Friday, June 29, 2018

TNCs existential threat to public transportation


ADVOCACY IS WHAT LIKE-MINDED people do, usually in an organized fashion, to effect change in the way government or public policy impacts their lives. Advocacy can take many forms and approaches, from energizing and activating people at the grassroots, to persuading decision makers at the grasstops, to knocking on doors in the corridors of power, or digging deep in the weeds of data analysis. Whatever form it takes, effective advocacy must be guided by clarity of mission, coherence of message and cogency of thought.

Effective advocacy also has to be agile, and by that I mean it must be able to adhere to its principles without being stuck in old-think or blind to fundamental changes in the landscape it is trying to influence. This has particular resonance for transit advocates in 2018, as we must squarely acknowledge, understand, and respond to profound changes in the way people think about their personal mobility, and anticipate fast-approaching disruptions that will upend the automobile industry and threaten public transportation as we know it.

What’s at stake is nothing less than our quality of life – a state of mind and a temporal condition influenced by many factors, including the viability of sustainable mobility choices which influence the use of finite land resources, the quality of the air we breathe, and the fairness and cohesion of the society we live in. Advocates whose mission is the advancement of sustainable mobility (and in particular better public transportation) face an unprecedented challenge with the emergence of new approaches to personal mobility that respond to the expectations of a population accustomed to service delivery as an on-demand, interactive, cashless, and convenient experience. The stunning reality is that these new approaches, which on the surface appear to embody the ethos of a modern techno-centric era, are based unapologetically upon a 20th Century auto-centric mindset.

It is more than ironic that well into the 21st Century, the one great disruptive change in personal mobility is built upon the increased use of the internal combustion engine. Transportation Network Companies (TNCs) such as Uber and Lyft have become major players in the provision of personal mobility, primarily in urban areas. The problem with TNCs – and I say “problem” because it relates to what I perceive as their most negative impacts – is the essential auto-centric nature of the industry. There is nothing innovative about a person driving a car with a passenger in it. TNCs may have disrupted the taxi industry, but they did so because of what Stanford University futurist Tony Seba would call a “business model innovation” based upon the convergence of smartphone technology and the cloud. Seba makes his living (at least some of it) developing models to explain the factors that cause massive marketplace disruptions. He persuasively argues that what we think of as innovation is, to some degree, the skillful leveraging of technologies, but it also is the emergence of better business models designed to respond to customer/consumer demand.

The disruptive TNC business model poses an existential threat to public transportation. Think I’m exaggerating? Think again. The data we have (and it is not all the data we need because companies like Uber and Lyft jealously guard what they consider “proprietary”) indicates that the use of TNCs is widespread, growing, and unlikely to recede. Last year, 41.7 million TNC rides originated in Boston and Cambridge. More than 80 percent of all TNC trips in Massachusetts originated in Suffolk and Middlesex counties. With the single exception of Worcester, the top 10 Massachusetts municipalities where TNC trips originated last year were in the transit-rich metro Boston inner core.

A report last year by the UC Davis Institute of Transportation Studies found that well over half of all TNC users would either not have made the trip, or would have travelled sustainably (using transit, cycling, or walking) but for the availability of a TNC alternative. More locally, the Metropolitan Area Planning Council reported this February that an astounding 42 percent of 1,000 TNC users it surveyed would have taken transit but for the availability of TNCs and the real or perceived poor performance record of the T. If nearly half of potential transit users are being siphoned off by TNCs, the future of an egalitarian transit system is in grave peril.

TNCs are not egalitarian. Yes, they are theoretically available to all, but “all” in this instance does not include the unbanked or people with lower incomes. The UC Davis study reported that use of TNCs by college-educated riders was double that of non-college educated riders, a dichotomy that was also reflected when the study looked at income disparities among users. What does it mean for the future of our public transportation system if it is used not by a broad spectrum of people as a matter of choice, but only or primarily by those who use it out of necessity?

What’s worse, TNCs have taken root in Massachusetts without the benefit of a thoughtful regulatory framework. Such a framework should be designed to protect the public from a variety of potential downsides that inevitably will occur in an unconstrained environment. But Massachusetts has been slow to respond in an effective way to these market force changes, and the law enacted in 2016 stands as a “too little, too late” approach to harnessing and regulating the power of innovation for the public good.

