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NEWS 141 May 2020 Helping ensure a sustainable future for UK rail freight www.rfg.org.uk P.6 London waste on rail service P.5 GBRf and Porterbrook trial parcels service Rail freight sector hopeful of quick recovery Membership survey reveals cautious optimism for post-coronavirus recovery P.7 Saying thank you to Covid-19 heroes A survey conducted by Rail Freight Group (RFG) of its members has highlighted the challenges facing companies across the rail freight sector but also offers hope that the recovery may not be as protracted as feared. The polling, conducted in April, reveals signifi- cant interruption to normal operations with firms highlighting reduced demand and declining customer orders, cash flow concerns, business suspension and interruption and delays in areas such as planning decisions. • The majority of respondents had seen their businesses affected by the current situation, with 54% of those surveyed having closed parts of their business or expected to close soon. • 55% of businesses had furloughed staff, with 42% furloughing more than a quarter of their staff, and 17% more than half. • Sickness was not a significant issue with 80% seeing absence levels below 10% in their busi- nesses. • Despite these challenges, there was cautious optimism over the return to economic normality. 45% of respondents expect their businesses to recover this year. 71% expect the recovery to take more than two months, and 38% more than six months. Maggie Simpson, RFG Director-General, said: “Rail freight is playing a key role in keeping goods and supplies moving across the UK sup- porting the economy and communities. Yet the sector is also being adversely affected by these unique challenges, and our members are telling us of the difficult actions they are having to take to protect their businesses. “It is encouraging to see that many businesses expect to see some return to normality this year, but this will only happen with continued support from Government and a steady and considered approach to rebuilding business activity,” she added. • More on RFG’s response to Covid-19 on page 3. Get your entries in for the RFG Awards 2020! Details on page 4. Transfesa and DB Cargo launch new Spain-UK express service Page 2. Photo: Howard Lewsey 92015 & 66017 crossing the Medway Bridge

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Page 1: 141 - RFG · NEWS 141 May 2020 Helping ensure a sustainable future for UK rail freight ... seeing absence levels below 10% in their busi-nesses. • Despite these challenges, there

NEWS 141 May 2020

Helping ensure a sustainable future for UK rail freight www.rfg.org.uk

P.6 London waste on rail service

P.5GBRf and Porterbrook trial parcels service

Rail freight sector hopeful of quick recoveryMembership survey reveals cautious optimism for post-coronavirus recovery

P.7 Saying thank you to Covid-19 heroes

A survey conducted by Rail Freight Group (RFG) of its members has highlighted the challenges facing companies across the rail freight sector but also offers hope that the recovery may not be as protracted as feared.

The polling, conducted in April, reveals signifi-cant interruption to normal operations with firms highlighting reduced demand and declining customer orders, cash flow concerns, business suspension and interruption and delays in areas such as planning decisions.

• The majority of respondents had seen their businesses affected by the current situation, with 54% of those surveyed having closed parts of their business or expected to close soon.

• 55% of businesses had furloughed staff, with 42% furloughing more than a quarter of their staff, and 17% more than half.

• Sickness was not a significant issue with 80% seeing absence levels below 10% in their busi-nesses.

• Despite these challenges, there was cautious optimism over the return to economic normality. 45% of respondents expect their businesses to recover this year. 71% expect the recovery to take more than two months, and 38% more than six months.

Maggie Simpson, RFG Director-General, said: “Rail freight is playing a key role in keeping goods and supplies moving across the UK sup-porting the economy and communities. Yet the sector is also being adversely affected by these unique challenges, and our members are telling us of the difficult actions they are having to take to protect their businesses.

“It is encouraging to see that many businesses expect to see some return to normality this year, but this will only happen with continued support from Government and a steady and considered approach to rebuilding business activity,” she added. •

More on RFG’s response to Covid-19 on page 3.

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Transfesa and DB Cargo launch new Spain-UK express service Page 2.

Photo: Howard Lewsey 92015 & 66017 crossing the Medway Bridge

Page 2: 141 - RFG · NEWS 141 May 2020 Helping ensure a sustainable future for UK rail freight ... seeing absence levels below 10% in their busi-nesses. • Despite these challenges, there

Why there’s nothing ‘normal’ about the ‘new normal’

By Maggie Simpson, Director General, Rail Freight Group (RFG)

The current situation, and the months ahead are fre-quently being described as ‘the new normal’. It’s a phrase I really dislike, for it seems to make what we are experiencing now an acceptable and semi-per-manent thing. Whilst the controls and measures are necessary to safely maintain the nations’ health now, allowing them to become anything other than a crisis response raises some difficult questions for Govern-ment and business alike.

Our conversations with members show the many lengths that are being taken to keep businesses functioning and financially sound, and to ensure that staff are protected and kept safe. The measures that are being taken are working, but they are unpalatable for anything other than the short term. So, we have to start thinking about how we can safely start to unlock economic activity if and when Government decides to step forward out of lockdown. Indeed, there are already some promising green shoots where Government guidance has enabled some business activity to resume, for example in the construction sector.

In my discussions with Ministers and officials it is clear that they understand the huge contribution that freight transport and rail in particular is making at the moment. Indeed, the profile of rail freight has probably never been higher, and this is being helped by the continuing good news stories that you can read about in this newsletter. This shows the resilience of our sector, and its determina-tion to keep its customers happy and the goods moving. This has also been noticed by decision makers, and I be-lieve it will stand us in good stead over the coming months.

For now, though we are continuing to press for the right measures to keep rail freight on track, and to help rebuild services back to growth. In the short term this includes financial measures, ensuring that Government support schemes work in our sector, and areas such as supply of PPE and keyworker testing. In the next few weeks, it is about keeping freight moving as a priority if and when passenger services start to resume and making sure that support measures such as the furlough scheme are re-duced gradually and without any cliff edges.

We also recognise that business confidence is taking a bashing presently and we are starting to discuss the measures that Government could take to restore this and encourage ongoing private sector investment. The an-nouncement of the Notice to Proceed on HS2 was an im-portant step and unlocking other infrastructure schemes which are awaiting decisions on planning or funding will help. From a rail perspective, securing confidence in fu-ture access rights and charges will also be helpful.

Finally, a huge thank you to all our members for their on-going work in keeping their staff safe and the freight mov-ing. Please do get in touch with any questions or issues. We appreciate the current situation is highly concerning for all our members and staff. The RFG team stands ready to help support everyone through this period, and we will be sending out frequent updates with relevant in-formation as we receive it. The RFG team are working from home and can be contacted as usual by mobile or email – details are below.

Maggie Simpson, [email protected], 07737 007 957 Joe O’Donnell, [email protected], 07974 168 922, (Working Monday, Tuesday and Wednesday) Phillippa O’Shea, [email protected], 07931 763081Yvonne Mulder, [email protected], 07887 767 666Mike Hogg, [email protected], 07833 402 804Robin Smith, [email protected], 07968 488 905 James Falkner, [email protected], 07753 271 110.•

Director-General’s Update: Maggie Simpson email your comments to [email protected]

RFG News May 2020

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Transfesa Spain to UK Express serviceDB Cargo UK and its sister company Transfesa Logistics have launched a new express 72-hour rail service to transport essential hygiene, medical and food products from terminals in Valencia and Murcia to London.

The new 30-refridgerated box service ex-pands Transfesa Logistics’ European op-erations and comes on the back of new perishables warehouse investment also in Valencia.

Bernd Hullerum, CEO of Transfesa Logis-tics said currently, they are currently serv-ing customers in the fruits and vegetables but the objective is to expand the service into a daily train for other chilled goods.

A lighter box, of the UNIT 45 type, has been deployed on the service, which al-lows around 30 containers per train to be moved. In this way, more products can be included, and the capacity of each opera-tion can be expanded.

“This is another step in the development of our international corridors, thus ex-panding services to a strategic segment. In Valencia we have also just opened a 2000 sq m warehouse for food products. The railway is, now more than ever, the most sustainable and reliable means of

transport.”

The new services operate into DB Cargo UK’s Barking Intermodal Terminal in Lon-don which is strategically connected to the High Speed 1 (HS1) rail link.

