McNichol Named to Lead Sustainability Efforts

Watco’s recent appointment of Laura McNichol to lead its sustainability efforts reinforces the importance the company places on this subject.

McNichol was named Chief Sustainability Officer in December 2021. For her, Watco’s environmental, social, and governance (ESG) activities are much more than meeting customer or investor expectations.

“As we formalize Watco’s sustainability program, it is about being a good corporate citizen, doing what is socially responsible across our business, and maintaining a strong reputation in our industry,” McNichol said. “Our goal is to be an ever-improving steward of our customers, our team members, and our planet, and to lead the short line railroad industry in sustainability efforts.”

McNichol highlights several steps Watco has taken already this year. Watco is embarking on its first inventory of all direct and indirect greenhouse gas emissions. Also, for the first time, the company will include its emissions data in its report to the Global Real Estate and Sustainability Benchmark (GRESB) organization. Annually, GRESB collects companies’ environmental, social, and governance data and provides in-depth ESG performance analysis.

In the future, McNichol anticipates carbon sequestration, or storage, could be part of Watco’s ESG strategy. The approach would identify places – such as soils and vegetation along railroad rights of way – where the company is or could be storing carbon, potentially offsetting carbon dioxide emissions. She also notes that Watco continues to seek new ways to drive operational efficiencies. These innovations not only reduce emissions but using less diesel fuel also saves money. For example, a distributed power project just approved for the Austin Western Railroad will reduce fuel consumption and increase carload capacity. Distributed power allows for positioning locomotives throughout a train to reduce the overall power required to move it, increasing efficiency while decreasing fuel consumption and emissions.

McNichol’s extensive background in both railroading and sustainability makes her the ideal choice to lead Watco’s efforts. She’s spent 16 years in the railroad industry, including five years as senior vice president of government relations for Watco. Before joining Watco, she was with R.J. Corman Railroad Group for two years. Prior to that, she spent almost nine years with freight rail advocacy organization GoRail. In addition, she served for eight years as assistant director of government affairs for the National Association of Conservation Districts, an organization dedicated to helping farmers and ranchers achieve their goals in improving natural resources.