This page belongs to: National Rail Procurement and Manufacturing Strategy


Term Definition
Above rail

The construction and maintenance of freight and passenger rolling stock including:

  • locomotives
  • passenger cars
  • freight wagons
  • trams
  • light rail vehicles
  • associated components and systems.
Australian Qualifications Framework The national policy for regulated qualifications in Australian education and training. It incorporates the qualifications from each education and training sector into a single comprehensive national qualifications framework.
Below rail The construction and management of railway infrastructure, including rail infrastructure assets and network services.
Decarbonise To stop or reduce carbon gases, especially carbon dioxide, being released into the atmosphere as the result of a process, like the burning of fossil fuels.
Domestic capability The industrial, economic, logistical, research and educational capabilities required by a country to achieve objectives including safety, defence, health and wellbeing, food security, energy and key materials supply, infrastructure security and environmental sustainability.
Interoperability The ability of different railway systems and rolling stock to operate together seamlessly without any compatibility issues or safety concerns. 
Inter-government Rail Industry Group (IRIG) IRIG is the meeting of senior officials providing input and advice for the development of the strategy and the NRMP.
Infrastructure and Transport Ministers' Meetings (ITMM) The ITMM provides a forum for intergovernmental collaboration, decision-making and progressing priorities of national importance.
Industry value added (IVA) The market value of goods and services produced by the industry minus the cost of goods and services used in production.
Local content policy (LCPs)

LCPs for public sector procurements set requirements for:

  • where materials, components or other value-added activities are sourced to deliver contracts
  • where goods are manufactured or assembled.
National Rail Action Plan

A plan to define and address the rail industry’s critical challenges of:

  • skills and labour shortages
  • lack of national standards 
  • interoperability issues. 
National Reconstruction Fund (NRF) The NRF will provide finance (including debt and equity) for projects that diversify and transform Australia’s industry and economy.
Net zero emissions Cutting greenhouse gas emissions to as close to zero as possible, with remaining emissions re-absorbed from the atmosphere.
Net Zero Roadmap and Action Plan One of the 6 sectoral plans to drive Australia’s emissions to its 2035 and 2050 targets. The roadmap and action plan will help Australians secure long-lasting benefits from the transition to net zero, while managing and minimising the impacts of the transition.
ONRIC Office of National Rail Industry Coordination
Procurement The process of acquiring goods and services, including on behalf of another entity or third party.
Rolling stock

Freight and passenger locomotives, including:

  • passenger carriages
  • freight wagons
  • trams
  • light rail vehicles 
  • associated components and systems.
Standards harmonisation

The plan to reduce or eliminate different:

  • standards for common rolling stock components
  • different operating rules for similar communications and control systems used across Australian railways.
Tier 1, 2 and 3 companies in the rolling stock manufacturing supply chain 

Tier 1 consists of companies that provide the shell (body), design, and final assembly of railcars or locomotives. They are assumed to have a central role as assembler of components, playing a pivotal role across the whole supply chain. Examples of Tier 1 companies are Alstom, Downer and UGL.

Tier 2 companies make rail parts and provide discrete services such as propulsion, electronics, and body and interior.

Tier 3 includes companies that supply materials to companies in the top 2 tiers