The adoption and publication of EC’s new White Paper on Transport was for the railway community an oxygen bubble. The ambitious plans concerning the reduction of polluting emissions, the special attention given to rail transport (the creation of the Single Rail Market, the priority given to medium and long-distance rail transport etc.) are only a few of the stipulations which support the development of the rail business sector.
Nonetheless, the long-term plans may be seriously affected by the current lack of involvement of the authorities. As mentioned in the previous issues, the flawed policy used to apply the charging system in rail transport may lead to the destruction of its own foundation: the technical infrastructure. The correlation between the activity of infrastructure managers and the charges applied to railway operators determines the classification of a specific route as profitable or non-profitable (speaking of course in terms of business). The pressure exerted on infrastructure managers in order to have a profitable business, without identifying legal solutions to provide funding for users and non-users alike, leads to the adoption of extreme measures, such as closing and completely eliminating certain railways. Arguments: reduction of maintenance costs, reduction of necessary staff, financial stability.
We can however estimate that this approach is barely the tip of a destruction spiral that sweeps away the entire railway system. Just as in any activity 80% of the revenue is generated by 20% of the lines of business, the rest coming from various support activities necessary to maintain a level of stability, in the railway sector sidings are meant to generate traffic on the main network. Their destruction will only push away customers, generating a new segment which is 80% non-profitable; thus, other railways will have to be closed in order to maintain the company’s financial stability.
This circus that has been created by the major lay offs in railway companies from Central and Eastern Europe will continue with the closing of new railways, leading to the total shut down of facilities, ports and the impoverishment of certain regions.
What is precisely the role of the railway in the European society?
by Ştefan Roşeanu
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