spur cost
Author: The Montezuma Yardmaster
Date: 07-27-2011 - 23:39

What does an industrial customer have to pay the N.W.P. or the N.C.R.A. for MAINTAINING the switch to a spur in the main track?

It is reported that the U.P. charges $10,000.00 per year to maintain a switch to a spur in their main track. If the customer doesn't want to pay it, the U.P. removes the switch which cuts off the customer's carload rail service. Truck lines don't impose this kind of a fixed cost. It looks like the carload customer has to be able to save more than $10,000.00 per year in rail freight costs versus truck freight costs. How many carloads per year would that take to make carload freight economically viable? This will certainly encourage multiple carload customers to use the same or multiple spurs that come off the same main track switch so that they can share the fixed cost of the switch maintenance charge. Some believe that this charge is inposed in order to discourage small-volume carload customers that the U.P. doesn't want to bother with.

Does anyone know if the Burlington Northern Santa Fe has similar policies and charges?



Subject Written By Date/Time (PST)
  North Bay Business article outlines NWP customers Mike Pechner 07-25-2011 - 16:54
  Re: North Bay Business article outlines NWP customers Rich Hunn 07-25-2011 - 17:19
  Re: North Bay Business article outlines NWP customers Anthony G. 07-25-2011 - 17:27
  Re: North Bay Business article outlines NWP customers The Montezuma Yardmaster 07-26-2011 - 11:43
  Re: North Bay Business article outlines NWP customers George Manley 07-26-2011 - 22:05
  Re: North Bay Business article outlines NWP customers Tom 07-26-2011 - 23:04
  Re: North Bay Business article outlines NWP customers Rich Hunn 07-27-2011 - 07:24
  spur cost The Montezuma Yardmaster 07-27-2011 - 23:39
  Re: spur cost Espee99 07-28-2011 - 22:02
  Re: North Bay Business article outlines NWP customers Capdiamont 07-27-2011 - 07:38


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