Hans-Georg Werner, CEO of DB Cargo UK, said: “DB Cargo UK are delighted to be working with our DB Cargo group partners at Transfesa Logistics to deliv-er essential rail freight services across the continent in these challenging times. Rail freight has a vital role to play in the sustainable transportation of international goods and it’s more important than ever that we ensure these supplies reach the UK.” •

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News in brief• A downloadable video message from Transport Minister Rachael Maclean MP has been released. In it she thanks key work-ers for their extraordinary work and resilience during the Covid-19 crisis and specifically targets freight transport. Download the video here.

• RFG Director-General Maggie Simpson recent-ly wrote for RAIL maga-zine on the importance of greater investment in overhead electrification across the UK, as part of decarbonising freight. Read the article here. Maggie also recent-ly shared her top-five pri-orities with Global Railway Review. Read it here.

• Network Rail recently helped provide logistical and project management expertise to help deliv-er the NHS Nightingale Hospital North West in Manchester. Dozens of volunteers worked with the Army Reserve and Na-tional Health Service to get the hospital, which has capacity for up to 750 pa-tients, open over the East-er weekend.

• The Rail Supply Group has launched an inde-pendent survey to gather views from senior logis-ticians across the sec-tor. Conducted by Savanta ComRes, it said it believes the survey will provide val-uable insights to steer both its current and future work. Click here for the details.

• Details on Labour’s new Shadow Cabinet are available here. Jim McMa-hon MP has been named Shadow Transport Secre-tary. You can follow him on Twitter at @JimfromOld-ham

3

RFG News May 2020

RFG response to Covid-19 crisis

Since the start of the Coronavirus pandemic, Rail Freight Group has been increasing its membership communications, sending out daily updates sharing Government advice and available support from both outside the sector and within.

We have set up a LinkedIn discussion group to allow both members and non-members to stay up to date on rail freight-related issues and share their experiences and views. If you have not signed up yet please feel free to do so here.

Some of the most relevant support measures put in place for companies involved in the rail freight sector are linked below.

Job Retention SchemeThe Government’s Coronavirus Job Retention Scheme went live on 20 April, with businesses able to claim up to 80% of a furloughed worker’s salary caped at £2,500 a month. The scheme has been extended until end of June. Employ-ers can apply for direct cash grants through HMRC’s new online portal - with the money ex-pected to land in their bank accounts within six working days. For further details click the link here. A webinar detailing information on how to make a claim is linked here.

Testing key workersThe testing of key workers has been a crucial issue for the transport and freight sectors. Gov-ernment has confirmed that key workers in the transport sector, including rail freight, are now eligible for testing if they are symptomatic. De-tails are provided online. From now, essential workers can book tests for themselves and their household via a new online portal. The booking service will apply to England and Scotland only, but full details on how to access testing in all nations and who is eligible can be found at the

above link. Demand for these tests has been high howev-er, we strongly encourage you to advise your self-isolating staff to get a test if they or some-one in their household have symptoms. Click the link here for details on getting tested. If you need further guidance and support, please con-tact DHSC at [email protected] package of materials has been created to help communicate with staff. Download the pack here.

Social distancingThe Government has published additional guid-ance to assist employers, businesses and their staff in staying open safely during coronavirus. Click the links below for sector-specific informa-tion.

RSSB Covid-19 SupportRSSB has created a dedicated page on its web-site to outline how it is supporting the rail indus-try during the Covid-19 pandemic. There are a number of useful links including two videos that help promote safe decisions.

The first video is designed to help newcomers understand Taking Safe Decisions, especially useful for Safety Directors to use within their own companies.

The second video is designed to help people to start unpacking Taking Safe Decisions itself for example safety practitioners who have heard it mentioned but want to know more.

The RSSB is also offering to defer fees to over half its members in light of the Coronavirus. It has written to those members with an annual turnover below £10m to offer them the oppor-tunity to defer payment of their RSSB member-ship levy for 2020-21 until later in the year. •

The teams at DB Cargo and Network Rail deserve huge credit for their hard work in running its heaviest ever train for customer British Steel.

The service carried coal from Redcar to Scunthorpe and was pulled by two Class 66s (66030 and 66149). It weighed in at 4098 tonnes and was made up of 42 hopper wagons.

Photo by Darren Bailey.

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The prestigious RFG Awards, which recognise excellence in all aspects of rail freight, are now open for entries. We would encourage all our members to use this opportunity to take the chance to acknowledge the outstanding work undertaken by your teams up and down the country, each and every day.

Winners will be presented with their trophies at an informal ceremony and dinneron Thursday 10 September 2020 at De Vere Latimer Estate, Chesham, Bucks HP5 1UG.

Awards categories:

• Customer Care (incorporating Support Services) • Community and Environmental Responsibility • Innovation & Technical Development • Rail Freight Project of the Year • Outstanding Individual Contribution • Young Rail Freight Professional • The Business of the Year Award (nominated and chosen by the judges from entries received)

Click here for all details and entry process. •

The 2020 RFG Awards are kindly sponsored byBurges Salmon LLP and GB Railfreight.

RFG News May 2020

4

Enter the RFG Awards 2020and help recognise the very best in our sector

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RFG News May 2020

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DB Cargo runs first Cricklewood service for FCC Environmental DB Cargo has operated the first service from the new rail freight terminal at Cricklewood to Calvert Landfill on behalf of FCC Environ-mental.

Each train carries up to 1,500 tonnes of construction spoil, removing up to 80 lorry movements from London’s roads. Cricklewood is the third con-struction hub to be opened in the capital as part of a long-standing part-nership between DB Cargo and FCC which, along with Barking and Bow East, are capable of handling up to 1 million tonnes of construction spoil each year.

HS2 Notice to Proceed issued to Construction partnersThe Department for Transport (DfT) has given approval for HS2 Ltd to issue Notice to Proceed to its con-struction partners.

Maggie Simpson, RFG’s Direc-tor-General, said: “We are delighted that Government has finally given the go-ahead to start the construction of HS2. This decision is welcome news for many of our member businesses who will supply materials and engi-neering services to build this vital new railway. At a time of ongoing econom-ic uncertainty, this is a shot in the arm for the rail freight sector.”

West Midlands Freight hub decision delayedThe DfT has said it will make a de-layed decision on the much antici-pated new freight handling facility West Midlands Interchange.

The new strategic rail freight inter-change is proposed for a site just north of Wolverhampton. The deci-sion, after a lengthy planning and consultation process, was due by 27 February, but has been extended.

A brief statement from the DfT says that the delay is to allow for further work to be carried out before issuing a determination. A decision is expected very shortly.

GBRf trials express parcels on passenger trainGB Railfreight (GBRf) and Porterbrook have success-fully trialled using former commuter trains for the ex-press delivery of parcels. A service was run into Euston station in April using a Class 319, EMU train, which until recently was providing com-muter services in the West Midlands.

The trial showed the trains could successfully be loaded and offloaded with standard roll cages at most mainline sta-tions across the UK and when seats are removed the carriages can carry significant volumes of parcels.

This is the first time that successful trial of using a converted commuter train has been undertaken in the UK. GBRf is now in discussion with Government about how the service could play a role in helping with the logistical challenge of delivering supplies to UK hospitals.

As well as strengthening supply chains during the current crisis, a return of parcel delivery services to mainline stations would pro-vide online retailers with a more sustainable and reliable options for overnight parcel deliveries, bringing deliveries into the heart of major cities.

John Smith, GBRf MD, said: “We are committed to continuing to help the UK get through this period by ensuring that vital supplies are delivered. Rail freight has the advantage in being able to ef-ficiently move very large volumes of goods in a safe and reliable way. This successful trial shows how the railways can play their role in helping the speedy delivery of vital supplies and we are keen to be able to do our bit to help the NHS meet the logistical challenge of keeping our hospitals supplied during this period of huge demand. Post-crisis these services could play a role in re-ducing air pollution and carbon emissions associated with parcel deliveries. With deliveries being brought into the heart of cities by train overnight and last mile deliveries then undertaken by electric powered vehicles.” •

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Waste service helps to create enough renewable energy to power 50,000 homesHousehold waste is helping to keep the lights on for 50,000 homes during the coronavirus crisis as Network Rail con-tinues to move an essential freight service which carries waste from London to an energy plant in the South West.

