Blog / / AQMD & Rule 2305 May Impact 2,902 Warehouses

AQMD & Rule 2305 May Impact 2,902 Warehouses

On May 7, 2021 the South Coast AQMD adopted Rule 2305 or what is known as the Warehouse Indirect Rule (ISR). The rule requires warehouses 100,000 SF and larger to directly reduce nitrogen oxide and diesel particulate matter emissions. The warehouse rule is a menu-based point system. These points can be earned by completing actions that include using natural gas, Near-Zero Emissions on-road trucks, zero-emission cargo handling equipment, solar panels or zero emission charging and fueling infrastructure or other options. Alternatively, warehouse operators can pay a mitigation fee. Funds from the mitigation fee will be used to incentivize the purchase of cleaner trucker and charging / fueling infrastructure in nearby communities. The warehouse rule is expected to reduce smog-forming emissions by 10-15 percent from warehouse related sources. The Rule is expected to impact 2,902 warehouses. The anticipated maximum mitigation fee for warehouse operators is $0.83 PSF per year. Job impacts are projected at 240 jobs gained to 11,100 jobs lost on average from 2022 – 2031. See the link below for more details.