Amtrak Saves with Enron Contract

Fortnightly Magazine - July 1 1997
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Amtrak has entered an agreement with power marketer Enron Capital & Trade Resources to purchase electricity to power nearly 600 Amtrak and commuter trains each day on the Northeast Corridor between New York and Washington, D.C., and 100 trains a day on the Keystone Line between Philadelphia and Harrisburg, Pa.

Amtrak spends about $40 million a year for electric traction energy, which is purchased from several suppliers. The wholesale contract will reduce those costs nearly one-half. Amtrak commingles the energy it purchases and transmits the power over its own transmission system in the Northeast Corridor. The company then resells more than half the energy it purchases to commuter rail authorities. The four commuter customers are New Jersey Transit, the Southeastern Pennsylvania Transportation Authority, Maryland Mass Transit Administration MARC Service, and the Delaware Department of Transportation.

"What is particularly exciting about this contract will be our ability to provide significant cost savings to the commuter railroads," said George D. Warrington, president of Amtrak's Northeast Corridor. "The continuing growth of the Northeast Corridor and service improvements by all users depend on strong partnerships between Amtrak and the commuter railroads."


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