Variable usage charge and a freight specific charge

Reference: ORR/005/2012
Date published: 17 May 2012
Start date: 17 May 2012
Closing date: 10 August 2012

On 17 May 2012 we published our Periodic review 2013 consultation on the variable usage charge and a freight specific charge. 

The purpose of the consultation was to:

• consult on work undertaken to review the variable usage charge paid by both passenger and freight operators to recover the cost directly incurred by running trains on the network;
• allow us to draw conclusions, on the basis of this consultation, on the likely scale of the variable usage charge for control period 5 (CP5, in order to establish a cap on the average level of the variable usage charge; and
• consult on the introduction of a new track access charge for certain rail freight commodities in CP5, in order to recover infrastructure costs caused by freight operating on the network that are not currently recovered from other freight charges (freight avoidable costs).

After taking into account consultees' views, we have now set out our decision on most of the issues on which we consulted. 

We have decided to consult further on whether or not to apply the new freight specific charge to biomass, and if so, what the rate of the charge should be.

Decision document

• Periodic review 2013 decision on the variable usage charge and a freight specific charge
  Jan 2013

Our decisions conclude on our May 2012 consultation. These decisions are of particular importance to freight operators, their customers and other parts of the freight haulage supply chain, but they also affect the wider rail industry including Network Rail and passenger operators.

Consultation document

• Consultation on the variable usage charge and a freight specific charge
  May 2012