The waste from 1.6 million residents of Brent, Ealing, Harrow, Hillingdon, Hounslow and Richmond-upon-Thames is carried 110 miles from waste transfer stations in Northolt and Brentford to the Severnside Energy Recovery Facility in Avonmouth six days a week.

The facility is operated by Suez Environmental with DB Cargo, responsible for haulage. •

RFG News May 2020

6

Freightliner helps keep waste off the streets of city centresFreightliner is running three trains a day on behalf of customers Suez, mov-ing around 1,500 tonnes of domestic waste from the streets of Manchester to the energy-from-waste (EfW) plant in

Runcorn where it is recycled into high quality raw materials and renewable energy.

Mike Nuttall, Communications and Part-nership Manager at Suez, said: “Everyone in the waste industry is working hard to make sure we are able to maintain es-sential services for residents across the country during these extremely challeng-ing circumstances.

“Freightliner is one of SUEZ’s key partners in the north west, and they are a vital link

in the management and transportation of domestic waste in Greater Manchester. We rely on the Freightliner team every day to move tons of material from our waste handling and processing facilities across the region to the energy from waste plant in Runcorn, ensuring we are able to maintain the provision of key services to communities and local authorities across Greater Manchester.”

Freightliner has tweeted out a short vid-eo of its 70001 loco moving wagons. •

Rail moves 250,000 tonnes of goods across the South East in one weekNetwork Rail has applauded the role of freight in keeping the country going dur-ing Covid-19 and said that in one week in April, 381 freight trains carried goods totalling some 261,191 tonnes of goods. These included fuel to power stations, food for supermarkets, medicines and household waste. Many housebuilding and engineering pro-jects are routed through Kent and Sussex transporting materials such as aggregate and sand and building materials.

John Halsall, MD for Network Rail Southern Region, said: “It is essential we keep freight services running so that goods can be de-livered to supermarkets, power stations are fuelled and crucial upgrades on the rail net-work continue so we can keep key workers moving. Signallers and maintenance teams, are working day in day out in this national effort to keep the rail network and support the country through this challenging time.” •

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RFG News May 2020

7

GBRf thanks Captain Tom Moore for his NHS fundraising with loco naming in his honourGB Railfreight (GBRf) has thanked Captain Tom Moore for his fundraising efforts for the NHS with a birthday surprise – a locomotive named in his honour.

A 129-tonne, Class 66 freight locomotive, will be named ‘Captain Tom Moore’, with the added inscription ‘A true Brit-ish inspiration’. The name plates were produced by Procast, one of which has been kindly donated by Neil Booth, Director of Railwayana Auctions UK Ltd, as a thank you for Captain Moore’s amazing efforts.

The loco is owned by Porterbrook and the project is co-funded by them. The naming took place to coincide with Captain Moore’s 100th birthday (30 April). The name plate which will now adorn the locomotive, was unveiled by GB Railfreight Managing Direc-tor John Smith, with Captain Moore watching the ceremony from home.

Captain Moore won the hearts and minds of the nation, raising over £29,000,000 for the NHS. GB Railfreight was keen to do its bit to thank NHS workers for their extraordinary efforts during this period and decided to paint a locomotive with a message of grat-itude from GB Railfeight to the NHS. Given Captain Moore’s in-spirational story, it was decided to name the locomotive after him.

John Smith, Managing Director of GB Railfreight said: “Happy birthday Captain Tom! On behalf of myself and the whole team at GB Railfreight I wanted to offer a huge ‘thank you’ for your fan-tastic efforts in raising money for the NHS. We are in awe of your achievement. We thought we were good at fundraising but you have achieved a level that is quite simply inspiring.

“Last week we unveiled one of our freight locomotives in thanks to our wonderful critical workers at the NHS by painting it in their

colours. In honour of your efforts, we are very proud to name this locomotive after you.”

“After today, it will be pulling crucial rail freight throughout the country helping to supply the NHS. It will also help deliver food to people’s tables and kick start the country’s economy as we move forward from the current difficulties. Thank you again for all of your efforts.”

Lifelong rail enthusiast Neil Booth, Director of Railwayana Auc-tions UK Ltd, said: “I was inspired by the sheer tenacity and conviction of the fundraising task for the NHS that Captain Tom Moore had set himself and thought that it would be a wonderful idea to name a locomotive in his honour on his 100th birthday. Once we had his family’s permission to do so, we very quickly had the nameplates cast, had Sir Peter Hendy CBE, Chairman of Network Rail and John Smith, Managing Director of GBRf on board along with his management team and staff who have bent over backwards in providing a more than suitable locomotive to be honoured in this way. I just can’t thank everyone enough for their sterling efforts in making this happen within just seven days.” •

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RFG News May 2020

GB Railfreight and Drax help ‘keep the lights on’ during Covid-19 crisis Teams at GB Railfreight (GBRf) are continuing to work closely with Drax to maintain supplies of the sustaina-ble biomass needed for the UK’s largest power station to generate electricity needed by millions of homes and business during the Covid-19 crisis.

Severe storms and flooding in the area near Drax in Feb-ruary resulted in damage to the rail tracks. GBRf has been working closely with Drax to reschedule rail deliveries and maximise capacity on the rail link while the repairs are com-pleted – maintaining the vital supplies of biomass needed for Drax to generate enough renewable electricity for up to four million households.

The rail planners who helped rework the timetable to accom-modate the new train timings combined forces with train driv-ers, signal controllers, Network Rail train marshals and Drax logistics specialists to speedily restore flows of sustainable biomass to the power station. •

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Planning for a better future in Scotland

By Joe O’Donnell, Head of Policy, Rail Freight Group (RFG).

The coronavirus is the most dramatic period of change I, and probably most people alive today, have lived through. The

realities of the rising death toll, life in lockdown and worries about family and friends’ vulnerability has eclipsed experiences of previous crises. Yet corona-virus is not just affecting us all personally, it is having deep impacts on the economies of Scotland, the UK and the world. The long term impacts, like those of the 2008 financial crash and September 11th, will no doubt take years to play out. The Rail Freight Group is working with its members to understand how they are being affected by the crisis and what can be done to support them through this exceptional period.

We all have more time now to think about the kind of world we want to live in. The lockdown has offered glimpses of a better future by dramatically reducing Scottish cities’ air pollution. Glasgow Hope Street saw a 73% drop in NO2 concentrations compared to a similar period in 2019. There is a growing wave of those arguing that we should take advantage of this unique chance for a reset, by plan-ning for a better future rather than trying to get back to business as usual.

What does a better future look like for rail freight? Da-vid Spaven, who did a wonderful job as the Rail Freight Group’s Scottish Representative, gave me an overview of Scottish issues when he stepped down at the end of March. I was struck by how forward thinking Scotland is in many respects such as its retention of the freight facilities grant which has been abolished in England, and the 7.5% rail freight growth target the Scottish Government set in 2017.

But there is still room for improvement. The ‘National Transport Strategy 2’ published in February was a big missed opportunity. Despite the fact that switching freight from road to rail reduces carbon emissions by around 76% and thus has an important role to play in helping to tackle the climate emergency, rail freight is not mentioned at all in the 61-page document. Switching freight from road to rail can offer a ‘quick win’, as it involves performing the same activity whilst creating less carbon, rather than try-

ing to doing things completely differently (often relying on untried technological solutions), as is often the climate change prescription in other sectors.

The National Planning Framework 4 (NPF4), which is cur-rently out for consultation is an opportunity for the Scottish Government to show how its commitment to tackling the climate emergency can work in practice. The Environment Strategy for Scotland set out the impressive ambition of ending Scotland’s contribution to climate change by 2045. This mission must permeate every aspect of society, in-cluding planning, to succeed.

So how does planning relate to rail freight? A key issue in NPF4 is what infrastructure does Scotland need to realise its ambitions and what transport connections are needed to support future development. These questions will be especially important if, in a post corona world, infrastruc-ture investment is used to stimulate the economy.

