Railway infrastructure charging and state subvention schemes in Hungary Dr. Péter Rónai

1. Railway infrastructure charging and state subvention schemes in Hungary Dr. Péter Rónai MÁV Co., Hungarian State Railways Head of Customer Relations and Sales 1

2. Legal background • Independent railwayundertakings have access to the railway network on a non-discriminatory basis (e.g. telecommunicationsector, energy sector)[Directive 2001/14/EC] • Non-discriminatory access to service facilities (e.g. transhipment sidings, freight terminals) irrespective of the ownership • Independence of essential functionsof the infrastructure manager: capacity allocation;timetabling; charging[Directive 2012/34/EU (Recast)] • Act CLXXXIII of 2005 on rail transport • Charging statute 83/2007 (X.6.) and its modifications • Capacity allocation statute 101/2007 (XII. 22.) The basic principles of free access and equaltreatment is definedbylaw.

3. Charging methodology and Charging Document CM Methodological document of network access charges –five-year CD Detailed calculations and data providing the basic of them –yearly • Cost-basedallocated unit prices • Direct and indirect costs of infrastructure services • Data of actual year costs and state subsidy • State subsidy is divided based on transport political principles

4. Essential change in the methodology Total reasonable cost-based charging Marginal cost-based charging The base of calculation is the operational costs directly incurred by an additional train service. The base of charge calculation is the total reasonable cost. In case of the charges for the minimum access package and for access to station service facilities „Market canbear test”: fullcostsonlyifthesegmentcanbearhighercoststhanmarginalcosts

5. Modalities: from full costs to total direct costs Step 0: Full costs Step 1: ./. Cost not related with infrastructure management Step 2: ./. Costs not related with minimum access package Step 3: ./. Costs financed by grants = full costs of infrastructure management Step 4: ./. Costs that do not vary with an additional train service = direct costs per year Step 5:modulation according to types of train Step 6:averaging against fluctuations of traffic

6. Segments Passenger services Freight services Trains carrying dangerous goods Other freight trains Domestic services International services Combined transport Direct trains; Urban or regional passenger services Interurban passenger services Block trains Single wagon load trains; Regular train services Occasional train services

7. : Charge of the use of catenary – 2013/2014 timetableyear Thousand HUF Thousand RUB Direct costs 11 181 674 1 749 871 + Direct costs to be shared 100 848 15 782 + Indirect costs 1 512 649 236 721 12 795 172 2002374 Performance indicator= / 65 732 314 = / 10 286 747 = (Electric train km) CM CD Cost based charge 195 31 + Mark-up 0 0 - Discount 0 0 - State contribution 138 22 57 HUF/electric train km 8,9RUB/electric train km 1 RUB=6,39 HUF (Hungarian National Bank currency rate September 2014)

8. Transport political map – 2014/2015 timetableyear Theoritical revenue maximumbillion HUF (performance indicator x (charge+mark-up)) (using sum at group of services) Proportion of State contribution (using mean at group of services)

9. Basic services – Minimum access package CD 2014/2015 timetable year, in HUF

10. Basic services – Minimum access package CD 2014/2015 timetable year, in RUB

11. Supplementary services CD 2014/2015 timetable year, in HUF

12. Supplementary services CD 2014/2015 timetable year, in RUB

13. Expansion of MÁC Co’s customers having network access contract AWT RAIL HU Zrt. BOBO Kft. boxXpress.de GmbH BSS 2000 Kft. CER Hungary Zrt. CRW, a.s. DB SchenkerRail Hungária Kft. DRT Danubius RailTransport Kft. Floyd Zrt. FOXrailZrt G&G Kft. GYSEV Zrt. GYSEV CargoZrt. KÁRPÁT Vasút Kft. LTE GmbH MÁV FKG Kft. MÁV Nosztalgia Kft. MÁV-START Zrt. METRANS (Danubia), a.s. MMV Zrt. MTMG Zrt. Magyar Vasúti Áruszállító Kft. PKP CargoS.A. Petrolsped, s.r.o. PSZ, a.s. RailCargo Hungaria Zrt. RailCargoCarrierKft. Railtrans International, a.s. RTS GmbH Swietelsky Vasúttechnika Kft. SZDS, a.s. Szentesi Vasútépítő Kft. Train Hungary Kft. Vasútvill Kft. Wiener LokalbahnenCargo GmbH Záhony-PortZrt. ZSSK Cargo, a.s. 37 37 34 32 31 MÁV-START Zrt. 24 MÁV-GÉPÉSZET Zrt. MÁV-TRAKCIÓ Zrt. 16 10 6 4 3 2010 2011 2012 2013 2004 2005 2006 2007 2008 2009 September, 2014 Number of foreign partners: 12

14. Incumbent’s share in revenue from freight network access charges 2013 Tendency: decreasing

15. THANK YOU FOR YOUR ATTENTION!