WP3 – Activity 3.2
Mapping of current EU & SEE Regional policies
Ministry of Development, Competitiveness, Infrastructure, Transport and Networks (GR) – Lead Partner Project title: Green Intermodal Freight Transport Project acronym: GIFT Due date of deliverable: 01/12/2012 Actual submission date: 11/03/2013 Responsible and contributing partners:
Name Acronym PP number Role Hellenic Ministry of Development, Competitiveness, MITN-GR LP Responsible Infrastructure, Transport and Networks (Greece) IFKA Public Benefit Non-Profit Ltd for the Development of the IFKA ERDF PP8 Contributor Industry (Hungary) National Company - The Maritime Danube Ports Administration CN APDM SA Galati ERDF PP5 Contributor SA Galati (Romania) Republic of Slovenia, Ministry of Transport (Slovenia) SI MOT EU ASP4 Contributor Institute of Traffic and Transport Ljubljana l.l.c. (Slovenia) PI ERDF PP8 Contributor Ministry for infrastructures and transport - Rail Regulator's Office URSF EU ASP8 Contributor (Italy) Verona Innovation – Special Agency of the Chamber of VERINN ERDF PP7 Contributor Commerce of Verona (Italy) Executive Agency Maritime Administration (Bulgaria) BMA ERDF PP9 Contributor Regional Chamber of Commerce and Industry Krucevac (Serbia) RCCI Krusevac IPA-I PP1 Contributor Faculty of Transport and Traffic Sciences (Croatia) FPZ IPA-I PP4 Contributor
1 Mapping of current EU & SEE Regional policies
Change Record
Rev N Description Author (partner)
0 Draft IFKA Public Benefit Non-Profit Ltd for the Development of the Industry (Hungary)
1 Draft National Company - The Maritime Danube Ports Administration SA Galati (Romania)
2 Draft Republic of Slovenia, Ministry of Transport (Slovenia)
3 Draft Institute of Traffic and Transport Ljubljana l.l.c. (Slovenia)
4 Draft Ministry for infrastructures and transport - Rail Regulator's Office (Italy)
5 Draft Verona Innovation – Special Agency of the Chamber of Commerce of Verona (Italy)
6 Draft Executive Agency Maritime Administration (Bulgaria)
7 Draft Regional Chamber of Commerce and Industry Krucevac (Serbia)
8 Draft Faculty of Transport and Traffic Sciences (Croatia) 9 Final Hellenic Ministry of Development, Competitiveness, Infrastructure, Transport and Networks (Greece) Review: Dora Riska, Rodanthi Sfakianaki, Vassiliki Kolovou, Domna Papamichail, Elli Papakosma.
TABLE OF CONTENTS
Executive Summary ...... 1 Introduction ...... 13
1.1 Overview of activity ...... 13
1.2 Objectives ...... 13
2 EU & Regional Policies ...... 14
2.1 Transport – General ...... 14
2.1.1 Overview of freight transport sector ...... 14
2.1.2 Key strategic policies for freight transport ...... 18
2.2 Transport - CO2 emmissions ...... 20
2.2.1 Reduction and Targets ...... 20
2.2.2 Vehicle technologies ...... 21
2.2.3 Charging and Emissions trade ...... 21
2 Mapping of current EU & SEE Regional policies
2.3 Transport – Sustainability ...... 22
2.3.1 Network planning ...... 22
2.3.2 Intelligent transport systems ...... 26
2.3.3 Innovation ...... 27
2.3.4 Internalisation of external costs ...... 29
2.3.5 KPIs ...... 30
2.4 Transport - Promotion of rail, sea and inland waterway...... 32
2.4.1 Integration ...... 32
2.4.2 Incentives ...... 34
2.5 Enhancement of competitiveness of the private sector ...... 35
2.6 Incentives for sparking growth and for moving into new technologies ...... 36
2.6.1 Institutional ...... 36
2.6.2 Organisational...... 37
2.6.3 Financial ...... 38
2.7 Infrastructure development through EU and national funding ...... 39
2.7.1 Financial instruments for development ...... 39
2.7.2 Non-Financial instruments for development ...... 40
3 National policies ...... 42
3.1 Bulgaria ...... 42
3.1.1 Transport – General ...... 42
3.1.1.1 Overview of freight transport sector ...... 42
3.1.1.2 Key strategic policies for freight transport ...... 47
3.1.2 Transport - CO2 emissions ...... 50
3.1.2.1 Reduction and Targets ...... 50
3.1.2.2 Vehicle technologies ...... 52
3.1.2.3 Charging and emissions trade ...... 53
3 Mapping of current EU & SEE Regional policies
3.1.3 Transport – Sustainability ...... 55
3.1.3.1 Network Planning ...... 55
3.1.3.2 Intelligent transport systems ...... 58
3.1.3.3 Innovation ...... 59
3.1.3.4 Internalisation of external costs ...... 62
3.1.3.5 KPIs ...... 62
3.1.4 Transport - Promotion of rail, sea and inland waterway ...... 63
3.1.4.1 Integration ...... 63
3.1.4.2 Incentives ...... 66
3.1.5 Enhancement of competitiveness of the private sector ...... 67
3.1.6 Incentives for sparking growth and for moving into new technologies ...... 69
3.1.6.1 Institutional ...... 69
3.1.6.2 Organisational...... 69
3.1.6.3 Financial ...... 69
3.1.7 Infrastructure development through EU and national funding PPPs ...... 71
3.1.7.1 Financial instruments for development ...... 71
3.1.7.2 Non-financial instruments for development ...... 71
3.2 Croatia ...... 78
3.2.1 Transport – General ...... 78
3.2.1.1 Overview of freight transport sector ...... 78
3.2.1.2 Key strategic policies for freight transport ...... 80
3.2.2 Transport - CO2 emissions ...... 85
3.2.2.1 Reduction and Targets ...... 86
3.2.2.2 Vehicle technologies ...... 87
3.2.2.3 Charging and emissions trade ...... 87
3.2.3 Transport – Sustainability ...... 88
4 Mapping of current EU & SEE Regional policies
3.2.3.1 Network Planning ...... 88
3.2.3.2 Intelligent transport systems ...... 90
3.2.3.3 Innovation ...... 92
3.2.3.4 Internalisation of external costs ...... 93
3.2.3.5 KPIs ...... 94
3.2.4 Transport - Promotion of rail, sea and inland waterway ...... 96
3.2.4.1 Integration ...... 96
3.2.4.2 Incentives ...... 97
3.2.5 Enhancement of competitiveness of the private sector ...... 98
3.2.6 Incentives for sparking growth and for moving into new technologies ...... 100
3.2.6.1 Institutional ...... 100
3.2.6.2 Organisational...... 101
3.2.6.3 Financial ...... 102
3.2.7 Infrastructure development through EU and national funding PPPs ...... 102
3.2.7.1 Financial instruments for development ...... 102
3.2.7.2 Non-financial instruments for development ...... 102
3.3 Greece...... 103
3.3.1 Transport – General ...... 103
3.3.1.1 Overview of freight transport sector ...... 105
3.3.1.2 Key strategic policies for freight transport ...... 108
3.3.2 Transport - CO2 emissions ...... 117
3.3.2.1 Reduction and Targets ...... 121
3.3.2.2 Vehicle technologies ...... 127
3.3.2.3 Charging and emissions trade ...... 127
3.3.3 Transport – Sustainability ...... 128
3.3.3.1 Network Planning ...... 132
5 Mapping of current EU & SEE Regional policies
3.3.3.2 Intelligent transport systems ...... 135
3.3.3.3 Innovation ...... 137
3.3.3.4 Internalisation of external costs ...... 141
3.3.3.5 KPIs ...... 146
3.3.4 Transport - Promotion of rail, sea and inland waterway ...... 148
3.3.4.1 Integration ...... 148
3.3.4.2 Incentives ...... 152
3.3.5 Enhancement of competitiveness of the private sector ...... 152
3.3.6 Incentives for sparking growth and for moving into new technologies ...... 153
3.3.6.1 Institutional ...... 154
3.3.6.2 Organisational...... 156
3.3.6.3 Financial ...... 158
3.3.7 Infrastructure development through EU and national funding PPPs ...... 160
3.3.7.1 Financial instruments for development ...... 164
