SURFACE TRANSPORTATION BOARD ISSUES DECISIONS IN "AEP TEXAS NORTH" & "WESTERN FUELS / BASIN ELECTRIC" RAIL RATE COMPLAINT CASES

[STBNews@xxxxxxxxxxx]

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>From the Surface Transportation Board, Washington, D.C.
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The Surface Transportation Board (Board) today announced the release of
decisions in two railroad rate complaint proceedings:  AEP Texas North
Company v. BNSF Railway Company, STB Docket No. 41191 (Sub-No. 1) and
Western Fuels Association, Inc., and Basin Electric Power Cooperative v.
BNSF Railway Company, STB Docket No. 42088.   In each case, an electric
utility shipper had challenged the rates charged by the BNSF Railway
Company to haul coal from Wyoming's Powder River Basin to the utility's
power plant.


 AEP Texas North Company had challenged a rate of approximately $18 to haul
 a ton of coal 1,200 miles; Western Fuels Association, Inc. had challenged
 a rate of approximately $6 to haul a ton of coal 200 miles.  After
 carefully reviewing the evidence in each case, the Board found that the
 shipper had not shown that the challenged rates are unreasonable under the
 Board's "stand-alone cost" (SAC) rate test.


 However, the Board has given each shipper the option of revising key
 portions of its case in light of the Board's recent changes to the SAC
 methodology that were made after the rate complaints were filed.  Each
 shipper must advise the Board by October 10, 2007, whether it intends to
 submit these revisions.


 The Board's decisions in STB Docket No. 41191 (Sub-No. 1)(
 http://www.stb.dot.gov/decisions/readingroom.nsf/WebDecisionID/36778?OpenDocument
 )
  and in STB Docket No. 42088 can be found on the Board's web site at
 http://www.stb.dot.gov, under "E-Library," then under "Decisions &
 Notices," beneath the date "9/10/07."  Printed copies of the Board's
 decisions also are available for a fee by contacting ASAP Document
 Solutions, 9332 Annapolis Rd., Suite 103, Lanham, MD 20706, telephone
 (202) 306-4004 or via asapdc@xxxxxxxxxxxx


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