Transportation Policy and Regulations
Transportation has always been a key component of our economy. “Throughout history, the United States has attempted to create policies and establish regulations, at both the state and federal levels, to ensure that the transportation activities are conducted soundly” (Novack, Gibson, Susuki, & Coyle, 2019, p. 399). A functioning and a well thought out transport plan allow for things to run smoothly and harmoniously. For transport planning to function as they should, transport policies must be implemented. Transportation policies help in making effective decisions concerning the allocation of transport resources such as management, the improvement of management practices, and the regulations of transportation activities. Furthermore, transportation policies have an overall effect on improving businesses and the overall livelihood of individuals in this society. Moreover, transportation policies and regulations allow room for safety, dependability, reliability as well as fairness; which in turn benefit both parties, the consumer and the individuals laying out the laws and regulations.
Transportation policy is extremely important, because, it is the backbone of this country. Transportation and its’ policies allow for transport of goods, people and services; which allows for communities and the country to strive to the best of their abilities. Also, transportation is a critical link that binds each area to another. Consequently, if the country didn’t possess effective transportation, then there would be many areas that would be isolated from each other because there would be no means of transport to travel to those said areas. Also, these policies allow the betterment of jobs and individuals’ bettering their selves by traveling to get more education. Aside from that, an effective, efficient and fine-tuned transportation system allows our national defense to function to the best of their capabilities. In any event, where goods and materials are needed to be transported in a swift and timely manner, the transport and transportation policies will allow everything to run accordingly.
Transportation policies and transportation regulations go hand in hand, both are needed to function to their utmost ability. Transportation regulations are the rules or laws that are made and maintained by an authority. Transportation regulations are the framework of the policies, hence why both transportation policies and regulations are needed. Within regulations itself, some branches help its’ makeup. Economic regulations assure that healthy competition is promoted, antitrust regulations are implemented so that illegal trade and pricing inequities don’t rear its ugly head. Most importantly, besides those two prior regulations is safety regulations and security regulations. Safety regulation deals with protecting the well-being of the citizens and security regulations deals with terrorism and the invasion of unwanted outside forces.
Within transportation, there are five modes, these five transportation modes are motor carriers, railroads, airlines, water carriers, and lastly pipeline. Each of these five modes of transportation is affected by key transportation regulations. Just like with every industry in this country, economics has been extremely important and it’s important to the five modes as well. For example, economics is important to Maritime when dealing with water carriers. Maritime law is a very specific body of laws and regulations which includes international agreements and treaties, that govern activities at sea or in any navigable waters. Within the maritime law, there are four principles; the maritime safety, navigation security, commercial spirit and preventing contamination and environmental protection; all of them make the international trade and transportation by sea, making it bigger, sustainable and possible (
). Economic regulations have always persisted in ocean shipping. One of the issues in ocean shipping is that conference tariffs were favoring certain ports which in turn would cause other ports to lose a substantial amount of business. Conference rate-settings and economic regulations have a tremendous effect on shippers’ transportation costs, the freight flow, as well as competition amongst the different ports; hence why there are complaints of favoritism amongst some ports. Smaller shippers believed that the conference rate-setting only benefited the bigger shippers’ because, the higher rates only applied to them; while the bigger shippers got the lowest rates. Also, regulations restricted competition in coast-wise shipping. As a result, reducing coastwise trade restrictions would affect traffic volumes.
To conclude, transportation has always been a key competent in our country. Transportation policies and regulations allow for the proper transport of goods, people, and services. Proper and efficient transportation enables individuals’ to further educate their selves, which in turn, helps to rebuild communities and that also allows those communities to thrive because individuals with proper knowledge are a part of it. Within transportation, there are five modes; motor carriers, railroads, airlines, water carriers, and pipeline. Each of the five modes is affected by key transportation regulations. For instance, water carries are regulated by maritime law. Maritime law governs activities in the sea. Although maritime law is placed, there are still economic regulations that affect water carriers. One being is, conference tariffs which favor some specific ports and gives higher rates to small shippers and lower rates to the bigger shippers. Although transportation policies and regulations must be implemented, these regulations at times can affect certain aspects/industry.
- Novack, R.A., Gibson, B.J., Suzuki, Y., & Coyle, J.J. (2019). Transportation a Global Supply Chain Perspective. Boston, MA: Cengage Learning.