DM&E

Holman Jenkins in today's Wall Street Journal discusses how energy companies and shippers desperately need additional rail capacity such as the DM&E:

"Train in Vain?" September 6, 2006; Page A21

...

But utilities would rather lobby Washington for trivial rebates of transport fees than make a proactive investment in increasing rail capacity, as offered by the DM&E project. Indeed, if there's one defense for Mr. Schieffer's loan request, it's that without federal skin in the game, markets might conclude that Nimby lawsuits, eminent domain battles, environmental opposition and shipper campaigns to restore railroad regulation are reasons enough to steer clear of anybody's dream of a new railroad.

Meanwhile, some 124 new coal-fired power plants are on drawing boards around the country, and a new generation of container superships are starting to call at U.S. ports stuffed to the gunwales with consumer goods from Asia. Until recently, Mayo (and everyone else) didn't have to trouble themselves about how all this stuff would get delivered -- because the long-suffering railroad industry still had excess capacity.

That's no longer true, posing a bigger challenge than many yet realize to the economy's ability to keep growing.