The Department for Transport has released guidance notes for its new Mode Shift Revenue Support (MSRS) scheme to help clarify the programme and to assist potential applicants. 

MSRS provides revenue funding to support modal shift from road freight to inland waterways and rail. The scheme replaces the inland waterways component of the Waterborne Freight Grant as well as the Rail Environmental Benefit Procurement Scheme (REPS). It runs from 1 April 2010 to 31 March 2015. 

The MSRS scheme operates in two parts:

• MSRS Intermodal – for the purchase of intermodal container movements by rail
• MSRS Bulk & Waterways – for the purchase of other freight traffic movements by rail and all movements by inland waterways

It includes:

• revised grant rates between zones for intermodal rail, including transitional rates for specific routes
• the use of Mode Shift Benefit values for calculating the environmental benefits (these will replace Sensitive Lorry Miles for all traffic moving from April 2010)
• the inclusion of inland waterways traffic

Funding for MSRS up to March 2011 will become available at the next Sustainable Distribution Fund (SDF) bid round which will close on Friday 18 September. At the next bid round, up to 90% of the 2010/11 budget will be available. Funding will be awarded to successful inland waterways schemes from 20 September 2009. Applications will be assessed on the basis of value for money with at least a benefit cost ratio of 1.5:1

Click here to access the complete guidance notes.

Click here to obtain more information on the UK's water freight grant schemes.  

Please feel free to also contact the DfT's Freight Grants Team with any questions or advice:

Shenez Choudhary – 020 7944 6848
Nick Milford – 02079442477
Hamid Tavassoly – 02079442517