Out-Law / Your Daily Need-To-Know

European Parliament votes to move closer to single rail network

18 Nov 2011, 11:17 am

Rules to ensure fair competition on rail services in the EU must be strengthened, particularly on cross-border routes, if the EU is to be successful in creating a single rail network, the European Parliament has said.

The Parliament voted through a recast of existing EU railway legislation on Wednesday.

The changes are largely technical, but the Parliament has also asked the European Commission to develop proposals to separate rail infrastructure management from the operation of transport services by the end of next year.

"Financial transparency and separating the profit and loss accounts of rail network managers and rail transport operators who are part of a single integrated structure is vital to ensure the future development and efficient exploitation of the rail network, whilst guaranteeing that public funds cannot be diverted to other commercial activities," the European Parliament said in a statement.

Italian MEP Debora Serracchiani said in a debate that the rail system had to "catch up" with other methods of transport. Rail freight's current market share in the EU is no more than 6-7%, she said, while rail passenger services hold no more than 11-12% EU market share.

She stressed that the changes proposed by the European Parliament protect both safety and the rail workers' right to strike.

The proposed changes also call for an independent, impartial national regulatory authority in each member state. An independent regulator would eradicate discriminatory practices in fixing infrastructure charges, allocating train paths and allowing access to related services including railway yards, fuelling stations and ticket sales, the European Parliament said in a statement.

In a speech to the European Parliament before the vote, Transport Commissioner Siim Kallas confirmed that the Commission would propose further substantial reform in the rail sector in 2012.

"Next year's package will revitalise the process, with proposals to open domestic passengers markets and review related [public service obligation] rules, with further structural change to ensure fair competitive conditions for newcomers and a refinement of the rules on standards and certification of rolling stock to make the approvals process quicker and more cost effective," he said.