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Keywords

railways, public services, access to infrastructure, protection of the economic equilibrium of public services, opening domestic passenger markets to competition

Abstract

Transport is fundamental to EU economy and society. Mobility is vital for the internal market and for the quality of life of its citizens. Transport enables economic growth and job creation. According to EU transport policy, the majority of medium-distance passenger transport should be based on railways by 2050. However, rail markets are currently facing stagnation or decline in many EU Member States. Faced with this problem, the European Commission proposed in January 2013 far reaching measures to encourage more innovation in European railways by opening domestic passenger markets to competition. The Commission proposed to amend EC Regulation 1370/2007 on public service in order to make the award of public service contracts for rail competitive on a mandatory basis. It also proposed to amend Directive 2012/34/EU meant to ensure open access to infrastructure in order to provide domestic passenger services. However, opening up domestic passenger markets to competition may have implications for the organisation and financing of rail passenger services provided under a public service contract. According to the Commission’s proposals, Member States will thus have the possibility to limit access rights for the purpose of operating domestic services if the exercise of such rights would compromise the economic equilibrium (viability) of a public service contract. Rules of access to infrastructure for commercial and for public services will therefore be different. The main aim of this article is to analyze the mechanism proposed by the European Commission in order to protect the economic equilibrium of public services. The paper will also compare the proposed EU mechanism with models already in use in certain Member States, namely Great Britain and Poland. In conclusion, changes to the drafts presented by the European Commission will be proposed on the basis of the above analysis.

First Page

73

Last Page

88

Page Count

15

Publisher

University of Warsaw

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