3.3.7.2 Non-financial instruments for development ...... 166
3.4 Hungary ...... 168
3.4.1 Transport – General ...... 168
3.4.1.1 Overview of freight transport sector ...... 169
3.4.1.2 Key strategic policies for freight transport ...... 171
3.4.2 Transport - CO2 emissions ...... 176
3.4.2.1 Reduction and Targets ...... 177
3.4.2.2 Vehicle technologies ...... 178
3.4.2.3 Charging and emissions trade ...... 179
3.4.3 Transport – Sustainability ...... 180
3.4.3.1 Network Planning ...... 180
3.4.3.2 Intelligent transport systems ...... 182
6 Mapping of current EU & SEE Regional policies
3.4.3.3 Innovation ...... 183
3.4.3.4 Internalisation of external costs ...... 184
3.4.3.5 KPIs ...... 190
3.4.4 Transport - Promotion of rail, sea and inland waterway ...... 191
3.4.4.1 Integration ...... 191
3.4.4.2 Incentives ...... 192
3.4.5 Enhancement of competitiveness of the private sector ...... 192
3.4.6 Incentives for sparking growth and for moving into new technologies ...... 193
3.4.6.1 Institutional ...... 193
3.4.6.2 Organisational...... 193
3.4.6.3 Financial ...... 195
3.4.7 Infrastructure development through EU and national funding PPPs ...... 198
3.4.7.1 Financial instruments for development ...... 198
3.4.7.2 Non-financial instruments for development ...... 199
3.5 Italy ...... 201
3.5.1 Transport – General ...... 201
3.5.1.1 Overview of freight transport sector ...... 201
3.5.1.2 Key strategic policies for freight transport ...... 202
3.5.2 Transport - CO2 emissions ...... 204
3.5.2.1 Reduction and Targets ...... 205
3.5.2.2 Vehicle technologies ...... 206
3.5.2.3 Charging and emissions trade ...... 207
3.5.3 Transport – Sustainability ...... 207
3.5.3.1 Network Planning ...... 207
3.5.3.2 Intelligent transport systems ...... 207
3.5.3.3 Innovation ...... 208
7 Mapping of current EU & SEE Regional policies
3.5.3.4 Internalisation of external costs ...... 208
3.5.3.5 KPIs ...... 209
3.5.4 Transport - Promotion of rail, sea and inland waterway ...... 209
3.5.4.1 Integration ...... 209
3.5.4.2 Incentives ...... 209
3.5.5 Enhancement of competitiveness of the private sector ...... 213
3.5.6 Incentives for sparking growth and for moving into new technologies ...... 214
3.5.6.1 Institutional ...... 214
3.5.6.2 Organisational...... 214
3.5.6.3 Financial ...... 214
3.5.7 Infrastructure development through EU and national funding PPPs ...... 214
3.5.7.1 Financial instruments for development ...... 214
3.5.7.2 Non-financial instruments for development ...... 214
3.6 Romania ...... 217
3.6.1 Transport – General ...... 217
3.6.1.1 Overview of freight transport sector ...... 218
3.6.1.2 Key strategic policies for freight transport ...... 221
3.6.2 Transport - CO2 emissions ...... 222
3.6.2.1 Reduction and Targets ...... 223
3.6.2.2 Vehicle technologies ...... 224
3.6.2.3 Charging and emissions trade ...... 228
3.6.3 Transport – Sustainability ...... 229
3.6.3.1 Network Planning ...... 229
3.6.3.2 Intelligent transport systems ...... 231
3.6.3.3 Innovation ...... 232
3.6.3.4 Internalisation of external costs ...... 233
8 Mapping of current EU & SEE Regional policies
3.6.3.5 KPIs ...... 235
3.6.4 Transport - Promotion of rail, sea and inland waterway ...... 236
3.6.4.1 Integration ...... 241
3.6.4.2 Incentives ...... 241
3.6.5 Enhancement of competitiveness of the private sector ...... 242
3.6.6 Incentives for sparking growth and for moving into new technologies ...... 242
3.6.6.1 Institutional ...... 245
3.6.6.2 Organisational...... 245
3.6.6.3 Financial ...... 246
3.6.7 Infrastructure development through EU and national funding PPPs ...... 246
3.6.7.1 Financial instruments for development ...... 247
3.6.7.2 Non-financial instruments for development ...... 249
3.7 Serbia ...... 251
3.7.1 Transport – General ...... 251
3.7.1.1 Overview of freight transport sector ...... 252
3.7.1.2 Key strategic policies for freight transport ...... 254
3.7.2 Transport - CO2 emissions ...... 260
3.7.2.1 Reduction and Targets ...... 262
3.7.2.2 Vehicle technologies ...... 265
3.7.2.3 Charging and emissions trade ...... 266
3.7.3 Transport – Sustainability ...... 266
3.7.3.1 Network Planning ...... 267
3.7.3.2 Intelligent transport systems ...... 271
3.7.3.3 Innovation ...... 273
3.7.3.4 Internalisation of external costs ...... 275
3.7.3.5 KPIs ...... 276
9 Mapping of current EU & SEE Regional policies
3.7.4 Transport - Promotion of rail, sea and inland waterway ...... 278
3.7.4.1 Integration ...... 278
3.7.4.2 Incentives ...... 279
3.7.5 Enhancement of competitiveness of the private sector ...... 279
3.7.6 Incentives for sparking growth and for moving into new technologies ...... 280
3.7.6.1 Institutional ...... 280
3.7.6.2 Organisational...... 281
3.7.6.3 Financial ...... 282
3.7.7 Infrastructure development through EU and national funding PPPs ...... 282
3.7.7.1 Financial instruments for development ...... 282
3.7.7.2 Non-financial instruments for development ...... 285
3.8 Slovenia ...... 287
3.8.1 Transport – General ...... 287
3.8.1.1 Overview of freight transport sector ...... 287
3.8.1.2 Key strategic policies for freight transport ...... 288
3.8.2 Transport - CO2 emissions ...... 289
3.8.2.1 Reduction and Targets ...... 290
3.8.2.2 Vehicle technologies ...... 292
3.8.2.3 Charging and emissions trade ...... 293
3.8.3 Transport – Sustainability ...... 294
3.8.3.1 Network Planning ...... 294
3.8.3.2 Intelligent transport systems ...... 295
3.8.3.3 Innovation ...... 296
3.8.3.4 Internalisation of external costs ...... 296
3.8.3.5 KPIs ...... 297
3.8.4 Transport - Promotion of rail, sea and inland waterway ...... 298
10 Mapping of current EU & SEE Regional policies
3.8.4.1 Integration ...... 298
3.8.4.2 Incentives ...... 298
3.8.5 Enhancement of competitiveness of the private sector ...... 303
3.8.6 Incentives for sparking growth and for moving into new technologies ...... 303
3.8.6.1 Institutional ...... 303
3.8.6.2 Organisational...... 303
3.8.6.3 Financial ...... 304
3.8.7 Infrastructure development through EU and national funding PPPs ...... 304
3.8.7.1 Financial instruments for development ...... 305
3.8.7.2 Non-financial instruments for development ...... 306
4 Conclusions ...... 307
4.1 DETAILED ANALYSIS ...... 307
4.1.1 Environment: CO2 emisions and green, sustainable transport ...... 307
4.1.2 Promotion of rail, sea, and inland waterway transport ...... 308
4.1.3 Enhancement of Competitivenss of the private sector ...... 309
4.1.4 Incentives for sparking growth and for moving into new technology ...... 310
4.1.4.1 Institutional incentives ...... 310
4.1.4.2 Organizational incentives ...... 310
4.1.4.3 Financial incentives ...... 311
4.1.5 Infrastructure development through EU and national funding ...... 311
4.1.5.1 Non-Financial instruments: ...... 312
4.1.5.2 Financial / Legal instruments: ...... 312
5 References ...... 313
5.1 List of documents used in the Bulgarian Contribution ...... 313
5.2 List of Documents used in the Serbian Contribution ...... 314
6 List of Abbreviations used in the Bulgarian Contribution ...... 315
11 Mapping of current EU & SEE Regional policies
7 List of Figures ...... 316
8 List of Tables ...... 317
12 Mapping of current EU & SEE Regional policies
