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Author Topic: Changes in compensation scheme (to train operators) proposed  (Read 2031 times)
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« on: December 18, 2012, 05:32:02 am »

From Rail User Express, the newsletter of Railfuture, dated 16th December 2012:

The Office of Rail Regulation is seeking views on a range of detailed issues relating to Schedules 4 and 8 ^ the compensation train operators receive for the financial impact of planned and unplanned rail service disruption attributable to Network Rail or other train operators. Schedule 4 compensates train operators for the impact of planned service disruption, and Schedule 8 compensates train operators for the impact of unplanned service disruption. Compensation is intended to cover fare revenue losses or costs, such as those associated with running replacement buses. It is important that Network Rail and train operators are incentivised to work in the best interests of passengers and customers by avoiding disruption. The closing date for comments is 28 Jan 2013.

Also to note - RAIL, current edition - suggestion is perhaps to remove cap which would hit heritage operators.

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« Reply #1 on: December 18, 2012, 08:16:13 am »

How about having no compensation scheme at all. It would save millions shuffling money around the system and probably make absolutely no differnce to the overall costs of running the railway. Each TOC (Train Operating Company) bears it's own risk.

How many clerks work on delay minutes did I see something like 300 somewhere?
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« Reply #2 on: December 18, 2012, 09:45:53 am »

Quote from the document:

'Passengers and freight customers care about disruption to their service.'

Passengers!  Wonderful use of accurate English.  Passenger train operators please note.

The substance of the document I'll let the more knowledgeable debate.
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« Reply #3 on: December 18, 2012, 09:49:46 am »

I say scrap it, as isn't the compensation scheme a 'hidden' subsidy to TOC (Train Operating Company)'s from Network Rail?
ie the compensation paid is more than the cost to the TOC of any delay.

Or if not scarpped ensure that TOC's only get compensated for monies paid in compensation to customers, and that all other costs are just the cost of doing business.

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« Reply #4 on: December 18, 2012, 07:18:33 pm »

It's only passing money round the same industry and how much does this all cost.
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