The Delaware and Hudson Canal was the first venture of the Delaware and Hudson Canal Company, which would later build the Delaware and Hudson Railway. Between 1828 and 1899, the canal's barges carried anthracite coal from the mines of northeastern Pennsylvania to the Hudson River and then to market in New York City.

Construction of the canal involved some major feats of civil engineering, such as the construction of the Delaware and Hudson Gravity Railroad, and resulted in the development of some new technologies, particularly in rail transport. Its operation stimulated the city's growth and encouraged settlement in the sparsely populated region. Unlike many other canals of that era, the canal remained a profitable private operation for most of its existence.

The canal was declared a National Historic Landmark in 1968. often would leave his affairs for weeks at a time to explore the then-sparsely populated northeastern part of Pennsylvania. He began noticing, mapping, and researching blackish rock outcroppings, becoming the first explorer of the anthracite fields that have since become known as the Coal Region. He believed they could be a valuable energy source, and brought samples back to Philadelphia for testing.

200px|thumb|Anthracite coal

Eventually, he convinced his brothers Charles and Maurice to come along with him and see for themselves. Starting in 1812, they began buying and mining large tracts of inexpensive land. They were able to extract several tons of anthracite at a time, but lost most of what they tried to bring back to Philadelphia due to the treacherous waterways that were the main method of transportation in the interior. While the southern reaches of the Coal Region were already beginning to supply Philadelphia, they realized that the areas they had been exploring and mining were well-positioned to deliver coal to New York City, which had experienced an energy shortage after the War of 1812, when restrictions were placed on the import of British coal. Inspired by the new and successful Erie Canal, they conceptualized a canal of their own from Pennsylvania to New York, through the narrow valley between the Shawangunk Ridge and the Catskill Mountains, to the Hudson River near Kingston, a route followed by the Old Mine Road, America's first long-distance transportation route.

The D&H was also developing railroads, a technology that was continuing to improve and supplant canal transportation at the time, to extend its access to other Northeastern markets. The D&H also extended its gravity railroad from Carbondale deeper into the coal fields and expanded its capacity. By the time Maurice Wurts died in 1854, the company was reporting profits of 10-24% annually and had completely paid its original debt to both states. However, that never happened. Instead, Coykendall used the northernmost section, from Rosendale to Rondout, to transport Rosendale cement and other general merchandise to the Hudson River until abandoning that business in 1904. The canal was never used again.

As the 20th century began, the company used some of the canal right-of-way for its expanding railroad operations; some of the rest was sold to various private companies, mainly other, smaller railroads.

During the early 21st century residents of the town of Deerpark, north of Port Jervis, complained that the canal had been leaking water and causing flooding in the neighborhoods near Cuddebackville in recent years. Orange County, which maintains it in that area, met with town officials and local residents to discuss possible solutions.

Preservation as historic site

thumb|The Delaware and Hudson Canal Museum in [[High Falls, New York]]

Some of the ruins of the canal and its associated structures remain. The Delaware & Hudson Canal Historical Society was formed in 1967; its museum has an extensive education program and hosts hundreds of area students each season. The Neversink Valley Area Museum was formed in Orange County New York in 1968 and the National Park Service recognized the canal site in Orange County as a National Historic Landmark. Many other buildings and sites associated with the canal have been added to the National Register of Historic Places and state and local landmark lists.

Canal

thumb|Child leading mules on the canal

The finished canal ran , from Honesdale to Kingston (counting the tidewater portions of the Rondout where the canal joined the creek at Eddyville). Its 108 locks took it over elevation changes totaling , more than the Erie Canal's . The channel was deep (eventually increased to ) by wide. It was crossed by 137 bridges and had 26 dams, basins and reservoirs. Originally it crossed the four rivers along its course — the Lackawaxen, Delaware, Neversink and Rondout Creek — via slackwater dams. Aqueducts were built over the rivers to replace them by John Roebling in the 1840s, eliminating a few days from canal travel time and reducing accidents that were occurring at the Delaware crossing with loggers rafting their harvest downstream.

Barges were pulled by mules along the adjacent towpath, a power source employed even after the development of steam engines, since the bow wave from a faster steamboat would have damaged the channel.

The canal was divided into three sections for operational purposes: the Lackawaxen, from Honesdale to the river Delaware; the Delaware, along the river from there to Port Jervis; and the Neversink, from Port Jervis to Rondout (now part of the city of Kingston) near the junction of Rondout Creek with the Hudson River. A voyage along its length took, initially, a week. It was closed on Sundays,]]

Besides its historical firsts, the canal's most significant effect was to help stimulate the growth of New York City along with the other anthracite canals. Fueled by the cheap and plentiful coal barged along the canal and the river Hudson, the city was able to develop and industrialize rapidly. The company's first president, Philip Hone, served a term as the city's mayor during the canal's construction. Later, John Roebling's experience building the canal served him well in designing the Brooklyn Bridge.

On the Pennsylvania end, the interior anthracite regions were able to grow and develop from the rough wilderness they had been when William Wurts traveled them and mapped the coal deposits. The viability of its anthracite encouraged selling to other markets as well, sustaining the region economically well into the 20th century.

Along its route, the canal created small communities at some of its stops. Some were named for canal executives. Honesdale was named for Philip Hone, the company's first president. The village of Peenpack, New York, renamed itself Port Jervis after the engineer soon after incorporating in 1853. Further north, the Wurtses are remembered by Wurtsboro, New York. A number of other New York communities with "port" in their name, such as Phillipsport, Port Orange, Port Benjamin and Port Jackson (now Accord) indicate their origins as canal towns. Summitville is named for its being the highest easterly point along the canal route.

As automobiles began to replace the transportation function of the railroads, which had once done the same to the canal, the general route of the canal was used as a highway route. Routes US 6 and PA 590 follow part of the route between Honesdale and Hawley, with 590 running along the towpath

  • Sullivan County: maintains the largest remaining fragment of the canal, some of which is still wet, as the Delaware and Hudson Canal Linear Park. Hiking, cross-country skiing and jogging, bicycling and fishing are permitted along the , section near Summitville, north of Wurtsboro in the Town of Mamakating. Much of the land is beginning to return to its natural state due to the long years since the canal was abandoned. Some locks and other structures can be found from three different access points along US Route 209. The county park