Railway PRO august 2013-en

the railway business magazine

Year VIII ■ No. 3.8(98) ■ 2013

Wider Black Sea Area GSM-R facts & figures

Railway PRO Infrastructure Development

Журнал железнодорожный бизнес

Interoperability, still a “hot” topic International Energy Agency supports public transport projects The Eastern Partnership, a mobility-favourable policy European railway industry demands fair global competition

Advanced technologies increase interoperability on the European railway networks Interview with Dan Mandoc, Senior Advisor & Project Manager within UIC, Chairman ERIG (EIRENE Radio Implementation Group)

Передовые технологии повышают степень совместимости европейских железнодорожных сетей - Интервью с Дан Мандок, Президент Группы European Radio Implementers Group (ERIG) и руководитель проекта - GSM-R & Railway telecom, в рамках Международного союза железных дорог (МСЖД).

Photo: ÖBB

editor’s note 1

N

o matter the operational and development problems of the European and Wider Black Sea Area railway system, one cannot but think about the victims of the recent tragic accidents in France and Spain, people who fell victims to the errors of a system which, in fact, is the safest existing transport mode.

Investigations are still underway and I am convinced that the specialists will identify the causes of the accidents and the solutions so that we could safely and trustfully enter a rail station. Especially in the case of the Spain derailment which extends the list of the accidents on high-speed lines, we realize that this system is still “young” and confronted with many technical challenges which have to be analysed and remedied, where necessary. Because, if not, tendentious comments, such as those of my countrymen which I’ve read recently (lucky that we don’t have high-speed trains so that there are no victims) can become a general way of thinking.

And this fatalist comment leads me to the everyday existence of the railways on the eastern frontier of the European Union.

One cannot but grieve at so much lack of growth vision in a country such as Romania.

A year or so ago, as I went to the European

Commission as head of the national railway passenger transport operator, I felt hurt when the European authorities explained to me that an activity such as that represented by myself could not be supported to buy modern train at low operating costs despite the presented plans, because there was no national and regional mobility strategy to demand it and no upgraded infrastructure.

Initially I thought it was a lack of commitment towards the railway modernisation and passenger attraction policies, but then I thought things through and realized that they were perfectly right.

The transport and mobility strategy is still not on the agenda of the ministry of transport and mandatory public service obligations leave it to the operator to choose its routes, frequencies and quality of services (the ministry of transport only submits the contract to the government’s approval). At the same time, the infrastructure is slowly sliding on the steep cliff of destruction being ignored by both the politicians who should understand this activity and by the “experts” in the company which manage the national railway infrastructure. The railway which links Bucharest to the port-city of Constanța (220 km), where works are carried out since 2005, has not yet been commissioned and

Spiral of destruction Спираль разрушения Несмотря на то, что европейская железнодорожная система, как и железнодорожная система Расширенного Черноморского Региона, сталкивается с проблемами связанными с её действием и развитием, невозможно не задуматься о трагических событиях недавно произошедших в Испании и во Франции. Те люди стали жертвами ошибок системы, которая тем не менее оценивается как самая надёжная в рамках транспортной области. Пока ещё проводится следствие, и я уверен, что специалисты обнаружат причины и пути исправления проблем, и мы сможем доверчиво пользоваться железнодорожным транспортом. Речь идёт особенно о аварии произошедшей в Испании, которая добавляется к списку аварий высокоскоростной железнодорожной системы. Данное трагическое событие доказывает что вышеназванная система является ещё молодой, и сталкивается с техническими провокациями которые требуют анализа и, где существуют несоответствия, поправки. Иначе, тенденциозные комментарии похожые на те, которые я недавно услышал со стороны моих соотечественников (“хорошо что у нас поезда не набироют высокую скорость, таким образом не бывают жертвы”), могут стать общем мышлением. Фаталистические комментарии такого типа, направляют мои мысли на повседневную деятельность железнодорожной сферы восточной границы Евро-Союза. Невозможно не проявлять недовольствие, заметив отсутствие концепции о развитии страны, так как это происходит в Румынии.

the excuse was that rail safety components have been stolen. At the same time, nobody seems to find a solution to these thefts and therefore, services lack punctuality and safety. The bridge on the line that links Bucharest to Bulgaria and Turkey is collapsed since the floods in 2005 and has not been repaired so far. The bypass is three times longer and has led to the cancellation of services and additional costs for operators and customers. Recently, the Romanian and Bulgarian authorities have inaugurated the “Europe Bridge”, the second bridge across the Danube which links Romania and Bulgaria. However, the modernisation of the railway connection in Romania is scheduled to be financed after 2020 (unless other priorities arise in the meantime) preventing the turning into account of the investment.

Although Corridor IV is not finalized and works on Corridor IX have not even been initiated, the minister of transport has identified a new priority (a highway worth EUR 9 Billion which link two county capitals with a total population under 800,000 people), leaving projects with European funds without co-financing or abandoning metro projects to endless delays.

Issue published with the support of Romanian Railway Industry Association & Club Feroviar – The Railway Business Club Журнал издаётся при поддержке Асоциации Железнодорожной Промышленности и Club Feroviar – ЖД Клуб Деловых Людей

Примерно год тому назад, когда я посетил Европейскую Коммисию в качестве председателя национального железнодорожного пассажирского ведомства, я был задет в тот момент, когда европейские сотрудники объяснили мне, что сфера деятельности, представителем которой я являлся, не может быть поддержена по вопросу закупки современных поездов при низкой операционной стоимости, не смотря на представленные планы, имея в виду что не существует региональная и национальная стратегия по подвижности, требующая этого, а в том что касается инфраструктуры, она не восстановлена.Рассматривая, в начале, в качестве обязательства перед политическими мерами усовершенствования и влечения пассажиров в область железнодорожных услуг, я проанализировал аргументы и пришел к выводу, что Европейская Коммисия была права. Транспортная стратегия подвижности продолжает отсутствовать из ежедневного журнала Министерства Транспорта, в то время как непременные контракты публичных услуг, предоставляют оператору возможность выбрать маршруты, повторяемость и качество услуг (Министерство Транспорта лишь продвигает контракт для получения государственного утверждения). В то же время, инфраструктура находится на уязвимой позиции разрушения, так как она игнорирована политиками, которые должны были заботится о ней, а также “специалистами” компании, в распоряжении которой находится национальная железнодорожная инфраструктура. Ось связывающая Бухарест с

городом-портом Констанция (220 км), строится ещё с 2005 года, до сих пор являясь неиспользуемой; находятся извинения связаны с воровством частей железнодорожной безопасности, но не предлагаются меры решения этой проблемы. Услуги не соблюдают график выполнения, проявляя ненадёжность с этой точки зрения. Мост связывающий Бухарест с Болгарией и Турцией, который был разрушен потопом произошедшем в 2005 году, до сих пор не ремонтирован; oтклонённый путь является в три раза длинее и приводит к отменению услуг, а также к лишним расходам для операторов и пользователей.Недавно, румынские и болгарские государственные представители инаугурировали проект “Мост Европа”, второй мост через Дунай, связывающий Румынию с Болгарией. Всё же, в качестве срока финансирования работ модернизации железнодорожной связи которая находится на румынской территории, указан период начинающийся с 2020 годом (если, до того, не появятся другие приоритетные расходы), факт который, со временем, приведёт к низкому уровню использования инвестиции.Хотя IV-й Корридор не окончен, в то время как работы для IXго Корридора вообще небыли начаты, Министерство Транспорта обнаружело новый приоритетный проект (автодорога стоимостью 9 миллиардов Евро, которая связывает два города, имеющие менее 800 000 жителей), оставляя в ожидании проекты финансированые с помощью Евросоюза, или лишая их софинансирования, а также, отсрочивая метрополитенные проекты.

August 2013 | www.railwaypro.com

2 cOntent MARKET DEVELOPMENT

РАЗВИТИЕ РЫНКА

Products & Technologies

32 34

International Energy Agency supports public transport projects

продуктов и технологий

Advanced technologies increase interoperability on the European railway networks

Interview with Mr. Dan Mandoc, Senior Advisor & Project Manager within UIC, Urbanisation continues to expand worldwide and the higher mobility demand affects the Chairman ERIG (EIRENE Radio quality of life and the use of energy in the cities. In this context, urban transport Implementation Group) systems will play a vital role in supporting Передовые технологии economic development and in significantly reducing emissions. повышают степень Международное энергетическое агентство поддерживает проекты в сфере общественного транспорта

На мировом уровне степень урбанизации продолжает расти, а повышение мобильности влияет на качество жизни и использование энергетических ресурсов в городах. энергетических ресурсов в городах. В связи с этим, городские транспортные системы будут играть решающую роль в поддержке экономического развития и значительного сокращения выбросов.

MARKET development

20 Integrated Transport & Logistics Company, a stimulus for increasing freight traffic and forming consolidated infrastructure

Editor’s note

the railway business magazine

Railway PRO

1

ISSN - 1841 - 4672

Spiral of destruction

News

Graphic design: Petru Mureşan Layout and DTP: Petru Mureşan petru.muresan@railwaypro.com Photo: Radu Drăgan Marketing Manager: Cristina Trifon cristina.trifon@railwaypro.com Advertising Enquiries: advertise@railwaypro.com www. railwaypro.com/advertise

07 Restructuring of the

42 FYR Macedonia and Bulgaria to have new railway connection

POLICIES & STRATEGIES

Production and photo editor: Petru Mureşan Department of translations: Alina Vuţulicu Paula Bădescu Veronica Lupan Gentil Traduceri SRL

32 International Energy Agency supports public transport projects

railway system. Division or holding – the key to railway success?

Editors: Elena Ilie elena.ilie@railwaypro.com Pamela Luică pamela.luica@railwaypro.com

26 Ukraine: The new port strategy enables the investment attraction of EUR 2.5 Billion

05 Government to divide

ZSSK Cargo into three subsidiaries

Publisher: Editura de Transport & Logistică S.R.L. 30, Virgiliu Street, Sector 1 Bucharest, postal code: 010881 Tel.:+4 021 224 43 85; +4 021 224 43 87 Mobile: +40 721 723 724 Fax: +4 021 224 43 86 E-mail: editors@railwaypro.com Web-site: www.railwaypro.com

24 Russia prepares maritime port infrastructure to respond to freight volume growth

43 A step forward in the development of Košice-Vienna broad gauge line

совместимости европейских железнодорожных сетей There are over twenty different signalling and speed control systems for railway transport in Europe.

Although expensive, the locomotive on-board systems, fitted with current system selection devices which react to the ground-transmitted signals, are necessary for both safety and traffic management. The large scale utilization of the GSM-R technology, part of ERTMS, a radiocommunication system based on GSM-R standard (used for mobile phones), but using railway-specific frequencies In Europe, will increase the interoperability of European railways and will facilitate crossborder traffic. В Европе существует более двадцати различных систем сигнализации и контроля скорости для железнодорожного транспорта. Несмотря на то, что они довольно дорогие, бортовые системы локомотивов, оснащенные датчиками, реагирующими на сигналы, передаваемые с земли, необходимы как для обеспечения безопасности, так и для управления ...

Mobility

16 Key aspects of the railway 45 Why can’t we do better at 52 Transport infrastructure

sector can be optimized with the help of SHIFT2RAIL

urban accessibility?

is the priority of Baku Metropolitan Development Plan

18 The Eastern Partnership, a Products & Technologies 56 Bucharest: Railway or mobility-favourable policy metro line for link to Henri 22 After many delays and Coandă – Otopeni Airport controversies Calafat-Vidin 27 Interoperability, still a Bridge has been inaugurated “hot” topic Wider black sea area GSM-R Facts & FIGURES 34 Advanced technologies 46 Russia identifies new increase interoperability on the 36 Wider Black Sea Area financing sources for railway European railway networks infrastructure projects GSM-R deployment 48 European railway industry demands fair global competition

www.railwaypro.com | August 2013

49 “Transport-technology” strategic plan, White Paper pillar on research and innovation

Statistics

54 Railway Statistics

cOntent 3 Редакционная статья

РАЗВИТИЕ РЫНКА

РАЗВИТИЕ РЫНКА

20 Оператор Единого 43 Шаг вперед в сторону экономического пространства реализации широкой колеи - стимул для увеличения по маршруту Кошице - Вена объема грузовых перевозок и ПОЛИТИКА И СТРАТЕГИЯ создания консолидированной 45 Почему нам не удается инфраструктуры 16 Ключевые аспекты лучше справляться по части железнодорожного сектора доступности в городских могут быть оптимизированы с районах помощью SHIFT2RAIL 24 Россия готовит свою портовую инфраструктуру для удовлетворения спроса, продуктов и 18 Восточное партнёрство связанного с растущими технологий - политика, направленная на объемами обеспечение мобильности 26 Украина: Новая 22 После многочисленных стратегия портов 27 Взаимная задержек и споров, мост способствует привлечению совместимость - «горячая» Калафат - Видин был открыт тема на длительный период инвестиций на сумму 2,5 млрд. евро

1

Спираль разрушения

46 Россия выявляет 32 Международное новые источники энергетическое агентство финансирования для проектов железнодорожной поддерживает проекты в сфере общественного инфраструктуры транспорта 48 Европейская железнодорожная отрасль 42 Македония и Болгарии будет иметь требует равных условий конкуренции на глобальном железнодорожное сообщение уровне

мобильность

52 Транспортная инфраструктура является одним из приоритетов для Программы развития города Баку 56 Бухарест: Железная дорога или линия метро для связи с Аэропортом им. Генри Коандэ - Отопень новости

05 Правительство разделить ЗССК груз в три дочерних предприятия

07 Реструктуризация железнодорожной системы. Отдел или холдинг - ключ к 34 Передовые технологии успеху железную дорогу? повышают степень Факты и цифровые совместимости европейских данные GSM-R железнодорожных сетей 36 Размещение GSM-R в Более Широком Черноморском Регионе 49 Стратегический план «Транспорт-Технология» статистика - опора Белой книги по исследованиям и инновациям 54 железнодорожная статистика

August 2013 | www.railwaypro.com

news 5 Government to divide ZSSK Cargo into three subsidiaries

Poland: PKP Cargo, a Polish railway cargo company that is planning an IPO, jointly with its consultants is preparing an issue prospectus for submission to the Polish financial regulator KNF, Puls Biznesu reported, quoting Lukasz Boron, PKP Cargo President. The issue prospectus is expected to be submitted to KNF next week and the IPO is planned for the beginning of 4Q13. The final date depends on market conditions and on the company’s capacity to reach terms with trade unions over pre-privatisation guarantees.

slovakia: The Government of Slovakia plans to allocate EUR 141.5 Million to the public freight railway sector and create three new subsidiary companies out of the freight carrier ZSSK Cargo, as part of railway transport support measures, reads the proposal on freight railway transport consolidation that was passed by the government.

This means that the freight carrier will be compensated for a portion of the money it paid to state-owned infrastructure owner ŽSK for using its lines in 2010. The carriers are set to divide the remaining EUR 74 Million among themselves, with the 2014-16 infrastructure fees for freight carriers slated to be decreased - a measure that will cost the state another EUR 67.5 Million.

Within the changes in store for ZSSK Cargo in terms of the new subsidiaries is a company to operate freight wagons, with ZSSK Cargo set to sell the majority of its shares to a strategic partner but retain a degree of control.

Once this company begins to operate, the ministry expects it to see a profit of more

Rail transport rises

photo: Moldovan Railways

Rep. of Moldova: The volume of Moldova’s combined railway, road, river and air freight traffic through June rose 14.7% to some 5.0 million tonnes. Calculated in freight tonne-kilometres (FTK), traffic increased by 9.4% to some 1.9 billion FTK in the first half of 2013.

The highest growth of 20.8% was that of railway transport which attracted 2.14 million tonnes of freight in the first six months of the year.

Belarus buys new locomotives from China Belarus: Belarus Railways signed a contract with China National Electric Import and Export Corporation for 18 7.2MW electric locomotives from CNR Datong Locomotive Works. The contract was signed during President Alexander Lukaşenko’s visit to Beijing.

The contract, which is worth nearly EUR 90 Million, is 85%-financed by the Export-Import Bank of China and includes the provision of spare parts. The locomotives will be delivered within 21 months.

BC has already received 12 of 9.6MW 120km/h double-unit freight locomotives, which are based on the Chinese HXD2 designed by CNR and Alstom.

Spain and Poland to share transport and infrastructure collaboration International: Spain Minister of Development, Ana Pastor, and her Polish counterpart, Slawomir Nowak, have signed an agreement for consolidating cooperation between the two countries in transport and infrastructure, especially by sharing good practices, experience, research and know-how. The document concerns the road, railway, air and maritime transport.The objective of the agreement is to facilitate cooperation between private and public companies in both countries in planning, designing, building, maintaining and managing infrastructure, as well as in providing transport services. The agreement also includes the support of Spanish and Polish companies in the projects carried out in third countries.

HZ Infrastruktura wants new EBRD credit Croatia: Croatian railway infrastructure manager HZ Infrastruktura has requested a credit or EUR 40 Million from EBRD to finance its projects.HZ Infrastruktura intends to use the loan proceeds to contribute towards the purchase of new rail track Словакия: Правительство Словакии намеревается разделить ZSSK Карго на три новых дочерних компаний: один оператор вагонов, одну компанию, ответственную за ремонт и техническое обслуживание вагонов и локомотивов, а третья компания будет обеспечивать интермодальные транспортные услуги. Польша: Компания PKP Карго уже подготовила проспект для листинга на бирже, который подлежит утверждению со стороны учреждения по финансовому регулированию KNF.

than EUR 3 Million.

The second subsidiary company is to repair and provide maintenance for wagons and locomotives. Its partial acquisition by either passenger carrier ZSSK Slovensko, or some other business partner via capitalisation, will be considered and the company is expected to run with a balanced budget.

The third company is to operate intermodal transport, with some of its shares to be sold to another business partner under the condition that Cargo retains an active role in controlling the company. This subsidiary is estimated to earn a profit of up to EUR 2 Million a year.

photo: www.zscargo.sk

PKP Cargo’s IPO to occur by year-end

maintenance equipment and purchase and installation of the energy efficiency management information system.

Tendering for the project is expected to begin in the first quarter of 2014.

Iran to connect railways with Iraq in 3 years International: Iran’s Khoramshahr city in Khuzestan province is going to be connected to Iraqi city of Basra through a railway line in three years, Iranian Railways Company Managing Director Abdol-Ali Saheb-Mohammadi said quoted by Trend news agency.“Iran has constructed its share of railroad to Shalamcheh city which is the Zero Point border station,” he said.

“Iraq has not yet started the construction operations due to financial problems,” Saheb-Mohammadi said, adding that the Iraqi side is currently doing the preliminary studies.“Baghdad is hopeful to start the construction operation by next year,” Saheb-Mohammadi concluded.

Agreement on the electrification of Leipzig – Chemnitz line Germany: DB CEO Rüdiger Grube and Saxony’s state minister for economic affairs, labour, and transport Mr Sven Белоруссия: Белорусская железная дорога подписала контракт с China National Electric Import and Export Corporation на приобретение 18 электровозов. Хорватия: HZ Инфраструктура обратилась в ЕБРР за кредитом в размере 40 млн. евро для финансирования одного проекта. В мире: Иранский город Хорремшехр, расположенный в провинции Хузестан, в течение трех лет будет иметь железнодорожное сообщение с Басрой, Ирак.

August 2013 | www.railwaypro.com

6 news

Authorities officially launches Trainose privatisation

photo: www.trainose.gr

Greece: The Hellenic Republic Asset Development Fund (HRADF) has launched an international bid for the sale of 100% of Trainose. The bidding process will be conducted in two phases: phase A: submission for expressions of interest and phase B: submission of binding financial offers by shortlisted investors.

Any interested party wishing to submit an expression of interest will need to demonstrate that, if it is a corporate entity, the average annual consolidated equity for the most recent three audited financial years exceeds EUR 100 Million, and if it is a private equity firm or fund, the sum of active and un-invested/uncommitted funds for the latest financial year exceeds EUR 200 Million. In the case of a consortium, the financial capacity criteria must be fulfilled by each consortium member.

Private operators on public railway network russia: Freight One will put into operation two locomotives on the South-Eastern Railway (an affiliate of RZD) on the line linking the Novolipetsk Iron and Steel Works and Stoilensky Ore Mining and Processing Works in the Belgorod region.

The second-hand locomotives have been purchased, upgraded and put into operation and over the next two years the company plans to buy another 8 locomotives to put them into operation in the same region.

The procedure of getting permit for using a private locomotive on the public railway network is rather sustained. RZD gives a permission taking into account the capac-

pany has reduced rolling stock purchase plan by approximately 9,000 gondola cars to 7.7 thousand units.

For example, Russian largest cargo railcar maker Uralvagonzavod forecasts that the number of new wagons will plummet down by 26% to approximately 20,000 units because of the market situation.

Macedonia signs contract on the modernisation of Corridor X section Macedonia: Bulgaria’s CK 13 Holding signed a deal with Macedonian railway infrastructure operator Makedonski Zeleznici - Infrastruktura to upgrade a 31kilometer (km) railway stretch part of the pan-European Corridor X, the Macedonian Transport Ministry said. The value of the deal has not been disclosed, but Macedonia has borrowed EUR 9.5 Million from the European Bank for Reconstruction and Development (EBRD) for the project. The reconstruction of the Nogaevci-Negotino railway stretch should be completed within one year. The upgrade will allow train speeds of 100-120 km per hour from the current 50-60 km per hour.

ity of the network. The liberalization of the locomotive market will allow solving these issues and simplifying all procedures. The first private rail transporters are supposed to appear in 2013. Companies such as Globaltrans, Transgarant, and Transoil have rolling stock which could be operated on the Russian network.

photo: www.raillynews.com

Morlok signed an agreement on the electrification and upgrading of the 81km Leipzig – Bad Lausick – Chemnitz line with the aim of putting Chemnitz back on the Inter-City network.Under the deal, around EUR 2.5 Million will be invested in planning, and preliminary design, including full costing for the project, and this process will be completed by the middle of next year.

Saxony will then try to obtain funds from the federal budget for this project within the 2015 Federal Transport Infrastructure Plan.

in the programming period 2014-2020.

Feasibility studies will be completed by 1 September.

Turkey set to become global hub for rail manufacturing says report Turkey: Turkey is set to become a global hub for rail manufacturing over the coming decade, according to a report just published. Turkey’s strategic location places it central to infrastructure projects from North Africa, the Middle East and Europe, says analysis from Frost and Sullivan Rail Outlook Study 2013.

While European projects have stalled due to economic difficulties, rail networks in Africa and the Middle East are due to double in size by 2022.

Construction of 8,000 km of railway is underway

Russia: In January-June 2013, the number of cargo railcars produced in the Russian Federation fell 20.9% year-onyear to 27.4 thousand units, according to the Russian Federal Statistics Service.

In June 2013, the number of produced railcars reduced by 26.9% year-on-year and by 6.6% month-on-month.

Many railway operators have corrected their rolling stock purchase plans because of the situation in the freight transportation market. In particular, Freight One has not decided yet whether it will buy gondola cars. The Federal Cargo Com-

International: Hungary and Austrian Burgenland signed a declaration of intent to develop cross-border transport connections. A joint railway transport project will be developed within the agreement.

It will also enable the development of feasibility studies for projects for which the authorities plan to get European funds

Iran: 8,000 km of railway is currently under construction in Iran, Minister of Urban Development Ali Nikzad announces.

After the completion of the projects, all of the country’s provinces will benefit from the national railway network, Nikzad said.

Nikzad said in January that the construction plan of some 11,000 kilometres of railway started.

He also said that some 2,500 kilometres of the mentioned projects have come on stream.

Gorgan-Inceburun is one of the main projects where works were launched in May. The 88-kilometers long rail project connects the north western Iranian city of Gorgan with Inceburun in Turkmenistan.

Германия: Генеральный директор Deutsche Bahn и министр экономики и транспорта Саксонии подписали соглашение по электрификации и модернизации 81 км линии по маршруту Лейпциг - Бад Лаусик - Хемниц. Республика Молдова: Объем грузовых перевозок в Республике Молдова в первом квартале увеличился на 14,7%. Самое существенное увеличение зарегистрировалось у железнодорожного транспорта - на 20,8%. В мире: Испания и Польша подписали

соглашение об укреплении сотрудничества в сфере транспорта и инфраструктуры. Греция: Фонд развития активов Греческой Республики (HRADF) запустил международный тендер на продажу 100% акций Trainose. Россия: В период с января по июнь 2013 года, количество грузовых вагонов, произведенных в России, снизилось на 20,9%, достигнув 27,4 тысяч единиц. Македония: Болгарская компания CK 13 Холдинг подписала договор с компанией Makedonski Zeleznici

Infrastruktura на модернизацию отсека продолжительностью 31 км. Данный отсек относится к Транспортному коридору X. В мире: Венгрия и австрийский ланд Бургенланд подписали декларацию о намерениях по развитию трансграничных транспортных сообщений. Турция: В течение ближайшего десятилетия Турция стремится стать глобальным центром производства железнодорожного оборудования. Об этом говорится в недавнем докладе.

Freight wagon production falls

www.railwaypro.com | August 2013

Hungary and Austria sign agreement to improve cross-border transport

news 7 The project implementation also opened access for European and Asian countries to Central Asia and the Persian Gulf.

Moreover, Iran has access to Russia, CIS and China.