Lurking like a troll under the bridge is the emerging autonomous vehicle industry. Like TNCs, autonomous vehicles are rooted in a 20th century auto-centric mindset that makes no apology for increasing vehicle miles traveled while utilizing internal combustion engines. Recent setbacks based upon safety concerns do not seem to have taken much of the wind out of the sails of the transportation futurists who promote autonomous vehicles as tomorrow’s inevitable “next new thing.” There is absolutely no clarity with regard to the “how, when, or where” of ubiquitous autonomous vehicle mobility, nor is there a clear and convincing business model that makes sense – yet. But we would be foolhardy to assume that autonomous vehicles, like TNCs, won’t quickly become a part of the new mobility landscape, and autonomous vehicles, unlike TNCs, may take the form of shuttle vans that provide a form of micro-transit, and hence a direct competitive threat to public transportation.

Faced squarely by the real-time reality of disruptive change in the mobility sector that is decidedly auto-centric and proven to both increase vehicle miles traveled and reduce transit use, we must act decisively to protect, rebuild, and renew our public transit system. This requires engaging the difficult but necessary work of developing a better regulatory framework for TNCs and autonomous vehicles, one that is appropriately responsive to all stakeholders and structured to support competitive sustainable mobility alternatives. It also requires much more than bringing the system into a “state-of-good-repair.” It means reimagining the underlying business and service delivery models, and transforming public transportation into a 21st century mobility service.

https://commonwealthmagazine.org/opinion/tncs-existential-threat-to-public-transportation/

Wednesday, June 27, 2018

EIA Cuts US Crude Oil Production Forecast For 2019

U.S. crude oil production is expected to rise by less than previously expected to 11.76 million barrels per day (bbl/d) next year, the U.S. Energy Information Administration (EIA) said June 12.

In its monthly short-term energy outlook, the agency forecast that U.S. crude oil output will rise by 970,000 bbl/d in 2019. Last month, it expected a 1.14 million bbl/d year-over-year increase to 11.86 million bbl/d.

U.S. oil production was forecast to touch a record 12 million bbl/d in fourth-quarter 2019 but EIA pared its expectations, saying it was now expected to be about 11.97 million bbl/d.

For 2018, the agency upped its production estimate to 10.79 million bbl/d, expecting growth of 1.44 million bbl/d, according to the report. It previously expected output to rise by 1.37 million bbl/d to 10.72 million bbl/d.

U.S. crude production has surged over the past eight years thanks to a shale boom, driven primarily by gains in the prolific Permian Basin, which stretches across West Texas and eastern New Mexico.

On the demand side, the EIA expects U.S. oil consumption growth in 2018 to rise by 530,000 bbl/d to 20.41 million bbl/d compared with a previous forecast of a rise of 500,000 bbl/d to 20.38 million bbl/d.

The agency also and slightly hiked its 2019 demand forecast to 20.67 million bbl/d from 20.64 million bbl/d previously.

Friday, June 22, 2018

AI could help the construction industry work faster—and keep its workforce accident-free


Construction workers are killed on the job five times more oftenthan other laborers. Now a new kind of construction worker—a data scientist—aims to use artificial intelligence to predict the likelihood of injury and intervene.

Suffolk, a Boston-based general contractor with annual sales of $3 billion, is developing an algorithm that analyzes photos from its job sites, scans them for safety hazards such as workers not wearing protective equipment, and correlates the images with its accident records. The company is still fine-tuning the technology but says it could potentially compute “risk ratings” for projects so safety briefings can be held when an elevated threat is detected.

Suffolk is also writing an algorithm that would parse information from a variety of sources, including 10 years of scheduling data from its archives, and forecast project delays—information that could be communicated to building owners and subcontractors. Suffolk is also exploring ways to utilize data from IoT sensors to increase efficiency. One idea is to track the location of its concrete suppliers’ trucks so that workers are ready to pour the concrete as soon as the trucks arrive.

