skip to main content
OSTI.GOV title logo U.S. Department of Energy
Office of Scientific and Technical Information

Title: Railroad competition and rate making: the implications for industrial coal prices

Abstract

As the railroad industry, which is the primary transportation mode for coal, enters the 1980s, two factors are significantly altering the way in which railroads do business, particularly in relationship to shippers who must rely solely on rail. The first factor, railroad deregulation, is embodied in the provisions of the Staggers Rail Act of 1980 (PL96-448). The second factor affecting rail transportation for industrial coal users is the trend toward rail mergers and consolidations, in some cases due to financial problems. This trend, coupled with the willingness of government to allow major bankrupt carriers such as the Rock Island and the Milwaukee Road to be liquidated in whole or in part, is resulting in fewer railraods with increased market power. Discussed in this report are: the impacts of railroad deregulation on industrial coal users; the effects of railroad consolidations on the bargaining power of coal producers, receivers and railroads; and finally, strategy and tactics for industrial coal users to maximize their leverage weight in obtaining efficient coal transportation at reasonable rates. (DMC)

Publication Date:
Research Org.:
Argonne National Lab., IL (USA); Teknekron, Inc., Berkeley, CA (USA)
OSTI Identifier:
5270504
Report Number(s):
ANL/EES-TM-173
ON: DE82015663
DOE Contract Number:
W-31-109-ENG-38
Resource Type:
Technical Report
Country of Publication:
United States
Language:
English
Subject:
01 COAL, LIGNITE, AND PEAT; 29 ENERGY PLANNING, POLICY AND ECONOMY; COAL; RAIL TRANSPORT; DEREGULATION; ECONOMIC IMPACT; CAPACITY; CONTRACTS; COST; RAILWAYS; RATE STRUCTURE; CARBONACEOUS MATERIALS; ENERGY SOURCES; FOSSIL FUELS; FUELS; LAND TRANSPORT; MATERIALS; TRANSPORT; 015000* - Coal, Lignite, & Peat- Economic, Industrial, & Business Aspects; 013000 - Coal, Lignite, & Peat- Transport, Handling, & Storage; 294001 - Energy Planning & Policy- Coal; 290700 - Energy Planning & Policy- Transport & Storage

Citation Formats

None. Railroad competition and rate making: the implications for industrial coal prices. United States: N. p., 1981. Web. doi:10.2172/5270504.
Copy to clipboard
None. Railroad competition and rate making: the implications for industrial coal prices. United States. doi:10.2172/5270504.
Copy to clipboard
None. Tue . "Railroad competition and rate making: the implications for industrial coal prices". United States. doi:10.2172/5270504. https://www.osti.gov/servlets/purl/5270504.
Copy to clipboard
@article{osti_5270504,
title = {Railroad competition and rate making: the implications for industrial coal prices},
author = {None},
abstractNote = {As the railroad industry, which is the primary transportation mode for coal, enters the 1980s, two factors are significantly altering the way in which railroads do business, particularly in relationship to shippers who must rely solely on rail. The first factor, railroad deregulation, is embodied in the provisions of the Staggers Rail Act of 1980 (PL96-448). The second factor affecting rail transportation for industrial coal users is the trend toward rail mergers and consolidations, in some cases due to financial problems. This trend, coupled with the willingness of government to allow major bankrupt carriers such as the Rock Island and the Milwaukee Road to be liquidated in whole or in part, is resulting in fewer railraods with increased market power. Discussed in this report are: the impacts of railroad deregulation on industrial coal users; the effects of railroad consolidations on the bargaining power of coal producers, receivers and railroads; and finally, strategy and tactics for industrial coal users to maximize their leverage weight in obtaining efficient coal transportation at reasonable rates. (DMC)},
doi = {10.2172/5270504},
journal = {},
number = ,
volume = ,
place = {United States},
year = {Tue Sep 01 00:00:00 EDT 1981},
month = {Tue Sep 01 00:00:00 EDT 1981}
}
Copy to clipboard
Technical Report:
View Technical Report (0.73 MB)
DOI:  10.2172/5270504
Save / Share:
Export Metadata
Save to My Library
You must Sign In or Create an Account in order to save documents to your library.

