Estimating the marginal cost of railway track renewals using corner solution models

Economic theory advocates marginal cost pricing for efficient utilisation of transport infrastructure. A growing body of literature has emerged on the issue of rail marginal infrastructure wear and tear costs, but the majority of the work is focused on costs for infrastructure maintenance. Railway track renewals are a substantial part of an infrastructure manager’s budget, but in disaggregated statistical analyses they cause problems for traditional regression models since there is a piling up of values of the dependent variable at zero. Previous econometric work has sought to circumvent the problem by aggregation in some way. In this paper we instead apply corner solution models to disaggregate (track-section) data, including the zero observations. We derive track renewal cost elasticities with respect to traffic volumes and in turn marginal renewal costs using Swedish railway renewal data over the period 1999–2009. This paper is the first attempt in the literature to apply corner solution models, and in particular the two-part model, to disaggregate renewal cost data in railways. It is also the first paper that we are aware of to report usage elasticities specifically for renewal costs and therefore adds important new evidence to the previous literature where there is a paucity of studies on renewals and considerable uncertainty over the effects of rail traffic on renewal costs. In the Swedish context, we find that the inclusion of marginal track renewal costs in the track access pricing regime, which currently only reflects marginal maintenance costs, would add substantially to the existing track access charge. EU legislation requires that access charges reflect the ‘costs directly incurred as a result of operating the train service’, which should include a marginal renewal cost component. This change would also increase the cost recovery ratio of the Swedish infrastructure manager, thus meeting a policy objective of the national government.     

A new Swedish railroad policy: Separation of infrastructure and traffic production

In 1988 the Swedish nationalized railway company was separated into two separate entities, the Swedish State Railways in charge of running rail transport and the National Rail Administration, responsible for investment in and maintenance of rail infrastructure. This paper describes institutional aspects of this new railway policy. It also specifies methodological and practical problems in the computation of social marginal costs for using rail as well as road infrastructure. It is furthermore made likely that present fuel charges on road vehicles, but not the new rail use charges, are insufficient to cover costs for infrastructure use.     

Rail track infrastructure ownership: investment and operational issues

As privatisation of railway systems reach the political agendas in a number of countries, the separation of track infrastructure from train operations is seen as providing the vehicle which will improve profitability within the rail industry. This paper deals with three main issues related to such separation within a freight railway focus, namely: investment appraisal; track standards and maintenance; and train operating performance. The conflicts of interest between the owners of track and their client operators are discussed in detail. Costs related to track capacity and congestion need to be taken into account, given that additional trains are likely to lead to increased risk of delays to existing services. The paper discusses the use of a travel time reliability model to estimate the additional costs imposed on the system through the introduction of specific train services.It is concluded that investment in individual elements of railway infrastructure must be integrated with the overall financial and customer service strategies of both operators and owners. As an alternative to current practices, a hybrid model of track ownership is put forward here. Under such a model, a joint-venture company with equity from the main ÒplayersÓ would be owner of track. This would allow some of the benefits of vertical integration to be retained, whilst providing fair access to new operators.     

A railway capacity determination model and rail access charging methodologies

This article discusses approaches to the determination of railway capacity and the significance of the following factors on capacity: mix of trains, length and weight of trains, direction of train travel, acceleration and deceleration, stopping protocols of trains, location and length of crossing loops, location of signals, length of sections, dwell times and sectional running times. A more accurate method to calculate railway capacity is developed using previously unaddressed aspects for capacity determination. Capacity and pricing are two key issues for organizations involved with open track access regimes. A train access charging methodology is therefore developed and incorporated into a railway capacity determination model.     

User charges for the railway infrastructure in Bulgaria

The proposed article has been developed as a result of a research project funded by Marie Curie Programme and performed under the Economics, Policy and Appraisal Training Site in Institute for Transport Studies, University of Leeds.The article presents an analysis of the current charges for the use of rail infrastructure. The results of this analysis are used to evaluate the pricing principles and approaches to charging infrastructure costs in Bulgaria. The deficiencies of the existing infrastructure charging system are discussed and appropriate measures for their overcoming are outlined.The paper gives an outline for the way ahead and suggests a model for rail infrastructure costs estimation which will be developed on the basis of the opportunities for transferability of scientific methodology for infrastructure charging assessed according to the UNITE research project performed with participation of the ITS.     

