Railroad News

Rail News Home Norfolk Southern Railway 7/28/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. today reported second-quarter 2021 financial results, which included second-quarter records for net income and diluted earnings per share, and all-time quarterly records for operating ratio (OR) and income from railway operations.The company’s net income rose 109% to $819 million, or $3.28 diluted earnings per share (EPS), from $392 million, or $1.53 diluted EPS, in the same quarter a year ago. Income from railway operations climbed 91% to $1.2 billion.The Class I's OR improved to 58.3% in the quarter — a new record — from 70.7% a year ago. Q2 railway operating revenue of $2.8 billion increased 34%, driven by a 25% increase in volume and a 7% increase in revenue per unit. Railway operating expenses totaled $1.6 billion, an increase of 11%."Our team met the challenge for the second quarter head-on, delivering another solid performance of sequential operating ratio improvement, driving meaningful productivity into our business as revenue and volume rebounded from last year," said NS Chairman, President and Chief Executive Officer James Squires in a press release. 

Rail News Home Norfolk Southern Railway 7/27/2021 Rail News: Norfolk Southern Railway
Norfolk Southern Corp. yesterday announced its science-based target to achieve a 42% reduction in Scope 1 and 2 greenhouse gas emissions (GHGs) intensity by 2034 from a 2019 base year.The commitment is another step in the company’s ongoing journey to build a more sustainable future, NS officials said in a press release.The Class I’s emissions reduction target has been approved by the Science Based Targets initiative (SBTi) and aligns with the goals of the Paris Agreement on climate change. Validation from the SBTi confirms that the company’s target is consistent with reductions required to keep warming to well-below 2°C above pre-industrial levels, NS officials said."Achieving our target will require continued investments in our locomotive fleet along with supplier engagement," said Josh Raglin, chief sustainability officer. "Our implementation of innovative technologies, sustainable operating practices and locomotive modernizations are part of our efforts to build a more sustainable transportation network."Locomotive fuel accounts for more than 90% of the railroad’s carbon emissions. NS set a fuel-efficiency goal as part of its 2015 strategic plan, targeting an 8.6% improvement by 2020. The company exceeded that goal with a 9.4% improvement, which resulted in savings of more than 130 million gallons of diesel and avoidance of about 1.3 million metric tons of emissions.NS' efforts to lower GHG emissions across the company include:
• $500 million of green bonds that recently were issued by the company to fund eligible green projects
• more than 700 locomotives that were retired in 2020, targeting older, less fuel-efficient models 
 
• a locomotive modernization program that involves converting older DC traction models to more reliable and efficient AC units, providing more pulling power with fewer locomotives

 • a program to equip locomotives with smart energy management technology that automatically matches horsepower to trailing tonnage and track terrain, maximizing fuel efficiency while using minimum horsepower 

 • a public-private partnership program to recycle older locomotives into low-emission “Eco” models to reduce emissions in urban communities on NS' network and enabling them to meet their Clean Air Act obligations 

• an initiative to replace diesel-powered overhead cranes with hybrid and fully electric cranes at intermodal facilities that's projected to reduce emissions at those terminals by approximately 75%.

Rail News Home Canadian Pacific 7/26/2021 Rail News: Canadian Pacific
Canadian Pacific today released its first comprehensive Climate Strategy, which charts a path to reduce greenhouse gas emissions, adapt operations to the physical risks of climate change and further position the Class I as a leader in the transportation sector's transition to a low-carbon future.Building on CP's Climate Change Commitment announced last year, the Climate Strategy outlines the company's approach to drive innovative climate action and a measured response to emerging climate-related risks impacting the rail sector, CP officials said in a press release.The Climate Strategy outlines CP's objectives across five strategic pillars: establishing a clear understanding of climate-related risk and opportunities; reducing the company's carbon footprint; adapting operations to the physical risks of climate change; integrating climate factors across the business; and engaging with stakeholders on climate action.To guide implementation of the Climate Strategy, CP has established two science-based emissions reduction targets that address 100 percent of CP's Scope 1 and Scope 2 emissions, and more than half of Scope 3 emissions. CP commits to reducing Scope 1, 2 and 3 GHG emissions intensity of its locomotives by more than 38% by 2030. Locomotive operations represent CP's largest source of emissions. To support decarbonization across all operations, CP also commits to reducing absolute Scope 1 and Scope 2 GHG emissions from non-locomotive operations by in excess of 27% by 2030."CP's Climate Strategy is ambitious, which we feel appropriately reflects the urgency of the fight against climate change. We look forward to collaborating with government, industry and research partners to create and test the new solutions required to achieve our targets," said CP President and Chief Executive Officer Keith Creel.CP's Climate Strategy, and supporting science-based emissions reduction targets, have been developed in alignment with the goals of the Paris Agreement and the Pan-Canadian Framework on Clean Growth and Climate Change, which seek to limit global temperature increases to well below 2°C.