Investment on the Interstate Rail
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1 Infrastructure Development and Investment on the Interstate Rail Network Malcolm Owens, General Manager, Infrastructure Strategy & Performance, ARTC Presentation to CEDA 2005, Melbourne, 26 October 2005 Slide: 1
2 Key areas to be covered Recent developments on the interstate rail network Rail freight movement across the interstate t t network Performance on the east-west interstate rail network ARTC investment in the Melbourne Sydney y Brisbane rail corridor Other Investments/Plans for the interstate rail network Slide: 2
3 Recent developments on the Interstate Rail Network. Strong volume growth over the last few years Growth is predominantly in east-west interstate markets with average annual growth in net tonnes of 7% pa over the last 4 years. Rail has gained market share. Only minimal growth in interstate volumes have been achieved on east coast corridors. Rail continues to lose market share. ARTC s lease of the interstate network in NSW Improve consistency of access and operating conditions on the interstate network One-stop shop for access Corridor management of operations, maintenance and investment Investment in the north-south interstate corridor to improve rail competitiveness AusLink investment $550m focussed on improving rail performance and intermodal linkages in metropolitan areas Above-rail market Market aggregation fewer participants in the interstate market Current markets and assets dominated by Pacific National. Other key players are SCT, ARG and QR. Toll/Patrick bring stronger integration of rail up the supply chain including freight forwarding and ports Slide: 3
4 Rail Freight Movement across the Interstate Network. Significant differences in markets and rail competitiveness between corridors Darwin Economics Market demand for price & service Infrastructure condition 81% Alice Springs Rail largely l meets market requirements on east-west corridors and is more than competitive with road Key impediments to increasing north south interstate rail freight transport Infrastructure performance & capacity Perth Fremantle Kwinana Kalgoorlie Rail market share of interstate intermodal markets 81% Whyalla Adelaide Wolseley Broken Hill 21% Brisbane Sydney Pt Kembla Albury 21% Melbourne 11% 19% Above rail capacity (rollingstock) Intermodal terminal availability & capacity in Sydney & Brisbane Regulation network access, safety, operating practises Ability to integrate into wider logistics networks Flexibility, Information flow, Efficiency and capacity at interfaces (terminals, ports) Infrastructure pricing (Road/Rail) Slide: 4
5 Performance on the East-West Rail Network. Rail efficiency has improved REAL AVERAGE ACCESS REVENUE YIELD (c/gtk) and AVERAGE COST OF ACCESS (c/ntk) All services on the ARTC network ($Jun05) TRAIN LENGTH BY CORRIDOR Average for High Flagfall Services Existing Limits M i 90 metres Limitsit and 8/99=100) c/gtk ( /99= /05 0 Adelaide-Melbourne Pt Augusta-Kalgoorlie Real Access Revenue Yield Real Cost of Access 1995/96 Length 1996/97 Length 1997/98 Length 1998/99 Length 1999/00 Length 2000/01 Length 2001/02 Length 2002/03 Length Length Length access costs have fallen Slide: 5
6 ARTC investment in the Melbourne Sydney y Brisbane rail corridor. Overview of proposed investment strategies Objectives Improve transit time Improve reliability Improve capacity Improve yield (above and below rail) Corridor Analysis & Needs Assessment 3 distinct interstate, intermodal markets MARKET Melbourne Brisbane (1954 kms) Melbourne Sydney (969 kms) STRATEGY OBJECTIVES 27 hour transit High g reliability of transit time Operating pattern that meets market need Deliver a reliable transit time that meets market need for late afternoon departure and early morning arrival Deliver material above rail cost savings Sydney Brisbane (985 kms) Deliver a reliable transit time that meets market need for late afternoon departure and early morning arrival Improved reliability of transit times and reduced transit times will deliver better cut-off and availability times ARTC s investment strategies have been developed in consultation with customers. To crystallise market outcomes, complementary investment in rollingstock and terminal capacity will also be needed. Slide: 6
