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Railway Reform: Toolkit for Improving Rail Sector Performance - ppiaf

Railway Reform: Toolkit for Improving Rail Sector Performance - ppiaf

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<strong><strong>Rail</strong>way</strong> <strong>Re<strong>for</strong>m</strong>: <strong>Toolkit</strong> <strong>for</strong> <strong>Improving</strong> <strong>Rail</strong> <strong>Sector</strong> Per<strong>for</strong>mance<br />

2. <strong>Rail</strong> Markets and Technology<br />

Double-stack Container Train<br />

it is over 8,000 tons per person/hour at a typical container port. Typically, a<br />

break-bulk ship that handles crates, barrels, and bags of miscellaneous freight,<br />

would be in port <strong>for</strong> several weeks, and in 1959, a general commercial cargo vessel<br />

could carry 10,000 tons of freight at a speed of 16 knots (29 kph). By 2009,<br />

container ships could carry 77,000 tons at 25 knots (46 kph) and would be in port<br />

<strong>for</strong> only 16 hours to unload and load. Some of these same efficiencies apply to rail<br />

transport of general freight. Box wagons can hold more goods than a container<br />

and are useful <strong>for</strong> many commodities, but they can be used only by shippers located<br />

on rail lines. Other shippers must load goods into containers and use road<br />

transport to move them to a container terminal where they are transferred to a<br />

ship or train <strong>for</strong> transport over longer distances. In many markets, rail transport<br />

competes fiercely with road transport <strong>for</strong> container shipments; most timesensitive<br />

freight moves by road transport from origin to destination. However,<br />

containerized rail transport is increasingly preferred to move general freight to<br />

and from ports and distant inland logistics centers.<br />

<strong>Rail</strong> freight services<br />

are usually measured<br />

in tons of freight, and<br />

by net and gross tonkilometers.<br />

Freight traffic on any mode is typically measured in tons and ton-kilometers. A<br />

ton-kilometer = cargo weight transported X distance transported—also reported<br />

as net ton-kilometers (NTK). Another frequently reported measure is revenue<br />

ton-kilometers, which refers to revenue-producing freight tons and excludes non<br />

revenue-producing freight such as rail, ballast, or other goods transported <strong>for</strong><br />

railway company use. For railways, an important measure of work per<strong>for</strong>med is<br />

gross ton-kilometers, this measure includes rail wagons’ empty weight <strong>for</strong> both<br />

empty and loaded movements. This measure of gross ton-kilometers is also called<br />

‘trailing tons’ or the total tons being hauled. Sometimes gross ton-kilometer<br />

measures include the weight of locomotives used to haul freight trains.<br />

Energy and fuel consumption in railways is closely related to gross-tonkilometers<br />

since this is a nearly direct measure of work per<strong>for</strong>med. Geography<br />

plays an important role in energy consumption as well. Whether trains must be<br />

hauled over a mountain range or rolled downhill has a direct effect on energy use<br />

of any particular railway line. But, given the geography, energy consumption is<br />

usually related to gross-ton-kilometers.<br />

<strong><strong>Rail</strong>way</strong>s are best at<br />

moving high volumes<br />

of passengers or<br />

freight between<br />

common points.<br />

2.3 What <strong><strong>Rail</strong>way</strong>s Do Best<br />

<strong><strong>Rail</strong>way</strong>s are an efficient and cost-effective means to transport large volumes of<br />

passengers and freight over various distances, particularly between originating<br />

and terminating points with large volumes. <strong>Rail</strong> transport cost effectiveness increases<br />

as volumes and distances increase. When traffic demand involves smaller<br />

passenger and freight volumes that must be distributed over a larger number of<br />

points, road transport is usually more efficient and cost effective.<br />

For high volumes, railways deliver much more significant cost savings, environmental,<br />

energy, land use, and other social benefits than road transport, although<br />

in some cases, rail can be slower. Water transport can be more energy efficient<br />

and lower cost than rail transport, depending on waterway circuitry and availability,<br />

but typically, water transport is much slower. <strong>Rail</strong> passenger and freight<br />

transport are competitive with road and air transport at some distances.<br />

The World Bank Page 17

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