We believe that the infrastructure NPF4 should plan for must include the electrification and enhancement of freight routes to enable larger trains to run more often and to secure cost-effective rail freight operations around Scotland and cross border to England. Suitable new rail terminal sites should also be identified to complete the strategic inter-urban network. Once this key infrastructure is in place, rail freight will be able to get more goods off the roads reducing pollution and congestion.

The planning system is also key to ensuring that environ-mental issues are designed into future development from the start and are not just an afterthought. The planning system should encourage all infrastructure projects and new development to use rail freight to transport construc-tion materials by rail to reduce the number of heavy ag-gregate lorries travelling through communities.

Rail freight already has much to thank Scotland for. Let us hope that post corona the Scottish Government will translate the time we’ve all had to reassess the way we want to live, into further real policy changes to support our sector in delivering dramatic carbon emission reductions in the immediate future.

The deadline for the NPF4 call for ideas has been extended from 31 March to 30 April. The RFG will be responding and we urge the public to add their weight to our calls to prioritise rail freight to reduce carbon emis-sions as quickly as possible.•

Reproduced from Friends of the Scotsman.

Policy Update: Joe O’Donnell email your comments to [email protected]

RFG News May 2020

9

RFG debates key issues at railfreight.com webinarRFG’s Maggie Simpson recently joined other rail freight experts to discus crit-ical issues around Covid-19 and its im-

pact with the rail freight sector. The RailFreight UK Webinar heard from three of leading rail freight commentators who equally expressed confidence and caution over the next few months. She spoke about the challenges ahead and the response from the sector as a whole.

Mike Garratt, principal and founder of consultancy MDS Transmodal, said: “The long-term strategy for rail freight has to be based on a non-carbon economy. The car-

bon element has no future. Construction traffic and intermodal are growing, and will continue to grow. The work we have been doing for Network Rail and the Department for Transport shows that long term growth will be driven by these sectors. More boxes and more bulk on the rails many be a good combination for operators, but those flows are seeing contrasting fortunes right now.”

Click here for the full webinar.

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New rail freight service launched despite economic downturnDB Cargo UK and Cemex delivered a positive boost to the UK’s rail freight sector in April with the launch of a brand-new service.

Despite the ongoing economic uncertainty caused by the Coro-navirus pandemic, a train carrying 1,684 tonnes of aggregates made its inaugural journey from Cemex’s site at Peak Forest in Derbyshire to Small Heath in Birmingham.

The train consisted of 22 MMA box wagons carrying aggregates for use in Birmingham’s construction sector and the development of HS2.

The launch of the new weekly service at a time when the industry is experiencing a general downturn in traffic due to Coronavirus restrictions is being seen as a really positive sign that the future continues to look bright for rail freight.

DB Cargo UK’s Head of Sales Roger Neary said: “It’s great to be in a position to continue to offer our customers new opportunities in the current economic climate. The construction sector has for a long time been a key market for DB Cargo UK and we are deter-mined to do whatever we can to support our customers through these challenging times.”

“The current crisis really has underpinned the important role DB Cargo UK and other rail freight companies have to play in keeping the country’s supply chains running in hard times. We’re proud of the role our people are playing.”

Cemex’s UK Supply Chain Director Dave Hart said: “We are very pleased to have added this new service to our aggregates supply chain, as it quickly and efficiently ensures our product can get where it is needed. This is more important than ever during these difficult times as our materials are needed for vital infrastructure to keep the country going. Rail is an integral component of our transport strategy and we are planning to develop our portfolio further as we look to make our operations as sustainable as pos-sible.” •

RFG News May 2020

DRS helping to keep the country rollingThe team at Direct Rail Services (DRS) has pulled out all the stops to make sure it can carry on delivering essen-tial services throughout the Covid-19 outbreak.

The specialist rail freight company, a sub-sidiary of the Nuclear Decommissioning Authority (NDA), provides rail transport to a range of vital sectors, including nuclear power stations, logistics and distribution for supermarkets, passenger rail as well as helping maintain the UK’s rail network.

The Carlisle-based firm has enacted its business continuity plans and put in place extra layers of safety and protection for all

its staff working across the UK – from train crew to engineering and maintenance teams through to train planners and the essential office-based staff that keep the trains running on time.

Chris Connelly, Managing Director, said: “We have an important role to play to help keep the country going during these diffi-cult times. DRS’ services make sure the country’s nuclear power stations can keep working, food and other goods are availa-ble on supermarket shelves, key workers can get to their place of work, and the rail infrastructure can be maintained.

“Everyone at DRS is doing an absolute-ly fantastic job – all our colleagues have pulled together to ensure we can carry on working at the same time as helping pro-tect each other.”

DRS’ intermodal work has been crucial, delivering vital supplies for supermarkets

up and down the country. Their distinc-tive locomotives are moving thousands of shipping containers every week – with DRS initially running some of its longest trains to keep up with demand.

NDA Chief Executive, David Peattie, said: “DRS plays a crucial role in the NDA’s mis-sion – safely transporting materials across the UK to support nuclear decommission-ing and EDF Energy’s operating power stations. Their non-nuclear work, keeping the supermarket shelves full and helping keep the rail network running for key work-ers, has never been more important.” •

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RFG News May 2020

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Successor appointed to lead DB Cargo UK DB Cargo UK’s current Chief Financial Officer, Andrea Ros-si, will become the company’s new CEO from 1 September, as Hans-Georg Werner announces his retirement.

Andrea (44) has worked for DB Cargo UK for the past seven years. Having obtained a master’s degree in business admin-istration at Milan’s Bocconi University, he began his career with Italy’s leading retail and commercial banking group, Intesa San-paolo SpA, before joining Deutsche Bahn AG’s Mergers and Ac-quisitions Team in 2004.

He was promoted to Head of Planning and Reporting at DB Car-go AG in 2006 before moving to the UK to become a DB Cargo UK Board Member and Chief Financial Officer in 2013. DB said he was instrumental in the delivery of DB Cargo UK’s restructur-ing programme in 2017 and has since overseen a major overhaul of the company’s finance, procurement, IT and property portfo-lios. He is also currently overseeing a review of the company’s £1.3bn pension fund.

Rossi said: “I am absolutely delighted to be taking on the role of CEO at DB Cargo UK and would like to thank Hans-Georg for the enormous contribution he has made to the company and the personal support he has given me over the years. I am under no illusion that I am taking over the helm at yet another challenging time for the rail freight sector but, as we have proved before, our colleagues at DB Cargo UK have the skills and determination to overcome adversity. Despite the ongoing Coronavirus pandemic, DB Cargo UK is very well placed to resume where we left off when the current restrictions are lifted and remain fully focussed on continuing to grow our business here in the UK. I look forward to the challenge.”

Mr Werner has worked for the Deutsche Bahn (DB) Group for more than 30 years. After successfully fulfilling a number of sen-ior operational and managerial roles across the continent, he was appointed to the Board of DB Cargo AG in Europe in 2008.

In 2016, he was appointed CEO of DB Cargo UK at a time when the company had been hit by a sudden and very dramatic decline in the transportation of coal, its main and most lucrative market.

He agreed to take on the role for four years and immediately set about implementing a major restructuring of the company which resulted in significant improvements in both its operational and financial performance. In 2018 he was appointed Chairman of the Freight Board of Rail Delivery Group and the company was voted Rail Freight Operator of the Year at the prestigious Golden Freight Awards.

Commenting on his retirement, Werner said: “It has been an hon-our and a privilege to work with my colleagues at DB Cargo UK to oversee such a major turnaround in the company’s fortunes. The rail freight sector continues to face some significant challenges, such as the current Coronavirus crisis, however it is now a much more professional and resilient organisation that will continue to deliver for its customers.

“Even though I have had four years to plan for my retirement, I will still be sad to leave but I do so in the knowledge that my suc-cessor has all the necessary skills and knowledge to continue to build on what has been achieved recently.” •

Freightliner has unveiled its freshly painted loco 59206, the first Class 59 to have the G&W livery.

