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(The following story by Paul Merrion appeared on the Crain’s Chicago Business website on December 11, 2009.)

CHICAGO — Bowing to congressional pressure, Metra is backing down from its plans to buy a new type of locomotive that promises to burn less fuel while producing less noise and pollution.

The dispute pits two competing locomotive manufacturers in Illinois, Mount Vernon-based National Railway Equipment Co. and LaGrange-based Electro-Motive Diesel Inc.

Eight members of the Illinois congressional delegation, led by Rep. Daniel Lipinski, D-Chicago, blasted the suburban Chicago commuter rail system in a letter Friday for its plans to buy “genset” locomotives, which have two or three diesel engines, the type made by National Railway. That would exclude the traditional, single-engine type made by Electro-Motive Diesel.

Originally, Metra had planned to buy 10 single-engine locomotives, but National Railway protested with support from U.S. Rep. Jesse Jackson Jr., D-Chicago, whose district includes one of the firm’s plants. Metra then decided to buy 10 genset locomotives instead.

“Instead of unnecessarily limiting its options, Metra should open up the bidding process to producers of both types of locomotives, allowing it to make the best choice for taxpayers, commuters, the environment and Illinois workers,” Mr. Lipinski said in the letter. “Otherwise, Metra will be limiting competition and increasing the possibility that it will be forced to pay more for less. Opening up the bidding process is a matter of simple fairness and basic common sense.”

The bipartisan letter also was signed by U.S. Reps. Mark Kirk, R-Highland Park; Bobby Rush, D-Chicago; Donald Manzullo, R-Rockford; Danny Davis, D-Chicago; Bill Foster, D-Geneva; Debbie Halvorson, D-Crete, and Judy Biggert, R-Hinsdale.

Now, Metra plans to seek bids from all locomotive manufacturers instead of favoring one type over another, Executive Director Phil Pagano said in a telephone interview. “We have to work internally figuring out a process to evaluate two different types of technology.”

Genset locomotives can operate with only one engine to produce power while idling at a station, and two or three smaller engines are more efficient than one large engine of equivalent horsepower, reducing noise by more than 85% and increasing fuel efficiency by at least 40%, said Jim Wurtz, vice-president of National Railway. “We welcome the competition. The technology will stand on its own merits.”

“We don’t have a problem with that,” a spokesman for Mr. Jackson said. “Our original intent was to keep the bids open for everybody. I think we would have signed the letter, but nobody ever asked.”

However, according to a computer simulation of a Chicago-Aurora run, Electro-Motive Diesel found that its locomotives are 8% to 14% more fuel efficient than the genset alternative, said a spokesman for Rep. Lipinski.