White Paper 2011 and D evelopment P erspectives of T ransport S ystem in Latvia

1. White Paper 2011 and DevelopmentPerspectives of TransportSystem in Latvia Guntars Jansons Manager Development Planning

2. Commission White Paper 2011 • Policy objective – sustainable mobility • Target - reduce GHG emissions • 2050 by at least 60% vs.1990 • 2030 by around 20% vs. 2008 • Solution - single two-tier competitive and resource efficient transport network • Measures • New financing policies • Transport users pay for the full costs of transport • More targeted allocation of public funds • New technologies • Wide use of alternative energy sources, energy efficiency • Information technology provides for simpler and more reliable transfers • Market liberalization

3. SomeMeasurable Goals • 30% of road freight over 300 km should shift to other modes such as rail orwaterborne transport by 2030, and more than 50% by 2050, facilitated by efficientand green freight corridors • By 2050, complete a European high-speed rail network. Triple the length of theexisting high-speed rail network by 2030 and maintain a dense railway network in allMember States. By 2050 the majority of medium-distance passenger transport shouldgo by rail • By 2050, connect all core network airports to the rail network, preferably high-speed;ensure that all core seaports are sufficiently connected to the rail freight and, wherepossible, inland waterway system • Move towards full application of “user pays” and “polluter pays” principles andprivate sector engagement to eliminate distortions, including harmful subsidies,generate revenues and ensure financing for future transport investments

4. KeyFinancingIssues • Emphasis on European added value • Diversified sources of finance both from public and private sources • Better coordination of the Cohesion and Structural Funds with transport policy objectives • Member States need to ensure that sufficient national funding is available in their budgetary planning • Transport charges and taxes must be restructured in the direction of wider application of the ‘polluter-pays’ and ‘user-pays’ principle • Create a framework for earmarking revenues from transport for the development of an integrated and efficient transport system

5. TheExternalDimension • Extend internal market rules • through work in international organisations • through bilateral and multilateral cooperation • Extend our transport and infrastructure policy to our immediate neighbours • Promote our approach globally: opening up transport markets to free and undistorted competition and environmentally sustainable solutions

6. LongTermImpactonTransportSystem • Increase of overall transport costs to the end user • “User pays” principle • Extinction of fossil energy sources – increase of fuel prices • Internalization of external costs – new taxes and charges • Partially off-set by cheaper alternative energy due to technology development • Lower transport unit costs • Efficiency and multimodality • Liberalization and deregulation

7. EfficiencyandMultimodality • Infrastructure • Rail network electrification • Extensive use of IT to ensure optimal intermodality • Dedicated freight and high speed passenger lines? • Mobility of freight • Long distance by sea / rail, last mile (up to 300 km) by road • Containerization • Global electronic signature • Mobility of persons • Electricvehicles • PT and NMT in cities • Growing importance of rail • Regional express railway lines well connected to local PT system • High-speed rail for medium distance (Rail Baltica, Russia connections)

8. LiberalizationandDeregulation • Commercialization of infrastructure (“user pays”) • Toll roads • Corridor based rail infrastructure management • Infrastructure goes private (roads & rail) • Competitive carriers • Open access to all networks • End-to-end cross-border delivery by the same carrier • New regulatory framework • Ex-post (dispute resolution) instead of ex-ante (prohibitive) regulation • Realized by competition authorities • Supranational rather than national

9. Thank you!