HC Deb 16 April 2002 vol 383 cc809-11W
Miss McIntosh

To ask the Secretary of State for Transport, Local Government and the Regions what information on the division of investment in rail projects between train operators, rolling stock leasing companies and infrastructure investment under the 10-year transport plan will be given to private investors. [R] [49028]

Mr. Jamieson

Information on estimated private sector investment in rail, in total and by type, has been set out in the 10-year Plan and the SRA Strategic Plan.

Mrs. May

To ask the Secretary of State for Transport, Local Government and the Regions how many former regional railways franchises have received funding from the SRA in addition to their original franchise deals; and if he will make a statement on the nature and extent of this funding. [49725]

Mr. Byers

Details are, or will be, provided in the relevant annual reports of the Strategic Rail Authority and the franchising director. Copies of reports already published have been placed in the Libraries of the House.

Chris Grayling

To ask the Secretary of State for Transport, Local Government and the Regions what rights Network Rail has to draw upon the proposed £9 billion bridging loan from the SRA. [49870]

Mr. Jamieson

The Network Rail proposal, if successful, would involve a subordinated standby credit facility from the SRA to enable Network Rail to raise up to £9 billion bridging finance from private sector lenders to release Railtrack from administration as soon as possible. This would be refinanced through the capital markets on a longer term, securitised basis later in the year. The SRA credit facility would only be called upon (as a loan) to enable Network Rail to repay the bridging loans in the extremely unlikely event of Network Rail being unable to access the capital markets for these longer term loans.

Mr. Howard

To ask the Secretary of State for Transport, Local Government and the Regions if he will make a statement on the underwriting of the debt of Network Rail by means of potential emergency loans from the Strategic Rail Authority and his estimate of the maximum potential liability to the taxpayer. [47957]

Mr. Spellar

[holding answer 10 April 2002]: The Network Rail proposal, if successful, would involve a subordinated standby credit facility from the SRA to enable Network Rail to raise bridging finance-to release Railtrack from administration as soon as possible—and to provide a longer term backstop loan facility, which would only be used by the company in specified circumstances as a last resort.

The size of the credit facility is subject to negotiation, but would be expected to reduce over time as knowledge of the asset condition and cost causation improves. Once negotiations are completed, details of any credit facility that created a contingent liability would be notified formally to Parliament in accordance with established procedures.

Chris Grayling

To ask the Secretary of State for Transport, Local Government and the Regions what guarantees the Government provide for debt raised by Network Rail. [47514]

Mr. Spellar

The Network Rail proposal, if successful, would involve a subordinated standby credit facility from the SRA to enable Network Rail to raise bridging finance—to release Railtrack from administration as soon as possible—and to provide a longer term back stop loan facility, which would only be used by the company in specified circumstances as a last resort.

The size of the credit facility is subject to negotiation, but would be expected to reduce over time as knowledge of the asset condition and cost causation improves. Once negotiations are completed, details of any credit facility that created a contingent liability would be notified formally to Parliament in accordance with established procedures.

Mrs. May

To ask the Secretary of State for Transport, Local Government and the Regions what percentage of the rail network is electrified. [49707]

Mr. Byers

I understand that just over one third of the rail network is currently equipped with electrification.

Mr. Wray

To ask the Secretary of State for Transport, Local Government and the Regions what plans there are to increase integration of rail networks on a European level; and if he will make a statement. [49687]

Mr. Spellar

The Commission published its second railway package on 23 January. This includes formal proposals to complete liberalisation of the European rail freight market, on safety, interoperability, the creation of a European Rail Agency and Community accession to the COTIF convention (the convention concerning international carriage by rail).

The Government share the Commission's objective of enhancing the role of railways in our transport system through greater efficiency and higher quality services and therefore welcomes publication of the package. We will be consulting widely on the package before reaching a formal position on the proposals and in particular will be concerned to ensure they do not impose unreasonable costs.

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