After a week of raging protests in Beijing and the other major Chinese cities calling for measures to fight corruption, inequality, and pollution, the military moved to arrest Xi Jinping and release several high-profile dissidents from prison. In a statement, the military said it would schedule free elections to the National People’s Congress for the end of this year. Based on statements by leaders of the New Citizens’ Movement, the new government will prioritize building infrastructure and enacting regulations to fight pollution, adding that the measures passed by Xi had too many loopholes and did little to improve public health.
Sources within the transitional government say that the hukou registration system will be abolished in the coming days, as will the two-child policy. With rich cities like Beijing and Shanghai expecting a surge in internal migration, there is friction between urban middle-class protesters and migrants over future development policy. Protesters in Shanghai indicated that they would prefer local control over housing development and education policy. The degree of federalism is up in the air and will not be settled until after the election, but most of the freed dissidents believe that the new government should devolve substantial autonomy to the provinces.
Political leaders, including both freed dissidents such as Liu Xiaobo and CCP faction leaders within the National People’s Congress, have said they will work on anti-pollution measures, to be passed after the election. Environmentalist protesters have proposed a national cap on the purchase of new cars, akin to existing policies in Beijing, Guangzhou, and Shanghai, and stricter emission controls on cars. They have also proposed a national program to build more solar plants and retrofit apartments to be more energy-efficient in order to close coal plants; within Beijing, middle-class reformers identified with the political right have proposed ending government subsidies to coal heating.
In the near term, the largest cities plan to continue building out their subway networks at the same pace as before. Planners at the Beijing Subway and Shanghai and Guangzhou Metros said they expect passenger numbers to rise modestly as the abolition of hukou leads to higher population growth, but all three cities already have low car ownership rates, so replacement of car trips by subway trips is unlikely. However, in some other cities, where car ownership rates are higher today, planners expect higher rail traffic in the future. Because there already are plans for rapid expansion of subway service, it is unlikely any city will build out its system faster; however, some long-term plans without a timeline may be accelerated and built in the next decade.
There is some nationalistic element to the proposed infrastructure and environmental policies. Planners at China Railways have expressed dismay that Chinese passenger rail traffic density is not the highest in the world, but ranks second, after Japan. This is part of a broader split between democracy activists who are pro-Western, like Liu, and ones who are not and came to oppose the CCP out of recent concerns about economic and environmental problems. The latter activists take it for granted that China should reunify with Taiwan on its terms; some have proposed an undersea rail tunnel connecting Taiwan with the mainland.
But sources within the Japanese rail industry expressed some pessimism about the ability of the new democratic China to solve its pollution problems via better infrastructure. They note that Chinese urban train stations are poorly located, usually well outside city centers, and urban rail lines lack express tracks, limiting train speeds. Nearly all protesters oppose China’s use of eminent domain to clear areas for new development, making it hard to build more central train stations.
The transitional government said that it would welcome a global climate change agreement and that China would reduce its greenhouse gas emissions provided the rich industrialized countries committed to sharper reductions. Analysts within Europe and Japan believe that this proposal is aimed at the United States, which has substantially higher per capita emissions than the rest of the developed world, and is the world’s second largest emitter after China. A minority of anti-American protesters in China have proposed declaring trade war on the United States until it agreed to combat climate change, but the views of both the transitional government and most growing political factions are that there should not be any change to Chinese foreign policy, outside the issue of Taiwan.
A faction of protesters, currently planning to form a green party and contest the upcoming election, has proposed far-reaching taxes, investments, and regulations, intending to ban cars for non-emergency uses by 2025, and phase out all coal plants by 2025 and gas plants by 2035. Members of this faction have said that this would ensure Chinese supremacy in the realm of green technology, which China could then export to the United States, India, and industrializing African states as it sheds low-value added manufacturing industries. The majority of Chinese reformers do not support those measures, and it is unlikely the conservative factions within the CCP will agree to any further regulation. However, the upcoming green party is likely to be a key component of any reformist coalition, and substantial additional regulations stopping short of a ban can be expected.
At the beginning of the month, I published a piece in Voice of San Diego calling for medium-speed rail investment in the Los Angeles-San Diego corridor, centering electrification. This was discussed in a 500-comment thread on California HSR Blog, in which area rail activist Paul Dyson ripped into my plan, arguing (among other things) that electrification is costlier and less useful than I think. Instead of reopening the debate on that particular corridor, I want to discuss a more general set of guidelines to when rail lines should be electrified.
I haven’t said so in these exact words, but I think North American rail authorities and activists underrate electrification. As a result, I find myself persistently prescribing electrification and defending it when it’s already on the table, even as I attack other rail investments as wasteful. On social media and in blog comments I find myself having to constantly explain to people that no, a $20 billion New York regional rail plan should not use dual-mode locomotives but rather spend $250 million on New Jersey-side electrification.
A year and a half ago I wrote about why small, dense countries should fully electrify. The reasons laid out in that post are included in the guidelines below, but there are some additional circumstances justifying electrification.
