Trains are an integral part of grain movement in the United States, but new rules around locomotives in the nation’s largest ag state have economists on edge.
California’s Air Resource Board approved the move to ban diesel-powered locomotives older than 23 years beginning in 2030. A report by North Dakota State University and USDA’s Chief Economist Seth Meyer says the regulations could cause several issues, including higher transportation costs, lower prices for ag producers, and higher costs for customers. They also warn that the impact will be felt beyond California.
On Tuesday, the House Transportation Committee is set to hold a hearing on this proposal.
