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The impact of cumulative tons on rail infrastructure maintenance costs

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Abstract
In this paper the cost impact of rail infrastructure usage in Sweden is estimated, using a measure of the cumulative tons experienced by the tracks since they were renewed. The cost elasticity with respect to this measure is compared to the corresponding estimate from annual tons, a standard measure of output in the literature. The cumulative ton measure generates a higher cost elasticity compared to annual tons, and is quite high for tracks that have been extensively used. The results are informative for the Swedish infrastructure manager that needs to strike a balance between maintenance and renewals; the expected cost of maintenance with respect to accumulated use can be compared to the expected cost of a renewal.

Suggested Citation

  • Odolinski , Kristofer, 2016. "The impact of cumulative tons on rail infrastructure maintenance costs," Working papers in Transport Economics 2016:28, CTS - Centre for Transport Studies Stockholm (KTH and VTI).
  • Handle: RePEc:hhs:ctswps:2016_028
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    File URL: http://www.transportportal.se/swopec/CTS2016-28.pdf
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    References listed on IDEAS

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    1. Marc Gaudry & Bernard Lapeyre & Emile Quinet, 2015. "Infrastructure maintenance, regeneration and service quality economics: A rail example," PSE Working Papers halshs-00559637, HAL.
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    5. Marc Gaudry & Bernard Lapeyre & Emile Quinet, 2015. "Infrastructure maintenance, regeneration and service quality economics: A rail example," Working Papers halshs-00559637, HAL.
    6. Heij, Christiaan & de Boer, Paul & Franses, Philip Hans & Kloek, Teun & van Dijk, Herman K., 2004. "Econometric Methods with Applications in Business and Economics," OUP Catalogue, Oxford University Press, number 9780199268016.
    7. Kristofer Odolinski & Andrew S. J. Smith, 2016. "Assessing the Cost Impact of Competitive Tendering in Rail Infrastructure Maintenance Services: Evidence from the Swedish Reforms (1999 to 2011)," Journal of Transport Economics and Policy, University of Bath, vol. 50(1), pages 93-112, January.
    8. Johansson, Per & Nilsson, Jan-Eric, 2004. "An economic analysis of track maintenance costs," Transport Policy, Elsevier, vol. 11(3), pages 277-286, July.
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    10. Christensen, Laurits R & Greene, William H, 1976. "Economies of Scale in U.S. Electric Power Generation," Journal of Political Economy, University of Chicago Press, vol. 84(4), pages 655-676, August.
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    Cited by:

    1. Nilsson , Jan-Eric Nilsson & Isacsson , Gunnar & Haraldsson, Mattias & Nerhagen, Lena & Odolinski, Kristofer & Swärdh, Jan-Erik & Vierth, Inge & Yarmukhamedov, Sherzod & Österström, Johannes, 2018. "The efficient use of infrastructure – is Sweden pricing traffic on its roads, railways, waters and airways at marginal costs?," Working papers in Transport Economics 2018:2, CTS - Centre for Transport Studies Stockholm (KTH and VTI).
    2. Odolinski, Kristofer, 2019. "The impact of cumulative tonnes on track failures: An empirical approach," Papers 2019:1, Research Programme in Transport Economics.

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    More about this item

    Keywords

    Rail infrastructure; Maintenance costs; Cumulative tons;
    All these keywords.

    JEL classification:

    • L92 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Railroads and Other Surface Transportation
    • R48 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government Pricing and Policy

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