Event Alert: Pricing Transportation Infrastructure Executive Program — November 16-18, 2009 @ Northwestern University, Evanston, IL

September 30, 2009 at 11:58 am

Northwestern University Transportation Center

Funding of transportation-related infrastructure is at a crossroads. Traditional funding mechanisms, such as general and specific tax revenues, are proving to be insufficient to maintain existing facilities and fund expanded capacity. Infrastructure providers and operators are looking to users to make up for the shortfall. Transport-related infrastructure offers an exceptional opportunity for raising funds to establish and/or sustain such infrastructure while providing an attractive return on investment to both public and private investors. Key to achieving such returns are the prices charged to users. But how should user charges be set?

  • Should every user pay the same fee?
  • Is it practical, commercially worthwhile, and socially acceptable to charge differential prices?
  • How should the price be set relative to the cost of alternatives modes or routings?
  • How are these pricing principles changed when the facility is congested?
  • Can pricing be used to reduce the problems of congestion?
  • How does private operation of a facility change the pricing objectives?
  • How might the public sector regulate prices?

These questions and more will be addressed in this two-and-half day course offered by the Transportation Center at Northwestern University.

Click Here for a Full-Brochure of the Program.

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Facilities & Location

Registration & Fee*Registration

Program Fee (after 10.5.09) $2,700
Early Registration Fee (before 10.5.09) $2,160
Government & academic rate $2,160
Registration

Who Should Attend

The course is aimed at professionals who currently, or might in the future, set user charges; financial personnel; and engineers and project managers who oversee facility maintenance and new construction. It is also applicable to consultants to infrastructure providers, and those who finance infrastructure projects.

Course Format

Program content will be thoroughly integrated by the course faculty, so that participants will emerge with a comprehensive understanding and perspective of transportation infrastructure pricing strategies.  The focus of the course is on the economics of pricing. Some prior knowledge of economics, such as might be obtained from an introductory college level microeconomics course, will be useful.

Topics to be covered include:Full Program Schedule

  • Basic economic principles of pricing
  • Competitive price-setting
  • Congestion pricing
  • Demand responsive pricing
  • Differential prices across users
  • Auctions to allocate capacity
  • Social acceptability of pricing infrastructure
  • Political implications of infrastructure pricing
  • Pricing in a public/private partnership
  • Public regulation of private-sector pricing
  • Evaluating investments in capacity enhancement
  • For additional information please visit the Northwestern University Transportation Center website or contact: Ms. Diana Marek, Program Registrar – 847-491-2280; dmarek@northwestern.edu

    Attention transportation policy-makers! Updated version of the GTZ Sourcebook module on “Intelligent Transportation Systems” is now available for download

    September 30, 2009 at 11:14 am

    Will a city need all the latest technology and they will solve the traffic problems? If not, then what are the correct choices.

    Technology has been playing an important role in promoting vehicular safety, reducing driving stress, comfortable travel and increased  efficiency of the whole transport system. These technologies applied in a package are called “Intelligent Transport System (ITS)”. When carefully applied the ITS will create an efficient, safe and comfortable transport system.

    Often, policy-makers are in a situation where they are not properly informed on the right technological choices. The GTZ Sourcebook module  on “Intelligent Transport Systems (ITS)” focuses on the choices for a city and also informs the reader of the various viable ITS options, their function and advantage. (German Technical Cooperation Agency (GTZ) is a member of the Sustainable Urban Transport Project (SUTP – ASIA).  The project is carried out in cooperation between German Technical Cooperation Agency (GTZ), the United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP), CITYNET, UNHABITAT and the Bangkok Metropolitan Administration (BMA). The office is based in Bangkok (Thailand).

    The focus of this module on ITS is on ITS applications that support the concept of sustainable transport by encouraging the following desirable outcomes which can be expected to find general acceptance:

    • Equitable access and improved mobility and including reduced demand for motorised private transport; and improve the modal split in favor of walking, transit, and cycling;
    • Improved transport efficiency and productivity;
    • Improved safety and security; and
    • Reduced environmental impact and improved ‘liveability’, especially in congested city centres.