Narrow stop spacing
Each train has a stop penalty – a total amount of time it loses to making each stop. The penalty is based on dwell time, line speed, and train acceleration and braking performance. If the line speed is 130 km/h, then the penalty excluding dwell time is about 35 seconds for a FLIRT and 80 seconds for a diesel GTW. This 45-second difference per stop is the same if there is a stop every 3 km or if there is a stop every 50 km.
Stop spacing is narrower on commuter lines than on intercity lines, so electrification usually starts from commuter rail. The first mainline electrification in the world was in Paris on the commuter lines serving Gare d’Orsay; subsequently the commuter lines in Paris, London, Tokyo, Berlin, New York, Philadelphia, and other major cities were wired. In many of these cases, commuter rail was electrified decades before intercity mainlines: for example, Japan started electrifying Tokyo’s innermost commuter lines in the 1900s and completed them in the 1920s and early 30s, but took until 1956 to electrify the first intercity line, the Tokaido Line.
However, in some dense regions, even the intercity lines have many stops. Cities in Israel, Belgium, the Netherlands, and Switzerland are just not very far apart, which blurs the distinction between regional and intercity lines somewhat. Switzerland is all-electrified, and my post from 2015 argued that the first three should be, too. In the US, there are specific regions where continuous sprawl has led to the same blurring: the Northeast Corridor, Southern California, Central and South Florida, New England. All are characterized by high population density. New England has closely spaced cities, whereas the LA-San Diego corridor and corridors within Florida have so much sprawl that there have to be several stations per metro area to collect people, reducing stop spacing.
Frequent sharp curves between long straight segments
Electric multiple units (EMUs) can make use of their high acceleration not at stations, but also at slow restrictions due to curves. They are also capable of higher cant deficiency than top-heavy diesel locomotives, since they have low center of gravity, but the difference for non-tilting trains is not so big. A uniformly curvy line does not offer EMUs much advantage, since all trains are slow – if anything, the lower the top speed, the less relevant acceleration is.
The big opportunity to accelerate is then when a mostly straight line is punctured by short, sharp curves. Slowing briefly from 130 km/h to 70 km/h and then speeding back up costs a FLIRT on the order of 15 seconds. A diesel train, whether powered by a locomotive or by diesel multiple units (DMUs), can’t hope to have the required power-to-weight ratio for such performance.
EMUs’ better acceleration profile makes them better-suited for climbing hills and mountains. Modern EMUs, especially low- and medium-speed ones optimized for high acceleration, can effortlessly climb 4% grades, at which point DMUs strain and diesel locomotives require helper engines. When the terrain is so mountainous that tunnels are unavoidable, electric trains do not require ventilation in their tunnels. As a result, some long rail tunnels were electrified from the start. The combination of uphill climbs and tunnels is literally toxic with diesels.
Cheap, clean electricity
Electrification has lower operating costs and lower greenhouse gas emissions in areas where the electricity is powered by cheap hydro or geothermal power than in areas where it is powered by fossil fuels. Switzerland became the only country with 100% rail electrification because it had extensive hydro power in the middle of the 20th century and was worried about relying on coal shipments from Nazi Germany during the war.
This is especially useful in far northern countries, like Sweden and Canada, which have low population density and little evaporation, leading to extensive hydro potential per capita. Despite its low density, Sweden has electrified about two thirds of its rail network. In the US, this is the most relevant to the Pacific Northwest.
But in the future, the falling cost of solar power means that clean electricity is becoming more affordable, fast. This favors electrification in more places, starting from sunny regions like most of the US.
Small installed diesel base
A rich or middle-income country building railroads for the first time, or expanding a small system, needs to build new yards, train maintenance crews, and procure spare parts. It should consider electrifying from the start in order to leapfrog diesel technology, in the same manner many developing countries today leapfrog obsolete technologies like landline phones. In contrast, a larger installed base means electrification has to clear a higher bar to be successful, which is why Japan, France, and other major core networks do not fully electrify.
The US situation is dicey in that it does have a lot of diesel equipment. However, this equipment is substandard: reliability is low, with mean distance between failures (MDBF) of about 45,000 km on the LIRR compared with 680,000 on new EMUs (source, pp. 30-31); the trains are very heavy, due to past FRA regulations; and the equipment is almost universally diesel locomotives rather than DMUs, which makes the acceleration problem even worse than it is for GTWs. Total acceleration and deceleration penalty on American diesel locomotives is not 80 seconds but 2-2.5 minutes.
Because North America underrates electrification, some people who self-identify as forward-thinking propose DMUs. Those require new maintenance regimes and facilities, creating an entire installed base from scratch instead of moving forward to EMUs.
Globally, the installed diesel base for high-performance lines is vanishingly small. The technology exists to run diesel trains at more than 200 km/h, but it’s limited in scope and the market for it is thin.
Through-service to electric lines
Whenever a diesel line is planned to run through to an electric line, it should be a prime candidate for electrification. Dual-mode locomotives exist, but are heavy and expensive; dual-mode multiple units are lighter, but are still boutique products.
This is especially true for the two biggest investments a network can make in passenger rail: RER tunnels, and HSR. RER tunnels involve expensive urban tunneling. When a kilometer of urban subway costs $250 million and a kilometer of catenary costs $2 million, the economics of the latter become stronger. Not to mention that RERs are typically short-hop commuter rail, with frequent stops even on the branches. HSR is a different beast, since it’s intercity, but the equipment is entirely electric. Running through to a diesel branch means towing the train behind a diesel locomotive, which means the expensive HSR traction equipment is idle for long periods of time while towed; this is at best an interim solution while the connecting legacy line is wired, as in the line to Sables d’Olonne.
