REFER EP: The Portuguese IM REFER EP: The Portuguese IM M. Lopes Marques, Junho, 2005 New Model for Infrastructure maintenance New Model for Infrastructure

REFER REFER EPEP: The Portuguese : The Portuguese IMIM

REFER REFER EPEP: The Portuguese : The Portuguese IMIM

M. Lopes Marques, Junho, 2005

New Model for Infrastructure New Model for Infrastructure maintenancemaintenance

New Model for Infrastructure New Model for Infrastructure maintenancemaintenance

2

The State of the Art in the Railway Sector in The State of the Art in the Railway Sector in Portugal: the modelPortugal: the model

The Railway Undertakers


The RegulatorThe Regulator

The Infrastructure Manager

The Infrastructure Manager

REFER EP

REFER EP

Directive 440/91 EEC, June, 1991 for the Development of Communitarian Railways

A new model for the railway sector

3

The State of the Art in the Railway Sector in The State of the Art in the Railway Sector in Portugal: the modelPortugal: the model

The Infrastructure Manager REFER EP

• Infrastructure Management• Maintenance• Capacity management and

path allocation• Traffic control

• Construction / Renewal of Infrastructures and Interfaces

• Tariffs infrastructure access, additional service and prices for ancillary and additional services

The Infrastructure Manager REFER EP

• Infrastructure Management• Maintenance• Capacity management and

path allocation• Traffic control

• Construction / Renewal of Infrastructures and Interfaces

• Tariffs infrastructure access, additional service and prices for ancillary and additional services

The Regulator•Rules for Access•Licensing of Operators •Regulation of railway activity

• Development• Safety• Quality• Environment

The Regulator•Rules for Access•Licensing of Operators •Regulation of railway activity

• Development• Safety• Quality• Environment


Railway transports:

Passengers + Freight

Passengers


Railway transports:

Passengers + Freight

Passengers

FOUNDATION

Project and Engineering activities from

The State of the Art in the Railway Sector in The State of the Art in the Railway Sector in Portugal: milestonesPortugal: milestones

29th April, 1997

Integration of Offices AML and AMP

1st July, 1997 1st January, 1998

Maintenance of Infrastruture from

1st June, 1998

Management of Infrastruture Capacity from

29th September, 1998

Creation of the Regulator

1st October, 1998

1st private Operator

1st January, 1999

Traffic comand & control from

28th October, 2003

1st Package transposed to Portuguese Law

December, 2004

Published the NETWORK STATEMENT

REFER EPREFER EP

A Mission and a VisionA Mission and a Vision

VISIONVISION

Be an European

REFERenceto railway

infrastructuremanagement

MISSIOMISSIONN

MISSIOMISSIONN

Delivering to the market acompetitive railway infrastructure,

through the management and development

of an efficient and safe railways network ,

always respecting the environment.

Staff :Board staff and strategic scope activities

Corporate:Functional activities, rending services to

all departments

Network Modernization- Innovation and standardization- Engineering studies and projects- Constructions / Renewal of Infrastructures

and Interfaces

Organization of REFEROrganization of REFER

General Secretary

Image&

Communication

Law

StrategicPlanning

Audit & Systems of Quality

Safety

Environment

Purchasing

Economics & Finance

Human Resources

Information Systems & IT

Property

North ProjectDirectorate -General

Operation & Maintenance

Directorate -General Engineering

Planning & Control

General Secretary

Image&

Communication

International Affairs

Law

StrategicPlanning

Audit & Systems of Quality

Safety

Environment

Logistics & Supply

Economics & Finance

Human Resources

Information Systems & IT

Property

North DelegationDirectorate -General

Operation & Maintenance

Directorate -General Engineering

Board

Planning & Control

REFER will be an European reference to the management of the railway infrastructure

