Asked by: Ian Mearns (Labour - Gateshead)
Question to the Department for Transport:
To ask the Secretary of State for Transport, whether the price increases to operate electric freight and passenger train services is (a) restricted to the UK or (b) has been seen to affect other European countries.
Answered by Chris Heaton-Harris - Secretary of State for Northern Ireland
The recent increase in electricity prices is part of a wider trend that has affected a number of European countries and industry sectors. It is too early to predict when prices will stabilise.
The Government does not intervene in setting the price Network Rail (NR) charges train and freight operating companies for electricity and NR does not set traction electricity charges for train operators. NR procures traction electricity on behalf of the rail industry, which is then charged to operators at the price that NR pays. This means that Network Rail does not set the price or make a profit or loss in this process. If market electricity prices change, the risk or benefit rests with train and freight operators. For the vast majority of operators, the price has risen 6% for this winter compared to last winter.
Each train and freight operator is responsible for determining its own strategy for locking into future traction electricity prices. These strategies are then enacted by Network Rail according to the Traction Electricity Rules referenced in Track Access contracts. The process replicates what operators would need to do if they bought directly from an energy supplier. The Department now operates a business planning process with train operators agreeing annual business plan budgets which will also include the planned costs of electricity used by relevant operators. Any emerging increases in NR electricity charges will be considered by operators themselves and absorbed as part of their agreed overall business plan outputs and budget available. The Department does not currently consider this a material financial risk to currently agreed budgets.
Asked by: Ian Mearns (Labour - Gateshead)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what impact assessment his Department has made of Network Rail’s increase in electricity charges on (a) the running of passenger rail services and (b) the financial resilience of Train Operating Companies to absorb those increased costs.
Answered by Chris Heaton-Harris - Secretary of State for Northern Ireland
The recent increase in electricity prices is part of a wider trend that has affected a number of European countries and industry sectors. It is too early to predict when prices will stabilise.
The Government does not intervene in setting the price Network Rail (NR) charges train and freight operating companies for electricity and NR does not set traction electricity charges for train operators. NR procures traction electricity on behalf of the rail industry, which is then charged to operators at the price that NR pays. This means that Network Rail does not set the price or make a profit or loss in this process. If market electricity prices change, the risk or benefit rests with train and freight operators. For the vast majority of operators, the price has risen 6% for this winter compared to last winter.
Each train and freight operator is responsible for determining its own strategy for locking into future traction electricity prices. These strategies are then enacted by Network Rail according to the Traction Electricity Rules referenced in Track Access contracts. The process replicates what operators would need to do if they bought directly from an energy supplier. The Department now operates a business planning process with train operators agreeing annual business plan budgets which will also include the planned costs of electricity used by relevant operators. Any emerging increases in NR electricity charges will be considered by operators themselves and absorbed as part of their agreed overall business plan outputs and budget available. The Department does not currently consider this a material financial risk to currently agreed budgets.
Asked by: Ian Mearns (Labour - Gateshead)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what estimate his Department has made of the duration of the increase Network Rail has made to its charges for electricity to Freight Operating Companies and Train Operating Companies; and what his most recent estimate is of the anticipated length of time it will take for those electricity prices to stabilise.
Answered by Chris Heaton-Harris - Secretary of State for Northern Ireland
The recent increase in electricity prices is part of a wider trend that has affected a number of European countries and industry sectors. It is too early to predict when prices will stabilise.
The Government does not intervene in setting the price Network Rail (NR) charges train and freight operating companies for electricity and NR does not set traction electricity charges for train operators. NR procures traction electricity on behalf of the rail industry, which is then charged to operators at the price that NR pays. This means that Network Rail does not set the price or make a profit or loss in this process. If market electricity prices change, the risk or benefit rests with train and freight operators. For the vast majority of operators, the price has risen 6% for this winter compared to last winter.
Each train and freight operator is responsible for determining its own strategy for locking into future traction electricity prices. These strategies are then enacted by Network Rail according to the Traction Electricity Rules referenced in Track Access contracts. The process replicates what operators would need to do if they bought directly from an energy supplier. The Department now operates a business planning process with train operators agreeing annual business plan budgets which will also include the planned costs of electricity used by relevant operators. Any emerging increases in NR electricity charges will be considered by operators themselves and absorbed as part of their agreed overall business plan outputs and budget available. The Department does not currently consider this a material financial risk to currently agreed budgets.
Asked by: Ian Mearns (Labour - Gateshead)
Question to the Department for Transport:
To ask the Secretary of State for Transport, whether the Government took steps to prevent Network Rail from increasing the electricity prices it charges Freight Operating Companies and Train Operating Companies to operate electric train services.
Answered by Chris Heaton-Harris - Secretary of State for Northern Ireland
The recent increase in electricity prices is part of a wider trend that has affected a number of European countries and industry sectors. It is too early to predict when prices will stabilise.
The Government does not intervene in setting the price Network Rail (NR) charges train and freight operating companies for electricity and NR does not set traction electricity charges for train operators. NR procures traction electricity on behalf of the rail industry, which is then charged to operators at the price that NR pays. This means that Network Rail does not set the price or make a profit or loss in this process. If market electricity prices change, the risk or benefit rests with train and freight operators. For the vast majority of operators, the price has risen 6% for this winter compared to last winter.
