The US railroad industry and open access

Makeda F. Jahanshahi

Transport Policy, 1998, vol. 5, issue 2, 73-81

Abstract: The paper addresses the recent unsuccessful attempt by shippers to obtain open access to railroad facilities in the United States. Railroad restructuring experiences of the United Kingdom, Germany and Sweden, along with the status of and conventional practices in the US railroad industry are discussed. The decision of the US railroad regulatory body, the Surface Transportation Board, to reject shipper concerns regarding monopoly power abuse on the part of bottleneck carriers and to deny the request for open rail network access is reviewed. Based on analysis of the foundations of economic regulation, the separation of infrastructure ownership from operations is seen as essential in providing open access and achieving efficiency gains.

Date: 1998
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