Азербайджан: Азербайджан готов подписать межправительственное соглашение о присоединении к проекту «Шелковый Ветер», который проводится в рамках программы ТРАСЕКА. В мире: В Иране в настоящее время строится 8.000 км железной дороги. Об этом объявил министр градостроительства, Али Никзад. Болгария: Болгарское правительство приняло решение перенаправить 20 миллионов евро от автодорожных проектов на железнодорожные проекты в планах финансирования за счет средств ЕС на период 2014-2020 гг. Россия: Оператор «Первая Грузовая Компания» (ПГК) запустит два локомотива на железнодорожную сеть

Azerbaijan ready to sign agreement on Silk Wind project Azerbaijan: Azerbaijan is prepared to sign an intergovernmental agreement on the Silk Wind project within the framework of the TRACECA, TRACECA National Secretary in Azerbaijan Akif Mustafayev said.

Azerbaijan, Kazakhstan, Georgia and Turkey signed a memorandum on the Silk Wind transport project in November, 2012, which is an initiative in the frameSILK WIND BLOCK TRAIN ROUTE work of TRACECA. KAZAKHSTAN – CASPIAN SEA – BLACK SEA

Dostyk station PRC border

ZHEZKAZGANͲBEINEU

BAKUͲTBILISIͲKARS NEW PORT, ALYAT MARMARAY RAIL TUBE TUNNEL

Source: National Secretariat of IGC TRACECA in the Republic of Kazakhstan 07.11.2012

National Secretariat of IGC TRACECA in the Republic of Kazakhstan

More money to rail projects

2

granted by the EU to Romania are worth around EUR 39 Billion, EUR 21.8 Billion of which are funds from the cohesion policy. The best financed operational programme will be the Regional Operational Programme with a grant of EUR 6.99 Billion, followed by the Operational Programme Large Infrastructure which will include the current SOP Transport, SOP Environment and a new energy programme with EUR 6.98 Billion.

EUR 130 Million annually for railways

Bulgaria: The Bulgarian Government

has decided to redirect EUR 20 Million from road projects to railway projects in the financing plans from EU 2014-2020 funds. Funds will be transferred within the Operational Programme Transport.

Minister of Transport Danail Papazov has recently announced that the railway projects in the next programming period required BGN 90 Million (EUR 45.6 Million). Funds will be used for the rail sections Vidin-Medkoveţ, Sofia-Septemvri, Sofia-Dragoman and Sofia-PernikRadomir.

Croatia: The state-owned Croatian Railways (HZ) will require annually more than EUR 130 Million to maintain their current system, World Bank data showed.

The annual estimate comprises EUR 55 Million for infrastructure maintenance, EUR 30 Million for freight rolling stock, and EUR 45 Million for passenger rolling stock.

EU funds – EUR 2.4 Billion of which will be available to the Croatian transport sector in EU Financial Perspective 20142020 - will provide the bulk of financing to the railway system but that would be limited to core international network and passenger rolling stock. At the same time, the government is advised to limit public

Authorities announce railway infrastructure tenders worth EUR 1.2 Billion

photo: Club Feroviar

Romania: Romanian Prime Minister Victor Ponta announced the National strategic investment plan. The targets for 2013 rely on five key strategic investments, a minimum of EUR 10 Billion of investments. The investment areas include the transport infrastructure. The Prime Minister announced bids worth EUR 1.2 Billion for the railway infrastructure.

Apart from the infrastructure, the sectors to benefit from investments include energy, resources, agriculture and industry.

In the timeframe 2014-2020, the funds

Restructuring of the railway system. Division or holding – the key to railway success? romania: Until 1 October, Club Feroviar and the main railway organisations organise a series of weekly debates aimed at analysing the condition of the Romanian railway system and at identifying solutions for repositioning this system in the European top.

At the end, they will draft a report called “15 years of Romanian Railways reorganisation” and addressed to the political factor, the public opinion and the investors. The first reunion was held on 25 July and focused on the organisation as holding or the segmentation of the railway business lines. It was noticed that in the 90s Romania chose total separation although some European opinions were in favour of building a group/holding structure. The selected formula permitted, on

Юго-Восточная железная дорога (это дочерняя компания РЖД). Хорватия: ХЗ Инфраструктура объявила о том, что скоро запустит тендерные процедуры на осуществление железнодорожных проектов на сумму 230 миллионов евро. Румыния: Премьер-министр Румынии объявил о Национальном плане по стратегическим инвестициям. По железнодорожной инфраструктуре он объявил, что последуют тендерные процедуры по проектам на сумму 1,2 млрд евро. В мире: Литва будет являться председателем Совета ЕС (до декабря) и объявила о том, что постарается ускорить реализацию проекта Rail Baltica.

investments to EU funds counterpart funding, most critical infrastructure and freight rolling stock.

Lithuanian presidency of EU supports Rail Baltica International: On 1 July, Lithuania took over the presidency of the EU Council until 31 December. In the press conference, President Dalia Grybauskaite said that during Lithuania’s Presidency of the EU Council Lithuania will seek to accelerate Rail Baltica project implementation.

The president hopes that in six months Lithuania will manage to negotiate for the specific funding programmes from the EU budget.

HZ Infrastruktura to bid more rail projects Croatia: Croatian state-owned railway infrastructure operator HZ Infrastruktura will soon invite bids for railway projects totalling EUR 230 Million which will be financed from EU cohesion funds.

HZ Infrastruktura did not specify which projects will be tendered. The company is preparing at the moment projects worth the one hand, the development of a private development environment among railway freight transport operators, infrastructure managers and passenger transport operators. According to international studies, Romania ranks 18th of 24 countries analysed in terms of railway system performance, ranking second-to-last among the countries with total separation. In the current European political context (institutional proseparation of the three activity lines) and of the market structure in Romania, building a holding of state-owned companies seems an impossible project and that is why, the participants believed it would be necessary to identify solutions to remedy the current system. Railway organisations believe that primary attention has to be paid to railway infrastructure so as to identify the financing sources of the scheduled repairs, full-track maintenance and modernisations.

August 2013 | www.railwaypro.com

8 news

within the city. The agreement will see DIC becoming one of Etihad Rail’s main public freight terminals in Dubai.

New undersea rail link between Morocco and Spain

Belgium approves SNCB investment plan

International: A submarine rail link between Morocco and Spain may be back on the cards after 30 years, following a meeting of the United Nations Economic and Social Council (ECOSOC) held in Geneva.

African and European support for the plan, which would extend from Punta Paloma in southern Spain to Punta Malabata east of Tangiers, sees the project as an economic and social boon for both countries.

While the plans are a long way from implementation, a draft resolution came from the meeting calling for Executive Secretaries of the Economic Commissions for Africa and Europe to begin feasibility studies. Construction could be completed by 2025.

International: Belgium Council of Ministers approved the multiannual investment plan of railway company SNCB after several months of discussions.

The plan proposed by the minister of Public Undertakings, Jean-Pascal Labille, focuses on railway security investments, on maintaining the lines in the areas which are not densely populated and on developing the Regional Express Network (RER). As part of the works for this final project, line Ottignies-Brussels would be completed in 2012 and line NivellesBrussels in 2023.

photo: riadzany.blogspot.rovv

more than EUR 500 Million, which it expects will be fully financed with EU funds.

Various projects to link Spain and Morocco with tunnels under the Gibraltar Strait have been planned over the years, but geological studies have found that the rock under the Strait is extremely hard. The current proposed route is not the shortest, but is said to be the most shallow.

Etihad Rail to build new freight terminal in Dubai International: Etihad Rail, the UAE’s national railway network operator, has announced the signing of a memorandum of understanding with Dubai Industrial City for the development of a rail terminal www.railwaypro.com | August 2013

Separate company to run Thalys trains from 2015 International: Rail operators in France and Belgium have approved a plan to set up a separate company to operate the jointly-run high-speed Thalys service.

SNCF and SNCB have said that restructuring the service will ‘ensure agility in a Хорватия: Хорватские железные дороги будут нуждаться в суммах свыше 130 млн. евро ежегодно для поддержания железнодорожной системы в нынешнем состоянии. Польша: ЕИБ предоставит новый кредит в размере 40 млн. евро для PKP PLK SA, на модернизацию железных дорог и сигнализации в восточной части Польши. В мире: Железная дорога между Македонией и Болгарией станет реальностью. Об этом объявил македонский министр транспорта, Миле Янакиевски. В мире: Железнодорожные операторы во Франции и Бельгии, SNCF и, соответственно, SNCB, утвердили план, предусматривающий создание отдельной компании, которая будет работать с поездами Thalys.

competitive environment’.

From 2015, a single body will oversee Thalys train operations, pending approval from the European Commission.

“This is a great opportunity to strengthen the historic partnership between our two companies and further develop high speed rail in northern Europe,” said SNCF President Guillaume Pepy and SNCB Chief Executive Marc Descheemaecker in a joint statement. “It will give Thalys the means to offer an increasingly attractive and efficient service to its customers and expand its business.”

photo: http://www.finnmoller.dk

poland: The European Investment Bank will award a new credit of EUR 40 Million to PKP PLK S.A. dedicated to the modernisation of railways and signalling systems in eastern Poland.

Funds will be used for the modernisation of lines and platforms in three rail stations on the route WarsawBelarus border. Moreover, the signalling system will be upgraded on 78 km of double line on the route Siedlce-Biala Podlaska. Works will begin in 2013 and will be completed at the end of 2015.

photo: © PKP Polish Railway Lines

EIB grants new credit to PKP PLK for railway modernisation

Poland: Axtone could be sold Poland: Private equity fund IK Investment Partners is preparing to sell its Poland-based, railway components maker Axtone Sp z o.o, a portfolio company IK acquired in 2008, two sources familiar with the matter told The Wall Street Journal.

According to analysts, the price of Axtone varies between EUR 100-150 Million.

The company will most likely sold to a buyer in the industry, one of the world’s railway component makers, rather than another private equity fund, another person said. Axtone also has factories in Germany, the Czech Republic, Russia and China. The company reported annual sales of EUR 71 Million. Польша: Фонд IK Investment Partners готовится к продаже производителя железнодорожных комплектующих Axtone Sp z o.o. В мире: 30 лет спустя с момента первого упоминания о подводном железнодорожном сообщении между Марокко и Испанией, кажется, данный проект вновь становится жизнеспособным. В мире: Компания Etihad Rail объявила о подписании меморандума о взаимопонимании с Промышленным городом Дубаем на развитие железнодорожного терминала в промышленном городе. В мире: Бельгийский Совет министров утвердил план многолетних инвестиций железнодорожной компании SNCB на прогнозируемую сумму в размере 26 млрд. евро.

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10 news Green line for SOP-T 2007-2013 projects review

Bulgaria is considering to privatize BDZ Passengers

romania: Under the circumstances of the measures initiated for the purpose of accelerating the absorption of European funds and avoiding the annulment of funds at the end of 2013 and afterwards, the Management Authority for Sectoral Operational Programme Transport 2007-2013 (AM POST) has submitted the amendment of the programmatic document SOP-T 2007-2013 for the approval of the Monitoring Committee SOP-T. By the amendment proposal approved by the Monitoring Committee SOP-T on April 22nd, the eligibility area has been extended for important railway projects such as the sections Border – Curtici – Km 614, Simeria – Coşlariu and Coşlariu – Sighişoara, the three of them being part of the Pan-European Corridor IV. Likewise, the eligibility area has been extended for the pilot project for the ERTMS Level II installation, on the section Chitila – Crivina, as well as for the project aiming at rehabilitating the Danube Bridges, also included in the Pan-European Corridor IV. The same approved document included the rehabilitation of Grădiştea Railway Bridge.

bulgaria: Danail Papazov, Bulgarian Minister of Transport, suggested that the government might give up its resolve not to privatize the Bulgarian State Railways (BDZ) company. “We do not rule out the option to give BDZ Passenger Services on concession or privatize it,” said Papazov.

The Bulgarian Socialist Party, on whose ticket the current cabinet was elected, had vowed not to privatize the Railways, a vow reiterated by PM Plamen Oresharski. What is even more unusual is that Minister Papazov

LETA/Postimees Online reports. The transport ministers of the five states will have to sign the joint declaration at the unofficial transport council meeting in Vilnius in September. The aim of the Rail Baltica joint venture is coordination of preparations for building the railway line, including preparing the financing applications of the project for the European Commission, harmonising legislation, compiling the business plan for Rail Baltica etc. It was agreed that in every Baltic state, the infrastructure of Rail Baltica will belong to that specific state where it is located. Every shareholder contributes 0.65 million euros a year over the next four years. The joint venture will belong initially to the three Baltic States but Finland and Poland can join it.

photo: Club Feroviar

USD 24.8 million loan to private leasing provider Olzha

Likewise, the eligibility area was extended for Priority Axis no. 2 by introducing the project for the development of the Bucharest underground infrastructure, respectively Line 4, the section Parc Bazilescu - Lac Strauleşti and Underground Line 5, the section Râul Doamnei - Eroilor.

On July 26th, the European Commission approved the amendment of SOP-T 2007-2013.

A joint venture for Rail Baltica

photo: tid.lt

international: Representatives of Estonia, Latvia, Lithuania, Finland and Poland reached an agreement on forming a joint venture Rail Baltica,

www.railwaypro.com | August 2013

International: The EBRD is providing the private Kazakh rail company JSC Olzha with a US 24.8 million (EUR 19.2 million equivalent) loan to support the development and growth of the company. Olzha, a joint stock company, is providing operating leases for freight wagons to corporate

Болгария: По словам министра транспорта, Данаила Папазова, правительство в Софии может рассмотреть приватизацию Национальной железнодорожной компании (БДЖ), таким образом отказываясь от решительной позиции, с которой оно раньше выступало, против продажи БДЖ Карго. В мире: Представители Эстонии, Латвии, Литвы, Финляндии и Польши договорились о создании совместного предприятия под названием Rail Baltica для трансграничной железной дороги с одноименным названием. В мире: Европейский банк реконструкции и развития объявил о том, что он предоставит частной компании по железнодорожному лизингу «Олжа» (Казахстан) кредит в размере 24,8 млн. долларов (19,2 млн. евро) в поддержку ее

has mentioned the passenger, and not the freight unit of BDZ, which was being prepared for privatization by Bulgaria’s previous parliamentarily elected cabinet. Ex PM Boyko Borisov’s government planned to sell the profitable BDZ Freight Transportation to cover the financially troubled company’s debt. In the interview, Papazov said that the financial situation is worse than he believed initially “At present, BDZ’s debt amounts to some BGN 700 M (EUR 358 mln), 175 (EUR 89,5 mln)of them overdue,”he said. “Now we are not talking about healing the company, but rather about rescuing it,” commented the minister.

clients in Kazakhstan and beyond, mainly for the transportation of liquefied petroleum gas (LPG) and oil products.

Olzha has been active in the market for the last 18 years.

As freight owners increasingly favour leasing over ownership of railroad cars, demand for Olzha’s services is expected to increase significantly. This will be fuelled further by an increase in oil and gas production in Kazakhstan in the years ahead.

Russia to invest $17Bln for Siberian railroad upgrade Russia: The transportation minister said that 562 billion rubles ($17 billion) was the “optimal option” for funding to upgrade two vital railroads that stretch across Siberia to ports in the Far East.

The Trans-Siberian Railroad, which spans 9,300 kilometers (5,800 miles) from Moscow to the Pacific coast, as well as the Baikal-Amur Mainline, which zigzags across Siberia and the Far East, are expected to gain 55 million tons of capacity from the upgrades, currently slated to take place until the year 2018.

Transportation Minister Maxim Sokolov also said that about 300 billion rubles ($10 billion) for the project would

развития. Болгария: Болгарское государство намеревается модернизировать 600 км железнодорожных путей сообщения к 2020 году. Проект нацелен на повышение скорости движения поездов до 160 км / час. Об этом заявил заместитель министра транспорта, Петар Киров. Украина: В ходе недавней встречи в конце июля, украинское правительство утвердило консолидированный финансовый план Украинских железных дорог (Укрзализныця) на 2013 год. Об этом заявил министр инфраструктуры Украины, Владимир Козак. Турция: Железные дороги (TCDD) проведут рекордный тендер на сумму 6 миллиардов турецких лир (2,3 млрд. евро) в попытке приобрести новые поезда. Об этом заявил директор TCDD, Сулейман Караман.

news 11

Bulgaria to upgrade 600 km of railways Bulgaria: The state plans to upgrade 600 km of railways by 2020. The project is aimed to increase the traffic speed of trains up to 160 km/h, said Petar Kirov, deputy minister of transport.

The transport ministry’s main goal is to complete the upgrade of the southeastbound railway track from the country’s north-western border with Serbia to the border with Turkey and Greece, and the reconstruction of the Plovdiv-Burgas section. The government will also attach priority importance to the construction of intermodal terminals, he added.

The consolidated fiscal plan of Ukrzaliznytsia for 2013 was approved Ukraine: The Ukrainian government approved the consolidated financial plan of Ukrainian railways for 2013, Infrastructure Minister Volodymyr Kozak said. Asked about the fiscal plan figures, the minister said “everything is higher than last year.” As reported, the consolidated financial plan of railways in 2012 foresaw a net profit of UAH 496.4 million (approximately $61 million) and losses from passenger transportation of UAH 7.2 billion ($885.4 million). The total income from ordinary activities in 2012 was estimated at UAH 57.2 billion ($7.03 billion), including revenues from transportation of UAH 48.1 billion ($5.91 billion), and other income of UAH 9.1 billion. Income from freight traffic was estimated at UAH 41.7 billion ($5.12 billion), and from passenger transportation UAH 6.4 billion ($787 million). The expenditure part of the financial plan for 2012, taking into account profit tax from ordinary activities, amounted to UAH 56.7 billion, including expenses from transportation of UAH 42.9 billion, and other costs of UAH 13.8 billion. Expenses from freight transportation were estimated at UAH 29.2 billion, passenger traffic – UAH 13.7 billion.

Turkish State Railways to announce record tender Turkey: The Turkish State Railways will announce a record tender of 6 billion Turkish Liras, EUR 2,3 bn, in a bid to buy new trains, its director Süleyman Karaman said. “The tender will include a total of 106 train units.

As it is such a big tender, we will include the condition of establishing a train factory in Turkey and impose a 51 percent minimum local purchasing condition,” Karaman told daily Hürriyet. He also said the tender had passed the Development Ministry’s approval and was awaiting a last green light from the Council of Ministers, adding that the German company

Special purpose company to carry out Moscow-Kazan high-speed project Russia: RZD will become a minority shareholder in a company established to build the Moscow – Kazan high-speed mainline, the RZD First Vice President Alexander Misharin declared. The first high-speed line is to be built until 2018.

A special design company has to be established to attract private financing and manage this project, Mr. Misharin said.

Uzbekistan initiates new railway project

Siemens and a number of Italian firms were showing interest in the tender. “We are planning to organize the tender in two or three months,” Karaman said. Turkey is currently renewing its rail transportation system within the framework of a new development plan.

Transport Minister Binali Yıldırım announced last month that at least 2,500 kilometers of high-speed rail line would be built in the next five years to connect 14 different cities.

Regarding the under-construction IstanbulAnkara high-speed railway, Karaman said that once the new rail lines were built and the trains were operational, they would adopt a price policy “cheaper than planes and more expensive than buses,”.

the Hebrew colonies, the “Haaretz” newspaper writes. The railways will cross Cisjordania from north to south and from west to east linking several of the main cities in the area. The project includes the construction of 473 km of railways and 30 stations serving 11 different lines. According to the newspaper, the Israeli Minister of Transport has already invested over ILS 1 Million (around EUR 211,000) in drafting the project. For the moment, there are no funds to finance the project, but it should be considered in the urban planning activities.

Uzbekistan: The construction of the 125km-long Angren-Pap electrified railway, which is meant to link Uzbekistan’s west and east, began last week. Estimated at around USD 2 Billion, the line should be completed by 2016.

The project should help make Uzbekistan a transit corridor for cargo going between Europe and Asia.

Israel could build a railway network in Cisjordania International: In the near future, Israel could present a master plan on the construction of a railway network that would cross Cisjordania linking both the Palestinian localities and

Россия: РЖД, вероятно, станет миноритарным акционером компании, созданной для строительства высокоскоростной линии МоскваКазань. Об этом заявил первый вицепрезидент РЖД, Александр Мишарин. Первая высокоскоростная линия будет построена до 2018 года. Хорватия: Хорватское правительство одобрило заем на сумму 250 млн. кун (33,2 млн. евро) для пассажирского железнодорожного оператора HZ Putnicki Prijevoz. Узбекистан: Проект строительства 125 км электрифицированной линии

photo: anglo-list.com

come as part of an investment program of state railroad monopoly Russian Railways. Another 110 billion rubles ($3 billion), he said, would come as a direct investment of government funds, while about 150 billion rubles ($4 billion) would be provided by the oil-revenuesupported National Welfare Fund.

Moldovan Railway joins Viking project Moldova: Moldovan Railway has joined container transport project Viking Train, a route which crosses Ukraine, Belarus, Lithuania, and makes connection Ангрен-Пап, которая будет соединять запад и восток Узбекистана, был запущен в конце июля. В мире: Израиль представит в ближайшее время мастер-план строительства железнодорожной сети, которая будет пересекать Западный берег, связывая палестинские населенные пункты и еврейские колонии. Россия: Российское государство проинвестирует 562 млрд. рублей (17 млрд. долларов США) в модернизацию двух железнодорожных линий, пересекающих Сибирь и Дальний Восток. Об этом объявил министр транспорта РФ, Максим Соколов.

August 2013 | www.railwaypro.com

12 news

international: The Brazilian highspeed rail project will be formally opened for tendering in September. The total project budget is approximately EUR 13.4 Billion, and the income is expected to be 2 times higher than the investment amount.

between the network of containers transportation lines of the Baltic Region, Black, Mediterranean and Caspian Seas.

Starting with 23 July, Moldova will be included in this transports system as well, via Ocnita, Balti, Ungheni in the north and the Giurgiulesti port in the south. “Transport costs will drop and thus freight flows will be attracted”, declared Transport Minister Vasile Botnari. In 2002, the railway companies in Ukraine, Belarus and Lithuania signed an agreement on the organisation of operational and organisational aspects for railway transport between the three countries and the Viking projects resulted after a year. Ten years after launching the Viking Train freight transport service, the volume of carried freight increased 100 times to 58.9 TEUs and the success of this service is proved not only by the continuous transport growth but also by the interest of member companies in expanding the geographical area of the service.

However, the government prohibits any operator which experienced accidents for the past five years from bidding for the project.

As two years ago, China experienced a train derailment accident, China High Speed Rail Corporation is therefore not a potential winner and nor is RENFE, because of the recent derailment.

caused severe criticism by the initiator of the project, the mayor of Tbilisi, Giorgi Ugulava. According to him, the interest of the whole capital is sacrificed for the interest of one company. „The implementation of a rail bypass project would pave the way for the urban development of Tbilisi. I want to ask the government to come to the negotiation table and discuss the situation when on one side of the scale there is the city and its interests and on the other, the interests of one company,” Ugulava noted.

Georgia: The Government plans to suspend the construction of rail bypass in Tbilisi for as long as there is no a final decision on a plan to move the railway from the centre of Tbilisi, Georgia’s Minister of Economy and vice-Premier George Kvirikashvili said. The project which began to be implemented in 2010, envisages moving the railway from the centre of Tbilisi to its southern area. It is planned that a new railway will pass at a 10 kilometres distance from the current line. According to the project, over 70 hectares of land will be freed in the city centre for urban development projects.

“The final decision hasn’t been officially made. We believe that we will suspend this project for a certain period and if a better decision is made, we will return to it,” Kvirikashvili said. This decision www.railwaypro.com | August 2013

Russia: Summa Group is looking for a customer for its TransContainer stock, the PRIME reports. The package is believed to be 24 – 25%. OAO RZD President Vladimir Yakunin told journalists that he “also heard” this information. “As nobody approached me I cannot say “yes” or “no”, Mr. Yakunin said. ”If they offer – we will consider that. If the price is reasonable, we will discuss this”.

OAO RZD owns 50% plus one share in TransContainer.

Croatia approves new credits for railway state-owned companies Croatia: The Government approved the contracting of a credit worth HRK 250 Million (EUR 33.2 Million) by the railway passenger transport operator HZ Putnicki Prijevoz. The loan will be accessed by Croatian banks Privredna Banka and Hrvatska Postanska Banka.

In turn, infrastructure manager HZ Infrastruktura received the approval of the government on contracting a loan of HRK 650 Million (EUR 86,3 Million) from Erste&Steiermaerkische Bank.

Djuro Djakovic wins HZ Infrastruktura contract

Georgian government to suspend Tbilisi railway bypass project

Summa Group to sell stock in TransContainer

Croatia: A consortium led by Croatia’s Djuro Djakovic Holding has won a 17.1 million kuna ($3.0 million/2.3 million euro) contract on a railway project from state-owned railway infrastructure operator HZ Infrastruktura. Under the contract, the consortium of Djuro Djakovic and Czech contruction company Subterra will perform works on the construction of the railway station Buzin and will replace the Vrbovsko railway bridge on the Zagreb-Rijeka route, Djuro Djakovic said in a statement issued after the signing ceremony.

В мире: Проект по внедрению высокоскоростной линии Рио-деЖанейро - Сан-Паулу будет выставлен на тендер в сентябре. Общий бюджет проекта составляет около 13,4 млрд. евро, а ожидаемый доход в два раза превышает размер инвестиций. Республика Молдова: Железные дороги Молдовы присоединились к проекту контейнерных перевозок - Viking Train.

photo: trcont.ru

Brazil to soon tender the development of the HSL

Bids invited for Polish regional trains Poland: Two Polish operators have invited bids for contracts worth a total of Zlotys 451m ($US 142m) to supply new regional trains. Masovian Railways (KM) has issued an invitation to tender for two electric locomotives and 22 double-deck coaches, including two driving trailers.

