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

ORR has set Network Rail a number of output measures as part of the periodic review 2013 (PR13) final determination pdf icon PDF, 3,983 Kb including the following areas:

  • Improved asset knowledge
  • Decision support tools to provide informed choices about interventions
  • Enabling better asset management by improving capability
  • Improved asset systems - single source of truth with better tools to analyse data
  • Improving faults management system

We are also monitoring Network Rail’s commitment to:

  • Remote condition monitoring
  • Risk based maintenance
  • Asset performance and reliability
  • Renewals and maintenance activities
  • Compliance with asset policies

In certain circumstances as outlined in the Network Rail licence conditions ORR uses independent reporters to audit Network Rail’s business functions and any areas of concern.

We retain a list of reports detailing the recommendations from the audits which are published on our website. We review progress on a regular basis to ensure that Network Rail addresses the recommendations.

Further information