Interview with Her Majesty’s British
Ambassador to Romania Mr. Robin Barnett
The UK rail industry has a unique and complex tradition, enriched by engineering and technological development. The success in this sector is a combination of innovation, significant investment (over €14 bn for 2009-2014) and ongoing improvement of levels of performance. Romania’s strategic position brings an enormous potential as a 21st century rail nation. We are very happy to provide expertise to this end. Freight rail could be a new success story for Romania, provided investment and long-term planning are brought into the larger picture. Public-private partnerships are always a good choice to put the rail sector on the fast track. As many people say in the UK, “let the train, take the strain”.
Railway Pro: UK is one of the countries that lately excelled at increasing passenger and freight transport. The official stats show a spectacular percentage increase for the railway market transport in the last 10-15 years. Having in mind these general considerations, could you please comment on the key reason of this success?
Robin Barnett: There are many reasons for this success. In the UK, the train has always been seen as a credible alternative to the car. As road traffic congestion increases, more and more people are following the motto ‘let the train, take the strain’. Unlike in Romania, most train journeys take less long than the car despite the motorway network. Long distance travel times have reduced substantially. Around major cities such as London, the commuter rail network is a key part of the integrated public transport network. With a single card, I used to get to work by commuter train followed by tube or bus. This was faster than driving and without the parking problem.
The UK rail industry also has a unique and complex history and tradition, enriched by engineering and technological development and shaped by innovation, even if I admit to being a steam train fanatic! The popularity of rail travel in the UK can further be attributed to factors including improving levels of performance and reliability and significant investment in mass transport projects, which benefit the rail network. A lot of money has also been invested in improving the quality of stations and thus improving the overall travel experience. The new St Pancras station in London is truly impressive.
The UK model enjoys a global reputation for spearheading innovation and delivering first class solutions. High investment and sector expertise helped the network grow faster than anywhere else in Europe. The benefits following privatisation included: winning new business in domestic and international markets; freight rail’s role in taking lorries off the road; helping to regenerate communities and protect the environment by reducing the number of car journeys. All these factors also help to explain why the UK’s railways are considered as a success.
Railway Pro: Do you consider UK as a particular case and that British success stories in the field are non-achievable by other countries in Europe?
Robin Barnett: No. Of course, every country has its own specificities but the lessons of the UK are relevant globally. We have never pretended that every aspect of privatisation worked perfectly but others can learn from our mistakes as well as our successes. Indeed UK expertise in this sector has long been valued internationally. We are proud our rail sector is internationally recognised as a model and are pleased to help spread solutions and expertise across Europe and the world. The public/private model could be very relevant to Romania, not least given the amount of EU funding available for transport infrastructure.
But a long term investment strategy is needed. The UK Government is investing over €14 billion in enhancing capacity further between 2009 and 2014, as well as providing substantial other support. However, the economic benefits are huge. The long-term investment needed in Romania will also be high as a certain level of quality and connectivity will not be reached without major changes within the system. But results can be seen more rapidly than with road projects.
Railway Pro: The European railway system underlines the social role of railway transport. Could this policy type attract new customers or an approach related more to the business and competitiveness aspects should rather be stressed as playing a significant role in the railway business development vision?
Robin Barnett: Both aspects are hugely important. The social and environmental dimension is vital. Giving people an alternative to the car, providing access to more remote areas and reducing individuals’ carbon footprints are all good examples. But railways should also be profitable in most cases and a winning model for business. Getting the balance right between making a profit and retaining passengers as well as any level of public subsidy is challenging but deliverable.
Freight rail could be a new success story for Romania. It is more environmentally friendly, reduces pressure on the road network and can be less expensive than road haulage. With a decent network it can even run consistently on time! This will not happen overnight but with long term efforts and the support of the European Union could become a reality in a few years’ time. Important players on the market like Ford and Renault would certainly benefit from this development. A good rail network is one of the areas potential investors keep a watchful eye on and can be a determining factor in their decision on where to locate. The UK is of course a world leader in attracting FDI. Our rail network is one of the many reasons for that.
Railway Pro: Which solutions do you evaluate as best for exporting British expertise in railways to other European markets?
Robin Barnett: The UK’s major players are already active in European markets. We have several players already active on the Romanian market including Balfour Beatty Rail. The quality of their work constantly promotes UK excellence. We hope that more companies will follow in their footsteps. We have already organised rail missions to Romania and we will continue to promote new opportunities here to UK companies.
Obviously, the existence of an integrated transport strategy including a long-term plan for passenger and rail freight services helps to attract both expertise and potential investment. Inward missions to the UK show off both our technological innovation and give experts the chance to see for themselves how well most UK rail services now operate. As an ex-commuter and regular rail traveler, I don’t pretend all is perfect. I like delays, fare increases and the impact of winter weather no more than anybody else. But things are getting better thanks to a long-term approach.
Railway Pro: Considering the economic downturn, what role should the state have in encouraging the railway business environment?
Robin Barnett: The state has a key role in promoting the railway business environment. If government is clearly committed to developing the rail network, the private sector will respond as we have seen in the UK. The social role of railways also necessitates active involvement by the state and/or rail regulators of the type we have in the UK. I believe that long-term investment in the rail sector would be a great benefit to Romania. A decision to undertake such a programme is clearly one for the government here. But if it does, I am convinced that the private sector, including foreign investors will respond very positively.
Romania’s strategic position means that it has enormous potential as a 21ST Century rail nation. I already know that the British rail industry would like to help deliver that. Learning from us what worked and what didn’t could be very valuable. I do not underestimate the scale of the challenge but the rewards would be great too.
Romania really does have the potential to put the rail sector back on track, for example through public-private partnerships (PPPs). Restructuring is never easy but an essential part of the process too. Across Europe, a viable and forward looking rail industry is in the interests of governments, rail workers and passengers alike.
Railway Pro: Do you consider incenting public and railway transport as a „communist” measure or rather in liberal spirit of economic development?
Robin Barnett: There are various models of railway ownership, public, private and public/private partnership. None are “communist”. What matters is what works best. In the UK, we have opted for privatisation but with strategic support from the state and a rail regulator. This means that our network is supported by both public and private investment and that the interests of passengers are considered too. This does not mean that everything is easy. Nobody likes fare rises and governments have difficult choices regarding infrastructure investment. But we believe our system offers a good balance and is a quite flexible model. I repeat though. Each country must decide on the best model for itself consistent with EU law. What is not an option for any of us is not to make a choice. Rail is one of the arteries of EU economic development.
I remain an optimist about the outlook for the railway sector in both the UK and Romania. And I would very much like to wish all Railway Pro readers a happy and productive New Year, and the key players in the industry a clear vision for the short and medium-term. Thank you and “Happy New Year 2010!” See you on a train soon.
Interview recorded by Pamela Luică
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