Each train and freight operator is responsible for determining its own strategy for locking into future traction electricity prices. These strategies are then enacted by Network Rail according to the Traction Electricity Rules referenced in Track Access contracts. The process replicates what operators would need to do if they bought directly from an energy supplier. The Department now operates a business planning process with train operators agreeing annual business plan budgets which will also include the planned costs of electricity used by relevant operators. Any emerging increases in NR electricity charges will be considered by operators themselves and absorbed as part of their agreed overall business plan outputs and budget available. The Department does not currently consider this a material financial risk to currently agreed budgets.
Asked by: Ian Mearns (Labour - Gateshead)
Question to the Department for Transport:
To ask the Secretary of State for Transport, how much Network Rail has increased the electricity prices it charges to (a) Freight Operating Companies and (b) Train Operating Companies to operate electric train services in each month since October 2020 to date.
Answered by Chris Heaton-Harris - Secretary of State for Northern Ireland
Network Rail (NR) does not set traction electricity charges for train operators. Network Rail procures traction electricity on behalf of the rail industry, which is then charged to operators at the price that NR pays. This means that Network Rail does not set the price or make a profit or loss in this process. If market electricity prices change, the risk or benefit rests with train and freight operators.
Each train and freight operator has its own strategy for securing future traction electricity prices. These strategies are then enacted by Network Rail according to the Traction Electricity Rules referenced in Track Access contracts. The process replicates what operators would need to do if they bought directly from an energy supplier.
Asked by: Ian Mearns (Labour - Gateshead)
Question to the Department for Transport:
To ask the Secretary of State for Transport, how many additional station staff Network Rail has hired during the covid-19 outbreak; at what (a) locations, (b) job grades and (c) salaries; and whether those staff have been employed (i) on a temporary or permanent basis and (ii) directly or via a recruitment agency.
Answered by Chris Heaton-Harris - Secretary of State for Northern Ireland
There are currently 1011 Network Rail staff working at the 20 stations it is responsible for managing. This is an increase of 45 from 23 March 2020, at the start of the pandemic. Of these 1011 staff, 982 are employed on permanent contracts and 29 have been employed on fixed term or contingent contracts.
The number of contingent staff deployed at Network Rail's stations has fluctuated throughout the course of the pandemic. The number of contingent agency staff deployed at Network Rail's stations peaked in May / June 2020 at approximately 500, when additional customer assurance was provided following the relaxation of Covid restrictions and timetable changes at that time. The salaries of agency staff is held by the agencies.
The table in the attached document sets out a comparison of staff numbers at Network Rail managed stations between March 2020 and July 2021. This is broken down by location.
Asked by: Ian Mearns (Labour - Gateshead)
Question to the Department for Transport:
To ask the Secretary of State for Transport, how many additional station staff London North Eastern Railway has hired during the covid-19 outbreak; at what (a) locations, (b) job grades and (c) salaries; and whether those staff have been employed (i) on a temporary or permanent basis and (ii) directly or via a recruitment agency.
Answered by Chris Heaton-Harris - Secretary of State for Northern Ireland
London Northern Eastern Railway (LNER) have not hired additional station staff as a result of the COVID-19 pandemic. However, at the start of pandemic, LNER redeployed staff from other frontline roles to provide additional support at stations. These staff helped to manage queuing and helped to ensure social distancing was maintained at stations. Additionally, LNER’s cleaning contractor redeployed some of their furloughed cleaning staff to provide enhanced cleaning at LNER stations.
Asked by: Ian Mearns (Labour - Gateshead)
Question to the Department for Transport:
To ask the Secretary of State for Transport, how many additional station staff Northern Trains has hired during the covid-19 outbreak; at what (a) locations, (b) job grades and (c) salaries; and whether those staff have been employed (i) on a temporary or permanent basis and (ii) directly or via a recruitment agency.
Answered by Chris Heaton-Harris - Secretary of State for Northern Ireland
Throughout the COVID-19 pandemic Northern Trains Limited has worked with its services contractor to recruit and train additional staff, across its network, to facilitate a heightened cleaning regime.
Asked by: Ian Mearns (Labour - Gateshead)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what steps he plans to take to ensure that railway passengers are consulted on potential ticket office closures.
Answered by Chris Heaton-Harris - Secretary of State for Northern Ireland
Schedule 17 of the Ticketing and Settlement Agreement (TSA) sets out the process for making changes to ticket offices, which includes changing the hours they are open or proposing any closures. The TSA requires consultation with Transport Focus and London Travel Watch. This agreement is still in place and rail operators must follow this as it is a requirement of their Office of Rail and Road operating licence.
Asked by: Ian Mearns (Labour - Gateshead)
Question to the Department for Transport:
To ask the Secretary of State for Transport, what steps he plans to take to ensure that Transport Focus and London TravelWatch consult with passengers on proposals to close ticket offices.
Answered by Chris Heaton-Harris - Secretary of State for Northern Ireland
Schedule 17 of the Ticketing and Settlement Agreement (TSA) sets out the process for making changes to ticket offices, which includes changing the hours they are open or proposing any closures. The TSA requires consultation with Transport Focus and London Travel Watch. This agreement is still in place and rail operators must follow this as it is a requirement of their Office of Rail and Road operating licence.