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California High Speed Rail Project
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<p>[quote user="Dakguy201"]</p> <p>Wow! From $38 billion to $98 billion in cost estimates before the first shovel is turned! That increase is rather, well, breathtaking. One can only wonder what it might really turn out to be. [/quote]</p> <p>Last year I read a study by a British professor. He studied somewhere between 50 and 75 major construction projects, i.e. airports, power plants, rail systems, etc. Unfortunately, I don't remember the name of the report or the professor, although I think he was at the University of Edinburgh. In any case, one of his conclusions was that most major construction projects run over the budget, i.e. cost and time. The longer the time frame for a project, the greater the overruns, if I remember correctly.</p> <p>I worked in the electric utility industry for most of my working life. I was directly or indirectly involved in the construction of several power plants. Included in the mix was a nuclear plant. None of them came in on time or within the original cost estimates. This was especially true for the nuclear plant. </p> <p>What would bother me about the CHSRP, if I lived and paid taxes in California, is not only the cost of the project, but the annual operating subsidy. Shelling out a billion dollars a year to cover the gap between operating revenues and expenses is mind blowing. </p>
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