1 Introduction
1.1 Overview of activity The scope of the Activity 3.2 “Mapping of current EU & SEE Regional policies” is to idenitfy the EU, Regional and National priorities that have been converted to policy, aiming at a better integration of the different modes of transport as a way to improve the overal efficiency of the GIFT transport system, including its environmental performance, to accelerate the deployment of innovative technologies and bussiness practices, and to spark economic growth through transport policy. The methodology of this Activity includes review of the current policies for intermodal transport, legislation, environmental performance (green aspects) for transport, and current institutional finacial tools (incentives, PPPs) per country involved. The policies, strategies and norms that we are going to review are as follows: -Environmental, CO2 emisions -Green and sustainable transport -Promotion of rail, sea, and inland waterway transport -Integration of distributed providers to organized and efficient logistics parks -Enhancement of Competitivenss of the private sector -Incentives for sparking growth and for moving into new technology -Infrastructure development through EU and national funding The mapping of current EU & SEE Regional policies will be accomplished by certain project partners that will conduct initially review, they will collect data, based on standardized data capture tools, and finally they will analyze them acordingly. Furthermore, the results of previous SEE projects such as SONORA (CE Program), WATERMODE, SETA, SEETAC and SEE Mariner will be taken into consideration, in order to minimise costs. Emphasis will also be given to certain EU position papers, such as the [COM(2009)279] -A sustainable future for transport: Towards an integrated, technology-led and user friendly system- as well as the EU flagship initiative entitled -Resource Efficient Europe- Europe 2020, A strategy for smart, sustainable, and inclusive growth-. The activities of WP3 are interrelated and critical to the overall success, as the combined results of the mapping activities will give an overview of the current status in terms of transport strategy, operations and policies in the three selected Pan- European Corridors ΙV, V and VII.
1.2 Objectives The main objective of the Activity 3.2 is to review the current policies in the transport sector, as defined by the EU and to investigate if and in which terms these policies are implemented on national level, by the countries of the SEE region that are represented in the GIFT project.
13 Mapping of current EU & SEE Regional policies
2 EU & Regional Policies
2.1 Transport – General
2.1.1 Overview of freight transport sector
For markets, the ability to move goods safely, quickly and cost-efficiently is important for international trade, national distributive trades and economic development. The rapid increase in global trade up to the onset of the financial and economic crisis and the deepening integration of the enlarged EU, alongside a range of economic practices (including the concentration of production in fewer sites to reap economies of scale, delocalization, and just-in-time deliveries), may explain the relatively fast growth of freight transport within the EU. In contrast, strains on transport infrastructure (congestion and delays), coupled with constraints over technical standards, interoperability and governance issues may slow down developments within freight transport sector. Total inland freight transport in the EU-27 was estimated to be close to 2 300 000 million tonne- kilometers (tkm) in 2010; a little over three quarters (76.4 %) of this freight total was transported over roads in 2010 (see Table 1). The share of freight that was transported inland by road was nearly four and a half times as high as the share transported by rail (17.1 %), while the remainder (6.5 %) of the freight transported in the EU-27 in 2010 was carried along inland waterways. It should be noted that this analysis refers only to inland freight transport and that considerable amounts of freight may be transported by maritime freight services and for some product groups by air transport or by pipelines.
Table 1: Modal split of inland freight transport, 2000 and 2010 (1) (% of total inland tkm) - Source: Eurostat (tsdtr220)
14 Mapping of current EU & SEE Regional policies
All freight within Cyprus and Malta was transported by road, due to the absence of any rail or inland waterway infrastructure; this was also the case in Iceland. Road transport accounted for more than nine tenths of inland freight transport in Ireland, Greece, Spain, Portugal, Luxembourg and Italy in 2010, as it did in Turkey (2007 data). In contrast, road transport accounted for less than half of inland freight transport in Latvia, Estonia and Romania: in Latvia and Estonia, a majority of inland freight was transported by rail, 61.9 % and 54.2 % respectively; in Romania, rail transport accounted for a little less than one quarter of the total and inland waterways for a little more than a quarter of the freight transported. Similarly as Latvia and Estonia, more than one third of inland freight was carried by rail in Lithuania, Sweden and Austria; this was also the case in Switzerland. More than 10 % of total inland freight was transported on the inland waterways of Belgium and Germany in 2010, with this share increasing to just over 20 % in Bulgaria, over 25 % in Romania (as already noted) and close to one third of the total in the Netherlands. The relative importance of road freight transport, as a share of total inland freight transport, rose by 2.7 percentage points in the EU-27 between 2000 and 2010, while the share carried by rail fell by a similar amount. Particularly large increases in the share of freight transported by road were recorded for Poland (an increase of 23.2 percentage points) and Slovakia (21.8 points), while double-digit increases were also observed in Bulgaria, Lithuania, Latvia, the Czech Republic and Slovenia. In eight Members States, the share of inland freight that was transported by road fell between 2000 and 2010, most notably in Austria (- 8.5 percentage points) and Belgium (-7.9 points). In most of the EU Member States, the change in the share of freight transported by road was accompanied by a similar and opposite change in the share transported by rail, although Romania and Bulgaria, and to a lesser extent Belgium, recorded substantial increases in their respective shares of inland freight transported by inland waterways. Inland freight transport grew at a slower pace in the EU-27 than constant price gross domestic product (GDP) during the period from 2000 to 2010; this can be seen from the index shown in Table 2, as the index value in 2010 was 1.4 % lower than in 2000. Nevertheless, it should be noted that this was in large part due to the developments during 2008 and 2009 when the index level fell sharply during the financial and economic crisis; in fact, between 2004 and 2008 the index was above 100 %, indicating that inland freight transport had increased more than GDP since 2000.