    The module was written by Mr. Phil Sayeg and Prof. Phil Charles and updated by the authors. The authors also wrote ITS Australia’s Intelligent Transport Systems Hand- book that was published in 2003 and edit their quarterly Members’ Information Pack. They are currently contributing to the development of the first ITS Strategy for Bangkok, Thailand.

    More information on the updated module (3.15 Mb) and download links are available from the Sustainable Urban Transport Project (SUTP) website.

    Chinese Rail Investment Gathers Pace! 80 very high-speed trains (236 mph) purchased for $4 billion

    September 29, 2009 at 1:15 pm

    (Source: Tree Hugger)

    Reassuring Reliability

    Image Courtesy: Bombardier

    Low Energy Consumption

    Image Courtesy: Bombardier

    Tree Hugger reports that the estimated $4 billion US (or 2.7 billion euros) is only part of China’s grand $300B dream. Another recent article on  TreeHugger outlined the grand plan to invest over $300 billion in high-speed rail through 2020, in a bid to speed ahead of the rest of the world’s train systems. Here are some excerpts from today’s interesting TreeHugger article.

    The Chinese Ministry of Railways has announced that it will buy 80 “very high speed trains” from Bombardier’s Chinese joint ventre Bombardier Sifang to add to China’s fast-growing network of high-speed rail. The ZEFIRO 380 trains are both very efficient (more on that below) and very fast, and should help make transportation in China greener, especially if train trips displace plane trips.

    The order is for 20 eight-car trainsets and 60 sixteen-car trainsets, for a total of 1,120 cars.

    The ZEFIRO 380 has a maximum operating speed of 380 kilometers per hour (236 miles per hour) and is designed for efficiency:

    The Bombardier press release notes ” The new trainsets will be an integral part of an evolving high speed rail capability in China, which is developing more than 6,000 km of new high speed lines to create one of the most advanced high speed rail networks in the world. The trains, with maximum operating speeds of 380 kph, are based on Bombardier’s next-generation ZEFIRO high speed rail technology, and powered by a highly energy efficientBOMBARDIER MITRAC propulsion and control system.

    Exceptional Operational Flexibility

    Image Courtesy: Bombardier

    The ZEFIRO 380 trainsets will also incorporate Bombardier’s advanced ECO4 energy saving technologies to create best-in-class energy and operating efficiencies. Bombardier launched its ECO4 technology package in 2008 as part of an ongoing focus to extend rail’s position as the most sustainable form of transportation in the world. Bombardier is first in the industry to create a new formula for total train performance with a portfolio that can create substantial overall energy savings of up to 50%.”

    The ZEFIRO 380 trains will be manufactured at Bombardier Sifang (Qingdao) Transportation production facilities in Qingdao, China. Engineering will take place in Qingdao and at Bombardier centers in Europe with project management and components provided from sites in Europe and China.

    What the heck is USA doing?

    If you are wondering what is the status of the US high-speed rail development program, here is your answer.  We are waaaaaaaay behind many of our counterparts that are already engaged in the HSR programs .  The Europeans (French with their TGVs  & Germans with their ICE trains) and the Japanese have been at the forefront of HSR for decades and have built excellent systems that are capable of traveling at ~250MPH speeds.  New comers such as Spain and China have blazed new paths and surged ahead of the US and have embarked on ambitious plans, backed by huge  government funding commitments.  Heck, even the oil-rich Saudi Arabia is forging ahead with its development of brand new HSR lines cutting across the sandy deserts connecting major cities.  Recently, the Russians also got on this track and have quickly sought Spain’s help in building their HSR lines.  While the rest of the world is surging ahead, the US Government is still wrangling over its plans of where to invest the $8Billion funding. The US HSR Association states “Our vision is for a 21st century, 17,000 mile national high speed rail system built in 4 phases, for completion by 2030″.  Realistically speaking, this goal seems far fetched at this point, especially with the glacial pace of activity at the Federal level.

    Click here to read the entire article. Also, click here to see more pictures of these new toys China is buying from Bombardier.