The contract includes maintenance and staff training, and the deadline for submission of offers is August 29. Bids will be scored 70% on price, 15% on the delivery date, 10% on reliability, and 5% on technical parameters. The total value of the contract is expected to be Zlotys 270m. Lower Silesian Railways (KD) announced a tender on August 2 for a contract worth around Zlotys 181m to supply six three-car and five four-car emus for regional services. The order is being co-financed through the European Union’s Regional Operational Programme for Lower Silesia and the Operational Programme for Infrastructure and the Environment. The closing date for bids is September 12. Маршрут пересекает Украину, Белоруссию и Литву и осуществляет связь между сетями контейнерных перевозок в регионе Балтийского моря, Черного моря, Средиземного и Каспийского морей.

Хорватия: Консорциум во главе с хорватским холдингом Djuro Djakovic выиграл контракт на 17,1 млн. кун (2,3 млн. евро) от хорватского администратора инфраструктуры HZ Инфраструктура.

14 news

romania: On 20 July, the municipality of Arad announced the completion of the first part of the tender organised for the acquisition of six new trams. Pojazdy Szynowe PESA from Poland and SC Astra Vagoane Călători SA in Arad are the two manufacturing companies shortlisted out of the five companies that have initially bought the tender books. A meeting for clarifications is scheduled for 13 August 2013.

The budget for the acquisition of new trams is EUR 8.7 Million. Six modern and energyefficient units will be bought. They will have an exploitation cycle of minimum 30 years and 600,000 kilometres.

Also, the evaluation commission has provided for the two companies the lists including all technical aspects, for which additional data are demanded, the documents

France: CDC and Veolia postpone final Transdev agreement international: The French House of Deposits and Consignments (CDC) and Veolia Environment, the stakeholders of Transdev, announced the extension of the preliminary agreement signed in October 2012 until 31 October 2013. The agreement refers to the evolution of the shareholding in the public transport company. So far, the two stakeholders have not reached a final agreement.

CDC and Veolia Environnement announced last October the initiation of talks on a final agreement concerning the turn of CDC into a majority stakeholder in Transdev, with 60% of shares, and the reduction of the stake held by Veolia Environnement to 40%.

Baku Metro implements projects to permit the application of the driverless concept

photo: www.today.az

Azerbaijan: The Avtovagzal station of the Baku subway will have a special glass barrier along the path to separate the moving trains from the platform, the Baku Metro said on its website.

According to the Baku Metro, doors of the platform barrier will transform the station into a closed station to ensure high-level safety for passengers.

This will improve the microclimate conditions on the platform, ventilation and air conditioning, minimize the noise made

www.railwaypro.com | August 2013

being established with the support of the external consultant, the consortium IC Consulenten Ziviltechniker GmbH - Technoma Consulting/Marketing GmbH (Austria) and approved by the acquisition department of the European Bank for Reconstruction and Development (EBRD).

During phase two, the two companies will be invited to submit the improved technical offers and the financial offers.

photo: Club Feroviar

Arad: two bidders shortlisted in the tram tender

by subway carriages, and remove the air pressure from the tunnels. It will also allow ensuring driverless movement of trains in the future.

The Avtovagzal station is planned to be commissioned in 2014. It will be the first of the 12 subway stations of the planned “Purple” line, which starts from the international bus terminal complex and ends at the Garachukhur district.

Currently, Baku Metro system has a length of 34.6 km and by 2030 the authorities plan to extend the 119km network.

EBRD supplies assistance in financing urban transport projects Romania: The Government of Romania is determined to increase the rate of absorption of EU Structural Instruments including through leveraging international expertise from International Financial Institutions (IFIs). To this end, the Government has asked EBRD to provide assistance to the Government in policy and strategy formulation as well as with sector and project planning, design and implementation. Public transport has been identified as one of the strategic priorities needing EU co-financing.

In this context, EBRD envisages to employ Румыния: Мэрия города Арад объявила о завершении первой части тендера на приобретение шести новых трамваев. В мире: Французский Дом банковских депозитов и хранения (CDC) и Veolia Environnement, акционеры Transdev, объявили о продлении срока предварительного соглашения, подписанного в октябре 2012 года, на развитие акционерных средств товарищества в сфере общественного транспорта. Азербайджан: Станция «Автовокзал» Бакинской метрополитенной сети будет оснащена стеклянными барьерами для отделения поездов от платформы для пассажиров.

consultants funded by the Ministry of Regional Development and Public Administration under the EU Regional Operational Programme (ROP) to support the Ministry with the preparation of a strategic approach for financing and management of the urban public transport in connection with the EU programming period 2014-2020.

In line with the regionalization objective of Romania, the ROP focuses on the development of the capital city area (Bucharest and Ilfov county) and of seven larger cities designated as regional urban growth poles (Constanta, Craiova, Ploiesti, Iasi, Brasov, Cluj-Napoca and Timisoara). The programme is intended to fund integrated urban transport projects with an emphasis on sustainable, clean public transport systems and infrastructure.

As part of a separate Agreement, JASPERS and the EBRD will support the Ministry with the preparation of master plans for urban transport development in each of the seven cities and the Bucharest and Ilfov county area.

The consultant selected in the preparation of the necessary documents will have to work with EBRD, the Ministry of Development and the municipalities to develop a structure for the financing and management of the transport projects that are accepted for EU co-financing. A financing approach will consider a series of options of PPPs and the preparation of business plans for transport operators.

Next to these elements, the consultant will have to work with the Ministry of Finances and the specific city departments, to elaborate the parameters and the structure necessary to transport operators on the services on regional routes within a pilot project.

First phase of Makkah transport system ‘ready for 2017’ International: The first phase of a $16.5bn public transport system for Saudi Arabia’s holiest city Makkah will be completed in 2017, at a cost of SR25.5 bn ($6.8bn), according to Mayor Osama AlУкраина: «Метровагонмаш» подписал соглашение с Киевским метрополитеном на поставку 40 вагонов метро. Румыния: В соответствии с целью регионализации, Региональная операционная программа фокусируется на развитии района столицы - Бухарест - и 7 крупных городов, которые объявлены городскими полюсами роста. В мире: Первый этап смелого проекта по созданию системы общественного транспорта в городе Саудовской Аравии Мекка - будет завершен в 2017 году. В мире: Гамбургские городские власти подтвердили, что S-Bahn Hamburg GmbH добился продления текущего 15-летнего контракта на управление сетью S-Bahn.

news 15

DB Regio continues to manage S-Bahn in Hamburg International: The authorities in

Hamburg have confirmed that S-Bahn Hamburg GmbH, a subsidiary of DB Regio has secured a 15-year extension of its operating contract which was due to expire in December 2018.

The government also announced investments totalling EUR 450 Million in new and existing rolling stock as well as the refurbishment of depots.

Bombardier will supply 60 three-car EMUs for S-Bahn Hamburg. The order will be fully delivered by the end of 2018 and includes an option for 86 additional units.

Moreover, the existing rolling stock

European Commission finances 18 countries in the ‘Do the Right Mix’ campaign International: The European Commission has released the names of another 18 winning actions to be awarded funding.

Each action will receive up to EUR 7000.

This financial support will enable campaigners involved in a range of pursuits to expand their activities promoting sustainable urban mobility. In July 2012, the European Commission launched the Sustainable Urban Mobility campaign. Under the slogan ‘Do the Right Mix’, the campaign showcases and supports local, regional, and national promotional actions across Europe. The central aim is to encourage

will be equipped with a new passenger information system. If DB Regio does not secure a further contract extension in 2033 it will transfer ownership of the EMUs to the winning bidder.

Metrovagonmash supplies metro trains for Kiev Ukraine: Metrovagonmash (subsidiary of Transmashholding) signed an agreement with Kiev Metro for the supply of 40 metro cars, the company announced without revealing the cost of the contract. By the end of the year, the manufacturer will have to deliver 8 five-car trains equipped with safety installation and a minimum

EU citizens to embrace multi-modality.

The 18 countries are Austria, Belgium, Czech Republic, Denmark, Finland, France, Hungary, Ireland, Liechtenstein, Lithuania, Netherlands, Norway, Poland, Portugal, Slovakia, Slovenia, Spain and Sweden.

photo: dotherightmix.eu

Bar.The network will cover the entire city, including four metro lines, 88 stations and a rapid bus service, to help make it easier to travel to and within the city, which is home the Islam’s Grand Mosque.

Construction would begin by the middle of next year and take three years, he said.

The network also will include underground lines in areas closest to the Grand Mosque, while further out suspension bridges will be used.

The project is being overseen by Makkah Railway Company, with French consultancy firm Systra and BW Engineers from Germany also being involved.

environmental impact.At present, 50% of the wagons used by Kiev Metro were manufactured by Metrovagonmash. В мире: ЕК объявила названия 18 государств, получающих финансирование на сумму более 7 тысяч евро за деятельность, направленную на содействие устойчивой мобильности. В мире: По словам председателя Торговой палаты Катара, решение о вовлечении местных компаний в проект национальных железных дорог и метро в Дохе будет поддерживать национальную экономику.

August 2013 | www.railwaypro.com

16 POLICIES & STRATEGIES

Key aspects of the railway sector can be optimized with the help of SHIFT2RAIL [ by Elena Ilie ]

The Rail Joint Technological Initiative – called SHIFT²RAIL – is a sector-wide initiative to develop European rail innovation and competitiveness on a large scale and thereby strengthen the European industry in global competition. The CEOs of the most important railway suppliers in Europe have committed in this unprecedented initiative to participate to the development of joint railway research programmes and to develop the railway systems of the future. Special attention will be paid to the methods for improving the capacity of attracting an increased traffic share, to increasing efficiency and sustainability and to building the safest vehicles with increased customer-orientation.

T

he European Commission launched, order to increase research and innovation ogy Initiative, SHIFT2RAIL, will allow adon June 28, a stakeholders’ consul- for more competitiveness in the European dressing – through technology innovation tation on a proposal for an EU co- railway sector.

– a significant part of the future transport ordinated approach to Research & InnovaSHIFT2RAIL will develop and imple- societal challenges. This will allow for a mations in the rail sector under Horizon 2020 ment a new way of addressing the chal- jor industrial effort, involving virtually all of in support to the completion of the Single lenges for innovation in railway technology. Europe’s rail industry suppliers, including European Railway Area.

Two key objectives have been identified by innovative small and medium enterprises Background studies have shown that Re- the initiative, the first one is increasing ca- to accelerate the development of new techsearch & Innovation in the rail sector is cur- pacity so as to enable rail to absorb a greater nologies and bring them to the market. rently carried out in a fragmented manner share of traffic growth and the second is to Joining forces to meet the challenges with fragmentation lines. In order to create attract business and improve the efficiency ahead for the European rail sector, the Presa Single European Railway Area, coordina- of the rail transportation mode as a whole. idents and CEOs of the largest European tion is necessary not only in the infrastrucThe initiative will contribute to an increase rail suppliers companies Alstom Transport, ture management, but also for freight and in the overall efficiency of the rail transport AnsaldoBreda, Ansaldo STS, Balfour Beatty passenger transport operation and within system, satisfy transport user’s needs, and Rail, Bombardier Transportation, CAF, the railway industry, the delivery of compo- at the same time help foster the competi- Faiveley Transport, Invensys Rail, Knorrnents and rolling stock. tiveness of the European manufacturing Bremse, Thales Group and Siemens MobilThe Association of the European Rail industry, through the implementation of ity signed a Declaration of Intent on 1 July Industry (UNIFE) has launched the Rail technological innovation. . A dedicated 2011 to launch a Joint Technology Initiative Joint Technology Initiativerates SHIFT2RAIL overall budget isin estimated at around EUR ( JTI). for The agreement signed projects paves the way and relative growth were strongest the market volumes integrated within the Horizon 2020 Programme, the 1 Billion over a six to seven year period. for a step change into railway research and firstcontrol, such initiative the railway industry in 2: The creation of a new rail Joint Technol- industry driven innovation. asin shown in figure Growth in total annual market volumes and comparison of product segments MARKET VOLUME P.A. [EUR M]

COMPOSITION OF DELTA [EUR M]

CAGR: 3.4% 136,268

145,809

CAGR 10-12 [%]

+5.6

+3.1

+1.9

6.8

+9,541

8.7

+3.4

106

9,541

Integrated projects

Total delta

1,485 2,005

3,095

Total 2007-09 Total 2009-11

Infrastructure

2,849

ROS

Services

Rail control

Source: UNIFE’s World Rail Market Study 2012

Figure 2: Growth in total annual market volumes and comparison of product segments

www.railwaypro.com | August 2013

1)

ra

The growth markets of the recent past – essentially, countries in the Asia and Pacific region POLICIES STRATEGIES this 17 – will continue to play a strong role. Rapid growth in the past has firmly&established region as a main pillar of the global rail supply market.

Future development in the global rail supply market [EUR m]

Regional market breakdown [EUR m] 145,809 4,745 10,275 17,636

5,725

169,930 7,116 9,114 12,041

29,229 45,608

40,822

46,991

41,839

2015-2017

Rest of Americas

CIS

Africa & Middle East

NAFTA

Eastern Europe

Asia & Pacific

Source: UNIFE’s World Rail Market Study 2012

2009 2011

19,832

24,766

2009-2011

Breakdown by market segments [EUR m]

Western Europe

2015 2017

CAGR1)

Total market volume Integrated projects Rail control

145,809

169,930

2.6%

687

817

2.9%

12,037

14,351

3.0%

Infrastructure

30,220

34,320

2.1%

Rolling stock Services

47,705

54,791

2.3%

55,158

65,651

2.9%

Rounding differences apply

Figure 3: Future development in the global rail supply market [EUR m]

1

The initiative thus created will be run by with the Industry to make the SHIFT²RAIL Future of Transport—in particular comthe manufacturing industry consortium Joint Undertaking a reality under Horizon pleting the Single European Railway Area members and is not exclusive to the sig- 2020”, pointed out Jean-Eric Paquet, Direc- (SERA); this strategy is still far from being as the advantages of rail transportation attain greater prominence natories However, of the Declaration of significance Intent. A tor atand DG MOVE. completely developed and the European significant of the programme ismore to be fast-growing The European rail sector is for a major Commission, by emerging publishing thetoo. legislative in part other countries, markets railprosupply are now Latin managed via partnerships between railway vider of jobs in Europe and beyond and is proposals which compose the Fourth RailAmerica (particularly Brazil), the Middle parts Africa are the stand-out regions on undertakings, infrastructure managers, recognised as a worldEast leader, and a position that of way Package is actually playing its final card academia and other stakeholders through was gained through the development of in- trying to consolidate the European railway thiscalls score, as shown in figure 4. high-technology solutions. The market in order to make it stronger to forcompetitive for proposal and tender. novative, “After more than 10 years of already SHIFT²RAIL initiative will focus on ef- eign and everyday fiercer competition. If inclose Research & Development coopera- ficiently developing for three in- cluded in the Horizon 2020 programme, the 2.7% solutions2.0% tion within EU projects, the European rail novation SHIFT2RAIL Initiative will definitely be a 2.0% targets that impact every segment 2.8%with a growing CIS capacity / supply industry in concert of the rail market: enhancing the real support for the Union’s objectives. number of operators and infrastructure userWestern demand ofEastern the European rail system, Europe Europe managers are now pushing consolidating the reliability/quality of servNAFTAfor a real step 8.1% change in rail Research and Development. ice of the European rail system and improvThey are calling on the European Institu- ing the life cycle/competitiveness of the Ключевые аспекты 1.9% tions to set up a multiannual public-private European rail system. железнодорожного research initiative, known as SHIFT²RAIL, SHIFT²RAIL will not only maintain and Asia & сектора могут быть 7.0% Pacific in the framework of the upcoming Horizon possibly improve the competitiveness of оптимизированы с 2020 Programme. As well as coping with EU industry against growing competition Africa & помощью SHIFT2RAIL growing demand, this initiative would result from Asia. The initiative, supported by Middle East in increased user satisfaction with Europe’s railway product suppliers, transport operaСовместная инициатива по railways, whilst at the same time reducing tors and railway institutions will overcome 2.6% Железнодорожной технологии, под Rest of their cost and augmenting the competitivesome of the present deficiencies of the EU названием SHIFT2RAIL, охватывает весь Americas ness of the European rail supply industry. rail market, namely: fragmentation of proWorld rail европейский сектор железных дорог, The latest developments on SHIFT²RAIL duction, low collaboration and partnership supply market особенно в плане крупномасштабных include the extension of the SHIFT²RAIL among the rail industry, different operating инноваций и конкурентоспособности и promoters’ circle, the finalisation of the tech- procedures among railway undertakings, укрепления европейской промышленности 2 nical preparatory by the signatories as rates low standardization, and low efficiency.

A Figure work 4: Regional growth in the rail supply market [CAGR 2015-2017 to 2009-2011] для соответствияcompared условиям конкуренции well as the growing interest and support for good example of EU-driven innovation that на международном уровне. Руководители the initiative throughout Europe and within brought great benefit to EU rail sector is the крупнейших европейских поставщиков железнодорожной техники занимаются the European Institutions”, declared Philippe ERTMS project.

The new UNIFE study therefore concludes that the rail supply market willинициативой continue to этой беспрецедентной Citroën, Director General of the Association The European rail industry is at a turning принять участие в разработке совместных of European Rail Industryrobust (UNIFE),demand in a re- point its history.

While European experience as ofmature regions such comas Western Europe and NAFTA are программ исследований и развития cent interview for Railway PRO. panies have built up a global presence, they железнодорожных систем будущего. flanked by to continued in the and Pacific region and further “We have to continue invest heavilyprogress in increasingly facematuring competition Asia from suppliОсобое внимание будет уделяться методам researchsupplemented and innovation to make sure that ers from other countries (for example Chiулучшения способности привлечения by additional emerging markets in Latin America and the Middle East. rail stays competitive against other forms na, Japan, South Korea). At the same time, большей доли трафика, повышения of transport” Siim Kallas, Vice-President of the EU’s transport sector faces considerable эффективности и устойчивости и развития the European Commission, said. challenges, as highlighted in the European безопасных транспортных средств с 1 Compound annual will growth 2015-2017 compared 2009-2011 высокой степенью ориентации на клиента.

“The European Commission workrateCommission’s 2011 WhitetoPaper on the 2 Percentage figures are average of a +/- 0.5 percentage point range August 2013 | www.railwaypro.com

18 POLICIES & STRATEGIES

The Eastern Partnership, a mobility-favourable policy [ by Elena Ilie ]

The main goal of the Eastern Partnership is to create the conditions to accelerate political association and deepen economic integration between the EU and the Eastern European partner countries: the Republic of Armenia, the Republic of Azerbaijan, the Republic of Belarus, Georgia, the Republic of Moldova and Ukraine. Last year, the European Commission initiated a project, more precisely a roadmap aimed at providing guidelines on the activity carried out in view of the next reunion of the members of the Eastern Partnership due to take place in autumn 2013.

T

he Roadmap will be accompanied by additional funding under the “more for more” principle. A new programme called EaPIC (the Eastern Partnership Integration and Cooperation) is being set up, with an indicative allocation of EUR 130 Million for 2012-13. This is in addition to the 2010-13 EU commitment to the Eastern European partners worth EUR 1.9 Billion.

The EU has signed protocols with the Republic of Moldova and Ukraine, which provide the legal basis for their participation in the EU programmes that are open to European Neighbourhood Policy (ENP) partners. The Republic of Moldova has been associated to the 7th EU Framework Programme for Research and Technological Development since January 2012.

The EU promises to facilitate partner countries’ participation in the work of EU agencies and the EU programmes which are open to them on the basis of the relevant Communication of the Commission. By the end of 2013, protocols allowing further Eastern Partnership countries to participate in EU programmes will have been negoti-

ated based on mutual agreement.

While transport sector reforms covering all transport modes have been started, they are far from complete. Most countries are gradually aligning with EU transport standards. A high level of transport safety, security and social standards is crucial for closer integration of the partner countries in the EU’s transport system.

The potential of rail transport could be further exploited through higher interoperability with the EU’s rail systems. The smooth travel of people and flow of goods between the EU and partner countries is challenged by bottlenecks in infrastructure. The EU and partner countries are cooperating on infrastructure planning to ensure connections between transport networks. Transport sector reforms should have ensured greater approximation to EU transport standards. The partner countries should be able to demonstrate improved track records in road safety, as well as concrete steps in improving rail interoperability with the EU. Transport links with the EU should have improved through better planning of networks and work on priority

infrastructure projects that help to connect the partner countries with the Trans-European transport network.

The EU has launched a range of flagship initiatives since the creation of the Eastern Partnership which are regularly discussed within the relevant multilateral Platform.

An assessment of them will be conducted during 2012-13 and the EU will reflect on possible new flagship initiatives in the run up to the next Eastern Partnership Summit, in the framework of programming for the 2014-2020 programming period to be implemented from 2014.

photo: Club Feroviar

Восточное партнёрство политика, направленная на обеспечение мобильности

www.railwaypro.com | August 2013

Основной целью Восточного партнерства является создание условий для ускорения политического партнерства и углубления экономической интеграции между ЕС и странамипартнерами Восточной Европы : Армения, Азербайджан, Беларусь, Грузия, Республика Молдова и Украина. Европейская комиссия в прошлом году инициировала проект, точнее дорожную карту для определения основных принципов работы с перспективы следующего заседания членов Восточного партнерства, которое пройдет осенью 2013 года. Основной целью Восточного партнерства является создание условий для ускорения политического партнерства и углубления экономической интеграции между ЕС и странами-партнерами Восточной Европы.

20 Market development

Integrated Transport & Logistics Company, a stimulus for increasing freight traffic and forming consolidated infrastructure [ by Pamela Luică ]

The development of the Customs Union and of the Common Economic Space (CES) between Russia, Kazakhstan and Belarus have determined the three countries to form the common transport and logistics operator, an initiative considered as attractiveness growth factor of Eurasia’s transit potential and a stimulus for railway companies to accelerate the introduction of a single approach in the freight transport system.

A

t the end of June, the railway com- tributions will be made either as shares or declared Vadim Morozov, Russian Railways panies in Russia, Belarus and Ka- equity in the rolling stock companies and First Vice President. zakhstan signed the agreement on terminals (TransContainer, KedentransAs regards the Russian side, “the authorthe set-up of the common transport and service, Kaztransservice etc.), including ized transferred capital is estimated at USD logistics company (Integrated Transport transport and logistics operators (such as 980 Million”, said RZD President Vladimir & Logistics Company-ITLC) that will RZD Logistics). Moreover, container trans- Yakunin. The project is encouraged by the provide container transport services in the port wagons, and the properties of freight members of the Russian Government who Common Economic Space. “The main ob- terminals necessary for railway activities said that they support the idea of the 50% jective in creating the common company could also be involved: Zabaykalsk (Rus- transfer (+2) shares from the capital of for transport and logistics in CES is to de- sia), Dostyk and Altynkol (Kazahstan) and TransContainer, to the common company. velop the transport corridor from Asia to Brest-Severny (Belarus).

Belarus and Kazakhstan will supply part of Europe via Kazakhstan, Russia and Belarus.

The properties transferred as payment the frontier terminals and the remainder The extension of container transport will for shares in ITLC will be paid according will be completed by cash. have a positive impact over the three coun- to the market price as established by an According to the business plan, the estitries”, declared Salman Babayev, RZD Vice- independent evaluator. The national rail- mated freight volume of ITLC will exceed President for Commercial Activity of RZD. way companies in the three countries will 4 million TEUs up to 2020, and additional At present, ITLC is one of the real projects receive additional revenues from using the incomes for national companies for the use in the business sector of CES and the only infrastructure and dividends from their of infrastructure will amount to USD 1.6 one to consolidate the infrastructure activ- activity within ITLC. The shareholders Billion. Moreover, the contribution to the ity. The set-up of the company will facilitate will manage the company based on parity GDP of the CES countries will amount to the formation of an infrastructure platform and ITLC will receive full support for its USD 11.3 Billion (up to 2020) by around to implement other large projects which charging and customs policies. It will also 5 Billion from Russia, 5.3 Billion by Kazahave a positive impact over the economy stimulate the implementation of univer- khstan and 1 Billion by Belarus. of the space, while investments in the new sal standards in the transport and logistics company will serve the transport invest- services, the transport technology and the ments of the member states of the Customs payment systems within the Common EcoОператор Единого Union and of the neighbouring countries. nomic Space. All these characteristics will As initially estimated, ITLC is set-up as a help increase the attractiveness of the serv- 13 экономического пространства joint-stock company and, after the govern- ices provided by freight operators and will Assessment of amounts of import customs duties ment gives its approval, social capital con- consolidate RZD’s position within ITCL”, - стимул для увеличения

in the Customs Union

Assessment of amounts of import customs duties in the Customs Union

Source: The Federal Customs Service of Russia, „Customs Union of the Republic of Belarus, Republic of Kazakhstan and Russian Federation” (2012)

www.railwaypro.com | August 2013

объема грузовых перевозок и создания консолидированной инфраструктуры

В конце июня, железнодорожные компаний России, Белоруссии и Казахстана подписали соглашение о создании общей транспортнологистической компании (Integrated Transport & Logistics Company-ITLC), которая будет предоставлять услуги доставки контейнерных грузов на территории Единого экономического пространства. Создание компании будет способствовать формированию платформы для инфраструктуры, в целях реализации других крупных проектов, которые оказывают положительное влияние на экономику пространства, в то время, как инвестиции в новую компанию будут отвечать транспортным потребностям государств-членов Таможенного союза и соседних стран.

