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Four key components to deliver rail freight growth

EWS said on 5 September 2006 that the Network Rail's draft Freight Route Utilisation Strategy (RUS) was one of four key components to deliver a predicted 50% growth in freight moved by rail over the next decade.

Research by EWS reveals that this projected growth is accurate as British industry is increasing its use of rail freight for economic reasons and also to reduce the size of its carbon footprint by switching some element of existing road transportation to rail.

Providing an efficient network for freight is only one of four crucial elements that are required to be resolved to meet this growth projection. The other three are:
The Office of Rail Regulation is proposing to increase the track access charges freight operators pay Network Rail to use the railway. This would price freight off the railway and onto road. The charges freight operators pay Network Rail need to be lowered. This would attract additional volumes to rail, delivering substantial societal benefits including a reduction in the emissions that cause global warming.

Channel Tunnel rail freight volumes are projected to increase by 260% in the next decade. However, Channel Tunnel rail freight services will be axed from 30 November 2006 as no affordable charging regime will be available from that date. This requires an urgent solution.

Fuel duty costs for rail freight operators have been increased by 300% over the last ten years. In the last three years, the increase has been 200%. At a time when the cost of fuel has increased, the Government needs to recognise the environmental benefits of rail freight and lower its fuel duty to enable traffic to be won to rail.

Network Rail's Freight Route Utilisation Strategy is a crucial step to deliver rail freight growth and requires each of these significant levers to be addressed. Depending on decisions taken, each one will have a positive or negative impact on future rail freight growth.

EWS has worked closely with Network Rail on the development of the draft strategy. It is very encouraging that Network Rail supports the view that additional capacity for freight trains can be achieved through other options rather than just new track and signalling. The rail freight industry can deliver more today by implementing longer freight trains, and EWS will be seeking approval this autumn from Network Rail to operate new lengthened trains across the rail network where possible.

This is already been implemented for energy generation industry. In March this year, EWS and Network Rail successfully introduced jumbo coal trains of nearly a mile in length. This enabled two trains worth of coal volumes to be moved in one slot in the timetable, resulting in 4,000 tonnes of coal being delivered. This is an efficient use of scare capacity and underlines how more can be delivered by rail through very simple ideas.

EWS has also lengthened other coal services but adding on between one to six wagons per train in partnership with Network Rail. This has delivered an additional six million tonnes of haulage capacity for the energy generation industry, again without the need to operate additional trains.

Graham Smith, EWS Planning Director, said: "The increasing demand by British industry for using rail to transport their goods to markets underlines the importance that all parts of the rail freight jigsaw are connected to meet this demand. The vision for growth in Network Rail's draft Freight RUS is deliverable, but will only be achieved by reduced track access charges that freight operators pay to run trains, lower fuel duty and an economic pricing regime to operate freight trains through the Channel Tunnel. A strategy for growth is meaningless if the cost of using the rail infrastructure makes the running of freight trains uneconomic."

He continued: "The focus on a sustainable transport system highlights the importance of rail freight, which produces one-tenth of the polluting emissions of road. The draft Freight RUS demonstrates where judicious investment will allow customers to decide to buy the benefits of freight by rail, and also benefit society by reducing the size of their carbon footprint."



 

 

Last Updated: 5 September 2006
 
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