Rail Regulator publishes proposals on on-rail competition and consults on a model freight track access contract
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31 July 2003 The Rail Regulator, Tom Winsor, has today published a consultation document on the extent of protection from on-track competition that might be afforded in the track access contracts of passenger train operators (known as moderation of competition). The document also sets out mechanisms to provide for the variation and surrender of an operator's access rights during the life of a contract. The Regulator said: "The pattern of services on our railways cannot be set in stone. The access framework must therefore balance the need to give operators sufficient certainty to plan their businesses with the need to provide for change and innovation over time. The demands on our railway are such that we must always be seeking to make the best use of available capacity. That is why my proposals set out clearly a very limited range of circumstances where it might be appropriate for me to approve contractual protection from competition, and propose mechanisms that provide for the surrender of rights not being used. Only in quite unusual circumstances would I expect there to be a case for compulsory modification or removal of rights and, even then, I would need to be convinced both of the public interest case and the adequacy of compensation to the affected party." The Regulator also published today a consultation document seeking the industry's views as he starts work on a model track access contract for freight operators. The Regulator said: "Last month I published a model track access contract for passenger train operators. This will bring real benefits to the industry through stronger, simpler, streamlined contracts and has been widely welcomed. We now want to do the same for freight train operators. Much of the passenger model contract will apply equally to freight. But there are a number of freight-specific issues on which I would like the industry's views before we start detailed drafting of the model contract." Responses to the two documents should be submitted by Monday 15 September. The Regulator then plans to publish his final policy conclusions on moderation of competition and changes to access rights, and to consult the industry again on a draft freight model track access contract, taking account of the responses to the current consultation. Notes to Editors
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