EFFECTS ON MOTOR-CARRIER OPERATIONS OF ICC REGULATION OF OPERATING AUTHORITY

Interviews with motor carriers and other data sources were used to assess the direct impact of federal regulation of motor-carrier operating authority on energy consumption and economic efficiency. The major conclusions of the study are that gateways are the principal restriction affecting regular-route carriers but that these carriers are the least restricted of the carrier classes with regard to operations within the areas they are authorized to serve. The operating authority of irregular-route specific-commodity carriers is substantially more restricted, but these carriers make more use of their options to avoid impacts on efficiency. Nevertheless, in some cases these options do not entirely offset the consequences of inadequate operating authority. Owner operators make effective use of trip leasing to certificated carriers or haul exempt commodities to remain competitive despite their lack of operating authority. Restrictions on operating authority are partly responsible for the low load factors of private motor carriers, but private carriers still complete because of service and rate motivations. /Author/