UIC Leaflet IF 6: Settlement of International Freight Revenue Accounts

What is UIC Leaflet IF 6?

UIC Leaflet IF 6 (replacing the legacy Leaflet 301-series for freight) is the definitive standard for “Settlement of accounts in international freight traffic.” While its counterpart, IF 5, handles passenger revenue, IF 6 focuses on the complex financial interactions required to move goods across multiple national rail networks.

In international freight, a single shipment often involves a “Lead Carrier” and several “Participating Carriers.” The Lead Carrier collects the total freight charge from the customer, but must then redistribute that revenue to other railways based on the distance traveled, traction provided, and transit fees incurred on their respective infrastructures.

Core Accounting and Settlement Processes

The leaflet standardizes how railways talk to each other financially to prevent disputes and ensure liquidity. Key components include:

• Basis of Settlement: The Consignment Note (CIM) serves as the primary accounting source document. IF 6 defines how data from the CIM is translated into financial claims.
• Monthly Accounting Cycles: Mandatory deadlines for RUs (Railway Undertakings) to submit their account statements to partners.
• Centralized Clearing: Much like passenger traffic, freight settlements are primarily funneled through the BCC (Brussels Central Clearing House) to allow for multilateral netting.
• Correction Procedures: Specific rules for handling “undercharges” or “overcharges” discovered after the initial billing cycle.

Digital Integration and TAF TSI

Modern application of UIC IF 6 relies heavily on EDI (Electronic Data Interchange). The accounting messages defined in this leaflet are designed to work in tandem with TAF TSI (Telematics Applications for Freight) to allow for automated billing. When a train passes a digital border point, the system automatically triggers the accounting processes defined in IF 6, reducing manual paperwork and the risk of human error.

Financial Interoperability and Risk Management

By providing a unified set of Accounting Standards, IF 6 minimizes Financial Interoperability barriers. It includes provisions for:

• Currency Handling: Standardized methods for converting freight rates from the Euro or national currencies into the accounting currency of the clearing house.
• Insolvency Protections: Rules on how to handle settlements if one of the participating railways faces financial distress.

Comparison: Freight vs. Passenger Settlement