How do delay attribution and billing costs work?

[Nicholas43]

Lots of cancellations and delays this morning because a freight train broke down near Didcot North. I know that delay attribution is an arcane art. But could any forum member hazard a guess at the bill the freight operator will be facing?

 

[Dr Hoo]

Very simply the Train Operator Payment Rate in the standard Freight track access agreement is £43.44 per minute. (Taken from the ORR website.)
In practice there may be a ‘cap’ on liability for large incidents (for which the operator will have paid a supplement).
Always worth pointing out that performance liabilities are dealt with on a 4-week period basis, related to benchmarked levels and also taking into account delays suffered from Network Rail and other operators. I.e. an overall ‘net’ figure. Performance liabilities are not applied at an ‘incident’ level nor calculated by hard working delay attribution staff (whose focus is on identifying and recording root cause for the purpose of performance improvement - as originally conceived by BR).

 

[CyrusWuff]

Assuming it's the incident I think it is, it was a GWR service that had a problem rather than a freight, though the root cause is somewhat different.

I expect it may be referred to a Level 2 investigation, however.

 

[47421]

see this thread, esp post 11

https://www.railforums.co.uk/thread...-by-passengers-being-ill.172814/#post-3705751

 

[Nicholas43]

Many thanks, Dr Hoo, CyrusWuff, and 47421.
On 6 March, local customer information systems were claiming it was a broken freight train. But I see from realtime trains that an early Oxford>Didcot train seemed to get stuck at Didcot North and was then cancelled between Radley and Didcot. Thereafter, there were wholesale cancellations and long delays between Reading and Oxford, which must have totalled many hundreds of delay minutes. I hope GWR won't somehow gain from that!

 

[FGW_DID]

Many thanks, Dr Hoo, CyrusWuff, and 47421.
On 6 March, local customer information systems were claiming it was a broken freight train. But I see from realtime trains that an early Oxford>Didcot train seemed to get stuck at Didcot North and was then cancelled between Radley and Didcot. Thereafter, there were wholesale cancellations and long delays between Reading and Oxford, which must have totalled many hundreds of delay minutes. I hope GWR won't somehow gain from that!

See these posts (#147 & #148) here:

Driver took a wrong route

for a very brief explanation.

 

[Harbornite]

Good old bugle...

 

[Bald Rick]

The simple version is:

At the end of each 4 week accounting period, all delays attributed for that period are totted up.

Each TOC or FOC will have delays caused by them, and delays caused to them. For each of these categories, there is a series of benchmarks for the delay each period. Then for delays caused by the TOC/FOC, this is multiplied by a £/min rate which differs depending on where the total for the period sits in relation to the benchmark.

Similarly, for delays caused to the TOC/FOC (which could be by NR, or other TOCS / FOCs) NR pays the ‘victim’ TOC / FOC a £/min rate depending on where the total sits in relation to the benchmarks.

In almost every case, the rate from TOC to NR is lower than the rate from NR to the TOC. The £/min rates are set out in the track access contracts, and vary considerably by TOC and within service groups within that TOC. Eg the £/min rate for peak Thameslink services on the MML is very significantly higher than the £/min rate for off peak coastway services.

FOCs and some smaller operators have caps on their liabilities, as a single large incident could otherwise wipe out their business.

This really is the simple version, it is a lot more complicated in reality. However it’s all done on a big spreadsheet, and takes a couple of hours to work out each period. The attribution of delay itself is a much larger task, but then that needs doing to get to the root cause of delay so that performance improvements can be targeted.

 

[bussnapperwm]

And then you get some delays which end up being resolved by the Delay attribution board (such as a peacock messing up a conductor shoe on a Southeastern train!)

 

[LAX54]

We are advised also, that there is TOC on TOC etc, and whilst the TOC will pay for delays caused to / by their own services, and I assume a few others, in general where TOC / FOC A delay Company B or C, then the bill is picked up by NR.