Nearly complete electrification
Areas where the rail network is almost completely electrified benefit from finishing the job, even if individually the diesel lines are marginal candidates for electrification. This is because in such areas, there is a very large installed electric base, and a smaller diesel base. In small countries the remaining diesel base is small, and there are efficiencies to be had from getting rid of it entirely. This is why the Netherlands and Belgium should finish electrification, and so should Denmark and Israel, which are electrifying their main lines.
This is somewhat less applicable to larger countries, such as Sweden, Poland, and especially Japan. However, India is aggressively electrifying its rail network and planning even more. Note that since networks electrify their highest-trafficked lines first, the traffic can be almost completely electrified even if the trackage is not. For example, Russia is about 50% electrified, but 86% of freight tonnage is carried on electric trains, and the share of ton-km is likely higher since the Trans-Siberian Railway is electrified.
This also applies to networks smaller than an entire country. Commuter rail systems that are mostly electrified, such as the LIRR, should complete electrification for the same reason that mostly electrified countries should. In New England and Southern California, regional rail electrification is desirable purely because of the acceleration potential, and this also makes full electrification desirable, on the principle that a large majority of those two regions’ networks have enough potential traffic to justifying being wired without considering network effects.
Every place – a country, an isolated state or province, a commuter rail system – that is at least 50-60% electrified should consider fully electrifying. The majority of the world that is below that threshold should still wire the most important lines, especially regional lines. Capital-centric countries like Britain and France often get this wrong and focus on the intercity lines serving the capital, but there are low-hanging fruit in the provincial cities. For example, the commuter rail networks in Marseille, Lyon, and Bordeaux are almost entirely electrified, but have a few diesel lines; those should be wired.
In North America, electrification is especially underrated. Entire commuter rail networks – the MBTA, Metra, Metrolink, MARC/VRE, GO Transit, AMT, tails on the New York systems – need to be wired. This is also true of short-range intercity lines, including LA-San Diego, Chicago-Milwaukee, Boston-Portland, Toronto-Niagara Falls, and future New York-Scranton. It is important that good transit activists in those regions push back and support rail electrification, explaining its extensive benefits in terms of reliability and performance and its low installation cost.
Following plans by the government of Norway to ban cars fueled by petrol or diesel by 2025, several other countries in Europe are formulating similar programs to phase out fuel-powered transportation. Moreover, sources close to the European Parliament say that once multiple member states pass such a ban as is expected later this year, the European Union will attempt to enforce these rules throughout its territory.
In Sweden, the office of Åsa Romson, minister for the environment and co-spokesperson for the Green Party, released a statement saying that a ban on the internal combustion engine is a necessary step to reduce pollution and carbon emissions. In Sweden, only about 3% of electricity production comes from fossil fuels, and plans made by the Persson cabinet in 2005, Making Sweden an Oil-Free Society, already call for a phaseout of the use of oil for heating. The Löfven cabinet has nowhere else to cut in its program to make Sweden a carbon-neutral society by 2050. The Social Democrats-Green minority government is expected to work with the more moderate parties in the opposition Alliance; the Centre Party has already endorsed the move, but the Liberals have yet to make a statement.
In France and Germany, the ban is expected to be far more contentious. Auto manufacturers in both countries have condemned the moves by their respective governments to ban the internal combustion engine, saying that it would make the economy less competitive. European automakers have lagged behind Japanese and American ones in both hybrid and all-electric car technology, as conventional European petrol and diesel cars already have high fuel economy. In response to so-called range anxiety, in which an electric car’s limited range may leave the driver stranded on the motorway, the Hollande administration is expected to pair the proposed phaseout with national investment into charging stations as well as additional investment into TGV lines, to make it easier to travel long distances in France without a car.
Demands by BMW and Volkswagen for Germany to commit to spending money on R&D for improved battery range and charging and battery swap stations on the highway network have run into budgetary problems. While Chancellor Angela Merkel is reported to be interested in implementing a phaseout, in order to attract Green support into a possible future grand coalition and reduce EU dependence on oil imports from Russia, Finance Minister Wolfgang Schäuble has openly rejected any package that would raise the budget deficit, and the allied Christian Social Union has rejected the proposed ban on principle. Opposition from far-right populist parties, including the Alliance for Germany (AfD) and France’s National Front (FN), is likely to be significant, and sources close to Hollande and Merkel say that both have ruled out tax increases to pay for the program.
In France the calls for a phaseout of the internal combustion engine are especially loud in the Paris region, where high levels of particulate pollution from diesel vehicles led to recent restrictions on car use. The mayor of Paris, the Socialist Anne Hidalgo, previously proposed to ban diesel vehicles from the city entirely, and has endorsed the state’s plans to phase out fuel-powered vehicles, adding that given Paris’s pollution crisis, a local ban on diesel vehicles should be implemented immediately. The president of the regional council, Valérie Pécresse of the Republicans (LR), is said to support the phaseout as well, and to push LR behind the scenes not to oppose it. Conversely, opposition from FN is especially acute. The party leader, Marine le Pen, quipped that France would not need any additional reductions in greenhouse gas emissions if it had not taken in non-European immigrants since the 1960s, and noted that the immigrants are especially likely to settle in Paris, where the problems are the most acute.