59206 will haul aggregates for Mendip Rail from quarries in Northern Somerset for various construction projects in London and the Southeast.

Thanks to driver Rich Acres for this amazing photo.

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RFG News May 2020

Cloburn Quarry Company takes over Ravenstruther Rail TerminalHargreaves Land has secured Cloburn Quarry Company as a new tenant at Ravenstruther Rail Terminal, near Lanark, South Lanarkshire.

Cloburn is one of the leading decorative aggregate suppliers in Europe and extracts a range of premium red granite aggregate products as well as industry leading rail and concrete aggregate products from its quarry close to the site.

Cloburn intends to commence exports via rail from this well-es-tablished freight location to service its existing customers throughout the UK and Europe.

Andy Johnson, Head of Asset Management at Hargreaves Land said: “We are delighted to secure Cloburn as a long term tenant at Ravenstruther and it will be great to see rail freight back on the national network from this location.”

Stuart Clingan, Director of Cloburn Quarry Company said: “The acquisition of the leasehold at Ravenstruther represents a signif-icant advancement in the company’s long-term supply strategy and will undoubtedly strengthen our unique market position”.•

GBRf launches new Thorney Mill serviceIn partnership with GRS Group and Ashville Aggre-gates, GB Railfreight (GBRf) is running a regular ser-vice to deliver aggregate to Thorney Mill as part of initial works. The service will run three times a week and demon-strates the vital role rail freight can play in helping the UK reduce CO2 emissions to meet the 2050 Net Zero emission target.

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3Squared achieves Cyber Essentials accreditation 3Squared has been awarded the Cyber Essentials accreditation.

Cyber Essentials is a mandatory require-ment for any company operating in the UK and bidding for central government contracts that deal with the handling of personal information and the provision of certain ICT products and services.

Aecom receives grant to develop Scottish projectsConsultant Aecom has won a £150,000 contract to explore rail freight opportu-nities in southeast Scotland.

The study is being commissioned by the South East Scotland transport partnership (SEStran) and Forth Ports, the owner of six ports in the area: Grangemouth, Leith, Rosyth, Methil, Kirkcaldy and Burntisland.

Grangemouth has active rail freight fa-cilities, and Leith and Rosyth have rail connections that are rarely used. Methil lies on the closed Levenmouth branch for which there is a reopening campaign.

The project will consider the potential for freight consolidation centres at key loca-tions, with the use of rail as a key mode for movements. It will also consider the ob-stacles that multi-modal freight terminals face in trying to encourage more traffic, and assess the feasibility of reinstating/introducing rail freight facilities where ap-propriate. Reported by Transport Xtra •

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Our Friends in the SouthNorth v South is a false debate argues Phil Smart. The North needs F2N.

Transport campaigners in the north often point to a two to one spending disparity per capita between London and the North in the last decade and to the anticipated widening of this gap in the next. But with much talk of ‘levelling up’ and of diverting investment northwards we should caution against using expenditure envy to determine priorities, as many projects built in the south yield their greatest benefits further north.

HS2 is an obvious example. Phase one between London and Birmingham requires major construction in the south, where the anti HS2 lobby are most vocal. Yet it is the north that enjoys the benefit of improved journey time, which increases as later phas-es are added. Should its cost therefore count as a southern pro-ject or northern? Applying geographic labels to rail investment is misleading, it’s called a network for a reason.

Besides any geographical bias, whether actual or perceived, there is also a bias towards passenger focussed projects. This is understandable in an environment where enhancements are ap-proved by the treasury and hence by politicians whose approach to railways is shaped by lobbying from their constituents. Freight does not complain on social media when it is late or forced to use replacement road transport, yet insufficient network capacity makes these a daily occurrence. A successful economy brings together both people and products and the need to move goods and materials is equally important in generating wealth.

In the 19th century railways were invented to answer the need to move coal and iron ore to feed the industrial revolution which built the great cities in the north. Today, much of this activity hap-pens overseas, particularly in Asia, and both manufacturers and distributors rely on importing components and consumer goods via the southern ports of Felixstowe and Southampton. To many people this may seem counter intuitive, surely the North has ports of its own so why do we need a north/south link for freight?

To understand this paradox, we need to appreciate what is hap-pening at sea, where the Far East dominates international trade.

MSC ‘Isabella’ (23,656 TEU) and ‘Ever Genius’ (20,388 TEU) at Felixstowe

Economies of scale have increased the size of deep-sea cargo vessels. The newest ships carry upwards of 20,000 TEU (Twen-ty foot Equivalent Units - although most maritime containers are 40-foot long) and call at multiple ports on their route around the

North Sea. Think of this as a gigantic milk round, delivering full containers and picking up empties before returning home.

Route through the North Sea towards Sweden. The blue spot is Felixstowe.

The principal UK ports on this ‘Far East to Northern Europe’ ship-ping rotation are Felixstowe, Southampton and DP World on the Thames Estuary. Of these the busiest is Felixstowe which han-dles 42% of the UKs deep sea container business and of this traffic, 70% is for the Midlands and Northern England. Although ports such as Liverpool and Sunderland lie further north, ship-ping economics dictate that the deep-sea ports of choice will be in the south as straight lines save both time and fuel.Felixstowe is steadily increasing the proportion of containers it sends by rail to a growing number of inland distribution centres. Although about 30% of traffic currently goes by rail, this repre-sents around 50% of container miles as rail favours longer dis-tances. The port’s ambition is to double this volume, as traffic sent by rail is already three times more fuel-efficient than road and, with electrification could be up to ten times more so. This be-comes ever more significant in the light of the climate emergency as up to one million tonnes of CO2 could be removed from the UK road network if we switched this traffic to rail.

Moving the blockage further up the pipeProgress so far has, however, been slow due to constraints in the rail network. The opening of the Ipswich freight chord in 2014 permitted trains to access the Midlands and north via Ely without reversal at Ipswich thus increasing the number of freight trains from around 20 per day to 34. The recent provision of a loop at Trimley on the single-track line to Felixstowe will see this rise to 45. But of these extra train paths, just four can be taken up until the removal of two major pinch points on the Mid Anglia line, the junctions at Haughley and Ely.

Haughley is a single lead junction with the Great Eastern Main Line (GEML). Doubling therefore is in the interests not only of the Felixstowe to Nuneaton (F2N) freight route, but also the eastern section of East West Rail and the ambition to run regular ‘Nor-wich in 90’ services.

But by far the biggest bottleneck in East Anglia is Ely North Junc-tion which was ‘rationalised’ in 1992 to save maintenance costs. There is growing demand on this junction and in future it will need to accommodate hourly passenger services between Oxford and Norwich/Ipswich, Norwich and Cambridge/Stansted, Stan-sted and Birmingham, Norwich and Nottingham, Cambridge and Wisbech, Ipswich and Peterborough and two per hour between London and Kings Lynn. Up to three freight services an hour in each direction are forecast and these can take longer to clear the junction due to their 700m length and the fact they are often starting from a stand at Ely.

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GUEST ARTICLE

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The solution is more complex than simply reinstating the former layout. The Prickwillow road runs east-to-west across the Peter-borough, Lynn and Norwich lines intersecting all three at level crossings where lowering the barriers at one creates a traffic tail-back that can foul the next. Network Rail’s 2015 Anglia Route Study even suggested building a new line to the south and west of Ely to link the line from Ipswich to the south-east with the Pe-terborough line to the north-west. Railfuture believes a grade separated solution must be provided to meet both freight and passenger growth.

Single line to SohamBesides the considerable problems at North Junction, the line to Ipswich is single track as far as Soham. Various plans to double this section have been mooted since before the second world war and must now be included in the Ely Area Improvements. Along with junctions at Syston and Wigston (near Leicester) and further doubling of the Felixstowe branch, these works all form part of the F2N strategic freight route providing a modern, reliable link between Britain’s premier container port and the rest of the country.

ElectrificationElectrification is usually advanced in response to passenger pri-orities but its true value lies in the avoided cost of fossil fuel. The lines to Kings Lynn and Norwich were electrified for a passenger market of one or two trains per hour each weighing around 600 tonnes and yet the potential for moving three freight trains per hour, each of about 2,000 tonnes, northwards from Felixstowe must become a national priority if we are serious about decar-

bonising the UK economy.

