Re: NCR Press release on resumption of NWP Service
Author: SP Marketing
Date: 06-21-2011 - 21:34
Restarting is not the same as running a railroad long term.
One quick question. Has anyone figured out what the through rates (if any) will be to points on the NWP? And has the new railroad published it's tariffs yet, Demurrage and Switching, etc. The last time I looked there was some nightmare of an NWP tariff floating around that expected shippers to pay per diem (car hire) and had some very unrealistic Rule 11 rates from the junction with the CFNR.
Before the NWP died they did have a CMA with the Southern Pacific/Union Pacific that had rates quoted orgin to destination from points all points and junctions on the SP/UP. There was a revenue sharing agreement and payment was received from the Class I connection both inbound and outbound.
With the proposed reopening of the line competitve rate structures will play a large part in the return of traffic to the railroad. Sentiment does not provide operating capital.
Also hopefully those rates will allow for reinvestment in the property and profit at no cost to the tax payers.