Investments in freight rail would create thousands of green jobs

February 14, 2001 investments in America's freight rail system would create thousands of green jobs, improve the country's infrastructure, reduce dependence on foreign oil and lower carbon emissions, according to a new report released today by the BlueGreen Alliance and the Economic Policy Institute.

The report serves as a
guide for policy makers on sustaining and expanding the domestic freight rail
network. The report, titled "Full Speed Ahead: Creating Green Jobs Through
Freight Rail Expansion," shows that the expansion of freight rail in the U.S.
can create approximately 7,800 green jobs for every $1 billion of capital
invested. If this is expanded to include re-spending by freight rail and
supporting industry employees, between 12,300 and 26,600 American jobs would be
created or sustained per $1 billion invested.

"Over the past two
centuries, rail has helped the United States become the world’s leading
economic power," said David Foster, Executive Director of the BlueGreen
Alliance. "As we enter the new clean energy economy, now is not the time to
abandon such a profitable, clean and promising industry. It’s a winning
situation for everyone – thousands of green jobs are created and we can reduce
our dependence on foreign oil."

"This report affirms the
tremendous public benefits that are generated both by freight rail’s inherent
fuel efficiency and the industry’s commitment to reinvesting in the nation’s
rail network," said Edward R. Hamberger, President and Chief Executive Officer
of the Association of American Railroads.

In addition to reducing
carbon emissions and lessening the dependence on foreign oil, an investment in
America’s freight rails will keep the country economically viable in changing
times. The United States is expected to invest $150 billion in infrastructure
over the next decade, but the European Union has planned for $300 billion and
China has budgeted $200 billion in the same time frame.

Freight rail jobs are green
jobs, which are crucial to reducing carbon and saving energy in the
transportation sector. Over the past three decades, the industry has nearly
doubled the amount of goods it has shipped without increasing fuel consumption,
creating a fraction of the pollution of other modes of transportation. For
example, TTX Company, which is profiled in the report, has found ways to
prevent more than 2.5 billion empty miles per year, and save more than 167
million gallons of fuel annually.

"Freight rail represents a
significant opportunity to create good, green jobs while making our
transportation system more efficient and sustainable and also helping passenger
rail," said Carl Pope, Executive Chairman of the Sierra Club. "This report
shows that expanding freight rail will meet our goals of creating good jobs
while helping to reduce our dependence on oil."

In addition to providing
numbers and facts, the report makes a series of policy recommendations for
lawmakers, including tax credits for rail capital investments, "Buy American"
provisions and ensuring that the jobs created are not outsourced.

The report is available at http://www.bluegreenalliance.org/press_room/private_publications?id=0046