“Economically it’s a good deal for us, environmentally helps with our focus to be a good corporate partner.” – New Orleans Public Belt Railroad General Manager Mike Stolzman.
The New Orleans Public Belt Railroad, the company that handles all the switching duties between Port of New Orleans and the six major railroads that serve the region, is making a major move when it comes to motive power.
“We’re going to go to a new series of locomotives that’s called Tier One,” says Stolzman.
“Not only are they strong locomotives that can achieve what we’re going for. We’re going from a fleet of 15 down to a fleet of eight that will serve all of our needs.”
Where The Belt owns its current fleet, the new fleet will be leased from GATX-Locomotive Group, a locomotive leasing firm based in Chicago, Illinois.
“We just had our board approve us to begin negotiation process with GATX. They hope to have our first locomotives rolling towards us by mid-January with the last one showing up by late February.”
The new locomotives are classified by the EPA as Tier One, meaning they are equipped with cleaner burning diesel engines with dramatically reduced emissions.
“We’re looking at 25% reduction in added fuel costs. But also we’re looking at a 40% our nitrous oxide emissions. And a 50% reduction diesel particulate production which is a pretty significant reduction.”
A smaller fleet, a standard unit of motive power, producing less emissions, with greater fuel economy and significantly more motive power than the units they’re replacing.
The terms of the lease deal for the locomotives are $2,354,250 for a period of five years. Stolzman also says “As we do anticipate increased volumes, I have negotiated with GATX an option on two more locomotives. So we’re prepared to handle any more increases in business in the New Orleans complex.”
With the Port of New Orleans rebuilding the Nashville Avenue Wharf into a dedicated container terminal, adding new cranes and rail connections, it’s very likely Belt rail traffic will increase significantly.