The cost and risk impacts of rerouting railroad shipments of hazardous materials

Abstract

Rail shipments of hazardous materials expose the population near the routes to the possibility of an accident resulting in a spill. Rail routes are determined by economic concerns such as route length and the revenue generated for the originating carrier. In this paper we consider an alternate routing strategy that takes accident risks into account. We employ a model to quantify rail transport risk and then use a weighted combination of cost and risk and generate alternate routes. In some cases the alternate routes achieve significantly lower risk values than the practical routes at a small incremental cost. While there are generally fewer rerouting alternatives for rail than for road transport, considering the possible consequences of a train derailment we argue that risk should be taken into account when selecting rail routes and that the cost–risk tradeoffs should be evaluated.