15 Mapping of current EU & SEE Regional policies
Table 2: Index of inland freight transport relative to GDP, 2000-2010
Comparing with the situation in 2000, Slovenia and Bulgaria recorded the greatest increase in inland freight transport relative to GDP, with their respective indices more than 50 % higher in 2010. In contrast, the ratio of inland freight transport to GDP fell at its most rapid pace between 2000 and 2010 in Denmark and Belgium, in both cases down more than one third.
Road freight
Relative to population size, road freight transport was highest among the EU Member States in Luxembourg, where over 17 000 tonne-kilometers of freight were transported by road per inhabitant in 2011 – this was around 2.2 times the next highest level recorded in Slovenia. In both cases, the vast majority of this road freight transportation was international, performed by vehicles registered in each of these EU Member States. Indeed, it is important to note that road freight statistics are generally based on movements, in the registration country or abroad, of vehicles registered in the reporting country (‘nationality principle’). Slightly more than two thirds of the goods transported on the EU-27’s roads in 2011 related to the transportation of goods on national road networks. However, this proportion varied considerably between 16 Mapping of current EU & SEE Regional policies
the EU Member States – see Figure 1: the highest proportions of national road freight transport were in Cyprus (98.1 %) and the United Kingdom (93.9 % in 2010), while the relative importance of national freight was much lower in Slovakia (16.8 %), Slovenia (13.2 %), Lithuania (10.8 %) and Luxembourg (7.4 %). For most freight hauliers registered in the EU, international road freight transport mostly relates to exchanges with other EU Member States (intra-EU partners).
Figure1: Road freight transport, 2011 (1 000 tonnes)- Source: Eurostat(ttr00011)
Air freight
About 14.5 million tonnes of air freight (both national and international) were carried through airports within the EU-27 in 2011 – see Figure 2. Airports in Germany dealt with 4.3 million tonnes of air freight, considerably more than in any other EU Member State – the United Kingdom had the second highest amount of air freight at 2.4 million tonnes. Some of the smaller EU Member States are relatively specialised in air freight, notably all of the Benelux countries, and in particular, Luxembourg (which ranked as the seventh largest air freight transporter among the EU Member States).
Figure 2: Air freight transport, 2011 (1 000 tonnes)- Source: Eurostat(ttr00011)
17 Mapping of current EU & SEE Regional policies
Maritime freight
Maritime ports in the EU-27 handled 3 641 million tonnes of seaborne goods in 2010, which marked an increase of 5.7 % when compared to 2009, following a decline of 12.1 % in 2009 and no change (-0.5 %) in 2008. Sea ports in the Netherlands and the United Kingdom handled in excess of 500 million tonnes of goods in 2010, while in Italy the level was slightly lower – see Figure 3. These three EU Member States collectively handled more than two fifths (42.4 %) of EU-27 seaborne freight. Relative to population size, the quantity of goods handled in the maritime ports of Estonia, the Netherlands, Latvia, Belgium, Finland and Sweden was high, as it was to a lesser extent in Denmark and Malta.
Figure 3: Gross weight of seaborne goods handled in ports, 2010 (1) (million tonnes) - Source: Eurostat (mar_go_aa)
2.1.2 Key strategic policies for freight transport One of the main challenges identified by the 2001 White paper, titled ‘European transport policy for 2010: time to decide’ (COM(2001) 370 final) was to address the imbalance in the development of different transport modes. A mid-term review of the White paper, titled ‘Keep Europe moving – sustainable mobility for our continent’ (COM(2006) 314 final) made a number of suggestions for new policy developments, which have been subsequently expanded upon in the form of a series of European Commission Communications, these include:
. The EU's freight transport agenda: boosting the efficiency, integration and sustainability of freight transport in Europe (COM(2007) 606 final);
. A freight transport logistics action plan (COM(2007) 607 final);
. A move towards a rail network giving priority to freight COM(2007) 608 final);
. A European ports policy (COM(2007) 616 final);
. A ‘Greening transport’ package (COM(2008) 433 final);
. A set of strategic goals and recommendations for the EU’s maritime transport policy until 2018 (COM(2009) 8 final);
. A European maritime transport space without barriers (COM(2009) 10 final).
18 Mapping of current EU & SEE Regional policies
. A Regulation (EU) No 913/2010 of the European Parliament and of the Council of 22 September concerning a European rail network for competitive freight: entered into force on 9 November 2010. The Regulation requests Member States to establish international market-oriented Rail Freight Corridors to meet three challenges, concerning:
the European integration of rail infrastructures by strengthening co-operation between Infrastructure Managers on investment and traffic management;
a balance between freight and passenger traffic along the Rail Freight Corridors, giving adequate capacity and priority for freight, in line with market needs and ensuring that common punctuality targets for freight trains are met;
the intermodality between rail and other transport modes by integrating terminals into the corridor management and development. As the ten-year period covered by the White paper drew to an end, the European Commission adopted a Communication in mid-2009 titled ‘A sustainable future for transport: towards an integrated, technology- led and user friendly system’ (COM(2009) 279 final). Following on from this, in March 2011 the European Commission adopted a White paper titled ‘Roadmap to a single European transport area – towards a competitive and resource efficient transport system’ (COM(2011) 144 final). This comprehensive strategy contains a roadmap of 40 specific initiatives for the next decade to build a competitive transport system that aims to increase mobility, remove major barriers in key areas and fuel growth and employment. The European Commission launched the Europe 2020 Strategy in March 2010 to address the economic crisis and prepare the EU economy for the challenges of the next decade. Europe 2020 sets out a vision to achieve high levels of employment, a low carbon economy, productivity and social cohesion, to be implemented through concrete actions at EU and national levels. It is about more than just overcoming the crisis, which continues to afflict many of our economies. It is about addressing the shortcomings of our growth model and creating the conditions for a different type of growth that is smarter, more sustainable and more inclusive. Europe 2020 puts forward three mutually reinforcing priorities: – Smart growth: developing an economy based on knowledge and innovation. – Sustainable growth: promοting a more resource efficient, greener and more competitive economy. – Inclusive growth: fostering a high-employment economy delivering social and territorial cohesion. The EU needs to define where it wants to be by 2020. To this end, the Commission proposes some EU headline targets.
