Tag Archives: deregulation

Weekend Reading – Hauling Freight

Amtrak-UP

Amtrak and Union Pacific trains pass each other. Photo by SP8254.

While American passenger rail often leaves much to be desired, our freight rail network is second to none.  This privately owned and operated network often finds itself at odds with desires for increased passenger service and high speed operations.

Hauling the Freight: Freight rail companies have been reluctant to embrace the recent enthusiasm for high speed rail.  In a recent article from the Economist, railroads expressed all sorts of concerns, from technical considerations for offering mixed-speed service along shared passenger and freight lines to a complete re-regulation of the industry, which was de-regulated in 1980.  One such pending requirement will be use of Positive Train Control (PTC) on all routes where freight and passenger trains share the same tracks.

Freight railroads fear a return to the bad old days.  From the Economist article:

Federal and state grants will flow to the freight railroads to help them upgrade their lines for more and faster passenger trains. But already rows are breaking out over the strict guidelines the [Federal Railroad Administration] will lay down about operations on the upgraded lines, such as guarantees of on-time performance with draconian penalties if they are breached and the payment of indemnities for accidents involving passenger trains. The railroads are also concerned that the federal government will be the final arbiter of how new capacity created with the federal funds will be allocated between passenger and freight traffic. And they are annoyed that there was little consultation before these rules were published.

There have been some heated meetings between freight-railroad managers and FRA officials. Henry Posner III, chairman of Iowa Interstate Railroad, ruefully notes that freight railroads, in the form of passengers and regulation, “are getting back things that caused trouble”.

Prior to de-regulation, American railroads had obligations to offer money-losing passenger services, dealt with heavy taxation, and paid for their own infrastructure in the face of heavy subsidized interstate highways undercutting their core markets.   Mark Reutter documented these challenges back in an excellent 1994 Wilson Quarterly article entitled “The Lost Promise of the American Railroad.”  One core issue is defining the best balance between public and private interests.  America’s railroads are private enterprises, and back in the day where they dominated all travel and enjoyed de facto monopolies on various markets, they were regulated accordingly.  As transportation infrastructure financing shifted towards public funding (such as the interstate highway system), the regulatory structure did not evolve to meet the new realities.

The current debate is essentially one of re-defining the proper roles for each of the partners in this mother of all public-private partnerships.  Yonah Freemark at the Transport Politic suggests that the Economist’s take isn’t as dire as the railroads might make it seem:

If the public is committed to the funding of improved tracks along privately owned freight corridors, it has the right to demand that those companies allow passenger trains to run along them. From that perspective, the freight companies have little room to complain.

But the federal government does have a long-term interest in promoting investments that offer improvements in both freight and passenger offerings. Freight lines that run through the center of cities should be moved to new routes that detour, allowing passenger services to take over these access corridors much more essential for people than for cargo. Lines running both passenger and freight trains should be expanded to three or more tracks to allow multiple running speeds in both directions. Projects could theoretically be sponsored by public-private partnership, using both government and freight company funds directed to investments that benefit both.

These changing roles are not without tension.  The California High Speed Rail project has run into problems in their negotiations with the Union Pacific Railroad.  Likewise, DC has been involved – CSX’s rebuilding of the Virginia Avenue Tunnel to a double track, double stack standard is a direct example, and the impacts on passenger rail in the region are unclear.  CSX is poised to see a huge jump in traffic with the opening of new, larger locks at the Panama Canal.  MARC has big plans for future expansion and Amtrak has an eye on electrification to Richmond – how these projects will all fit together is unclear, indicative of the larger dialogue and coordination that needs to happen regarding freight and passenger rail.

Coordination needs to encompass technical questions (standards for train control? shared track? dedicated track? electrification?) as well as financial ones (who will pay for these infrastructure upgrades? what kind of control will come with public dollars?).

Get on the Bus: Aaron Renn writes about bus service improvements over at The Urbanophile, building off of this New York Magazine piece on New York’s new select bus service.  The article outlines many relatively cheap and easy to implement programs that can vastly improve the bus experience – fare pre-payment, limited stops, exclusive lanes, multi-door boarding, etc.  Renn writes:

[C]learly there is enormous opportunity in the US to start transforming the transportation infrastructure of our cities with high quality bus service in a way that is faster, cheaper, and much more pervasive than we’d ever be able to achieve with rail.

In the piece, Jarrett Walker highlights Jay Walder’s quote on taking bus lanes seriously.  He also notes, however, that such seriousness is not without compromises.  Others, such as Cap’n Transit have noted that while these bus improvements are tremendous, we should be careful to not oversell them, as many often do with terms such as a ‘surface subway.’

