Tailoring Rates And Service For Coal Transport Market Development - Summary

An example of market development is described. The market in rail-lake movement of coal is vital to a rail carrier because of its location. This market is threatened by nuclear and other competing fuel sources and by depressed all-rail unit train rates, The first step to develop the rail-lake transportation market consists of rate adjustments and tariff changes to force tighter scheduling of mines, railroad, port and boats, and thus reduce cost. The second step provides a surge pile at the port to eliminate most of the seasonal disadvantage of rail-lake movement and reduce car detention at the port to almost zero.