Speed limit on oil transportation will hit the rail industry

Speed limit on oil transportation will hit the rail industry

The oil and other fossil fuels are more dangerous while transporting. The leakage during the transport also costs heavily on the economy. The new speed limits for the transportation of fossil fuels in the Canada and United States will do little to reduce more frequent accident during the process. The new regulations have been criticized by many experts.

The new speed limit for the fuel transport on the North American rail is 50 mile per hour, the move take to increase safety along with swift movement of fuel across the region. But the experts are pointing out that slow speed limits will increase congestion on already crowded railway system and this will trigger more accidents and leakages. This will ultimately cost millions of dollar to the economy. The high speed is not even major reason behind the oil train accidents.  There have been nine incidents of major oil train accidents in US and Canada since 2013. Not even single incident have occurred due to high speed of the train, as per the government records and data collected by news agencies.  

All nine trains, which suffered from accident, have average speed of 34 mph. Attorney for Center For Biological Diversity; Jared Margolis informed that even if these regulations were in force that time, these accidents were unavoidable. The official from the Oregon based organization also informed that stricter safely standard should be implemented for tank cars rather than reducing speed limits. The rail industry is going to suffer from these restrictions as new breaking systems are expensive and unprofitable. The profit margins are projected to drop due to this move by the regulator.

 

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