 

[Dr Hoo]

We are advised also, that there is TOC on TOC etc, and whilst the TOC will pay for delays caused to / by their own services, and I assume a few others, in general where TOC / FOC A delay Company B or C, then the bill is picked up by NR.

Not really. Although ‘victim’ TOCs and FOCs receive all their compensation from Network Rail, to the extent that it was another operator’s fault that operator will have had to pay/reimburse NR. NR should not be out of pocket overall due to operator fault. The regimes are set up to be essentially financially neutral at expected/committed/benchmark levels of performance.
You have to look at this question in the round, over a five-year Control Period, rather than focussing on an individual incident.

 

[Kier]

Hi,

A quick question - today the Midland Mainline was partially closed due to a train hitting a person meaning there were no trains between Nottingham/Sheffield and London. Passengers were able to use their tickets to travel using the East Coast line instead.

Would East Midlands Trains have to pay for this or is it just expected that the operators work together in times like this to get as many passengers to their destination as quickly as possible and minimise inconvenience?

 

[yorkie]

This sort of disruption will be attributed to Network Rail.

 

[EM2]

There is (or was, at any rate) an understanding between the franchise holders on the ECML, MML and WCML that when an incident of a particular severity level is declared on any of those routes, there will be ticket acceptance on the other routes.
As far as I am aware, this was decided on a 'you scratch my back...' basis.

 

[_toommm_]

There is (or was, at any rate) an understanding between the franchise holders on the ECML, MML and WCML that when an incident of a particular severity level is declared on any of those routes, there will be ticket acceptance on the other routes.
As far as I am aware, this was decided on a 'you scratch my back...' basis.

Or incidents, as it were today. Think we had at least one incident on all of them today.

 

[yorkie]

There is (or was, at any rate) an understanding between the franchise holders on the ECML, MML and WCML that when an incident of a particular severity level is declared on any of those routes, there will be ticket acceptance on the other routes.
As far as I am aware, this was decided on a 'you scratch my back...' basis.

Agreed.

More info here: https://www.railforums.co.uk/threads/mml-disruption-today-22-03.180058/#post-3932434

 

[tsr]

Or incidents, as it were today. Think we had at least one incident on all of them today.

As a result, some of the ticket acceptance actually had to be withdrawn today, as it was no longer viable to redirect people.

 

[infobleep]

As a result, some of the ticket acceptance actually had to be withdrawn today, as it was no longer viable to redirect people.

That must get confusing. You can go this way. No sorry you can't. Of course common sense would apply and those who started would be allowed to finish, as per Master Mind questions.

Never quite understood why NR need to pay a higher rate than the TOCs.

What happens if a driver reports a track defect, which later turns out not to be one. This happened on the Brighton mine line the other evening. Whilst I'd rather they report it than not, woukd it still count against NR when calculating that periods delay attribution payments?

How knowledgeable and effective are the delay attribution board? Better than Transport Focus?

 

[Dr Hoo]

The Delay Attribution Board do not get involved in routine incidents.
The processes allow for cause codes and the responsible party to be amended in the light of further information or investigation at working level.
What is trXj defect by the way?

 

[_toommm_]

What is trXj defect by the way?

I suspect a typo of 'track'.

 

[infobleep]

I suspect a typo of 'track'.

Indeed it was.

I wonder if the people who work on delay attribution are more well trained than those who work in delay repay teams.

 

[yorkie]

Indeed it was.

I wonder if the people who work on delay attribution are more well trained than those who work in delay repay teams.

I am certain that, on average, they are far better trained and more knowledgeable, but let's not stay off topic or get into job comparisons

 

[infobleep]

I am certain that, on average, they are far better trained and more knowledgeable, but let's not stay off topic or get into job comparisons

Fair enough. I guess when it's in the interest of TOCs, they will train people properly.

Back on topic I remember a TV series on Network Rail. They said something like for every minute a train is delayed it costs £150. Of course that was overly simplified for the sake of TV.