    Source(s) of trouble! A graphical depiction of sources that feed America’s insatiable apetite for foreign oil

    September 24, 2009 at 1:47 pm

    Image Source: NG Oil & Gas (via Jalopnik) Click to Enlarge

    The saying goes like this: A picture is worth a thousand words. But this picture shown above is worth all the words you ever want to write about our addiction to foreign oil.  What is striking in this picture is the fact that almost everyone of these top 10 nations where we get our oil from, with the exception of Brazil & Canada, has been battling or contributing to violence in its own soil or in foreign soil through covert (at times overt) funding for terror groups & radical factions.  Hope our Government as well as the citizens start thinking about ways to curb this problem.  A good start would be to look at the type(s) of vehicle sitting in our driveway and ask yourself this question “Do I really need this vehicle?”  If possible, downsize to something that makes sense (a v10 or v8 for a daily commute to work does not make sense).  Just by doing that, you are not only contributing to a greener planet but also towards limiting the funds flowing to gunslingers and bomb makers in these hot spots.

    (Source: Jalopnik & Oil and Gas News via Cool Infographics)

    Side effects of the bitter recession pill: Americans are taking steps to reduce dependence on cars; Interested in alternative transportation options

    September 23, 2009 at 5:48 pm

    (Source: Transportation for America; USA Today)

    A yearly census survey released Monday illustrates the continuation of a trend that started well before the recession: Americans are taking steps to reduce their dependence on cars, and are looking for other options for getting around. The daily drumbeat of high unemployment, home foreclosures and plummeting retail sales drowns out a less obvious impact of the recession: its influence on America’s lifestyle.  Rates of solo driving and car ownership are dropping, according to this story in the USA Today about new census data. The paper cites a census report showing drops in both Americans who drove alone to work and in overall car ownership.

    Commuting. The share of workers who drove to work alone has dropped to 75.5% from 76% the past two years — a possible consequence of high gas prices and the recession.

    Environmental consciousness and the appeal of living in urban centers also play a role, says David Goldberg, spokesman for Transportation for America (T4America), a national coalition that advocates reduced dependence on cars.

    Car ownership. The share of households having one car or no car at all rose to 42.2% from 41.8%. Some of the decline in car ownership may be driven by younger people putting off getting their driver’s licenses or buying their first cars, Goldberg says. “We’ve seen a cultural shift.”  Younger Americans are also changing their perceptions – and the behavior – surrounding automobile use.

    Ready for another round of “Legislative Chicken”? With only 8 days left in the life of SAFETEA-LU Legislation, Oberstar proposes a three month extension

    September 22, 2009 at 11:06 pm

    (Sources Contributing to this Hybrid Report:  Streetsblog; PBS -The Dig; Journal of Commerce)

    Every six years the law authorizing national transportation policy and funding needs renewal. The current law expires Sept. 30 — in nine days.The House will consider a three-month extension of the current highway bill rather than the 18-month extension the administration and Senate want. The extension will avoid a collapse of highway spending on Oct. 1, according to House Transportation and Infrastructure Committee press secretary James Berard.

    Rep. James Oberstar (D., Minn.), Chairman of the House Transportation and Infrastructure Committee, is staunchly against an 18-month delay. As a result, it is likely he will propose a three-month extension later this week.

    Without some kind of action, legislation to extend the current transportation law by 18 months — already in place in the Senate and endorsed by the Obama administration — would almost certainly have to pass in order ensure transportation funding past the end of the month.

    The 18-month extension is favored by the Senate and White House. A Senate spokesman said that the four committees with jurisdiction over the highway bill have reported legislation to the floor, but the bills have not been up for debate before the full body.

    The House’s decision to press onward with a three-month delay sets up a game of legislative chicken similar to the one that developed in late July, when Oberstar was still standing firm on his vow to produce a new transportation bill before September 30. That impasse ended with the Senate and White House prevailing and the nation’s highway trust fund receiving a $7 billion infusion to keep it solvent until the end of this month.

    Will this month’s version end with the House again bowing to the Obama administration’s preference that a new transport bill not be considered until early 2011? Now, as in July, the deck is stacked against the lower chamber of Congress. The U.S. Chamber of Commerce and other business interests are behindOberstar’s three-month plan, but their lobbying in favor of a gas tax increase has not yet succeeded in rousing a reluctant Congress.

