Rail infrastructure charging and on-track competition in Germany

Germany was one of the pioneers amongst the European railways in opening up the network for third party access and introducing track access charging schemes. Several rail companies run services on the tracks of the incumbent company DB. This paper analyses the rules for network access, the track access charging scheme and the problems of competition in the rail market. The focus is on regional rail passenger transport due to the fact that this is the most lucrative and promising market for new entrants. The main result is that in this segment in particular non-DB companies have increasingly used the chances which were opened by (paid) access to DB tracks and competitive tendering by regional authorities. However, although their market share has grown DB is still the major carrier. The failure to set an appropriate institutional and regulatory framework has proven to be the major obstacle to a more intensive competition in the rail market.     

Alternative railway futures: growth and/or specialisation?

Recent centuries have seen a succession of transport technologies, each offering improvements in speed, carrying capacity and/or operational flexibility. Having overcome many physical barriers to freedom of movement, humanity now faces two major, related challenges: dwindling reserves of fossil fuels, and anthropogenic climate change. In these circumstances, rail transport has significant potential advantages over the more energy-intensive modes of road and air.Railways dominated 19th century land transport, peaking in importance in the early 1900s. Market share then declined in the face of competition from road transport and aviation, although rail retained significant passenger and freight transport roles. Major improvements in railway operating efficiency were introduced later in the 20th century, including: the switch from steam to diesel and electric traction; containerisation and focus on long-haul, unit-train freight operations; and the development of high-speed passenger rail services in Japan and Europe, enabling rail to compete successfully with air travel over distances of up to 800 km.The UK Government’s Foresight Programme commissioned a report entitled Intelligent Infrastructure Futures, for which four scenarios were developed of how society might be in 2055. These scenarios are: ‘Perpetual Motion’, ‘Urban Colonies’, ‘Tribal Trading’ and ‘Good Intentions’, each having its own implications for the future of transport. This paper considers the implications of each scenario, and of the underlying/overriding issues of peak oil and climate change, for the possible role and significance of rail transport in meeting our transport needs in the mid-21st century and beyond.     

Appropriate indicators of rail freight activity and market share: A review of UK practice and recommendations for change

Growth in rail freight activity features strongly in contemporary transport policy at both the United Kingdom (UK) and European Union (EU) scale. Specifically, the British government set an 80% growth target between 2000 and 2010, with lower (but still substantial) growth estimates being identified in late-2005. This paper assesses the appropriateness of the forms of measurement adopted for rail freight activity and argues that achieving stated growth targets or estimates will not necessarily mean that policies encouraging modal shift from road to rail have succeeded. Additional or alternative means of monitoring the level of rail freight activity are discussed, since this is an issue of fundamental importance to policy implementation and evaluation.     

Regional policy issues for rail freight services

This paper presents some of the results of the shortlines research project for Ademe (French agency for the environment) and Predit (French support program for surface transport research). The paper focuses on France, and makes some comparisons with North America and Germany. It is organized in two parts. The first part analyses the notion of “short line” freight railways in the European context. We observe that to date, unlike short lines in North America, which have mostly sought cooperation with major railways, the new rail operators in Europe are competing with the majors. The second part discusses regional policies on rail freight transport. We observe that for some time, local governments in France have been afraid that the on-going reduction of regional rail freight services will increase truck traffic and environmental impacts. Today, however, these governments appear to be more reluctant to promote rail freight activities than they were a few years ago. The current conditions under which local lines operate in Europe and especially in France, including small capacity on the infrastructure and high cost of labor and low productivity, may explain this reluctance.     

The non-bulk market for rail freight in Great Britain

An increased role for rail freight is an objective of the British government. Limited growth potential exists in rail’s traditional bulk markets, so more non-bulk volume is needed. This paper focuses on non-bulk rail freight activity in Britain, through desk-based research and company interviews. It considers changes in both the intermodal and traditional less-than-trainload (LTL) markets over the last decade. Issues relating to the use of these two types of services are presented, covering the principal opportunities and major constraints. Growth potential for both intermodal and traditional LTL flows is identified, but success is dependent upon important pre-requisites being satisfied.     

