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Railroads Struggle to Deliver Coal to Utilities
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[quote]QUOTE: <i>Originally posted by MichaelSol</i> <br /><br />The highest returns are where the captive shippers are, <br />[/quote] <br /> <br />WHOA there cowpoke...one of those big sky overbroad type statements, agin... <br /> <br />Ain't necessarily so... <br /> <br />The best returns on a railroad are where traffic volume is maximized without overwhelming the infrastructure making utilization of the infrastructure, equipment and personnel greatest and most efficient. One example would be the Port of LA/Long Beach which has competitive service by two Class 1 systems and switching largely performed by a short line (Pacific Harbor Line) connecting with both. <br /> <br />Just because a shipper uses one railroad does not maximize returns and although unit trains and large loading and unloading facilities can increase returns through attacking the expense of the three above areas doesn't mean it is the best ROI on the RR. But, nice try... <br /> <br />
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