Building and Financing European Transport Infrastructure Carl-Henrik Lundstrøm

1. Building and Financing European Transport Infrastructure Carl-Henrik Lundstrøm Deputy Executive Director, M. Sc. CER, Community of European Railways ETF Conference, 23 October 2003

2. The analysis has been made … OECD: „Today‘s transport is not sustainable“ EU White Paper on the Common Transport Policy from September 2001: „The transport system needs to be optimised to meet the demands of enlargement and sustainable development, as set out in the conclusions of the Gothenburg European Council.“ „A modern transport system must be sustainable from an economic and social as well as an environmental viewpoint.“

3. The analysis has been made … ... the question remains whether the necessary steps for the implementation of change have been taken. • Outline of the presentation • Some facts and figures on transport and environment • Integration of environment into transport policy • EU transport policy • A perspective for the railways

4. Achieve a modal shift towards environmentally less damaging transport modes (« Revitalising RAIL »). The challenge of demand growth – EU White Paper

5. Transport has by far the highest emission growth rate of all economic sectors Responsible for 30 % of total CO2 emissions and: only sector with still increasing emissions Change in EU greenhouse gas emissions by sector (1990-1999) Transport sector: 30 % of total CO2 emissions Road alone 84 % Source: European Environmental Agency

6. Development of CO2 emissions and Kyoto objective

7. Integrating Environment and Sustainable Development into Transport Policy ... A Treaty Obligation ... • Article 2 defines sustainable development as a fundamental • objective for the Community • Article 6 states that environmental protection requirements must be integrated into the definition and implementation of the Community policies and activities with a view to promoting sustainable development Leading to the so-called Cardiff process (European Council in Cardiff June 1998)

8. European Transport Policy The EU Commission’s White Paper from Sept. 2001 ... • puts railways as environmentally friendly mode of transportin the centre of the policy of sustainable mobility • because: increasing environmental impact of transport andcongestion needs a reversal of today's transport trends • especially in the light of enlargement of the European Union • The European Commission sets the objective to stabilise themodal share of the different modes of transport until 2010 on 1998-levels This implies an increase in volume for rail freight by 40% and for passenger traffic by 24%

9. A comprehensive strategy beyond European Transport Policy needed Some examples ... • urban and land-use planning policy to avoid unnecessary increases in the need for mobility • social and education policy • urban transport policy • budget and fiscal policy to achieve full internalisation of external – in particular environmental – costs • completion of a trans-European network worthy of the name • transport / rail research

10. Develop Rail Infrastructure • Reduce bottlenecks • Build new lines • Dedicated Freight Network OR Priority Network • Harmonize investments on rail infrastructure between EU Member States at European level Revision of the TEN Guidelines (Van Miert report) including finding the appropriate Financing Tools

11. Development of Railway Lines and Motorways (in km)in Europe (15) from 1970-2000 (Index 1970 = 100)

12. Rostock Vorrangnetz Entmischung der schnelleren und langsameren Verkehre in Wirtschaftskorridoren Leistungsnetz Bedeutende Ergänzungstrecken außerhalb des Vorrangnetzes Hamburg Bremen Berlin Wolfsburg Hannover Magdeburg Düsseldorf Dortmund Halle Leipzig Kassel Dresden Erfurt Köln Strecken für Züge mit hohen Geschwindigkeiten Frankfurt/M Würzburg Strecken für Züge mit niedrigeren Geschwindigkeiten Nürnberg Mannheim Saarbrücken Karlsruhe Stuttgart Strecken im Leistungsnetz München Korridore noch ohne Finanzierungs-entscheidung bzw. im Planungsverfahren Basel Develop Rail Infrastructure Dedicated network

13. Develop Rail Infrastructure CER welcomes recent EU initiatives attempting to put the question of Infrastructure back on the Political Agenda.  Van Miert report  Revision of the TEN GuidelinesHowever, CER is still concerned about the question of the financing of new infrastructures. Infrastructure charging (Eurovignette revision) The expected Directive on Cross-Modal Charging & Financing has been abandoned !

14. Important future role for the railways... • … if three conditions are met simultaneously: • fair and equitable framework conditions in comparison to other modes, especially on internalisation of external cost • reinforcement of border-crossing European-wide servicesof railway undertakings • consistent infrastructure development for a European network This means: EU Commission / Parliament / Council, national governments and railway undertakings must act according to their responsibilities without waiting for one another!

15. More information about CER can be found on our Web-site – www.cer.be • The Community of European Railways brings together 32 railway companies and infrastructure managers from the EU Member States, Norway, Switzerland and the CEEC • The CER deals with all policy areas of significance to railway transport • The CER offers advice and recommendations to policy makers in Brussels • CER works in close collaboration with the Paris-based UIC