined that the national average of city truck traffic represents 7% of freeway vehicle traffic population; however trucks represented 23% of the negative economic and environmental impacts; or what the report calls the congestion invoice brought on by trucks. In 2011 within the L.A./Long Beach/Santa Ana region of Southern California alone, we suffered an annual congestion invoice cost of $10.8B.

11 MONDAY, 20 AUGUST 2012 The New Era in Ports Mega-vessels and the ports that will support them; Alphaliner Monthly Monitor (Oct 2011) is expecting 260 mega vessels, exceeding TEU, mainly for the Europe-Asia trade and, says Mr Laursen, ports in this lane will need to upgrade accordingly. Christian Moller Laursen, CFO, Vice President, APM Terminals Quotes from the 2012 London Port Finance International conference Handling this new generation, says Mr Laursen, will be yet another huge challenge for ports, not only with regards to berthing space but also in terms of yard space and further transportation into the hinterland. According to Mr Laursen, it will be imperial to develop a better inland service as restricted hinterland facilities reach their maximum capacity too fast. This results in clogged up yards, railways not being able to discharge or load containers and ports consequently not being able to operate and serve the vessels. There is high demand and potential for hinterland connectivity development to ports

12 3- Part Solution: SuperDock, Freight Network and Inland Feeder Terminals ALAMEDA CORRIDOR Class 1 Trains (1) SUPERDOCK (3) FEEDER TERMINALS INLAND (2) ZERO EMISSIONS RIGHT OF WAY (R.O.W.) SURFACE & UNDERGROUND URBAN FREIGHT (3) FEEDER TERMINALS (3) FEEDER TERMINALS NETWORK FUTURE EXPANSION OPPORTUNITIES ALAMEDA CORRIDOR EAST (ACE) 12

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14 Ship to Shore Crane Technology Is LONG OVERDUE

15 Bay by bay crane access can triple the speed of discharge and loadback on an Ultra-large Container Ships

16 Underground freight pipeline solution to trucks on freeway networks

17 2008 Report Downtown Los Angeles Torrance Santa Fe Springs City of Industry Placentia Ontario Corona

18 2008 Report Downtown Los Angeles Torrance Santa Fe Springs City of Industry Placentia Ontario Corona

19 Feasibility Study Defender: The current port system and growth strategy Challenger: GRID project

20 1. Profitability Measures of Feasibility

21 Measures of Feasibility 2. Jobs Jobs for constructions and manufacturing requirement for each option Jobs for port and logistics operations related to each option US trading jobs that are indirectly influenced by efficiency of port operations and volume of cargo handled Jobs for supplying energy sources needed for each option

22 Measures of Feasibility 3. Environment and Sustainability Air Noise Traffic

23 Measures of Feasibility 4. Technology Constructability Efficiency Maintainability

24 Measures of Feasibility 5. Robustness Reliability Sensitivity Analysis Risk Analysis

25 Methodology Multiple economic, environmental, statistical, and operational models will be built and analyzed. Micro-Simulation Macro-Simulation

26 Microscopic Modeling - Proof of Concept Perform a Microscopic modeling using G-scale

27 Construct a SuperDock/SuperCrane Module that will Demonstrate the systems container moving operations

28 IMPACT and TAKEAWAYS So What is Our Purpose if Studies Determine Positive Outcomes? Project of National Significance (like an Olympic Games Designation) as a P3/DBMO Economic Stimulus to the Region in Engineering, Construction, Manufacturing and a legacy of jobs in Freight Transportation. A New Method of R&D Collaboration with Private Sector Inspired Innovations Forming new Collaborations with other Universities, Start-up Incubators (LA Cleantech Incubator Portfolio Companies in need of academically led research and development), and regional stakeholders.

29 Thank You! Dr. Alireza Kabirian - akabirian@csun.edu Mr. David Alba - d_alba@gridlogistics.com 2013 METRANS International Urban Freight Conference