A logistical perspective on the potential for modal shift of freight from road to rail in Great Britain

Freight modal shift from road to rail is a potential means by which the negative environmental and social impacts of transport can be reduced. This paper explores recent supply chain changes and assesses their impacts on the mode choice decision-making process, specifically addressing the implications for the use of rail. Despite many of the identified changes effectively making the use of rail more difficult, considerable evidence has been found of the potential for rail to attract new traffic. Much of the identified potential is unlikely to materialise, however, without improvements in rail network capability and capacity and a greater customer focus from rail freight operators.     

Land development implications of the British rail freight renaissance

The post-war era saw a dramatic decline in both the volume and market share of freight transported by rail in Britain. This decline was associated with the closure of thousands of rail freight facilities and reduction by one third in the route mileage of the national railway network. However, as a result of railway privatisation and increasing constraints on the competitiveness of the road haulage industry, the long decline has halted and rail freight traffic is growing. This article reviews the implications of this change for the demand for rail freight facilities and for extra capacity in the railway network, and considers how the land-use planning and transport planning systems might respond.     

The impacts on freight train operational performance of new rail infrastructure to segregate passenger and freight traffic

Rail freight has an important role to play in improving the resource efficiency and sustainability of freight transport within the supply chain. The British rail network has seen considerable growth of both freight and passenger activity in the last 20 years, leading to concerns about its capacity to absorb continued growth. A number of infrastructure initiatives focused on increasing capacity and reducing conflicts have been implemented. This includes the North Doncaster Chord, opened in June 2014 primarily to provide a more direct route from the port of Immingham to the major Aire Valley power stations (i.e. Drax, Eggborough and Ferrybridge).The paper analyses the freight impacts of the new chord, focusing on three key operational measures (i.e. train routing, scheduled journey times and train punctuality) during 10-week survey periods before and after the opening of the chord. The analysis is based on real-time data relating to coal and biomass trains operating between Immingham and the three power stations. This is a novel approach as the data have been made publicly available only recently, allowing a detailed investigation of the flows on this corridor at a highly disaggregated level. The use of this empirical method to assess the detailed rail freight operational impacts is an important element in the process of evaluating the effects of network enhancement. The results demonstrate improvements in each of the three operational measures, but also reveal a situation considerably more complex than that suggested by the published material relating to the justification for this new infrastructure.     

The relative importance of factors that influence the break-even distance of intermodal freight transport systems

The break-even distance of an intermodal freight system is a crucial piece of information for shippers as they decide whether to choose a specific freight transport system. It is also important for policy makers who want to demonstrate to shippers that the intermodal system is substantially more beneficial over a certain distance and encourage shippers to use it. However, the break-even distance is highly dependent on market situations. In other words, it is not possible to estimate the definitive break-even distance that is generally applicable. To date, the literature has addressed factors, including costs and distances, that impact the break-even distance without considering the relative importance of each of these factors. This study attempts to address this gap in knowledge by evaluating the relative importance of geometric and cost factors. The former includes drayage distances (i.e., pre- and post-haulage by trucks), truck-only distance, rail distance, the shape of the market area, and the terminal location, while the latter includes the drayage truck rate, the long-distance truck rate, the rail rate, and the terminal handling rate. Finally, by developing a Monte Carlo-based simulation model, the relative importance can be evaluated. The key finding is that the geometric factors and terminal handling costs are not more significant than the transport costs (i.e., rail costs and long-distance trucking costs) in general. Specifically, to shorten the break-even distance, either reducing the rail rate or increasing the truck rate is the most effective strategy. A 1% change in these factors is almost seven times, three times, and twice as effective as a 1% change in the handling costs at terminals, rail distance, and drayage cost, respectively. Furthermore, neither the oval-shaped market area nor a terminal relocation attracts customers to intermodal systems in general. When two options are combined, the synergic effect is significant.     