There is currently no rolling programme of electrification in the UK as recent schemes have fallen foul of cost over-runs. How-ever, the electrification cause is gaining ground and Railfuture is calling for its return in response to the climate emergency.

What’s in a name?Although F2N has a BCR of around 4:1, both Ely and Haughley junctions are stuck at the ‘decision to develop’ stage (the first of five in the RNEP process) which hardly reflects their national importance.

Neither Felixstowe or Nuneaton are major population centres and so don’t figure in the nations consciousness. But if F2N stood for ‘Far East to Northern Powerhouse’ its role and signifi-cance becomes clear. Better still why not badge it as ‘HV1’ (High Volume 1)?

About the authorSince 1983 Phil Smart has served on Ipswich Borough Council, joint founders of the East West Rail Consortium. In 2000 he drew up plans for the Ipswich Freight Chord, regarded at the time as ‘undeliverable’. It opened for traffic in 2014. Phil is a member of Railfuture.

The Railfuture article can be found here. •

GUEST ARTICLE

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GBRf and EBP renew dealGBRf and EBP have renewed their contract for three years from 1 August 2020 to 31 July 2023, for the transport of gypsum to the plasterboard produc-er’s factory in Ferrybridge.

At present, GBRf is delivering the fifth term of their contract for EBP. When the initial contract commenced in 2015, the opera-tion was for flow from Cottam and West Burton Power Stations to EBP’s plants in West Yorkshire and Portbury.

The closure of Cottam Power Station and the reduced activity at West Burton re-sulted in a reduction in contract volume. Despite this, GBRf continued to work with EBP for high quality rail solutions into their operations, providing reliable services and maintaining a strong customer rela-tionship.

The contract renewal which will now run until 2023, will see GBRf continue to pro-vide services to and from Ferrybridge.Managing Director of GBRf John Smith said:“As an industry, rail freight works hard to support the efficient movement of goods for the UK supply chain and GB Railfreight is proud to help to keep this country’s con-

struction sector moving.

The GBRf team are thrilled that our con-tract with EBP has been renewed for three years. We strive to always deliver the best possible service for our customers, and the continuation of our partnership with EBP demonstrates the success of our operations, providing effective rail freight solutions, continually meeting the needs of our customers and surpassing expec-tations.”

Purchasing Head of Etex Group UK/IE Paul Brown said: “EBP is proud to be working collaboratively with GBRf who again prove to be a truly valued partner in delivering outstanding service needs to our operational facilities. This in turn has ensured that EBP is able to deliver on the promises to our customers, which will be more prevalent given the current market dynamics.” •

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Helping to tackle the two big emergenciesBy David Spaven

Helping freight to move by rail might not seem an obvious part of the country’s response to the Coronavirus emergen-cy. But Scotland depends on freight trains for key inward supplies and a wide range of exports – and it is reassuring that Transport Scotland is responding positively to the rail freight sector’s call to ensure that the network remains open for key freight movements and that freight trains are being prioritised in operational planning.

To date, some train services have been adversely affected by the slowdown in global freight, but others – such as those linking su-permarket National Distribution Centres in the West Midlands of England with rail hubs in Central Scotland – are seeing increased demand.

As the situation develops, the rail freight sector will do all it can to provide additional services, and we have identified actions which are urgently needed to ensure continued operations – not least ensuring that rail freight staff are placed within the list of key workers, accessing emergency school places and childcare, enabling them to continue working. Much-needed measures to support the financial viability of the private-sector train operators include: • temporary changes to the UK and Scottish Governments’ ‘Mode Shift Revenue Support’ scheme to ensure viability of services, in particular where services are not able to be fully loaded but still convey vital supplies • suspension of Network Rail’s track access charges to enable freight operators to quickly respond to customer priorities and support critical services which may not be viable in their own right.

While we all hope that Coronavirus emergency is ‘only’ a short-term problem, the ongoing climate emergency demands not just immediate urgent action, but also a continuing focus over the coming decades if we are to avoid environmental catastrophe.

There is no doubt that the Scottish Government’s massive road-building programme is significantly hampering efforts to switch freight from truck to train, and a major change of direction is needed if we are to reap the benefits of rail freight’s substan-tially lower climate impact – cutting CO2 emissions by up to 76 per cent compared to road haulage. So, what are the key rail en-hancements required to create a competitive ‘level playing field’ between road haulage and rail freight?

The modernisation of strategic Anglo-Scottish route corridors is fundamental to unlocking the potential for rail freight to better serve domestic and export markets. Amongst the core upgrades needed are lengthened overtaking loops on the East Coast and West Coast Main Lines to accommodate 775-metre freight trains – the equivalent of more than 40 lorry loads in a single move-ment.

But rail freight cannot prosper simply by concentrating on the An-glo-Scottish lines. Upgrading key feeder routes within Scotland is crucial, and some of the obvious targets are:• early electrification of the routes from Central Scotland to Ab-erdeen and Inverness – speeding up transits, improving route capacity and further cutting carbon emissions compared to road haulage• long-overdue enhancement of the largely single-track Highland Main Line from Perth to Inverness, with longer crossing loops and more double track allowing rail freight to increase the capac-ity of each container train from 20 to 28 containers.

Improved rail routes are essential, but realising their potential de-pends in part on the creation of new rail freight terminals to serve currently neglected regions. Amongst the priorities should be:

• Dundee – one of the largest cities in Britain with no rail freight facilities (indeed there are none in the whole of Tayside)• Speyside – re-opened terminals at Keith and/or Elgin are need-ed to allow rail freight to help cut down on the 50,000 long-dis-tance whisky lorry trips on the A9 annually.• direct rail access to key whisky industry sites, such as Cameron Bridge in Fife (the largest grain distillery in Europe) and Cambus / Blackgrange near Alloa (the largest bonded warehouse site in Europe) • Bathgate – serving one of Scotland’s major concentrations of Regional Distribution Centres, bringing in retail goods from sup-pliers worldwide.

To realise this low-carbon vision we need to see a coherent and holistic response from Scottish Government in its overall trans-port response to the climate emergency. And so, in concluding my final Friends of the Scotsman article – I retire from the Rail Freight Group in a few weeks’ time – I make no apologies for re-turning to a regular theme. The big symbolic test of the Scottish Government’s commitment to change will be whether it continues to back the £6,000 million+ dualling of the A9 and A96 roads, linking Inverness with Perth and Aberdeen – or finally admits that the parallel, largely single-track, inter-city railways desperately need the same single-minded drive to bring them into the 21st century. •

At the time of writing, David Spaven was Scottish Representative for the Rail Freight Group.

OPINION

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Planning Update By Elizabeth Dunn, Partner and Stephen Humphreys, Solicitor, Burges Salmon.

In this month’s article we look at the impacts that Cov-id-19 is having on the development industry, provide de-tail on the Department for Transport’s recently published decarbonisation aspirations and finally consider some nationally significant infrastructure project updates.Covid-19 impacts

As with every industry, Covid-19 is causing strain on the whole of the development industry, including the planning system and the construction sector. This also includes those carry-ing out surveys and site investigations to support develop-ment and having to undertake physical visits (e.g. putting up site notices) as it is becoming increasingly difficult to follow usual protocols whilst complying with the Government’s ad-vice on social distancing and staying at home. The prepara-tion of proposals for new developments have understandably stalled, as have developments currently under construction. In recent weeks, the Government have tried to find ways to facilitate the transition into a post-Covid world, trying to en-sure the progress of case work for planning projects which will allow for the delivery of infrastructure and other major developments through these tumultuous times; both at the Secretary of State level (appeals and Development Consent Orders) and the local authority level.

The Planning Inspectorate (“PINS”) is trialling a ‘virtual site visits’ pilot scheme which, if successful, will include deter-mining cases, where appropriate, without a formal site visit and using detailed written evidence and digital photographs only. Indeed, the first appeal result which undertook this new procedure was issued this week. PINS is also holding their first digital pilot case at the end of this month, which is likely to include audio and video technology to bring all the par-ties together. There may well be teething issues (particularly where participation, say from the public, is high) but PINS is doing what it can to keep the wheels turning.