These targets are interrelated and mutually reinforcing: o more R&D/innovation in the economy, combined with more efficient resources, makes us more competitive and creates jobs o investing in cleaner technologies combats climate change, while creating new business/job opportunities.
They give an overall view of where the EU should be on key parameters by 2020.
19 Mapping of current EU & SEE Regional policies
They are translated into national targets so that each Member State can check its own progress towards these goals.
They do not imply burden-sharing – they are common goals, to be pursued through a mix of national and EU action.
2.2 Transport - CO2 emmissions
2.2.1 Reduction and Targets Transport is responsible for around a quarter of EU greenhouse gas emissions, making it the second biggest greenhouse gas emitting sector after energy. Road transport alone contributes about one-fifth of the EU's total emissions of carbon dioxide (CO2), the main greenhouse gas. While emissions from other sectors are generally falling, those from transport have increased 36% since 1990. The EU has called for, and the international community agreed, on the need to drastically reduce world greenhouse gas emissions, with the goal of limiting climate change below 2ºC. Overall, the EU needs to reduce emissions by 80-95% below 1990 levels by 2050, in the context of the necessary reductions of the developed countries as a group, in order to reach this goal. Commission analysis shows that while deeper cuts can be achieved in other sectors of the economy, a reduction of at least 60% of GHGs by 2050 with respect to 1990 is required from the transport sector, which is a significant and still growing source of GHGs. By 2030, the goal for transport will be to reduce GHG emissions to around 20% below their 2008 level. Given the substantial increase in transport emissions over the past two decades, this would still put them 8% above the 1990 level. In the Europe 2020 Strategy one of the 5 proposed EU headline targets is referred to the Climate change and energy sustainability: – Reduce greenhouse gas emissions by at least 20% compared to 1990 levels or by 30%, if the conditions are right; increase the share of renewable energy sources in our final energy consumption to 20%; and a 20% increase in energy efficiency; One of the seven flagships initiatives of the Europe 2020 Strategy that the Commission is putting forward to catalyse progress under the above mentioned target is: – "Resource efficient Europe" to help decouple economic growth from the use of resources, support the shift towards a low carbon economy, increase the use of renewable energy sources, modernise our transport sector and promote energy efficiency. The White paper sets Ten Goals for a competitive and resource efficient transport system: benchmarks for achieving the 60% GHG emission reduction target until 2050, which can be summarised in the following headlines.
Developing and deploying new and sustainable fuels and propulsion systems,
Optimising the performance of multimodal logistic chains, including by making greater use of more energy-efficient modes,
Increasing the efficiency of transport and of infrastructure use with information systems and market based incentives
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Alternative fuels are urgently needed to break the over-dependence of European transport on oil. Transport in Europe is 94 % dependent on oil, 84 % of it being imported, with a bill up to EUR 1 billion per day, and increasing costs to the environment. The Clean Power for Transport package aims to facilitate the development of a single market for alternative fuels for transport in Europe. A proposal for a Directive on the deployment of alternative fuels infrastructure (COM(2013) 18) requires Member States to adopt national policy frameworks for the market development of alternative fuels and their infrastructure, sets binding targets for the build-up of alternative fuel infrastructure, including common technical specifications, and it defines the way of fuel labelling at refuelling points and on vehicles to ensure clarity in the consumer information on vehicle/fuel compatibility. Minimum infrastructure shall be provided, differentiated according to needs and technological maturity, for electricity, hydrogen, and natural gas (in gaseous form as Compressed Natural Gas (CNG), and in liquid form as Liquefied Natural Gas (LNG).
2.2.2 Vehicle technologies New and innovative low carbon technologies help to reduce greenhouse gas emissions and create new employment and growth. Europe is a leading player in the area of low carbon technologies and we are maintaining our leading position with a range of policy initiatives. Intelligent Transport Systems using Information and Communication Technologies contribute to greater efficiency of all transport modes, resulting in the reduction of CO2 emission. EU initiatives and EU- funded projects have developed smart mobility systems, including the air traffic management system of the future (SESAR), the European rail traffic management system (ERTMS) and rail information systems, maritime surveillance systems (SafeSeaNet), and River Information Services (RIS). ITS applications in transport demand management (road charging, access management, eco-driving support and multi- modality) can also substantially reduce CO2 emissions. Information technology and transport management tools are used to optimize schedules and traffic flows (e-freight), which contribute to reduced congestion, travel time and CO2 emissions. Furthermore, consolidation of large freight volumes for long-distance transport by rail and water can reduce the number and length of truck journeys, reducing CO2 emissions. The Digital Agenda for Europe highlights the importance of ICT for energy efficiency and a low carbon economy; the role of ICT for smart mobility, as well as the development of a new generation of web-based applications and services that leverage standards and open platforms. EU funded research is developing technologies that will enable a further 40% reduction in CO2 emissions from light-duty vehicles by 2020 and by 10% for new heavy duty vehicles. Current research on vehicle technology includes optimal structural solutions, as well as new design concepts for ships, aircraft and locomotives, to increase energy efficiency and thus reduce CO2 emissions.
2.2.3 Charging and Emissions trade The EU emissions trading system (EU ETS) is a cornerstone of the European Union's policy to combat climate change and its key tool for reducing industrial greenhouse gas emissions cost-effectively. The first - and still by far the biggest - international system for trading greenhouse gas emission allowances, the EU ETS covers more than 11,000 power stations and industrial plants in 31 countries, as well as airlines.
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Launched in 2005, the EU ETS is now in its third phase, running from 2013 to 2020. A major revision approved in 2009 in order to strengthen the system means that the third phase is significantly different from phases one and two and is based on rules, which are far more harmonised than before. The main changes are:
A single, EU-wide cap on emissions applies in place of the previous system of 27 national caps; Auctioning, not free allocation, is now the default method for allocating allowances. In 2013 more than 40% of allowances will be auctioned, and this share will rise progressively each year; For those allowances still given away for free, harmonised allocation rules apply which are based on ambitious EU-wide benchmarks of emissions performance;
Some more sectors and gases are included. While emissions trading has the potential to cover many economic sectors and greenhouse gases, the focus of the EU ETS is on emissions which can be measured, reported and verified with a high level of accuracy. Participation in the EU ETS is mandatory for companies operating in these sectors, but in some sectors only plants above a certain size are included. Governments can exclude certain small installations from the system if fiscal or other measures are in place that will cut their emissions by an equivalent amount. For commercial airlines, the system covers CO2 emissions from flights within and between countries participating in the EU ETS (except Croatia, until 2014). International flights to and from non-ETS countries are also covered, but as a goodwill gesture the European Commission has proposed deferring the scheme's application to these for 2012 to allow time for agreement on a global framework for tackling aviation missions to be reached in autumn 2013. Altogether, the EU ETS covers around 45% of total greenhouse gas emissions from the 27 EU countries.