22 products & technologies

After many delays and controversies Calafat-Vidin Bridge has been inaugurated [ by Elena Ilie ]

Calafat-Vidin Bridge, inaugurated on middle of July, is the second bridge between Romania and Bulgaria, after Giurgiu-Ruse Bridge. The new bridge linking Calafat (Romania) and Vidin (Bulgaria) also benefits from railway crossing, being a part of the pan-European Corridor IV. Considering the acute lack of fast crossings across the Danube, the construction of the Vidin-Calafat Bridge mainly aimed at facilitating the combined road and railway transport on the southern branch of the panEuropean Corridor IV, located on the Dresden – Prague – Vienna – Budapest – Arad – Craiova – Sofia – Thessaloniki – Istanbul axis, as well as at the faster interconnection of transport axes in the South-Eastern Europe to great European transport corridors.

W

The construction of this bridge creates favourable conditions for promoting the combined transport by applying the environment-friendly river-road-rail logistical solutions.

Calafat-Vidin Bridge will facilitate the development of the long-distance traffic and trade between South-Eastern Europe, Turkey and Central Europe. In 2012, EU exports to Turkey reached a total of EUR 75 Billion, while the EU states imported from this country merchandise worth of over EUR 47 Billion.

Before the construction of this bridge, regular journeys were performed by ferryboat between Vidin, Bulgaria, and Calafat, Romania. However, this service could not meet transport needs between Bulgaria, Romania and the countries located on this route.

One of the main objectives of this project consisted of the reestablishment of the cross-border railway connection between Bulgaria and Romania. The specialists in the

Photo: FCC Construccion

e cannot neglect the regional role of the bridge, namely that of connecting south-western Romania to north-western Bulgaria, EU member states, through a modern and fast connection. The total cost for the new bridge with an approximate length of 2 km amounted to EUR 236 Million, the EU contribution reaching EUR 70 Million.

Out of the total amount, the Romanian state invested EUR 48 Million, among which we can also mention ISPA pre-accession funds.

Romania and Bulgaria signed the agreement for the construction of Calafat-Vidin Bridge in March 2000, but works have been delayed because of poor financing. Even if it was inaugurated two years later than the estimate date, namely in 2011, it is estimated that the new bridge across the Danube, intended for the road-railway traffic, will ensure a vital connection on a highly important route in the Trans-European Transport Network (TEN-T).

www.railwaypro.com | August 2013

field consider that the new bridge, which is only the second bridge built on this Danube sector common for the two countries, will also ensure a better integration of the Bulgarian road and railway transport networks into the pan-European transport networks – connecting Germany to Greece and Turkey.

For the moment, no railway traffic is performed on the new bridge. One of the reasons would be that after crossing from Bulgaria in Romania, the electric trains become useless since the section between Calafat and Craiova is not yet electrified.

Subsequently, the transporters have to replace electric trains by diesel trains, which increases the price of transport services.

The railway track on the Calafat-Craiova section, a part of the pan-European Corridor IV- southern branch, is not yet electrified but will be in 2020, when the first phase of rehabilitation and electrification works is estimated to be completed. At present, the feasibility study for this first phase is being completed. The estimated value of the works for the first phase amounts to EUR 500 Million. In the second phase to be carried out after 2020, works are foreseen for the purpose of doubling the railway line on the mentioned sector. According to the estimates provided in the Financing Memorandum of the project, the bridge should be crossed by 8,400 vehicles and 30 trains a day by 2030.

The Bulgarian authorities have expressed several times the wish to build another two bridges across the Danube, one between Bechet and Oreahovo and another one between Silistra and Călăraşi.

By the middle of June, on the 470-kilometer section of the Danube which represents the Bulgarian-Romanian border, a single bridge was operational between Ruse and Giurgiu. The latter could be closed in the future for rehabilitation works, but for the moment there is no official data to confirm it.

products & technologies 23

Another important objective to be initiated aims at rehabilitating the Danube bridges Cernavodă (with a length of 1.5 km) and Feteşti (970 meters), the one that crosses Borcea branch. The value of the investment was estimated to EUR 54 Million. The Government Decision related to this objective has been approved and at present the financing application is being prepared for the obtaining of European funds. The deadline for offer or participation application submission is the first part of September. In case the project will be executed under normal conditions, the two bridges would become operational in the second quarter of 2015.

The financing will be ensured from the European Cohesion Funds and from the state budget.

Commissioned in 1987, the two bridges of Cernavodă and Feteşti have overtaken the railway flow which was executed by then on the bridges inaugurated in 1895 and built by the engineer Anghel Saligny. However, with the passage of time, the degradation of Cernavodă and Feteşti bridges became more and more accentuated due to the lack of the funds necessary for maintenance, so that the running speed on the bridges is now limited to 15 km/hour.

True engineering jewels and at the same

time historical monuments, the Danube bridges inaugurated in 1895 by the engineer Anghel Saligny could be recommissioned once the modernisation works begin for their younger “sisters”, Cernavodă and Feteşti.

“Under the circumstances, in order to maintain normal conditions for the execution of the railway traffic, the old bridges (Anghel Saligny) shall be commissioned for the period of execution of works to the new bridges”, mentions the participation announcement issued by the National Railway Company, CFR SA, in the middle of July.

Even though it will take a while before we could see the Danube bridges completely re-

habilitated and operational, the intention to initiate their modernisation can only make us happy after many years during which these important bridges have suffered from the lack of funds for serious investments.

После многочисленных задержек и споров, мост Калафат Видин был открыт Мост Калафат - Видин, открытый в середине июня, является вторым мостом между Румынией и Болгарией после моста Джурджу - Русе. Новый мост, связывающий Калафат (Румыния) и Видин (Болгария), также содержит железнодорожное сообщение, являясь частью Общеевропейского транспортного коридора IV. Учитывая острую нехватку ускоренного пересечения через Дунай, основной целью строительства моста Видин-Калафат является содействие комбинированному транспорту на автомобиле и по железной дороге в южной части Общеевропейского транспортного коридора IV, расположенного на оси Дрезден - Прага - Вена - Будапешт - Арад - Крайова - София - Салоники - Стамбул, а также ускоренное соединение транспортных осей Юго-Восточной Европы с основными европейскими транспортными коридорами. Мы не можем, однако, пренебрегать региональной ролью моста. Он соединяет юго-запад Румынии и северо-запад Болгарии в современном и ускоренном режиме. Обе страны являются членами Европейского союза.

Photo: FCC Construccion

Newer bridges will be rehabilitated, old bridges will become operational again

24 Market development

Russia prepares maritime port infrastructure to respond to freight volume growth [ by Pamela Luică ]

In Russia, the total volume of merchandise is estimated to over 1 billion tonnes until 2030.

All the northern, north-western, southern and far-eastern ports, will register growth.

The authorities are about to approve the Port Infrastructure Development Strategy for 2030.

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he development of a competitive raise the port facilities to a necessary capacinfrastructure in the maritime ports ity, create a new selection scheme of the inand the provision of a complex of vestment projects and provide a impulse for port-related services, that respond to the higher standard service optimization. economic demands concerning transport Moreover, according to the Russian Railand trade, a modern strategic approach and way Institute (IERT), until 2030, the exterthe use of the best practices, are a few of the nal merchandise exchange transported by objectives of the new Russian Port Infra- the company to, and from Russia’s ports, structure Development Strategy for 2030. will grow 3.3 times in the western basin, 3 The Strategy was developed by “Rosmor- times in the southern basin and 3.8 times in port”, the federal company in charge with the far-eastern basin. port-related issues, being afterwards apAlso until 2030, the north-western basin proved by the Maritime Council (end of will become the main maritime gate for the 2012), and currently, it could be adopted hydrocarbon exports, Russian minerals and by the executive authorities. “The Strategy container-shipped goods. The document is to be approved and announced officially. states that the highest growth capacity will The growth of ports capacity represents the be provided through the development of main goal of the Strategy”, Igor Levit, the the north-western and far-eastern marigeneral director of FSUE “Rosmorport”, time ports, but also through the construcdeclared. tion of new ports and the development of In accordance with the Port Infrastruc- the infrastructure in the arctic sphere of the ture Development Strategy, that takes into Russian territory. As for the southern basin, account the economic tendency and the it will remain Russia’s biggest maritime projects of shippers, until 2030, the volume point for merchandise transfer; here are of merchandise within Russian ports is esti- planned to be transferred 95% of the bulk Cargo base forecast mated to rise to 1.3 billion tonnes, a fact that goods, 66% RO-RO and 41% of the general Will the demand for transhipment be satisfied? poses serious challenges for the federation, merchandise of the country. In accordance especially in terms of infrastructure. To re- with the prognosis regarding the container The total amount of cargo transshipment in the seaports of the Russian Federation spond to this necessity, the Strategy aims to traffic, the southern basin will give in the in 2030 under scenarios is estimated in volumes of 0.8 to 1.3 billion tons.

container-shipped goods to the other maritime regions, as for the level of the hydrocarbon exports, it will be comparable with the northern basin.

The far-eastern maritime ports will ensure the traffic of resources, represented by minerals, raw materials and wood, that will also be transported through the eastern-western corridor (dedicated to the containers). In this region, the main challenge remains the transfer capacity of the railways.

In 2030, the activity of the northern ports will be concentrated on the transfer of the hydrocarbon extracts (resources from the arctic territory), as well as wood and mineral resources from the northern part of Russia. Here, the main challenge was represented by the development of the necessary infrastructure in the arctic regions.

Therefore, all the investment projects must be harmonized with the common issues regarding port infrastructure development, as the financing models used for their implementation imply different investment schemes: state-financing, the non-budgetary financing (including the fixed-assets of private investors), credit-financing, or financing through joint companies.

In the conservative inertial input of capacities as a wholeof willthe cover cargo base, The totaldevelopment amount ofscenario cargo the transshipment in the seaports however consideration separate cargo in section of separate basinsisisestimated important.

Russian by Federation in 2030 under scenarios

in volumes of 0.8 to 1.3 billion tons.

1400 1200

Inertia trend of capacities commissioning

1000

Forecast for capacities commissioning in accordance with the Federal T ask Program “Development of the transport system of Russia (in 2010 - 2015)

800 600 400

Actual volumes of sea ports turnover, Morcenter-TEK Ɏɚɤɬɢɱɟɫɤɢɟ ɨɛɴɟɦɵ ɝɪɭɡɨɨɛɨɪɨɬɚ ɦɨɪɫɤɢɯ ɩɨɪɬɨɜ, Ɇɨɪɰɟɧɬɪ – ɌɗɄ Mid-Optimistic scenario, Strategy forecast

ɍɦɟɪɟɧɧɨ - ɨɩɬɢɦɢɫɬɢɱɟɫɤɢɣ ɫɰɟɧɚɪɢɣ, ɩɪɨɝɧɨɡ ɋɬɪɚɬɟɝɢɢ Conservative scenario, Strategy forecast

Ʉɨɧɫɟɪɜ ɚɬɢɜɧɵɣ ɫɰɟɧɚɪɢɣ, ɩɪɨɝɧɨɡ ɋɬɪɚɬɟɝɢɢ Turnover forecast for the sea ports of Russia under innovative variant, Transport strategy 2030, FTP “Development of the transport system of Russia (2010-2015)

ɉɪɨɝɧɨɡ ɝɪɭ ɡɨɨɛɨɪɨɬɚ ɦɨɪɫɤɢɯ ɩɨɪɬɨɜ Ɋɨɫɫɢɢ ɩɨ ɢɧɧɨɜɚɰɢɨɧɧɨɦɭ ɜɚɪɢɚɧɬɭ, Ɍɪɚɧɫɩɨɪɬɧɚɹ ɫɬɪɚɬɟɝɢɹ 2030, Ɏɐɉ "Ɋɚɡɜɢɬɢɟ ɬɪɚɧɫɩɨɪɬɧɨɣ ɫɢɫɬɟɦɵ Ɋɨɫɫɢɢ (2010-2015 ɝɨɞɵ)", ɩɨɞɩɪɨɝɪɚɦɦɚ "Ɇɨɪɫɤɨɣ ɬɪɚɧɫɩɨɪɬ" Actual capacity of the transfer complexes in the sea ports of Russia, ANH evaluation acc. to the data of the press-service of the Ministry of Transports

Ɏɚɤɬɢɱɟɫɤɚɹ ɦɨɳɧɨɫɬɶ ɩɟɪɟɝɪɭɡɨɱɧɵɯ ɤɨɦɩɥɟɤɫɨɜ ɜ ɦɨɪɫɤɢɯ ɩɨɪɬɚɯ Ɋɨɫɫɢɢ, ɨɰɟɧɤɚ Ⱥɇɏ ɩɨ ɞɚɧɧɵɦ ɩɪɟɫɫ-ɫɥɭɠɛɵ Ɇɢɧɬɪɚɧɫɚ Ɋɨɫɫɢɢ Forecast capacities of theɦɨɪɫɤɢɯ sea portsɩɨɪɬɨɜ of Russia, FTP “Development of theɬɪɚɧɫɩɨɪɬɧɨɣ Russian transport system Ɋɨɫɫɢɢ of Russia(2010-2015 (2010-2015)ɝɨɞɵ)" (ɞɨ ɤɨɪɪɟɤɬɢɪɨɜɤɢ) ɉɪɨɝɧɨɡɧɵɟ ɦɨɳɧɨɫɬɢ Ɋɨɫɫɢɢ, Ɏɐɉ "Ɋɚɡɜɢɬɢɟ ɫɢɫɬɟɦɵ

Source: FSUE «Rosmorport», Port infrastructure development in Russia, 2011

www.railwaypro.com | August 2013

2030

2025

2020

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

mln. tons

200 0

Россия готовит свою портовую инфраструктуру для удовлетворения спроса, связанного с растущими объемами

Согласно Стратегии развития портовой инфраструктуры на 2030 год, которая учитывает экономические тенденции и проекты грузовых перевозчиков, грузооборот портов России, по оценкам, увеличится на 1,3 млрд. тонн к 2030 году, что представляет реальный вызов для страны, особенно в плане инфраструктуры. Для того, чтобы удовлетворить эту потребность, стратегия направлена на повышение пропускной способности портов необходимыми средствами, на разработку новой схемы отбора инвестиционных проектов и на 6 оптимизацию услуг и их приведение к более высоким стандартам.

Points for Safety

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www.vossloh-cogifer.com

26 Market development

Ukraine: The new port strategy enables the investment attraction of EUR 2.5 Billion

[ by Pamela Luică ]

Through its Black Sea opening, Ukraine benefits from its ports, the most important ones being Odessa, Illichivsk and Yuzhny, located in the North-Western part of the Sea, as well as the Mariuipol Port (Azov Sea). Thesefour ports serve about 70% of the total volume of goods handled in the Ukrainian ports. In order to encourage the development of the transport sector, in July, the Ukrainian Government adopted the “SeaPorts Development Strategy until 2038”, a document that aims to significantly raise the volume of goods, develop the infrastructure and attract a big number of investors.

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or the implementation of the “Law pact on the environment. on SeaPorts”, the Ukrainian Ministry “The maritime industry needs a radical of Infrastructure elaborated the “Sea- modernization and introduction of new Ports Development Strategy until 2038”, a technologies. We are waiting for investors document approved by the Government in who will involve in industry, who will bring July 2013. The document aims to establish a new approach in project implementation, the main guidelines regarding the port and a fact that will allow us to maintain the port industry development for the next 25 years, competitiveness as global logistics hubs, and moreover, the programme is based on a within the international transport corridors. new approach for the identification of each The industry development needs masport’s specialization, the development of sive investments that can be assured only ports infrastructure and activity. For the first through PPP, with strategic investors that time, the Programme establishes the plan- already operate the Ukrainian ports. Meanning of short term projects (over 5 years), while, the government will continue to demedium term projects (over 10 years) and velop the legal frameworks and will provide long term projects (over 25 years), that will the stability of the specific business sphere”, be implemented according to the terminal Aleksandr Vilkul, the Deputy Prime-Minisdevelopment projects and also, according ter of Ukraine declared. to the projects developed by the companies A new method launched by this strategy whose raw materials and goods assure the implies the definition of each port’s specialiimport-export operations and are handled zation and its development on the named in ports. segment, a fact that will sustain the investThe main directions and goals are based ment projects, through which the lessee will on 6 criteria, among which states the com- assure the quality of the development grade petitiveness growth, the provision of an ad- and the increase of competitiveness, taking equate maintenance, the efficient manage- into account the port benefits. The specialiment and the use of strategic assets of port zation of ports will be determined through infrastructure, the attraction of long-term different criteria that rely upon the types of private investments aimed to develop the handled goods, the territorial proximity in port infrastructure, the creation of a fruit- comparison with the delivered raw materiful background for economic activities and als, production capacities, the existing infraequal access to services, the provision of structure and the availability of the areas that safety regarding the port activities and infra- are considered for development. structure, the reduction of the negative im“The Maritime Port Authority will coorFactors Determining Private Port Investments Factors Determining Private Port Investments Market Environment Demand for Services Competition

Planning Certainty Political Stability Laws and Regulations

Resource Availability & Cost Private Port Investments

Capital Manpower Land Area

Revenues Improved by new Port Law

Regulation of Tariffs Development of Prices

Source: Ukrainian Port Reform – Changes faced by a Terminal Operator – © HPC Hamburg Port Consulting GmbH, Klaus Schmöcker, President HPC Ukraine, 2013

Ukrainian Port Reform – Changes faced by a Terminal Operator – © HPC Hamburg Port Consulting GmbH

www.railwaypro.com | August 2013

13

dinate the development of each port individually, meantime, the port administration must enrol as a guarantor of investors equal access to port infrastructure”, declared Yuriy Vaskov, Head of Ukrainian Sea Ports Authority,he new state company recently established in conformity with the Law on Sea Ports- declared.On long term, the strategy will determine the growth of goods volume to 210 million tonnes per year, the attraction of foreign investments in order to develop the infrastructure, estimated to UAH 26 Billion (EUR 2.45 Million), the optimization of processing capacity to no less than 250 million tonnes per year, the assurance of an efficient infrastructure development and the growth of port efficiency to 80 %.

According to the press, the main risks, mentioned in the document, state in the growth of external competition (Romanian, Bulgarian, Turkish and Baltic ports), the re-directing of goods to other types of transport and the decrease of the demand for the Ukrainian exporters’ products.

The Strategy will be implemented by the investors, through bank credits, by the companies involved in this specific domain-related activity, Maritime Port Authority, the railway companies and railway operators, as the Strategy’s concept is based on transport industry development, as part of a sole Ukrainian logistics centre, as mentioned by Volodymyr Kozak, the Ministry of Infrastructure.

Украина: Новая стратегия портов способствует привлечению инвестиций на сумму 2,5 млрд. евро Для поощрения развития транспортного сектора, в июле месяце украинское правительство приняло «Стратегию развития портов до 2038 года». Документ предлагает значительное увеличение объема грузов, развитие инфраструктуры и привлечение большего числа инвесторов. Данный документ определяет руководящие направления по развитию порта и промышленности на ближайшие 25 лет. Программа основана на новом подходе к определению специализации каждого порта.

POLICIES & STRATEGIES

27

Interoperability, still a “hot” topic [ by Elena Ilie ]

According to the European Commission, at the moment, there are over 11,000 national technical and security norms in the European Union. The European Railway Agency (ERA) currently has a regulatory responsibility being tasked with drafting the minimum interoperability standards in order to reduce this multitude of national norms and to permit the safe and seamless traffic of trains. The European Union has to contribute to creating and developing the Trans-European transport networks. In order to meet these objectives, the Union has to take all necessary measures to ensure the interoperability of networks especially in the harmonisation of technical standards. The pursuit of interoperability within the Union’s rail system should lead to the definition of an optimal level of technical harmonisation and make it possible to facilitate, improve and develop international rail transport services within the Union and with third countries and contribute to the progressive creation of the internal market in equipment and services for the construction, renewal, upgrading and operation of the rail system within the Union.

I

n order to continue efforts to establish a single market for rail transport services, it is necessary to establish a common regulatory framework for railway safety. Member States have until now developed their safety rules and standards mainly on national lines, based on national technical and operational concepts. Simultaneously, differences in principles, approach and culture have made it difficult to break through the technical barriers and establish international transport operations.

The simplification of procedures and technical harmonisation are prerequisites for the creation of a single European railway area and opening up competition in the sector. Interoperability is also a sine qua non for improving cross-border rail transport, which is essential for the territorial cohe100%

sion of the European Union. The authorisation for placing vehicles in service is issued by each national safety authority (NSA) on its national territory. There are major differences in how these authorities conduct the vehicle authorisation and safety certification procedures, and the procedures are often long and expensive. Available figures show that the costs of authorisation procedures can be up to 10% of the cost of locomotives by country. If these are used in three member states, the total costs can reach around 30%.

“The railway environment in the European Union has been undergoing profound changes, triggered inter alia by the three Union Railway Packages adopted since the early 1990s. The gradual creation of the single European railway area is characterised by a

Passenger transport modal split

80%

60% Bus % Rail % Car % 40%

20%

Li th ua n Ic ia el U an ni N d te o d r Th w e Kin ay N g et do he m rla Sl nds ov en Po i a l Po and rt G uga er m l an Lu Fin y xe lan m d bo u Fr rg an I re ce la Sw nd ed en Sw I itz taly er la C nd yp r G us re ec La e tv i S a D pai en n m a Es rk to n Au i a s Be tria lg R ium om an C ze ia ch M R alta ep u Bu blic lg Sl aria ov a H kia un ga T u ry rk ey

0%

Source: http://epp.eurostat.ec.europa.eu

multiplication of actors, increased recourse to subcontractors and more frequent market entries. In this context of higher complexity, rail safety is critically dependent on the interaction between all players, namely railway undertakings, infrastructure managers, the railway industry and safety authorities. Safety legislation should take account of these developments and put in place appropriate information, management and emergency procedures and tools”, states a report of the Committee for Transport and Tourism within the European Parliament, published in June 2013.

Given the subsisting differences between safety requirements, which affect the optimal functioning of rail transport in the Union, it is of particular importance to continue the process of harmonising operational and safety rules as well as the rules on the investigation of accidents, the same report mentions.

Safety is critically dependent on the interaction between rail infrastructure, operations, manufacturers and safety authorities.

Thus, appropriate tools should be used and developed in order to ensure and develop safety.

The intensity of cooperation between manufacturers, maintenance suppliers and railway undertakings has decreased over past decades. Therefore, it is necessary to harmonise the minimum maintenance intervals and quality requirements to ensure the safety of the entire rail system.

The Commission proposal has been called “revolutionary”. The Commission does in fact wish to do away with the authorisation for placing in service, retaining only the notion of “placing on the market” and leaving the railway undertaking (RU) responsible for the placing in service and running of the train. The measure is, of course, beneficial August 2013 | www.railwaypro.com

28 POLICIES & STRATEGIES operators, entities responsible with the maintenance of rolling stock, suppliers of railway products and equipments and national railway safety authorities.

In order to solve partially if not totally the problems related to the authorisation of rolling stock, its placing in operation and implicitly interoperability, the responsible departments of the European Commission created since 2011 a Task Force bringing together all those concerned in order to analyse the problems encountered by the stakeholders during the authorisation process and identify areas for further improvement.

The Task Force identified three types of problems: the European rail legislation is not always properly applied, the European rail legislation is not always correctly understood and the EU rail legislation can be improved. Therefore, in addition to closer monitoring of the implementation of EU rail legislation and wider dissemination and training activities, a revision of the EU process for the placing in service of vehicles is needed. This issue is addressed by the Commission in its fourth package proposals. As the Commission says, the Fourth Package could set the grounds for real interoperability in the European railway network.

Source: europa.eu

Commission and the European Railway Agency.

The revision of the Railway Safety Directive is also an opportunity to adapt the text to take into account the evolution of the railway market where new professional actors or entities have been created. Extremely negative and unsought experiences from severe railway accidents show that these actors may assume important responsibilities in matter of safety. In the past, the vertically integrated railway undertakings were able to control internally the quality of all processes, such as the maintenance of rolling stock or loading operations. The present trend of outsourcing activities or services is leading to the emergence of new actors subject to increasing economic and financial pressure, while internal control is decreasing, as well as the overall quality of the railway market.

This may have consequences for safety, unless a new way of monitoring is established, through contractual or other arrangements, to ensure that risk control measures are duly implemented by all relevant players: infrastructure managers, railway transport

Взаимная совместимость - «горячая» тема на длительный период

Photo: http://creativity103.com

and will definitely increase railway safety and interoperability.

Another innovation is that the Commission wishes to give the Agency “operational” responsibility in addition to its “normative” responsibility: it would be the Agency that issued the “placing on the market authorisations” after collecting the certificates proving that the stock is in conformity.

According to the proposals for the recast of the Directive on railway safety, national rules, which are often based on national technical standards, are gradually being replaced by rules based on common standards, established by Common safety targets - CSTs, Common Safety Methods - CSMs and technical specifications for interoperability (TSIs). In order to eliminate the obstacles to interoperability, the amount of national rules should be reduced as a consequence of extending the scope of the TSIs to the whole Union’s rail system and of closing open points in the TSIs. For this purpose the Member States should keep their system of national rules updated, delete obsolete rules and thereof inform the

www.railwaypro.com | August 2013

По данным Европейской комиссии, в настоящее время Европейский союз насчитывает более 11. 000 технических регламентов и нормативов в сфере национальной безопасности. Европейское железнодорожное агентство (ERA) в настоящее время имеет нормативную ответственность с задачей составления минимальных стандартов для обеспечения взаимной совместимости в целях сокращения множества национальных правил и обеспечения безопасного и бесперебойного движения поездов. Европейский союз должен внести вклад в создание и развитие трансъевропейских сетей в транспортном секторе. Для достижения этих целей, Союз принимает все необходимые меры для обеспечения взаимодействия между сетями, особенно в области технического нормирования и стандартизации. Стремление к взаимодействию систем железнодорожного транспорта в рамках Союза должно привести к определению оптимального уровня технического согласования, способствующего поддерживанию, совершенствованию и развитию международных железнодорожных транспортных услуг в рамках Европейского Союза и с третьими странами. Данный факт также должен внести свой вклад в постепенное создание внутреннего рынка оборудования и услуг для активизации деятельности, модернизации и эксплуатации железнодорожной системы в рамках Союза.