Such data crunching is rare in construction, which has been slow to adopt advanced analytics—in part because margins are thin and tried-and-true methods have a firm hold. “People know how to build the way they know how to build,” says James Benham, the CEO of JBKnowledge, a software and consulting firm that conducts an annual global survey on construction technology. “And it’s hard to convince most of them to do things any other way.”

But a labor shortage and a desire to boost the industry’s low productivity rates are compelling some firms to invest in data science. Proponents say the budding trend could eventually transform the $13 trillion sector. Benham estimates that about 20 construction firms in the US have launched some kind of data science initiative in recent years.

Suffolk is one of these pioneers. In 2017, it appointed a McKinsey management consultant named Jit Kee Chin as its first chief data officer. The role, which the company describes as “leveraging big data and advanced analytics to improve the core business,” is a new one in the construction industry. Other companies may have a “director of innovation,” “vice president of construction technology,” or head of R&D that handles similar tasks, but Chin arguably wields more influence, given her C-suite title and broad remit, which includes working with the company’s innovation and strategy teams on technology initiatives.

Like other construction firms, Suffolk generates a lot of data, from field reports and job-site photos to supplier contracts and inspection records. In the past, the company’s various applications couldn’t share data easily, so the company struggled to do any type of forecasting. Chin hired a group of data scientists and experts in data visualization, IT, and operations, who stitched together the company’s data feeds and designed an online dashboard to present the information. The result is a program that lets Suffolk employees look at a single summary chart of all the company’s projects around the country and view details on each one’s finances, safety record, schedule, and more.

Chin’s group uses this information to create predictive algorithms designed to manage construction risks. It built its worker-safety predictor by taking more than 700,000 images from 360 projects over the past 10 years, uploading them to a cloud-based platform developed by the startup Smartvid.io , and running an image recognition algorithm to identify whether workers were wearing hard hats, gloves, and safety vests and goggles. The team then plugged the tagged photo information, along with weather and other project-related data, into a second machine-learning model. The group is now deciding whether to tweak the algorithm to detect ladders and scaffolding, which could cause falls, and dangerous clutter at a job site.

Writing its own algorithms should also help Suffolk integrate new types of data into its forecasts. The company frequently experiments with emerging technology and is currently testing wearable gadgets that can be programmed to recognize hazardous zones in a job site and record whether workers are present there, according to chief innovation officer Chris Mayer.

Chin estimates that these new digital tools could help Suffolk increase productivity by 14 to 20 percent in a few years. A 2017 McKinsey reportsays construction firms could boost productivity by as much as 50 percent through real-time analysis of data. “The industry desperately needs this type of capability,” says Benham of JBKnowledge. “It can help people make better decisions and shave weeks to months off their project schedules.”

Wednesday, June 20, 2018

Equinor finds oil near gas strike off Norway

Equinor and partners have found oil in the Utsira High area of the Norwegian North Sea in a well that also confirmed the 2004 Verdandi natural gas discovery on license PL 167 (OGJ Online, May 22, 2003).

Calling the find commercial, Equinor estimated the 16/1-29 S “Lille Prinsen” well found 15-35 million boe of recoverable oil in its main target.

It also found oil in a shallower layer “with very good reservoir quality” but did not evaluate quantity.

The Odfjell Drilling Deepsea Bergen semisubmersible rig drilled the 16/1-29 S well to 1,987 m vertical depth, 2,001 m measured depth below sea surface, terminating in basement rock, according to the Norwegian Petroleum Directorate. Water depth is 114 m.

The well is northeast of Ivar Aasen oil field, about 2 km south of the Verdandi discovery well.

It encountered an oil column of about 95 m total, with 17 m of efficient reservoir in clastic rocks with moderate to good reservoir quality. The oil-water contact is at 1,947 m below sea surface.

The shallower, unevaluated discovery, according to NPD, is in thin Eocene Grid sandstone layers totaling 10 m in an interval of about 30 m. About 5 m of pay was gas and 5 m oil.

Pressure data indicated depths below sea surface of 1,436 m for the gas-oil contact and 1,472 m for the oil-water contact, NPD said.

The well cut 15 m of gas pay in Paleocene Heimdal and did not encounter the gas-water contact.

