2015 emerald coast transportation symposium stephanie lane, director csx industrial development...
TRANSCRIPT
2 0 1 5 E m e r a l d C o a s t Tr a n s p o r t a t i o n S y m p o s i u m
S t e p h a n i e L a n e , D i r e c t o rC S X I n d u s t r i a l D e v e l o p m e n t
N o v e m b e r 1 3 , 2 0 1 5
About CSX
What exactly is a freight railroad?
Freight rail in the supply chain: the logistics long view
Freight rail benefits and challenges
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23 STATES District of Columbia and
two Canadianprovinces.
Logistics include
Door-to-doorIntermodal
Rail-truck transload Port-rail transload
21,000 MILESConnecting 240 shortlines,
70 ocean, river, and lake ports
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America’s Freight Railroads:
Privately owned
Will spend $29 Billion on its network in 2015
$79,000,000 a day
Tax-Free Infrastructure
Source: AAR
How Rail Works
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How Rail (really) Works
And much more!
If its in your life, its on our trains…
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Railroads operate similar to a postal system:
Local routes feeding to….Processing centers or hubs, forwarding to….Final destination
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How Rail Works
Freight rail in the supply chain:
the logistics long view
Important part of a balanced North American Freight
System
Freight Transportation Mode Share
Truck 75%
Rail 15%
Wa-ter
3.50% Pipeline 5.60%
Tons
Rail 41%
Truck 29%
Pipe-line 20%
Water 10%
Ton-miles
Trucks move more tons, mostly over short distances
Freight Rail has the largest share of
freight per ton-mile
• Trucking provides important first mile-last mile delivery.
• Many locations and industries cannot be direct rail served, trucks provide a critical connection.
• Freight rail is optimized over distances – longer hauls, greater quantities, heavier loads.
A balanced system needs strong integral components:
American logistics are complex and changing: Factors likely to shape transportation & logistics in the future
• Infrastructure Investment – or lack there of!• Regulatory considerations• Domestic energy revolution with global implications such as “Re-shoring”:
Companies are now focusing on locating production closer to demand, in part because of cheap energy.
• Supply chain optimization: As American cities grow and demographics change, supply chains are re-optimizing around more densely populated areas, affecting transportation routing
• Studies indicate that even with fewer manufacturing jobs, transportation and logistics demand will grow thanks to automation, 3-D printing, near-shoring, et cetera
Summary:• Demand for transportation is growing
with population and economic activity • Congestion on roadways is getting
worse• Infrastructure funding is facing crisis
levels• Trucking industry facing greater
challenges
Benefits of Freight Rail:Economy and Environment
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Trains can move a ton of freight 483 miles on a single gallon of fuel
One train can carry the load equivalent of 280 trucks
Lower emissions = cleaner air
Less freeway congestion = safer freeways
Reduced public costs
High capital costs and limited existing rail infrastructure
Increasing freight volume
Passenger service integration
Freight Railroad Challenges
Identify and protect freight rail corridors
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Environmental benefits Road safety improvements Congestion reduction Economic driver for business
and job creation
The Future:
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Create inventories of industrial sites to attract freight rail uses
Many areas are challenged by topography which limits the number and size of sites which can be served with rail within a reasonable cost - so guard those sites FIERCELY.
Use long term comprehensive planning opportunities to enhance potential rail served locations for job-creating developments
Understand your regions business environment to attract rail users
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CSX Shovel-Ready Rail-Served Sites
Qualify rail-served sites attractive to manufacturers from a variety of industries
Encourage attractive, well-located rail sites to be retained for rail opportunities
Maintain strict, high standard of certification (Best in class)
Stephan ie Lane D i rector CSX
Reg iona l Deve lopment
s t e p h a n i e _ l a n e @ c s x . c o m