A recent Shpping Digest article outlined some of the difficulties Charleston is having designing in a rail yard to their new North Charleston Terminal.  The issue revolves around the need to realign an access road on the terminal to allow electric lift equipment to shuttle containers to a new private intermodal yard.  By redesigning the road, they reopen the permitting and planning process.  The potential for delays could be very costly to the state.  In addition, CSX is a partner in the venture that would be building the intermodal yard and would be the only operator using it – no Norfolk Southern.  Any move to go above and beyond to accommodate the new rail yard would be frowned upon by NS and could be politically costly.

However, Charleston needs to address their rail issues.  Norfolk has on dock rail and is expanding the number of tracks available.  Savannah has near dock rail and is also expanding to accommodate both CSX and NS.  Charleston could be putting itself at a significant competitive disadvantage if it doesn’t figure this out quickly.  Shippers are making decisions today that will effect where they will locate in 2013 when the North Charleston terminal is completed.