2.3 Transport – Sustainability
2.3.1 Network planning Transport infrastructure is fundamental for the smooth operation of the internal market, for the mobility of persons and goods and for the economic, social and territorial cohesion of the European Union. The EU 27 comprises 5.000.000 km of paved roads, out of which 65.100 km are motorways, 212.80 km of rail lines, out of which 110.458 km electrified, and 42.709 km of navigable inland waterways. The total investment on transport infrastructure during the period 2000-2006 was € 859 billion (First Intermediate Report "Evaluation of cohesion policy programme 2000-2006, work package transport", August 2009 [6 MB]). Most of these transport infrastructures have been developed under national policy premises. In order to establish a single, multimodal network that integrates land, sea and air transport networks throughout the Union, the European policymakers decided to establish the trans-European transport network, allowing goods and people to circulate quickly and easily between Member States and assuring international connections. Establishing an efficient trans-European transport network (TEN-T) has constituted a key element in the relaunched Lisbon Strategy for competitiveness and employment in
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Europe and will play an equally central role in the attainment of the objectives of the Europe 2020 Strategy. If Europe is to fulfill its economic and social potential, it is essential to build the missing links and remove the bottlenecks in our transport infrastructure, as well as to ensure the future sustainability of our transport networks by taking into account the energy efficiency needs and the climate change challenges. The main objective of the new Guidelines for the development of the trans European transport network, which will replace Decision 661/2010, is to establish a complete and integrated trans-European transport network, covering all Member States and regions and providing the basis for the balanced development of all transport modes in order to facilitate their respective advantages, thereby maximising the value added for Europe of the network. In the light of the challenges for the TEN-T policy, also identified by the White Paper 'Roadmap to a Single European Transport Area – Towards a competitive and resource efficient transport system1 ("the White Paper"), these Guidelines will define a long-term strategy for the TEN-T policy up to 2030/2050. The European Commission is working towards a form of mobility that is sustainable, energy-efficient, respectful of the environment, promoting co-modality, i.e. optimally combining various modes of transport within the same transport chain, which is the solution for the future in the case of freight, technical innovation and a shift towards the least polluting and most energy efficient modes of transport. The revised policy guidelines for the trans-European transport network (the TEN-T Guidelines) propose a new planning of the TEN-T development, at two levels. The first level is constituted by a larger, basic network, called the “comprehensive network”. This network includes the relevant existing and planned infrastructure in the Member States, and its outline is the result of the updating and adjustment of the existing TEN-T map. The second level (or layer) is constituted of the strategically most important parts of the TEN-T. It was identified on the basis of a specially designed European methodology, and it is titled the “core network”. The core network will be formed of those parts of the TEN-T that carry the main concentration of trans-national traffic flows for both freight and passengers. It will ensure the effective connectivity of the Eastern and Western parts of the Union and of its peripheral regions to the central ones. It will provide efficient multi-modal links between the EU capitals, the main socio-economic centres and the main ports and airports of the Union. Due to its strategic importance, its completion has been given priority. 2030 has thus been set as the target for the full completion of the core network. Based on the proposals from the Member States, there have been identified 30 Priority Projects which are included in the guidelines for the development of the TEN-T as projects of European interest. The Priority Projects were chosen both according to their European added-value and their contribution to the sustainable development of transport. Their completion - planned for 2020 - will improve the economic efficiency of the European transport system and provide direct benefits for European citizens. Of these 30 key projects, 18 are railway projects, 3 are mixed rail-road projects, 2 are inland waterway transport projects and one refers to Motorways of the Sea. This choice reflects a high priority to more environmentally friendly transport modes, contributing to the fight against climate change.
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The 30 Priority Projects are: PP1 Railway axis Berlin-Verona/Milano-Bologna-Napoli-Messina-Palermo PP2 High-speed railway axis Paris-Bruxelles/Brussel-Köln-Amsterdam-London: PBKAL PP3 High-speed railway axis of southwest Europe PP4 High-speed railway axis east PP5 Betuwe line: COMPLETED 2007 PP6 Railway axis Lyon-Trieste-Divaca/Koper-Divaca-Ljubljana-Budapest-Ukrainian border PP7 Motorway axis Igoumenitsa/Patra-Athina-Sofia-Budapest PP8 Multimodal axis Portugal/Spain-rest of Europe PP9 Railway axis Cork–Dublin–Belfast–Stranraer: COMPLETED 2001 PP10 Malpensa airport: COMPLETED 2001 PP11 Øresund bridge: COMPLETED 2000 PP12 Nordic Triangle railway/road axis PP13 Road axis United Kingdom/Ireland/Benelux PP14 West coast main line: COMPLETED 2009 PP15 Galileo PP16 Freight railway axis Sines/Algeciras-Madrid-Paris PP17 Railway axis Paris-Strasbourg-Stuttgart-Wien-Bratislava PP18 Waterway axis Rhine/Meuse-Main-Danube PP19 High-speed rail interoperability in the Iberian Peninsula PP20 Railway axis Fehmarn belt PP21 Motorways of the Sea PP22 Railway axis Athina–Sofia–Budapest–Wien–Praha–Nürnberg/Dresden PP23 Railway axis Gdansk-Warszawa-Brno/Bratislava-Wien PP24 Railway axis Lyon/Genova-Basel-Duisburg-Rotterdam/Antwerpen PP25 Motorway axis Gdansk-Brno/Bratislava-Vienna PP26 Railway/road axis Ireland/United Kingdom/continental Europe PP27 "Rail Baltica" axis: Warszawa-Kaunas-Riga-Tallinn-Helsinki PP28 "Eurocaprail" on the Brussels-Luxembourg-Strasbourg railway axis PP29 Railway axis of the Ionian/Adriatic intermodal corridor PP30 Inland Waterway Seine-Scheldt
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There has been a firm commitment on behalf of the Member States and the European Union to deliver these key Priority Projects and they have been at the centre of the European Union's efforts - both financially and in terms of coordination. In July 2005, the European Commission has in particular designated a group of nine eminent European Coordinators to evaluate the progress of certain TEN-T Priority Projects, to make recommendations for the effective implementation of these projects and to play a major role in advancing the works. According to the new policy promoted by new Guidelines for the development of the trans European transport network, in order to implement the core network within the given time horizon, a corridor approach could be used as an instrument to coordinate on a transnational basis different projects and synchronise the development of the corridor, thereby maximising network benefits. Core network corridors should also address wider transport policy objectives and facilitate modal integration and multi- modal operations. This should allow specially developed corridors that are optimised in terms of energy use and emissions, thus minimising environmental impacts, and are also attractive for their reliability, limited congestion and low operating and administrative costs. An initial list of corridors is included in the new proposed Regulation (EU) [Connecting Europe Facility], but should be adaptable in order to take account of changes in traffic flows. In addition, according to the new guidelines of TEN-T, the Union, Member States and other project promoters shall pay particular attention to projects of common interest which provide efficient freight transport services that use the infrastructure of the comprehensive network and contribute to reducing carbon dioxide emissions. These projects shall in particular aim to: (a) improve sustainable use of transport infrastructure, including its efficient management; (b) promote the deployment of innovative transport services or new combinations of proven existing transport services, including through the application of ITS and the establishment of relevant governance structures; (c) facilitate multi-modal transport service operations and improve cooperation between transport service providers; (d) stimulate resource and carbon efficiency, notably in the fields of vehicle traction, driving/steaming, systems and operations planning, resource sharing and cooperation; (e) analyse, provide information on and monitor markets, fleet characteristics and performance, administrative requirements and human resources. Moreover, the Rail Freight Corridors to be established on the basis of the Regulation (EU) No 913/2010 of the European Parliament and of the Council of 22 September concerning a European rail network for competitive freight are expected to form a European-wide network for competitive freight. The European rail network for competitive freight with the Rail Freight Corridors is related to a number of other corridor concepts, which have to be taken into account in the selection of railway lines. The Regulation mentions expressively the ERTMS-corridors, the TEN-T Network and the Rail Net Europe (RNE) corridors. Six of the nine initial Rail Freight Corridors overlap with ERTMS-corridors. All nine Rail Freight Corridors include one or several RNE-corridors or parts of them. The Regulation allows for the reconciling of various types of existing corridors, such as ERTMS- and RNE-corridors (Art. 4(b)) under a single designation 25 Mapping of current EU & SEE Regional policies
