Analysis of new passenger services in railway corridors

Steer assessed, for one of Mexico’s main railway operators, the potential of integrating passenger services into a rail network currently focused on freight transport. This innovative project explored new opportunities within the sector and analysed the operational and financial implications of this transformation.

The analysis included creating a choice model under various scenarios to assess the preferences of potential users, addressing key aspects such as the necessary infrastructure, generated revenues, and the costs associated with the required investment and capital.

Steer employed an advanced methodology based on Big Data to conduct this evaluation. By analysing millions of anonymised movement data from one of the country’s main telecom networks, the Steer team constructed an Origin-Destination matrix reflecting passenger mobility in more than five thousand areas, covering nearly half of the national territory.

This approach significantly reduced time and costs compared to traditional data collection methods, such as physical surveys. Furthermore, the analysis was complemented with Stated Preference surveys, which provided additional insights into user preferences and the potential to switch to the new mode of transport if it were available.

The collected data was integrated into a transport model, designed and coded by the Steer team, and later combined with advanced Geographic Information Systems (GIS) tools to enhance data visualisation. Finally, this information was organised into an interactive query tool, which was provided to the client, enabling them to access the data efficiently and according to their specific needs.

Thanks to the collaborative work of the teams in Mexico, Colombia, Chile, the United Kingdom, and Canada, Steer provided the railway operator with valuable insights that will allow them to plan the use of their network more efficiently, optimise future investments, and improve freight operations both within the national railway network and in port and cross-border connections.

This project not only consolidated Steer’s knowledge of the particularities of the Mexican railway system but also allowed the evaluation of almost half of the active railway network in the country, connecting the main cities, coasts, and borders of Mexico.