ecbi and International Peace Institute have published a Discussion Note, titled Could US Port Authorities Adopt Climate Solidarity Levies? A Case Study of New York City and Los Angeles. The note explores the potential for implementing Climate Solidarity Levies (CSLs) at the sub-national level in two major US cities: New York and Los Angeles. CSLs are proposed as innovative sources of funding for addressing loss and damage caused by climate change, particularly through the newly established multilateral Fund for responding to Loss and Damage Fund (LDF). The note examines the legal precedents and procedural possibilities for applying these levies on air and maritime travel, focusing on the Port Authority of New York and New Jersey (PANYNJ) and the Port of Los Angeles (POLA).

The note highlights the challenge of capitalizing the LDF without diverting funds from other existing climate funds and proposes establishing a Climate Solidarity Alliance (CSA), which would involve national and sub-national actors, such as port authorities, in adopting CSLs to generate revenue for both domestic loss and damage funds and the LDF. The note reviews existing fee structures, such as the Passenger Facility Charge at US airports and the Ground Transportation Tax implemented by PANYNJ, to demonstrate potential pathways for implementing CSLs without requiring federal approval.

The analysis suggests that while no direct precedent exists for a CSL-like levy that earmarks revenues for international funds, similar mechanisms are already in place at both PANYNJ and POLA. The proposed levies—USD 5 per for-hire vehicle at airports, USD 10 per cruise ship ticket, and USD 10 per container at ports—could collectively raise approximately USD 458 million annually. Even allocating a portion of this revenue to the LDF would make New York and Los Angeles significant contributors to global climate finance efforts.