Expert advice to improve confidence that haulage requirements could be met at an economic cost.
Centrica were considering the redevelopment of a mothballed gas fired power station as a biomass fuelled generator. Fuel haulage costs were a significant part of the total cost of operation and Centrica employed Railfreight Consulting to advise it on the cost of rail haulage. Cost sensitivities were run around different types of biomass and other fuel and different sources of the fuel (ie ports, indigenous locations).
Railfreight Consulting has a thorough understanding of the costs associated with the delivery of rail haulage. For example, it worked with senior manage at Network Rail to produce their internal rail freight cost model. We worked with Centrica to validate their internal cost models and develop the various cost sensitivities required. We also ensured that their operating assumptions on variables such as train length, gauge and axle weight were correct for the infrastructure they planned to operate on.
At the end of this assignment Centrica were much more confident about the capability of rail haulage to deliver their needs and also in the costs that would be seen when production commenced.