ABSTRACT
Coal and its transport by rail has been an important feature of the U.S. energy landscape for the last 150 years. Nationwide, more than 70% of coal by tonnage is delivered by rail. Although transport of coal by barge usually has a lower cost than rail, geographic constraints limit its use. In the eastern United States, where rivers and locks afford an option, barge transport currently represents almost 30% of coal transport, and rail accounts for about 54.6%. In contrast, for coal originating west of the Mississippi River, there are few barge options, and rail transport represents more than 80% of coal transportation. Given the extensive existing infrastructure, rail transport of coal is likely to remain an important feature of the U.S. energy and transportation markets. In 2011, coal accounted for over 43% of total rail tonnage. Hydraulic fracturing of shales has created an abundance of natural gas at low cost. This development is shifting electric power generation from coal to natural gas, reducing demand for the largest commodity moved by rail. Also changes in delivered costs for coal from various coal-producing regions are significantly affecting the pattern and use of rail transport.
