Rail Regulator directs Railtrack to complete new deals

14 June 2002
ORR/07/02

The Rail Regulator, Tom Winsor, has issued directions to Railtrack PLC (in railway administration)* requiring the company to sign access contracts with four passenger operators. The new contracts enable South West Trains Ltd, Gatwick Express Ltd, and South Central Ltd to run services on Britain's rail network until 2004, and Great Western Trains Company to run services until 2006, as sought in the applications.

Although the operators' current access contracts do not expire until 2003, the timing and issuing of directions now is important to allow them to have the necessary rights to bid, at an industry conference next week, for slots for passenger services to be incorporated in the summer 2003 timetable

The parties had all sought contractual provisions to oblige Railtrack to comply with specified journey times in compiling the timetable, which Railtrack had been unwilling to agree, hence the applications were made under section 17 of the Railways Act 1993.

Mr Winsor said : "The process in section 17 of the Railways Act 1993 exists specifically to provide for circumstances where train operators and Railtrack are unable to agree on the terms of an access contract. It allows the Regulator to direct Railtrack to enter into the form of contract he determines appropriate.

"Having considered carefully all the arguments put to me, I have concluded that it is appropriate for Railtrack to be under a contractual obligation to stay within specified journey times when compiling the timetable, and in operating the network. This is important for train operators and for their passengers."

Copies of the document - Great Western Trains Company Ltd, South West Trains Ltd, Gatwick Express Ltd and South Central Ltd : Rail Regulator's conclusions on applications under section 17, Railways Act 1993 - is available here or can be ordered from Sue MacSwan, ORR Librarian, tel: 020 7282 2001; fax: 020 7282 2045; e-mail :rail.library@orr.gsi.gov.uk.

Notes for Editors

  1. The applications were made under section 17 of the Railways Act 1993. In the case of track access, section 17 is available to a train operator if it has been unable to obtain acceptable terms from Railtrack for access to its network.
  2. In a section 17 case, as in all applications to him concerning the approval of the allocation of capacity of railway facilities, the Regulator must make a judgement according to the public interest criteria in section 4 of the Railways Act 1993 as to the most efficient and economical, as well as the fairest, allocation. He is not required to accept the views of either the applicant or Railtrack as to what should be done.

Press enquiries:

ORR Press Office : 020 7282 2002/2007

NB: * any references to Railtrack mean Railtrack PLC (in railway administration).