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30

31

32 Market development

International Energy Agency supports public transport projects [ by Pamela Luică ]

Urbanisation continues to expand worldwide and the higher mobility demand affects the quality of life and the use of energy in the cities. In this context, urban transport systems will play a vital role in supporting economic development and in significantly reducing emissions. Globally, there are hundreds of cities that adopted measures for reducing motorised transport and for promoting sustainable mobility. These measures have resulted in the optimisation of transport efficiency and of passenger mobility, have reduced congestion and have improved air quality.

www.railwaypro.com | August 2013

Figure

1

Expected urban private motorised travel (in passenger kilometres)

Expected urban private motorised travel (in passenger kilometres)

9

Trillions annual passenger kilometres

7.5

6 OECD North America OECD Europe OECD Pacific Russia China India Middle East Latin America Africa

4.5

3

1.5

0 2000

2005

2010

2015

2020

2025

2030

2035

2040

2045

2050

Source: unless Source: IEAotherwise indicated, figures and tables in this document are from IEA data and analysis.

economic impacts of rising urban transport volumes. Governments must think beyond individual technologies and electoral cycles, and consider how to build – and how to renew that will accommodate and Box 1 – cities Modelling urban transport transport nearly billion people by 2050.

– why6.3 technology is not enough We must plan infrastructure, logistics and The global urbannow population increasing rapidly, energy systems that ismake sense today withthe it, urban traveldecades,” demand is growing. andand over coming said IEA ExBetween 2000 andMaria 2010, the world’s ecutive Director van derurban Hoeven.

population increased by roughly 650 million people (UNDESA, and 2011), and the IEA estimatesthe that urban Policies financing, main passenger travel increased by nearly 3 trillion annual factors for building-up transport passenger kilometres during the same period.

markets

By 2050, an estimated 70% of the global

population (or 6.3 people) will live in in an Policies play anbillion important role buildurbanthe areatransport (UNDESA, 2011).

The IEA expects ing-up market and can that direct urban passenger mobility a businessthe global mobility decisions in under favour of the as-usual scenario will more than double by 2050 transport modes which are not energyand increase as much as ten-fold between 2010 efficient.

Subsidies for fuel, the prioritisaand 2050 in rapidly urbanising, fast-growing tionregions, of road infrastructure funds and desuch as Southeast Asia, South Asia and velopment stimulants can encourage the Middle East.

This growth means that global the markets favour of motorized transport. annualin urban transport energy consumption under The lack of information on travel options and the poor quality transport services have similar results.

In order to avoid failure in guiding transport markets, IEA recommends several policies which include policies on the demands (such as congestion and road tolls), regulatory policies (such as parking re-

strictions) and policies on offers/delivery (such as the extension of public transport infrastructure). Apart from these measures, the authorities have to eliminate the dedicated private motorised asubsidies business-as-usual scenario istoexpected to increase mobility (those forlevels fuel) and despite to set chargmore than 80% over 2010 by 2050, expected vehicle technology ing systems to reflectanda fuel-economy wide range of the improvements. external costs of vehicles and fuels. .

Financial constraints manifest themselves As cities grow, urban mobility and urban transport because high and upfront development and energy consumption emissions will become costs areannual often required aimplementation bigger challenge. The IEA expects global urban transport emissions to more thantravel doubledemand to for transport infrastructure, nearly 1 billion annual tonnes CO2 eq. by 2025, management tools (forofexample, congestion and 90% of growth in urbanefficiency transport emissions pricing) and energy programmes will come from private motorisedfor travel. (for example, subsidies alternative vehicle technologies).

These activities can also Vehicle and fuel technology improvements require long-term funding have a significant potential to reduce streams transport for opsector energyand emissions to 2050. However, thosethe right erations maintenance.

Finding improvements alone will not be therefore, enough to reach financing mechanism, is critical the Scenario (2DS)of objectives by 2050,1 transport to2°C the success implementing system improvements.

1. The 2°C Scenario (2DS), outlined in the IEA Energy Technology Transport projects been with financed Perspectives 2012, describes an energyhave system consistent an emissions trajectory recent climate science research through publicthatfunds coming either from indicates would give an 80% chance of limiting average global general specific revenues and temperature fees increaseor to 2from degrees Celsius. the public sector has sustained the financing and investment risks for the respective projects.

Moreover, financial banks13 and POLICY PATHWAY y A TALEthe OF RENEWED CITIES institutions have had a key role in the financing and development of the transport sector. “Historically, financing has mainly been granted to the projects for the construction

© IEA/OECD, 2013

F

reight and passenger traffic increases constantly, especially in emerging economies. As of 2000, it has recorded an average growth of 4% per year.

The global outcome was that the energy used in the transport system has increased by 30% in the past ten years which has also increased emissions by 2 billion tonnes/ year, 90% of this figure coming from individual motorized transport, shows the latest report of the International Energy Agency (IEA), “A Tale of Renewed Cities” (published in July 2013), a report supported by EBRD. The report analyses three case studies – Belgrade, Seoul and New York – and shows the way in which these cities have already improved their transport systems.

At the moment, the global transport sector represents half the oil consumption and around 20% of the energy consumption, 40% of which is used only in public transport.

According to the IEA estimates, “the energy used in public transport could double by 2050 despite the evolution of vehicle technologies and fuel consumption optimisation. It is necessary to implement an energy efficiency policy in order to reduce the level of noise, pollution, congestion and the negative environmental and economic impacts,”, the agency states.

The policies oriented towards the energyefficiency of urban transport systems could save around USD 70 Trillion by 2050 from costs with vehicles, fuels and transport infrastructure.

“As the share of the world’s population living in cities grows to nearly 70% by 2050 and energy consumption for transport in cities is expected to double, the need for efficient, affordable, safe and high-capacity transport solutions will become more acute. Urgent steps to improve the efficiency of urban transport systems are needed not only for energy security reasons, but also to mitigate the numerous negative climate, noise, air pollution, congestion and

to find solutions that respond to rising travel demand and its consequences for urban life and the urban economy. At a national level, energy

2

Market development

Global transport sector emissions under 6DS, 4DS and 2DS

Expected urban private motorised travel (in passenger kilometres)

16 4DS

14 12

GtCO2eq

10 8 6

tions with clear rules on the tendering and the selection process, the complete disclosure of conditions before the tendering process so as to facilitate negotiations, detailed agreements on the responsibilities and risks, explicit rules on cancellation or compensation, regulations for setting the prices in order to ensure the revenues while stimulating new participants.

6DS

2DS

Efficient vehicles

4

Low-carbon fuels 2

Shifts Avoid

0 2005 2000 Source: IEA Source: IEA, 2012b.

33

2009

2015

2020

2025

and maintenance of road infrastructure.

But as the countries and the banks have become aware of the need for long-term solutions that were much more efficient for the mobility demand, the financing has been increased with the purpose of developing the non-road transport, including transit and non-motorised networks”, the report says. Thus, the governments have also developed new financing sources for developing the transport sector including revenues from road infrastructure charges, congestion, fees for parking and charges for developer. Also, the governments have changed their financing instruments, such as interest growth (TIFPATHWAY bonds)y AsoTALE asOFtoRENEWED financeCITIES urban 14 POLICY development and transport projects.

2030

2035

2040

2045

2050

As answer to the pressure of public budgets and to the limiting of the capacity to collect public revenues, the authorities are Bothprivate developedsector and developing citiesinvestrequire heading to the for the solutions that respond to rising travel ments necessary to transport projects. demand and the consequences of The increasingly heavysector vehicle traffic participation of the private can be on urban transport efficiency. done through different types of agreements and PPPs, including PSC (public sector comparator) and BOT (build-operatetransfer) concepts.

The authorities can encourage private investments by implementing regulatory reforms in order to establish the transparency in the norms and regulations which govern transport infrastructure and the PPP structure. This transparency includes the establishment of competitive acquisi-

Международное энергетическое агентство поддерживает проекты в сфере общественного транспорта На мировом уровне степень урбанизации продолжает расти, а повышение мобильности влияет на качество жизни и использование энергетических ресурсов в городах. В связи с этим, городские транспортные системы будут играть решающую роль в поддержке экономического развития и значительного сокращения выбросов. Политика и финансирование являются важными факторами в формировании рынка транспортных услуг, и они могут направлять решения транспортной сферы в пользу тех или иных видов транспорта, которые являются энергоэффективными или нет. © IEA/OECD, 2013

Figure

sound movement of people and goods.

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34 products & technologies

Advanced technologies increase interoperability on the European railway networks

[ by Elena Ilie ]

There are over twenty different signalling and speed control systems for railway transport in Europe.

Although expensive, the locomotive on-board systems, fitted with current system selection devices which react to the ground-transmitted signals, are necessary for both safety and traffic management.

The large scale utilization of the GSM-R technology, part of ERTMS, a radio-communication system based on GSM-R standard (used for mobile phones), but using railway-specific frequencies In Europe, will increase the interoperability of European railways and will facilitate cross-border traffic.

W

e have discovered details about the importance of the GSM-R system and its role in ensuring interoperability and the well-operation of the railways from Mr. Dan Mandoc, Dan Mandoc, Senior Advisor & Project Manager within UIC, Chairman ERIG (EIRENE Radio Implementation Group) Railway PRO: Can you tell us what the most acute challenges that the majority of European countries are (still) facing in the implementation of the GSM-R communication system are?

Dan Mandoc: The GSM-R mobile communication system, part of the Single European Traffic Management System (ERTMS), offers voice applications (for the so-called Train Radio - voice communications between train drivers and traffic controllers) and data applications for ETCS, as well as for a series of specific applications. GSM-R is the railway radio system which mandatory has to be installed by the European railway infrastructure managers, for the moment on high-speed and conventional lines, interop-

www.railwaypro.com | August 2013

erable in Europe, according to CCS TSI. In my opinion, the potential questions – from the operators or from the infrastructure managers – if this solution is technically viable or not for Europe, have no sense. The GSM-R system operates perfectly.

Of course, this system implementation and functioning is confronted with a series of challenges.

Currently, one of the most critical challenges for the GSM-R is the interference with other communication systems. I am talking about the new 4G “digital dividend” technologies that were also introduced in Romania and which are currently being installed in frequency areas close to the GSM-R frequencies (800 and 900 MHz), as it is already the case in Sweden and soon in the Netherlands.

As they are very close to the GSM-R frequency bandwidth, these 4G technologies are causing interferences to GSM-R if the two communication systems are not properly and early engineered and coordinated, so that the two systems can coexist.

At the moment, UIC, as technical body,

ERA and the European Commission strongly cooperates, looking for viable solutions that will enable the coexistence of the two systems.

Members of the UIC Frequencies Management Group, together with GSM-R equipment manufacturers partners have identified a number of possible technical solutions, and have already developed a number of test campaigns last year and this year, on one hand to propose, based on the results, technical reference values (e.g. out of bad emission, noise level, etc.) needed to achieve the coexistence of the two systems and on the other hand, to validate these possible solutions.

If ETCS Level 2 is already in operation and the GSM-R radio-communication equipment installed on board of the train is interfered with, this will stop the train, and then restarting the traffic will heavy delays, hence much higher costs. The non-availability of the radio-communication system on board the train to operate can block issuing a Railway Emergency Call, which can lead to dangerous situations.

This issue - interferences to GSM-R - is wished to be rapidly solved; the European Commission - DG MOVE, considers it as a priority and works to find solutions as rapid and efficient as possible. UIC, together with the GSM-R Industry Group and other industrial partners, actively supports ERA and the European Commission (DG MOVE and DG Connect) and also with the support of CER, EIM as well as ECC/ CEPT and the GSM Operators Association (GSMA) are working together to eliminate rapidly and efficiently this hindrance, that of interferences.

Specific technical solutions will be relatively soon be acknowledged in Europe - we believe that they will be available in a relatively short period of time (maybe one year) - but they have to take several steps, including a standardization process, before being included in the European legislation.

It is important to mention one of the basic conditions for the validation of such solutions (which will likely encompass techni-

products & technologies 35

cal solutions both for the railway GSM-R operators as well as for the public operators as a set of reference values for coordination), is that these solutions have be to be ”Future Proof ”.

Railway PRO: Can you tell us what the current stage of GSM-R implementation in Europe is, what the GSM-R “coverage” percentage is on the European network?

Dan Mandoc: From the data we currently possess, from almost all infrastructure managers except from Serbia and Montenegro and Latvia and Estonia, among the Baltic States, of the 220,172 kilometres of railways in Europe, we have approximately 154,294 kilometres of railways scheduled to be covered with the GSM-R system. We can thus talk about a 69.6% scheduled to be covered with the GSM-R system of the whole European railway network that has been considered.

Currently, there are 70,211 kilometres of railways in Europe covered with GSM-R, which means less than half, but at the end of this year this figure will improve by at least 25%.

Railway PRO: To what extent the ERTMS can support performance improvement and freight transport efficiency?

Dan Mandoc: It is well known and un-

derstood that the railways don’t target the latest and most performing telecommunications systems in the world, the railways have to carry freight and passengers in maximum performance and safety conditions.

However, the railway telecommunications system is an increasingly important element which facilitates the development of transport operations much more efficiently, and therefore improving its performance - within reason - has become extremely important. When the train driver and the traffic controller or the On Board computer (EVC) and the Fixed Radio Block Center (RBC) dispose of all necessary data, about the condition of the train, of the locomotive, and line occupancy and capacity, then railway traffic can occur without problems, in maximum performance and reliability conditions. To this situation the benefits of an interoperable system in Europe are added.

Railway PRO: What are the advantages of the GSM-R and of the entire ERTMS system in ensuring the competitiveness of railway transport as compared to its competitors, especially road transport and short-distance air transport?

Dan Mandoc: ERTMS system has a series of advantages. First of all, it is a unique solution in Europe, neither trains nor infra-

structure have to be fitted with several signalling systems or several radio devices. The ERTMS is a very modern system which first of all protects the safety of railway transport.

It is a harmonised solution in Europe and, the fact that at European level the actors are currently discussing its Europe-wide scope extension by 2030 proves its importance.

It is also important to mention the economic benefit of the GSM-R and we can here refer to reducing maintenance costs and improving the life cycle of components.

Besides these advantages, GSM-R, which is actually a GSM system, can enable the implementation of a useful set of railway applications. An example - perhaps not the most relevant - such as using GSM-R/ GPRS in data transmission required for public information in train stations. The advantage of this solution is that no cables are needed between the central computer and these panels sending the data thus maintaining the system is reduced to the simple replacement of a module in case of malfunction.

The development and implementation of such applications - measure actively supported by UIC - is constantly growing in Europe.

As a final argument, GSM-R is used or is in the implementation stage outside Europe also - for example in China, Australia, India, Turkey and other countries.

I personally believe in this system: GSM-R is an efficient, trust-worthy and perfectly interoperable system.

Передовые технологии повышают степень совместимости европейских железнодорожных сетей В Европе существует более двадцати различных систем сигнализации и контроля скорости для железнодорожного транспорта. Несмотря на то, что они довольно дорогие, бортовые системы локомотивов, оснащенные датчиками, реагирующими на сигналы, передаваемые с земли, необходимы как для обеспечения безопасности, так и для управления дорожным движением. Широкомасштабное использование технологии GSM-R - системы радиосвязи на основе стандарта GSM (такой стандарт используется для мобильных телефонов), но с использованием различных частот для железных дорог, позволит повысить степень совместимости европейских железных дорог и облегчит трансграничное движение. Подробнее о важности системы GSM-R и её роли в обеспечении совместимости и надлежащего функционирования железных дорог рассказал нам в этом интервью господин Дан Мандок, Президент Группы European Radio Implementers Group (ERIG) и руководитель проекта - GSM-R & Railway telecom, в рамках Международного союза железных дорог (МСЖД).

August 2013 | www.railwaypro.com

36 WBSA GSM-R Facts & FIGURES

Wider Black Sea Area GSM-R deployment The overall European GSM-R railway network is 221.100 km and 159.966 km are planned to be covered by GSM-R (70%) December 2011 - appr. 85.000 km are constructed and 68.000 km of them are in commercial service including appr.

115.000 GSM-R handhelds, 40.000 cab radios, 2.000 EDOR’s and dispatch systems.

In Europe, from total railway network taken into account, which means 221.025 km, 150.650 are foreseen to be covered with GSM-R, which means 68, 16 %.

Taking as reference 1st of January 2010, 79.300 km of railway network are equipped with GSM-R, from which 65.800 Km are in operation, which means 43, 7% from the planned network.

For the mobile users part, from the approximate 260.000 users planned so far (for all European projects), 137.270 are reported to be activated, which means almost 32,9 % From this ones, 31916 Cab Radios and 1.331 EDORs are activated.

(Source for the above figures: ERIG)

Statistics show that Wider Black Sea Area (WBSA) countries are gradually installing GSM-R on some of their railway lines, many countries are also starting to embrace GSM-R as their train control system of choice. This is explained by the numerous benefits brought by GSM-R on top of interoperability.

In the following pages you can access practical data about GSM-R deployment in WBSA.

Kapsch Group

GSM-R Is Growing

Countries joining the GSM-R community Source: gsmrail.com

56 countries in 5 continents expected to select GSM-R until 2016

Belgium Finland Germany France Italy Norway Sweden Netherlands Slovakia UK Spain Switzerland

1998

2000

2002

Source: Kapsch Group - GSM for Railways

| GSM for Railways

www.railwaypro.com | August 2013

China India Saudi Arabia Czech Republic

2004

Algeria Turkey Austria Bulgaria Greece Lithuania

2006

Morocco Kazakhstan Croatia Estonia Australia Hungary Libya Luxembourg Tunisia Poland Denmark Romania “Eurotunnel “ Russia Portugal Slovenia

2008

2010

Argentina South Africa Iran Iraq Brazil Venezuela Korea Turkmenistan Egypt Uzbekistan Israel Bosnia-Herzegovina Ukraine Macedonia Belarus Moldavia Ireland Serbia Latvia

2012

2014

2016 |7

WBSA GSM-R Facts & FIGURES 37

Austria

Austria is currently in full implementation stage of the entire railway network with GSM-R communnication system. Thus, for GSM-R, roaming connections are currently possible with the following neighbouring countries: • Germany • Switzerland • Czech Republic • Italy • Netherlands

Source: OBB

Belarus

Belarusian Railways plans to deploy a GSM-R network.

Work is currently being carried out on a 157-km stretch connecting Minsk with the Lithuanian border.

The first stage will be completed in 2013.

Source: www.skyscrapercity.com

BULGARIA Bulgaria

• Sofia-Plovdiv railway line – 133 km • Plovdiv-Svilengrad 128 km Bulgaria - Planned GSM-R (step1) – 1.020 km

SOFIA

PLOVDIV SVILENGRAD

Red: actual project, with GSM-R component Black: the R network

Source: UIC - Atlas of ERTMS - May 2010

CHINA

August 2013 | www.railwaypro.com Yungang subline 34km

38 WBSA GSM-R Facts & FIGURES CRoatia

• Corridor X: Vinkovci - Tovarnik (state border) - Contracted

LENDAVA MURSKO SREDIŠûE

PRAGERSKO

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KRAPINA

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RAKITOVEC BUZET

PAZIN

KARLOVAC

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SUNJA

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CAPRAG

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RIPAý LOSKUN

ŠID ŽUPANJA DRENOVCI

MARTIN BROD

PETRINJA

MORAVICE

ŠKRLJEVO

BAKAR

SUNJA

TOPUSKO

OGULIN

KUTINA

BANOVA JARUGA

GLINA

NOVSKA

NOVA GRADIŠKA

GOLUBIû

BOSANSKI BROD

SL. ŠAMAC

TOVARNIK

STRIZ. VRPOLJE

ŠID

ŽUPANJA

BOSANSKI ŠAMAC

SARAJEVO

BOSANSKI NOVI

BEOGRAD

DRENOVCI

BRýKO

BANOVIûI

KULEN VAKUF

MARTIN BROD

GOSPIû

KNIN

VUKOVAR

PLETERNICA

SL. BROD

NOVA KAPELA

JŽ

BOROVO

VINKOVCI

ĈAKOVO

RIPAý

LOSKUN

BOGOJEVO

ERDUT

DALJ

NAŠICE

POŽEGA

DOBRLJIN

SUBOTICA

OSIJEK

BIZOVAC

VELIKA

VOLINJA

OŠTARIJE

PULA

CROATIA

STRMICA

LIýKO DUGO POLJE

GRAýAC

DRNIŠ

ŠIBENIK

DELNICE

CAPRAG

BELIŠûE

PODR. SLATINA

DARUVAR

SISAK

BELI MANASTIR

PýELIû

BOSANSKI NOVI

LIýKO DUGO POLJE

BENKOVAC

RIJEKA

VIROVITICA

VELIKA GORICA

KLARA

KARLOVAC

PECS

MAGYARBOLY

BJELOVAR

DUGO SELO

OZALJ

ŠAPJANE

MAV

KLOŠTAR

SESVETE

RK

H. LESKOVAC

KAMANJE

METLIKA

KRIŽEVCI

ZAGREB

ZAPREŠIû

BUDAPEST

GYEKENYES BOTOVO

KOPRIVNICA

GORNJA STUBICA

RAŠA

GRAýAC

ZADAR

PIVKA

LUPOGLAV

PAZIN

BRýKO

BANOVIûI

SAVSKI MAROF

RAKITOVEC

BUZET

ZABOK

DOBOVA

LJUBLJANA

ILIRSKA BISTRICA

BEOGRAD

KULEN VAKUF

GOSPIû

LJUBLJANA

PREŠNICA

TOVARNIK

STRIZ. VRPOLJE

BOSANSKI ŠAMAC

SARAJEVO

BOSANSKI NOVI

PULA

VUKOVAR

PLETERNICA

BOSANSKI BROD

JŽ

BOROVO

VINKOVCI

ĈAKOVO

SL. BROD NOVA KAPELA

DOBRLJIN

RAŠA

BOGOJEVO ERDUT

DALJ

NAŠICE POŽEGA

NOVA GRADIŠKA

KRAPINA

IMENO KUMROVEC

BUDAPEST

MURAKERESZTUR

KOTORIBA

NOVI MAROF

ĈURMANEC

STRANJE

SUBOTICA OSIJEK

BIZOVAC

VARAŽDIN

GOLUBOVEC

ROGATEC

BELIŠûE

PODR. SLATINA

KUTINA BANOVA JARUGA

BELI MANASTIR

PýELIû

DARUVAR

SISAK

MURSKO SREDIŠûE

ýAKOVEC

SREDIŠûE

VIROVITICA

VELIKA GORICA

KLARA

KAMANJE

METLIKA

Planned: • Corridor X: Savski Marof (state border) - Zagreb • Corridor X: Zagreb – Dugo Selo • Corridor X: Dugo Selo - Novska • Corridor X: Zagreb - Sisak - Novska (parallel line with Zagreb- Dugo Selo - Novska) • Corridor X: Novska - Vinkovci • Corridor Vb: Botovo (state border) - Zagreb • Corridor Vb: Zagreb - Karlovac • Corridor Vb: Karlovac - Ogulin CROATIA • Corridor Vb: Ogulin - Rijeka (sea port) X • Corridor Vc: state border - Beli Manastir - Osijek Vb • Corridor Vc : state border - Beli Manastir - Osijek Vc Vb1 - state border • Corridor Vc: Strizivojna Vrpolje - Šamac • Corridor Vc: state border - Metković - Ploče (sea port) PRAGERSKO

GROBELNO

MAGYARBOLY DUGO SELO

RK

LENDAVA

PECS

KLOŠTAR

BJELOVAR

SESVETE

ZAPREŠIû

MAV

KOPRIVNICA

KRIŽEVCI

GORNJA STUBICA

ZAGREB

H. LESKOVAC

ILIRSKA BISTRICA

LUPOGLAV

ZABOK

DOBOVA SAVSKI MAROF

BUDAPEST GYEKENYES BOTOVO

NOVI MAROF

ĈURMANEC

STRANJE LJUBLJANA

BUDAPEST

MURAKERESZTUR

KOTORIBA

GOLUBOVEC

ROGATEC

X

STRMICA

ZADAR

Vb

PERKOVIû

SARAJEVO

KNIN

DRNIŠ

Vb1

ŠIBENIK

ýAPLJINA PLOýE

GOLUBIû

BENKOVAC

Vc

SPLIT

METKOVIû

PERKOVIû

SPLIT

SARAJEVO

ýAPLJINA

PLOýE

Source: UIC - Atlas of ERTMS - May 2010

Planned GSM-R – 1.280 km

CZECH REPUBLIC

Czech Republic International roaming with DB-Netz and ÖBB - operational

METKOVIû

CZECH REPUBLIC

Operational 20072007-2008 20092009-2010

• Ostrava – Opava, Dětmarovice – state border with Slovakia and the connection between the two main corridors Přerov – Česká Třebová – started June 2013.

In the Czech Republic, the GSM-R completely covers 1st and 2nd National Railway Corridor.