  • ; ; ; ...
    Previous reports in this series have covered the capabilities of industry to supply equipment required for demonstration and commercial coal conversion facilities, primarily from the manufacturers' point of view. This report complements these earlier reports, particularly in the areas of rotating components (ORNL/TM-6074) and heat recovery (ORNL/TM-6073). Equipment operating experience in pilot plants supported by the Department of Energy is discussed; equipment price correlations, based on vendor price estimates and suitable for initial conceptual design cost estimating, are presented; and the scheduling and economics of equipment development programs are reviewed. Conclusions of the previous studies have generally been supported bymore » this latter work. Centrifugal slurry pumps have performed poorly in the pilot plants; however, several single-stage centrifugal slurry pumps which incorporate features recommended by a number of manufacturers during FY 1977 are now being installed. Reciprocating pumps currently appear to be economically desirable for high-head slurry-pumping systems (above 600 psi, and perhaps lower), even when projected technological improvements are considered for both centrifugal and reciprocating machines. Prototypical oxygen and heat-transfer systems have not been used in pilot facilities; therefore much of the development that these systems will need must occur during the demonstration-plant phase.« less

  • The results of this bulletin are based upon 36 inspections made during 1916-1919 of American plants producing crudes, intermediates, and colors, and on 8 visits to foreign works during 1919. The compounds and processes used in dye manufacture are described, and methods of prevention of occupational poisoning are suggested. Records of sickness in German dye manufacture and in American dye works are presented. (GRA)

  • The report describes a study of the utilization of railroad freight cars and the coal traffic that could move in these cars. It examines utilization of railroads for moving coal and tries to determine its potential as an originating coal carrier. It examines the supply and demand characteristics of this specific coal market. Coal supply or producers in close proximity to the Detroit, Toledo and Ironton Railroad are analyzed. The transportation section considers both trucking and railroad aspects. The coal market demand analysis is determined by first quantifying where and how much is consumed and then finding out if DTI-originatedmore » coal is closer than the present sources of supply. In summary, the demand potential exceeds the supply by 8.3 million tons. However, the DTI failed to originate any coal from 1970-73. Subsequently, the railroad has begun to originate coal since late 1974 due to the proddings of coal producers, and is thus finally beginning to realize its latent potential as a coal originating carrier.« less

  • ; ; ; ...
    Increasing penetrations of variable renewable energy (VRE) can affect wholesale electricity price patterns and make them meaningfully different from past, traditional price patterns. Many long-lasting decisions for supply- and demand-side electricity infrastructure and programs are based on historical observations or assume a business-as-usual future with low shares of VRE. Our motivating question is whether certain electric-sector decisions that are made based on assumptions reflecting low VRE levels will still achieve their intended objective in a high VRE future. We qualitatively describe how various decisions may change with higher shares of VRE and outline an analytical framework for quantitatively evaluating themore » impacts of VRE on long-lasting decisions. We then present results from detailed electricity market simulations with capacity expansion and unit commitment models for multiple regions of the U.S. for low and high VRE futures. We find a general decrease in average annual hourly wholesale energy prices with more VRE penetration, increased price volatility and frequency of very low-priced hours, and changing diurnal price patterns. Ancillary service prices rise substantially and peak net-load hours with high capacity value are shifted increasingly into the evening, particularly for high solar futures. While in this report we only highlight qualitatively the possible impact of these altered price patterns on other demand- and supply-side electric sector decisions, the core set of electricity market prices derived here provides a foundation for later planned quantitative evaluations of these decisions in low and high VRE futures.« less

  • The Airline Deregulation Act of 1978 gave domestic airlines, after 40 years of regulation, the freedom to decide where they would fly and what fares they would charge. GAO's review of airline operations before and after deregulation through 1984 shows that most passengers benefited as the industry became more competitive: fare increases were lower, on average, than what might have been expected under continued regulation; the numbers of flights and available seats increased; airlines have been more responsive to consumer preferences through a wider range of price/service options; and operating efficiency has increased. Increasing airport congestion may bring federal actionmore » to restrict airline access - action that could offset some of deregulation's benefits. While some favorable trends in fares and services have emerged, further changes are likely as airlines continue to adapt to deregulation.« less