Ari G. Niemi – Manager, Engineering and Development Services 890 San Pablo Ave. Pinole, California 94564 www.industrialrailways.com 510.724.1117 – Office aniemi@indrailco.com
AUTOMOTIVE TERMINAL – LANSING, MI AGG TERMINAL – FRESNO, CA ENERGY TERMINAL – BEAUMONT, TX
Honda Port of Entry Project ‐ The Honda Port of Entry Project helped to maximize the economic benefit from underutilized real estate assets at the Port of Richmond. This development resulted in a number of benefits to the City of Richmond and Contra Costa County including: • A minimum of $100 million in revenue to the City over a period of 15 years; • More than 100 full‐time, 150 part‐time direct high way union jobs (Teamster and Longshoremen) • Greater utilization of existing maritime‐related assets; • Created new on‐dock rail and industrial distribution capacity; • Improved rail operations which reduced peak‐hour blockages at rail grade crossings and improved air quality through reduction of truck trips.
HONDA PORT OF ENTRY – RICHMOND, CA HONDA PORT OF ENTRY – RICHMOND, CA HONDA PORT OF ENTRY – RICHMOND, CA
About Industrial Railways Company – Industrial Railways Company (IRC) was established in 1956 to provide railroad track consulting, design and construction, inspection and maintenance services to rail‐served industrial customers. A sample of rail served companies that IRC services today in the Northern Waterfront: P66 Refinery – Rodeo Criterion Catalyst – Bay Point NuStar Logistics – Selby NuStar – Pittsburg P66 Coke Facility ‐ Rodeo USS‐Posco – Pittsburg Crockett Cogeneration – Crockett Dow Chemical – Pittsburg Shell – Martinez K2 Pure Solutions – Pittsburg EcoServices – Martinez Praxair ‐ Pittsburg Tesoro – Martinez Hasa – Pittsburg Air Liquide – Martinez Concord Iron Works – Pittsburg General Chemical – Bay Point Georgia‐Pacific – Antioch Angleboard ‐ Bay Point
History of Rail in the Northern Waterfront – Rail furthered development along the Northern Waterfront in the late 19 th and early 20 th centuries by linking business and demand markets to each other here and abroad. Freight railroads have played a crucial role in not only the Northers Waterfront but America’s economic development for the past 185 years. They remain critical today, serving nearly every industrial, wholesale, retail and resourced‐based sector of our economy.
Economics of Rail – why rail? Freight Railroads Provide Economical Benefits: • Economies of scale and relief of traffic congestion – Usable weight on a rail car is 100 TNS compared to 26 TNS per semi load. Factors is roughly 1 railcar to 4 trucks; • Fuel efficiency –In 2015, according to the Association of American Railroads, rail carriers moved a ton of freight and average of 473 miles per gallon of fuel. On average, this is four time more fuel efficient than trucks. • Greenhouse gases – Because green‐house emissions are directly related to fuel consumption, moving freight by rail instead of truck reduces green‐house gas emissions by 75 percent on average;
Types of Train Service ‐ Intermodal – Transportation of freight in an intermodal container using multiple modes of transportation (i.e. rail, ship and truck) without any handling of the freight itself when changing modes of transportation. Intermodal Trains move on dedicated schedules to dedicated carrier owned facilities or public/municipal ports (intermodal terminals) both international or domestic. Customer’s pick‐up and drop‐off containers at designated facilities by truck carrier. Manifest – Train made up of mixed rail cars (boxcars, tank cars, etc.) Trains move on dedicated schedules between yards and carrier breaks‐up and rebuild cars in transportation to route the car to the final destination. Either the carrier directly or a short‐line railroad or switch carrier will provide delivery and picking up of cars to customer which requires the customer to have appropriate and adequate trackage to support the quantity of type of car at their place of business. Unit Train – Train made of a single rail car type caring a single commodity and is shipped from the same origin to the same destination without being split‐up or stored en route.
Guidelines for Rail Service to New or Modified Industry Locations ‐ The physical onsite rail infrastructure requirements for any given project vary by a number of items: • Location of industry as it relates to the carriers infrastructure: 1. Restricted Access Mainline; 2. Controlled Access Mainline Corridors; 3. Allowable Access Mainline Corridors; 4. Industry Parks, Industry Lead and other Customer Complexes. • Commodity and car type; • Anticipated car volume; • Frequency of service; • Direction of service, local support infrastructure and carrier operations considerations. Each project is unique and the rail service feasibility is dependent on the specifics of every project.
Feasibility of new rail served develop in Northern Waterfront • IRC’s experience ‐ Since 2010 (Founding of IRC’s Engineering and Development Services Group), IRC has completed a total of 12 rail feasibility studies (new or major expansion of service). Of those project, only 1 was successfully developed (K2 Pure Solutions) and is in operation today.
Feasibility of new rail served develop in Northern Waterfront ‐ Continued • Sites with existing main line connections with existing support capacity are prime candidates for manifest carload developments. • Establishing new connections to a carriers mainline carry a baseline cost of +/‐ $1.5 ‐ $2MM and are difficult to get approved by carriers operations groups. PORT OF STOCKTON 700 YARD EXPANSION
Railroad Industrial Development Contacts Primary responsibilities are to help new and expanding customers negotiate the carriers’ new business review process. Union Pacific Sandy Christiansen , Regional Manager, Network and Industrial Development Phone: 503‐249‐2717 SLChristiansen@UP.COM BNSF Railways Hector Garcia , Economic Development Regional Manager Phone: 909‐386‐4020 Hector.Garcia@BNSF.com
Ari G. Niemi – Manager, Engineering and Development Services 890 San Pablo Ave. Pinole, California 94564 www.industrialrailways.com 510.724.1117 – Office aniemi@indrailco.com
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