Coordinated cruise control for high-speed train movements based on a multi-agent model

This paper investigates the coordinated cruise control strategy for multiple high-speed trains’ movement. The motion of an ordered set of high-speed trains running on a railway line is modeled by a multi-agent system, in which each train communicates with its neighboring trains to adjust its speed. By using the potential fields and LaSalles invariance principle, we design a new coordinated cruise control strategy for each train based on the neighboring trains’ information, under which each train can track the desired speed, and the headway distances between any two neighboring trains are stabilized in a safety range. Numerical examples are given to illustrate the effectiveness of the proposed methods.     

Conflict Resolution through Negotiation in a Railway Open Access Market: a Multi-agent System Approach

Abstract

Open access reforms to railway regulations allow multiple train operators to provide rail services on a common infrastructure. As railway operations are now independently managed by different stakeholders, conflicts in operations may arise, and there have been attempts to derive an effective access charge regime so that these conflicts may be resolved. One approach is by direct negotiation between the infrastructure manager and the train service providers. Despite the substantial literature on the topic, few consider the benefits of employing computer simulation as an evaluation tool for railway operational activities such as access pricing. This article proposes a multi-agent system (MAS) framework for the railway open market and demonstrates its feasibility by modelling the negotiation between an infrastructure provider and a train service operator. Empirical results show that the model is capable of resolving operational conflicts according to market demand.     

The case for space: the measurement of capacity utilisation,its relationship with reactionary delay and the calculation of the capacity charge for the British rail network

In Britain, capacity charges are levied on train operators to cover the costs imposed by increased reactionary delays – i.e. the delay that an already late train causes to a following train. These charges are based on the link between capacity utilisation and the level of reactionary delay. An established method for measuring capacity utilisation was adopted called The Capacity Utilisation Index (CUI). In this paper, we propose an alternative methodology based on the theory that the level of reactionary delay will be determined by the minimum gaps that exist between trains. We test this measure with a new data-set for the East Coast Main Line and show that it performs better than CUI. Finally, we comment on the implications of this finding for charging and for the construction of timetables.     

Marginal railway track renewal costs: A survival data approach

In this paper, renewal costs for railway tracks are investigated using survival analysis. The purpose is to derive the effect from increased traffic volumes on rail renewal cycle lengths and to calculate associated marginal costs. A flow sample of censored data containing almost 1300 observations on the Swedish main railway network is used. We specify Weibull regression models, and estimate deterioration elasticities for total tonnage as well as for passenger and freight tonnages separately. Marginal costs are calculated as a change in present values of renewal costs from premature renewal following increased traffic volumes. The marginal cost for total tonnage is estimated to approximately SEK 0.002 per gross ton kilometre.     

Charging infrastructure demands of shared-use autonomous electric vehicles in urban areas

Ride-hailing is a clear initial market for autonomous electric vehicles (AEVs) because it features high vehicle utilization levels and strong incentive to cut down labor costs. An extensive and reliable network of recharging infrastructure is the prerequisite to launch a lucrative AEV ride-hailing fleet. Hence, it is necessary to estimate the charging infrastructure demands for an AEV fleet in advance. This study proposes a charging system planning framework for a shared-use AEV fleet providing ride-hailing services in urban area. We first adopt an agent-based simulation model, called BEAM, to describe the complex behaviors of both passengers and transportation systems in urban cities. BEAM simulates the driving, parking and charging behaviors of the AEV fleet with range constraints and identifies times and locations of their charging demands. Then, based on BEAM simulation outputs, we adopt a hybrid algorithm to site and size charging stations to satisfy the charging demands subject to quality of service requirements. Based on the proposed framework, we estimate the charging infrastructure demands and calculate the corresponding economics and carbon emission impacts of electrifying a ride-hailing AEV fleet in the San Francisco Bay Area. We also investigate the impacts of various AEV and charging system parameters, e.g., fleet size, vehicle battery capacity and rated power of chargers, on the ride-hailing system’s overall costs.     

