Transport

Rail

Rail

As competition in the rail industry has increased in many countries, NERA has played a leading role in helping rail industry organizations address a wide range of rail industry issues, including industry structure and reform, competition policy, regulation, pricing, cost and revenue modeling, demand forecasting, and appraisal methodologies. We have a deep understanding of the rail industry, and have made significant contributions to key developments such as industry restructuring, franchising and contracting, and the principles and practice of track access charging.

NERA's extensive experience covers the following areas:

  • Access charging. NERA is a leading adviser on access charging and has carried out a number of important studies, including a major European Commission study on the principles of charging. We provide clear, robust analysis on issues such as promoting the efficient use of the network, the impact on demand, how charges affect competition between operators, and the likely impact in practice of proposed new incentives.
  • Industry structures. NERA provides authoritative advice on the advantages and disadvantages of different industry structures, including vertical and horizontal separation. We have advised extensively on the impacts of restructuring and the introduction of competition on cost and revenue efficiency.
  • Franchising and contracting. NERA is ideally placed to support governments, regulators, and regulated firms in relation to contracting and franchise design. We provide advice on franchising issues such as the overall structure of franchises, revenue risk-sharing, performance incentives and compensation, and franchise length.
  • Price cap review. We are renowned for our expertise in supporting regulated firms, regulators, and other stakeholders through price cap reviews. Our exceptional knowledge and experience allows us to provide clear, robust advice on issues including measuring the regulatory asset base, the cost of capital, efficiency benchmarking, and financial sustainability.
  • Competition. NERA advises extensively on competition issues. We advise train operators during merger investigations, assist regulators on the identification of excessive fares or abuse of market power, and provide advice during market investigations. We also advise on competition within rail markets, for example on proposed mechanisms for managing “on rail” competition between train operators.
  • Due diligence studies. NERA provides commercial and regulatory due diligence advice to investors in the rail industry. We advise on potential market or competitive developments, and their implications for the firm(s) being sold. Where parts of the industry are subject to economic regulation, we explain how the current regulatory framework operates, highlighting the risks arising and protections provided, and consider potential future developments.
  • Public policy and appraisal. NERA advises on many aspects of project and policy appraisal in the rail industry. We have contributed heavily to the development of central government appraisal and evaluation guidelines. Our experts have conducted a large number of major appraisals for both public and private sector clients, including important impact assessments and cost-benefit analyses.
  • Modeling and forecasting. NERA is renowned for its expertise in the application of econometric and quantitative techniques to real-world problems. We have carried out detailed econometric forecasting work on rail passenger demand, and have undertaken important work in analyzing rail freight demand.
Name Title Location Phone Email
Dr. Richard Hern Managing Director London
Berlin
+44 20 7659 8582
+49 30 700 1506 01
richard.hern@nera.com
Dr. Jeff D. Makholm Managing Director Boston +1 617 927 4540 jeff.makholm@nera.com
James Mellsop Managing Director Auckland
Wellington
Sydney
+64 9 928 3290
+64 4 819 2550
+61 2 8864 6536
james.mellsop@nera.com
Daniel Hanson Director London +44 (0)207 659 8812 daniel.hanson@nera.com
Jeanne Lubek Director Paris +33 1 70 75 01 82 jeanne.lubek@nera.com
Daniel Radov Director London +44 20 7659 8744 daniel.radov@nera.com
Richard Druce Associate Director London +44 20 7659 8540 richard.druce@nera.com
Dr. Lewis Evans Affiliated Academic Wellington +64 4 474 1320 lew.evans@vuw.ac.nz
Michael Spackman Affiliated Consultant London +44 20 7659 8660 michael.spackman.affiliate@nera.com
Title Type Author
Why PFI Holds No Lessons for Utility Regulation White Paper By Sean Gammons, Richard Druce, and James Grayburn
Squaring the Circle: What the Air Traffic Control Sector Can and Cannot Learn from Ot... White Paper Dominik Huebler and Arjun Dasgupta
La Regulación de la Economía Colaborativa (Regulation of the Sharing Economy) Book By Bruno Soria
Valuation of the socio-economic impacts of railway stations in France Study By Jeanne Lubek
La rémunération du risque, enjeu clef de la régulation économique des concessions aut... Working Paper By Jeanne Lubek and Stéphane Wakeford
The Development of Road and Rail Transport Safety Valuation in the United Kingdom Published Article By Michael Spackman with Michael Jones-Lee, Emeritus Professor at Newcastle University Business School
Representing International Business Impacts in Transport Appraisal Report By Michael Spackman et al.
Impact of Proposed New Charge for Freight Only Lines on Demand for ESI Coal Report By Sean Gammons et al.
The Evaluation of Major Local Authority Transport Projects: a Guide for DfT Report By Michael Spackman with former NERA Consultant Simon Maunder, former NERA Director John Dodgson, MVA, and David Simmonds Consultancy
Volume 1: Assessment of the European Commission's Third Railway Package: Proposed Dir... Report By Michael Spackman et al.
Title Date Type
NERA Economic Consulting Opens Office in Miami, Florida 14 November 2017 Press Release
Energy Economist Joins NERA Economic Consulting 13 July 2017 Press Release