Elsewhere in Europe, Belgium, Switzerland, and the Netherlands are said to be considering a phaseout by 2030. Within Belgium, Saudi support of mosques preaching radical interpretations of Islam is said to have influenced the country’s liberal parties, the Francophone Reformist Movement (MR) and the Flemish Liberals and Democrats (VLD), to support a phaseout. However, the Flemish nationalist parties remain opposed, and the New Flemish Alliance (N-VA) issued a statement saying that this solution may work within Brussels but is inappropriate for Flanders. In contrast, the Netherlands is expected to pass the phaseout without any political problems. In Switzerland, a referendum is planned for next year, and early polling suggests that it is supported by 55-60% of the population.
Governments outside Europe are said to be watching the development closely, especially in France and Germany, which are perceived as more reliable bellwethers of European opinion than Sweden. In Japan, home to the world’s top-selling electric car, the Nissan Leaf, political support for a phaseout appears high. Prime Minister Shinzo Abe has called climate change a “defining issue of our time,” and is working on a national infrastructure plan. Sources close to Abe say it will pair subsidies for so-called city cars, short-range electric vehicles, with investments into the country’s rail network outside major metropolitan areas, to make it easier for people living outside the biggest cities to travel on public transport.
In the US, both the Obama administration and Hillary Clinton’s presidential campaign refused to comment, saying that it is an internal European affair. However, sources close to the administration say that it is already planning to use the Environmental Protection Agency’s executive power to restrict the sale of new fuel-powered cars to emergency needs. The sources speculate that an executive order is planned for shortly after the presidential election this November, provided Clinton wins, in order to avoid creating backlash among key swing constituencies, including the automakers and the exurban lower middle class. Donald Trump’s presidential campaign’s response is unprintable.
Cairo is a dense megacity, without the infrastructure such cities require for high living standards. The city proper, according to Wikipedia, has 10 million people, living at a density approaching 20,000 per km^2, and the metro area has 20 million. With a subway system fit for a city a tenth its size, Cairo is heavily motorized for its income level, congested, and polluted. Despite high construction costs, urgent investment in public transportation is required. Ignoring this need, the current military government has just announced plans to build a new capital outside the city, eventually to house 7 million people, with all the public monuments of a planned city, at a cost of $300 billion (exchange rate dollars, not PPP), about the same as Egypt’s annual GDP. The first phase alone will be $45 billion.
Cairo itself is already suffering from neglect and disinvestment. There are 2 million cars in the city. This is enough to cause so much traffic congestion it costs Egypt 4% of its GDP. Cairo’s air pollution is legendary: pollution levels are akin to smoking a pack of cigarettes per day. At least as of 1997, lead pollution caused by cars using leaded gasoline reduced Cairene children’s IQ by 4 points. The poor transportation options have led to a housing crunch, forcing half a million people to live in a historic necropolis as squatters.
The Cairo Metro would be a solution to these problems to a large extent, but is very small relative to Cairo’s size: it has 3 lines, totaling 78 route-km. Other cities of comparable size have many hundreds of route-km of urban rail, with a handful of exceptions infamous for their sprawl (such as Los Angeles) or pollution (such as Sao Paulo). Despite its small size, the Cairo Metro gets about 1.6 billion passengers per year, by far the highest number of passengers per route-km in the world, nearly twice as high as on the legendarily overcrowded Tokyo subway. Cairo has high construction costs, but in exchange rate dollars they only amount to about $130 million per km; a fully underground expansion of the subway to 400 km, somewhat more than the length of New York’s subway lines and less than that of Beijing and Shanghai’s, would cost about $40 billion, less than the cost of the new capital’s first phase alone. This is on top of all other possible infrastructure investments Egypt should consider: sanitation, sewage, water treatment, electrification, hospitals, schools, the Suez Canal. I bring up the Metro since so many of Cairo’s pressing problems would be substantially reduced if it had the capacity to transport a large share of the city’s population.
The problem is that the Egyptian government’s first priority is not to serve the needs of the Egyptian population. It is an authoritarian military government; it is not accountable to the broad public. I bring this up, because it’s a necessary check on things I have said in the past, attacking local American governance as authoritarian. Andrew Cuomo and Chris Christie have the power to overrule useful spending bills and cause traffic jams in cities run by political opponents. Abdel Fattah al-Sisi has the power to jail political opponents without trial, and execute them by the hundreds after show trials.
Autocrats love planned cities, for two reasons. First, planned cities are monuments to their greatness, lasting long into the future. The people the autocrats trample will be forgotten. Tourists visit the Taj Mahal, and not museums commemorating the churches and temples Shah Jahan destroyed. They visit the Great Wall of China, and not any commemoration of the million-odd people who died in its construction. They visit the Old City of Jerusalem, while nobody commemorates any of the locals Herod taxed to build its monuments – even Judaism only commemorates the destruction of the Temple and the beginning of the Diaspora, generations later. Autocrats know this. Even in antiquity, they knew monuments would make them more famous. And even in modern democratic regimes, politicians like signature initiatives that have their names on them; going back to Andrew Cuomo, his proposed Queens convention center is a typical example. But Cuomo still faces some democratic checks and balances. Sisi does not.
