A cooperation agreement was signed in Zürich on June 14 by the CEO of Swiss Federal Railways (SBB) Mr Andreas Meyer and Italian State Railways (FS) CEO Mr Mauro Moretti.
BULGARIA and Romania celebrated the completion of a new international rail link across the Danube on June 14 with the opening of the 1.97km bridge between Calafat, Romania, and Vidin, Bulgaria.
FINNISH minister of transport Mrs Merja Kyllönen unveiled the first of a new fleet of 40 low-floor LRVs for Helsinki City Transport (HKL) at Transtech's Otanmäki facility on June 13.
BRITAIN's Department for Transport (DfT) confirmed on June 14 that it has reached financial close with the Siemens/Cross London Trains consortium..
21Net introduces new system for high-speed broadband on trains
Rail broadband provider 21Net has introduced its new Telematics 2.0 system at the BWCS Train Communication Conference in London.
Rail broadband provider 21Net has introduced its new Telematics 2.0 system at the BWCS Train Communication Conference in London.
Midas Holdings' joint venture company Nanjing SR Puzhen Rail Transport (NPRT) has secured a RMB1.26bn ($205m) contract from China's Shenzhen Metro Group to deliver 198 train cars.
Stadler to deliver 20 Flirt3 trains to Abellio Rail in Germany
Stadler Pankow has signed a contract with Abellio Rail NRW to deliver 20 five-car Flirt3 electric multiple units (EMUs) for operation on the Lower Rhine rail network in Germany.
KiwiRail to improve freight performance with TTG Energymiser
New Zealand's national rail operator KiwiRail has signed an agreement with TTG Transportation Technology to use its Energymiser connected driver advisory system (C-DAS) to reduce energy consumption and environmental emissions, as well as improve the punctuality of trains.
European railways join forces to enhance booking opportunities for the benefit of European passengers
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The CEOs of European passenger railways agreed to launch a joint project, “Full Service Model”, designed to enhance end-to-end journey information and make it easier to book train and intermodal journeys on a diversity of distribution channels during their meeting yesterday in Spiez, Switzerland. The project will facilitate cross-distribution and allow railways to provide more choice and information to passengers, by making the most out of modern information technology (IT) developments.
European passenger CEOs agreed to run the project jointly with the ticket vendors’ associations ETTSA, ECTAA and GEBTA. The main goal of this project will be to reinforce business partnerships by making it easier for both railways and third party ticket vendors to display accurate and transparent data about available rail products, whilst respecting the commercial freedom about distribution channels and partners. It will concentrate on the functional requirement specifications for an IT infrastructure providing system capabilities for increased IT interoperability in the field of distribution. The end result for passengers will be an easier and faster access to information about rail services, on a much wider diversity of distribution channels. The project is expected to start immediately after the summer break and to last until the end of 2014. The Community of European Railway and Infrastructure Companies (CER) will support it in an advisory capacity.
High Level Passenger Group Chairman and CEO of SNCB Marc Descheemaecker welcomed the agreement: “This agreement is a powerful signal given to European passengers. The railways are ready to embrace innovative technologies in order to enhance further their services. It also shows that European railway undertakings are proactively meeting the needs of their passengers and are ready to collaborate, going beyond regulatory constraints.”
CER Executive Director Libor Lochman added: “With this decision, the European Passenger CEOs took a major commitment. This exciting endeavor, executed jointly with the ticket vendors will bring steep improvements to the way rail and intermodal journeys are distributed.”
Notes:
· ETTSA is the European Technology and Travel Services Association.
· ECTAA is the European Travel Agents’ and Tour Operators’ Associations.
· GEBTA is the Guild of European Business Travel Agents.
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At the root of the problem over Network Rail’s profligate tendencies, is the legacy of a rapid and radical privatisation that resulted in a structure which has still not settled down two decades later.
Two events in the aftermath of privatisation still colour the behaviour of today’s railway managers: the series of rail accidents, particulary the derailment of a train because of a broken rail at Hatfield in 2000 and the subsequent collapse of Railtrack the privatised infrastructure company and its replacement by Network Rail.
The railway suffered a ‘collective nervous breakdown’ in the words of the man who built the Channel Tunnel, the late Sir Alisair Morton, after Hatfield which resulted in a safety first method of working that has proved immensely costly. Everything piece of work was carried out to the highest standard, which meant branch lines ended up with the same type of kit as main lines used by 50 times more trains per day.
The collapse of Railtrack left the industry for a year in the hands of administrators who spent money as if there were an unlimited supply, a legacy that Network Rail has found hard to overcome in the decade since it took over.