Equinor operates PL 167 with a 60% interest. Lundin Norway AS and Spirit Energy Norge AS hold 20% interests each.

Friday, June 15, 2018

Brazen thieves steal massive excavator from Kent construction site

KENT, Wash. -- Some determined thieves managed to make off with a large excavator from a construction site on Kent's East Hill Monday morning.

Surveillance video shows a white Ford Super Duty Truck with a trailer make off with the 2018 CAT 304E2 Excavator. Detectives say a black Ford Freestyle was involved in the theft as well.

"Crazy," said Filipe Tu'ivai, part owner of Forest Contracting. He showed up at the site Monday morning and expected to use the excavator to do some sewer work on the property.

"And there’s nothing here. I can’t dig without my excavator. So, it’s crazy," he said.

Tu'ivai told KOMO News that he called the company he rented the excavator from to see if they picked it up without telling him.

The excavator was brand new. It was delivered to the construction site from a Tukwila rental company on Friday.

"Thought I was crazy because it was there one day and gone later," said Shaw Smith, who lives nearby. "I probably saw him and just didn’t even notice… And that’s scary."

The theft impacted Tu'ivai’s work.

But a new rental excavator delivered to the construction site Tuesday has put him back on track.

"Just like everything else, scheduling is kind of hectic right now. And we did have to push back a day or two," Tu'ivai said.

It’s the first time he’s ever had anything stolen from a work site, he said.

He hopes it’ll be the last.

"Whoever’s doing this… we would appreciate that we can finish this on a good end," he said.

The excavator that was stolen from the construction site is worth about $70,000, investigators told KOMO News.

If you recognize the vehicles or have any information on the thefts, you're asked to call the Puget Sound Auto Theft Task Force.

Wednesday, June 13, 2018

Forbes Global 2000: The World's Largest Transportation Companies 2018


In the age of Amazon and a revving global economy, few sectors have investors more excited than transportation. People, products and packages are circling the world at an ever growing rate, fueling the bottom lines of shippers, airlines and railroads alike.

Both the Dow Jones Transportation Index and the S&P Transportation Select Industry Index gained 20%-plus in 2017, aided by long-term trends like the relentless rise of e-commerce shipments and strengthening economic growth in the developed and emerging markets. It is the United States that continues to lead the way.

Three U.S. firms, United Parcel Service UPS +0.18%, FedEx FDX +1.81% and Union Pacific UNP -0.06% top the 2018 Forbes Global 2000 transportation ranking. While UPS remains the industry leader by sales, ascendant FedEx and its billionaire founder Fred Smith appear poised to soon top the industry's ranks due to the company's surging profits and market value. It rose from #194 on the Forbes Global 2000 to #155, nearly eclipsing UPS's ranking of #153. Excluding airlines, just about every U.S. transportation company in the Forbes Global 2000 gained ground, with Old Dominion Freight Line and XPO Logistics XPO +1.88% surging the most. Old Dominion rose 937 spots to join the Forbes Global 2000 at #1712, while XPO - profiled by Forbes in April - gained 476 spots to #1127.

Although couriers and truckers are surging in the U.S., it is railroads that remain the biggest and most profitable transportation companies. Combined, Union Pacific (#175), CSX CSX +0.97% (#339) and Norfolk Southern NSC +0.75% (#377) generated $43 billion in profits in 2017 and earned $22 billion in profits, an over 50% margin. U.S. Airlines such as Delta (#224), American (#325), United (#357), Southwest (#380), Alaska (#1355) and JetBlue (#1438) all shed ground. However, in the wake of heavy consolidation reminiscent of the rail industry in the 1990s and early 2000s, these passenger air transport companies are reporting surging profitability. Collectively, they earned $13 billion in 2017 on $160 billion in sales.

Outside of the U.S. it is Japan that dominates, holding twelve transportation companies on the Forbes Global 2000. Rail is the specialty in Japan with six companies on our list, led by the East Japan Railway (#235) and the Central Japan Railway (#250). In air, Japanese carriers All Nippon Airways (#640) and Japan Airlines (#789) lead the way. Other notable companies include West Japan Railway (#679) and Tokyu (#971) on the rails and shippers Nippon Yusen (#1337) and Mitsui OSK (#1401).

