Port of Virginia getting a $20 million federal grant
Funds will help expand Central yard to eight working tracks
The U.S. Department of Transportation is awarding the Port of Virginia more than $20 million to complete an expansion project at its Central Rail Yard.
The $20,184,999 grant will help the port expand the yard at Norfolk International Terminals to eight working tracks — two new bundles of four tracks — plus a center area for transferring and staging containers. Additionally, the project will build a return access road, separating rail vehicle traffic from general truck traffic.
Virginia Port Authority CEO and Executive Director
John Reinhart said in an emailed statement that the current rail operation simply couldn’t keep up with expected rail growth.
“Our goal is to have 40% of our total container volume move by rail,” Reinhart said. “This is an important investment to help meet that goal, to expand capacity and maintain the expected level of service to cargo owners in the Midwest, Ohio Valley, and other inland markets.”
The project, expected to generate $112 million in total economic benefits, will reduce the distance that trucks need to travel, thereby easing congestion and saving time.
The rail construction is part of a $450 million capacity expansion project at Norfolk International Terminals, said port spokesperson Joe Harris in an email. The effort, which will expand the port’s annual capacity by 400,000 containers, will include a reconfigured container stacking area, greater use of technology and two huge ship-to-shore container cranes. Those cranes are expected to arrive in November and be operational in early 2021, Harris said.
The $20 million grant is part of $220 million that has been awarded to ports in 16 states and territories through the Maritime Administration’s Port Infrastructure Development Program, which was designed to support port and freight infrastructure. In addition to capital, the project provides project management assistance.
Traffic at the port has rebounded significantly since the beginning of the coronavirus pandemic. The port processed 256,439 20foot equivalent units in September, up 27% from May traffic and a 6% increase from September 2019.