And second, planned cities can be built in ways that enhance social control. City Metric compares the new planned capital with Naypyidaw, Burma’s capital, built in the era of military rule to replace Yangon. Purpose-built capitals can be (and are) built around the needs of the national elite, keeping the poor out of sight. They have street and building design plans that make it easy to bring in the military to quell riots: wide streets, buildings that do not touch, no central square where protests could happen. They also disallow squatters, without going through the difficult and controversial move of evicting squatters from the preexisting city. One rhetorical question I have seen on Twitter is, where will this city’s Tahrir be? An article on Cairobserver doesn’t make this exact argument, but does note that this plan disinvests in what will still remain Egypt’s largest city, and could only come about as a result of Egypt’s complete lack of democracy.
One of the bigger influences on my views of democracy is Brad DeLong and Andrei Shleifer’s paper from 1993, Princes and Merchants. I do not fully agree with the point they make, but one of the key components of it, on the spending priorities of an absolute ruler, is crucial to understanding the benefits of democracy. Per DeLong and Shleifer, absolutism chokes economic growth, since the absolute ruler will overtax the economy to maximize revenue. One may ask if actually, hereditary rulers would want to stimulate more economic growth in order to bequeath a stronger kingdom to their heirs. DeLong and Shleifer answer that no: even with clear rules of inheritance, succession wars are so common that kings have to constantly be on the guard against rebellion to make sure their heirs get to inherit anything.
For Sisi, it is perfectly rational to spend so much money building a capital city that would make an uprising against him less likely. The money is not going to come from his pocket, but from the pockets of people he need not care about too much – the Egyptian people. The personal benefits to Sisi are invaluable: Sisi’s two predecessors, Mohamed Morsi and Hosni Mubarak, were both overthrown and immediately charged with crimes, for which they were guilty (under Sisi’s influence, Mubarak was exonerated from most). Why not remove himself and the apparatus of the Egyptian state from the city where they were overthrown?
When I talk of infrastructure democracy in democratic first-world countries, I complain about (much) smaller versions of this exercise. One could reason with a democratic Egyptian government that there are better uses of the money in Cairo itself. One cannot reason this way with a military government. The same is true of the soft authoritarianism found in governments with a democratic deficit, from the European Commission to local American governments. Their power is ultimately limited by other layers of government, which are more transparent, and they are incapable of killing off political opponents, but they still do not have to listen to the people they impact, leading to decisions that are at times obviously ridiculous. Egypt’s new capital is this autocracy, taken to its logical end. A dictator, of the kind who the infrastructurists might praise as someone who can cut through the red tape and gets things done, is spending the country’s annual GDP on a plan to disinvest in the capital and build a monument to himself and his regime from scratch.
Last month, California made a budget deal for the formula that would be used to distribute its cap-and-trade revenues. The state’s cap-and-trade bill does not deed the money to the general budget but to a separate account, to be distributed based on a variety of goals including subsidies to programs that reduce greenhouse gas emissions. The recent deal is to give most of the money to transportation (including transit-oriented development): this year the budget gives $600 out of $850 million to transportation (see PDF-p. 6 here), of which $250 million will go to high-speed rail, and according to an informational hearing the long-term deal gives 80% of revenues to transportation, including 15% to high-speed rail. Transit bloggers who are not in the process of moving across oceans covered the issue last month as the deal was made: Streetsblog wrote about the plan, Robert Cruickshank wrote multiple times in support of the decision, and Bruce McFarling explained how HSR’s projected emissions reductions should entitle it to a share of the cap-and-trade proceeds.
In reality, although it’s a good thing that California HSR is getting funded, it’s a bad way of funding it, betraying both environmental incompetence and political mistrust. The basic problem is that the HSR project is not going to reduce emissions enough to justify 15% of the pot, nor is transportation such a big share of California’s emissions inventory to deserve 80%: it accounts for only 37% of statewide emissions. Electricity, and related sources of emissions such as building heating and industrial emissions, get far less than their share of emissions.
Bruce’s post runs the numbers on HSR, notes that the projections are currently $250-400 in construction costs per ton of CO2 reduction, and proposes that if cap-and-trade results in a carbon cost of $75 per ton then this justifies using the revenues for 20-35% of the cost of HSR. The projected revenue from cap-and-trade is a range whose top end is $5 billion statewide, corresponding to about $11 per metric ton; at this level, assuming HSR saves $250/t-CO2 means it should get 4.4% of its funding from emissions reduction, or (at the current cost of $53 billion in constant dollars) about $2.3 billion over the lifetime of the program. If the revenue is indeed $5 billion a year, this spending level is projected to be reached in 3 years.
For some evidence of what the state is really doing, consider how the deal comments on each share of the funding. The informational hearing details the investment strategy as follows:
25% for a permanent source of funding for transit operations, distributed based on greenhouse gas criteria.
