Union Pacific Offers Rail Transportation Solutions to Emerging Wind Energy Industry

Nation’s Most Environmentally Friendly Railroad Is First To Join AWEA

Omaha, Neb., December 06, 2007 – In anticipation of increasing growth of wind power as a viable renewable energy source, Union Pacific today announced that it is the first railroad to join the American Wind Energy Association (AWEA) and first to offer door-to-door rail transportation solutions for the movement of wind turbine components.

AWEA, formed in 1974, is the national trade association of the U.S. wind energy industry. The association's membership mainly includes turbine manufacturers, wind project developers, utilities, academicians and other interested parties.

"According to AWEA and our own research, many of the ports served by Union Pacific are expanding investment and capacity to unload shipments of wind energy components and equipment that are critical to projects designed to create new sources of electricity," said Eric Butler, vice president and general manager - Industrial Products. "The wind power business is an emerging market and we intend to compete with other transportation service providers to be the leading company to serve this growing industry."

ENVIRONMENTAL RAIL CONSIDERATIONS

Currently, the majority of wind power shippers use trucks to transport equipment.  Today, fuel costs are a major consideration in all modes of transportation and freight trains are the most efficient and environmentally friendly. Since 1980, railroad fuel efficiency has increased by 72 percent and at that time, a gallon of diesel fuel moved one ton of freight an average of 235 miles. In 2001, the same amount of fuel moved one ton of freight an average of 406 miles. In 2006, we moved one ton of freight an average of 780 miles on one gallon of fuel through better locomotive technology, engineer training and employee involvement. 

FUEL MASTERS PROGRAM

Piloted in April 2004, the Fuel Masters program rewards the fuel-saving efforts of Union Pacific locomotive engineers with fuel cards that they can use to reduce their own fuel costs by up to $100. The average freight car capacity now is nearly 93 tons, up 17 percent in just the past 20 years. Union Pacific's new transportation plan increases traffic flow and asset utilization. Both have a big impact on lowering fuel consumption.

About Union Pacific

Union Pacific Corporation owns one of America’s leading transportation companies. Its principal operating company, Union Pacific Railroad, links 23 states in the western two-thirds of the country and serves the fastest-growing U.S. population centers. Union Pacific’s diversified business mix includes Agricultural Products, Automotive, Chemicals, Energy, Industrial Products and Intermodal. The railroad offers competitive long-haul routes from all major West Coast and Gulf Coast ports to eastern gateways. Union Pacific connects with Canada’s rail systems and is the only railroad serving all six major gateways to Mexico, making it North America’s premier rail franchise.

For more information, contact Mark Davis at (402) 544-5459.

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