Rail Regulators Should Heed Lessons of Heavy Telecom Regs

Rail Regulators Should Heed Lessons of Heavy Telecom Regs
AP Photo/Elaine Thompson, File

The U.S. Surface Transportation Board (STB) is considering a rule that could increase the economic cost of shipping by rail without providing any benefits. That’s a bad idea.

At issue is a policy called reciprocal switching, where a company shipping something by freight rail obtains access to a competing railroad’s track, equipment and facilities for transport between two points generally served by only one competing railroad. This access is available today under commercially negotiated agreements between railroads.

 

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