Network Rail is a bureaucratic organisation that requires every project to go through the infamous and aptly name GRIP process that involves eight separate stages. People carrying out projects frequently relate that the managers commissioning the work are completely out of touch with the realities of working on site. Projects costs are inflated by an insanely complex compensation scheme which means that Network Rail is effectively penalised for improving the railways for the train operators who run their trains on it. It is rather like charging the man fitting you with a new kitchen for the fact you cannot cook while the work is carried out.
There are numerous such perverse incentives highlighted in the report by Sir Roy McNulty which tried to get to the bottom of why the railway cost more than its European counterparts. However, two years after the publication of the report, the Rail Delivery Group of senior rail managers charged with implementing improvements has little to show for its efforts.
There have been several reorganisations since Network Rail was created in 2002 but it is its very structure that is the problem. Network Rail is allocated money through a complex negotiation process involving government, the rest of the industry and the Office of Rail Regulation which is set out in a five year plan. This Soviet style arrangement has an inherent flaw. Just as with any organisation, it will try to ensure the money is spent by the end of the five year period to ensure that it can beg for more next time. And so on.
This is very different from the days of British Rail when the organisation was given a one year budget which could change radically from year to year. This, too, had inefficiencies built in since it was very difficult to accommodate such differences year to year, but it had the advantage of ensuring British Rail was run pretty cheaply.
There, are, though signs of progress, at least in Scotland. Last year, a £28m scheme to electrify 5 miles on the Paisley Canal Line was completed on time and at less than half the original cost estimate, thanks to a much more co-operative relationship between Network Rail and the contractors, and better use of technology. Indeed, the rail industry has been slow to adopt efficient technology, one of the reasons for its high cost base.
Moreover, beware of warnings that Britain’s railways are far more expensive than their foreign counterparts. Their systems, too, are riven with inefficiencies and poor working practices but their managements are cleverer at disguising them in the statistics which are often, in any case, lacking in detail.
Subterranean Railway (Atlantic Books, 2012)A social history of the tube
The Subterranean Railway celebrates the fantastic achievement of the Underground’s pioneers who created a transport system that was not only unique in the world but also was vital in creating the London we know today. Read more >>
UK Office of Rail Regulation (ORR)
Date published: 12 June 2013
Start date: 12 June 2013
Closing date: 4 September 2013
7,561 Kb)
The Subterranean Railway celebrates the fantastic achievement of the Underground’s pioneers who created a transport system that was not only unique in the world but also was vital in creating the London we know today. Read more >>
UK Office of Rail Regulation (ORR)
Periodic review 2013: Draft determination of Network Rail's outputs and funding for 2014-19
Reference: ORR/009/2013Date published: 12 June 2013
Start date: 12 June 2013
Closing date: 4 September 2013
The 2013 Periodic Review (PR13) is the process through which we determine the outputs that Network Rail must deliver, the efficient cost of delivering those outputs, and the access charges the company can levy on train operators for using its network to recover those costs. It covers the period from 1 April 2014 to 31 March 2019, which is called control period 5 (CP5). PR13 also establishes the wider ‘regulatory framework’ including the incentives that will act on Network Rail, train operators and others in the industry to deliver and outperform our determination.
Our draft determination sets out our package of overall decisions on PR13 for consultation. It is the culmination of two years of work and substantial stakeholder engagement on particular topics. After the 12 week consultation, we will take into account stakeholders’ responses and confirm our decisions in our final determination to be published on 31 October 2013. We will then begin the process of implementing the determination for the start of CP5 on 1 April 2014.
Our draft determination sets out our package of overall decisions on PR13 for consultation. It is the culmination of two years of work and substantial stakeholder engagement on particular topics. After the 12 week consultation, we will take into account stakeholders’ responses and confirm our decisions in our final determination to be published on 31 October 2013. We will then begin the process of implementing the determination for the start of CP5 on 1 April 2014.
Consultation document
Download the full Draft determination ( 7,561 Kb)Regulator identifies £2bn savings for Britain's railway from 2014 to 2019
12 June 2013
ORR/13/13
The Office of Rail Regulation (ORR) has announced today that over £2 billion savings have been identified in plans which will enable Britain’s railways to achieve continued growth and increase rail capacity over the next five years.
New tougher regulatory targets will also see levels of train punctuality increase with at least nine out of ten trains running on time on every route, higher standards of network infrastructure management and improved safety for passengers and railway workers.
ORR has undertaken an extensive analysis of Network Rail’s Strategic Plan for the railways between 2014 and 2019, published in January this year. The plan sets out proposals for funding and improving the rail network as required by the Westminster and Scottish governments. It builds on the growth and success of Britain’s railways over the past decade, which has seen safety, punctuality and services improve – and prompted record rises in the number of passengers and the amount of freight carried.