The barge and rail freight market for export-bound grain movement from midwest to Mexican Gulf: an econometric analysis

An econometric model of the barge and rail freight market is developed so that factors which influence barge and rail rates for export-bound grain from Midwest to Mexican Gulf can be better understood. Three-stage least squares method is used to estimate the system of four equations that constitute the model. A number of identified factors turned out to be significant in determining grains rail and barge transportation rates. Given the interactive nature of supply and demand processes it is difficult to pinpoint a single most important factor. Yet it is clear that a substitute nature of the two transportation modes in addition to direct price-quantity relationship determine most of the transportation rates.     

Modelling a rail/road intermodal transportation system

This paper deals with the problem of optimally locating rail/road terminals for freight transport. A linear 0-1 program is formulated and solved by a heuristic approach. The model is applied to the rail/road transportation system in the Iberian Peninsula. Five planning scenarios are considered. It is shown that modal shares are very sensitive to the cost of rail and to that of track gauge changes at the Spanish border. Conversely, the location of the terminals has little or no impact on the market shares of the combined traffic, but location changes in the Peninsula generate consequences on the entire European transportation system.     

高速铁路发展与中国铁路货运

随着中国高速铁路的发展,铁路运输能力快速提升,经济社会快速发展和产业结构优化升级促使高附加值产成品、集装箱等货物运输需求迅猛增长。新形势下,中国铁路货运面临着前所未有的发展机遇,研究高速铁路发展与中国铁路货运具有重要意义。分析中国高速铁路发展对铁路货物运输的影响,介绍中国铁路货运组织创新的一系列举措以及取得的成就,并对客货分线后中国铁路货运的发展战略进行探讨。     

Demand for cargo airships: An analysis of mode choice decision making in the freight transport industry

Despite their potential, cargo airships currently remain a theoretical concept. This research aims to examine the factors determining the demand for their services from the perspective of transport logistics professionals. An online freight mode choice experiment is conducted, supplemented with follow-up semi-structured interviews. Across freight types the sensitivity of the modes (road, rail, sea and airship) to the attributes (price, time, reliability and frequency) varied substantially. Willingness to pay for the cargo airship mode for travel time saved is estimated to be $23/tonne/hour. It is conservatively estimated that the potential market share of cargo airships in the Australian domestic freight market varies across airship models with LMH-1 having the lowest market share of 8% while ARH50 has the largest potential market share at 25%.     

Quantification of the non-transport benefits resulting from rail investment

Traditional methods of evaluation have not been very successful in accounting for non-transport benefits resulting from rail investments. But increasingly, these factors are becoming more important in well-developed transport networks, as the effects of additional links or capacity cannot be justified in transport terms alone. This paper brings together the evidence at three separate levels arguing that there are different impacts that must be investigated at different levels with appropriate methods. At the macroeconomic level, regional network effects can be identified, as can the impacts on the economy as measured through changes in output and productivity. At the meso level, the impacts relate more to agglomeration economies and labour market effects, with some additional network and environmental consequences. At the micro level, the impacts are determined by the land and property market effects. Examples of rail investment are given for each of the scales of analysis, and conclusions are drawn on the future directions and challenges for the quantification of both transport and non-transport benefits.     

The dynamics between freight volatility and fleet size growth in dry bulk shipping markets

This paper studies the relationship between the time-varying volatility of dry bulk freight rates and the change of the supply of fleet trading in dry bulk markets. An abundance of research has been done to understand the time-varying characteristics of freight rate volatility, yet few have discussed the determinants of freight volatility. We therefore examine freight volatility against the changes in fleet size and other shipping market variables over January 1973–October 2010. The study employs a two-step model specification. The first step is the measurement of freight rate volatility through an AR-GARCH model; the second step is the analysis of the relationship between freight rate volatility and fleet size growth through a GMM regression. We confirm similar findings in the literature that freight rate volatility is time varying. Furthermore, the results reveal that the change in fleet size positively affects freight rate volatility, while the spot rate volatility of Capesize dry bulk exhibits a stronger reaction to the change in fleet size. The results of this study contribute in a general sense to understanding the systematic risk of shipping markets.     