of Rail Freight Corridors. The inclusion for the Rail Freight Corridors in the TEN-T network is also expected. The different corridor concepts are complementary to each other. While the TEN-T concept focuses on infrastructure investments, the RNE-corridors address timetabling and capacity allocation issues; the core task of the ERTMS-corridors is the deployment of the European Train Control system and the promotion of interoperability. Thus, a harmonisation of the different concepts would result in positive synergies. However the lines designated to Rail Freight Corridors could differ from existing structures, for example where there is a need to bypass a passenger node. The extension of networks to neighbouring countries is one of the objectives set out in the recent Communication on the Strengthening of the European Neighbourhood Policy. The Guidelines outline the first steps of a comprehensive policy for closer integration of the EU transport system with neighbouring countries. This policy focuses on the main infrastructure for international transport and the legislation governing the use of these routes by different transport modes. Over time, it should lead to common rules and regulations for the transport sector as a whole and thus create an effective transport market involving the EU and its neighbours. The five transnational axes identified are:
Motorways of the Seas: to link the Baltic, Barents, Atlantic (including Outermost Regions of Canary Islands, Azores and Madeira), Mediterranean, Black and the Caspian Sea areas as well as the littoral countries within the sea areas and with an extension through the Suez Canal towards the Red Sea;
Northern axis: to connect the northern EU with Norway to the north and with Belarus and Russia to the east. A connection to the Barents region linking Norway through Sweden and Finland with Russia is also foreseen;
Central axis: to link the centre of the EU to Ukraine and the Black Sea and through an inland waterway connection to the Caspian Sea. A direct connection from Ukraine to the Trans-Siberian railway and a link from the Don/Volga inland waterway to the Baltic Sea are also included;
South Eastern axis: to link the EU with the Balkans and Turkey and further with the Southern Caucasus and the Caspian Sea as well as with the Middle East up to Egypt and the Red Sea;
South Western axis: to connect the south-western EU with Switzerland and Morocco, including the trans-Maghrebin link connecting Morocco, Algeria and Tunisia and its extension to Egypt.
2.3.2 Intelligent transport systems The 2011 White Paper on Transport calls for a concerted and interoperable roll-out of Intelligent Transport Systems and Services in direct support of the achievement of a pan-European co-modal and truly integrated transport system by 2050. Developing awareness for the unleashed potential of ITS and documenting its pros and cons compared to just adding more hard infrastructure should boost acceptance of this type of investments as a valid option for mobility-related problem solving. New technologies will provide new and more comfortable services to passengers, increase safety and security and reduce the environmental impacts. “Soft infrastructures”, like intelligent transport systems for road (ITS) and traffic management systems for rail (ERTMS) and aviation (Single European Sky’s SESAR), backed by Galileo, can optimise the use of the network and improve safety; innovative vehicle technology can lower emissions, reduce oil dependency and increase comfort.
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The most important policy instrument will probably be standard setting. The transition to a new and integrated transport system will only be quick and successful if open standards and norms for new infrastructure and vehicles and other necessary devices and equipment are introduced. The standard setting should aim at interoperable, safe and user-friendly equipment. This is not only important for the internal market, but also to foster European standards on an international scale. The developments of Intelligent Transport Systems or of alternative vehicles propulsion systems could provide a success comparable to that of GSM technology. Policy makers must, however, ensure that the standard setting process avoids the introduction of barriers to market entry and to the development of alternative technologies. The Commission already took a major step towards the deployment and use of ITS in road transport (and interfaces to the other transport modes) on 16 December 2008 by adopting an Action Plan. The Action Plan suggested a number of targeted measures and included the proposal for this Directive. The goal is to create the momentum necessary to speed up market penetration of rather mature ITS applications and services in Europe. A new legal framework (Directive 2010/40/EU ) was adopted on 7 July 2010 to accelerate the deployment of these innovative transport technologies across Europe. This Directive is an important instrument for the coordinated implementation of ITS in Europe. It aims to establish interoperable and seamless ITS services while leaving Member States the freedom to decide which systems to invest in. Under this Directive, the European Commission has to adopt within the next seven years specifications (i.e. functional, technical, organisational or services provisions) to address the compatibility, interoperability and continuity of ITS solutions across the EU. The first priorities will be traffic and travel information, the eCall emergency system and intelligent truck parking.
2.3.3 Innovation The White paper ‘Roadmap to a single European transport area – towards a competitive and resource efficient transport system’ (COM (2011) 144 final) acknowledged innovation as a very essential part for the fulfilment of the objectives of the strategy. EU research needs to address the full cycle of research, innovation and deployment in an integrated way through focusing on the most promising technologies and bringing together all actors involved. Innovation can also play a role in promoting more sustainable behaviour. ‘Growing out of oil’ will not be possible relying on a single technological solution. It requires a new concept of mobility, supported by a cluster of new technologies as well as more sustainable behaviour. Technological innovation can achieve a faster and cheaper transition to a more efficient and sustainable European transport system by acting on three main factors: vehicles’ efficiency through new engines, materials and design; cleaner energy use through new fuels and propulsion systems; better use of network and safer and more secure operations through information and communication systems. The synergies with other sustainability objectives, such as the reduction of oil dependence, the competitiveness of Europe’s automotive industry as well as health benefits, especially improved air quality in cities, make a compelling case for the EU to step up its efforts to accelerate the development and early deployment of clean vehicles. Innovation and deployment need to be supported by regulatory framework conditions. Protection of privacy and personal data will have to develop in parallel with the wider use of information technology 27 Mapping of current EU & SEE Regional policies
tools. Standardisation and interoperability requirements, at international level included, will avoid technological fragmentation and enable European businesses to fully benefit from the entire European transport market, and to create worldwide market opportunities. Directorate-General Mobility & Transport participates in the financing of the horizontal research activities (CORDIS, COST, Eureka, ERA-NET) and the Risk Sharing Financial Facility (RSFF) and shares the management responsibility as in FP6 with Directorate-General Research. Strategic Transport Technology Plan (STTP)
The European Commission is preparing a strategic framework for transport research, innovation and deployment, based on the White Paper's vision for an integrated, efficient, safe, secure and environmentally friendly European transport system by 2050. The first proposals for this framework are presented in a Communication entitled "Research and innovation for Europe's future mobility" adopted in September 2012. Seventh Framework Programme: Building the Europe of Knowledge
At the heart of the Lisbon Strategy, research is a component of a knowledge triangle (the other two being education and innovation) meant to boost growth and employment in the European Union (EU) in the context of a global economy. The 7th Framework Programme for Research, covering the period 2007 to 2013, is an opportunity for the EU to match its research policy to its ambitions in terms of economic and social policy by consolidating the European Research Area (ERA). The objective of transport research under FP7 is to develop safer, ’greener‘ and ’smarter‘ pan-European transport systems that will benefit all citizens, respect the environment, and increase the competitiveness of European industries in the global market. The total budget for Transport (including Aeronautics) is € 4.1 billion. Most of the budget of each year is used to support research, technological development and demonstration projects resulting from the annual Calls for Proposals. Transport Research and Innovation in Horizon 2020
Horizon 2020 is the European Commission’s proposal to generate ideas, growth and jobs through the world’s largest collaborative programme for research and innovation (2014-2020). In the transport sector, the Commission will strive for a balanced approach in implementing the programme that takes into account the specifics of each mode (rail, road, waterborne and air transport), while remaining holistic; an approach which reconciles competitiveness with sustainability and which invests both in technology and in relevant socio-economic research.