If there's any single region in the globe where transportation companies are uniformly on the rise it is China. Ten transportation companies in the world's most populous country made the Forbes Global 2000, with each rising significantly in rank. Airlines China Southern and China Eastern ranked the highest at (#553) and (#601), respectively, gaining on North American and European counterparts. Shippers COSCO and Sinotrans gained strongly, as did the Shanghai International Airport, which rose 434 spots to (#1471) on the back of its $590 million in profits and $16 billion market value.

Transportation is emerging as one of the big targets of sovereign and private equity investors as they seek to capitalize on rising commerce. In coming years, it's likely these big investors will target airports, railroads, container shippers, port terminals, and freight and logistics firms, seeking steady returns. And consolidation is likely to continue. Italy's Atlantia (#609) is in the throes of a $18 billion takeover bid for Spanish toll road operator Abertis Infrastructure (#766).

Of course, the threat of trade wars coming from President Trump and potential populist shifts against economic integration in Europe risk throwing sand in the gears of the current transportation boom. Barriers and friction, or disappointing growth, risks prematurely ending today's boom.

The FORBES Global 2000 is an annual ranking of the world’s largest, most powerful public companies, based on equally-weighted measures of revenue, profits, assets and market value. The world's 25 biggest transportation companies include nine airlines from six countries, eight railroads from five countries, and three parcel giants.

Monday, June 11, 2018

Chapter 1: The Nation’s Immigration Laws, 1920 to Today


Fifty years ago, the U.S. enacted a sweeping immigration law, the Immigration and Nationality Act, which replaced longstanding national origin quotas that favored Northern Europe with a new system allocating more visas to people from other countries around the world and giving increased priority to close relatives of U.S. residents.

Just prior to passage of the 1965 law, residents of only three countries—Ireland, Germany and the United Kingdom—were entitled to nearly 70% of the quota visas available to enter the U.S. (U.S. Department of Justice, 1965). Today, immigration to the U.S. is dominated by people born in Asia and Latin America, with immigrants from all of Europe accounting for only 10% of recent arrivals.
The 1965 law undid national origin quotas enacted in the 1920s, which were written into laws that imposed the first numerical limits on immigration. Those laws were the culmination of steadily tightening federal restrictions on immigration that began in the late 1800s with prohibitions or restrictions on certain types of immigrants, such as convicts, in addition to a ban on Chinese migrants and later virtually all Asian migrants.

This chapter explores the history of immigration law in the U.S., focusing on provisions of major legislation from the 20th century onward. Accompanying this chapter is an interactive timeline (below) of U.S. immigration legislation since the 1790s.

Wednesday, June 6, 2018

MARKET WATCH: Brent crude price nears $80/bbl again

Brent crude oil prices gained modestly during the May 23 trading session in London to approach $80/bbl. Traders and analysts awaited news from a meeting of oil ministers in Russia that includes some Middle Eastern officials.

Iran faces new US sanctions following President Donald Trump’s decision to withdraw US participation from a 2015 international nuclear agreement. Members of the Organization of Petroleum Exporting Countries, especially Saudi Arabia, could fill any oil-supply gap.

Analysts awaited news reports from the St. Petersburg International Economic Forum, starting May 24, where oil ministers are expected to discuss US sanctions against Iran.

Olivier Jakob, Petromatrix managing director, said, “The main [oil price] risk for today and the next 2 days will come from the St. Petersburg Economic Forum as it provides an opportunity to have sound bites from the energy ministers of Saudi Arabia, the UAE, and Russia.”

OPEC and producers including Russia are scheduled to meet in Vienna during June to discuss production-cut target levels, due to expire Dec. 31.

Separately, analysts noted a surprising build in US oil inventories. The US Energy Information Administration reported the nation’s crude oil inventories, excluding the Strategic Petroleum Reserve, increased 5.8 million bbl for the week ended May 18, to an estimated 438.1 million bbl (OGJ Online, May 23, 2018).

