Interim directions and guidance to the SRA

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Mike Grant Esq
Chief Executive
Shadow Strategic Rail Authority
55 Victoria Street
London
SW1H 0EU

Interim Directions and Guidance to the SRA

The Strategic Rail Authority ("the Authority ") was established as a body corporate under section 201 of the Transport Act 2000 ("the Act") on 15th January 2001. On 30th January 2001 it acquired powers to give certain financial assistance to the rail industry and on 1st February 2001 it will become fully operational, acquiring the functions, property, rights and liabilities of the Franchising Director, the property, rights and liabilities of the British Railways Board and certain functions of the Rail Regulator.

The Authority's functions, and the manner in which it is to exercise those functions, are set out in sections 201 to 222 of the Act. Sections 206(3) and 207(5) of the Act enable the Secretary of State to give directions and guidance to the Authority in relation to its strategies and as to the manner in which it is to exercise its functions.

The Department is currently consulting the Authority in relation to directions and guidance to be given to the Authority ("the new directions and guidance"). Since it is intended to consult interested parties on these directions and guidance they are unlikely to be ready before the end of March.

I am accordingly authorised by the Secretary of State for the Environment and the Regions, in exercise of his powers under section 207(5) of the Act, to direct the Authority to exercise its functions in order to comply so far as possible with the instructions and guidance in paragraphs 4 to 50 of the Instructions and Guidance given to the Director of Passenger Rail Franchising on 29 September 1999; as if -

  • references to the objectives of the Director of Passenger Rail Franchising were references to the purposes of the Authority specified in section 205 of the Act and to the considerations governing the exercise by the Authority of its functions specified in section 207 of the Act, and
  • the instructions and guidance given to the Director of Passenger Rail Franchising under section 5 of the Railways Act 1993 were directions and guidance given under section 207(5) of the Act.

One of the Authority's functions will be to give financial assistance to the railway freight industry and the Secretary of State's powers in relation to the track access and freight facility grant schemes operated by him in under sections 137 and 139 of the Railways Act 1993 will cease. During the passage of the Transport Bill, Ministers gave assurances that the Authority would continue to operate these schemes until an improved system of support to freight operations can be put in place. The Authority is therefore directed to continue to administer the existing schemes in accordance with the rules applied by DETR immediately prior to 1 February 2001. These schemes must be notified to Scottish Ministers and the National Assembly of Wales under section 249 of the Act.

These are intended to be transitional directions and guidance and they will be replaced by the new directions and guidance as soon as they ready.

I am copying this letter to Sir Alastair Morton and to James Watson.

 M H Coulshed