High-Speed Rail Operations on an Existing Network: An Assessment Model for China

High-speed rail operations have the potential to reduce the long-term decline in rail passenger travel demand for the medium to long distance inter-urban markets. Such decline has been evident through most of the industrialized countries where air and road transport tend to be the dominant modes. In China, the operations of long distance high-speed rail on fully dedicated track is not very easy to implement, due to the high proportion of passengers who travel between high-speed and conventional railways. An alternative approach would be to allow for mixed operations with trains of various speeds on the same track. This article puts forward a simulation model designed to allow an evaluation of the most efficient distance for high-speed rail operations under mixed train speed scenarios. The model takes into account the main operating parameters such as passenger volumes, train speeds, capital and maintenance costs, train operating costs and energy consumption. The distance of high-speed train running on conventional rail that will yield the most economic benefit can be estimated using the model. The article includes the results of using the model for a specific example. It is concluded that large-scale high-speed trains have the potential to be successfully operated on conventional rail networks.     

Locating charging infrastructure for electric buses in Stockholm

Charging infrastructure requirements are being largely debated in the context of urban energy planning for transport electrification. As electric vehicles are gaining momentum, the issue of locating and securing the availability, efficiency and effectiveness of charging infrastructure becomes a complex question that needs to be addressed. This paper presents the structure and application of a model developed for optimizing the distribution of charging infrastructure for electric buses in the urban context, and tests the model for the bus network of Stockholm. The major public bus transport hubs connecting to the train and subway system show the highest concentration of locations chosen by the model for charging station installation. The costs estimated are within an expected range when comparing to the annual bus public transport costs in Stockholm. The model could be adapted for various urban contexts to promptly assist in the transition to fossil-free bus transport. The total costs for the operation of a partially electrified bus system in both optimization cases considered (cost and energy) differ only marginally from the costs for a 100% biodiesel system. This indicates that lower fuel costs for electric buses can balance the high investment costs incurred in building charging infrastructure, while achieving a reduction of up to 51% in emissions and up to 34% in energy use in the bus fleet.     

Amtrak,the attempt to renew U.S. rail service

The decline of railway passenger train patronage and the deterioration of service in the United States have led the U.S. Government to assume control over the operation of trains via a quasi‐federal corporation called “Amtrak,” but some basic causes of the decline remain and new problems will arise as a result of this action.

Two results of the neglect to assess external costs against the various transport modes is an unbalance in favor of those with the higher external costs and the continued, seemingly fundamental, unprofitability of railway passenger service, which exists even for equipment that operates at capacity!

Some way of collecting external costs will have to be found, and the problems created by the new intrusion of the U.S. Government into transport will have to be faced.     

Individual freight effects,capacity utilization,and Amtrak service quality

This paper offers a new perspective on the post-deregulation rail industry. We hypothesize that a link exists between individual freight effects and Amtrak service quality. Specifically, we investigate the relationship between freight control of the infrastructure on which Amtrak trains operate and Amtrak train delays. Our sample consists of 1117 directional station-pairs for fiscal years 2002 through 2007 on 28 Amtrak non-Northeast Corridor passenger routes. We found that freight effects have a significant impact on Amtrak train delays after controlling for other important delay determinants such as the capacity utilization rate. The impact is higher on long-distance routes. We also observed significant differences between the effects of different freight railroads. For example, Amtrak operations on infrastructure controlled by several Class I railroads experienced significantly larger delays than baseline operations, while Amtrak train delays on Burlington Northern and Santa Fe’s tracks actually fell below baseline levels.     

Exploring passenger anxiety associated with train travel

Although people are often encouraged to use public transportation, the riding experience is not always comfortable. This study uses service items to measure passenger anxieties by applying a conceptual model based on the railway passenger service chain perspective. Passenger anxieties associated with train travel are measured using a modern psychometric method, the Rasch model. This study surveys 412 train passengers. Analytical results indicate that the following service items cause passenger anxiety during trains travel: crowding, delays, accessibility to a railway station, searching for the right train on a platform, and transferring trains. Empirical results obtained using the Rasch approach can be used to derive an effective strategy to reduce train passenger anxiety. This empirical study also demonstrates that anxiety differs based on passenger sex, age, riding frequency, and trip type. This information will also prove useful for transportation planners and policy-makers when considering the special travel needs of certain groups to create a user-friendly railway travel environment that promotes public use.     

