Chittenden County

1
Chittenden County The Foreseeable Freight Trend
2
The Vermont Rail System Infrastructure
Inventory

• 126 Miles of rail line from Bennington to
  Burlington.
• 8 Miles of rail line from Burlington to Essex.
  Connects to NECR, on to Palmer, MA.
• 25 Miles of rail line from Essex to St. Albans,
  on to connect with CN Railway at the border.
• Not completely 286,000 lb. railcar
  capacity263,000 lb.

3
The Western Corridor ProjectOriginally
configured around a few key projects

• Relocation of the Rutland (and Burlington -))
  railyards, to open redevelopment opportunities in
  line with economic land use goals of both
  communities
• AMTRAK service from Albany, N.Y. to Burlington
  (via Bennington AND NOW ON TO Essex
  ABRB-E).
• Construction of rail spur in Middlebury to serve
  the calcium carbonate quarry, allowing for
  greater extraction, whilst reducing about 70,000
  trucks a year on US 7 in Brandon.
• A series of complementary roadway improvements
  along US 7 in Brandon, Pittsford, Rutland City,
  Rutland Town.

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4
Freight Forecast Freight Analysis Framework
(FAF, 2006)
VT Destined Freight is estimated to Double for
Trucks almost Triple for Rail in VT by 2035
Freight Shipments TO, FROM, WITHIN Vermont (in
Million Tons)
VT Destined Freight Shipments Via VERMONT PORTS
From CANADA (In Thousand Tons)
5
Chittenden County is a ConsumerEstimated annual
import/export - 4m tons 1.5m tons
Additionally -

• Freight Flows moving in, out, within Chittenden
  County are forecast to more than Triple (from 5.8
  to 20.4m tons) by 2020.
• Rail Represents only 8 of Freight Tonnage in
  Vermont.
• Western Corridor NOT completely at national
  standard 286,000 lb. railcar capacity.

6
ContainerizationTEUs

• Twenty-Foot Equivalent Unit (TEU)
• ISO containers used on all modes
• Come in 20, 40, 45, 48, 53 Most are 40,
  so are usually 2 TEUs per U.S. Truck.

7
Port of HalifaxAtlantic Gateway Project

• In 2005, the port saw 14 million metric tons of
  cargo
• This figure is said, at a minimum to double by
  2020, or much greater
• Atlantic Gateway Project enhances infrastructure
  international marketing of the Port
• A number of global factors will likely increase
  traffic (e.g. Panama Canal Expansion Project,
  etc.)

8
Port of HalifaxInvestments

• Two new super cranes installed 2007 (20m)
• Aggressive marketing campaign in Asia. MOUs with
  Suez Canal Authority Jeena Co. (Indias
  oldest freight forwarding firm).
• Extra capacity currently available at terminals.
  Capacity will be increased from an annual 900,000
  TEUs to 2 million!
• New 10m, 90,000 sq ft. Fastfrate LTL
  Intermodal terminal in Dartmouth.
• Logical Port of call for Canadian US Midwest
  freight offloading
• CN has on-dock, double-stack rail terminals,
  directly serving Montreal, Toronto, Chicago,
  Detroit

9
Port of HalifaxInvestments

• One of North Americas largest Autoports (100
  Acres), with Roll On/Roll Off capability.
  Halifax Autoport Terminal currently handles
  100,000 autos a year.
• The Fairview Cove Container Terminal deepening
  effort, completed in 2005.
• 5-Year, 100m capital investment project.

10
Post-Panamax Class Vessel2.5 Times
Cargo-Carrying Capacity of Panamax
Ultra Large Crude Carrier (ULCC) 415 m (about
1,400 ft. length) Enterprise Class Aircraft
Carrier 336 m (about 1,100 ft. length)
11
Port of HalifaxAdvantages

• Year-round natural ice-free, deep water port
  (55). Can accommodate the largest of
  post-Panamax ships.
• China Effect Trade is now driven by China
  India. One full day faster to Europe Asia (via
  the Suez Canal) than any other North American
  east coast port.
• Superb connection Rail, Marine, Air, Highway
  links to North American markets.
• Competitive with West Coast ports because it is
  not utilized at capacity and is congestion-free.
• By 2010 the post-Panamax fleet will be increased
  by 287 ships, with Transpacific Europe-Far East
  routes expected to absorb 167 of themThe
  remaining 120 will deploy here NY. (Gateway
  Strategy Development Initiative, 2006)

