San Diego-based Flagship Cruises & Events has secured $15.2 million in funding from the California Air Resources Board (CARB) to develop two fully electric, zero-emission ferries for the San Diego to Coronado route.
A Step Toward Zero-Emission Maritime Transport
The CARB Advanced Technology Demonstration and Pilot Project grant is part of California Climate Investments, a statewide initiative that uses cap-and-trade funds to support environmental, economic, and public health improvements. This project will be carried out in collaboration with the San Diego Air Pollution Control District (SDAPCD).
The total cost of the project is expected to exceed $21 million, with construction on the new ferries set to begin later this year. The first ferry is scheduled to launch by fall 2026, marking a milestone in California’s transition to sustainable maritime transport.
According to Brad Engel, President of Flagship Cruises & Events, these ferries will be the first all-electric newbuild ferries in California.
Cutting-Edge Battery Technology for Cleaner Air
Flagship Cruises & Events states that the new ferries will be equipped with advanced battery technology, ensuring zero greenhouse gas (GHG) emissions. Additionally, they will eliminate particulate matter, which is typically associated with traditional combustion engines.
Paula Forbis, Air Pollution Control Officer for SDAPCD, emphasized the project’s significance:
“The conversion of these ferries to electric will significantly help reduce diesel particulate emissions for the Portside communities. The electrification of transportation has a big impact on improving air quality, and SDAPCD is grateful to Flagship Cruises & Events for bringing San Diego County closer to Clean Air for All.”
Aligning with the Port of San Diego’s Green Initiatives
The new ferries align with the Port of San Diego’s “Green Port” initiatives, a broader strategy for sustainable maritime operations. Danielle Moore, Chair of the Port of San Diego Board of Port Commissioners, highlighted the importance of this collaboration:
“This is exactly the kind of collaborative effort we envisioned when we approved the Maritime Clean Air Strategy.”
The Maritime Clean Air Strategy (MCAS), adopted in October 2021, outlines 34 key actions under the port’s “Health Equity for All” vision. One of its major goals is to transition all cargo-handling equipment to zero emissions by 2030.
Clean Cargo Project: A $59M Investment in Green Ports
In October 2024, the Port of San Diego received $59 million from the U.S. Environmental Protection Agency (EPA) under the Clean Ports Program. This funding supports the Clean Cargo project, which aims to reduce air pollution and transition port operations toward cleaner alternatives.
The Clean Cargo project will implement several critical initiatives, including:
- Upgrading the 12-kilovolt (12-kV) electrical distribution system at the Tenth Avenue Marine Terminal (TAMT)
- Installing two shore power systems for commercial harbor craft at TAMT
- Introducing a zero-emissions truck stop
- Deploying battery-electric zero-emission equipment, vehicles, and charging infrastructure
Additional Funding for Zero-Emission Infrastructure
In January 2025, the San Diego Port secured an additional $5 million grant from SDAPCD under the Clean Air for All vision. These funds will be used for electrical upgrades at the Tenth Avenue Marine Terminal, further supporting the region’s transition to zero-emission maritime operations.