    Meanwhile, State highway officials warn that unless Congress acts, they will lose $8.7 billion in money allocated for projects ranging from interstate highway maintenance to safe routes for school buses on Oct. 1.

    The Federal Highway Administration announced that it will rescind funds that have been budgeted but not obligated for highway contracts on Sept. 30. The action will not be affected by congressional legislation to extend the highway law known as SAFETEA-LU. Tony Dorsey, spokesman for the American Association of State Highway and Transportation Officials (AASHTO), said preventing the loss will require separate legislation.

    An AASHTO press release on this subject notes that all 535 members of the House and Senate received an urgent letter from AASHTO yesterday, requesting that Congress repeal an $8.7 billion rescission of highway contract authority. The rescission was written into SAFETEA-LU, the highway and transit authorization bill passed by Congress in 2005.

    In his letter, AASHTO executive director John Horsley contends “…an additional $8.7 billion rescission will result in substantial, real program cuts, not merely a reduction of unused dollars on the books. Provisions in section 1132 of the Energy Independence and Security Act of 2007, which require that the states apply the rescission proportionately across all programs, will exacerbate the problem by further reducing state discretion to make reductions according to priorities. The letter also states that the rescission must be repealed or “it will nullify the benefits from economic recovery efforts.”

    The Price You Pay…Market-based Road Pricing in the United States

    September 21, 2009 at 10:56 pm

    TransportGooru.com is proud to share this insightful presentation on market-based road pricing in the U.S. prepared by Mr. Glenn Havinoviski, a long time supporter of TransportGooru.com, for his recent discussion with the Public Policy program students at George Washington University in Washington, DC.

    When Glenn updated his status message on LinkedIn after the classroom discussion, TransportGooru jumped on the opportunity to get a glimpse of his briefing material prepared for the class and wrote to him seeking permission to publish the briefing materials.  Glenn graciously agreed to share this excellent presentation and sent along a PDF version (shown in the PDF viewer below).   Please feel free to leave your comments/questions in the “Comments” section below and they will be brought to Glenn’s attention right away.   Thanks for sharing the presentation, Glenn.

    About Glenn Havinoviski: Glenn currently serves as an Associate Vice President (Transportation Systems) at Iteris in Sterling, VA and is a registered PE.   Until recently, he was an Associate Vice President and ITS Group Director for HNTB Corporation in the Arlington, Virginia office. His 27 years of experience (25 in consulting, 2 in the public sector) include serving as both a practice builder and a practice leader, providing project management and technical leadership for ITS and traffic management projects in the US and abroad.Glenn N. Havinoviski, PE joined Iteris in Sterling, VA on July 6 as Associate VP, Transportation Systems, after serving as Associate Vice President and ITS Group Director for HNTB Corporation in the Arlington, Virginia office. His 27 years of experience (25 in consulting, 2 in the public sector) include serving as both a practice builder and a practice leader, providing project management and technical leadership for ITS and traffic management projects in the US and abroad.

    No More Spy Shots! Russian Tycoon Roman Abromvich’s Mega-Yacht Goes Papparazzi-Proof With Hi-tech Laser Shield

    September 21, 2009 at 2:02 pm

    (Source: Times Online, UK & Wired)

    Russian billionaire Roman Abramovich has a rather curious new addition built in to his latest oversized yacht. The 557-foot boat Eclipse, the price tag of which has almost doubled since original plans were drawn to almost $1.2 billion, set sail this week with a slew of show-off features, from two helipads, two swimming pools and six-foot movie screens in all guest cabins, to a mini-submarine and missile-proof windows to combat piracy.

    It might not seem like somebody with such ostentatious tastes would crave privacy, but along with these expensive toys, Ambramovich has installed an anti-paparazzi “shield”. Lasers sweep the surroundings and when they detect a CCD, they fire a bolt of light right at the camera to obliterate any photograph. According to the Times, these don’t run all the time, so friends and guests should still be able to grab snaps. Instead, they will be activated when guards spot the scourge of professional photography, paparazzi, loitering nearby.

