The European Union has proven that there is a model where privatization can work in SOME instances: publicly-owned tracks with open access to private operators. The EU is seeing private competition emerge on some routes and services. Now, this is an above-the-rail profit only. But, this is no different from how highways and aviation work. The public sector owns and supports the infrastructure and access is provided to private operators. Neither highways or aviation earn a profit as a whole when infrastructure costs are included, but they make money for private operators and the communities they serve.
Rail would instantly be profitable if we had a carbon tax with a rebate of proceeds to each citizen each year. (Call it a carbon fee and energy dividend for the climate). The rich would happily continue their life style of flying their private jets to their homes around the world while we would get benefits from them rather than having to clean up their pollution at our cost.
The European Union has proven that there is a model where privatization can work in SOME instances: publicly-owned tracks with open access to private operators. The EU is seeing private competition emerge on some routes and services. Now, this is an above-the-rail profit only. But, this is no different from how highways and aviation work. The public sector owns and supports the infrastructure and access is provided to private operators. Neither highways or aviation earn a profit as a whole when infrastructure costs are included, but they make money for private operators and the communities they serve.
Rail would instantly be profitable if we had a carbon tax with a rebate of proceeds to each citizen each year. (Call it a carbon fee and energy dividend for the climate). The rich would happily continue their life style of flying their private jets to their homes around the world while we would get benefits from them rather than having to clean up their pollution at our cost.