7 North-South Interstate Network 14,000,000,000 Volume Growth 12,000,000,000 10,000,000,000 8,000,000,000 GTK 6,000,000,000 Coal Grain Minerals Mel - Syd Syd - Bris Mel - Bris Other Intrastate Other Interstate Passenger 4,000,000,000 2,000,000, Market % Increase % Increase Melb Bris % % Syd Bris % % Melb - Bris % % SUBTOTAL % % Other Intrastate % % Other Interstate % % Coal % % Grain % % Minerals % % Passenger % % TOTAL % % Slide: 7
8 North-South Interstate Network Strategic Issues Optimal Train Length 1500m v 1800m Analysis suggests that there is a good case for moving to 1800 metres between Melbourne and Sydney Spacing v Fleeting Melbourne to Sydney = Fleeted for overnight transit Sydney to Brisbane = Fleeted for overnight transit Melbourne Brisbane = Spaced with a transit time in the order of 27 hrs allows a wide range of departure / arrival time & still achieve a second-morning availability. Crossing Facilities loops v passing lanes Passing lanes offer the optimal solution for the Junee Melbourne corridor Junee Sydney is already double track Loops, regularly spaced on the North Coast (Maitland to Acacia Ridge) will achieve the outcomes desired. Terrain issues make long passing loops a very expensive option and may be superseded in the future by deviations Deviations Considered at length in strategy development, but have not been included in final recommended scope Approvals/acquisition/environmental assessment requires significant lead time Objectives have been met from infrastructure strategy within existing land corridor width Delivery within 3 to 4 years is the objective Will be further analysed for future Auslink funding packages Slide: 8
9 North-South Interstate Network Proposed Scope of Work Melbourne - Sydney The key market share driver is to meet market demand transit time of 11 hours Dynon to Chullora investment will achieve a transit time of 10 hours 40 minutes for 1500 metre train Reduction of base transit time is the focus: No deviations but operational improvements ARTC s NSW Business Case activities including works associated with ARTC s 5 Step Holistic Approach Regular spaced passing lanes from Junee to Melbourne essentially allows trains of any length Track rehabilitation, esp Goulburn to Albury ($50m allocation) The proposed work scope also includes: Southern Sydney Freight Line Additional refuges Junee - Sydney Wagga bridge replacement Fixing of signal sighting distances Yard upgrading Repositioning of speed boards Elimination of signal boxes Train control consolidation Elimination of manual block signalling Concrete sleepering of curves to achieve increase in cant deficiency 8 sets of crossovers Junee to Macarthur for flexibility Brooklyn Sunshine connection (sometimes called Tottenham triangle) Projects total around $730 million. Slide: 9
10 Junee - Melbourne Proposed Passing Lanes Giffith Griffith Willbriggie Narrandera Yanco Barmedman Stock ockinbingal Temora Cootamundra Echuca Bendigo Mangalore Castlema ine Kyneton Deniliquin Tocumwal Sheppa rton Seymour Tallarook Broadford Cobram Ya rrawon ga Dookie Oaklands Boree Creek Wahgunyah Ruthe rglen Springhurst Henty Silo Chiltern Wangar atta Toolam ba Glenrowan Benalla Violet Town Longwood Moe Proposed Scope of Work Melbourne - Sydney Bacchus Marsh North Geelong Frankston Stony Point Wallan Donnybrook Melbourne To Ballarat To Bendigo Mor well Korum burr a Leo ngatha To Geelong & Adelaide Somerton Uranq nquinty The Rock Yerong Creek Henty Culcairn Gerogery Table Top Albury Wodonga Craigiburn Broadmeadows d Tullermarine McIntyre Albian Sunshine Tottenham Paisley Ya lou rn Altona Footscray Spencer St Newport Tr aralgo n Williamstown Port To Albury & Sydney Nth Melbourne Princes Br Sale Sth h Yarra Sandringham Clifton Hill Junee Harefield Bomen Wagga Wagga Epping Burney Richmond Caulfield Bairnsda le Camberwell Alamain Hurstbridge Dandenong Ringwood Glen Waverley Slide: 10
