Saturday, March 29, 2025

Port Dispute Deepens as Plaquemines Pushes for Alternative to $1.8 Billion Violet Terminal

A high-stakes battle over the future of Louisiana's port infrastructure is heating up, as Plaquemines Port makes a renewed push for an alternative to the $1.8 billion container terminal project planned by the Port of New Orleans at Violet in St. Bernard Parish.

Charles Tillotson, executive director of Plaquemines Port, is lobbying Governor Jeff Landry and top transportation officials to consider a rival site farther downriver. His proposal: a joint 50/50 venture between Plaquemines and Port NOLA, placing the terminal near mile marker 50 of the Mississippi River, around West Pointe à la Hache on the West Bank. That's approximately 35 miles south of the current Violet site.

In response, the Landry administration has taken a hands-off approach, encouraging continued dialogue between the two ports while withholding support for either plan. Julia Cormier, commissioner of the state's Office of Intermodal Transport, emphasized that neither project has been reviewed by the new Louisiana Port and Waterways Investment Commission, a body created by Governor Landry to resolve conflicts and guide strategic port development across the state.

"For the state to take a position supporting one over the other would be irresponsible," Cormier said.

The dispute highlights deep strategic divisions over how to reclaim market share in the fast-growing container shipping sector. While ports in Houston and Mobile have surged in volume — fueled by significant private investment and industrial partnerships — Port NOLA's container volume has remained stagnant.

Port NOLA's proposed Louisiana International Terminal in Violet is designed to solve one major problem: current facilities upriver, like Napoleon Avenue, can't accommodate today's larger container ships due to limitations posed by the Crescent City Connection bridge. Violet, located downriver from the bridge, offers better access — and the port has already made substantial progress, acquiring 1,100 acres of land, securing $800 million in private investment, and receiving a record $300 million in federal grants.

Despite this momentum, the Violet plan has faced local pushback. The St. Bernard Parish Council opposes it unanimously, citing concerns about infrastructure, traffic, and environmental impact. Several lawsuits have emerged, and the project hinges on federal permitting and construction of a toll road to connect the terminal to the interstate.

Tillotson argues that the West Bank site offers significant logistical advantages. Its proximity to the mouth of the river and location along a straight, wide stretch of the Mississippi would allow ships to cut travel time and costs—up to $400,000 per call. He also cites the site's potential rail access through a Union Pacific line, which could provide better connectivity to key inland markets like Dallas.

Additionally, its closeness to strategic assets like the Belle Chasse Naval Air Station and the Avondale Gateway industrial zone is seen as a potential benefit, although those advantages have not been fully detailed publicly.

Port NOLA officials remain firm in their commitment to the Violet project. CEO Beth Branch, who assumed leadership in December, has signaled that construction could begin this year, pending final approvals from the U.S. Army Corps of Engineers.

Board Chair Michael Thomas responded to the Plaquemines pitch with skepticism, pointing out that Port NOLA already owns its site, while Plaquemines Port does not. He also cited major concerns: the Plaquemines site is outside the region's flood protection zone and currently lacks completed rail infrastructure, which could lead to costly delays, lawsuits, and environmental scrutiny.

"We're the only deepwater port in the country with six Class One railroads," Thomas said. "Currently, they do not have railroad connectivity."

Tillotson has hinted that Plaquemines Port will move forward with its own terminal regardless of whether Port NOLA agrees to a joint venture. The port has already signed a nonbinding agreement with APM Terminals, a global operator owned by A.P. Moller-Maersk. Notably, APM also operates terminals in Mobile and Houston — raising concerns among Port NOLA officials about potential conflicts of interest in competitive port development.

Plaquemines Port is also poised for rapid growth, thanks in large part to the $21 billion liquefied natural gas export facility being developed by Venture Global. The plant, which began production in December, is expected to significantly boost the port's tonnage in the coming years.

The showdown between Port NOLA and Plaquemines Port is emblematic of a broader challenge Louisiana faces: how to develop a unified port strategy in a state known for fragmented regional interests. With both container terminal proposals backed by private capital and targeting overlapping markets, coordination is crucial to avoid redundancy — or worse, internal competition that hinders progress for both.

For now, the state has chosen to remain on the sidelines, urging both sides to find common ground. But with billions of dollars, critical infrastructure, and Louisiana's place in the global shipping economy on the line, that neutral stance may not hold for long

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