20% for affordable housing and miscellaneous urban planning goals (including TOD), of which at least half must be for affordable housing (including TOD, again); the money is to be distributed based on “competitive GHG performance.”
15% low-carbon transportation, based on both long-term clean air and GHG goals.
13% energy, including electricity and building efficiency.
7% natural resources, waste diversion, and water projects.
5% “new or existing” intercity rail, based on GHG criteria.
Note that internally to four categories, comprising 65% of the total funds, the hearing mentions greenhouse gas criteria. In three out of the four, comprising half of the funds, the hearing implies that the decision of how to distribute the funds will be based on competitive grants according to which project reduces emissions the most.
The key point here is that the state has effectively said what the best way is to ensure the spending side of cap-and-trade will reduce emissions optimally: projects will compete for scarce funding based on greenhouse gas criteria. Once it has made the political decision to distribute funds by a formula that disproportionately goes to transportation, it has no objection to using greenhouse gas criteria internally to each category. The problem is that the transportation projects in general and HSR in particular would never make it out of a grant process based on such criteria if they were not shielded from competition with non-transportation priorities.
There are two legitimate ways to distribute funds coming out of an externality tax, which is what cap-and-trade really is. One is to let the tax side do the work of reducing impact, and put the money into the general budget. This is common practice for most developed countries’ fuel taxes (though not the US’s). In this approach, HSR would compete with all of the state’s other budget priorities. If the state wanted to reduce other taxes against the cap-and-trade funds rather than raise spending, it could. If it wanted to spend the money on unrelated things, such as education, it could as well. There already is a more or less open and democratic budget process for this.
The other way is to reduce all political discretion, and distribute the funds based entirely on greenhouse gas criteria, without breaking the money into categories. The state seems to prefer this way, judging by its use of this process within each category. With other externality taxes there is another option, of giving the money directly to victims of the externality, e.g. spending cigarette taxes on lung cancer treatment; however, the bulk of damage caused by climate change is to developing countries, and spending cap-and-trade revenues on targeted aid to vulnerable developing countries is politically unacceptable.
The state’s hybrid approach is effectively a slush fund. High-level politicians, including Governor Jerry Brown, want to build a visible legacy, and HSR is far more visible than making household appliances consume less electricity. Emissions reductions are secondary to this concern. They’ll be happy to make their legacy a project that reduces greenhouse gas emissions, but they have no quantitative preference for projects that reduce emissions more than others. On the contrary, when they pull strings, they might even make decisions that make these projects less environmentally beneficial: the decision to connect Los Angeles to Bakersfield via Palmdale rather than directly has no technical merit, and judging by LA County’s support appears to be motivated by concerns for development in the Palmdale area. As the incremental cost of going through Palmdale is about $5 billion, nearly 10% of the HSR cost, the result is that the state is going to spend a substantial amount of cap-and-trade money on spurring more development in the High Desert exurbs.
Needless to say, when the cap-and-trade bill was passed, it did not state or even imply that the state could use the money to spur more development in the exurbs. The bill did not adopt a GHG-only approach, but listed several additional goals, none of which included transportation. Chapter 1, Part 2, paragraph h states,
It is the intent of the Legislature that the State Air Resources Board design emissions reduction measures to meet the state wide emissions limits for greenhouse gases established pursuant to this division in a manner that minimizes costs and maximizes benefits for California’s economy, improves and modernizes California’s energy infrastructure and maintains electric system reliability, maximizes additional environmental and economic co-benefits for California, and complements the state’s efforts to improve air quality.
There is an explicit mention of air quality, and explicit mentions of energy and electricity, which are only getting 13% of the funding despite accounting for 54% of emissions. Elsewhere the list of legislative intents includes vague terms such as technological leadership, but the only explicit mention of transportation in the bill is in paragraph c, which says that historically California provided leadership on several environmental issues, including emissions limits on cars as well as energy efficiency and renewable energy.
However, the cap-and-trade bill is older than the current administration, and the political priorities have changed. Since a regular budget process giving HSR the money it needs would run into opposition from competing priorities, it’s best to raid a new source of revenue, one without legislative inertia or established supporters directing the money to more useful purposes.
Hence, a slush fund.
Over at Pennsylvania HSR, Samuel Walker reminds us that the dominance of coal for US freight traffic slows down passenger trains, and this has a social cost in addition to the direct costs of coal mining and burning. But another post of his, regarding cant deficiency, suggests more problems coming from mixing modern passenger trains with very heavy freight. Coal trains slow all other traffic in three different ways, of which just one is the conventional schedule conflict, and even that means more than just slowing down intercity trains.
Schedule conflict reduces not just speed, but also span and punctuality. The Northstar Line in Minnesota shares track with BNSF’s Northern Transcon; since the line is freight-primary, there’s no room for off-peak service, and passenger trains can’t extend to the line’s natural terminus in St. Cloud, not without constructing additional tracks. Similarly, in Houston, plans for a commuter line to Galveston included peak-only service from the start.
