12 January 2011
Fight to save Scotland's Freight Facilities Grants steps up a gear
The Rail Freight Group (RFG) has teamed-up with Transform Scotland (the sustainable transport alliance) to campaign strongly against the Scottish Government's decision to abolish Freight Facilities Grants (FFG) from its Draft Budget Statement.
Ahead of a Scottish Parliament debate on 13 January and a motion put forward by Cathy Jamieson MSP, the RFG and Transform Scotland have prepared a briefing paper: The case for retention of Freight Facilities Grants, to clearly outline the importance of FFGs.
They have a vital role to play in increasing modal shift and the paper illustrates how scrapping them clearly works against the Scottish Government's own environmental objectives.
The RFG's Scottish Representative David Spaven said: "The retention of the successful FFG scheme is absolutely critical to shifting more freight from road to rail in Scotland. We strongly urge the Scottish Government to ensure that the country does not lose out on the widespread economic and environmental benefits which FFGs deliver."
Colin Howden, Director of Transform Scotland, added: "Scrapping FFG goes against the Scottish Government's aim of shifting freight from road to rail and sea. The Government has strenuous targets to meet on climate change, and the decision to scrap FFG puts its commitment to these in doubt. Rail freight is three times more energy-efficient than road haulage, and there are clear carbon benefits from getting heavy freight off the roads."
RFG Chairman Tony Berkeley previously wrote letters of support to the motion, and when writing to Alison McInnes MSP, the Liberal Democrats' transport spokesperson, he outlined how the future growth of many rail freight flows would be put at risk.
"FFG has been in existence since 1974, and since 1997 alone 37 awards of FFG, totaling £68.9m (including funding of £10.9m from DfT), have been made to projects in Scotland - taking over 33m lorry miles off Scottish roads annually," he wrote. "The vast majority of the modal switch from road to rail in the (non-coal) market in Scotland in recent decades has been achieved with the assistance of FFG (which has also achieved significant mode switch from road to sea, e.g. for timber on the west coast)."
Berkeley went on to say that given the strong competition with road freight in the country, FFGs had targeted particular flows and services "in a very cost-effective way".
"These grants, and the parallel Revenue Grants, are there because the Westminster and Scottish Governments have both accepted that key rail freight flows need some support in order to compete fairly with road freight."
"We welcome the Scottish Government's commitment to sustainable economic development and fighting climate change, and note that rail freight is around five times more carbon-efficient than road freight.
"For these reasons, this decision to cut out FFGs appears to be in direct contradiction to these policies."
Berkeley concluded that the RFG would continue to fight against the proposals.
ENDS
Notes to Editors
The RFG / TS briefing is available at <http://www.transformscotland.org.uk/GetFile.aspx?ItemId=326>.
One of the UK's biggest suppliers of bottled water has also voiced its concerns over the move and in a recent interview with Scottish Newspaper Herald Scotland, it said the move had meant its plans to build a rail terminal in Perthshire had been jeopardized as a result of the proposals to abolish Freight Facilities Grants in the country.
<http://www.heraldscotland.com/business/corporate-sme/top-firm-s-fears-over-scrapped-rail-grants-1.1078764>
About RFG:
The Rail Freight Group (RFG) has been the UK's leading rail freight campaign group since its formation in 1991. It has more than 150 member companies, ranging from Maersk, the world's largest container shipping line, to high street retailer, Marks & Spencer. Our members include customers, logistics providers, suppliers, terminal operators, ports and freight train operating companies.
RFG's aim is to promote cost effective rail solutions for freight, with a vision to see the sector attract a steadily increasing market share year on year.
RFG works hard in the interests of its members; to represent their views and provide a wide range of advice and information.
RFG is a Company Limited by Guarantee and all revenue is ploughed back into providing services to members.
It was originally formed in 1991 to represent the views of those involved with the rail freight industry that were not British Rail.
The RFG seeks to achieve its objectives by organizing meetings and visits, by responding to consultation papers and by lobbying government, European Institutions, the Office of Rail Regulation and Network Rail.
One of its major successes was the inclusion in the 1993 Railways Act of a duty on the Government and Rail Regulator (now Office of Rail Regulation) to promote rail freight.
RFG also looks to involve the media in positive comment and news where possible, and publishes a newsletter, circulated to nearly 2,000 opinion-formers, generally every two months.
Rail Freight (Users and Suppliers) Group. Registered No. 332 4439
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