To encourage the accession on the rail transport market of new operators and to be sure of the quality of rail transport services, on November 16, the European Parliament has adopted, at first reading, the proposal for the Recast of the First Railway Package (legislation in force since 2001) on the liberalisation of railway services. At the beginning of 2012, the European Council will pass its resolution at first reading.
The development of the railway sector, since the adoption of the First Railway Package, has not met the expectations regarding the recovery of the sector. As the current system has demonstrated its shortcomings, rules need to be strengthened and harmonised and new elements need be added to make railways more attractive as a mode of transport for both passengers and freight. These were only few of the reasons why the Recast of the First Railway Package was necessary. The Recast should achieve a comprehensive and integrated European railway area. The European Rapporteur Debora Serracchiani, the project initiator, support this objectives, for which the Parliament has already expressed its support during the debates regarding previous railway packages. The current reform should go beyond the limits of nationally defined interests in the railway sector.
The lack of independence of infrastructure management prevents the true transnational integration of the rail networks which continue to be managed along national considerations that are often dominated by the interests of incumbent railways undertakings. This limits in turn the attractiveness of the railway for new operators, new services and eventually customers. It reduces the possibilities of cross-border transports which are of crucial importance for the rail to become competitive vis-à-vis the road (freight) and air (passenger). Due to the size of EU Member States many medium-distance connections of 300 km imply already crossing the border of one or several Member States.
The coexistence in the Member States of different social security schemes in the railway sector poses a risk of unfair competition between new railway operators and incumbent undertakings, and requires harmonisation while respecting the specific characteristics of the sector and of the Member States.
In order to complete the European railway area, complete interoperability of the rail system at European level is necessary. The European Railway Agency should be assigned the appropriate powers and resources to attain this objective more quickly, inter alia as regards the development of common standards for certification of rolling stock and safety and signalling systems, is pointed out in the new text proposed by rapporteur Debora Serracchiani and adopted by the Parliament in mid-November.
In order to ensure the future development and efficient operation of the railway system, a distinction should be made between the provision of transport services and the operation of infrastructure. Given this situation, it is necessary for these two activities to be managed separately and to have separate accounts, guaranteeing the transparency which ensures that no public funds are diverted to other commercial activities.
Another amendment adopted is the introduction of new, open-access, international passenger services with intermediate stops which should focus on stops that are ancillary to the international route. The principal purpose of such services should be to carry passengers travelling on an international journey. When assessing whether that is the service’s principal purpose, criteria such as the proportion of turnover, and of volume, derived from transport of domestic or international passengers, and the length of the service should be taken into account. The assessment of the service’s principal purpose should be carried out by the respective national regulatory body at the request of an interested party.
Opening up international passenger services to competition may have implications for the organisation and financing of rail passenger services provided under a public service contract. Member States should have the option of limiting the right of access to the market where this right would compromise the economic equilibrium of these public service contracts and where approval is given by the relevant regulatory body and, where applicable, the network of regulatory bodies on the basis of an objective economic analysis, following a request from the competent authorities that awarded the public service contract.
In light of the experience acquired through the network of regulatory bodies, the Commission shall, no later than two years after the publication of this Directive, draw up a legislative proposal establishing a European regulatory body. This body shall have a supervisory and arbitration function to deal with cross-border and international problems and to hear appeals of decisions taken by national regulatory bodies.
“One of the major objectives of the European Commission was the recast of the First Railway Package, which brings nothing new but clarifies the current implementation norms in the European Union’s member states, because, as already known, ten years after the implementation of the Package, its alignment to national legislations has not been completed”, pointed out Frank Jost,Strategy Director, DG MOVE, EU Commission.
The new text adopted stresses the importance of observing the rights of all passengers. Therefore, to ensure transparency and non-discriminatory access to rail infrastructure and rail-related services for all railway undertakings, all the information required to use access rights is to be published in a network statement, including formats which are accessible for people with disabilities or reduced mobility.
New Fourth Railway Package could be presented by the end of 2012
The 2011 Commission White Paper lists among its most important initiatives the need to “ensure effective and non-discriminatory access to rail infrastructure”. This means that the Commission is determined to further open the rail market in the near future. Therefore, if the rail market is to be liberalised, it is essential that conditions to operate in such an open market are as non-discriminatory and transparent as possible.
An extremely important aspect in the new text adopted in November refers to the measure according to which the Commission should present a legislative proposal on the separation of the infrastructure manager and the operator by the end of 2012. As the railway sector is not fully opened until now, the Commission should present a legislative proposal on the market opening by that date. This is one of the main aspects to be included in the new Fourth Railway Package, a legislative measure which could be presented by the Commission for consolidating the railway transport market opening.
The main objectives of the Fourth Railway Package will include the total separation of infrastructure and train operations, will permit authorised applicants to obtain train paths, will facilitate the development of dedicated freight network and the development of the EU-wide track and trace system, will ensure the implementation of a freight quality package and will allow TENs railway and waterway project funding from road charges.
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