The Weekly Petroleum Status Report said US oil production was up 2,000 b/d to 10.725 million b/d for the week ended May 18 compared with the previous week. For the latest inventory, Alaska’s production fell 22,000 b/d to 480,000 b/d while production across the Lower 48 rose 24,000 b/d to 10.245 million b/d.

Energy prices

The July light, sweet crude contract on the New York Mercantile Exchange fell 6¢ to settle at $71.84/bbl on May 23. The August price was down 31¢ to $71.71/bbl.

The NYMEX natural gas price for June increased less than a penny to a rounded $2.91/MMbtu. The Henry Hub cash gas price gained 8¢ to $2.86/MMbtu on May 23.

Ultralow-sulfur diesel for June edged up less than a penny to a rounded $2.29/gal. The NYMEX reformulated gasoline blendstock for June fell 1¢ to settle at a rounded $2.26/gal.

Brent crude oil for July increased 23¢ to settle at $79.80/bbl on London’s International Commodity Exchange. The August contract was up 25¢ to $79.94/bbl. The gas oil contract for June was $697/tonne, down $5.50.

OPEC’s basket of crudes was $76.43/bbl on May 23, down 76¢.

https://www.ogj.com/articles/2018/05/market-watch-brent-crude-price-nears-80-bbl-again.html

Monday, June 4, 2018

Memorial Day travel up 6% as WisDOT puts construction projects on hold for holiday weekend

MADISON, Wis. - Memorial Day weekend travelers are being asked to plan ahead, buckle up, and be patient while driving during one of the busiest travel times of the year. Travel is up by 6 percent in 2018, according to TripAdvisor's annual Memorial Day travel survey; nearly one-third of people surveyed will be traveling this weekend.

Of those traveling, 74 percent will be driving and 32 percent will be flying to their destinations. Even though air travel is also up by 6 percent, 9 out of 10 travelers said that the increase in gas prices will not affect their Memorial Day travel plans.

While most highway construction projects are being put on hold this weekend, motorists will likely encounter work zones requiring reduced speed and extra caution.

To help accommodate more cars out on the roads, the Wisconsin Department of Transportation is temporarily halting construction work on many highway improvement projects across the state. Workers will open as many highway lanes as possible, but motorists are still encouraged to allow extra travel time and expect slower traffic in work zones.

WisDOT's project communication manager, Steven Theisen, says the decision to pause work in construction zones for the holiday weekend eases traffic concerns, keeps, workers safe, and gives them some well-deserved days off.

"The workers do a great job throughout the rest of the year, so they certainly value and deserve their time off," Theisen said.

Theisen also encourages all drivers to be extra alert, even though workers won't be on site, and obey all posted signs. "All the work zone signage, they must certainly obey that," he said. "It comes down to three things: planning ahead, being patient, and eliminating distractions."

WisDOT released a list of work zones with significant road construction projects that may impact Memorial Day weekend travel. Included on that list are several projects in south-central Wisconsin:

  • I-39/90 in Dane and Rock Counties
  • Verona Road (US 18/151) in Dane County
  • US 151 in Dane and Columbia counties

Construction in most highway work zones will stop by noon on Friday, May 25 and will not restart until 6 a.m. on Tuesday, May 29.

Peak travel times are expected between noon and 8 p.m. on both Friday, May 25 and Monday, May 28.

The big travel weekend comes amid surging gas prices that are inching their way to the $3 mark. Even though air travel is up by six percent, driving is still the Memorial Day weekend travel method of choice; 90 percent of travelers say the increase in gas prices will not affect their travel plans.

More officers will also be out on the roadways, enforcing the statewide "Click it or Ticket" initiative, making sure drivers and their passengers buckle up.

"Troopers don't necessarily want to write as many tickets as possible," said Theisen. "It's making sure people voluntarily comply with traffic laws. Something as simple as buckling up every time for a safe journey: just buckle up and hit the road."

The majority of travelers will be going to the beach/ocean (26 percent), visiting a city (24 percent), heading to a lake (11 percent), or visiting national parks (9 percent.)

https://www.channel3000.com/news/memorial-day-travel-up-6-as-wisdot-puts-construction-projects-on-hold-for-holiday-weekend/745643496

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