Container Railfreight Services in North‐west Europe: Diversity of Organizational Forms in a Liberalizing Environment

Abstract

The institutional environment of rail transport has changed as a result of recent European directives, but the changes have taken different forms from one country to another. In the case of international maritime chains, the development of door‐to‐door services makes inland haulage from the loading and discharging ports extremely important, and it highlights the need to reshape the rail freight industry. This paper analyses the degree of involvement of different actors drawn from the maritime industry in developing and commercializing rail services in the changing regulatory environment. Several maritime operators, shipping lines, port‐handling companies and port authorities have been involved in some container rail services since the early days of liberalization. Their commitments take very different forms, however. Whereas contracts are mainly used for the provision of service, particularly for train haulage, integration by means of shareholding or creating subsidiaries or joint ventures is used for marketing. Important differences between France, the UK, Germany and the Netherlands are detailed. In the latter two countries, there is more involvement in the provision of rail services. Marketing rail services appear to be the main strategic issue for the maritime operators in all four countries     

Transport planning in Hungary: a case study of Pécs

This review emerged from an opportunity provided in 1988 to the author to study the process of Hungarian transport planning in general, and that of the major regional city of Pécs in particular.

It begins by outlining the difficulties of obtaining detailed information on transport policy‐making and planning in Eastern Europe, and then goes on to analyse the situation in Hungary as a whole since the early 1960s. The specific situation in Pécs is then discussed in relation to national transport planning, with detailed case studies drawn from problems on the local and regional road network, the growth in car ownership and usage, the development of local and inter‐regional rail services, the provision of adequate local bus services, and the growth of local taxi services.

The problems stemming from State intervention and planning control in local transport are emphasized, as are the increasingly difficult issues of the Hungarian economy in constraining public investment. The paper concludes with a discussion of the relationship of the problems of Pécs with those of urban areas elsewhere in Europe, and emphasizes the particular difficulties faced by East European planners in the future.     

Role of transport in rural development in Africa

Rural Africa is starved of transport services. The transport routes run towards the export enclaves and the coast.

The political, social and developmental rural transport benefits are discussed. Rural transport will help (i) integrate the country and ease its governance; (ii) widen markets; (iii) induce increased agricultural output, through new technologies, reduced transport costs, etc. The transport cost savings should be passed on to rural firms and producers. The paper warns against their accruing only to middlemen — agricultural parastatals inclusive, thereby stifling the benefits to production. This could happen under some forms of pan‐territorial pricing. Negative aspects of road development, e.g. the substitution of local goods by imports, increased migration and noise, are noted.

The place and role of project appraisal in rural road planning is acknowledged. The broad‐based development packages approach associated with Integrated Rural Development Projects has, despite its attractions, some pitfalls. It favours well established villages and ignores distribution benefits within villages.

Project appraisal can be used to justify socially uneconomic transport developments. However, rural road investment projects with immediate negative returns are unlikely to be funded. Given clear priorities, short of elaborate cost/benefit analysis, obvious road investments choices can be made by the local community. Greater public accountability of transport planners and peoples’ participation in determining rural transport needs and priorities is emphasized. Increased rural road maintenance especially through self‐help schemes and increased use of traditional modes of transport, e.g. walking, animal and water transport, is recommended.     

Urban transport policy development: two case studies in the Middle East

Abstract

The recent completion of two major transport studies of predominantly urban areas in the Middle East (Amman‐Jordan and Bahrain) has provided the opportunity to compare and contrast the transport characteristics of, and medium term transport policies for, the two areas.

While in structure the two transport systems have many similarities, their base year usage differs significantly. In view of the much lower income levels in Amman, and the resulting lower levels of car ownership, greater reliance is placed on public transport in Amman than in the more car‐oriented society in Bahrain. Against this background, and in the context of broadly similar overall levels of growth in travel demand, their development in the medium term future should follow different paths. Amman will need to depend on public transport very heavily, with only limited road building. Bahrain should be able to develop a satisfactory road system, with public transport playing its current role except for the provision of services for some relatively modest number of restrained private vehicle users. In both cases, however, substantial investment in off‐street parking spaces is needed.