Vessel and voyage determinants of tanker freight rates and contract times

The behavior of shipping freight (charter) rates and the timing of shipping contracts affect the transportation costs of charterers and the operating cash flows of shipowners. Although the literature has established macroeconomic determinants of shipping freight rates, there has been no systematic investigation of microeconomic determinants of freight rates and the delivery time of chartered ships (the laycan period) in the tanker market. Therefore, the aim of this paper is to investigate the importance of vessel and contract specific factors in the determination of tanker freight rates and laycan periods in shipping contracts. Individual tanker shipping contracts from January 2006 to March 2009 are used to estimate freight rates and laycan periods using a system of simultaneous equations. The estimation results suggest that the duration of the laycan period is an important determinant of the shipping freight rate and vice versa. Other determinants of freight rates include the vessel's hull type, fixture deadweight utilization ratio, vessel age, and voyage routes. Determinants of the laycan period include the former determinants as well as the Baltic Dirty Tanker Index and its volatility.     

完善铁路分局收入清算指标的探讨

通过对洛阳铁路分局现行收入清算办法进行分析,指出现行清算办法存在的不足:铁路分局实施货运局界管直清算不符合市场经济分配原则;铁路分局模拟区域运价定价系数难以真正公平合理;局管内跨分局货运机车牵引服务缺乏收入补偿等。并提出对现行分账核算的运输进款清算办法进行修正、完善和补充的建议,以充分调动铁路分局参与市场竞争的积极性。     

Analysis,modeling, and assessing performances of supply chains served by long-distance freight transport corridors

This article deals with an analysis, modeling, and assessing performances of supply chains served by long-distance intercontinental intermodal rail/road- and sea-shipping freight transport corridor(s). For such a purpose, the supply chains are defined and the methodology for assessing their performances under given conditions is developed. The methodology consists of the analytical models of indicators of the operational, economic, environmental and social performances of particular corridors and corresponding supply chains assumed to be dependent on the infrastructural and technical/technological capabilities. The models of particular indicators have been applied according to “what-if” scenario approach to assessing performances of the long-distance intercontinental inland and maritime freight transport corridors spreading between China and Europe in the scope of the “Silk Road Economic Belt” and “A New Maritime Silk Road” policy initiative. The results prove that the intermodal inland rail/road alternative could act as a serious competitive alternative to its maritime deep-sea counterpart under given conditions. Nevertheless, in order to realize the opportunities, large investments in the inland rail/road infrastructure are required to appropriately connect China with Europe.     

On structural inelasticity of modal substitution in freight transport

At the European level there is an increasing focus on how freight transport can be moved from trucks on roads to more environmentally friendly modes such as rail and ship. A large proportion of the transport services between OD pairs, however, cannot be substituted since there is only one alternative available. The paper investigates the magnitude of this “structural inelasticity” of modal substitution in freight transport due to a sparser layout of rail and ship-based freight networks compared to road. In the analysis we use a recent Scandinavian freight demand model covering more than 800 zones. We find that the structural inelasticity is very significant - in particular for transportation over less than 500 km. Moreover, the inelasticity varies greatly with commodity groups and between OD pairs, and it depends strongly on the port and rail infrastructure. The results suggest that pure charging instruments (road pricing for trucks) in many regions will have limited mode substitution impacts. However, if combined with structural changes in terms of improved infrastructure for rail and ship, impacts may be greater.     

Planning and managing intermodal transportation of hazardous materials with capacity selection and congestion

The current literature in the rail–truck intermodal transportation of hazardous materials (hazmat) domain ignores congestion at intermodal yards. We attempt to close that gap by proposing a bi-objective optimization framework for managing hazmat freight that not only considers congestion at intermodal yards, but also determines the appropriate equipment capacity. The proposed framework, i.e., a non-linear MIP and a multi-objective genetic algorithm based solution methodology, is applied to a realistic size problem instance from existing literature. Our analysis indicates that terminal congestion risk is a significant portion of the network risk; and, that policies and tools involving number of cranes, shorter maximum waiting times, and tighter delivery times could have a positive bearing on risk.