Dive Brief:

• The American Public Power Association has passed a resolution calling on Congress ensure more reliable railway coal deliveries to utilities, Platts reports.
• The measure may be gaining bipartisan support following a season where coal deliveries lagged and utility fuel stockpiles fell to dangerous levels.
• The resolution supports legislation to give greater oversight to the U.S. Surface Transportation Board and asks the Federal Energy Regulatory Commission (FERC) to look into the issue. 

Dive Insight:

It was a rough winter for utilities taking coal delivery by rail. A shortage of cars and competition from a strong grain crop slowed deliveries at times and, while service picked up earlier this year, the American Public Power Association (APPA) wants Congress to ensure the issue gets fixed.

At its Legislative Rally this year, the APPA passed a resolution to support laws that enhance "the ability of the Surface Transportation Board (STB) to address the plight of captive shippers with regard to both freight rates and services," according to Platts.

39% of the nation’s electricity is generated from coal, the vast majority of which is transported by rail. "A substantial amount of that coal has only one option for railroad transportation for at least a portion of its shipment," the group said in a legislative brief on the issue.

Coal stocks reached low levels last year, at one point forcing the Surface Transportation Board to direct BNSF Railway Co. to submit a detailed description of its contingency plans to mitigate potential coal shortages for electric utility shippers. Slow railway deliveries had left many utilities short on coal reserves, with many heading into the winter season with less than a 30-day supply on hand. BNSF Railway Co. has said it plans to spend $6 billion to expand and maintain its rail system this year to meet growing demand.