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RFG launches manifesto for rail freight growth

Issue: Autumn 2009

The manifesto launched in September by RFG and the Rail Freight Operators Association was directed at the political parties who may form a government after next year's general election.

The 19-page manifesto calls on the political parties to:

  • protect the current structure of the railway to give confidence to private sector investors;
  • support the Strategic Freight Network and create capacity and capability for rail freight growth;  encourage an ever-more efficient rail industry which is open for business 24/7;
  • provide an efficient planning framework for rail freight terminals;
  • sustain the current environmental benefit schemes;
  • ensure all modes of freight transport contribute to the external costs they cause; and
  • say ‘no’ to longer and heavier lorries.

Rail freight has demonstrated its success by a 60% growth in business since privatisation, encouraged by governments. However, in this economic climate where rail freight is the only part of the railway not controlled by Government, it is essential that all parties commit to give the political support necessary for rail freight to grow.

Industry efficiency is the key to achieving growth. The rail freight industry and Network Rail all have to play their part in reducing costs. The principle that rail freight pays only for the wear and tear that it imposes on the rail network must be retained, and Government, politicians and stakeholders must eliminate or reduce externally imposed costs that are borne by the rail freight industry. Traffic through our ports and the Channel Tunnel is likely to double in the next 20 years, and rail freight can play a major part in ensuring more efficient and environmentally friendly transport inland.

To achieve this, we need a network of gauge cleared routes for higher containers and, to improve competitiveness with road transport, rail freight operators want to run longer trains,

Continue support for the Sustainable Distribution Fund, which buys environmental, congestion and safety benefits, by paying a subsidy to move a container by rail instead of road where rail is unable to compete with road on price. This scheme offers high value to money to government, as the average benefit to cost ratio is 4:1. Among its environmental benefits, freight moved by rail produces 70% less carbon than freight moved by road, with the opportunity to save 4.6 million tonnes of CO2 per year by 2030.

Finally, rail freight must have a level playing field with other modes, ensuring that it is treated fairly with road freight and passenger rail, and that safety compliance between road and rail is put on an equal footing that will encourage growth, and recognising that longer and heavier road vehicles will undermine rail freight growth.

These 10 campaign papers set out what is needed to enable rail freight to double in 20 years, to the benefit of the environment and to the UK’s competitiveness. No big changes are necessary but the industry needs the confidence and policy continuity from Government to ensure that the structure is in place to enable the private sector to achieve the growth in volumes and service quality that customers require.

We are urging all political parties to recognise this and, in their election manifestos, commit not only to words of support but actions to enable this growth to be achieved. The manifesto for rail freight growth is available on: www.rfg.org.uk/hot

Lord Berkeley is Chairman of the Rail Freight Group. For further information, visit www.rfg.org.uk

Published: 05/10/2009

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