The paper briefly describes the social and economic backgrounds of the two areas, and reviews the transport systems and the organisations responsible for them. Travel demand forecasts are summarized, leading to the transport plan and policy development. The prospects for implementation are discussed, and the paper lastly focuses on some aspects which are key to the development of the transport systems in the two countries.     

An overview of transport in Kuwait

Abstract

Kuwait is a relatively small country located at the top of the Arabian Gulf with population in 1980 amounting to 1.355 millions. Kuwait occupies an area of approximately 17 800 square kilometres. Kuwait's main source of national income is oil export. Income from oil export and other sources has resulted in Kuwait having the highest per capita income in the world. Consequently vehicle ownership is very high and traffic is ever growing and extending. Kuwait is self‐sufficient in only a few commodities and has a shortage of local labour. This means that transport has a fundamental role to play at the national and international level for the development of Kuwait's economy.

This paper provides a brief statement of transport in Kuwait. It starts by describing Kuwait's national setting and touches on the economic and social aspects in Kuwait that have an influence on transport patterns and needs. It describes the national transport system and covers road, air, rail and ports. Urban development planning in Kuwait is described and issues related to stages of urban development planning. The Kuwait City Master Plan and new town initiatives are presented. The urban transport system in Kuwait Metropolitan Area is described. In particular the characteristics of the urban road network and public transport facilities are outlined along with recent transport planning studies and new initiatives in the urban transport system.

The paper ends with a statement on organizations involved in the transport sector in Kuwait and a note on transport finance.     

International logistics in Lithuania at a time of transition

This paper examines the current situation in the largest of the Baltic States - Lithuania - with respect to the development of international transport and logistics in the context of the severe political, economic and social changes that have taken place since 1991. Utilizing statistics previously unavailable for the region, the paper examines the impact of transition and the competitive role of East European carriers upon a specific international movement of electronic goods between Frankfurt/Main in Germany and Vilnius in Lithuania, developing a detailed cost model for the alternative modal choices that are available - road and ship/road. Rail transport is excluded as no international rail services between the two countries are available and there are no plans for such services in the near future. From this, a series of issues for the future in the context of potential EU membership, transport infrastructure developments and logistical trends is analysed.     

A Stated preference freight mode choice model

Transport policy aims to assist the transport system to work more efficiently and effectively. An understanding of the reasons why people choose to move freight in a certain manner is critical to the development of appropriate policies. This article outlines a data collection approach and the development of a disaggregate mode choice model applicable to the analysis of freight shipper decision making. It focuses on the choice between rail and road in Java, Indonesia. The model indicates that safety, reliability and responsiveness are major attributes influencing rail/road freight mode choice. Transport policies aimed at improving these dimensions should increase the attractiveness of rail transport.     

Evaluation of the policies in British local transport plans with regard to the promotion of rail freight

Over the last couple of decades there has been a trend in Western Europe and North America towards making the railway industry more able to compete successfully with road for freight haulage through deregulation and/or structural change. This trend has been drive, partly, by a concern to produce more commercially viable railway industries, but also by concerns to reduce the environmental impacts of road haulage through modal shift. The latter in particular has led to the development of public policies supportive of rail freight, particularly at the national or international levels. This paper reports on qualitative research that analysed public policy aimed at promoting rail freight in Britain but, unusually, the focus was on local rather than national policy. The research was an investigation of the approach of local authorities to the encouragement of rail freight as evidenced through their Local Transport Plans. The paper concludes that in Britain there has been a significant amount of local policymaking for rail freight and that although national policy matters are of overriding importance, the role of local policy is significant and can be developed further.     

Modal shift from road haulage to short sea shipping: a systematic literature review and research directions