20092009-2011

GSM-R on TransEuropean Network for Transport – order of implementation in period 2010 – 2015

Operational

International roaming with DB-Netz and ÖBB - operational

20072007-2008 20092009-2010 20092009-2011

GSM-R on TransEuropean Network for Transport – order of implementation in period 2010 – 2015

PRaK

PRaK

Completed projects: • Construction of GSM-R, Děčín – Všetaty – Kolín Projects under preparation: • Construction of GSM-R Kolín – Havlíčkův Brod – Křižanov – Brno • Construction of GSM-R node Praha (Beroun – Praha – Benešov) Year 2015: 2.766 km Year 2015: 2.766 km Pilot project on the Czech railway network, part of European Corridor E • Děčín – Praha – Kolín line, as a section of the pan-European Corridor Source: ERTMS National Implementation Plan, Czech Republic IV – pilot project • Poříčany – Kolín, pilot project • Transit railway corridor 1 Kolín – Břeclav – st. hr. A and SK – finalization of the Transit railway corridor 1 equipment • Transit railway corridor 2 Břeclav – Petrovice u Karviné.

• Transit railway corridor 3 Dětmarovice – Mosty u J.; Polanka n.O. – Č. Těšín – pilot project • Transit railway corridor 3 Č. Třebová – Přerov – pilot project • Transit railway corridor 3 Praha – Plzeň – Cheb – pilot project • Transit railway corridor 4 Praha – Tábor – České Budějovice – Horní Dvořiště st. border A – pilot project • Brno – Havlíčkův Brod – Kolín – pilot project • Kolín – Lysá n. L. – Ústí n. L. Střekov – Děčín – pilot project

In the planning period 2007 – 2013 it is presumed to ensure the implementation of the GSM-R system on 1540 kilometres of the conventional railway system. This conclusion is subject to the approval of the Operational program Transport and its Interoperability Program, within which its financing is ensured. Also, it is planned to install, by 2020, a total of 5.400 km with GSM-R technology.

FYR Macedonia

Preparation of a study for introducing GSM-R along corridor X from Tabanovce to Gevgelija - 2012

Source: Macedonian Railways

www.railwaypro.com | August 2013

WBSA GSM-R Facts & FIGURES 39 greece

• Piraeus - Athens - Acharnes Railway Center (SKA) – Contracted • SKA – Tithorea – Contracted • Inoi – Chalkida – Contracted • Domokos – Platy – Contracted ERTMS Implementation Strategy • Platy – Thessaloniki – Contracted Annex 2 • Thessalonki – Promachonas – Contracted • Thessaloniki ETCS network – Idomeni - Planned Greece also plans to implement GSM-R technology on 707 km of railway lines.

GREECE

ETCS 1 (installed) 178km ETCS 1 (installed), 44km ETCS 2 2007-2013 102km (included the 44km) ETCS 2 2007-2013 779km ETCS 2 2013-2020 1730km ETCS 2 after 2020 802km, included ETCS Low Cost 72km

Source: UIC - Atlas of ERTMS - May 2010

Hungary

Hungary plans to install GSM-R on 4.360 km of railway lines until 2020.

NISz puts the project’s cost at HUF 22.6 Billion (EUR 75 Million).

European Union funding will cover 85% of the total.

Hungary currently has three ETCS L2 projects on the following lines: • Boba -Bajánsenye; • Budapest - Székesfehérvár and •Szajol – Püspökladány.

Annex 3

GSM-R network

HUNGARY

Project phase – tender launched: • Slovakian border - Szob - Budapest ’Nyugati’ railway station – Cegléd - Szolnok section GSM-R installation on total (approx. 2710 km) primary network consisting of the TEN corridors and the main lines of national network - Tender launched - Public procurement in progress Lines planed for ETCS L2 2007-2013 Suburban and connection lines 2007-2013 • GSM-R installation on the suburban lines of Budapest.

Sections of international connection lines The primary lines already cover most of them but additional planed after 2013 approx. 130 km have to be covered, Source: ERTMS Implementation Strategy e.g. the heavy traffic single track lines to Esztergom, Lajosmizse and Vácrátót.

• GSM-R installation on the secondary network, on approx. 220 km total length. GSM-R coverage strategy: dual layer GSM-R coverage on 636km; single layer (dual layer upgradable) coverage on 274km. The project includes an IP based dispatcher network with GSM-R railway specific services support and dispatcher terminal installation along the covered line.The project also includes 100 GSM-R cab radios and installation for locomotives, 640 OPH’s; 250 OPS’s for shunting; 500 GPH’s and 74 desk GSM-R radios.

Further planned services: GSM-R shunting; GPRS support for data; extended Location Dependent Addressing ŽSR

Tornanádaska

UŽ

ŽSR

Hidasnémeti

Záhony

Sátoraljaújhely

ŽSR

Eperjeske oh.

Rudabánya 94 274, 80 90 Bánréve 95 Tuzsér 400 ŽSR 98 Ipolytarnóc Sajószentpéter 93 100 111 Putno 92 kKazincbarcika Vásárosnamény Szerencs Ózd 74 78 92 Sajóecse MezĘzombor ŽSR Nógrádszakál 81 SomoskĘújfalu 100c FelsĘzsolca g Görögszállá 87 80 116 Balassagyarmat ŽSR MISKOLC SALGÓTARJÁN 117 s 75 80 113 Drégelypalánk Mátészalka MátranovákNYÍREGYHÁZA 83Homokterenye Kisterenye Nyékládház ÖB Kocsord alsó 113 Rajka HejĘkeresztúr a Tiszalök B EGER 114 Mátramindszent 89 115 Romhány 7 DiósjenĘ Nagykáll ÁgerdĘmajor Csenger 78 113 75 76 81 84 80 88 ó113 ŽSR I Hegyeshalom 259 70 Szob 109 Tiszapalkonya Nyírbáto ŽSR V 87 112 MezĘcsát Gyöngyö Mosonmagyaróv r GySEV/ROeEE 100 3 110 s ár Vác ÖBB Komárom 71 77 85 117 16 1 4 Esztergom Selyp Füzesabony Sopron GYėR 1 Tokod Dorog Vácrátót Galgamácsa Hatvan 9 Apafa Nyíradony Ohat-Pusztakocs CFR Kál80 Ágfalva 70 71 78 80 80 108 GyĘrszabadhegy Almásfüzit 258 2 VámosgyörkKápolna 8 Harka Nyírábrány 8 Aszód 5 1 Ę DEBRECEN 108 Csorna Tiszafüred Tócóvölgy 18 TATABÁNYA 80 86 105 FertĘszentmiklós Környe 11 BUDACFR 82 102 100 103 Kisbér 10 12 1 Létavértes ÖBB PEST 107 14 13 Sáránd 15 Oroszlány KĘszeg 120 16 250 Veszprémvarsán 5b Pusztavám 13 Karcag 18 106 y Mór 5 Lovasberén Tárnok Püspökladány 11a Dudarbánya 100 Celldömölk 10 Pápa Újszász Bodajk y 101 30a 5a 6 40 100 Zirc 20 20 120 SZOMBATHELY Balinka SZÉKESFEHÉRVÁR 150 128 Cegléd Szajol 100 Nagykereki 11 100 Boba 20 Porpác Kisújszállás Biharkeresztes 142 29 Hajmáskér Pusztaszabolcs 20 TiszatenyĘ 17

21

ÖBB

Körmend

Szentgotthárd

21

ėriszentpéter

SŽ

22

25

25

ZalalövĘ

Zalabér Batyk

25

24 Zalaszentgrót Zalaszentiván

26

Rédics

Csajág

30

30 60

Gyékényes

41

41

46

40 Godis a

KunszentmiklósTass

MezĘfalva

Paks

Bonyhád 51

50 Hidas-Bonyhád Komló 64

153

130

155

150

140

Kiskunhala s

SZEKSZÁRD 46 Bátaszék 154

145

120

Csugar

MezĘtúr

Szeghalom

Körösnagyharsány

150

Kelebia

Baja

SZEGED

Röszke

136

135

Békés

135 Gyula

121

CF R Kötegyán

Kétegyháza

Orosháza

HódmezĘvásárhe 125 ly 130 135 MezĘhegye s Újszeged Makó 121 121

CFR

127 Vészt Ę 128

127

KECSKEMÉT Gyom Nagylap 146 120 a os Lakitele Kunszentmárt 125 129 on k 140 Kondoros 146 Kisszénás Murony 145 126 Fülöpszállá BÉKÉSCSABA 130 147 s Kiskunfélegyház 147 125 a 135 Szentes KiskĘrös

150

Dunapat aj

130

140

Kecskemétalsó 152

151

Kalocsa

Dombóvár

KAPOSVÁR

38 Nagyatád

HŽ

43

48 KeszĘhidegkút-Gyönk

41

Somogyszob

40

Tamási

36

37

Nagykanizsa

49 Sárbogárd

42

35

SZOLNOK

29 Börgönd Szabadbattyán 42 30 Dunaújváros 40 Lepsény 45

Rétszilas MezĘhídvég

30

Fonyód

Balaton 17 szentgyörgy

23

Murakeresztúr

30 Siófok

29

Tapolca

30b

ZALAEGERSZEG

27

VESZPRÉM

Ukk

25

Zajta

120

LĘkösháza

125

Battonya

CFR

According to MAV: “Hungary’s state-owned National Infocommunications Service Company (NISZ) has signed an agreement GSM-R Phase II. with MAV Hungarian State Railways and GYSEV Győr-Sopron-Ebenfurth Railway Corp. to cooperate in GSM-R determining the tasks to Phase III. be completed in connection with the installation of the Global System for Mobile Communications-Railway (GSM-R) in Hungary.”

HŽ

60

Középrigóc

Barcs

62

SzentlĘrinc

47

40 PÉCS

Mohács

60

65

61

Sellye

304 BajaDunapart

154 Bácsalmás

GSM-R Phase I.

JŽ

JŽ

66

62

Villány

65

Magyarbóly

HŽ

poland

POLAND

The Polish railway plans to convert its railway network gradually to GSM-R, thus until 2020 Poland plans to have 15.000 km of railway lines with GSM-R technology.

Currently Centralna Magistrala Kolejowa(CMK), also known in Poland as the Rail Line No. 4, is completely equipped with GSM-R technology, for ETCS Level 1.

Ongoing implementation of ERTMS/GSM-R in Poland, section: • Legnica – Węgliniec – Bielawa Dolna – 84-kilometres, the first GSM-R project în Poland Poland plans to install ERTMS/GSM-R on the railway network, by 2015 as follows • Kunowice – Poznań – Warszawa, part of ERTMS Corridor F, - implementation forseen by December 2014 • Warszawa – Gdańsk – Gdynia, implementation forseen by June 2015 • Legnica – Wrocław – Opole, part of a Corridor F extention - expected implementation: 2013-2015 • Warszawa – Łódź – implementation expected by 2014

Source: UIC - Atlas of ERTMS - May 2010

August 2013 | www.railwaypro.com

40 WBSA GSM-R Facts & FIGURES Romania

Bucharest – Câmpina and Câmpina – Predeal lines are equipped with the ETCS – Level 1, but it is not operational.Line Bucharest – Constanţa is currently being equipped with the ETCS – Level 1. Curtici – Braşov section is equipped with the ETCS Level 2 and, in time, European corridors will be shifting to ERTMS Level 2.

Lines in Romania to be equipped with GSM-R • Chitila – Crivina section – ERTMS/GSM-R Level 2, pilot project. Total cost of EUR 62 mln.

Contract awarded for GSM-R: • Simeria-Braşov line: sections Coşlariu-Simeria and Coşlariu-Sighişoara.

The total cost for the two sections is EUR 112,6 mln.

Planned: Source: C.F.R. S.A. • Predeal – Curtici, part of Pan-Euopean Corridor IV • Predeal – Constanţa, part of Pan-Euopean Corridor IV • Curtici – Calafat • Craiova – Videle (Bucureşti) • Giurgiu – Ungheni After the finalization of the three projects (modernisation of Border-Curtici-Arad Km 614, Sighişoara – Simeria and the implementation of the pilot project of the installation of the ERTMS Level 2 on the railway section Chitila – Crivina), Romania will have 250 km of line equipped with ETCS Level 2.

Russia

Russia installs GSM-R tehchology for the 2014 Winter Olympic Games, in Sochi.

• The Sochi line connects the cities of Tuapse - Sochi - Adler – Alpika Service – Vesyeloe and has been designed for speeds of 250km/h over a total length of 155km.

Železnice Slovenskej republiky Generálne riaditeĐstvo Bratislava

• 2012 - railway lines from Saint Petersburg to Bulovskaya, estimated at over $100 million Moreover, GSM-R feasibility studies are being finalized in Russia in order to start the implementation of this solution.

Serbia

“Serbian Railways” intend to modernize and upgrade safety, railways telecommunication systems for management andna monitoring, as well as station Implementaþná stratégia ERTMS sieti ŽSR telecommunication systems in accordance with the highest international standards.

By 2018, EUR 78 million be invested do will roku 2020 in the development of telecommunication infrastructure on Corridors X and XI, as well as on PančevoVršac and Požega –Kraljevo-Lapovo lines.

First phase of the project includes installation of GSM-R technology on test section in Belgrade railway junction from Batajnica to Pančevo. In 2014 “Serbian Railways” plan to invest EUR 22 mil in the telecommunication infrastructure and in the period of 2015-2018, EUR 40 mil more.

Source: ŽELEZNICE SRBIJE

Slovakia

In May 2009, Slovakian Railways (ZSR) submitted to the GSM-R funding from EU funds on the Bratislava-Žilina - Čadca and Kúty Bratislava – Štúrovo sections.Moreover Slovakia plans to install GSM-R technology, by 2020, on the following railway sections

Source: Implementačná stratégia ERTMS na sieti ŽSR do roku 2020

www.railwaypro.com | August 2013

• NOVÉ ZÁMKY - ŠTÚROVO (62km) • ZÁMKY-KOMÁRNO (33km) • Bratislava Rača- NMnV (92km) • GSM-R NMnV - Púchov (59km) • GSM-R Púchov - Žilina (45km) • Žilina- Čadca • Košice - Kysak (16 km) • Žilina -Krásno- Čadca – št.hranica • Čadca- Skalité - Zwardoň (13+ 7km

WBSA GSM-R Facts & FIGURES 41 SlovENIA

Implementation of the GSM-R system in Slovenian railway network Slovenia plans to implement GSM-R on the entire1.230 km of railway network, cost EUR 149,5 mln, funded partly by SOP-T 2013. Out of the entire project costs, EUR 99 mln are provided from the European Cohesion Fund.

Source: Slovenske železnice

Turkey

Over the years Turkey has become one of the largest ERTMS /GSM-R investors in the world. Currently there are 1.674 kilometers equipped with GSM-R technology.

Current lines in operation are: • Polatli – Konya HSL • Marmaray Project, with Gebze-Haydarpaşa • Istanbul-Ankara-Sivas • Eskisehir-Ankara • Ankara-Afyon-Izmir • Ankara – Konya • Ankara – Hasanbey – Esenkent • Köseköy-Gebze • Bogazkopru – Yenice • Mercin to Toprakkale • Sincan - Esenkent • Hasanbey - Inonu • Inonu - Kosekoy • Eskisehir-Alayunt-Kutahya-Balikesir

Source: TCDD

When the current tranche of projects have been completed and are in operational service, Turkey will have over 130 ERTMS equipped vehicles operating on over 2,200km of track, at speeds of up to 250km/h.

Turkmenistan

Turkmenistan will install GSM-R technology on the 288 km Chilmammet - Buzhun section, of the north-south rail corridor, which is under construction to link Kazakhstan and Iran.

Turkmenistan also install GSM-R technology on the Ashgabat – Bereket – Turkmenbashi rail section.

Source: www.skyscrapercity.com

August 2013 | www.railwaypro.com

42 Market development

FYR Macedonia and Bulgaria to have new railway connection [ by Elena Ilie ]

Currently, there are no railway connections between the Former Yugoslav Republic of Macedonia and Bulgaria. Although there have been discussions for a long time, the implementation of a project on the construction of a railway to connect the two countries has begun to fall into place with the recent announcement of the Macedonian Minister of Transport Mile Janakievski. According to him, “tender offers for the construction of a railway between Kumanovo and Beljakovce, a line that will mark the official launch of the cross-border project, will be opened at the middle of September”.

Moreover, a railway between the two capitals, Sofia and Skopje, would boost trade in the region.

L

ast year, the European Bank for Reconstruction and Development (EBRD) agreed to supply to the Former Yugoslav Republic, more precisely to the Macedonian Railway Infrastructure Company, a loan of EUR 46.6 Million needed for the financing of the Kumanovo – Beljakovce line reconstruction which, at the same time, is the first phase of the comprehensive project consisting in the development of a direct Skopje – Sofia railway connection.

The loan is estimated at EUR 2.5 Million, money that Macedonia needs to initiate the second phase of the project, the extension of the above-mentioned line to the east from Beljakovce to Kriva Palanka. The documents necessary to the initiation of the tender for this section will be ready by the end of the year, Macedonian authorities say and total necessary funds could amount to EUR 145 Million. The third, the last and the most expensive phase includes the actual construction of the connection across the border with Bulgaria which will be linked to the Gyueshevo – Radomir line. The funds necessary to this phase were estimated at EUR 332 Million.

The entire section designed between the

two neighbouring countries will be included in the pan-European Corridor VII and will provide a shorter railway connection to Macedonia to the Bulgarian ports of Varna and Burgas, from the Black Sea. If the line is finalized, the journey between the two capitals could last three to four hours.

The construction of the first section of this segment could be ready by 2017 and the other two sections could be finalized by 2022.

Macedonia sees the Black Sea region as a crucial geographical area primarily due to its significance in trade and energy routes.

However, in the Macedonian case, the Black Sea region is seen in a narrow perspective regarding security issues, but in wider perspectives regarding economic and trade relations. Most freight and passenger traffic between the Macedonia and Bulgaria is transported by road. From a commercial point of view, Bulgaria is one of the fifths trading partners for Macedonia, and its business cooperation with these countries has increased in importance.

Investing in rail infrastructure is associated with lower total travel time, higher comfort and reliability, reduction in the probability of accidents, and in some cases

Bulgarian railways stats

Source: World Bank

www.railwaypro.com | August 2013

the release of extra capacity which helps to alleviate congestion in other modes of transport. Cross-border cooperation between neighbouring authorities is intended to develop cross-border economic and social centres through joint strategies for sustainable territorial development.

Improving the efficiency of transport and logistical flows will act as a catalyst for deeper EU–Macedonian integration, including Macedonian-Bulgarian transport connection.

Within the European and trans-continental framework Corridor VIII will play an important role for the transport communications among Southern Europe, Northern Africa, the Caspian Basin, Central Asia, Russia and Ukraine. Its strategic perspective lies in the linkage of significant sea-ports such as Varna, Bourgas, Poti, Batoumi, Novorossijsk, Ilichevsk and Odessa on the Black Sea, Dourres and Vlore on the Adriatic Sea, a linkage that facilitates the opportunities of servicing the markets of Central Asia, Russia and Ukraine, too.

Македония и Болгарии будет иметь железнодорожное сообщение В настоящее время между Македонией и Болгарией не существует железнодорожного сообщения. Идея железнодорожной линии для связи между двумя странами начала приобретать контур с недавним заявлением македонского министра транспорта, Миле Янакиевски. По его словам, „тендерные заявки на строительство железнодорожной линии между Куманово и Беляковце, которая обозначит официальный запуск проекта, будут приниматься начиная с середины сентября”. Кроме того, железная дорога между двумя столицами, София и Скопье, приведет к увеличению торговых связей в регионе.

Market development

43

A step forward in the development of Košice-Vienna broad gauge line [ by Pamela Luică ]

• Austria, Slovakia, Ukraine and Russia announced they are about to launch the tender for the elaboration of technical and environmental details • The development of the project requires investments of EUR 6.36 Billion • Traffic estimates include 33 countries from Europe and Asia • The project is aimed at reducing the freight transport times by 50% compared to maritime transport

D

eveloping a transport corridor on China-Russia-Central Europe axis is an international priority in ensuring a seamless, efficient and competitive transport compared to the other transport modes. In order to meet this objective, the railway companies in Austria, Slovakia, Ukraine and Russia have decided to implement the multi-national railway project on the extension of the broad-gauge line to Vienna, via Slovakia (Bratislava). Announced in 2010, the project has not only remained to the idea of market connection, but becomes a reality which will ensure the most efficient transport connection between Asia and Central Europe aimed at creating a sustainable transport corridor. At the beginning of July, the parties involved in the project announced that they would soon launch the tender for the elaboration of the technical and environmental evaluation.

Connecting markets, especially in Central Europe, Russia and the rapidly growing markets from Asia, has become important in terms of global economic development.

Therefore, Breitspur Planungsgesellschaft mbH, the JV including the railway companies in the four countries, ÖBB, ŽSR, UZ and RZD, is responsible with the development of the freight transport corridor.

The 1520mm gauge railway system

ends in Kosice (east of Slovakia), near the Ukrainian border, and the continuation of the transport route (from China to Central Europe) will be the foundation of a competitive railway transport. The development of the corridor will require the extension of the infrastructure by around 450 km and the construction of a logistics centre that will become a development engine in the region due to the establishment of the undertakings. The terminus point of the line will be the new terminal in the Vienna-Bratislava region which, due to its development opportunities (creation of jobs, set-up of new companies and initiation of activities) will contribute to the GDP growth by EUR 12.1 Billion and an increase of the revenues charge by EUR 3.6 Billion. The project requires investments of EUR 6.36 Billion and, according to preliminary studies, the construction and operation of the broad-gauge line will create the equivalent of 642,000 jobs.

If other countries were sceptical when the authorities announced their intention to implement the project regarding the possibility to implement this corridor, the next step launched by the four member states of the project prove the opposite: the railway companies in charge announced that a tender would be soon launched to carry out a detailed evaluation on the technical

Košice-Vienna

and environmental aspects for KosiceVienna line. “The launch of the tender is the main step towards project implementation which is vital for both Ukraine and the entire transport and economic system.

It offers ideal solutions to several problems by stimulating economic growth and creating jobs and it also provides the best of the railway alternatives”, declared Sergey Bolobolin, the General Director of Ukrainian Railways.

The tender refers to the elaboration of the design works and of a poll to determine technical opportunities and key decisions, the identification of social and environmental aspects, as well as the definition of the land corridor limits. It will also be necessary to initiate a separate research project to prepare the financial and business plan, including estimates on the traffic volume and the integration of auxiliary projects.

“Over the next years, traffic in Eurasia will know significant growth and a corridor

Traffic forecast results

For the best case, traffic volumes for the two new broad-gauge sections soar to 23.9 million tons (BGP East) and 21.9 million tons (BGP West) respectively. In the worst case, lower transport volumes for the two new broad-gauge sections of 12.3 million tons and 10.4 million tons respectively are forecasted.

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Source: Final report, Pre-feasibility study for broadgauge railway connection between Košice and Vienna, Breitspur Planungsgesellschaft

�/�3�������� %��������� ������������ (���� �)�����1��%��� ���%(��� ����/�������/�+�������������������� ����������J� ���� �������%������J� ���������������1 ����:><�)��� ������������� ����� ������'%����/ August 2013 | www.railwaypro.com

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44 Market development freight transport. Therefore, the appearance of new freight flows on their network will make a significant difference”, declared the RZD President Vladimir Yakunin.

According to estimates, the traffic volume on this line will be of at least 16 million tonnes per year (up to 24 million tonnes per year until 2050) and the rapid goods trade between continents through direct connection will reduce the transport time of freight between Eastern China and Vienna to 15 days. Also, the west will account for around 70% of the traffic volume (by 2050), while the east will account for 30%; as regards the type of freight, the container segment is expected to have the highest growth rate compared to the bulk and liquid goods.

Regarding the attractiveness of the project for its investors, the net present value (NPV) of sponsors (governments) has been calculated for different financing options. Through public financing, the dedicated to freight transport will make the transport modes and the traffic shift level NPV is of EUR -2.2 Billion, project financconnection between Europe and Asia pos- depend on the capacity of the new line. The ing EUR -2.5 Billion and PPP EUR -6.8 sible and will create a competitive trans- transfer of freight is believed to rely on the Billion. Consequently, the public financing port system compared to maritime trans- fact that the railway infrastructure is signifi- brings the highest net present value, while port”, declared Stefan Glinka, the CEO of cantly improved on the entire Russian terri- with the other financing options, the invesSlovakian Railways. tory, where some of the necessary projects tors demand a higher rate of return, espeThe extension of the broad-gauge line will are already considered, but also in Ukraine cially equity investors within PPPs. create a supplier of logistics services, an and Slovakia (from the Ukrainian border The application of the best traffic estimate 8,000km long freight transport corridor, as to Kosice) so as to enable a travel time of alternative generates a positive net present well as a transport service more rapid than 15 days on the route eastern China-Vienna. value of EUR 0.3 Billion within the public maritime transport. Traffic prognoses rely The travel time of goods is considerably financing. In its initial variant, the project on the general estimates of the freight vol- reduced from the 23 days, on the existing could reach a 0 NPV and then will gain ume for each country by 2050, divided on railways and from the 25-45 days on mari- the equity cost of sponsors, if EU funds transport modes. A significant part of the time routes (depending on origin, destina- (through TEN-T and Cohesion Funds) cargo volumes in the project area has been tion, routes and the speed of vessels). worth EUR 0.5 Billion are allocated and defined, followed by the identification “The project focuses on reducing the capital costs (CAPEX) are reduced to 56% of the volumes on the broad-gauge line. travel times of goods by 50% compared to compared to the initial considered level *�������������������9%�0���������������������%��������%������������%(����%�0�2������� The traffic prognosis includes origins and maritime transport. We continue to col- (in principle, comparable with the non����� ���������� ������������������0�2������%������������ ��������������%��������2������ destinations relevant for the project and laborate to create connections with the Eu- reimbursable subsidies of around EUR 3.6 2����%���������� (���� includes the traffic of 33 European coun- ropean and Asian markets. Russia’s railway Billion from one of the four participating tries from Asia, but also Austria, Slovakia, system is a key element in creating the Eur- countries).

