1. 116 November 2009CER The Voice of European Railways European Commission Communication: «Sustainable future for transport» - a CER perspective UNECE, Geneva, 18 th November 2009 Jeremy Drew

2. 216 November 2009CER The Voice of European Railways The Community of European Railway and Infrastructure Companies  75 members include railway undertakings and infrastructure companies from: – European Union, Norway, and Switzerland – accession countries – Other Balkan countries  Members include national railways and new entrants, freight and passenger companies and associations  Based in Brussels - represents interests of members to European Parliament, Commission, Council of Ministers, other policymakers and transport actors

3. 316 November 2009CER The Voice of European Railways Context - the last 10 years  The last White Paper for transport was published by Commission in 2001  Followed by major legislation to implement the policy  Progress with implementation mixed  10 new members have different problems

4. 416 November 2009CER The Voice of European Railways Achievements in railways since last White Paper  Communication asserts that the objectives of the 2001 White Paper largely met – in fact: – Only rail liberalisation objectives met – Broader policy objectives only met to very limited extent  Decoupling of overall freight growth from GDP - not achieved  Rail’s share of freight has fallen: – In CEE to 30% by 2007 – target 35% for 2010 – In EU15 to 17% in 2007 – target 19% (the 1998 level)  Efficient and fair pricing between modes - not achieved  Channeling revenue from charges to build infrastructure on competing modes, especially rail - not achieved

5. 516 November 2009CER The Voice of European Railways Three pillars of policy in White Paper - only one implemented Competition on rail is now well on its way. BUT without fair competition between modes and sufficient infrastructure, the railways’ efforts in quality and efficiency do not increase competiveness.

6. 616 November 2009CER The Voice of European Railways Freight: small revival in Western Europe - but decline continues in Central Europe

7. 716 November 2009CER The Voice of European Railways Commission’s new policy initiative could lead to legislation affecting railways  European Commission (DGTREN) published Communication on “Sustainable Future for Transport” in June 2009  CER submitted response October 7  Commission plans new Transport White Paper in late 2010  White Paper will set out policy for next 10 years

8. 816 November 2009CER The Voice of European Railways Communication does not adequately addressed climate change  Communication recognises problem of climate change  But it does not consider radical solutions  It relies too much on technological solutions and sees standards as key driver of technological change  Role of prices in driving technological change is not recognised  Communication discusses “smart prices” (internalising external costs) - but inevitable need for price increases is not mentioned

9. 916 November 2009CER The Voice of European Railways Self financing and access charges  The Communication supports the need for greater infrastructure capacity and greater self-financing of investment  CER agrees greater self-financing is both inevitable and desirable  But this implies higher infrastructure access charges – this could create problems for rail operators - unless higher access charges apply to all modes

10. 1016 November 2009CER The Voice of European Railways Internalisation of external costs  Communication supports internalisation of external costs – a long standing Commission policy - but: – current legislation prevents charging for external costs of heavy goods vehicles – rail lowest emissions mode – yet perversely it is only mode for which charging for external costs allowed in EU legislation (ETS, rail specific legislation)  Vital that rapid progress is made in putting EU policy on internalisation into practice

11. 1116 November 2009CER The Voice of European Railways Investment in infrastructure  Communication supports integration and interconnection between modal networks – to enable their optimal functioning  This fits with TEN-T policy to promote intermodality  Communication advocates investment in intermodal transhipment platforms  However, EU policy does not mention logical extension of this – focussing TEN-T investment: – on rail network to serve long distance traffic – on road for short distance traffic and feeder sections

12. 1216 November 2009CER The Voice of European Railways Thank you for your attention! For further information, visit our website: www.cer.bewww.cer.be  Jeremy Drew Senior Policy Advisor, Economics Tel: +32 2 213 08 99 Email: jeremy.drew@cer.be@cer.be 