Friday, February 11, 2011

Obama Proposes $53 Billion for High-Speed Rail Network

February 09, 2011 10:14 PM --Travel Pulse
       In a speech at Philadelphia’s 30th Street Station on Tuesday, Vice President Joe Biden proposed to spend $53 billion over the next six years to help promote the construction of a national high-speed, intercity passenger rail network. The proposal expands the $10.5 billion already spent on high-speed rail expansion since President Obama entered office, including $8 billion in the 2009 economic stimulus package. The Administration wants to spend $8 billion on new high-speed rail systems in the coming year and another $45 billion in the next five years. The money would focus on local services running between 90 and 125 mph and express services that would run between 125 and 250 mph.
       When the president unveils his proposed $3.8 trillion budget for fiscal year 2012 next week, the details of the plan will be fully outlined. In his State of the Union address, Obama said that he was setting a goal of giving 80 percent of Americans access to high-speed rail within 25 years. The new investment would offer cities, states and private companies an application for seeking federal grants and loans to develop railway capacity. The new Republican-controlled Congress is expected to resist the proposal. Rep. John Mica (R-Fla.), the chairman of the House Transportation and Infrastructure Committee, has already criticized the proposed expenditure.
       But some private groups are supporting the high-speed rail plan because it will create jobs and reduce the impact on the environment. Guillaume Mehlman, managing director of Alstom Transport's North American Region, said, "Alstom applauds the Obama Administration for proposing a $50 billion-plus investment in both high-speed and traditional passenger rail. As a leader in providing high-speed trains around the world and a company with significant rail manufacturing and engineering operations in the U.S., we are confident that such infrastructure will make a significant contribution in creating jobs, lowering greenhouse gas emissions, and reducing dependence on foreign oil. We look forward to getting to work -- and putting people to work -- in building America's new rail transportation network."
Mehlman noted that Alstom Transport operates the largest train manufacturing plant in the U.S., a state-of-the-art facility in Hornell, N.Y., along with a growing signaling business in Rochester, N.Y., that could also contribute to the growth of a national rail network. Along with VINCI, Virgin, and OHL, Alstom is part of a consortium of companies that will compete for high-speed rail opportunities in Florida. The group’s proposal to design, build, finance, operate, and maintain a full turnkey system will include a private financing dimension that offers the best solution for Florida.
       “Additional investments like the Administration is proposing can help accelerate the progress toward a full-fledged high-speed rail line in Florida,” Mehlman said. “While phase I from Tampa to Orlando is a critical first step, additional funding will allow a quicker implementation of the second leg of the line to Miami and deliver the maximum economic development benefits to Florida."
       In 2007, Alstom broke the world high-speed rail record at 357 mph and its trains have the capacity to routinely travel at 225 mph and above. Alstom Transport has 30 years of experience with high-speed rail, having built and maintained the TGV that has been widely used across Europe for decades, and more recently has rolled out its AGV trains that have distributed propulsion systems. Since 1981, Alstom has sold 670 Very High-Speed trains. Alstom’s Very High-Speed trains are already operating in France, Spain, the U.K., Korea, Belgium, Switzerland, Germany, and the Netherlands. Over 1.7 billion Very High-Speed customer trips have been safely undertaken in Alstom trains over a total distance equivalent to the distance between the earth and the moon.