Core business: OperationalActivities that belong to the value-chain of

the company directly related with the customers ( Operators and final

users)- Maintenance- Operation

REFER – REFER – Conventional Conventional networknetwork

Narrow gauge

Total25000 V 1500 V Sub-total

Wide Gauge 1326 25 1351 1439 2790(1668 mm) Single track 779 0 779 1251 2030

Double track 517 25 542 0 542Or more 30 0 30 0 30

Narrow gauge 0 0 0 188 188(1000 mm) Single track 0 0 0 188 188Total 1326 25 1351 1439 2790

Track (km)Electrified

Not Electrified

Authomatics 347Other 1084Total 1431

Level Crossings

CONVEL Ericab 700 1202 KmRadio Ground-train 1326 Km

Safety Systems / Command & Control

After 1997 the number of crossings was 50%reduced

Bridges 2209Tunnels 122Stations 293Halts 315

Optical Fibre Cable, km 2000

Other IF

REFER - PersonnelREFER - Personnel

0

2500

5000

7500

Anual average 6487 6237 5760 5183 4814 4362

Last month 6359 6110 5565 4988 4646 4258

1999 2000 2001 2002 2003 20040

2500

5000

7500

Anual average 6487 6237 5760 5183 4814 4362

Last month 6359 6110 5565 4988 4646 4258

1999 2000 2001 2002 2003 2004

33 %

0

100

200

300

400

500

600

700

1997 1998 1999 2000 2001 2002 2003 2004

Main investments and Financial Main investments and Financial coveragecoverage

STATE COMMUNITARIAN FUNDS OTHER

40%

(Studies & implementation of the high speed network)

Empreendimentos Industriais SA

(Projects & Consultancy)

98,43%

GIL - Gare Intermodal de Lisboa, SA

(Management of the intermodal complex for

transports in Orient Station)

33,00%

(Consulting for technical training, recruitment &

phsicology)

10 %

Promotion & Commerce of Real Estate SA

99,30%

Serviços de Telecomunicações, SA

(Telecomunication Operatormainly for transports area)

100%

Enterprises shared by REFEREnterprises shared by REFER

Management of commercial contracts in stations SA

80,00%

A light train in the town of Coimbra &

surroundings

2,5%

CP com

REFER will be an European reference to the management of the railway infrastructure

INFRASTRUTURE INFRASTRUTURE MANAGEMENTMANAGEMENT

INFRASTRUTURE INFRASTRUTURE MANAGEMENTMANAGEMENT

General Data and Model for General Data and Model for MaintenanceMaintenance

General Data and Model for General Data and Model for MaintenanceMaintenance

INFRASTRUCTURE MANAGEMENT COSTS INFRASTRUCTURE MANAGEMENT COSTS AND REVENUESAND REVENUES

REFER has opted to gradually outcontrating specific maintenance activities, in order to improve service levels to the costumer, to gain access to top technologies and to supply the inexistence of internal resourses.

The current situation of Maintenace is characterized by a mixing model with internal and external resources, extremely variable between geographic zones and specialties:

Geographic Zones

• The Outcontracting rate in ZOC Lisboa is 54% of total costs, while in ZOC Centro and ZOC Sul it is of about 35%.

Specialties

• The Outcontracting rate in Signalling is 67% of total costs, which can’t be compared with the 10% rate in Catenary.

Different Realities in Maintenance

Outcontracting and HR Costs Rate

Zone Outcontracting HR

ZOC Porto 41% 39%

ZOC Lisboa 54% 25%

ZOC Centro 35% 38%

ZOC Sul 36% 33%

Eixo Beiras 46% 34%

Specialties Outcontracting HR

Track 45% 29%

Signalling 67% 19%

Telecom.

Buildings

100%

46%

0%

28%

Catenary 10% 67%

Special Struct. 13% 61%

The current mixed model origins the annual signature and control of more than 1.000 contracts

Outcontracting Model – Current Situation

New Model for Infrastructure MaintenanceNew Model for Infrastructure Maintenance


REFERREFERREFERREFER CONTRACTCONTRACTORSORS

Contact Contact CentersCenters

Inspection, Inspection, Diagnosis Diagnosis

and and PlanningPlanning

OutcontractOutcontractinging

Key Key PerformancPerformance Indicatorse Indicators

TOTAL CONTROLTOTAL CONTROL

Mobilization of Maintenance

Teams (Internal or External)

Equipment control and

measurement

Asset state knowledge

Gradually “In House” to

Contractors

Maintenance Management

Control

Real Time Real Time Failure Failure ControlControl

Asset Asset ManagemeManageme

ntnt

Operational Operational WorkWork

Measure to Measure to ManageManage

“In situ” operations

The New Outcontracting Model is organized in different maintenance layers

• SYSTEMATIC PREVENTIVE MAINTENANCE:

- it is the set of routine interventions to effect on an equipment or equipment system, executed periodically in time, in order to reduce its probability of failures, as well as knowing its state of condition.

• CONDITIONAL PREVENTIVE MAINTENANCE:

- it is the set of regenerative interventions to effect on an equipment or equipment system, programmed in time, in order to guarantee its functionality and aptitude, after the detection of anomalies.

• CORRECTIVE MAINTENANCE:

- it is the set of interventions to effect on an equipment or equipment system, after a damage or unexpected anomaly, demanding immediate action to restore the normal conditions of operation.

MAINTENANCE LAYERS


With the New Outcontracting Model REFER intends to approach the maintenance methods between different geographic zones, to accede the previously unavailable working technologies and to reduce the high number of contracts that demands a considerable internal effort in its management.

Outcontracting Model – New Model

• The New Outcontracting Model is based on integrated contracts for geographic zone:

– Enclosing Specialties of Track, Catenary, Buildings and Special Structures (Bridges and Tunnels);

– Consolidating in only one contractor for geographic zone, all the activities previously contracted “one by one”;

– Becoming easier the works coordination between the maintenance specialties;

– Allowing the access to technologies, methods and resources that the other way would not be applied;

– Fomenting the competitiveness between different contractors, operating in the same specialties, but in different geographic zones.

– Transfering risks due to the implementation of the performance regime.


ZOC Porto

Eixo Oeste

ZOC Lisboa

Eixo Beiras

ZOC Sul

ZOC Centro

Outcontracting Progressive Process

• Qualification of 6 consortia by internacional public contest in 2004 (valid for 3 years)

Geographical Zone Status

• ZOC Lisboa Contract signed in May 16th, 2005 (valid for 2 years + 4 by option)

• ZOC Sul Negotiation procedure running out

• ZOC Centro

• ZOC Porto

• Eixo Beiras

• Eixo Oeste

The adoption of this new model will allow:• To incorporate in the processes carried out later on, the lessons

learned in ZOC Lisboa and ZOC Sul, not only on the level of negotiation processes, but also the contractual management itself;

• To create an organized market for the outcontrating activity, seducing new players to enter to this market, speeding up the competitiveness;

• To organize gradually the maintenance’s organizational structure.

New Outcontracting Model – Progressive adoption

Next developments of the outcontracting process

The generalized adoption of the new outcontracting model, will roll out on a progressive way geographically, making it possible to incorporate the lessons learned in ZOC Lisboa and ZOC Sul, into the others zones outcontrating processes.



The new strategy for Maintenance is not only a key factor for the accurate performance of the existing Network, as well as an achievement of relevant know-how demanded for the High Speed Network.

REFER trusts on the Market, on our Contractors and looks at them more as Partners rather than suppliers.

REFERREFER

THANK YOUTHANK YOUFORFOR

YOUR YOUR ATTENTIONATTENTION

REFERREFER

THANK YOUTHANK YOUFORFOR

YOUR YOUR ATTENTIONATTENTION

Documents

REFER EP: The Portuguese IM REFER EP: The Portuguese IM M. Lopes Marques, Junho, 2005 New Model for Infrastructure maintenance New Model for Infrastructure