1. Union Pacific Railroad Comments February 23, 2005

2. California Environmental Improvement Program Supported the US EPA’s standards for new and re-manufactured locomotives Developed Enforceable MOU with ARB and UP EPA to achieve accelerated reductions in Southern California Created an end-user research & development program for new technologies –Funding $5 million for particulate research at Southwest Research Institute

3. Other Railroad Emission Reduction Program Components Working with the Air Resources Board to accelerate Particulate reductions in and around rail yards statewide Funding & demonstrating new locomotive technologies: –Spark Ignited LNG technologies –Idle reduction devices –Switch engines that use truck engine technologies –Hybrid locomotives –Green Goat Switcher Technology

4. Inherent Efficiencies of Rail Fuel Efficiency Trains are 2-4 times more fuel efficient than trucks on a ton-mile basis NOx Emissions Trains are 2-3 times cleaner than trucks on a ton-mile basis v s. Capacity 1 double stack train equals up to 280 trucks

5. Revenue Ton Miles per Gallon of Fuel Source: 2004 Railroad Facts, Page 40 (Data extrapolated for ’76-’79, ’81-’84, and ’86-’89) 100 % Increase over the past 30 years

8. Conclusion Rail has many environmental advantages that make it the transportation mode of choice. –Steel-on-steel framework makes for greater efficiency –Improvements in fuel burned per ton/mile of freight moved have been dramatic for the past thirty years Improvements will continue into the future –US EPA will propose new locomotive emissions standards within the next two years –These standards will build on advances in truck emissions control technology

9. Comparison of Mobile Source Requirements TrucksOff-Road Equipment ShipsAircraftUrban Buses Locomotives 2010 NOx Inventory (SCAQMD) 21%17%7%4%2% Standards for New Units XXXXXX Retrofit Existing Units XX Rebuild to New Standards X In-Use Testing of Emissions X Fleet Average for SCAQMD X

10. South Coast Fleet Average % Reduction in loco. NOx Reductions when Loco. Tier 0 added to Tiers 1 and 2 … continental US 67% NOx reduction from South Coast Fleet Average Program in Southern California! Reductions from EPA Loco. Tiers 1 and 2 only … continental US 20052010 2000 Southern California commitment from the Railroads