Next Generation Shipping Act

Full Title:
Next Generation Shipping Act

Summary#

This bill creates the Next Generation Shipping Innovation Program at the Department of Transportation. The Program will support research, design, development, demonstration, and deployment of zero-emission vessels, clean alternative fuel vessels, related energy efficiency and noise-reduction technologies, and shore-side charging or fueling infrastructure. The Department may offer grants, low-interest loans, and loan guarantees to eligible entities (owners, manufacturers, ports, terminal operators, certain nonprofits and training organizations, and academic partners). The bill requires annual public posting of funding applications, a wage rule for construction work, and prohibits using Program funds to study, design, or install automated vessels or automated cargo handling systems. An advisory committee must be created to guide the Program and report to the Secretary and Congress.

What it means for you#

  • If you are a vessel owner, port, manufacturer, terminal operator, or eligible training or academic partner, you may be able to apply for grants, loans, or loan guarantees for projects that develop or deploy zero-emission or clean-fuel vessel technologies or related infrastructure.
  • Projects that include project labor agreements or community benefits agreements, advance workforce training, reduce underwater noise, or show environmental co-benefits are prioritized.
  • Construction work paid for by the Program must meet prevailing wage rules set by the Secretary of Labor.
  • The Program will publish applications each year so the public can see projects that applied and which ones were chosen.

Expenses#

The bill authorizes $1,000,000,000 for each fiscal year from 2027 through 2036 to carry out the Program. The Secretary may use up to 10 percent of amounts made available for administrative costs. The bill requires prevailing wages for construction, alteration, installation, or repair work assisted by Program funds. No other cost estimates or budget effects are provided in the bill text.

Proponents' View#

The bill frames the Program to help maritime decarbonization by advancing zero-emission vessel technologies, improving manufacturing and components, lowering costs, reducing underwater noise, and creating synergies with offshore renewable energy. It emphasizes workforce training, community engagement, environmental justice, and use of project labor or community benefits agreements. Supporters point to the advisory committee, transparency rules, and federal funding as tools to coordinate research, development, demonstration, and deployment.

Opponents' View#

No publicly available information.