Ukraine and Russia. asian transport platform and many Europe,������������� ��������������������������������������������� ��������-9�!<+�(��������� Attracting freight volumes from the other an countries are facing the lack of railway D�B�����������$�������55B������5���������2��������������2�������%����!���-9�!�(������ EBITDA consolidated, base case [EUR m] �(�%�������@KB������$��)@DB������5�/���������������2�������������� ���������%��������� Consolidating the three entities yields in the base case a positive EBITDA margin of 60% in year 2030, and

���������� ����������L�2����������������*+,-.��������������%������ ����������������� 55% in 2050, as shown in the following figure. The EBIT margin amounts to 48% in 2030 (46% in 2050).

Free cash flow is generally positive during the years of operations. However, the large CAPEX in the ��0������������%������2���� construction period have to be taken into account as well.

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��������� � �-study 9�!<+�������������������������O-=��(P Source: Final report, Pre-feasibility for broadgauge railway connection between Košice and Vienna, Breitspur Planungsgesellschaft www.railwaypro.com | August 2013

Шаг вперед в сторону реализации широкой колеи по маршруту Кошице - Вена

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Создание транспортного коридора по оси Китай-Россия-Центральная Европа является международным приоритетом для обеспечения бесперебойного, эффективного и конкурентоспособного транспорта по сравнению с другими видами транспорта. Для достижения этой цели, железнодорожных компании Австрии, Словакии, Украины и России решили реализовать многонациональный проект железной дороги, касающийся расширения линии с широкой колеей в сторону Вены через Словакию (Братислава). Таким образом, в начале июля заинтересованные стороны сообщили, что в скором времени будет объявлен тендер на выполнение технической и экологической оценки.

Market development

45

Why can’t we do better at urban accessibility? [ by Elena Ilie ]

The current situation in terms of accessibility in the EU suggests that there is a marked division between central and peripheral areas as regards their transport connectivity and costs. Peripheral areas have higher average costs of transport, owing not only to the need for longer trips, but also to the more expensive or less efficient transport solutions that are available.

port infrastructure investment planning.

These developments will intensify the declining trend in transport infrastructure financing from government budget, which, before the financial crisis, was to some extent compensated by an increase in private sector financing. The financing gap needs to be filled through combined efforts by the governments, the EU, financial institutions and through new capital markets models and new pricing mechanisms, such as congestion pricing. The overall funding mechanism needs to turn more towards the “user pays” principle.

The urban dimension will become even more important as the percentage of Europeans living in urban areas is projected to increase from 74% today to around 85% in 2050. The design of sustainable cities is one of the greatest challenges of policy makers.

Fortunately, the urban environment offers many alternatives in terms of mobility.

Switching to cleaner energy is facilitated by the lower requirements for the range of

vehicles. Public transport choices are more widely available, as well as the option of walking and cycling. Demand management and enlightened land-use planning can also contribute significantly to lower traffic volumes.

Preserving mobility will only be possible by making it sustainable. The European transport system has developed in a context of generally cheap oil, expanding infrastructure, technological leadership and limited environmental constraints, but now has to adapt to different framework conditions.

The projected growth of the emerging economies and of world population is bound to put pressure on natural resources.

Transforming transport and making it more efficient, cleaner, safer and more reliable will not be possible with just a small number of selected interventions. Transport is a complex system that is based on the interaction of infrastructure, vehicles, information technology, rules and behaviour. All these elements must be part of a common vision for change.

It is imperative for public transport to gain a higher share than today in the transport mix, become easily accessible for everyone and fully integrated with non-motorised modes.

Почему нам не удается лучше справляться по части доступности в городских районах?

Photo: http://www.cycling-embassy.org.uk

I

nterurban and regional travel (up to 500 km), responsible for around 33% of emissions, is mostly performed by cars (around 29% of total transport emissions), followed by planes (approx. 2%) and motorcycles (around 1%). Coaches and buses, rail and inland navigation provide all together around 1%.

The cost of EU infrastructure that would be required to match the demand for transport is estimated at over EUR 1.5 Trillion for 2010-2030. However, in the coming years and decades there will be an increasing difficulty in finding the means for investing in transport infrastructure. The European Commission identifies two negative but altogether realistic issues, an ageing society which implies that larger amount of resources will be absorbed by social security expenditure and the prolonged 2008-2009 economic crisis that has severely hit public budgets and private lending. Once the recession is over, it will leave a legacy of long budget consolidation processes and trans-

Нынешнее положение, связанное с доступом к ЕС, отражает наличие сильной разницы между центральными и периферийными территориями с точки зрения обеспечения связи и транспортных расходов. Средняя стоимость транспорта на периферии выше, а это объясняется не только большей продолжительностью проезда, но и более дорогими или менее эффективными решениями в сфере доступных путей сообщения.

August 2013 | www.railwaypro.com

46 POLICIES & STRATEGIES

Russia identifies new financing sources for railway infrastructure projects [ by Pamela LuicÄ&#x192; ]

With a constantly growing freight and passenger transport on a network of 85,000 km, Russian Railways and federal authorities are trying to identify new financing sources to improve and develop the infrastructure in order to meet the challenges imposed by traffic growth which is expected to continue on the medium and long term.

R

egarding the infrastructure, the railway transport development strategy for 2030 stipulates the implementation of the infrastructure rehabilitation and modernization projects by 2015 to ensure maximum capacity on key routes and to elaborate network extension projects. At the same time, 13,800 km of heavy traffic line will be rehabilitated in order to reduce the transport cost of bulk cargo. Investments necessary for the modernisation of the existing infrastructure rise to RUB 3.2 Trillion (USD 92.7 Billion). 5,000 km of railways have already been rehabilitated in the first half of 2013.

Source: rzd.ru

www.railwaypro.com | August 2013

The timeframe 2013-2030 concentrates the highest share of the investments necessary to the extension of the infrastructure necessary to the development of new economic areas. The scenarios the company considered include the construction of 16,000 km of railways (minimum scenario) and 20.7 thousand km (maximum scenario) for which necessary investments amount to RUB 4.2 Trillion (USD 130 Billion). 58.6% of this amount will be allocated through the federal budget, 11.9% will be provided by local/regional administrations, 10.7% by RZD and 18.8% by private funds.

By 2030, Russia wants to increase its rail-

way density by 24% which will determine the increase of freight traffic by 58% and of passenger by 33%.

Figures are high if we consider the global economic situation and the fact that countries are trying to cover a large share of the investment programmes through loans supplied by the international financial institutions, while Russia assumes over 58% of investments for railway projects (under the strategy). The importance of investments in railway projects is not mentioned only on paper, it also reflects into investment budgets. For example, since the beginning of the railway reform, private companies

POLICIES & STRATEGIES

have invested more than EUR 20 Billion in projects. Also, in the first 6 months of the year, the investment budget of RZD was of RUB 184.1 Trillion (USD 5.7 Billion) and is estimated at RUB 439.5 Trillion (USD 13.6 Billion) for 2013.

Direct Investments, Health and Pension funds, main financing sources This year, federal authorities and RZD representatives try to identify new financing resources for the infrastructure projects. The Russian Government announced it would invest RUB 450 Billion (USD 13.7 Billion) in infrastructure and the funds will come from the national health fund and from the private capital. Also, more than half the necessary sum for investments will come from the Social Protection Fund, USD 87 Billion from the Health Fund and oil exports. “The main conditions will be assessed by the private business sector and viable and efficient projects will be co-financed in this segment.

Infrastructure projects have to have a return. I know that the investors’ interest in these projects is significant, especially if the government is ready to assure them that the risk is minimal and if it accepts to be co-investor”, declared President Vladimir Putin during the International Economic Forum (St. Petersburg June 21-22).

Apart from these financing sources, by the end of the year, the Ministry of Transport hopes to attract financing from pension funds for the infrastructure projects developed by Russian Railways, Minister Maxim Sokolov announced. “As long as this regulation is in discussion, a significant role in the decision-making process is played by the Ministry of Finances and by the Ministry of Economic Development. We are interested in attracting these funds as fast as possible and we are hoping that this would happen by the end of the year”, declared Sokolov. RZD can benefit from part of the pension fund savings for the financing of its infrastructure projects based on reimbursement in the period July-August 2013, said

Minister of Economy Andrei Belousov at the beginning of May. Another financing source for infrastructure projects could be granted through the Direct Investment Fund in Russia and Vnesheconombank (VEB), which “can complete each other to finance infrastructure projects. The Direct Investment Fund could cover the necessary financing for the construction of highspeed transport facilities and VEB can ensure the financing of large projects, such as the construction of lines, rail stations and infrastructure, projects with a long amortisation period”, declared Alexey Vyazovsky, Vice President of Pokrovka Finance, consultancy firm dealing with railway projects.

“The Direct Investment Fund can also be used in committing our partners from other investment funds or sovereign funds to participate in infrastructure projects considering the fact that the RUB 450 Billion represent the initial capital”, said Vladimir Putin during a meeting with VEB President ( July 2013).

Europe has also expressed its interest to participate in the large projects of Russian railway infrastructure. “Europe is interested to invest in the Russian infrastructure as proved by the success of RZD’s Eurobond issue. Construction and logistics companies are also interested in developing the infrastructure of the Far East and Siberia: the Trans-Siberian and Baikal-Amur lines. The Russian Government decided to allocate RUB 260 Billion (EUR 6.4 Billion) for the development of the railway infrastructure in the region. Total investments in the Russian railway industry could reach to RUB 11 thousand billion (EUR 270 Billion), including the projects for the development of high-speed lines”, declared Yakunin during the Rail and Road Construction Summit in Merano, Italy.

According to the declarations of RZD traffic department director Anatoly Kuzhel, the company will invest EUR 7.5 Billion in the development of Baikal-Amur line, although funds worth RUB 562 Billion (around EUR 14 Billion) are necessary, of which RZD will allocate RUB 302 Billion, the

http://www.cycling-embassy.org.uk

Source: rzd.ru

47

Finding the investment

Source: rzd.ru

rest of the amount being covered through public-private partnership. The project is of maximum importance for Russia as the line develops connections to the east part of Siberian and Far East. 4,324km long, the line crosses the north on a distance of 770 km being parallel to the Trans-Siberian.

Another important project is the Trans-Siberian Corridor whose project requires financing of EUR 18.8 Billion. Both projects are included in the Railway Development Scheme 2013-2020 which includes private investments for the first time. Although the need for investments is huge, by 2017 Russia wants to invest around EUR 14 Billion in the modernization of Baikal- Amur and Trans-Siberian railways.

“The value of additional financing necessary to eliminate the existing unbalance of the railway infrastructure for the BaikalAmur and the Trans-Siberian railways will amount to at least RUB 260 Billion (USD 8.35 Billion, EUR 6.5 Billion)”, declared Medvedev during a meeting of a governmental commission which deals with the development of the Far East (April 2013).

As the growth rhythm of the Asian markets exceeds by far that of European countries, Russia wants to improve its infrastructure in Siberia in order to sustain exports towards the countries with the highest demand.

Россия выявляет новые источники финансирования для проектов железнодорожной инфраструктуры С учетом постоянного увеличения грузового и пассажирского потока на сети, насчитывающей 85 тысяч километров, Российские железные дороги совместно с центральными властями пытаются выявлять новые источники финансирования для улучшения и развития инфраструктуры, в целях решения задач, вызванных увеличением объема перевозок. Программы рассчитаны на среднесрочную и долгосрочную перспективу. Фонд прямых инвестиций, Фонд здравоохранения, Пенсионный Фонд и частные инвестиции являются основным финансовыми ресурсами для реализации проектов железнодорожной инфраструктуры.

August 2013 | www.railwaypro.com

48 POLICIES & STRATEGIES

European railway industry demands fair global competition [ by Elena Ilie ]

There is a big advantage in making conclusive political measures. The actual transport industry is an important part of the economy: within the European Union, it employs directly around 10 million citizens and represents the source of around 5% of the GDP. The Union and the governments of member states have to offer to manufactures and industry clear information on the future political measures (relying mostly on market mechanisms) so that they could plan investments. The EU coherence is therefore strategic.

D

uring a meeting in July, the rep- spite the Buy America requirements. resentatives of the Rail Forum In Japan, most non-Japanese suppliers are, Europe, among which representa- de facto, excluded from any competition for tives of the railway industry, underlined the the supply of rolling stock and other railway need for a fair level of competition in the equipment by the operational safety clause world for the suppliers of railway products. and other complex and restrictive proceTo that end, the European railway industry dures. demanded the European Commission to “The EU should further encourage a comtake advantage of the opportunity of nego- parable and effective opening of global rail tiations within the EU Free Trade Agree- markets, also through technical assistance ment (FTA) with Japan and the US and to of the European Railway Agency. UNIFE demand the complete liberalisation of the is committed to support and work with the markets in the two countries.

Commission in these important negotiaThe lack of a free competition level be- tions”, he added. tween the European Union, Japan and the During the same meeting, Jojo Alexander, US, as regards public procurement, has af- Alstom Transport Vice President Strategy fected the railway market for a rather long and External Development listed the main period of time being contested by the Euro- issues faced by Alstom in Japan and the US. EUROPEAN AFFAIRS pean railway industry for a long time.

“In the ongoing negotiations with Japan, Philippe Citroën, Director General of Alstom asks for the clear, predictable and UNIFE, highlighted the potential economic non-discriminatory application of the opbenefits fromthat EU’s successful negotiations erational safety economic clause, broader proThe study shows the world rail market remains stable despite the current downturn.public Steady growth can be Japan expected for the the world rail pointed market until in the Middle East, Russia andthe CIS,3and Latin with and US. He out2017. thatParticularly curement coverage, including Japan America will grow strongly.

Growth inconcerning these regionsthe compensates for the slowdown mainline rail public investments the global market situation Railways and more oftransparent pro-in China shiftthe to urban is predicted.

EU, where Japanaand US israilstill far from being a curement procedures. Japan has to demonlevel playing field: while the European mar- strate progress in one year’s time with very ACCESSIBLE MARKET VOLUME BY REGION �EUR BN P.A.� : ket is transparent as per EU procurement concrete measures”, he said. rules andmarkets open are to forecast competition, Japan isthe al-next six Asyears far as the USgrowth is concerned objective Rail supply to grow at 2.7% in – highest in Africa &the Middle East and mostAmerica entirely closed to foreign competitors should be to increase access to public proLatin and the US is open to a limited extent, de- curement on a reciprocal basis, remove any +1.9%

36.1

32.2

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+2.9%

21.5

6.9

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Eastern Europe

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8.4

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26.1 +2.7%

105.9

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World market

Market volume 2009-11 per year Market volume 2015-17 per year

x%

Compounded annual growth rate 2015-2017 vs. 2009-2011 average of a +/- 0.5 percentage point range

Source: UNIFE - World Rail Market Study - Forecast 2012 to 2017 Source: World Rail Market Study - Forecast 2012 to 2017

www.railwaypro.com | August 2013 Despite the economic crisis the global rail market grew continuously

Brian Simpson, Chairman of the EP’s

“buy local” restrictions or lowered thresholds and harmonise rail regulation and standards.

Therefore, Alstom , one of the most important European manufacturers, welcomes the launch of the negotiations with US and Japan. The final goal is to get comparable and effective market access in Japan and the US”, he concluded.

Brian Simpson, Rail Forum Europe President and Chairman of the European Parliament’s Transport Committee, commented that the lack of a global level playing field is indeed a major issue for the European rail industry. “In order to address this issue we need the EU to play hard in negotiations with Japan and the US”, he concluded.

If concrete measures are not taken, the economic growth of third countries and the decline of the European market, as well as the lack of reciprocity on the global market could cause Europe to lose its current leader position.

Европейская железнодорожная отрасль требует равных условий конкуренции на глобальном уровне Существует большое преимущество в принятии решительных политических мер. Отрасль транспорта на рельсах является важной частью экономики: в рамках Европейского союза в данной сфере непосредственно занято около 10 млн. человек, и она составляет источником около 5% от ВВП. Европейский союз и правительства государств-членов должны обеспечить для производителей и отрасли в целом четкую информацию о будущих политических мерах (основываясь, в максимально возможной степени, на рыночных механизмах) для того, чтобы они могли планировать свои инвестиции. Согласованность на уровне ЕС, следовательно, является стратегическим.

1 – Overall R&D investment in transport in 2008 The overall R&D investments dedicated to transport research in the EU from all public funders and industry exceeded € 43.5 billion in 2008. From a modal perspective, road transport takes by far the largest share with more than € 33 billion followed by civil aeronautics (€ 6.3 billion), rail (€ 1.2 billion) and waterborne transport (€ 0.9 billion).

This is complemented by R&D investments in transport services, transport infrastructure and ITS. Note that the figures do not necessarily fully reflect the innovation capacities of the different actors as there are significant differences in the level of spillovers, e.g. between civil and military applications and different transport sub-sectors.

Waterborne

Other 2% & technologies products 49 4% Air 15%

Rail 3%

“Transport-technology” strategic plan, White Paper pillar on research and innovation 2- Funders of transport R&D

~€43.6bn

Road 76%

Figure 42: Total transport R&D investment (2008)

Note: the category 'Other' includes infrastructure construction, service providers, ITS as well as some crossmodal research. However, ITS-related research clearly oriented to a mode is allocated within the mode.

[ by Pamela Luică ]

funding isofdominated The White Paper on Transport (2011)Transport brings toresearch the attention every EUbymember state the necessity of corporate R&D investments (90.4% of the total), in transforming the transport system that has to befrom directed towards a sustainable and competitive system that will particular road transport industries, while public funds EU MemberThe States account for established focused on reducing continuously improve the mobility of freight and from passengers. objectives 8.2% and those from the EU through FP7 for 1.4%. oil dependency, accidents and emissions, but also the increase of the quality of environment and services are the role ofsystem. public R&D investments is constant challenges in the developmentHowever, of a transport very heterogeneous between the different transport 100%

Corporate R&D EU FP7

90% 80%

Public MS R&D

70% 60% 50% 40%

30% modes. While it is comparably low in the 20% automotive sector (5% of the total) as a whole, 10% which is also due to the fact that the total 0% investments of this sector are by far most elevated Road Air Rail Waterborne Total of all modes, its role is much more pronounced in transport other modes. Public funds account for 25% for Figure 43: Percentage of public/corporate R&D aviation, 22% for rail and 34% for waterborne. investments by mode

T

Note: a breakdown for category 'Other' has not Percentage oftheR&D investments bybeen 3-strategy Distribution of R&D investments 9.6 The system in the he innovation growth changes will not be rail ogyindustry (September) summarizes a displayed as uncertainties are considered too elevated. source of funds enough in the confrontation with firstinnovation balance this segment , analyses the R&D of investment distribution varies widely The main actors involved in rail-related research and The include infrastructure managers, across modes.

While more than 80% of the 90% the challenges metrailinoperators, Europe the andmanufacturing deficiencies the transport innovation urban transport operators and and of construction industries, as well as Corporate R&D corporate investmentinitial is allocated to the 80% its transport sectorinand, to that end, the at- system and R&D presents proposals Public MS R&D companies involved ICT activities.

Infrastructure managers provide the operation, operability, 70% automotive industry, the situation is somewhat tention of European authorities is focused be approached.

Also, the EU FP7 (EC funding) maintenance, modernization and development of the to railway infrastructure.

Theyfunds. are Communicaalso responsible different for the public Nevertheless, still 60% towards developing and innovationaround will be thequarter base in the elaboration of for the allocation of trackresearch and slot orders.

Urban transport operators rail operators offer rail-based threeand of total public funds from 50% tion capacities.

The European market will aand European “transport-technology” stratetransport services related to the mobility of passenger freight. States Member and EU FP7 are dedicated to road 40% permit testing the different services and gic and planairthat will beThethe pillar ofalso thereceives White the 30% transport. latter mode The industrial component rail innovation system is also part of a mature sector.

In contrast to road or largest of FP7 funds almost 55%The of the 20% technologies and creating a strong market, Paper onpart research and with innovation. aviation transport, it has a relatively small share of transport volumes, except in funds someinparticular total.

The importance of public research on 10% not only in the European transport sector objective is to ensure a coherent approach markets – medium distance high speed passenger and bulk freight. Therefore, the industry isand smaller cross-modal issues,financing infrastructure socio- 0% but also all around the world. between different sources for than aviation or road transport. It has a long history,economic to the question extent that most of the main rail should be noted.

Road Air Rail Waterborne Other (cross th In order istobased approach these problems, transport innovation for the modal, infrastructure on routes constructed in the 19 century.research In termsand of the industrial structure, infrastructure the EC Communication on research and next programming period.

The Plan will there is a particularly strong link between infrastructure and train operations, because train control innovation Europe’s future mobility – define the priority areaspart andofwill propose barriers.

Figure 44: Percentage of R&D investments by comes from thefor infrastructure operator.

Infrastructure and operations are often the same firm, tion source of fundsto the report “Mapping innoDeveloping a European transport-technol- specific actions to overcome implementaAccording usually in the EU a national railway. vation in the European transport sector”, Railway vehicles have a typical lifetime of 30-35 years (Competition Commission, 2007; Bombardier, EC Joint Research Centre-2011 on the Thesystems innovation system railways 2010), and signalling and control have a similar lifetime.

Safety standards are particularly The main actors involved in rail-related research and innovation include infrastructure managers, urban transport innovation capacity, transport 117 high in theoperators rail industry.

To achieve this, there isanda construction very complex process of asacceptance transport and rail operators, the manufacturing industries, as well companies – R&D investments made by European homologation of both The newindustrial trains and controlrail systems.

These factors market for Railnew involved in ICT- activities. component innovation system is also make part of the a mature sector. way vehiclesand haverolling a typicalstock lifetime of 30-35 signalling and have a similar lifetime. locomotives small and years the and development of control major systems technological changes very companies were estimated at over EUR 39 Billion in 2008, being the largest industrial Safety standards particularly highbarriers in the railtoindustry. achieve this, there is a very complex process of difficult.

There arearetherefore high entry inTothis market.

Competition to the EU industry acceptance – homologation - ofinboth new trainsmarkets. and control systems. These factors make the market for new sector in Europe in terms of R&D investcomes from firms established other global locomotives and rolling stock small and the development of major technological changes very dificult. ments; also, member states invested EUR 4.2 Billion.

Market Regulation

Strategic actions in four activity sectors

Industrial System Manufacturers

Operators

Locomotive and rolling stock producers

Logistics companies Private Operators/ franchisees

Signalling and control systems Civil engineering

Education and Research System

National Railways/alliances

Consultancies

Infrastructure

Transport analysis, Engineering

Track and Signalling Stations and terminals

Innovation Infrastructure Innovation Infrastructure Banking, Internal f inance

International organisations UIC, CER

Standards homologation – certificates to operate Signalling and train control Infrastructure

Source: Mapping innovation in the Europeantransport sector, European Commission, 2011

Figure 54: The innovation system railways

Source: GHG-TransPoRD, published in Leduc et al. (2010)

Political System EU, National Regional Service requirements/ subsidies Privatisation policy Infrastructure policy R&I policy Noise and GHG emissions policy

International policies (transport, climate, trade)

International trade of vehicles, infrastructure + transport services

Demand Passenger transport Goods transport : intermodal terminals

The vision on changing the entire transport system can be resumed in a few words: the new generations of clean, safe and silent vehicles will replace the vehicles currently in use, maritime and railway transport will take over the medium-distance segment and, at the same time, mobility will be maintained by gradually tightening the regulations on emissions (especially for automotive vehicles) favouring the use of alternative propulsion, especially in urban centres where public transport services will be intensely developed and focused on electricity. These objectives (creating a fully interoperable, integrated, sustainable and competitive system with all the elements which compose each characteristic) could not be met unless exploiting the research and innovation segment that August 2013 | www.railwaypro.com

Number of companies (100=1)

the Community Innovation Survey. On average, more companies active in the manufacturing of both motor vehicles and of other transport equipment receive any kind of public funding than the average manufacturing sector (Figure 36). The sector 'Manufacturing of other transport equipment' contains the 50 products & technologies highest share of companies that have received public funding, which is very likely due to the aeronautic industry. Figure 37 shows for the example of companies active in the manufacturing of motor vehicles, trailers semi-trailersthat thereceive different Shareand of enterprises anytypes kindof of public public funding. fundingsThe importance of will determine the delivery of solutions.

Information about the number of companies that receive public funding in transport can complement funding through the central government becomes obvious, in particular considering the the decrease of According to the EU communication, the quantitative assessment of public R&D investment. On average, more companies active in the manufacturing regional funding over the last years.

At the same time, there are significantly more vision requires the implementation of stra- of both motor vehicles and of other transport equipment receive any kind of public funding than the averagetransport Framework Programmes in 2008 than in 2004. manufacturing sector tegic actions into four activity sectors.companies that receive funding from EU Research Firstly, the research and innovation an0.50 Manufacturing of other chorage in transport policy should be transport equipment strengthened. The Innovation Union flagManufacturing of motor ship initiative and Digital Agenda for Euvehicles, trailers and semi0.40 trailers rope underline the need for a strategic approach to innovation. The Commission’s Total manufacturing proposal for Horizon 2020, on developing 0.30 an intelligent, eco-friendly and integrated transport, highlights smart, green and inTransportation and tegrated transport as one of the six major storage 0.20 societal challenges where European research and innovation can make a real difference.

