Lawmakers should reject AB 2286 and work with the AV industry to create a better future – Orange County Register
Current cross-party polls found that Californians see economic conditions – such as cost of living and inflation – as the biggest problems they face. More than a third say their personal financial situation is worse than last year, while seven in ten expect bad economic times next year as well. These opinions are supported by basic statistics: Food prices in the Los Angeles area increased 3.1% last year and California has the third highest cost of living in the U.S. At the same time, California businesses, ranchers, farmers and manufacturers face ongoing supply chain challenges to obtain the goods they need and get their products to customers.
Autonomous trucks offer tremendous opportunities to solve these problems and transform freight transportation in the state and the rest of the country. Improved and more robust supply chains give companies of all sizes greater certainty and flexibility, keeping shelves full and inventories stocked. Increased speed and capacity advantages allow farmers to enter new agricultural markets, improve produce freshness, and reduce spoilage. Likewise, autonomous technology reduces fuel consumption by at least 10%, keeping logistics costs lower, and all of this has important environmental benefits. Additionally, many of the leading autonomous truck companies are based in California, and their success will help create jobs in the state.
Given these economic challenges and an identified innovative solution, it is puzzling that some California lawmakers are supporting a bill that would ban autonomous trucks altogether. AB 2286 is the counterpart to a bill introduced last year by Governor Newsom has vetoed because they are “unnecessary”. A ban on autonomous trucks means a ban on economic growth, new jobs and a more flexible supply chain.
When it comes to the future of our supply chain and economy, I want to make one thing clear: truck drivers are essential. Government data shows that freight volume in the U.S. is expected to grow 50% by 2050. Unfortunately, there is already a 78,000 driver shortage, and that shortage is expected to double in just seven years. The numbers simply aren’t enough to meet this growing demand. Autonomous trucks will help fill those gaps by working with truck drivers.
California authorities understand how important technological investments like autonomous trucks are to supply chain infrastructure. The state’s transportation officials are among the world’s leading experts on autonomous truck safety and have been working for years on public workshops and a constructive process to regulate autonomous trucks and support supply chains. Likewise, California economic development officials have supported autonomous truck technology. Opponent This ban was rejected, and the bill was called “an inflexible approach to regulating a growing industry that emerged from California’s innovation economy.”
Companies of all sizes and industries want California to be a central link in their supply chain. After several years of steep declines, ports are reclaiming business. Autonomous trucks are one of many innovation-driven solutions designed to maintain California’s economic and logistics leadership while creating new jobs. A U.S. Department of Transportation study projects that autonomous trucks will create up to 35,100 jobs each year and boost the economy by over $68 billion over the next 30 years. The industry is hiring experienced commercially licensed drivers while opening doors for people in many fields. From terminal operators to fleet technicians and remote maintenance specialists to mapping experts, these jobs offer exciting opportunities for people with a wide range of skills and educational backgrounds.
Remarkably, 42 percent of Californians say the state’s budget situation is a “big problem.” AB 2286 would not only waste years of agency resources developing an appropriate policy framework for autonomous trucks – it would create Workload and outside contracts for the DMV “with costs likely in the millions.” California’s motor vehicle budget is expected to be insolvent as early as fiscal year 2025 and reach a negative balance of $1.4 billion in fiscal year 2028. AB 2286 would create a legislatively created budget problem for California taxpayers.
Consumers and businesses are looking for relief from higher prices, long delays, and other supply chain challenges. Autonomous trucks offer long-term solutions here. The future of American trucking will be coexistence and collaboration between truck drivers and autonomous trucks. Lawmakers should reject AB 2286 and work with both the AV industry and labor and other stakeholders to achieve a better future. By combining the strengths of human drivers and autonomous trucks, we can create a better situation for everyone: more opportunities for workers, new jobs, and a stronger, more resilient economy.
Jeff Farrah is CEO of the Autonomous Vehicle Industry Association (AVIA). He grew up in Torrance, California.
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