nears class i rail network capacity · 2015-10-23 · 4 there are 4 primary components to rail...
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NEARSClass I Rail Network Capacity
2 October 2014
NEARSClass I Rail Network Capacity
2 October 2014
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What is Capacity?
Capacity is the amount of stuff we can move between Origin and Destination
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We can increase capacity by…..We can increase capacity by…..
Putting more trains on each route
Putting more stuff in each car
Putting more cars on each train
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There are 4 primary components to rail system capacity:
— Locomotives— Equipment (cars)— People— Network (infrastructure)
These are tied together by processes
Capacity has to be a balanced approachCapacity has to be a balanced approach
CSXT has adapted a concept of “Network Capability”.
“Capability” incorporates the idea of capacity at a given service level.
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CSXT’s Network is the network of rail lines and facilities over which CSXT can operate to provide serve to our customers.
The CSXT NetworkThe CSXT Network
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The Network — Consists of very long term, fixed assets — Makes each railroad company unique
The Network determines where we go and whowe serve.
The capabilities and attributes of thecomponents of the Network determine theservice we can provide.
The CSXT NetworkThe CSXT Network
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The CSXT Network The CSXT Network
New England
New Orleans
Memphis
Chicago
Mid-Atlantic
Miami
Montreal
Charleston
Serving 23 statesand two-thirdsof the U.S. population
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The CSXT Network is part of the North American rail networkThe CSXT Network is part of the North American rail network
CSXT is one of 7 Class I freight railroads that operate in North America
50% of CSXT traffic interchanges with other railroad— 6 other Class I’s— 240 shortlines and regionals— Interline capabilities are critical to the total rail service
product
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BNSF and NSBNSF and NS
Cincinnati
The CSXT Network is part of the North American Rail Network
UPBNSFCNKCS
CSXTNSCP
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U.S. rail freight route densitiesU.S. rail freight route densities
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The CSXT Network The CSXT Network
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Certain Core Routes Create Key Service CorridorsCertain Core Routes Create Key Service Corridors
Core Routes
The Water Level Route
I-95Corridor
Southeast Corridor
Coal
Northern Tier is CSXT’s route to the NortheastNorthern Tier is CSXT’s route to the Northeast
Northern Tier includes:— Chicago Terminal— Water Level Route— River Line— St. Louis / Indianapolis Lines— B&O Route to Mid-Atlantic
Critical to CSX’s network:— Heaviest Train Volumes— Largest Growth— Premium Service
Includes key east-west gateways — Chicago and St. Louis— 50% of all Interchange Volume
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St Louis
Indianapolis
ChicagoToledo
Newark
CincinnatiAvon
Willard
Cumberland
E St. Louis
Selkirk
Philadelphia
CSXT Hump Yards Double TrackSingle TrackNW Ohio
CSXT Northern Tier Geography
CSXT’s Northern Tier continues to experience growthCSXT’s Northern Tier continues to experience growth
Northern Tier has seen 17% GTM growth since March
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20 Million10 Million5 Million
Volume Increase
(Gross Tons)
Chicago
St Louis
Boston
New YorkPhiladelphia
Baltimore
Buffalo Albany
2014 March-SeptemberGrowth Strongest in North
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How does CSXT plan capacity and investments?How does CSXT plan capacity and investments?
Capability(supply)
Where does forecasted demand exceed capability?
Forecast(demand)
Capability improvement
Options
Process Ops Plan
ResourcesCapital Investment
Op Changes
CapitalPlanning
It is all about matching supply to demand
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Customer forecasts— specific forecasts by location / commodity
National freight shifts— crude oil, coal…
Competitor position — fuel prices, driver shortages…
International impacts
How do we plan capacity and investmentsHow do we plan capacity and investments
It starts with a forecast:
Northern Tier: Cumulative network impact methodologyNorthern Tier: Cumulative network impact methodology
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Garrett +X
WidgetsGadgetsStuffDohickies
Mohawk +Y
River Line+Z
Service and Capacity combine into the concept of Line Of Road “Capability”
Service and Capacity combine into the concept of Line Of Road “Capability”
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40
35
30
25
20
15
10
5
0
Trai
ns p
er d
ay
“Ideal operationscurve”
“Density”
The wider the scatter the greater the operational variability
Inflection point
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40
35
30
25
20
15
10
5
0
Trai
ns p
er d
ay
“Density”
Acceptable Service Zone??
Service and Capacity combine into the concept of Line Of Road “Capability”
Service and Capacity combine into the concept of Line Of Road “Capability”
Increasing Capacity shifts the curveIncreasing Capacity shifts the curve
2020
40
35
30
25
20
15
10
5
0
Trai
ns p
er d
ay
“Density”
Terminals requires analogous capacity analysesTerminals requires analogous capacity analyses
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St Louis
Indianapolis
Chicago ToledoNewark
CincinnatiAvon
Willard
Cumberland
E St. Louis
Selkirk
Cleveland
Philadelphia
Classification volumes
Inspection requirements
Fueling functions
Crew Changes
Train staging
Columbus
Cincinnati
CSXT Historical Line of Road Investments (‘05-’14)CSXT Historical Line of Road Investments (‘05-’14)
New NW OHIntermodal terminal
New England clearances
River Line LOR capy
SE Corridor lineof road capacity
New unit train inspection yard
FL Corridor Shift
National Gateway clearances
Port of NYclearances
Cincinnati
CSXT Current Focus of Northern Tier InvestmentsCSXT Current Focus of Northern Tier Investments
Northern Tier terminal andLine of Road capacity
River Line & Trenton Line lineof road capy
National Gateway clearances
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Questions Questions