Continued success at the port
Virginia facilities setting records as past investment pays off
You hear it over and over, whenever seemingly ordinary items become scarce and prices just keep going up. The global-supply chain crisis is making life more difficult and driving inflation. Things are a mess, with congestion, dysfunction and ships full of goods languishing offshore at many ports, especially on the West Coast.
Here in Hampton Roads, though, the Port of Virginia has not just functioned well lately. It has exceeded expectations and become the fastest-growing port in the United States, pumping money and energy into the regional and state economies.
While the COVID pandemic, with all its disruptions, dragged on last year, the Port of Virginia flourished. Most sizable East Coast ports experienced some growth even while the big California ports in Los Angeles and Long Beach struggled. The Port of Virginia led the way, reporting a remarkable 25% increase in container volume handled in 2021 as compared to 2020.
In his “State of the Port” address in April, Stephen Edwards, the CEO and executive director of the Virginia Port Authority since January 2021, reeled off impressive statistics about the port’s economic impact in Hampton Roads and
Virginia. The port’s growth has led to healthy increases in jobs, salaries, spending and local taxes paid. All that amounts to a major boost to the economy despite the challenges created by this pandemic that took us all by surprise.
The success of the Port of Virginia is no happy accident. It’s the result of years of thoughtful investment, planning and preparation that created a port operation that’s efficient, flexible and resilient. And all that wouldn’t have happened without visionary leadership at the Port Authority, in Hampton Roads communities and in Richmond.
That vision included creating a streamlined operating structure. All the marine terminals in Hampton Roads are run by the Port Authority, unlike in the Los Angeles area, where the two big ports have separate management. The Port of Virginia’s organization makes operations nimbler, a key factor in minimizing congestion and delays.
Another big plus is that the Port Authority here also controls the fleet of truck carriages that carry the containers, rather than dealing with competing trucking providers.
The Port of Virginia also is a leader in using the latest technology including automated machines and robotics, making it easier to deal with labor shortages and irregular shipping schedules.
Edwards’ address signaled that the leaders at the Port Authority and in the region and state continue to plan thoughtfully and invest wisely for the future. The authority is making upgrades to its two primary container terminals. With the help of federal funds, it’s preparing to invest $360 million in dredging to make the two major channels deeper and wider so that they can accommodate two-way ship traffic. Expansion of the Hampton
Roads Bridge-Tunnel will make it easier for trucks using Interstate 64 to access the port.
It’s also visionary — and smart — for the port to be working toward future sustainability. Edwards said the port may reach its goal of 100% clean energy well ahead of the target date of 2032. It is also committed to net zero carbon emissions by 2040.
And the port is a major player as Hampton Roads, and greater Virginia, become a national leader in the offshore wind-energy industry.
Nobody saw the COVID pandemic coming, and no one could have known how disruptive it would be to almost every aspect of our lives. Because of years of good leadership and wise investment, the Port of Virginia was strongly positioned to adjust as necessary. That preparation made possible the remarkable growth and progress.
Today’s leaders appear to be up to the job of keeping that tradition going. Hampton Roads and greater Virginia should be grateful and proud to have such a powerful economic engine growing and building for the future. Leaders should make sure that the port continues to have the infrastructure and other support it needs to remain highly competitive, whatever surprises the coming years may bring.