Railroad equipment and operating practices were largely developed in an era during which the price of fuel was a relatively minor part of the cost of railroad operations; however, fuel has now become a scarce and expensive resource. Although many opportunities exist for installing new equipment and operating practices that will result in fuel conservation, cost and market factors can promote or retard the rate at which changes are adopted, and only limited technology may be available for use in conservation applications. Conservation opportunities are identified and potential technological and operational improvements are described that can be introduced; the process of introducing new technology in the railroad industry is analyzed; the future of the railroad industry is assessed; and research and development that will contribute to the adoption of energy conservation equipment or processes in the industry are identified.