ABSTRACT

Modal shift from road haulage to short sea shipping (SSS) has been advocated by authorities and researchers for more than two decades. This paper provides a review of literature on modal shift and pinpoints paths for future research on topics in six categories: (1) factors influencing SSS competitiveness, (2) the policy-oriented perspective, (3) environmental legislation, (4) SSS performance, (5) port characteristics, and (6) the multi-agent perspective. In particular, we propose first, in evaluating the performance of SSS versus road haulage in different trade corridors, three performance-related dimensions – the economic dimension (e.g. external costs), the environmental dimension, and the dimension of service quality – should be considered. Second, researchers should use rich, real-world, numerical data and operational research techniques to identify the relative importance of individual drivers and barriers for a modal shift from road haulage to SSS. Third proposed direction is related to assessing which groups of actors certain policies should target. In doing so, researchers should extend their policy-related focus beyond the European Union, which has long encompassed the major geopolitical scope of research on the modal shift. Fourth, to moderate the adverse impact of environmental legislation on SSS, strategic solutions need to be identified. Fifth, we also suggest that the influence of contingencies, particularly port strikes and cyberattacks, on SSS operations and approaches for managing them should be investigated. Sixth, the economic and financial advantages of coordination and alliance for each transport chain agent need to be evaluated.     

Harmonizing heavy goods vehicle taxes in Europe: a British view

One of the biggest unresolved problems regarding the completion of the free internal transport market within the European community is the problem of harmonization of taxation on the road haulage industry. As the highest tax country, Britain might be expected to have to reduce its level of taxes as part of any harmonization.

This paper considers the current methodology of the British Department of Transport regarding the allocation of the track and external costs of road transport, in the light of developments in methodology and experience elsewhere in Western Europe and North America. We find a number of reasons for believing that, far from overstating the marginal social cost of use of roads by the road haulage industry, the current British approach actually understates it. Thus any move towards harmonizing tax levels may reduce taxes in Britain at a time when they should be increasing.     

Short Sea Shipping’s Green Label at Risk

Abstract

Shifting cargo from land‐based modes to maritime transport has been a prioritized policy in many policy papers to make transport more environmental friendly. Traditional calculations of emissions per transport capacity unit have supported this. However, maritime transport may stand to loose its good environmental reputation in comparison to road transport due to (1) the sluggish processes in maritime environmental policies and the low ambition level of current regulations, (2) the much higher focus on improving the environmental efficiency of the road haulage industry, (3) the much longer economic life of vessels compared to trucks, and (4) focus on faster vessels that increase the average fuel consumption of the sea transport alternative. Through a realistic case study, the energy efficiency and emissions of alternative multimodal transport chains is presented to illustrate these points.     

The trade‐off between efficiency,effectiveness, and social feasibility of regulating road transport externalities

This paper discusses the tension between the theory and practice of the regulation of road transport externalities from the viewpoint of the trade‐off between efficiency, effectiveness and the social feasibility of regulation. Various possible types of regulatory instruments, subdivided into ‘direct’ demand management, ‘indirect’ demand management and ‘supply side’ oriented policies, are evaluated qualitatively according to these criteria. Attention is then directed towards the trade‐off between efficiency, effectiveness and feasibility within the field of ‘direct’ demand regulation of road transport.     

Passenger rail in North America in the light of developments in Western Europe and Japan

Because of different geo‐demographic and economic conditions, the impact of the new passenger modes (road and air) on rail travel was much larger in North America than in Europe. In 1960s and 1970s, as the railway share of intercity traffic in North America shrunk to a negligible one or two percent, the passenger trains were abandoned by private railway companies and taken over by state organizations, which have continued to operate traditional trains and generate mounting losses. On the technology side, no attempts have been made to improve competitiveness of trains vis‐a‐vis automobiles and airplanes.

In Europe and Japan, the railways responded to the challenge by (i) upgrading the performance (speed) and comfort of traditional trains operating on existing tracks and (ii) developing trains which could, on short and intermediate range distances, compete successfully, in terms of speed and economy, with the road and air modes. The Japanese (Shinkansen trains) and French (TGV trains) experience clearly shows that trains operating on dedicated lines at average speeds of 150 to 200 km/hr provide a superior transportation service and economy on high‐traffic intercity routes of up to about 500 km length. In this paper the factors responsible for the present status of passenger rail in North America are analysed, the current policies in the U.S. and Canada are evaluated in the light of experience to date and developments abroad, and suggestions for a long‐term passenger rail policy are made. This includes examination of (i) the viability of continued subsidization of traditional train services, (ii) the viability of operation of faster trains on existing tracks, (iii) the scope for introduction of modern, fast trains on dedicated lines in high‐density, intercity corridors, (iv) the application of fast trains as access to major airports and integration of airports with fast intercity lines, and (v) the impact of energy (oil) consumption in transportation.

