GB RAILFREIGHT has objected strongly to new and increased network charges on freight traffic proposed by the Office of Rail and Road (ORR), and cast doubt on the organisation’s commitment to developing railfreight.
GBRf argues increased charges on commodities such as power station coal and the introduction of new charges for biomass trains will endanger the profitability of railfreight, and lead to an overall increase in energy generation costs at a time when the Government says it is committed to improving air quality and economic productivity.
GBRf believes the ORR proposals show a lack of understanding of freight and end user contracts, and the ability of Freight Operating Companies to absorb additional costs.
The company also highlights the lack of a clear understanding of the actual costs of energy generation using biomass, and thus an inability to develop a fair and reasonable charging model. It also cites diminishing confidence in the ability of ORR to accurately understand the profitability of rail freight haulage in the UK.
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