Norfolk CEO: Much slower crude trains would disrupt US rail business
HOUSTON, July 23
HOUSTON, July 23 (Reuters) - Crude train speeds limited to 25 miles to 30 miles per hour would be "extraordinarily disruptive" to all rail business, not just the movement of oil, Norfolk Southern Corp Chairman and Chief Executive Officer Charles Moorman told analysts on Wednesday.
The U.S. Department of Transportation was expected on Wednesday to propose rules regarding oil-by-rail, including tank railcar safety and crude train speeds, followed by further work before final rules are issued. Moorman said Norfolk Southern believes it can make the case that 40 mph to 45 mph speeds are safe and will not disrupt other rail traffic.
"We will have compelling evidence that any significant speed restriction would be in fact disruptive to the point of almost shutting down the North American rail network," Moorman said. (Reporting by Kristen Hays; Editing by Jeffrey Benkoe)