Lane Rental - A Utility Perspective. Paul Gerrard Street Works Manager, National Grid

Transcription

1 Lane Rental - A Utility Perspective Paul Gerrard Street Works Manager, National Grid

2 Introduction Energy Networks Association (ENA) represents the wires and pipes transmission and distribution network operators for gas and electricity in UK and Ireland. Promote the interests and good standing of the industry and influence decisions on: - Regulation and the wider representation in UK, Ireland and Europe. Cost-efficient engineering services and related businesses for the benefit of members. Safety, health and environment across the gas and electricity industries.

3 Legislation Overview Section 74A S.I. approved in March 2012 Legislation applicable to registerable activities as defined within the Regulations Apply to a Protected Street or a Traffic Sensitive Street only Maximum Charge to be applied is 2500 Charges apply per day or part of a day for the duration of the works

4 Need for Streetworks? Energy Networks only carry out streetworks in compliance with our legal and regulatory obligations for the purpose of; Safety Security of supply Connecting new or enhancing existing customers supplies Diverting Apparatus for major transport or urban regeneration projects Streetworks are unavoidable

5 Streetworks Commitment Streetworks add significant costs to the energy businesses and we are committed to; Minimizing our occupation of the Highway and causing minimum disruption to both the general public and the local community Working with all stakeholders in a co-ordinated and efficient manner to enable effective street work management, incentivise the right behaviours and deliver a net positive impact In order to minimize costs to our customers

6 Proposed Schemes No more than 3 initial schemes (TfL, Kent and Northampton) Will require approval from the DfT Permit schemes should already be in place (minimum 2 years) Applies to pinch points on T/S streets only Targeted at Carriageway Works Applies to ALL works promoters Steering/Working Groups set up to manage implementation Provision of exemptions (Emergency works - 24 hours) Excess revenue will be invested in innovative techniques to reduce the impact of Streetworks

7 Future Potential Lane Rental Schemes GMRAPS Yorkshire Liverpool EM Cities Lancashire East of England St Helens Northants LoPS

8 Opportunities for Cost Avoidance Opportunity to avoid costs include: Works undertaken outside T/S times The first 24 hours on Emergency Works Works undertaken outside lane rental designations Only applies to Carriageways Unavoidable Cost avoidance Long duration works Complex interconnections Large excavations Restrictive Permit Conditions Restrictive Lane Rental times

9 Impacts Of Lane Rental Schemes Extra Admin FTE s 2500/ 800 Per Day Visible Costs Costs incurred to administer additional conditions and workflow of invoices Additional requirements added to conditions i.e. time specifications Contacting and agreeing specific site requirements with Environmental Health Officers

10 Impacts Of Lane Rental Schemes Higher Operational Costs 2500/ 800 Per Day Visible Costs Costs associated with working at night or out of hours Hire of additional plant and equipment (lights, generators, hot boxes etc) Supplemented costs of raw materials Reinstatement Materials etc. Limited opportunity to complete works in the cost avoidance times Charges will apply throughout weekends and bank holidays

11 Impacts Of Lane Rental Schemes System Upgrades 2500/ 800 Per Day Visible Costs Revision to Eton Revised e-commerce systems to enable interactive quotes where applicable Revised work management systems to identify lane rental locations

12 Impacts Of Lane Rental Schemes De-Mobilisation/Mobilisation will extend duration at non T/S times Working in artificial light takes longer (HSE issues increased incident potential) Constraints of Permit Conditions also restricts work 2500/ 800 Per Day Visible Costs Longer Actual Durations

13 Impacts Of Lane Rental Schemes Training Costs for trainers and operatives Changes to policies and procedures that impact day to day activities 2500/ 800 Per Day Visible Costs Cost of Scheme Implementation

14 Impacts Of Lane Rental Schemes Restricted times will reduce productivity in T/S locations Consistent moving on/off site is non-productive Additional Costs for additional staff to meet workloads 2500/ 800 Per Day Visible Costs Loss of Productivity

15 Customer Impact Efficiently incurred Lane Rental charges will be passed on to customers for all customer-ordered works through transportation charges Consistent with approach used for recharging of TMA permit fees which has been accepted by OFGEM

16 Summary Impact of schemes on congestion is unclear and unproven Risk they impose costs that outweigh benefits To reduce disruption cost effectively schemes need to be applied to all works promoters targeted at pinch points on strategic roads operated on an incentive and truly avoidable basis only introduced upon the removal of other requirements designed so net revenue is used to fund innovation Full assessment of trial schemes is vital to prove net benefits prior to wider roll out reviews need to include all costs and all benefits We want to work with Authorities to develop schemes that are fair and incentivise the right behaviours and reduce disruption

17 Thank You Questions?