     

Role of the Travel Factor Convenience in Rail Travel and a Framework for its Assessment

Abstract

This paper reviews the travel factor convenience with particular regard to rail travel. Past research has shown that convenience is a concept readily associated with the private car and its perceived ability to provide a door‐to‐door journey. Private vehicles such as cars are often key competitors to public transport. However, convenience with regard to public transport has proved to be somewhat of an ambiguous concept, often showing a high degree of overlap with the other main recognized travel factors. This paper shows that it is possible to consider convenience in rail travel as an embodiment of four themes: access/egress, station facilities/environment, frequency of service/scheduling and interchange between train services. A list of physically measurable elements can be produced relating to these four themes in order to assess the convenience of any particular station. A categorization process is proposed based upon the initial findings of a questionnaire designed to obtain a user perspective upon convenience. It is concluded that no definitive measure of convenience can be produced for rail travel, although a proxy measure, based upon categorization, containing some or all of the defined elements should be possible.     

Rail freight efficiency and competitiveness in Australia

In 1994/95, the Australian rail freight task was approximately 100 billion tonne kilometres (btkm). This freight task included some 37 btkm for the haulage of iron ore in Western Australia, 28 btkm for coal haulage in Queensland and New South Wales and about 16 btkm for interstate rail freight. This paper mainly concerns how improvements can be made to the efficiency and competitiveness of interstate rail freight services through the upgrading of sections of mainline track that currently have severe speed‐weight restrictions. Recent improvements in rail freight efficiency are discussed, with emphasis on two indicators: average unit revenues (cents per net tonne km), and average energy efficiency (net tonne km per MJ). Rail freight efficiency is high for the Western Australia iron‐ore operations, Queensland coal operations and Adelaide‐Perth general freight operations. However, between Australia's three largest cities of Melbourne, Sydney and Brisbane, some 36% of the mainline track fails to meet basic fast freight train standards with a ruling grade of 1 in 66 and no curve radius less than 800 m. The contraints on efficient rail freight operations imposed by severe terrain, and how the effects of terrain may be reduced by improved track alignment, are discussed. Some economically warranted rail track investment measures are outlined, including those identified for a National Transport Planning Taskforce. These measures have the potential to reduce liquid fuel use by over 250 million litres a year. Factors affecting competitive neutrality between road and rail freight that are outside of the present scope of Australia's National Competition Policy are broadly considered. These factors include the extensive upgrading of the National Highway System with full Federal funding, and low levels of road cost recovery from heavy trucks operating over long distances.     

An assessment of the performance of the European long intermodal freight trains (LIFTS)

Intermodal rail/road freight transport has always been considered as a competitive alternative to its road freight counterpart in the European medium- to long-distance corridors (markets). Such consideration has been based on the increasing competitiveness of some innovative rail services and the existing and prospective performance of both modes in terms of the full social – internal or operational and external – costs. The most recent innovation of rail technologies and related services launched by some European railway companies, still at the conceptual level, is the Long Intermodal Freight Train (LIFT). This is supposed to be a block train operating in long-distance corridors (markets) with a substantial and regular freight demand.This paper develops analytical models for assessing the performance of the LIFTs, the already-operating Conventional Intermodal Freight Trains (CIFTs), and their road counterpart as well. The performance consists of the full – internal (private) and external – costs of the door-to-door delivery of loading units – containers, swap-bodies, and semi-trailers. The internal costs embrace the operational costs of the transport (rail and road) and intermodal terminal operators. The external costs include the costs of the impacts of door-to-door delivery of loading units on society and the environment. These negative externalities include noise, air pollution, traffic accidents, and congestion.The models are applied to a simplified version of intermodal and road transport system using inputs from the European freight transport sector. The aims are to compare the full costs of particular modalities in order to investigate the potential of the LIFTs as compared with the CIFTs in improving the internal efficiency of the rail freight sector and its competitiveness with respect to its road counterpart. In addition, the paper attempts to assess some effects on the potential modal shift of EU (European Union) transport policies on internalizing transport externalities.     

A survey of Hungarian transport policy

Abstract

In its introductory part this article discusses the principles of the transport policy approved in 1968, followed by the reasons behind the advances on this policy approved in 1978.

