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And it intends to go further, having invested £150m – its largest ever investment – in a fleet of 30 new electric-plus-diesel bi-mode locomotives, whose engines will run on vegetable oil and significantly reduce emissions. The environmental benefits are recognised by the government, which has set a target of growing rail freight by 75% by 2050.
However, despite these targets, Smith feels policies still benefit road freight more than rail. He points to fuel duty, which has been frozen since 2011, as a prime example.
“Over the last five years, what we pay for fuel and track access charges, the cost of our wagons has gone up by 25%, while fuel duty hasn’t gone up at all,” he says, explaining his trains have to travel at least 200 miles to be able to compete on price.
Despite the headwinds UK businesses face, Smith says his company will continue to invest in the business and its fleet, to make it greener and more sustainable and secure its long-term future.
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https://www.theguardian.com/business/2024/dec/31/green-light-the-boss-of-gb-railfreight-with-an-eye-on-the-environment