From: sws37449@uxa.cso.uiuc.edu (Steven W. Salzman)
Subject: Re: Fort Devens as a container terminal?
Organization: University of Illinois at Urbana
Distribution: na
Date: Tue, 26 Jan 1993 00:27:58 GMT

j_dietz@oz.plymouth.edu (John E. Dietz) writes:


>	I read a while back (I think it was in Trains magazine) that
>there was some talk of turning Fort Devens at Ayer Massachusetts into
>a container terminal. I haven't heard any recent news about this, and
>was wondering if anybody else has.
>	If the base is converted, will this finally convince Guilford
>to widen the clearences of the Hoosac Tunnel? Would Guilford be able
>to compete with Conrail's former Boston and Albany line to the south?
>I know that Conrail has taken much traffic away from Guilford,
>especially the auto racks bound for Ayer. When Ford decided to use
>triple decked, protected racks, they were shifted to Conrail's line
>because Hoosac Tunnel was too small and Guilford didn't want (couldn't
>afford?) to make adjustments.

Hoosac Tunnel is the only significant obstacle to double-stack operation
between Rotterdam Jct. and Ayer.  East of Ft. Devens, there are numerous
clearance problems, thus, Guilford proposes operating the containers
on conventional 89-foot flats into Massport (Boston).  Clearance problems
will be rectified using money from the State of Massachusetts.  Note that
other states have spent money on similar clearance projects (notably
Pennsylvania).

Needless to say, a few groups are unhappy with this plan.  Besides the
American Trucking Association (whose complaint is obvious), Conrail was
also upset with the plan, because it favored Guilford-CP, without providing
equal money for improving clearances along the former Boston & Albany line.

Providence & Worcester also is unhappy with the plan, because they just
spent a couple of million dollars to upgrade the container port at
East Providence.  They fear that double-stack service out of the Boston
area would take business away from this port.  Other ports on the East
Coast, notably New York/New Jersey, are upset with the prospect of losing 
business to Boston. (Note: this is a valid complaint, because many containers
are diverted from Boston to NY each year, because of more economical
inland connections.)

Can Guilford-CP compete with CR for Chicago-Boston intermodal traffic, or
compete with U.S. roads for Vancouver-East Coast landbridge traffic?  
Of course.  The question is: at what price?  

For Chicago-Boston (including connecting traffic from points west) traffic
CP has a couple of options: it can route traffic from Chicago to 
Detroit/Windsor via CSX trackage rights, thence CP to Buffalo, OR
CP can use their newly acquired trackage rights over NS between Chicago
and Buffalo (for Intermodal trains only).  We will assume that CP will
use the latter, because it is the better route (both in terms of rise and
fall and speed), and because CP is limited to operating 28 trains per week
over the CSX line (per the original agreement).  They are near that total now.

Conrail still has an advantage, but the NS line is competitive and has plenty
of capacity left in it.  East of Buffalo, Conrail has a distinct advantage
on the Water Level Route (via Syracuse) versus the CP (ex-D&H) on the
Southern Tier.  The B&A line is probably better than Guilford's line 
across Massachusetts.  

For North American landbridge traffic (from Vancouver, for instance), 
Guilford's performance (assumed by many to be poor, though it may not be)
is not material.  Substantial savings in transit time may be incurred using
the Canadian route.  However, the Canadian route would miss Chicago, and other
sources of domestic traffic used to fill out international trains.  

Overall the ability of CP-Guilford to capture both domestic and 
international container traffic is probably quite good. However, this
depends on the reactions of Conrail, other ports, and the steamship lines.
Domestic traffic is highly competitive, and with CP's slightly inferior 
route, margins will probably be tighter.  CP stands to gain some 
international traffic, however.  But competition is keen enough, that the
deciding factor will almost certainly be price.

Hope that this answers your questions (and then some).

Steven W. Salzman
University of Illinois at Urbana-Champaign
sws37449@uxa.cso.uiuc.edu

All opinions are my own.