It then goes on to review the Hungarian transport pattern and organization, including the roles played by the railways, the road transport companies, the state‐owned enterprises as well as cooperatives, urban transport, shipping, air transport, pipelines, and private transport.

In discussing the division of labour (or market sharing) in transport it concludes that passenger transport is increasing slowly, while the proportion of private transport is continuing to rise. A moderate increase is expected in goods transport with a decline in the share of the railways and a rise in that of the other transport branches. This division of labour is being influenced by economic, not administrative, means.

The main target of the advanced transport policy is to shape a transport system which corresponds to socioeconomic requirements. This means that goods transport capacities must be put to more efficient use, which involves improving development, organizational and planning operations. In passenger transport priority must go to public transport while the proportion of private transport must be defined in keeping with demand and economic possibilities.

In the development of the infrastructure and investments, the need to improve energy use and protect the environment must be stressed.

The rest of the article presents the detailed reasoning behind the measures already taken and scheduled to be taken to achieve these main targets.     

Transport reviews prize

Bombay, the commercial capital of India, is suffering from traffic thrombosis. Bombay used to be an attractive city some three decades ago and was commonly referred to as ‘Bombay the Beautiful’. The picture is now, however, the opposite extreme.

The way Bombay has grown, an underground railway is no doubt justified. Unfortunately, the economy may not be able to afford it for many years to come. Low cost measures have therefore to be adopted like (a) development of land use with a view to controlling the traffic demand itself; (b) discouraging further growth in and around the existing congested central business district; (c) establishment of a counter‐magnet; (d) conversion of the mono‐centric pattern to a poly‐nucleated structure; (e) better pedestrian facilities; (f) intermediate public transport; (g) traffic management measures to maximize available road capacities; (h) bus priority measures; (i) creating an east‐west axis for activities to relieve the present north‐south axis.

This would form the core of transport strategy. Capital intensive rail projects will face severe shortage of funds. An additional road/rail link has also been suggested to the mainland. The congestion in Bombay can be relieved if the master plan is prepared for an integrated system. Traffic and town planning must go hand in hand with priority to traffic planning.     

National policy towards cars: Hong Kong

The Hong Kong transport policy objective is simply, mobility. With this the automobile must conform. A confined land area, difficult to develop, has absorbed excessive immigration and must now service a dynamic entrepreneurial economy.

Transport infrastructure based on major planning studies is created through government capital and is backed by careful legislation, effective administration and private sector participation. The problem is that overall expansion is even faster: widespread urban renewal—roads cannot equally expand; enormous New Territories New Towns—people still want to move in and out so the need for more transport accelerates. Over ten million trips daily are made by 5.5 million people. The answers cannot be more and more private cars: it must be promoting the most effective use of major transport investments, where possible off roads, and the mass carriers on roads. The need to curb congestion by containing escalating car numbers (especially as so far only 17% of households have access to an automobile) led in May 1982 to imposition of severe taxes on ownership. The ultimate and equitable objective is to control usage. Road pricing may be the answer.

In Hong Kong the private cars is part only of a complex strategy including metro, rail, bus, minibus, ferry, taxi and tram. The car cannot take precedence.     

Decoupling of Road Freight Transport and Economic Growth Trends in the UK: An Exploratory Analysis

Abstract

Between 1997 and 2004, gross domestic product increased in real terms in the UK by one‐fifth, while the volume of road freight movement remained stable. This suggests that the long‐awaited decoupling of economic and freight transport growth has begun, possibly leading to a new era of sustainable logistics. This paper reviews previous research on the decoupling issue and recent trends in gross domestic product/freight tonne‐km elasticities in Europe and the USA. It then examines 12 possible causes of the observed decoupling in the UK using published statistics from a wide range of British and European sources. This analysis indicates that around two‐thirds of the decoupling is due to three factors whose impact can be quantified: the increased penetration of the British road haulage market by foreign operators, a decline in road transport’s share of the freight market, and real increases in road freight rates. Several other factors, most notably the relative growth of the service sector, the diminishing rate of centralization, and the off‐shoring of manufacturing, appear to be having a significant effect, though this finding cannot be measured on the basis of available statistics. The paper concludes that, while the decoupling is in the right direction from a public policy standpoint, the net environmental benefits are likely to be quite modest.