Section 105IAC5-1-18. Intermodal competition

   Intermodal competition refers to competition between rail carriers and other modes for the transportation of a particular product between the same origin and destination. Motor and water carriage are the main sources of intermodal competition for railroads.

  (a) Water carriage─Water carriage is restricted to certain geographic areas and is generally used for commodities moving in bulk. The evidence required to demonstrate effective competition between rail and water alternatives is in many respects similar to that required for intramodal competition among rail carriers. Parties in a rate case should provide evidence along the following lines:

(1) the number of alternatives involving different carriers;

(2) the feasibility of each alternative as evidenced by:

(A) pertinent physical characteristics, for the product in question, of the transportation or routing associated with each alternative;

(B) the access of both the shipper and receiver to each alternative; and

(3) the transportation costs of each alternative.

 Again, these factors are not exhaustive.

  (b) Motor carriage─Unlike rail or water alternatives, the availability of many motor carrier alternatives for transportation services between two points can, in most instances, be taken for granted. Therefore, the feasibility of using motor carriage as an alternative to rail may be viewed as depending exclusively on the nature of the product and the needs of the shipper or receiver. Effective competition from motor carriage may be deduced from the following types of evidence:

(1) the amount of the product in question that is transported by motor carrier where rail alternatives are available;

(2) the amount of the product that is transported by motor carrier under transportation circumstances (e.g., shipment size and distance) similar to rail;

(3) physical characteristics of the product in question that may preclude transportation by motor carrier; and

(4) the transportation costs of the rail and motor carrier alternatives.

Other types of evidence on the feasibility or nonfeasibility of motor carriage as an alternative to rail will also be considered. (Indiana Department of Transportation; 105 IAC 5-1-18; filed May 18, 1983, 2:18 p.m.: 6 IR 1209; readopted filed Nov 7, 2001, 3:20 p.m.: 25 IR 899; readopted filed Jun 14, 2007, 2:45 p.m.: 20070627-IR-105070237RFA; readopted filed Oct 2, 2013, 11:39 a.m.: 20131030-IR-105130295RFA) NOTE: Transferred from Department of Transportation (100 IAC 6-1-18) to Indiana Department of Transportation (105 IAC 5-1-18) by P.L.112-1989, SECTION 5, effective July 1, 1989.