    The high-tech system on Eclipse, a mega-yacht measuring up to 557ft, relies on lasers to block any digital camera lenses nearby.  Infrared lasers detect the electronic light sensors in nearby cameras, known as charge-coupled devices. When the system detects such a device, it fires a focused beam of light at the camera, disrupting its ability to record a digital image.   The beams can also be activated manually by security guards if they spot a photographer loitering.

    The ThyssenKrupp-built boat, which has reportedly more than doubled in cost to £724m since it was commissioned three years ago, glided out of port in Hamburg last week on its maiden voyage. On board were 150 engineers and maritime experts who will put it through its paces over 10 days. One witness described the boat as “a great white castle on water”.

    The yacht — the fourth in Abramovich’s private fleet — drips luxury. It boasts two helipads, two swimming pools — the larger of which doubles up as a dance floor when drained — and 6ft-wide home cinema screens in all 24 guest cabins.

    Mindful of a rise in piracy on the high seas, the yacht has a hull and windows capable of withstanding a missile attack and a mini-submarine for emergencies. Once it leaves the Blohm + Voss German shipyard, it will be fitted with a missile defence system in France.

    The Sunday Times Rich List reported that last week Abramovich has splashed out £55m on a 70-acre estate on the Caribbean island of St Barthélemy. The exclusive retreat looks out onto Gouverneur Bay, where the oligarch will be able to moor his new yacht.

    More details on Times (via Wired).

    America’s Top 10 Transportation Projects Unveiled: States Vie for “People’s Choice” and National Grand Prize

    September 21, 2009 at 1:05 pm

    (Source: AASHTO)

    On September 8, ten states shared the national spotlight, as AAA, the American Association of State Highway and Transportation Officials (AASHTO) and the U.S. Chamber of Commerce announced the top ten finalists in the2009 America’s Transportation Awards competition.

    A panel of judges evaluated 50 highway projects from 33 states in three categories: “On Time,” “On Budget,” and “Innovative Management.” Twenty-two winning projects were selected during four regional competitions. The top ten projects scored the highest number overall points during the judging.

    Final round of the competition starts anew: America’s Transportation Awards’ Grand Prize will be determined by independent judging and will be presented at the AASHTO Annual Meeting on October 25, in Palm Desert, California. The top ten projects will also compete for the People’s Choice Award, which will decided by popular vote. Each of these awards carry a $10,000 prize.  On-line voting is now underway at the competition’s official website through Oct. 23, 2009:www.americastransportationaward.org.

    “These projects show that states are being accountable for every dollar they receive from the taxpayers. They are using the smartest technology in their projects, and they are investing in their communities by reducing congestion, protecting the environment, and enhancing safety. In these tough economic times, the value of rapid and efficient highway construction gets magnified even more,” said John Horsley, AASHTO executive director.

    The Top 10 Nominated Projects by category are:

    On Time: Accelerated Delivery

    • Dial An Engineer: Maryland Department of Transportation, MD 32 at Burntwoods Road Project.
    • Corridor Updated in Half the Time: Delaware Department of Transportation, I-95 Mainline Widening Project.
    • Smart Bridge Technology: The Minnesota Department of Transportation (MNDOT), I-35W Minneapolis Bridge Replacement Project.
    • Preserving History: Louisiana Department of Transportation and Development (LADOT), Front Street Natchitoches Restoration Project.
    • Trimming 30 Minutes from Commute: North Carolina Department of Transportation (NCDOT), Clayton Bypass Project.

    On Budget: Enhancing Value

    • Improving International Connections: New York State Department of Transportation, I-86 Interchange Project.
    • Website Eases 3.8 Million Detours: California Department of Transportation (Caltrans), Fix I-5 Sacramento Project.
    • Two States Trim Time and Costs on New Bridge: Nebraska Department of Roads (NDOR), Yankton Bridge Project.

    Innovative Management

    • Safety First: The Michigan Department of Transportation (MIDOT), M-115 Clare County Improvement Project.
    • Technology Aids Urban Decongestion: Florida Department of Transportation (FDOT), 95 Express Miami Project.

    Last year, the first annual America’s Transportation Award Grand Prize went to the states of Virginia and Maryland for constructing the Woodrow Wilson Bridge, which spans the Potomac River on I-95 near Washington, D.C.