Local Planning Authorities too have been given new powers to hold committee meetings remotely and for members to vote virtually. Other authorities have instigated emergency powers which allow for decision making powers to be del-egated to the council’s Chief Executive or Chairperson in order to be able to proceed with ongoing matters. These changes to the way PINS and local authorities are working are important in order to keep case work flowing through the planning system and to inject much needed cash into the economy.

On the 31 March the government issued a letter to the con-struction industry in England and Wales to inform them that works could continue on construction sites so long as social distancing measures were followed. This strategy has al-lowed construction workers to return, for example, to HS2 sites, following the Notice to Proceed issued by HS2 Ltd on Wednesday 15 April so long as workers comply with Pub-lic Health England’s guidelines,. However, construction projects in Scotland have been advised to close unless it is directly combating the spread of the virus, for example by building hospitals, or contributing to one of a number of key identified industries.

Decarbonising Transport ReportOn the 26 March 2020, the Department for Transport

Secretary, Grant Shapps, published the report ‘Decarbonis-ing Transport: Setting the Challenge’. This document starts the process of the Government’s commitment to publishing a Transport Decarbonisation Plan 2020 (“TDP”) later this year. The report addresses the urgency of climate change and the UK’s responsibility to take action to address it, including the UK’s legal commitment to achieve net-zero by 2050. It sets out the important role transport plays in the UK’s economy, but also the impact that transport has on our greenhouse gas emissions (“GHG”).

The report presents existing transport modes across the UK and their current GHG emissions, along with existing strate-gies and policies in place to deliver against the Government’s current targets and it also summarises the known future ac-tivity. It then goes on to outline the six strategic priorities for the Government in achieving net-zero in transport by 2050 along with the proposed next steps for consulting with rele-vant parties in order to deliver a comprehensive TDP.

The report signals good news for the rail freight sector as it looks at the need to consider modes globally and the exten-sive measures needed to reduce emissions. This includes emissions from road haulage and HGVs, which, when cou-pled with the obvious benefits of rail freight in removing HGVs from the roads (HGVs account for 17% of all domes-tic transport emissions), could signal more support for rail freight in the long run. The report also provides that later this year the Government plans to publish a new cross-modal freight strategy focusing on the need to decarbonise freight and this could be an excellent opportunity to press home the benefits of rail freight over road transport as part of an appropriate modal mix.

The report also announces that an external advisory council (the Net Zero Transport Council (“NZTC”) will be established to provide advice and challenge to the Government during the creation of the TDP and afterward with regard to techno-logical and behavioural changes required to attain Net-Zero by 2050. The NZTC will represent a wide variety of stake-holders, including those in the rail sector.

These measures look significant but, as the report provides, this report is to begin a conversation to explore and devel-op the policies needed to decarbonise transport. It remains to be seen what policies come out of this conversation and what measures the Government commits to in order to de-liver what look like significant objectives. The TDP was due to be published later this year ahead of the COP-26 Confer-ence in Glasgow. However with Covid-19 dominating gov-ernment resources and the postponement of the COP-26 conference, that deadline could well be extended.

NSIP Update The latest DCO to be granted, on the 9 April 2020, was for the A585 Windy Harbour to Skippool Improvement Scheme. This is for a highways development and includes a 5km stretch of dual carriageway between Windy Harbour Junc-tion to Skippool Junction including four new junctions and 2 new bridge structures. This DCO decision was delivered on time, which currently bucks the trend as many DCO deci-sions are facing delays, mainly for Covid-19 reasons but also for other reasons.

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PLANNING UPDATE

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The A38 Derby Junction examination is the first examination ever to have been extended and is a scheme that we are advising on. It has, on the face of it, been extended for 5 months to account for a hearing which could not take place in March because of the introduction of the Government’s social distancing measures and restriction on non-essential travel. The Examiners’ intention is to undertake virtual hear-ings in lieu of this missed hearing and the process and pro-cedure of these virtual hearings is something which is cur-rently being considered by PINS and the parties taking part in the examination. As with all virtual meetings and hearings, it will be interesting to see how the proposals unravel and how they work in practice. •

Contact:

Elizabeth Dunn, [email protected]

Stephen Humphreys, [email protected]

www.burges-salmon.com

New freight service to Waterford Port trialled By Tim Casterton

Waterford Belview Port is one of the few ports in the Repub-lic of Ireland to have retained full rail access to the quayside, however use by rail in recent years has been very limited with the only service currently loading at the port being a steel rail train once a week.

It was therefore very good news for Port of Waterford for XPO, a top ten global logistics company, to operate a trial intermod-al service from Ballina, County Mayo to Belview Port. The train ran on Tuesday 10th March, with Iarnród Éireann (IÉ) providing

the locomotive and wagons for XPO. Departing from Ballina at 11:05hrs, it ran with nine 47’ 6” LX type flat wagons carrying three

refrigerated containers. Arrival at Belview Port was at around 18:00hrs, the containers then being offloaded by gantry crane and transferred to a ship for onwards transport to Rotterdam.

If the trial is deemed successful the new freight service is expect-ed to commence later this year. With reducing the carbon foot-print high on the agenda, XPO are keen to help their customers lower their carbon footprint and rail has the potential to deliver up to a 75% reduction in emissions. In addition to lowering the num-ber of trucks on the busy Irish roads, use of rail also alleviates the present shortage of HGV drivers. In 2019. 71.6 million tonne kilometres of freight were moved by rail in Ireland. •

Multimodal 2020 4-6 November

RFG will be holding its AGM and Autumn Group Meeting during this year’s Multimodal event.

Multimodal 2020 celebrates thirteen years of putting shippers, retailers, manufacturers, wholesalers, importers and ex-porters in front of exhibitors who offer the latest logistics and supply chain solutions. Multimodal is firmly established as

the UK, Ireland and Northern Europe’s premier freight transport, logistics and supply chain management event.

Whether you are a 3PL, BCO, shipping line, logistics provider, haulier, pallet network, port or warehouse owner, Multimodal offers a unique opportunity to make valuable face to face contact with new prospects and existing companies. Year on year, shippers and

cargo owners attend to improve their businesses; by finding ways of moving their products more efficiently and by meeting new suppliers.

Multimodal represents every logistics sector under one roof, and is characterised by key vertical sectors, including manufacturing, retail, agribusiness, chemical, automotive, electronics, FMCG, food & drink, fashion, pharmaceuticals, construction, aerospace,

energy, real estate, recycling, paper/print and perishables, amongst others, whilst horizontally, the show covers all modes of trans-portation, including sea, road, rail, air and inland waterways.

Please click here to register to attend.

RFG News May 2020

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Political choices looking ahead - will transport be a litmus test?By Jonathan Roberts, JR Consulting

Covid-19 has swamped normal political reportage, but Parliament still proceeds on a virtual basis. Labour has elected a new Leader, Sir Keir Starmer, in place of Jeremy Corbyn, and Keir in turn has appointed a new Shadow Cabinet (see page 3) which includes several more leadership contenders.

Looking to the future, the revised Labour team must hope that they will provide a stronger challenge against the Bo-ris Johnson government, which secured a large victory in last December’s elections and looks as though it will be holding the reins until 2024.

Opposition during a national crisisThe underlying point of an effective opposition party is to highlight where it believes the nation is being wrongly guided in strategic policy, in detailed law making, and in impact on different socio-economic groups and the na-tional economy and environment.

We are currently living in a temporary stasis of neo-feu-dal society, with much grant and loan-aided support which will need repayment somehow or other adjustment to eco-nomic wealth. Most of us aren’t allowed outside our feudal ‘manor’, and the binding rules for each household’s life appear to be set by a few remote ‘lords’!

National political differentials?Differences might emerge between parties which could be directly linked to Government handling of the crisis, as it is still feeling its way on that! In general Labour will be hugely reliant on securing better national recognition of its leading team and their commentary and insights, yet the media situation is unfavourable for the party. Britain has a national emergency – but not a ‘national government’.