Cross-posted at Greater Greater Washington

Enjoy the journey

Metro-North Bar Car

The New York Times has a couple interesting pieces on transportation, one dealing with volcanoes and the other with booze.

First, the obligatory volcano story: Seth Stevenson thinks the eruption of Iceland’s Eyjafjallajökull and the subsequent shutdown of air travel across the continent offers an opportunity to really enjoy travel, rather than just flying over the landscape (and all the interesting stuff) at 35,000 feet.

In the five decades or so since jets became the dominant means of long-haul travel, the world has benefited immeasurably from the speed and convenience of air travel. But as Orson Welles intoned in “The Magnificent Ambersons,” “The faster we’re carried, the less time we have to spare.” Indeed, airplanes’ accelerated pace has infected nearly every corner of our lives. Our truncated vacation days and our crammed work schedules are predicated on the assumption that everyone will fly wherever they’re going, that anyone can go great distances and back in a very short period of time.

So we are condemned to keep riding on airplanes. Which is not really traveling. Airplanes are a means of ignoring the spaces in between your point of origin and your destination. By contrast, a surface journey allows you to look out on those spaces — at eye level and on a human scale, not peering down through breaks in the clouds from 35,000 feet above — from the observation car of a rolling train or the deck of a gently bobbing ship. Surface transport can be contemplative, picturesque and even enchanting in a way that air travel never will be.

Stevenson is so dedicated to this idea that he and his girlfriend successfully circumnavigated the globe without leaving the surface of the earth.

Stevenson’s admonishment of the jet age also stands in contrast to a piece in Sunday’s Washington Post, instructing us to ignore nostalgia for the golden years of airline travel.  Brett Snyder defends airline deregulation and the seemingly inevitable fees for carry on luggage as a further step into the purity of free markets.

I have a copy of TWA’s flight schedule from June 1, 1959. The first jets were being introduced into the fleet, but the vast majority of flights were still on propeller-driven aircraft. There’s an ad in the timetable for TWA’s low coast-to-coast “excursion fares.” Los Angeles to New York was only $168.40 roundtrip, if you traveled Monday through Thursday in Sky Club Coach class. That bargain is roughly equivalent to $1,225 today, before tax.

These fares weren’t valid on the fastest aircraft, so you had only two options, neither of which went nonstop. There was the 10:10 a.m. departure from Los Angeles that arrived in New York at 11:41 p.m. that night or the 7:55 p.m. departure that arrived at 10:56 a.m. the next day — more than 12 hours in the air. This was on a Lockheed Constellation, which, while beautiful, bounced you around in the weather at about 20,000 feet, far below the 35,000 to 40,000 feet you’d cruise at today. Even when the weather was good, that trademark prop vibration left you feeling like you were sitting on a washing machine for hours after you landed.

It is curious that Snyder chose to contrast today’s deregulated jet age with the age of turboprops – he could have easily picked a schedule from 1973 instead of 1959 – flying on a brand-new Boeing 747, rather than a dusty old Constellation – and at least been comparing jet-age apples to apples.

Still, the contrast between Stevenson’s nostalgia and Snyder’s rejection of is interesting, even if both are speaking toward different ends. Snyder writes about the benefits of market efficiency and competition for passengers, while Stevenson writes of enjoying the journey.

Perhaps there’s no greater way to enjoy the journey than to enjoy happy hour at the same time.  With that in mind, the New York Times writes about the endangered bar cars on Metro-North trains from Grand Central to Connecticut.

A new fleet of cars will soon replace the 1970s-era models now used by commuters on the Metro-North Railroad line heading to Connecticut. But with money tight, railroad officials said they could not yet commit themselves to a fresh set of bar cars, citing higher costs for the cars’ custom design.

“They’re being contemplated,” said Joseph F. Marie, Connecticut’s commissioner of transportation. “But we have not made any final decisions.”

Defenders of the boozy commute say it helps raise revenue: After expenses, bar cars and platform vendors made $1.5 million last year, up from $1.3 million in 2008. (Officials would not say if a bar car makes more money than a car with the normal number of seats.)

The Times note that fellow bar cars in Chicago, New Jersey, Westchester County, and the Long Island Railroad have all gone the way of the Dodo – though LIRR trains still occasionally have bar carts that make it on trains.

Modeled after the private club cars of the early 20th century, the Grand Central bar car sought to bring a perk of high society to the everyday commuting class. Still, the car’s current incarnation is more bar-around-the-corner than Tavern on the Green.

The cars tend to break down, air-conditioning is creaky, and commuters have been known to sneak duct tape aboard for impromptu repairs.

The article’s accompanying slide show has great historical images of the bar cars in action.