11 North-South Interstate Network Proposed Scope of Work Sydney - Brisbane The scope of works on the Sydney Brisbane corridor remains basically similar to that incorporated in ARTC s NSW Lease Business Case. Reliability and Reduction of base transit time is the focus: No deviations but operational improvements NSW Business Case activities including works associated with ARTC s 5 Step Holistic Approach 15 loops to be extended, significantly improving reliability, capacity and transit time. Concrete sleepering of all curves to permit increased superelevation and cant deficiency, which significantly improves transit time. ARTC assisting RailCorp with Main North Amplification Project in Sydney Metro area $110m Auslink project Critical project to provide train paths Broadmeadow to Flemington Slide: 11
12 Proposed Scope of Work Sydney - Brisbane Slide: 12
13 North-South Interstate Network Market Outcomes Sydney - Melbourne Sydney - Bib Brisbane Melbourne - Bib Brisbane Capacity* (each way services) 3 each way 2 each way 7 each way Reliability High High High Transit Time (hrs) 10.7 (1500m) 11.5 (1800m) (1500m) 27 (1800m) Current (hrs) 13.5 (1500m) Above rail cost saving > 6% >7% >8% * Note that Melbourne Brisbane trains can be used to service the intermediate markets Market Share Predictions Current Market Share 2015 Market Share Share Annual Increase to Compound 2015 Growth Underlying Market Growth Total Growth p.a. Melbourne - Sydney * 11% 17% 55% 4.5% 3.5% 8.0% Sydney - Brisbane 19% 30% 57% 4.6% 3.5% 8.1% Melbourne - Brisbane 21% 33% 58% 4.7% 3.5% 8.2% Other na na na na 2.0% 2.0% * It is anticipated that with 1800 metre train length and improved reliability the predicted Melbourne - Sydney market share could be exceeded. Slide: 13
14 Other Investments/Plans for the interstate rail network. Communications/Train Management Australian Rail Communications Network ($42m) Single state-of-the-art CDMA mobile phone communications technology on the interstate rail network Advanced Train Management System (ATMS) In-cab signalling replacing current track side system Satellite based location technology Reduced train headways and computerised warning systems Fixed Signal : sections determine capacity,one train per section regardless of size - wasted capacity, expensive to maintain Flexible signal - satellite based; moving block, positive train separation, maximum utility, lower cost to maintain Slide: 14
15 Other Investments/Plans for the interstate rail network. Other Activities Tottenham Dynon upgrade including additional Tottenham Bunbury Street bidirectional line Additional capacity, provision i for staging of trains Footscray Road separation at Reduce road/rail port access congestion Brooklyn Sunshine standard d gauge connection Direct access between North-South & east-west freight corridors Improve railway clearances (Melbourne Sydney Brisbane) permit 10 6 containers to be carried on standard deck-height wagons enabling larger profile containers on the east coast rail corridor Slide: 15
16 Impediments to Growth of Rail Despite this investment in rail infrastructure and performance, there still remains a number of key issues and impediments to north-south interstate t t freight transport t growth Above rail capacity (rollingstock) Intermodal terminal availability & capacity in Sydney & Brisbane Efficient Port Access in Melbourne, Sydney and Brisbane - congestion Regulation network access, safety, operating practices Ability to integrate t into wider logistics networks Flexibility, Information flow, Efficiency and capacity at interfaces (terminals, ports) Infrastructure pricing (Road/Rail) Slide: 16
17 Thanks for your attention. Slide: 17
Investment Benefits. Sydney - Melbourne Sydney - Brisbane Melbourne - Brisbane
Objectives Improve transit time Improve reliability Improve capacity Improve yield (above and below rail) Slide: 2 Title: Background to ARTC Investment Benefits Sydney - Melbourne Sydney - Brisbane Melbourne
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