Network Rail a not for profit company Essay Example | Topics and Well Written Essays - 2000 words

Network Rail a not for profit company - Essay Example The privatization of British Network Rail was the outcome of the â€Å"Railways Act 1993† legislated in the governing session of â€Å"John Majors† conservative regime. In the year 1991, the European Union formulated â€Å"EU Directive 91/440† in array to facilitate the admittanceThis act directed all EU affiliate states to split â€Å"the administration of railway maneuver and network from the stipulation of railway carrying services, partition of accounts being obligatory and managerial division being discretionary.†The main motive was that the â€Å"track operator† could charge the train operator irrespective of public or privatized with a translucent and reasonable fee against utilization of its network. The â€Å"Directive 91/440† was primarily only an accounting way of assuring an echelon playing-field for serving rail operators and novel businesses inflowing the market of rail transportation. (Green, 1997) Though, â€Å"Directive 91/4 40† presented the British regime with an explanation for hauling away a faraway added theatrical restructuring of the railway business whereas at the same occasion being capable to offer on a number of â€Å"opprobrium† to other European states. As per the amendment of the Railways Act 1993, it was anticipated that the introduction of private players. Some of the anticipations from the privatization are: (Transport, Railway Reform: Regulation of Freight Transport Markets, 2001)Superior Consumer Service Quality: Rail privatization was intended to develop patron service.