Integrated optimization on train scheduling and preventive maintenance time slots planning

We address the problem of simultaneously scheduling trains and planning preventive maintenance time slots (PMTSs) on a general railway network. Based on network cumulative flow variables, a novel integrated mixed-integer linear programming (MILP) model is proposed to simultaneously optimize train routes, orders and passing times at each station, as well as work-time of preventive maintenance tasks (PMTSs). In order to provide an easy decomposition mechanism, the limited capacity of complex tracks is modelled as side constraints and a PMTS is modelled as a virtual train. A Lagrangian relaxation solution framework is proposed, in which the difficult track capacity constraints are relaxed, to decompose the original complex integrated train scheduling and PMTSs planning problem into a sequence of single train-based sub-problems. For each sub-problem, a standard label correcting algorithm is employed for finding the time-dependent least cost path on a time-space network. The resulting dual solutions can be transformed to feasible solutions through priority rules. Numerical experiments are conducted on a small artificial network and a real-world network adapted from a Chinese railway network, to evaluate the effectiveness and computational efficiency of the integrated optimization model and the proposed Lagrangian relaxation solution framework. The benefits of simultaneously scheduling trains and planning PMTSs are demonstrated, compared with a commonly-used sequential scheduling method.     

An improved car‐following model for railway traffic

In this paper, we propose an improved traffic model for simulating train movement in railway traffic. The proposed model is based on optimal velocity car‐following model. In order to test the proposed model, we use it to simulate the train movement with fixed‐block system. In simulations, we analyze and discuss the space–time diagram of railway traffic flow and the trajectories of train movement. Simulation results demonstrate that the proposed model can be successfully used for simulating the train movement in railway traffic. From the space–time diagram, we find some complex phenomena of train flow, which are observed in real railway traffic, such as train delays. By analyzing the trajectories of train movement, some dynamic characteristics of trains can be reproduced. Copyright © 2011 John Wiley & Sons, Ltd.     

Strategic assessment of capacity consumption in railway networks: Framework and model

In this paper, we develop a new framework for strategic planning purposes to calculate railway infrastructure occupation and capacity consumption in networks, independent of a timetable. Furthermore, a model implementing the framework is presented. In this model different train sequences are generated and assessed to obtain timetable independence. A stochastic simulation of delays is used to obtain the capacity consumption. The model is tested on a case network where four different infrastructure scenarios are considered. Both infrastructure occupation and capacity consumption results are obtained efficiently with little input. The case illustrates the model’s ability to quantify the capacity gain from infrastructure scenario to infrastructure scenario which can be used to increase the number of trains or improve the robustness of the system.     

Bus rapid transit systems: a comparative assessment

There is renewed interest in many developing and developed countries in finding ways of providing efficient and effective public transport that does not come with a high price tag. An increasing number of nations are asking the question—what type of public transport system can deliver value for money? Although light rail has often been promoted as a popular ‘solution’, there has been progressively emerging an attractive alternative in the form of bus rapid transit (BRT). BRT is a system operating on its own right-of-way either as a full BRT with high quality interchanges, integrated smart card fare payment and efficient throughput of passengers alighting and boarding at bus stations; or as a system with some amount of dedicated right-of-way (light BRT) and lesser integration of service and fares. The notion that buses essentially operate in a constrained service environment under a mixed traffic regime and that trains have privileged dedicated right-of-way, is no longer the only sustainable and valid proposition. This paper evaluates the status of 44 BRT systems in operation throughout the world as a way of identifying the capability of moving substantial numbers of passengers, using infrastructure whose costs overall and per kilometre are extremely attractive. When ongoing lifecycle costs (operations and maintenance) are taken into account, the costs of providing high capacity integrated BRT systems are an attractive option in many contexts.     

Financial relations between European railways for their international services

The operations of European railway companies are generally confined to the territory of one country. Each company incurs the cost of operations on its network. For international trains there are systems of physical compensation for vehicles and staff operating outside their home network. Revenues either go direct to each company involved, or, in the case of through international rates, are apportioned according to distance. This situation implies that for any decision on price and services agreement of all operators involved is necessary. Also, the apportionment of costs between operators is not in line with real cost structure. With further integration in the European community, and freer movement between Eastern and Western Europe, international transport will become more important, and railways will be at a disadvantage compared with other modes that can operate international services throughout. An organisation is proposed and illustrated with some examples, wherein separate commercial units are formed responsible for running and marketing an international rail service. Track, vehicles, and staff of national railway companiew may be used as now, but at a price to be agreed, and without the need for physical compensation.