An introduction to the Rail Manufacturing CRC

Tony Carney

Business Development Director

Rail Manufacturing CRC

Australian rail manufacturing

150

years

330 suppliers

15,000 Employees in rail manufacturing

15 OEM & global tier 1

42,262 km of heavy rail track

1,500 firms

$4.2b revenue exceeding

6th largest rail network

250 km largest tram

network

Rail Industry Development Strategy Supplier Continuous Improvement Program*

Technology Roadmap *

Forecasting demand for Rolling stock *

Harmonisation of targeted rolling stock specifications *

Rail statistics project

Promoting capability and business matching *

Increased international business opportunities*

On Track to 2040 – Tech Roadmap 210 participants from over 110 different

organisations.

Started June 2011. Launched in June 2012.

3 Technological Priority Areas– Materials and Manufacturing, Monitoring and Management, and Power and Propulsion.

18 Priority Opportunities (from 80 identified technology opportunities).

6 Enabling Action Areas (Governance; Standardisation and Regulation; Funding; Collaboration; Research; and Policy).

22 Recommendations on competitive technologies that would help position the whole Australian rail industry to better meet the needs of global customers.

http://www.industry.gov.au/industry/IndustryInitiatives/AustralianIndustryParticipation/SupplierAdvocates/Pages/Library%20Card/OnTrackTo2040-Roadmap.aspx

Demand Forecasting ARA and Department of Industry commissioned Deloitte

Access Economics for study on benefits of forecasting and smoothing demand cycles.

“Over next 30 years, state governments could spend $30 billion on procuring rolling stock.

Could retain nearly $15.5 billion in economic activity in Australia over the next 30 years.

Could contribute to savings over the 30 year period of $2.3 billion

*Requires a national, holistic approach to rail procurement and national supply chains combined with ongoing innovation

*Harmonisation of rolling stock specifications will evolve

* Potential to create a globally competitive rail Manufacturing industry !

Why a Rail Manufacturing CRC

Identified as a key initiative from the On-Track 2040 forums

Industry in Australia is characterised by a large number of participants competing for a number of distinct, small markets

Enable the rail manufacturing sector to grow through innovation

On Track 2040 identified need for a national research organisation devoted specifically to Rail Manufacture

RAIL MANUFACTURING CRC

Funded for 6 years

Essential Participants

*Bombardier Central Queensland University *China Railway Rolling Stock Corporation CRRC Commonwealth Scientific and Industrial Research Organisation (CSIRO) Deakin University* *Downer EDI Rail Pty Ltd

*Faiveley Transport Australia Monash University *Onesteel Queensland University of Technology *Sigma Air Conditioning Pty Ltd *Simplex CNC Systems Swinburne University of Technology The University of Queensland University of Technology, Sydney University of Wollongong

RMCRC Programs

• Program 1: Power and Propulsion

– Energy & cost efficiency & improved competitive performance in advanced rail manufacturing

• Energy regeneration & storage

• Advanced braking systems

• Electronic motors & systems

RMCRC Programs

• Program 2: Materials and Manufacturing

– Competitive cost, durability & performance in advanced manufacturing

• High performance materials

• Advanced manufacturing

• Advanced light weight materials

• Low cost manufacturing systems

RMCRC Programs

• Program 3: Design Modeling and Simulation

– Safety & efficiency in advanced rail manufacturing to enhance industry competitiveness

• Advance design & Simulation

• Automated health monitoring

• Advance data analysis & information systems

• Advanced operations management systems

• Energy use management tools

RMCRC Membership Benefits

• Fast track access to new technology and innovation

– Access to Australia's leading research engineers & Scientist

– Participation in co-funded research projects facilitated by RMCRC

– Benefit from RMCRC commercialisation model

– Influence the direction of innovation development and technology projects

Industry Led Key Aims/Drivers?

Increased capability, functionality, safety, quality

Greater efficiency

Fewer emissions

Increased sustainability

Increased productivity

Decreased costs

RMCRC model

RMCRC

R&D Providers

Rail Industry

• Collaboration • Innovation • Integration & • Globalisation

Industry determines whether to; “Compete on price” or “Compete on value” Both options can be innovation and driven

Funding model

RMCRC

Commonwealth

50% Cash and

“In-kind”

Industry

50% Cash and

“In-kind” Research Providers

“In-kind”

“In-kind” = labour; access to facilities and

capabilities etc

Cash $31 M from the Commonwealth Government $21 M from Industry Other Contributions Approximately $50 M

Intellectual Property Model

• All IP is owned by the Participants within a Project

• RMCRC does not participate in IP ownership or profit sharing

• FastTrack to commercialsation

This means Maximum Benefit for its Participants

RMCRC: Current Status

First round of projects underway

Second round of projects currently being considered

Still exists both collaborative and funding opportunities through RMCRC programs

Thank you Questions?

Contact: Tony Carney Email: tony@rmcrc.com.au Website: www.rmcrc.com.au Sign up to our newsletter Newsletter: http://rmcrc.com.au/news-media/newsletter/