I have seen it done. An Archaeological report of Higher Carnkie gave the grid refs for the Basset Tramway. SW 6844 3957 to SW 6864 3967. Of course it does rather depend on it being in a straight line!!

Not neccessarily. All that description you quote means is that those two GRs are where the railway starts and finishes. Where it goes in between those two points is irrelevent!
I am not sure really that tunnels are required as a seperate item. The one Vanoord quotes for example is associated with the Fronboeth Quarry. Although most tunnels would be associated with a railway of some kind and therefore could be (if needed) be a seperate album under the railway. In the above example it could be a seperate album under Fronboeth.
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Yes, that crossed my mind after I'd posted. The tunnel asssociated with the tramway I simply placed it with the mine. This isn't so easy if it's a mineral railway serving a number of mines.

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The past is a foreign country: they do things differently there.

Any more ideas for the feature list then over and above Vanoord's list :flowers: