Working groups to address skills, standards to improve safety, productivity

Three working groups have been formed to improve the productivity and safety of the rail industry, and address key issue facing the sector.

Deputy Prime Minister and Minister for Infrastructure, Transport and Regional Development Michael McCormack announced the working groups, which were agreed upon by Commonwealth, state, and territory government as part of the National Rail Action Plan.

“We are improving Australia’s rail system by continuing to align and harmonise operating rules, infrastructure and operational standards and systems across the national network.,” said McCormack.

The three groups cover skills and labour, interoperability, and harmonising national standards.

“The Australian government is committed to delivering critical rail infrastructure and improving the safety and productivity of rail operations and we are overseeing a major wave of investment in rail,” said McCormack.

The National Rail Action Plan was agreed upon by state and federal transport ministers as part of the Council of Australian Governments (COAG) Transport and Infrastructure Council, and is implemented by the National Transport Commission.

The leadership of each of the working groups includes government and industry representatives. CEO of the Australasian Railway Association (ARA) Caroline Wilkie will co-chair the skills and labour working group with Tony Braxton-Smith, CEO of the South Australian Department of Planning, Transport and Infrastructure. Simon Ormsby, group executive strategy at the Australian Rail Track Corporation (ARTC), will co-chair a group on interoperability with the NTC Chair, Carolyn Walsh. Deb Spring, CEO of the Rail Industry Safety and Standards Board (RISSB), will co-chair a working group on harmonising national standards with Ben Phyland from the Victorian Department of Transport.

“The National Rail Action Plan will complement the 10-year $10 billion National Rail Program, which is designed to help make our cities more liveable and efficient as they grow. The plan also aims to reduce the burden on our roads, provide more reliable transport networks and support our efforts to decentralise our economy and grow regional Australia,” said McCormack.

Wilkie said that the formation of these groups will tackle ongoing challenges in the rail sector, and encourage broader economic growth.

“We have long known that a national focus is crucial to ensuring the rail industry can continue to deliver the efficiency and productivity needed to drive Australia’s economic growth. These working groups will promote collaboration and support a truly national vision for rail.”

The National Rail Action Plan notes that the large pipeline of rail investment has created challenges in terms of critical skills in construction, operations, and manufacturing.

“There is no question we will need more skilled people in rail in the coming years. The working group will be looking at how we can collectively promote the industry as a great place to work. There is a real diversity of careers available in the industry and we need to make sure there are clear pathways to encourage the best and brightest to join us,” said Wilkie.

The Plan also sets out that the multiplicity of standards for infrastructure, rollingstock and components, safe work, and communications and control systems have presented a regulatory barrier to the rail industry. Addressing this will be one of the tasks of the working groups.

“The ARA also looks forward to engaging with the working groups on interoperability and harmonising national standards. Greater national consistency would allow us to get more value out of investment in rail and further streamline passenger and freight operations,” said Wilkie. “The calibre of industry representatives taking part in these groups really highlights how important the focus on these issues is.”

Procurement reform a vital step for economic recovery

ARA CEO Caroline Wilkie makes the case for procurement reform in rollingstock and signalling to assist infrastructure spending to stimulate the economy.

Governments in Australia have indicated that they will continue to fund committed infrastructure projects and have begun to bring projects forward to further stimulate the economy to support job growth and investment due to the impacts of COVID-19.

The Australasian Railway Association (ARA) commends this sensible approach. Infrastructure spending is in the long-term national interest, stimulating multiple parts of the economy, not just construction. Stimulating rail manufacturers and suppliers would be of immense benefit, particularly in regional Australia, where many are located.

However, there are other areas where governments could go further to identify and act on measures that could be introduced to support further cost savings and improve the delivery of new rail projects.

Reforms in the area of tendering and procurement would deliver better, faster, and cheaper projects in the rail sector. While this debate is not new within the infrastructure portfolio, the economic impact of COVID-19 has highlighted the importance of pursuing efficiencies to ensure the rail infrastructure construction sector and rollingstock supply chain remain in a position to support the government’s infrastructure agenda and further stimulate the economy during
these difficult economic times.

Australia’s tendering practices are significantly costlier and more time consuming compared to international benchmarks. The tendering costs in Australia are estimated to be around 1-2 per cent of a project’s total cost, which are double the world benchmark of 0.5 per cent. Increased tender costs are immediately reflected in the project pricing, so reducing the costs of tendering should be important to all parties. High tender costs also increase the risk profile for tenderers and thereby tend to discourage participation.

The ARA proposes that significant benefits could be realised if improvements were made to current Australian industry procurement practices. Substantial improvements can be achieved through more streamlined and consistent tender processes that improve efficiencies for both suppliers and purchasers, from pre- qualification right through to contract award.

These changes would minimise the consumption of resources on redundant and non-productive outcomes, reduce procurement cycle times, further reducing costs and releasing industry capacity for delivery. Further, tendering on the basis of appropriate and more standardised contracting models and risk allocation frameworks for delivery will also reduce tender development and negotiation costs. Creating a consistent and well understood delivery environment will also lead to more successful project delivery outcomes.

The ARA commends the recent procurement-related initiative in NSW, embodied in the NSW government’s Action Plan: A 10-point commitment to the construction sector. The plan reduces the red tape for firms with a proven track record and supports streamlined prequalification schemes for contractors, tiered according to their size and capacity. It reviews existing pre-qualification schemes to ensure they focus on capacity and capability and do not impose unnecessary costs and administrative burdens on suppliers; and minimise the number of project-specific bidders that are required to generate and submit prior to the selection of a preferred tenderer.

The ARA believes that all states should adopt similar principles.

The benefits arising from any process optimisation and standardisation are multiplied when adopted across Australia’s procurement agencies. The ARA supports the convergence and the maximum practical standardisation of procurement practices on a national basis as an urgent and worthwhile objective.

Under the auspices of its Rail Industry Group, the ARA has convened an expert committee of suppliers, consultants, and other interested parties to make specific recommendations for improvement.

The Best Practice Guide to Rolling Stock and Signalling Tendering in the Australian Rail Industry analyses present deficiencies in current tendering frameworks that add unnecessary cost and complexity to already complex tender processes. It makes recommendations for improved practice by procuring agencies in eleven thematic areas.

The ARA has written to Transport and Infrastructure Council ministers with the Guide and is meeting officials to advocate for its implementation.

Procurement – similar to standards, specifications, and training – particularly in regard to rail systems, are areas where Australia has suffered due to its colonial legacy, with differing policy and arrangements in place throughout the six states acting as a deadweight against a national industry.

States, territories, and the federal government have demonstrated their ability to work collaboratively on issues of national significance where there is clear benefit to doing so during this pandemic. This cooperative model should be utilised for other key matters where federation has imposed challenges for industries, where significant savings can be achieved through harmonisation such as rail industry procurement.

ATO on regional passenger trains trial to go ahead in 2021

A world-first test of automatic train operation (ATO) on a regional train line has received a prestigious award from the German government.

The German Federal Ministry of Economics awarded Alstom with the Innovation Prize for Regulatory Sandboxes for its planned trial of ATO in daily operation of regional passenger trains in Braunschweig.

The test is planned for 2021 and will be conducted by Alstom in partnership with the Regional Association of the greater area of Braunschweig, the German Aerospace Center (DLR) and the Technical University of Berlin (TU Berlin).

Jörg Nikutta, managing director of Alstom in Germany and Austria, said the prize recognised Alstom’s focus on innovation.

“In the future, automated trains will optimize regional rail operations, reduce energy consumption, and increase ride comfort. In this way, highly automated driving will make a decisive contribution to climate protection and contribute to the development of a modern, attractive railway system. Following the development and successful testing of the world’s first hydrogen train Coradia iLint, Alstom is once again the innovative driver in rail transport with the pilot for regional trains in automated operation,” he said.

The trial will be conducted with two Coradia Continental regional trains, owned by the regional rail operator for greater Braunschweig. The trains will be equipped with an European Train Control System (ETCS) and ATO equipment to enable the trains to travel automatically.

The trial will involve two different grades of automation (GoA). In regular passenger operation the trains will operate at GoA3, meaning the trains will be fully autonomous but with an attendant who can step in if there is an emergency. In shunting the trains will be operated fully remotely, at GoA4.

Birgit Milius, head of the Department of Railway Operations and Infrastructure at TU Berlin said that the trail would be an indication of how rail will operate in the future.

“ATO, or Automatic Train Operation, is one of the most exciting challenges in the railway industry. It gives us the opportunity to shape and significantly change the operational management of the future. But a lot of research is still needed before this is the case, and I am very pleased to be working with Alstom on this project,” she said.

Findings from the tests will inform the legal and regulatory framework for ATO. Alstom will use its expertise in ATO for metro trains and research into autonomous freight trains to guide the project.

 

Trial of hydrogen-powered trains in passenger service complete

The world-first trial of two hydrogen fuel-cell trains in passenger service has been successfully completed.

The two Alstom Coradia iLint trains have passed 530 days and 180,000km of operation for LNVG, the transport operator for the German state of Lower Saxony.

With the trial now completed, 14 Coradia iLint trains will enter service in 2022, replacing the existing diesel multiple units.

Alstom will manufacture the trains and maintain them at its site in Salzgitter. Gases and engineering company Linde will construct and operate a hydrogen filling station near Bremervoerde station.

Jörg Nikutta, managing director for Germany and Austria of Alstom Transport Deutschland said that the new trains are a step forward for emissions-free transport.

“Our two pre-series trains of the Coradia iLint have proven over the past year and a half that fuel cell technology can be used successfully in daily passenger service. This makes us an important driving force on the way to emission-free and sustainable mobility in rail transport,” he said, noting that data from the trial will inform the development of hydrogen propulsion technology.

Lower Saxony’s Minister of Economics and Transport Bernd Althusmann said that the completed trial has a significant beyond transport.

“Alstom has made hydrogen history here. The project is of a great importance to industrial policy that goes far beyond Germany. Here, we are witnessing the first competitive product of hydrogen mobility at industrial level.”

When used, hydrogen produces no emissions, apart from water, and the hydrogen-powered propulsion system also reduces the amount of noise the trains produce. The Coradia iLint has been designed to replace diesel units on non-electrified lines. Enak Ferlemann, parliamentary state secretary at the Federal Ministry of Transport and Digital Infrastructure, said that this was where hydrogen could play a big role.

“Hydrogen is a real low-emission and efficient alternative to diesel. Especially on secondary lines where overhead lines are uneconomical or not yet available, these trains can travel cleanly and in an environmentally friendly way. We would like to see more such applications.”

Metlink train in Wellington. Photo: Creative Commons / Simons27

Wellington begins procurement process for new regional trains

The Greater Wellington and Horizons Regional Councils have locked in $5 million in funding for a business case for new regional passenger trains.

The funding comes from Waka Kotahi NZ Transport Agency and begins the procurement process for regional trains that are expected to cost $300m.

The two councils, which cover cities including Wellington, Whanganui, and Palmerston North, are seeking to increase rail capacity to serve their growing populations, said chair of Greater Wellington Regional Council Daran Ponter.

“Earlier this year the Government announced $211m for track improvements and this is another important piece of the puzzle. While the new trains will stop passengers being packed in like sardines in the next five years, we expect them to provide a resilient and reliable service that not only meets the needs of customers but also aids population and economic growth over the next 10-15 years.”

Lines in the regional network have seen increases in patronage. On the Wairarapa Line, patronage grew from 680,000 boardings in 2009 to 780,000 in 2019, with a 24 per cent increase in peak patronage. On the Manawatū line, average growth over the past four years has been 3.1 per cent.

With the $5m in funding, the councils will conduct a market assessment, investigate risks and costs, and complete the detailed business case. Kapiti Coast councillor and environment chair Penny Gaylor said that new trains would greatly benefit the region.

“We’ve long championed electric or dual mode fleets to replace older diesel trains to lower carbon emissions and this funding brings us a step closer to that reality. Investing in a modern rail fleet also enables us to use the trains across the whole network, bringing extra capacity to Kapiti passengers and encouraging more people to make the shift from cars to public transport.”

The Wellington network currently operates a mixed fleet of 83 Matangi EMUs, manufactured by a consortium of Hyundai Rotem and Mitsui, and three diesel locomotives which haul 24 passenger carriages. Although the EMUs were introduced in the last decade, the diesel locomotives and carriages have been in service since the 1970s.

Wairarapa councillor and deputy chair of Greater Wellington Adrienne Staples said that new units would improve services.

“Getting new trains would be a great win for regional rail passengers and the economy. Passengers will benefit from more capacity and increased frequency and more connections between Manawatu, Horowhenua, Wairarapa and Wellington will provide economic benefits at a time when we need to look to smarter ways of working and connecting people.”

team

Commuters warned to stay off public transport during peak hour

Commuters are being warned to avoid taking public transport in peak hours to reduce the spread of coronavirus (COVID-19).

In a press conference on Friday, May 15, NSW Premier Gladys Berejiklian said that people should not get on buses and trains in the state unless necessary.

“We don’t want any more people at this stage catching public transport in the peak. If you’re not already on the bus or train in the morning do not catch public transport,” she said.

Throughout the lockdown period NSW has run trains to a normal schedule to maintain capacity so that passengers can social distance, however with more workplaces opening up and people returning to work, there are concerns about the number of people on the services. Berejiklian said limiting passenger numbers would help to limit the spread.

“And I stress that strongly because we know overseas public transport was the main reason why the disease spread. At this stage we are maintaining good social distancing but we’re going to be very strict about that.”

Transport Minister Andrew Constance said that current patronage levels were reaching the capacity limits set to ensure physical distancing on public transport.

“Everyone will need to maintain physical distancing during this pandemic,” said Constance.

“That means if you are not already using public transport during the peak times, please do not use public transport during peak periods.”

Transport for NSW and Sydney Trains have put in extra measures to reduce crowding on services, including communication campaigns and managing numbers at stations using Opal gates.

“We will be monitoring patronage and have staff at key locations across the metropolitan area to assist customers,” said Constance.

A ‘no dot, no spot’ campaign will be used on trans to indicate where the safest places to sit and stand are. If a service is full, passengers will be asked to wait. Data will also be used to communicate what services have space via apps, social media and Transport Info.

Commuters in Adelaide were also asked to avoid using public transport. Travellers on the Gawler Line have been experiencing crowding partly due to 50 of the city’s 70 diesel trains being taken out of service due to a mechanical fault. South Australia chief public health officer Nicola Spurrier told local radio that crowded public transport should be avoided.

“I think it would be much safer to avoid getting on any public transport where you can’t do the social distancing,” she said.

Some jurisdictions around Australia have been encouraging commuters to use more active modes of transport such as walking or cycling to counter overcrowding on public transport and roads once work patterns begin to return to pre-COVID-19 norms.

Budget allocates $1.2bn for rail in NZ

NZ$1.2 billion ($1.11bn) has been earmarked for rail in New Zealand’s 2020 budget.

The NZ Coalition government has targeted investment in track and locomotives, as well as a replacement for the Interislander ferries as key initiatives in the first post-coronavirus (COVID-19) budget.

State owned enterprises minister Winston Peters said that rail was critical for the country to emerge after the COVID-19 pandemic and associated lockdowns.

“Rail is a critical part of our integrated transport network. Not only is investment essential to address decades of under-investment, but further investment in rail will play an essential role in our economic recovery post-lockdown,” he said.

Peters’s responsibilities cover state-owned rail operator KiwiRail, which owns most of the rail track in New Zealand while also providing freight services and the Interislander ferry, which is rail-enabled. The budget approved $400 million for new Interislander ferries and port-side infrastructure. This will enable KiwiRail to tender for international builders to design and construct two new rail-enabled ferries for delivery in 2024-2025 said KiwiRail chief executive, Greg Miller.

“Our Cook Strait ferries are an extension of State Highway 1, moving 800,000 passengers and up to $14 billion worth of road and rail freight between the North and South Islands each year,” he said.

“They are a must have for NZ Inc. The two new rail-enabled ferries will be more advanced, have significantly lower emissions and last for the next 30 years.”

In addition, $246m was allocated for investment in rail track and $421m for new locomotives, which will help shift freight onto rail, said Miller.

“The Government’s investment allows us to continue with our locomotive replacement programme and raise the standard of our rail lines, bridges and tunnels across the country. This will enable KiwiRail to offer better and more reliable train services for our customers and move more of New Zealand’s growing freight task onto rail,” he said.

Funding will be targeted at areas with significant freight demand, such as the Auckland-Hamilton-Tauranga triangle, the North Island Main Trunk Line, the Midland Line from Rolleston to Stillwater, and the Main South Line from Lyttleton to Rolleston. The funding also includes upgrades to Wellington Railway Station, damaged in the Kaikoura earthquake, and resilience work on the National Train Control Centre.

“This funding recognises that rail has a greater role to play in New Zealand’s transport sector, and that it can make a valuable contribution towards lowering our transport emissions, reducing road congestion and saving in road maintenance costs – which benefits our nation as a whole.”

Rollingstock upgrades are expected to include 10 new main line locomotives in the North Island, the first tranche of replacement locomotives for the South Island, 10 electric/battery powered shunting vehicles, the first order of 20 short haul locomotives. The first locomotives are expected to arrive in NZ from late 2022. KiwiRail freight locomotives will also be upgraded for electronic train control to operate on the Auckland network.

An ongoing extension of previous funding
The $1.2bn comes in addition to the $1b allocated in the 2019 budget and will continue to modernise the NZ rail network.

“KiwiRail is a major contributor to New Zealand’s infrastructure projects, and currently employs almost 4,000 people,” said Peters.

“The investment in rail infrastructure, is not only helping to secure the thousands of existing jobs at KiwiRail but will be a huge boost to New Zealand’s civil engineering and construction sector, with hundreds of contractors, and their material suppliers, needed nationwide for track renewal, mechanical facility upgrades and ferry terminal projects.”

In addition to the direct funding, legislative changes will allow for network investment to occur through the National Land Transport Fund. An extra $148m has been earmarked for investment through this fund once the legislation is passed.

NZ has been part of the Australasian rail renaissance, with the Transport Minister Phil Twyford releasing the NZ Rail Plan in December 2019 that outlined the priorities for investment in the rail network.

“The Coalition Government has a bold vision for a 21st century rail network as outlined in the draft New Zealand Rail Plan. We need a resilient and reliable rail system to support freight and get our cities moving,” said Twyford.

“Budget 2020 builds on the substantial investments we’ve already made in rail through past Budgets, the Provincial Growth Fund, and the New Zealand Upgrade Programme which will help future proof the economy and reduce emissions.”

Light rail misses out
In the budget announcements there has been no mention of the Auckland Light Rail. The project was included in the coalition agreement signed between Labour and the Greens however with an election in September 2020, it seems unlikely that funding will be allocated in this term of government.

Twyford confirmed to NZ media that the light rail project is on pause while the government responds to the COVID-19 pandemic.

Two bids have been received for the project, one from private sector backed NZ Infra, and one from the government transport authority NZ Transport Agency.

ARA calls for tender changes to maximise benefit of rail

The Australasian Railway Association (ARA) has called for an update of tendering procedures around Australia to accelerate job-creating rail projects.

Releasing a new tendering framework, the ARA included 21 recommendations to improve the procurement process for rollingstock and signalling equipment.

ARA CEO, Caroline Wilkie said that implementing these recommendations would extend the benefits of rail infrastructure and supply contracts.

“Australian tendering costs are higher than global benchmarks and that makes it harder to get projects out of the planning phase into delivery,” said Wilkie.

“As governments look to bring on new projects to speed our post-pandemic economic recovery, simple and fast tendering processes will be needed to get people quickly back to work.”

In the framework, the ARA’s recommendations include changes to market sounding and pre-project engagement, a one-time national pre-qualification scheme, a simplified probity management process, clear requirements at the point of early contractor involvement, a harmonisation of specifications, and a cost recovery process for rollingstock design.

“Small measures like a one-time-only pre-qualification process and standardised templates, terms and conditions would make a big difference and reduce costs for both government and the private sector,” said Wilkie.

The ARA commended the NSW Government Action Plan, which it said set the standard for procurement and should be the benchmark for other states.

“A nationally consistent procurement process would cut red tape and focus tender discussions on the all-important project outcomes,” said Wilkie.

Today, Australian tendering costs are approximately 1-2 per cent of a project’s total cost, well over the international benchmark of 0.5 per cent. Bringing Australia into line with other countries would allow for reduced project pricing as well as improving participation by reducing the risk profile for tenderers.

“It is important tender processes are fit for purpose and resourced to succeed so projects can move from planning to delivery as soon as possible,” said Wilkie.

In a speech to the shadow cabinet on May 11, federal opposition leader Anthony Albanese’s call for more local content in rollingstock. Albanese said that trains should be built in Australia, and pointed to examples in Queensland, Victoria, and WA.

Wilkie noted that well-managed procurement processes can create employment in Australia.

“Now more than ever we need government and industry working together to get projects up and running to deliver jobs for all Australians.”

GS1

Let’s get moving

2019 was the year to get on board with Project i-TRACE. Bonnie Ryan from GS1 Australia highlights the importance of standardising the capture of data and is calling on the rail industry to get moving on digitalisation.

The Australian rail industry is preparing to digitalise the management of rail assets for increased efficiency around the network and to move more customers and freight in cities that are becoming more congested.

Bonnie Ryan, director of freight, logistics, and industrial sectors at GS1 Australia said the entire transport sector acknowledges that a critical focus should be on data regulation. Rail operators and suppliers are increasingly appreciating the benefits that digitalisation brings and understanding the dangers of ignoring its possibilities.

GS1 barcode numbers issued by an authorised GS1 organisation are unique, accurate, and based on current global standards. GS1 Australia works with key stakeholders in the Rail industry in order to improve supply chain management and the use of standards and processes both locally and globally. Through an industry-wide initiative pioneered by GS1 Australia and the Australasian Railway Association, Project i-TRACE is enhancing the digitalisation of operational processes.

THE YEAR TO GET MOVING
2019 was regarded as the year of implementation for Project i-TRACE. The traceability initiative firstly involves standardising the capture of data relating to all assets and materials in the rail industry, and by doing so, ensures a critical foundation upon which the rail industry can build its digital capabilities.

“Last year it was time to get on board, now we need to get moving,” Ryan said. Despite current restrictions and challenges in the current economic market, she said the industry is still active and bringing its business needs to the forefront of discussions. The ARA Project i-TRACE rail industry group is aiming to improve supply chain efficiency and visibility of operations by developing and adopting GS1 global standards. Ryan said the industry group is collaborating to determine how businesses can best navigate through the current climate and what further engagement and support is needed to help the rail suppliers adopt data capture technologies.

Communication is key, according to Ryan, in spreading the message that technologies including barcoding and RFID tagging will be fundamental components to a more efficient business and industry. The Project i-TRACE industry working group are further discussing how the industry is progressing with implementation. Ryan said measuring progress is underway. Operators will be surveying their suppliers in an effort to see where they are at with Project i-TRACE implementations. There is a need to instil a sense of urgency to action GS1 standards.

INDUSTRY ADOPTION
Project i-TRACE has at its core a focus on traceability. Ryan said i-TRACE will be implemented as an enabler for systems and is a very important part of the future of the rail business.

The Australian Transport and Infrastructure Council has affirmed the critical role the freight sector plays in providing essential supplies and services. Rail freight services stretch across state borders, servicing finely tuned supply chains across the nation and are the gateway to global markets. Ryan said it’s more critical than ever to review efficient supply chain management.

Ryan said for the rail, freight and logistics industry it has been business as usual, however unprecedented demand and restrictions to regular operations has allowed open-minded thinking towards better risk management and safety procedures. She said from conversations with executives in the rail sector, more companies are open to talking about technology initiatives that will help deliver business objectives in the long-term.

“We are engaged with all of Australia’s major rail operators. They all have representatives that sit on the Project i-TRACE industry work group and they’re all very committed to better control their assets, reduce costs and enhance productivity,” Ryan said. Major operators have different work to do than suppliers, as organising their systems to accept new data that they haven’t had before can be a challenge. Ryan said that operators can learn from one another to see the benefit of enhanced digital capabilities, but they’re all at different stages and have internal processes and data systems to review first.

V/Line was one of the first to adopt and implement i-TRACE in its supply chain processes to help achieve improved productivity outcomes.

“V/Line was early to adopt GS1 standards and continue to see success, however I’m proud to say that all major operators also have their own plans and projects after rapid adoption last year,” Ryan said.

WHAT STAGE IS THE RAIL INDUSTRY AT?
Ryan said the rail industry can learn from other sectors such as the retail and food industry, who are charging ahead with industry-wide standards, guidelines and solutions.

“Rail is different because movement of fast-consumer goods doesn’t apply. However, you don’t see pens and paper in major food retailers’ supply chains. Rail needs to build on its digital capabilities,” Ryan said.

With significant rail infrastructure investments earmarked for a range of projects across the country, embedding i-TRACE in the early construction phases in these projects is critical to delivering cost benefits over the life cycle of the asset, and avoiding the need to retrofit digital capabilities at a later stage.

BUILDING RAIL’S INDUSTRY CAPABILITIES
Ryan said rail is adopting technology including machine learning, artificial intelligence, and autonomous trains. She said the back-end systems and data management needs to be as impressive as railway innovation.

Australasian rail industry manufacturers, suppliers and service providers want to see investments in infrastructure innovation and that will improve the efficiency of the wider network.

Ryan said in order to deliver front-end innovation, having a good digital grounding will be critical to effectively exploiting these capabilities.

“The rail sector knows the importance of digital capabilities, and that’s why operators and suppliers are engaged in i-TRACE,” Ryan said.

She understands due to the scale of operations in the rail sector, the process of implementing global standards is a progressive working task.

“There will be a tipping point in a few years. i-TRACE will no longer be a project but will be business as usual,” Ryan said.

A critical steppingstone to build on rail’s digital capabilities will be building an appropriate digital framework.

Ryan adds not all data is equal, people can be sceptical about where it comes from and if it’s accurate so the only way to trust data is to have good governance and a framework so that you can measure data quality. The accuracy and validity of the data plays a crucial role in furthering downstream technological innovation.

“Having good governance, framework and set of standards in which to apply and adhere to gives the industry the platform to achieve success,” Ryan said.

Right now, Ryan is encouraging operators and suppliers to identify materials, register with GS1 and put the unique GS1 compliant codes on materials and products.

“That is essentially the first step, to begin the alignment of data,” Ryan said.

Ryan is proud to see rail working towards end to end traceability. i-TRACE benefits include improved maintenance and repair operations, reducing costs by automating operational procedures and improving traceability which is fundamental for through life support operations.

Alstom results

Alstom releases results for the 2019-2020 financial year

Alstom has released its results for the financial year 2019-2020, ending March 31, 2020.

The Paris-based, Euronext listed rollingstock and signalling manufacturer booked orders of €9.9 billion ($16.6bn) over the year, and had sales results totalling €8.2bn ($13.76bn).

The figures were driven by orders in Europe, including very high speed trains in France, metros, and regional trains, as well as Alstom’s winning of the Metronet railcar build and maintenance contract in Perth and the contract to supply further rollingstock and signalling to the Sydney Metro Southwest extension.

“Although considered a stabilisation year, Alstom enjoyed strong commercial momentum in a very dynamic railway market,” said Henri Poupart-Lafarge, Alstom chairman and chief executive officer.

“We won major orders especially in Europe and in Asia-Pacific. In addition, we secured pioneering orders for our green mobility solutions, illustrating the potential of such technologies and the dynamism of the shift to carbon free transportation modes.”

Research and development spending accounted for 3.7 per cent of sales in 2019/20, with focus particularly on emissions-free mobility, including electric motors, hydrogen fuel-cells, and battery traction systems. Alstom was awarded contracts for its hydrogen train and battery electric train in regions in Germany.

The effect of COVID-19 is not fully realised in these accounts, as they finish at the end of March, 2020, however Alstom noted that it would not issue dividends to shareholders in July. The company calculated that the impact on sales of COVID-19 is roughly €100 million ($167.9m), due to a slowdown of sales recognition. As of May 12 a restart of production is occurring, and the company expects a fast recovery in the rail market.

“Alstom considers the health and safety of its employees and stakeholders as its top priority during this period. We are confident for the resilience of Alstom’s business in the mid-term, given the fundamentals of the rail market and in particular, the need for greener mobility,” said Poupart-Lafarge.