Second, independently of scheduling, slow trains force faster trains to slow down by limiting the amount of superelevation that can be used. As a reminder: on curves, they bank the track, with the outer rail above the inner rail, to partly counter centrifugal force. If they do not cant the train enough, there’s cant deficiency; if they cant too much, there’s cant excess. Although there are strict limits for cant excess (in Sweden, 100 mm, or 70 on tighter curves), stricter than for cant deficiency (150 mm for a non-tilting passenger train, give or take), technically commuter trains could safely run at higher cant excess; however, for freight trains, high cant excess is unsafe because loads could shift, and the higher axle load means trains would chew up the inner track. Very heavy trains first require the track to have a lower minimum speed, and second have an even more limited cant excess because of the damage they’d cause to the track (about 2″, or 50 mm, in US practice). Walker links to a US standard guideline that uniformly assumes 3″ cant; greenfield high-speed lines go up to 180-200 mm.
And third, heavy freight trains damage tracks regardless. Coal trains also limit the amount of revenue the railroad gets out of each train, leaving limited money for maintenance, and are not time-sensitive, giving railroads no reason to perform adequate maintenance. To compensate, industry practices have to be less than perfect: cant and cant deficiency are less than the maximum permitted by right-of-way geometry and minimum speed, and freight railroads require barriers between their track and passenger track to protect from inevitable freight derailments. Even then the US safety level is well below what’s achieved anywhere else in the world with trustworthy statistics.
Of course, coal provides a great boon to the freight railroads. It’s a captive market. The railroads could price out coal and focus on higher-value intermodal traffic. Some of the lines that already focus on intermodal traffic are friendlier to passenger service, such as the FEC.
However, realistically, the end of coal is only going to come from environmental regulations. Those same regulations would apply to oil, inducing a mode shift from trucks to rail. The coal trains that would stop running would be replaced by trains carrying higher-value goods. The details depend on what the purpose and kind of environmental regulations are, but today’s environmental movement is heavily focused on climate change and not as concerned with local environmental justice, so loss of coal traffic due to a high carbon tax or local air pollution tax, both of which would also affect oil and gas, is much likelier than loss of coal traffic due to restrictions on mountaintop removal and air quality regulations at mining sites, which would not. (Of course oil causes plenty of damage to the biosphere, but the mainstream environmental movement is much more concerned with effects on humans than on other organisms.)
The political issue at hand, besides the easy to explain but hard to implement matter of avoiding catastrophic climate change, is what freight railroads are used to. Their entire business model is geared toward relatively low-value goods. A steep carbon tax is a risk: it should raise their mode share of total value of goods transported, which is currently 4% (see also figure 4.3 here), but it would come from a new set of goods, with requirements and challenges different from those of the current mix. The railroads would have to reintroduce fast freight, which most haven’t run in decades, and refine it to deal with the needs of shippers today. It’s not only a headache for the managers, but also a substantial risk of failure – perhaps rival railroads would be able to get all the traffic because they’d adapt to the new market faster, perhaps shippers would change their factory placement to move goods over shorter distances, perhaps they would not be able to cope with the immediate increase in fuel costs, etc.
Because of this, freight railroads may end up fighting a policy that would most likely benefit them. Although they represent a critical part of an emission reduction strategy, and are all too happy to point out that they consume much less fuel than trucks, fuel is a major cost to them, and coal is big business for them. These are not tech startups; these are conservative businesses that go back to the 19th century. Heavy coal trains then add a political cost as well: they help turn an industry that could be a major supporter of climate change legislation neutral or hostile to the idea.
Railvolution reports FTA numbers that say the average CO2 emissions of the New York City Subway are 0.17 pounds per passenger-mile (48 grams per passenger-km). That’s the equivalent of 114.6 passenger-mpg of gas, if you prefer to think in those terms. The presentation gives average seat occupancies, which we can also confirm with the NTD; it works out to about 4 car-mpg of gas. Other agencies can have somewhat different numbers, based on train efficiency and especially the local sources of power generation, e.g. BART has very low emissions coming entirely from the fact that the Bay Area has ample hydro power resources.
New York’s emission number, 4 mpg, may be familiar to you as roughly the emission-efficiency of regional diesel trains. Per ton of car mass the regional diesel trains do slightly better, since the regional train in question weighs 40 tons vs. 33-39 for New York’s subway cars, but this comes from making fewer stops. At agencies with very dirty power generation, such as the Chicago L, and even ones without very dirty power, such as the energy-hungry Washington Metro, the numbers are even lower, even though they’re electric and the regional diesel trains are not.
What we see is then that railroad electrification does not add too much to fuel economy. The question is then why the situation for cars is so different. The Nissan Leaf’s EPA-rated fuel economy equivalent rating is 99 mpg – almost as good as the New York City Subway, better than nearly all subway systems in the US. But if we try to break it down based on energy consumption, we get other numbers; the EPA just massaged the numbers to make plug-in hybrids look good.
The Leaf’s energy efficiency is 0.34 kWh per vehicle-mile, pardon the mixed units; the FTA’s numbers for major US subways range from 0.186 kWh per passenger-mile in high-seat-occupancy New York to 0.388 in low-seat-occupancy Chicago. This is not 99 mpg, unless one uses a fairly clean mixture of fuels; with the New York mixture, it’s 63 vehicle-mpg. So right off the bat, the official numbers underestimate the Leaf’s CO2 emissions by 36%, and overestimate its CO2 efficiency by 57%.
