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Published

Railway and tramway locomotives and rolling stock and associated parts

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Value

15,000,000 GBP

Description

Rail and on Track Machines fleets require critical spares to maintain safety and operational performance. There is a mix within these fleets in terms ownership, maintenance and operation. Network Rail (NR) procures critical spares from manufacturers, distributors or as part of broader vehicle overhaul projects. For NR owned fleets NR is the entity in charge of maintenance with significant safety accountability. Safety risks within the category include rail vehicle derailment and collision. Direct procurement of spares over the last 4 years has averaged at ~GBP 15 million pa. however spend on spares is often through overhaul frameworks and projects, we will seek transparency and positive influence of this spend. The assets have a long operational life often in excess of 20 years so require significant maintenance and periodic overhauls which needs to be factored into the whole life cost analysis. We wish to engage with suppliers to work with us to inform a new category strategy. There are a range of contracts for the direct procurement of spares and frameworks for overhaul services. The current strategy is for zero commitment frameworks which are retendered on a 4-5 year basis (albeit the asset lifecycle is considerably longer). Many spares are bought as part of overhaul projects or sourced through suppliers if the fleet is not owned by NR.

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