    After 55,500 on-line votes were cast, the People’s Choice Award in 2008 went to the state of Mississippi for the Bay St. Louis Bridge, near Biloxi. The original structure was destroyed by Hurricane Katrina.

    Learn more about the projects and the competition at www.americastransportationaward.org.

    If you thought $4/gallon was expensive, wait till you hear this! NPR’s Talk of the Nation brings you the visions of an energy starved world

    September 17, 2009 at 11:53 pm

    (Source: NPR’s Talk of the Nation)

    This evening I was listening to an interesting piece (click here to listen to the audio) on NPR’s Talk of the Nation hosted by Neal Conan.  The program’s guest was Chris Steiner, author of this book: $20 Per Gallon: How the Inevitable Rise in the Price of Gasoline Will Change Our Lives for the Better, who says our lives would be a lot happier and healthier if gas prices rose into the double digits.

    Cover of Christopher Steiner's book '$20 Gallon'

    Image Courtesy: NPR

    Last year, gas prices soared over four dollars a gallon and Americans responded by driving a hundred billion fewer miles than the year before. Right now, at $2.50 a gallon or so, things seem back to normal. But writer Christopher Steiner argues that’s a delusion. He thinks we need to prepare for life at six, 10, even 20 dollars a gallon, prices which will change a lot more than our driving habits. They will transform what we eat, where we live, and how we view the world. And while there will be losers, he believes the airline industry will largely disappear, for example, for the most part, he asserts our lives will be better.

    The following excerpt from his book paints a scary (and also good) picture:  Many people, quite understandably, don’t consider the implications of expensive gasoline so grand. The fact remains that the price of oil will inevitably rise, however. Two simple factors are responsible: first, we’re running out of oil (albeit slowly) and second, world demand will continue to rise for decades. We use six barrels of oil for every one we find. Half of the world’s petroleum comes from 3% of its oil fields — and those fields are old. The average age of the world’s 14 largest oil fields: 50 years, the exact age when most fields’ productions start an irreversible ebb. On the demand side, consider this: There are 1 billion people on the globe living what would be considered an American-style life, including ourselves. By 2040, that number will triple. The world’s burgeoning middle class will demand oil and it will get oil. Steady price increases are academic. Economics 101: Supply down, Demand up = higher prices.

    The changes to our society will begin at $6 per gallon and continue on from there, affecting things far beyond the kinds of cars we drive and how often we drive them. America’s obesity rate will fall. Mass transit will spread across the country. Plane graveyards will overflow. We’ll lose the option to cheaply travel by plane, but high-speed train networks will slowly snake state to state. Disneyworld will lock its gates, Las Vegas’ strip will shrink to half its size. Our air will be cleaner. Cities like Detroit, St. Louis, Pittsburgh and Milwaukee will revive at $12 per gallon, their streets rife with commerce, people and stores. The exurbs of America, where we’ve poured so much of our wealth during the last several decades, will atrophy, destroying the equity of those who held fast. Wal-Mart will go bankrupt at $14 per gallon and manufacturing jobs will return to the U.S. en masse. When gas reaches $16 per gallon, Michael Pollan will get the food world he lobbies for in The Omnivore’s Dilemma.

    Recently, NY Times has also reviewed Mr. Steiner’s work.  Writing about this NY Times review on his blog, Mr. Steiner says ” The Times neither praised the book nor panned it. The review proceeded as cautious and as neutral as would seem possible, with a bit of skepticism tossed in. It was reviewed in the Business Section, however, not in Styles or Books, so that may explain the stern pragmatism of the reviewer.”

    Here is an excerpt from NY Times review:  “The book’s arguments are sometimes overstated in hyperbolic prose. In the chapter about the end of the airline industry as we know it, it says that some companies will be “permanently torpedoed” by high gas prices. It warns that a “giant herd of people” will lose their jobs. And it says that our grandchildren will “undoubtedly gawp in awe” when we recount our childhood trips to Disneyland. Well, that’s something to look forward to in our old age.”

    If you are one of  those people who have already read his book, let us know what do you think.  Worth a buy??

    Click here to read the entire transcript from this interview.