But even that doesn’t take care of inefficiencies in generation. Well-to-wheels, plug-in electric cars have about the same emissions as regular hybrids. This confirms the rough numbers we’ve seen from trains. The Tesla Roadster, a very fuel-efficient car, gets even better energy-efficiency even wells-to-wheels, but it also has much lower electricity consumption, and to get the right numbers it assumes electricity is generated from natural gas rather than coal.
Bear in mind, all of this assumes certain things about the grid mix. At the current US grid mix, on average electrification does not impact carbon emissions. Of course, since people need electricity for reasons other than transportation, any regime in which carbon emissions fall is one in which electricity becomes lower-carbon, and this would tilt the field in favor of all-electric vehicles, both cars and trains.
So, why electrify, if there’s no carbon emission benefit, why electrify? Two answers: air pollution, and, for trains, performance. Electric trains outperform diesel ones, and also cost less to operate in terms of both energy and maintenance. But electrification should be sold only on grounds that are in fact correct.
A pair of economists at Economics for Equity and the Environment (E3) have just released a study positing that the social cost of carbon is far higher than previous estimates, by up to an order of magnitude. The official estimate used by the US government is $21 per metric ton of CO2 as of 2010, and various estimates go up to about $100-200, e.g. the Swedish carbon tax is 101 Euros per ton, and James Hansen recommended $115 per ton. In contrast, the E3 study’s range, using newer estimates of damages, goes up to $900 per ton of CO2 as of 2010, escalating to $1,500 in 2050, when the discount rate is low and the price is based on a worst case scenario (95th percentile) rather than the average.
One should bear in mind that the discount rate used to get the high numbers is 1.5%, in line with what was used by the economists at Bjorn Lomborg’s Copenhagen Consensus to arrive at the conclusion that climate change mitigation was a waste of time. It’s not a radical estimate, although some commentators have wrongly confused it with zero discount rate; it’s in line with the long-term risk-free bond yields. Even using average rather than worst-case damages (but still averages coming from the newer, higher estimates) would give a carbon tax of $500 as of 2010, escalating to $800 by 2050.
The carbon content of gasoline is such that a $900/ton tax would be almost to $8 per gallon of gasoline, or $2 per liter. For diesel, make it $9 per gallon. Good transit advocates are engaging in fantasy if they think this, even together with other costs such as air pollution, would eliminate driving; however, it would severely curtail it, inducing people to take shorter trips, switch some trips to public transportation, and drive much more fuel-efficient cars. All three are necessary: not even in Switzerland has the transit revival gotten to the point of abolishing the car. However, the current US car mode share – 86% for work trips – is unsustainable and has to go down under any scenario with a high carbon tax.
More intriguing would be the effect on electricity consumption and generation. Current coal-fired plants in the US would see an average tax of about $0.89 per kWh; natural gas plants would be taxed $0.49 per kWh. Cities already have an advantage there – New York City claims 4,700 kWh of annual electricity consumption per capita, while the current US average is about 13,000. Obviously, in both cases, fossil-fired electricity consumption would crash, while solar and wind power would become a bargain, but it would be easier to do this in large cities. But again, urban revival has its limits; suburban houses would still exist, just with much more passive solar design and extensive solar panels.
I’ve just found a post by Brad Templeton arguing that US mass transit is less green than high-efficiency cars, at least when compared per passenger-km. (He agrees that transit is overall better because it is more efficient when used more extensively, as in Europe and especially East Asia.) The analysis of how this can be given the numbers is cogent, but the numbers themselves are suspect, and are worse for transit than other numbers I’ve seen.
Better numbers can be found in this FTA presentation, on pages 10-11; the data is sourced to the National Transit Database. They’re expressed in pounds of CO2 per passenger-mile; if you’re more used to thinking in terms of passenger-miles per gallon of gasoline equivalent, then convert x pounds per passenger-mile to 19.374/x passenger-miles per gallon. The New York City Subway gets the equivalent of 114 passenger-mpg, versus 47 on Templeton’s page. Even FRA-regulated commuter rail does significantly better than cars – the low efficiency of the trains cancels out with the fact that there’s almost no off-peak traffic.
Another piece of evidence Templeton’s transit numbers are too low: he lists JR East’s energy use as equivalent to about 78 passenger-mpg. In reality, JR East claims much lower emissions, about 13 grams per passenger-km (400 passenger-mpg equivalent) or 19 (280), depending on whether one counts the emissions of the company’s buildings or just transportation emissions. It could be that Japanese power generation is that efficient; but given that Japan’s overall per capita emissions are not low by non-US developed country standards, I doubt it.
Finally, although it appears as if technology is about to make cars much more efficient, in reality technology is expensive if you’re a driver and cheap if you’re a transit agency. Take hybrids: the market share of new hybrid car sales is in the single digits, about 300,000 out of 8 million light vehicles sold in the US in 2008, but the market share of new hybrid bus orders was 22% in 2007. Electrified trains are also gaining efficiency, perhaps more slowly but the important thing for them is to transition to low-carbon power generation; if their emissions are nontrivial thirty years from now, then we have bigger problems than transportation to worry about.