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Hauliers get funding for rail services

28 May 2008

The Scottish government has handed out more than £3m in grants to two haulage companies wanting to start new rail freight services. Transport minister Stewart Stevenson has awarded the Stobart Group a £525,000 Freight Facilities Grant (FFG) for 70 new curtain-sided inter-modal units on its new rail freight service for Tesco between Grangemouth and Inverness.

In addition, Stobart will get £457,000 in Rail Environmental Benefit Procurement Scheme (REPS) funding to help with running costs.  Glasgow-based John G Russell, which is setting up a new rail freight link between Coatbridge and Inverness, has also been allocated an FFG worth £1.84m for terminal works at Inverness and intermodal containers, as well as £257,975 of REPS funding to help with running costs.

More than 400 lorry journeys a week are set to be cut from the roads as a result of the services. Stobart launched its first rail link - between Daventry and Grangemouth - in 2006, and as revealed in MT last week is looking to launch another six train services this year. The service between Grangemouth and Inverness is the first of the six and will run six days a week. It is expected to be worth £15m over five years and will utilise Tesco's new distribution centre in Livingston.

Andrew Tinkler, Stobart chief executive, says: "This rail freight service is consistent with Stobart's strategy of providing multimodal transport and logistics solutions. "This service gives our customers cost savings and  reduces harm to the environment. "We are pleased with the support we have received from the Scottish government and are committed to helping Tesco reduce its carbon footprint."

Gavin Scott, FTA head of policy in Scotland, says: "We applaud both these companies and the Scottish government for making it possible to get these rail services going. "However, it doesn't take away from the fact that the vast majority of goods will continue to travel by road."


Roger Brown
Email at roger.brown@rbi.co.uk
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