12
Port of HalifaxGrowth

• Based on current market-share assumptions and
  historic growth trends, Halifax will increase
  (from some 550,000 TEUs)
• - To full capacity in the base estimate by 2015
  (same year 3rd Set of locks would be operational
  in the Panama Canal)
• - Or to full capacity in 2009, in the highest
  estimate
• Talk of construction of an inland terminal or a
  third deepwater terminal within the Gateway
  Strategy Development Initiative

13
Halifax Other Efforts
New England Canada Express Short Sea Service

• Icelandic Eimskip - Started in Summer 2007
• Feeder Service from Halifax to New England Ports
  of Call
• Boston, MA., Portsmouth, NH., Portland, ME.
• 384 TEU container vessel calls on ports on a
  weekly (Fixed-day) Service

14
HalifaxWhat does this mean?
For the Northeast Asian U.S. East Coast Market
Share
US Intermodal System Route 61 Panama
Canal/East Coast Route 38 Suez
Canal/East Coast Route 1 Source Piers, AAR,
Autoridad del Canal de Panama (ACP) database
15
HalifaxWorld Standing
International Port Activity, 2006
Source Piers, Massport, Toronto Port Authority,
Saint John Port Authority, American Association
of Port Authorities (AAPA)
16
Halifax Other EffortsNY/NJ
Economics Affecting Freight Movement
The Beast of Kill Van Kull
NY NJ Harbor Deepening To 50 ft. Upper Harbor
of NY Bay to Newark Bay providing access to Port
Elizabeth and Port Newark. There are 15
construction contracts planned at a cost of
1.6b. Anticipated completion in Aug 2009
17
Halifax Other EffortsNY/NJ
18
Halifax Other EffortsNY/NJ
19
Halifax Other EffortsNY/NJ

• Kill Van Kull
• Rivers and Harbors Act of 1933 Authorized
  dredging to depth of 35
• 1987-1995 Dredging expanded to depth of 40-45.
• Current project to dredge to depth of 50

20
Halifax Other EffortsPanama Canal

• Panama Canal is Expanding Capacity
• Construction of 2 lock facilities One
  Atlantic-side, One Pacific-side.
• Excavation of new access channels to the new
  locks the widening of existing navigational
  channels.
• Deepening of the navigation channels and the
  elevation of Gatun Lakes maximum operating
  level.

Deepen/Widen Atlantic Channel
New Post-Panamax Channel
New Locks, 3 Basins per Chamber
Widen/Deepen Navigation Channel
Raise Gatun Lake Level by 0.5 meters
Widen/Deepen Culebra Cut
New Locks, 3 Basins per Chamber
New Pacific Approach for Post-Panamax Locks
Deepen/Widen Pacific Channel
21
Halifax Other EffortsPanama Canal
Panama Canal Expansion Project

• Started in Sep 2007 / Expected completion 2014
• Will double (2005) capacity by 2025
• Cost somewhere between 5-6b
• Primary Market is NE Asia-US East Coast

22
CanalsPanama v.s. Suez

• PANAMA 13,000 ships/year (5 World Shipping
  Traffic) v.s.
• SUEZ 17,000 ships/year (8 World Shipping
  Traffic)
• PANAMA 41depth v.s.
• SUEZ 68 depth (As of 2007)
• PANAMA 51 mile _at_ 9 hour journey v.s.
• SUEZ 100 mile _at_ 11-16 hour journey
• PANAMA Anticipated slowdown
• SUEZ Can handle any sized container ship
• PANAMA Series of 3 Locks
• SUEZ No Locks

23
Halifax Other EffortsWhat does this mean?
Economics Offsetting Freight Movement

• The US slowing economy growing inflation,
  leveling interest rates.
• Falling US dollar relative to foreign currency
  has decreased demand for imports.
• Share of U.S. imports moving over European
  Trans-Atlantic routes are falling.