ORR’s assessment shows that over the next five years the day-to-day cost of running the rail network (between 2014-19) should be £21.4 billion – nearly £2bn less than proposed by Network Rail. Savings will be achieved through the implementation of new technologies, better management of the railways and more efficient ways of working. These savings will not come at the expense of safety. The regulator has largely protected Network Rail’s maintenance expenditure so that the delivery of a high-performing railway is not compromised. There is also additional funding to improve the condition of civil structures (bridges, tunnels) as well as to upgrade and close level crossings.
With rail passenger numbers expected to rise by a further 14% by 2019, ORR has approved a £12bn programme of enhancement projects to boost capacity on Britain’s railways. However, nearly £7bn of these projects are in very early stages of planning. To safeguard taxpayer interests, before releasing funds for these schemes, ORR is requiring Network Rail to provide well-developed plans to ensure they represent real value for money. The regulator also proposes that Network Rail seeks input from train operators, stakeholders, and passengers to demonstrate these plans address the needs of rail users.
ORR Chief Executive Richard Price said:
ORR/13/13
The Office of Rail Regulation (ORR) has announced today that over £2 billion savings have been identified in plans which will enable Britain’s railways to achieve continued growth and increase rail capacity over the next five years.
New tougher regulatory targets will also see levels of train punctuality increase with at least nine out of ten trains running on time on every route, higher standards of network infrastructure management and improved safety for passengers and railway workers.
ORR has undertaken an extensive analysis of Network Rail’s Strategic Plan for the railways between 2014 and 2019, published in January this year. The plan sets out proposals for funding and improving the rail network as required by the Westminster and Scottish governments. It builds on the growth and success of Britain’s railways over the past decade, which has seen safety, punctuality and services improve – and prompted record rises in the number of passengers and the amount of freight carried.
ORR’s assessment shows that over the next five years the day-to-day cost of running the rail network (between 2014-19) should be £21.4 billion – nearly £2bn less than proposed by Network Rail. Savings will be achieved through the implementation of new technologies, better management of the railways and more efficient ways of working. These savings will not come at the expense of safety. The regulator has largely protected Network Rail’s maintenance expenditure so that the delivery of a high-performing railway is not compromised. There is also additional funding to improve the condition of civil structures (bridges, tunnels) as well as to upgrade and close level crossings.
With rail passenger numbers expected to rise by a further 14% by 2019, ORR has approved a £12bn programme of enhancement projects to boost capacity on Britain’s railways. However, nearly £7bn of these projects are in very early stages of planning. To safeguard taxpayer interests, before releasing funds for these schemes, ORR is requiring Network Rail to provide well-developed plans to ensure they represent real value for money. The regulator also proposes that Network Rail seeks input from train operators, stakeholders, and passengers to demonstrate these plans address the needs of rail users.
ORR Chief Executive Richard Price said:
"Britain’s railway is a success story and it has made significant progress over the last decade. In order to sustain this progress and retain support and confidence, the industry must continue to improve its efficiency to reduce its dependence on public subsidy.
"We have set out what Network Rail and its industry partners will need to deliver between now and 2019 for passengers, freight customers, train operators, and taxpayers. Passengers will benefit from increases in capacity through a major programme of enhancements and improvements in punctuality, tackling in particular the worst-performing lines. Not only that, we are proposing that rail users should have more say in what enhancements to the railways are delivered and how.
"This determination is stretching but achievable and it gives Network Rail incentives to build on past successes, and do even better than the challenges we have set."By the end of 2019, ORR will require Network Rail to achieve:
- Improved performance for passengers - An average of 92.5% of trains on all routes up and down the country must arrive on time, with the difference between the best and the worst performing routes narrowing. At least nine out of ten trains must run on time on all routes.
- Delivery of projects to increase capacity and levels of service on the network - Many of Network Rail’s proposed enhancements to the rail network are in very early stages of planning. ORR has allocated funding to see these projects develop as fast as possible. The regulator is proposing that rail users and train operators are given a bigger role to shape the specification and delivery of Network Rail’s projects. This will help put passengers at the heart of decisions on how the railway is improved.
- Better management of the network infrastructure (assets) - Network Rail will have better and more up-to-date data on the condition of its tracks, bridges and other assets so that problems can be identified and fixed before they occur, significantly reducing delays caused by asset failures. The regulator will specify how progress is measured, and ensure the company is working to stretching new regulatory targets. Network Rail will also improve the resilience of the network to climate change.
- Improved safety for rail passengers and workers - ORR has approved £67 million funding to upgrade and close level crossings in England and Wales. Network Rail must reduce the risk of train accidents and work towards eliminating fatalities and major injuries.
- Greater efficiencies and value for money - ORR’s analysis shows that Network Rail can deliver what the governments want by spending £2bn less than proposed. Through more effective incentives, ORR is encouraging train operators, Network Rail and the supply chain to work together to create further opportunities to save money.
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