International Railway Journal - January 2008 - (Page 14) News analysis Cross-Channel railfreight revolution starts again After railfreight through the Channel Tunnel was decimated by the asylum seeker crisis at the turn of the century, EWS, Britain, is planning a major revival starting this month. C HANNEL Tunnel railfreight endured a turbulent time at the turn of the century with asylum seekers bringing services to a near standstill, but traffic is starting to build up again. Now, the operator, EWS, Britain, wants to bring tonnages through the tunnel back up to the previous 1998 peak of 3 million tonnes per annum by 2009, and to double it by 2014. Mr David Kerr, commercial director for EWS, speaks about his plans and aspirations for the Channel Tunnel market, especially intermodal traffic: “We have taken the time to ensure we have all the infrastructure and operational agreements in place for the relaunch,” he says. Currently EWS is only running 25 round trips a week through the tunnel, which represents just 1 million tonnes. Only two trains are intermodal services. “There will be a major impact on intermodal services going forward, with a view to taking 1000 trucks off British roads each week compared with the present 60 a week,” says Kerr. Shippers have more options on the seas with better ferry routes, and this has seen the Channel Tunnel struggle over the last five years. But from this month that will change as EWS ramps up European activities - in no small part helped by a slow but successful encroachment into France with its subsidiary Euro Cargo Rail (ECR). EWS claims its plans will be “one of the biggest revolutions in cross-border railfreight in Europe,” aimed at “delivering sustainable long-term growth in Channel Tunnel volumes.” It is being brought about by better operating circumstances in mainland Europe, France in particular. EWS says these plans were developed six months before the German Rail (DB) takeover was approved, although the acquisition by the German giant is bound to bring further benefits for the company. But EWS believes it will save costs through fewer traction changes - and hence fewer traction providers. In fact it is likely trains will work in Britain with EWS power and through the tunnel and beyond with ECR traction. “Some trains will work in Europe with a traction partner as required,” says Kerr, but previously some services to Italy have used five different traction providers - and with it five layers of profit and five layers of operational constraints. Against this background it is easy to see why the road hauliers have been so successful in comparison. Simpler charges Another boost for EWS has been the tunnel’s owner, Eurotunnel, announcing new, simplified open-access charges. Accordingly EWS is planning new services. “The strong message is, extra fuel charges and increased congestion means manufacturers are struggling to move their freight efficiently,” says Kerr. “This is a benefit to EWS, despite increased competition from ferries. Improved security [at the tunnel] and reliability means we can put these operations into full swing.” Kerr is looking for ECR to spread beyond France to serve Spain and Belgium this year and create a series of hubs in Europe with 12 core international routes. He initially wants 35-50 round trips a week serving terminals at Daventry (Birmingham), Trafford Park (Manchester), and Scotland. In fact, for the latter, EWS has acquired the Grangemouth terminal from logistics company, TDG. The first services are due to start this month from Brussels, Belgium, to Daventry with three trains a week. The second service will be six trains a week from Duisburg, Germany, to Trafford Park, and these should start in February. Kerr says this will be a key service from the industrial heartland of Germany to Britain. Finally, the third service of the initial tranche of trains will be five trains a week from Milan, Italy, to Trafford Park. “We see the value in connecting Italy with Britain and we expect more trains - a second daily service - starting in the second half of 2008,” explains Kerr. He says 14 of the 35-50 extra trains planned should be running this year and that additional services will be rolled out during the next 12 months. Ambitious plans Kerr says: “The minimum objective is to get Channel Tunnel railfreight to 1998 levels by 2009 and double it to 6 million tonnes over the next five years. “We want to enhance Scottish terminals and broaden our relationship with TDG.” This means a service from Trafford Park to Grangemouth. “We also want to access the East Coast and West Coast main lines, and integrate with EWS’s existing British intermodal services.” Of course, all these extra trains require more resources, but this should not be a problem for EWS. It has sufficient electric locomotives and plans to lease ‘at least’ 100 new intermodal wagons. ECR has 60 EMD class 66 diesels and 20 Bombardier class 186 electric locomotives on order, plus more than 50 of its class 66 fleet have been modified to run in France. Kerr will not be drawn on exact prices but suggests that shippers should experience “a 5-10% reduction in their total supply chain costs. Pricing will vary according to 14 IRJ January 2008
For optimal viewing of this digital publication, please enable JavaScript and then refresh the page. If you would like to try to load the digital publication without using Flash Player detection, please click here.