Railway Reform: Toolkit for Improving Rail Sector Performance - ppiaf

Railway Reform: Toolkit for Improving Rail Sector Performance
Annex 4: Concession Contract Guide
• Is there an obligation to provide third-party access to the Below Rail Infrastructure
and does the access include international services, domestic services,
freight and/or passenger services?
• What property rights are included? Can property or property rights be removed
from the concession if such removal is for public good?
• Is the Concessionaire allowed to exploit the track area, e.g., through telecoms
cables or cell-net masts? If so, is the revenue received considered regulated or
unregulated income?
The nature of the rights granted needs to be considered. In the case of Below Rail
Infrastructure, is it an exclusive right for a geographic area? What happens if a
private company wishes to construct a dedicated private line, e.g., between a
mine or quarry and a manufacturing process? What happens if a private company
wishes to construct a spur line? Instead of granting an exclusive right for a geographic
area, it is suggested that the Authority should agree not to subsidize
competing lines.
The scope of the concession requires careful analysis, particularly the boundaries
with other infrastructure.
• Initially, many traffic crossings will be at grade but where there are tunnels
and bridges, responsibility for upkeep needs to be established and if not
clearly reflected in statute law, should be set out in the Agreement.
• If equipment is to be supplied, the supply of emergency equipment such as
heavy lifting gear needs to be addressed. Should it be made available for
other users? In addition, if the Concessionaire is to purchase new equipment
such as a track geometry vehicle, is this to be made available for use in other
areas?
• If stations and other facilities are to be shared, it is advantageous to establish
the lines of demarcation and an operating regime in an effort to avoid future
conflicts between affected parties on interface issues.
2.8 Independent Engineer
If New Upgrades are scheduled, it may be sensible to establish a neutral specialist
to monitor quality assurance and to confirm that Upgrades are ready, without
compromising the overall Concessionaire responsibility. To a degree, safety aspects
will normally have to be reviewed by, e.g., the Railway Safety Board. Therefore,
the Independent Engineer should review design and construction procedures
against an agreed quality assurance regime, not carry out the detailed and
involved role of a site engineer. If procedures are to be developed during the
Term, the Independent Engineer should check that those procedures were developed
according to then-ruling control documents.
Notwithstanding the role of the Independent Engineer, the Concessionaire must
remain responsible for the design and works.
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