Asset management

Network Rail’s obligations to provide asset management processes, policies and information are set out in licence condition 1. In particular conditions 1.19 to 1.22.

1.19 In complying with the general duty in condition 1.2, the licence holder shall;

1. develop the policies and criteria it will apply in respect of the maintenance, renewal, replacement, improvement, enhancement and development of the relevant assets, which shall demonstrate how the licence holder will comply with the general duty in condition 1.2;
2. apply those policies and criteria; and
3. make appropriate information about those policies and criteria readily accessible to persons providing services relating to railways and funders, including potential providers and potential funders.

1.20 The licence holder shall maintain appropriate, accurate and readily accessible information about the relevant assets, including their condition, capability and capacity

1.21 ORR may permit the licence holder to exclude from the definition of “relevant assets” assets of such description or classes as shall be provided to and approved by ORR.

1.22 The licence holder shall from time to time and when so directed by the ORR review and, if necessary, revise the policies and criteria provided for in condition 1.19 to ensure that they remain sufficient to comply with the general duty in condition 1.2.

These clauses provide ORR with the ability to enforce a wide range of asset management and asset information compliance issues with Network Rail.

Current issues

The current issues related to Network Rail’s asset management practices are reported quarterly in our Network Rail monitor within the asset management section. The key areas that we monitor and report on include asset planning, delivery and performance.

Asset management compliance

An asset management assessment framework forms the basis of the on-going development and improvement reviews carried out by the ORR to ensure that Network Rail complies with licence condition 1, asset management. In summary, the framework considers Network Rail’s asset management performance, capability and maturity in the following 6 areas:

• Strategy & Planning
• Whole-life cost justification
• Lifecycle management & delivery
• Asset knowledge management
• Capability development
• Review & improvement

With regard to Network Rail’s asset information strategy, the ORR and the Part B (Asset Management) Independent Reporter monitor Network Rail’s asset systems and data through regular auditing.

The ORR retain a list detailing the development and improvement recommendations from the audits.

The ORR is monitoring Network Rail’s asset information strategy. We review progress on a regular basis to ensure that Network Rail is making progress to achieve appropriate asset systems and data for the business and in particular for good asset management.

Last updated: March 2013

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