U.S. Freight System Modernization Necessary to Reduce Bottlenecks, Improve Security
15 Jun 2009
U.S. Freight System Modernization Necessary to Reduce Bottlenecks, Improve Security
The long-term efficiency and effectiveness of the U.S. freight transportation system is threatened by bottlenecks, inefficient use of some parts of the infrastructure components, vulnerability to disruptions, and crucial environmental and energy concerns, according to a study issued on June 9 by the RAND Corporation.
The U.S. freight transportation system moves about $40 billion worth of goods each day, with delays and uncertainty in the performance of the system translating into higher prices for consumers and reduced productivity, according to researchers.
"Improvements to infrastructure are important, but it's also critical to ensure that the existing infrastructure is used efficiently," said Richard J. Hillestad, lead author of the study and a senior principal researcher with RAND, a nonprofit research organization.
The study concludes that there are four freight transportation and infrastructure issues that are particularly critical to address:
- Increasing the capacity of the United States' national and international freight systems through a combination of operational improvements and selected infrastructure enhancement
- Creating an adaptable, less-vulnerable and more-resilient freight transportation system
- Addressing the energy and environmental issues associated with freight transportation
- Making the case for public and private investment in supply-chain infrastructure and establishing sustainable priorities for funding.
The research was supported by the Dow Chemical Company, the U.S. Chamber of Commerce, the Port Authority of New York and New Jersey, Union Pacific Railroad, the Port of Long Beach, and the Port of Los Angeles.
Click here to read the study, "Fast Forward: Key Issues in Modernizing the U.S. Freight Transportation System for Future Economic Growth."