0.10 Secondly, the efforts of individual sectors and actors should be better aligned.

“In general, multiple research efforts enhance the probability of breakthroughs 0.00 EU23- EU20- EU22EU23- EU20- EU22EU23- EU20- EU22EU23-I EU20-I EU22and increase the range of solutions, the D (CIS D (CIS C (CIS DM34 DM34 C29 DM35 DM35 C30 (CIS (CIS H (CIS particularities of innovation in the trans2004) 2006) 2008) (CIS (CIS (CIS (CIS (CIS (CIS 2004) 2006) 2008) port sector suggest that joint or coordi2004) 2006) 2008) 2004) 2006) 2008) nated efforts across sectors and actorsFigure may 36: Source: innovation in the Europeantransport sector, European Commission, 2011 ShareMapping of enterprises that receive any kind of public fundings be more effective in specific fields. ForData ex-source: Eurostat CIS 2004, 2006, 2008 ample, whereas the producers of transport gins and have limited incentives to invest plan will support the implementation of fisolutions often wait for clear market sig- in new solutions. nancing the programmes proposed by the nals before developing new solutions and Finally, “the extensive asset require- Commission for the multi-annual financial do not always fully understand the user’s ments, major investment needs, and high framework, including Horizon 2020, the needs”, the Communication states. barriers faced by new market entrants pre- “Connecting Europe Facility”, the European Thirdly, it is important to overcome vent the transport sector from bringing Fund for Regional Development (ERDF), technology lock-in and institutional ‘silo’ the necessary transformative solutions to the Cohesion Fund and the Programme thinking. the market. of the competitiveness of undertakings Existing structures and stakeholder alThese strategic actions will contribute and SMEs. Moreover, EIB will be invited hamper full realisation of the po- to creating a transformative vision of the to extend its loans for the transport sector 2liances Drivers in thetransport transport tential offered for by innovation transport innovation systemsector and the “transport-tech- (through its new crediting policy) and to inthat draws on other modes and sectors. nology” plan will highlight the priority crease the technical assistance for interested For example, transport innovation could of the research & innovation-relevant ar- parties, both public and private.

2.1 Overview be more strongly influenced by develop- eas and will approach the efficiency of the Aments company investssectors in innovation order to improvewhole its positioning vis-à-vis its and competitors.

This can in other such asintelecommuinnovation chain of the actions be done through a new product, for which the company has a near-monopolistic situation for a certain nication and energy.

Transport operators proposed for the elimination of implementime benefits and/or by reducing the costs of the that period could and benefit fromfrom suchfirst-mover innovativeadvantages, tation barriers. Стратегический план product/service. the case of innovations, motivations include the existing solutions oftenIn operate at environmental low profit marThe additional “transport-technology” strategic or expected regulations, and current and expected evolution of market demand.

Figure 4 provides an indication of for theinnovation various drivers for innovation of transport-related Drivers in transport The figure provides of the various for innovation of transport-related manufacturing manufacturing sectorsan inindication the EU, based on datadrivers obtained by the Community Innovation Survey. From sectors in the EU, based on data by the Community Innovation Survey.

From the multitude of this, the multitude of drivers forobtained innovations becomes obvious, including both thethis, ambition to improve drivers for innovations obvious, including both ambition to improve the per quality the quality of productsbecomes and enhance its ranges, and to the reduce the costs of labour unitofofproducts output.and enhance its ranges, and to reduce the costs of labour per unit of output.

70%

C- Manufacturing

60%

C29- Manufacture of motor vehicles, trailers and semi-trailers C30- Manufacture of other transport equipment

50%

G45- Wholesale and retail trade and repair of motor vehicles and motorcycles H- Transportation and storage

40%

30%

20%

10%

0% Increase range of goods or services

Replace outdated products or processes

Enter new markets

Increase market share

Improve Increase flexibility for capacity for producing producing goods or goods or services services Source: Mapping innovation in the Europeantransport sector, European Commission, 2011

Figure 4: Drivers for innovation in transport

Improve quality of goods or services

Improve health and safety

Reduce labour costs per unit output

Data source: Eurostat CIS survey 2008 (based on NACE R2 sectors; retrieved in January 2011) www.railwaypro.com | May 2013 Note: Total EU percentage based on our own calculations, with the following coverage: C and C29 (no data for MT, GR and UK); C30 (no entries for SL, FI, UK, GR, MT, CY, LU, LT, LV); G45 (data available for

«Транспорт-Технология» - опора Белой книги по исследованиям и инновациям

Сообщение ЕК по вопросу об “Исследованиях и Инновациях будущей мобильности Европы” - Разработка европейской стратегии по оси транспорттехнология (сентябрь 2012 г.) содержит первичный обзор данного сегмента, анализ перебоев системы инноваций в области транспорта и выдвигает предварительные предложения на рассмотрение. Кроме того, Сообщение станет отправной точкой для разработки стратегического плана «Транспорт-Технология» на европейском уровне, который станет опорой Белой книги по исследованиям и инновациям. Цель заключается в обеспечении последовательного подхода между различными источниками финансирования научных исследований и инноваций в области транспорта на следующий финансовый период. План определит приоритетные направления и предложит конкретные меры по преодолению барьеров, стоящих на пути реализации.

104

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52 Mobility

Transport infrastructure is the priority of Baku Metropolitan Development Plan [ by Pamela Luică ]

The Greater Baku Regional Development Plan – 2030 aims to develop the Absheron Peninsula (east coast of Azerbaijan) so that the region would become a global centre of trade in different economies, to improve the environment, to deliver high quality of lifestyle and to create integrated relationships between the region and the rest of the country. Apart from the plans for the development of industry, business environment and energy, the implementation of the project is expected to develop mobility as a consequence to rail transport development.

T

he rapid growth and the extension authorities are facing serious problems of system being a necessity of a continuous of Baku urban area has determined space planning, the management of urban process. Currently, the region is served by decision makers to formulate a rapid growth, infrastructure delivery and a transport network which includes road, plan for the development of the region maintenance and implicitly its develop- railway and air transport (3 airports, of which requires the extension of the infra- ment in order to meet mobility challenges which one international airport in Baku), structure. The elaboration of the new Plan and the investors’ needs and to define ef- rail public transport systems (tram and is guided by the strategy on supporting the ficient and sustainable development poli- metro) and the Port of Baku. At present, sustainable development of the urban en- cies. the authorities are carrying out the convironment.

The Absheron Peninsula, or the greater struction of the Port of Alat (the construcThe Absheron Peninsula, with three im- metropolitan area of Baku capital, expands tion contract was signed in February) and portant cities, is the most dynamic Az- from Alat (south) to Sumgayit and Xizi the project stipulates the construction of erbaijani region in terms of economic, so- regionGREATER (north) B with Caspian D Sea in an international (65 km from Baku,Rin AKUthe REGIONAL EVELOPMENT PLAN – Eport XISTING SITUATION EPORT cial and industrial activities and draws the the east. It has a population of 2.6 million Alat) which is due in late 2015. The port attention of investors, especially in the in- people. Based on the urbanisation growth will be built on a surface of 400 hectares, dustrial segment supported by natural re- rates, the number of citizens will reach 3.6 100 ha of which will be dedicated to the sources (mainly oil), economic resources million by 2030, challenging the authori- international logistics centre. RegardMetro operates sinceindustries.

1967 and has 23 metro stations roads and the benefits of developing tiescurrently in all the economic, social and enviing theand freightunderground volume, in the first phase the In order to encourage industrial developronmental segments. freight volumes are expected to reach 10 length of which reaches to 34.7km. The average distance between stations is 1.67km. ment and activity development areas, the million tonnes and 40,000 TEUs by 2014, Recentlyplan a new project initiatedAuthorities for the development plan of Baku Metrophase, to 2030.

Thetonnes current authorities to increase the volume encourage railway in the second 17 million of industrial production 2, 3 times focus- transport and 150,000 TEUs and in the third phase, development plan suggestand that 5 lines should be developed 21-25 million tonnes and 1 million TEUs. ing their plans on the manufacturing processing of iron, the electro-technical Within the policies, the transport system The port will be equipped with necessary It electronic is planned to caropen metro stations intheKhirdalan, Sabunchu, and industry and manufacis the main element for development of Binagadi, infrastructure, including railway, Guneshli, deliverturing and components.

Also, industry dethe region, all economic and social sectors ing easy access.

The Plan includes the conGarachukhur, Badamdar, Bibiheybat, Keshla and other settlements. velopment opportunities are delivered by depending on the transport services and struction of a new international airport in the support granted to the oil and energy infrastructure. In this context, planning is Alat.

Furthermore, construction of land lines to Sumgait city and Baku International Airport industries. aimed route at ensuring the delivery of the transIn spite of a strong founda- portplan services meet mobility was included toeconomic the development ofthatBaku metro.demands, “In the future, Alat will become the tion and of competitive advantages, local the development of an efficient transport centre of Azerbaijan for trade, transport

Table 9.1. Metro transport

Metro transport

Years The number of metro stations The length of using lines, km (including two way line) The number of passenger wagons Passenger transportation, million passenger Over the previous year, % Passenger turnover, million passenger/km Over the previous year, % Source: GBRDP Existing Situation Report, By Baku State Project Institute (Baki Dovlet Layiha) - August 2012

www.railwaypro.com | August 2013

9.5.

Air Transportation

2005 20 29.9 269 147.0 107.3 1 381 107.3

2006 20 29.9 237 161.0 109.6 1 514 109.6

2007 20 29.9 244 175.7 109.1 1 652 109.1

2008 21 31.5 274 200.4 114.1 1 884 114.0

2009 23 34.7 269 206.1 102.9 1 937 102.9

2010 23 34.7 251 181.1 87.9 1830 94.4

Figure 2: Greater Baku area Greater Baku area

SUMGAYIT

XIRDALAN BAKU

Source: Greater Baku Regional Development Plan

and logistics. Its geographical position is favourable to the main transport lines of the country that cross the region. At the moment, we are developing works for the construction of the international commercial port and we will build an oil refinery plant in Sangachal, a petrochemical cenbut also an airport”, declared the direcGreatertre, Baku Regional Development Plan tor of the Development Plan work group, Novruz Eldarli, in July.

In this region, Baku is the country’s railExpansion of the Metro System in Baku Figure 6.5.9: Expansion of the Metro System in Baku

Greater Baku Regional Development Management Framework

Source: Greater Baku Regional Development Management Framework

Note: Correction to the legend: The 2 existing metro lines are shown in solid green and solid red lines. Lines under construction are shown as a broken green line and planned lines are shown as dotted red , green, blue and brown lines /5/.

There is a series of urban redevelopment and regeneration projects comprizing residential, industrial and cultivation areas within the city of Baku. The redevelopment of the Center of the Baku City covers primarily the western bank of the Baku Bay including new internal roads and tunnels along with promonades. The large new residential area project in the Garadagh Reyon (in the north of Lökbatan) extends over a 4,000 ha of land.

way hub providing efficient domestic, as well as international links. Baku is also the origin of the future line Baku-Tbilisi-Kars where construction works are underway.

The commissioning of this railway will play an important role in the development of the region and of participating countries (Turkey, Azerbaijan and Georgia).

As part of the Regional Plan, by 2030, the Absheron Peninsula could benefit from railway connections through highspeed lines (the first line in plan will cross the peninsula on a distance of 90 km). The implementation of the project will significantly reduce road traffic and will eliminate the necessity of building the initially designed highways.

Public transport in the urban areas and between the localities of the region is currently provided by private services of bus, minibus, metro, tram and trolleybus. Even though the provision of transport services is carried out without significant problems, the authorities plan to implement projects for the development of rail transport, in both urban and suburban areas.

The most efficient public transport mode

mobility

53

is believed to be railway transport, the metro system being the most important and efficient transport mode in Baku. To that end, the authorities decided to adopt the development plan of the metro system, currently comprising 2 lines (34.5 km) and extensions of lines will be developed by the end of the year. 5 new stations will be commissioned by 2016. Under the adopted development plan, by 2030, the network will be extended to 5 lines (119 km) with 76 stations. The authorities also want to reintroduce tram lines.

The Greater Baku Regional Development Plan will also introduce new public transport modes, especially on rails. “At the moment, it is necessary to develop new public transport modes in Baku and we are referring to the light metro and the suspended train. The region requires the development of the medium-distance rail transport service for the transport of commuters. For example, a line on the Sumgayit – Alat route could be built which will also require the construction of 5 stations (Alat, Sangachal, Lokbatan, Hyrdalan, and Sumgayit). These stations will be connected to public transport stations to encourage commuters to use public transport”, said Novruz Eldarli.

Thus, the plan includes the development and modernisation of public transport, including the development of infrastructure, so that “private motorized transport would be at a disadvantage for distances of around 20 km, a car being irrelevant as transport mode in the cities”, said Eldarli.

In order to implement the Greater Baku Regional Development Plan, preliminary estimates show costs will amount to over USD 6.3 Billion (AZN 4-5 Billion) and the final version will be adopted over the next months.

Транспортная инфраструктура является одним15из приоритетов для Программы развития города Баку Региональная программа развития города Баку-2030 направлена на развитие Полуострова Абшерон (Восточное побережье Азербайджана) для того, чтобы регион стал глобальным центром коммерческих сделок разных стран, в условиях оптимизации окружающей среды и обеспечения высокого качества образа жизни и формирования интегрированных отношений региона с остальной частью частью страны. Кроме планов развития промышленности, деловой среды и энергетики, реализация проекта нацелена на развитие мобильности, основанной на развитии транспорта на рельсах.

August 2013 | www.railwaypro.com

which it levelled off for few years. The level of investment rose temporarily between 2008 and 2009, likely driven by economic stimulus spending and declining GDP. After 2009, the investment share has declined back to 0.85% in the OECD area (Figure 1).

54 statistics Figure 1. Investment in inland transport infrastructure in the OECD 1995-2011 percentage of GDP, at current prices exchange rates) Investment(as in ainland transport infrastructure in theand OECD 1995-2011 (as a percentage of GDP, at current prices and exchange rates) 1.2

1

0.8

% 0.6

0.4

SPENDING ON TRANSPORT INFRASTRUCTURE 1995-2011

0.2Volume of investment in inland transport infrastructure 2.2.

The volume of investment (expenditure in real terms) in the OECD total (excluding Japan) 0 has grown around 30% in the last 15 years. Japan has followed a different trajectory 1995nearly 1996 1997 1998in1999 2000 2001 2002 and 2003its2004 2005 2006 2007 enough 2008 2009 2010 2011 (volume halving the same period) economy is large to affect the overall volume for the OECD significantly.

If data for Japan are included, the volume of TheSource: most recent data on gross fixed capital formation (investment) in inland transport infrastructure (road, rail and inland waterInternational Transport Forum at the OECD estimate. the OECD peaked in 2003 which it has stable ways) investment as a percentagein of Gross Domestic Product (GDP) showsafter a slowly declining trendremained for the OECDfairly as a whole overslightly the period since Note: OECD includes countries; excludes non-ITF and Chile time data collection); no The 1995.above The investment sharelevel. of31 GDP declined steadily from 1.0% states ina1995 tofall 0.85% 2004 (at afterthe which it of levelled offas forvolume few years. the 1995 The latest data show 6%Israel in in investment since 2009 data for Korea. methodological page 54likely for details on economic data and stimulus coverage. level of investment roseSee temporarily betweennote 2008on and 2009, driven by spending and declining GDP. After declines close to the level (Figure 4).

2009,1995 the investment share has declined back to 0.85% in the OECD area.

The International Transport Forum (and the former ECMT) has collected data on investment Figure 4. Volume of investment in inland transport infrastructure 1995-2010 and maintenance expenditure on transport infrastructure since the late 1970s. In Western (at constant prices,infrastructure 1995=100) Volume of investment in inland2005 transport 1995-2010 Europe, the investment share of GDP declined steadily from 1.5% in 1975 to 1.2 % in 1980 and further to 1.0% in 1982 after which it levelled off. Our latest data show that since 1995 OECD has excl Japan the GDP share of investmentOECD in inland transport infrastructure remained between 0.8% and 0.9% in Western European countries (WEC). There are only few exceptions from this 140 trend, notably Greece, Spain, Switzerland and Portugal which show significantly higher GDP shares over the period (reaching 1.6% â&#x20AC;&#x201C; 2.0%). Since 2007, however, Greece and Portugal have 130 converged closer to the WEC average, investments declining to around 1.0% of GDP. Data for North America also show a constant GDP share (0.6%) below the OECD average.

120

6 110

Š OECD/ITF 2013

100 90 80 70 60

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Source: International Transport Forum at the OECD.

The volume of investment (expenditure in real terms) in the OECD total (excluding Japan) has grown around 30% in the last 15 years. In Western European countries, the volume of investment started growing in 2002, and was nearly 30% above the 1995 level in 2006 after which the volume declined. The latest data for 2011 show volume only 10% higher than the 1995 level.

In Western European countries, the volume of investment started growing in 2002, and was nearly 30% above the 1995 level in 2006 after which the volume declined. The latest data for 2011 show volume only 10% higher than the 1995 level. The volume of inland www.railwaypro.com | August 2013 infrastructure investment in North America grew by around 30% from 1995 to 2001. Our

SPENDING ON TRANSPORT INFRASTRUCTURE 1995-2011

statistics

55

Figure 5. Volume of investment in inland transport infrastructure by region 19952010 (at constant 2005 prices, 1995=100)

Volume of investment in inland transport infrastructure by region 1995-2010 WEC

CEEC

North America

Japan

Russia

Australasia

350 300 250 200 150 100 50 0

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

The volume of infrastructure investment has accelerated strongly in developing and transition economies, notably in Central and Eastern SPENDING ON TRANSPORT INFRASTRUCTURE 1995-2011 International Transport Forum turned at the OECD. EuropeanSource: countries since 2003.

This growth negative after reaching a record level in 2009. Investment in inland transport infrastructure declined 11% in real terms from 2009 to 2010. Data for 2011 show a renewed growth as volume of investment grew again by 10%.

2.2. Modal Figure split of 6. investment Distribution of infrastructure investment between modes

Distribution(Euros, of infrastructure investment between modes current prices, current exchange rates)

The share of rail investment of total inland transport infrastructure investment Western European countries Central and Eastern European countrieshas increased from 17% to 23% for the OECD total from 1995 to 2011, according to our estimates. ThisIWW trend is mainly determined by developments Data Rail Road Road IWW in Japan Rail and Europe. presented in Figure 6 show long-run trends in the modal share of investment in Western 100% and Central and Eastern European 100% European countries. In the Western European countries, the share of investment in rail infrastructure has increased steadily from around 20% of 90% 90% total investment in inland transport infrastructure in 1975 to 30% in 1995 and further to 40% 80% in 2011. The trend observed in our data 80% for Western Europe is partly a reflection of political commitment to development of railways and the most recent data does not seem 70% 70% to indicate any change in this respect.

60%

60%

0%

0%

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Whereas Western European countries have increasingly directed their investment toward rail, Central and Eastern European countries are 50% 50%investing more heavily in roads. The share of roads in inland transport infrastructure investment increased from 66% in 1995 to 84% 40% in this region. The last few years, however, 40% in 2005 suggest a stabilisation of the trend and the modal split of investment has remained at30% 2005 level in 2011 (Figure 5). Russian 30% Federation differs from the above trends. The share of road has declined from 60% in 1995 20% 45% in 2011 of the total inland transport 20% to around infrastructure investment. Rail share, in turn has increased from 37% to account for over half (53%) in the same period, according 10% 10% to our data.

share of rail investment of total inland transport infrastructure investment has International Transport Forum at the OECD. 10 Source:The Š OECD/ITF 2013 increased from 17% to 23% for the OECD total from 1995 to 2011. Western European countries have increasingly directed their investment toward rail, Central and Eastern European countries are investing more heavily in roads. As for Russian Federation, the 2.3. Road maintenance share of road has declined from 60% in 1995 to around 45% in 2011 of the total inland transport infrastructure investment. Rail share, in turn has increased from 37% to account for over half (53%) in the same period.

In many countries observers have raised concerns about underfunding of road assets and the state of existing road infrastructure and its impacts on the competitiveness of the Funding Rail infrastructure: economy. Funding for road maintenance, particularly, may be postponed on the expectation that a lack of maintenance asset infrastructure failure. This concern Public budgets remain the principal source of funding forwill not result In theimminent railway sector, investments are most often is, however, difficult to verify due to lack of data on theby condition of road assets. transport infrastructure investment.

Countries are increasingly financed the government.

In most European countries, railway

looking for alternative ways for funding transport infrastructure. operators are state owned enterprises. In Germany, for example, The available data road spending suggest that balance betweenisroad maintenance Nearly all countries indicated the use ofon Public-Private Partnerthe the Federal government responsible for funding new construcinvestmentprojects. has been relatively The share public ship (PPP) in transportand infrastructure The level of constant private over time in many tion regions. and upgrading the of infrastructure. expenditure on maintenance in total road expenditure has remained between 25% and participation differs widely by type of asset. Other sources of However, railway infrastructure companies have to bear the 35%. include In the 28 OECD arrangements countries for which data are available through 2009, the a charge for the funding, mainly for CEECs, financial undercomparable maintenance cost of the rail network through sharethe of maintenance in total road spending grew overall 27% in 1995 to 33% in European Union various EU programmes, European Investment Bank, and use offrom the network according to the 2005 which gradually declined, to 30% in 2009. This declining trend is reinforced by EBRD andafter World Bankitloans. regulation on track access charges. data on 18 OECD countries up until 2011 which suggest further decline to 27% in 2011.

Source: Spending on Transport Infrastructure 1995-2011. Trends, Policies, Data. Š OECD/ITF 2013

Data further suggest that funds allocated for road maintenance have declined especially in Central and Eastern European countries over the last few years, falling from above 35% in early 2000 to 26% of total road spending in 2011. In the eleven Western European countries for which comparable data are available, data suggest a surge in maintenance August 2013 | www.railwaypro.com spending in 2005 after which the maintenance share has gradually fallen back to previous levels (27% of total spending). Similarly, the road maintenance share in North America has

56 Mobility

Bucharest: Railway or metro line for link to Henri Coandă – Otopeni Airport [ by Pamela Luică ]

Construction of Line 6 of Bucharest Metro has generated various opinions from the authorities as far as the implementation of the project is concerned and these opinions have relied on different criteria: from establishing the route of the line and the need for investments to the passenger flow. Under the project, the line will have 14.2 km and will provide the link between the network and Henri Coandă – Otopeni International Airport. A project announced long time ago and which would link Gara de Nord to the Airport would be the construction of a railway line.

T

he underground line 6 will in- meet transport demands as it would play clude the construction of 14.2 km an important role in the transport sysof double track with 12 stations tem by creating a link between transport and 12 trains which requires investments modes: railway and air. of over EUR 1 Billion and would cross Although in March, former Minister of important areas of Bucharest that are con- Transport Relu Fenechiu announced that stantly developing. The population that this section is in the design phase, and will be the direct beneficiaries of the line is that the authorities were trying to access estimated at around 150,000 passengers/ European funds to finance works, in July day and around 100,000 people will ben- he made a declaration that contradicted efit indirectly of the line due to the reduc- those said earlier in the year. He said the tion of the surface traffic. investment for Line 6 was “enormous” and The project will ease traffic, revive so- it was not explained by the existing traffic cial and economic activities and stimulate and that he would come up with a surface, the development of suburbs in the north- cheaper project instead. “I don’t think that ern area of the capital whose urbanisation we will ever have as many passengers as to level is expected to know a steady increase. make this line efficient. If this line is only The consultancy contract on the prepara- to connect the Otopeni Airport to Gara de tion, design and supervision of works was Nord, I want you to think that the maxisigned at the end of 2011 with a consor- mum level of passengers that the line can tium of Padeco Japan in JV with Oriental have is the maximum level of passengers Consultants Japan and Metroul SA (Ro- of the airport.” The minister compared mania) for EUR 66.6 Million. The contract the level of passengers on a similar section was financed through a JICA credit and of Metrorex, saying that “it is 100 times from the state budget. For 2012, Metrorex higher”.

(Bucharest metro company) announced The current problem is the contract the notice of intent for the line construc- signed with the Japanese side which apCĂLĂTORI TRANSPORTAŢI tion bid. proved the implementation of the line.

If the project would be launched in There is another project which could en2013, the commissioning deadline will sure the connection between the city and be 2019, but currently the project waits the airport, that of the infrastructure manTrafic de călători perioada 2000 - 2012 for the approval of the latest technicalînand ager, CFR SA, regarding the construction economic indicators. The new line could of a railway line. There is already a railway Bucharest Metro - Passengers traffic 200,000,000 180,000,000

160,000,000 140,000,000 120,000,000 100,000,000

80,000,000 60,000,000 40,000,000 20,000,000

0 2000

2001

2002

Source: METROREX

www.railwaypro.com | August 2013

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012 Estimat

line which ensures the fuel supply of the airport. The design and execution of works are estimated at around EUR 350 Million.

The idea of the overground (railway) infrastructure has also been approved by the former minister who proposed the construction of this line in the underground in the neighbourhood of the airport. The project is much cheaper and the travel time is similar.LINII DE METROU ÎN PRE

Linia 6 metrou Interna Otopen

Valoare

Lungim Număr Număr

Sursa d JICA ş

Termen 2013 Termen funcţiun

Stadiul avizare econom

Бухарест: Железная дорога или линия метро для связи с Аэропортом им. Генри Коандэ - Отопень Строительство 6-й магистрали Бухарестского метрополитена столкнулось с многочисленными мнениями властей насчет реализации проекта или отказа от него, в зависимости от различных критериев: от маршрутизации линии и необходимости инвестировать до пассажирского потока. Согласно проекту, линия рассчитана иметь 14,2 км и обеспечивать сообщение между сетью метро и Международным аэропортом им. Генри Коандэ - Отопень. Проект был объявлен давно, и он касается сообщения между Северным Вокзалом и Аэропортом по железной дороге.

Paşcani

Address : Str. Gării nr. 18, cod 705200, Paşcani, jud. Iaşi - România Phone : +40-232-71.83.00 Fax : +40-232-76.51.40 E-mail : office@electroputerevfu.ro