Victorian rail access regime
An open access regime exists on freight rail lines in Victoria. The access regime came into effect on 1 July 2001 to encourage competition in the rail freight industry and increase the role of rail in carrying freight. The access regime was amended in June 2007 and is now undergoing further review to improve its effectiveness in increasing the amount of freight transported by rail.
Information on this page
Rail Network Declaration Orders
The Victorian Government has released the Rail Network Declaration Orders, outlining parts of the Victorian rail infrastructure which is now accessible under the Government’s new rail access regime.
Reform of the Victorian Rail Access Regime - Legislative framework reforms
The Government's
Rail Network Pricing Order (PDF, 24 KB, 8 pp.) sets out the pricing principles for use of Victoria's rail network under the reformed rail access regime. The Essential Service Commission (ESC) has developed pricing orders in response to submissions received.
Legislative changes to the Rail Corporations Act to amend the rail access provisions were passed on 31 May 2005.
How open access works
Under new arrangements, the State Government – in the form of V/Line - holds leases for most of the lines used for rail freight in Victoria. Open access allows for other operators to apply to the lease-holders (access providers) to operate services on those rail lines. Other operators then pay the access provider for use of any lines.
If the two parties cannot agree on the details of an access arrangement, either party can ask the
Essential Services Commission (ESC) to arbitrate. The ESC has prepared
guidelines on the operation of the regime.
What open access covers
Open access has been declared over infrastructure making up the Victorian freight network including:
- regional rail networks leased to Pacific National
- the South Dynon and Dynon Intermodal Terminals.
Further details, including pricing orders, are included in
State Government Special Gazette No. S70 (PDF, 408 KB, 28pp.), released on 15 May 2001.
Victorian interstate rail lines to Sydney and Adelaide are not covered by the Victorian regime. These tracks are leased to the Australian Rail Track Corporation (ARTC) which manages access to them under a separate rail access regime.
How to apply for access
A rail operator seeking access to the Victorian non-urban, intrastate rail network should apply to:
V/Line (Victorian regional rail network and Dynon Intermodal Terminal)
Mary Potter
Commercial Manager Access
V/Line
Level 23
570 Bourke St
Melbourne VIC 3000
Tel. 03 619-5923
Amendments to the Rail Corporations Act
The Rail Corporations Act 1996 was amended by Parliament in May 2002 to implement the new access regime.
The amendments meet concerns raised by the NCC. The Rail Corporations Act now provides:
- measures to protect confidential access seeker information – a person may apply to the Essential Services Commission (ESC) for a determination that confidentiality requirements should apply
- wider information powers for the ESC, including in particular powers to verify compliance with Notices issued by the ESC regarding access seeker information and financial and business information, and
- that the ESC, where relevant to a determining a dispute, consult with the operator and arbitrator of other networks, in making a determination.
The amendments also clarify that a determination is not an arbitration for the purposes of the Commercial Arbitration Act 1984.
V/Line's Access Arrangement
V/Line has inherited the access arrangement that was created in May 2007 by the
Essential Services Commission (ESC) for its predecessor, Pacific National (with only very minor changes to eliminate redundancy). This document covers proposed set of terms and conditions for freight trains using V/Line’s rail track, including a set of maximum charges (“standing offer prices”).
Consistent with the ceiling levels specified by ESC, V/Line has now established its actual charges for use of its network by Pacific National’s train operating business. These are far below the regulatory ceilings due to the constraints imposed by the market for transport services, in particular the rates offered by competing road hauliers.
Australian Rail Track Corporation's access arrangements
Interstate standard gauge track in Victoria is not covered by the Victorian rail access regime. These tracks are leased to, and managed by, the
Australian Rail Track Corporation (ARTC). The ARTC owns and manages the line from the Victoria-South Australia border to Kalgoorlie in Western Australia and from Adelaide to Broken Hill. The ARTC also now leases the interstate lines in New South Wales and other lines from the NSW government. Those seeking access to these lines should apply to the ARTC.