This gives immense opportunity for the present Gov-ernment and its ministers to be directly visible in strong leadership, newsworthiness and in promoting individual departmental policies towards a post-virus world. It wasn’t the rationale for last December’s election, but Boris now wears an unexpected crown of thorns, and his star is the stronger for having personally endured the virus.

Will Labour choose to agree with the national thrust but disagree on the detail, or identify critical points where the strategy can pivot in one direction or another and define new fault lines with strong political momentum?

Ditto for LibDems, Greens etc. For example, climate change – at least in practical transport output such as airline travel – has seen a remarkable outcome in a few weeks, but it comes at the expense of normative social priorities, and indeed for the general economic basis of western civilisation which is by congregating together physically in multiple ways and locations, not just elec-tronically.

Devolution as a cradle of disagreement? The same issue applies for regions of devolved govern-ment – where a visible litmus test in pre-virus Scotland was going to be Brexit (remember that?) and ‘Indyref2’. Post-virus strategies will need to align with Scottish, Welsh and Irish needs for strong economic recovery, in order to safeguard political support in these economically weaker constituent areas. But it could be invidious to ap-ply different social distancing rules to different parts of the country, so what else might be nuanced?

Devolved government is a term also highly relevant for city regions and their Mayors. The economic lifestyles of towns and cities – the dominant economic and population format in Britain with their elected representatives – will become at odds with the government if the populace and their leaders start to believe that economic recovery and reasonable restoration of social lifestyles is being held back by over-caution about a virus resurgence. That bal-ancing point isn’t yet, but can be anticipated.

If no vaccine yet, what then?Future national strategy currently struggles to define the impossible and the incompatible in the absence of a vac-cine. To continue social distancing to a greater or lesser extent is the exact opposite of how densely populated towns and city regions have functioned and kept econ-omies going – and where facilities are still geared fun-damentally to people working and living alongside each other. ‘Agglomeration’ is now almost a sinful word!

There is some silver lining in the gloom. Rail freight con-tinues as a shining light underpinning continuing indus-trial output, while Network Rail is taking the opportunity to undertake more maintenance and route improvements. New train fleets have more track availability for testing and rectification, and retirement of some older fleets has been accelerated.

However there is a strategic fear that the virus has done much to destroy network economics, with public transport being labelled as the ‘dirty’ means of travel – so a deter-rent for perception and prioritisation of future travel as well as now. It is self-evident that public transport is uneco-nomic and unable to carry the required numbers for towns and cities to work, if everyone were to need a sanitised 2 metre radius in future. Peak tube loadings were tending to 5 persons per square metre, and all seats taken and standing was normal on commuter peak trains. The bus industry looks to grants continuing beyond the immediate emergency.

So from a transport perspective, Labour’s initial oppor-tunity might be to make the best of Macmillan’s dictum: ‘Events, dear boy, events’.

Contact: Jonathan Roberts, MD, JR Consulting07545 641 [email protected]

WESTMINSTER UPDATE

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Page 22: 141 - RFG · NEWS 141 May 2020 Helping ensure a sustainable future for UK rail freight ... seeing absence levels below 10% in their busi-nesses. • Despite these challenges, there

News in brief:

• Polish rail freight opera-tor PKP Cargo is planning the first container train to the Chinese city of Xi’an that will be loaded with food products. It will run via Russia and, therefore, will be equipped with nec-essary electronic seals. PKP Cargo is negotiating the Polish food producers to use this logistics option. From Railfreight.com

• TX Logistik AG, part of the Italian railway group Polo Mercitalia (FS Itali-ane Group), has doubled its rail freight services in Sweden for the supermar-ket chain Coop. This ser-vice now runs 20 times per week between Bro (Stock-holm) and Malmo.

• The Baku-Tbilisi-Kars railway has handled the 940-metre-long freight train. It consisted of 82 containers running from Turkey to the Cauca-sian and Central Asian states. This shipment set a new milestone for this developing railway corri-dor in Western Asia. The 940-metre-long train ar-rived in Baku on Tuesday, 21 April. 82 containers were loaded with Turk-ish-made export goods dedicated to the cus-tomers in four countries: Azerbaijan, Kazakhstan, Turkmenistan and Uzbek-istan. This freight train was arranged by ADY Container, a subsidiary of Azerbaijan Railways, in cooperation with its part-ners from Turkey, Geor-gia and Central Asia. From Railfreight.com

• Stelios Archontakis (42) is joining the management team at VTG Rail Logistics Hellas EPE (VTG’s Greek operating company) as Managing Director along-side Zoltán Potvorszki, Head of Region South Eastern Europe VTG Rail Logistics.

Contact the RFG Team:Maggie Simpson, Director General, 07737 007 957Phillippa O’Shea, Administration Manager, 07931 763 081Joe O’Donnell, Head of Policy, 07974 168 922Yvonne Mulder, Project Manager, 07887 767 666 James Falkner, Media Officer, 07753 271 110Robin Smith, Welsh Representative, 07968 488 905Mike Hogg, North of England Representative, 07833 402 804

RFG News is published by the Rail Freight Group, 7 Bury Place, London, WC1A. Tel: 020 3116 0007 [email protected]. www.rfg.org.uk. RFG welcomes comments, letters and short articles. Opinions expressed in these articles are of the author only. RFG News is published primarily for online distribution but we will continue to send hard copies to those readers who request them. RFG does not endorse the services of its advertisers.

European News May 2020

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Davies Turner offers air cargo pricing to rail freight businessDavies Turner has added an air freight pric-ing mechanism for its direct, fixed-day, weekly Express China Rail service from Xi’an to the UK, such is the growing interest in the service from importers and shippers that have traditionally used air freight.

Tony Cole, head of supply chain services, Davies Turner said: “Since we launched the ser-vice in 2016, we have used the standard over-land freight industry pricing technique, which is USD per cubic metre.

“To make pricing more comprehensible for the air freight sector, we are now additionally quot-ing per kilo rates, which is the language that air freight importers are more used to dealing with. It makes a comparison between the rela-

tive costs of the intermodal rail service and air freight more immediately obvious.

“At the current rate of just USD0.24 per kilo or 2,000 cu cm (with a minimum cost of USD120), it is no surprise that our direct Express China Rail service is becoming of great interest to the air freight sector, which is facing sky high air freight rates out of China, with costs of USD10 to USD15 per kilo now being seen.

“Importers that traditionally move freight by air only need to factor in the slightly longer lead times for delivery by rail, to see what a mas-sive cost saving they can benefit from by using our direct rail alternative. Importers that are able to remodel their supply chains to use the rail freight option may do so on a permanent basis.”

Davies Turner says that to date the rail freight service from China to Europe has been around 70 percent cheaper than air freight. But that price differential has rocketed as air freight rates reach record levels. •

ERFA calls for more rail freight supportThe European Rail Freight Association (Erfa) has written to the European Commission to urge greater support for the private sector.

In a statement it welcomed the establishment of ‘Green Lanes, which it says has helped ensure rail freight can continue to move the essential goods needed during Covid-19 but said more was needed.

It said: “The priority of governments needs to be to protect market structures or, where possible, continue development towards a more compet-itive and balanced one. Any support measures must treat private and state-owned operators equally. Private and state-owned operators must stay in fair competition.”

Dirk Stahl, ERFA President, said: “What the rail freight industry needs from national government is proactivity. We need to see support measures

now, such as a waiver on track access charges and energy charges, rather than waiting until we begin to see rail freight operators begin to struggle. Direct State Aid for rail freight under-takings should only be considered where it re-mains compatible with the internal market and is directly related to the Covid-19 crisis. The primary focus is on ensuring support measures are transparent, fair and open to all”.

Conor Feighan, ERFA Secretary General, add-ed: “The possibility of direct grants under the Temporary Framework is limited. The Tempo-rary Framework, although welcomed, should therefore not be viewed as the sole solution to the issues facing rail freight. This is an important understanding in discussions on how we can support the sector. Since long lasting and heavy market turbulences are foreseen, we need to be looking at solutions outside the scope of the Temporary Framework such as sectoral support measures.” •