The WAIRE Program affects warehouses in southern California’s South Coast Air Quality Management District (AQMD). The program was adopted on May 7, 2021 and is aimed at warehouses that have consistent commercial truck traffic and encompass 100,000 square feet or more interior space.
Square footage and the amount of activity determines the number of points that a warehouse must earn annually. Overall, facilities have three years to reach compliance. Additionally, square footage determines when actions towards meeting compliance must start. For instance, warehouses of 250,000 square feet or more were required to begin compliance measures in 2022.
Surprisingly, however, many in the trucking and warehousing industry aren’t even aware of WAIRE. This lack of awareness is rather alarming, considering the importance of the program and the substantial fees and fines that may be imposed on facilities found non-compliant. If you’re still unsure about the program and how it affects you, keep reading.
The WAIRE Program Explained
The WAIRE Program is designed to reduce emissions associated with warehouses involved in transportation-related activities. The program’s primary goal is to improve local and regional air quality, and thus warehouses work towards becoming compliant by reducing nitrogen oxides, diesel emissions, and particulate matter. Your facility likely needs to participate in the WAIRE Program if:
- You are a warehouse owner or operator in California’s South Coast Air Quality Management District
- The interior of your warehouse is 100,000 square foot or more
- You lease a warehousing area that is 100,000 or more square feet located within a 250,000 square foot (or larger) facility
If your facility is required to participate in the program, an “Initial Site Information Report” must be submitted to begin compliance measures, noting specific details about warehouse operations. Upon official admittance into the program, warehouse owners/operators will be given access to an online portal where they can easily keep their reports up to date.
Understanding The WAIRE Points System
Compliance is based on a points system, and point requirements are determined by the WAIRE Points Compliance Obligation (WPCO) formula. The formula calculations involve specific numbers like the annual number of truck trips, the type of trucks used, and the phase-in schedule. Additional details can be found here.
Once the warehouse owner/operator has determined the number of points they need annually, they can earn those points in a variety of ways. In fact, while the program may sound daunting at first, it’s actually fairly flexible when it comes down to the exact changes or improvements you need to make.
WAIRE Mitigation Fees
If you cannot or do not wish to make changes to your warehouse to hit your points requirement for the year, another option is to pay the WAIRE mitigation fee of $1000, which is equivalent to a single WAIRE point. However, earning your way through the program is intended to be far more cost effective and beneficial to your business in the long run.
To put things into perspective, look at a warehouse measuring in between 150,000 and 249,999 sq ft that operates 345 days per year, sees 3,450 class 8 trucks per year, and takes 20 class 2b-7 truck trips daily is required to be compliant by year 2025. The total number of WATTs points they would have to earn is 15,525 (or 38.8 WAIRE points). If they opted to pay the mitigation fees instead of investing in their company’s future, it would cost $38,812.50 in the first year.
As an example, buying or renting a zero-emission class 8 truck would earn your facility 126 points while the acquisition of a ZE yard truck would earn you 177 points. For details on points earned, see page 20 of this document.
If you manage to earn more points than you are required to in a given year, those extra points carry over and give you a head start on the following year.
How WAIRE Points Are Earned
As mentioned previously, WAIRE works on a menu-based points system. However, earning points is only possible when “surplus” actions are taken, which means going “beyond existing federal and state regulations already applicable to…earning WAIRE Points.”
WAIRE points can be earned in the following ways:
- Installing or using solar panels onsite
- Installing and using electric vehicle charging station(s)
- Buying or renting zero-emission (ZE) or near-zero emission (NZE) trucks.
- Acquiring and using ZE yard trucks
Our WAIRE calculator provides a quick and clear estimate of EV programs required for your business operations. Click here to learn more.
Why It Pays to Take Action
Taking action towards making your warehouse compliant might sound overwhelming or inconvenient at first, but it’s an inevitable task that will ultimately benefit your business in the long haul.
Learning about the WAIRE Program and focusing on actionable measures that earn you WAIRE points, will help you avoid the perpetual cycle of paying costly mitigation fees. Plus, you’ll also be paving the way towards earning points in subsequent years while preserving the environment and lowering your monthly operational costs, too.
Consider Our Turnkey Solution
Undoubtedly, the WAIRE Program rules are complex and perhaps even confusing, but being compliant is not optional. If you need help, TCI offers a turnkey solution that will ensure your warehouse earns required points and avoids those hefty mitigation fees.
With more than 40 years under our belts, we can help you grow your business sustainably and become WAIRE compliant with ease. Whether you want to transition your fleet to EVs, install charging stations, or need guidance on how to get started, , we can help you every step of the way. Contact our WAIRE specialists today!