The four main priorities for transport research under Horizon 2020 are: 1. Making transport more sustainable: resource-efficient transport that respects the environment. 2. Making transport and transport systems seamless: better mobility, less congestion, greater safety and security. 3. Keeping transport competitive: the European transport industry as a global leader.
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4. Making transport research responsive: socio-economic research and forward-looking activities for policy-making. The work carried out in the framework of the Strategic Transport Technology Plan (STTP) will contribute to focusing the transport European research and innovation activities through Horizon 2020. In addition, on 10 July 2012, the European Commission launched the Smart Cities and Communities European Innovation Partnership. The partnership proposes to pool resources to support the demonstration of energy, transport and information and communication technologies (ICT) in urban areas. The energy, transport and ICT industries are invited to work together with cities to combine their technologies to address cities' needs. This will enable innovative, integrated and efficient technologies to roll out and enter the market more easily, while placing cities at the centre of innovation. The funding will be awarded through yearly calls for proposals: €365 million for 2013. The SCC aims at accelerating the deployment of innovative technologies, organisational and economic solutions to significantly increase resource and energy efficiency, improve the sustainability of urban transport and drastically reduce greenhouse gas emissions in urban areas.
2.3.4 Internalisation of external costs Transport activities give rise to environmental impacts and accidents. In contrast to the benefits, the costs of these effects of transport are generally not borne by the transport users. The cost of local externalities such as noise, air pollution and congestion could be internalised through charging for the use of infrastructure. Transport charges and taxes must be restructured in the direction of wider application of the ‘polluter-pays’ and ‘user-pays’ principle. The internalisation of external costs means making such effects part of the decision-making process of transport users. Internalisation of external costs strategy In 2006, the European Parliament asked the Commission to present "a generally applicable, transparent and comprehensible model for the assessment of all external costs to serve as the basis for future calculations of infrastructure charges". Furthermore, “this model shall be accompanied by an impact analysis of the internalisation of external costs for all modes of transport and a strategy for a stepwise implementation of the model for all modes of transport". This request was included in the Directive on the charging of Heavy Goods Vehicles in the EU ("Eurovignette" Directive). This Directive is a significant step towards the implementation of a European road charging policy. One constraint of the current Directive is the requirement that revenues may not exceed related Infrastructure costs. The Directive only allows a limited differentiation of charges according to capacity or environmental criteria. Only for mountainous areas, a mark up (up to 25%) is possible, considering the higher level of Infrastructure costs. The European Commission released a handbook with estimates of external costs in the transport sector [3 MB] which outlines a model for the internalisation of external costs and will serve as a basis for future calculations of Infrastructure charges. The Commission services have prepared a Communication adopted in July 2008 (Greening transport package) which provides a general framework of reference for the internalisation of external costs in the transport sector.
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The Greening transport package
July 2008 With this package the Commission aims to move transport further towards sustainability. This three- pronged proposed Commission package seeks to steer the European transport sector towards enhanced sustainability. It includes a strategy to ensure that the prices of transport better reflect their real cost to society in terms of environmental damage and congestion; a proposal to enable Member States to help make this happen through more efficient and greener road tolls for lorries; and a proposal for reducing noise pollution from rail freight. The main parts of this package are:
Strategy to Internalise the External Costs of Transport: focuses on making transport prices better reflect their real cost to society, so that environmental damage and congestion can be reduced while boosting the efficiency of transport and ultimately the economy as a whole.
Proposal for a Directive on road tolls for lorries: would enable Member States to reduce environmental damage and congestion through more efficient and greener road tolls for lorries. Revenue from the tolls would be used to reduce environmental impacts and cut congestion.
Rail Transport and Interoperability communication: sets out how to reduce the perceived noise from existing rail freight trains by 50% and the measures the Commission and other stakeholders will need to take in the future to achieve this
The Commission’s recent proposal to amend the so-called “Eurovignette Directive” represents a first step towards a higher degree of internalisation of costs generated by heavy goods vehicles, but disparities in national road charging policies will remain. Further action will examine the gradual phasing in of a mandatory harmonised internalisation system for commercial vehicles on the entire inter-urban network, putting an end to the current situation, whereby international hauliers need the Eurovignette, 5 national vignettes and 8 different tags and tolling contracts to drive unhindered on Europe's tolled roads. Within the rail sector, the marginal cost oriented pricing approach is considered as a basis for track pricing (Directive 2001/14/EC). Charges may be differentiated with respect to environmental impacts as long as this does not lead to additional revenues for the Infrastructure manager. Additional revenues are only allowed if in competing modes a comparable level of charging of environmental costs takes place. In parallel, and before 2020, the Commission will develop a common approach for the internalisation of noise and local pollution costs on the whole rail network.
2.3.5 KPIs 1. Key statistical indicators for climate and energy (a) Climate indicators In order to achieve the Europe 2020 target of a 20% reduction in greenhouse gas (GHG) emissions (compared to 1990) by 2020, Member States committed to reach legally binding national targets by 2020
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(compared to the situation in 2005) for emissions not covered by the EU Emissions Trading System (EU ETS). The national targets for emissions not covered by the Emission Trading System, vary between countries and apply to each Member State individually; they range from limiting the increase in GHG emissions to 20% to reducing GHG emissions by 20%. According to the latest emissions projections submitted by the Member States, based on existing policy measures, the EU27 will over-achieve its 2020 target by 0.9%. However, the projected performance is more variable across the individual Member States, with significant additional effort required in some countries for the targets to be met. Specific data show the projected distance to the 2020 emissions target for each Member State if only existing measures are taken into account (dark-shaded bars) and also with the inclusion of planned additional measures (light- shaded bars). Negative and positive values respectively indicate over-delivery or shortfall of the targets. According to these projections, significant extra efforts will be needed by Member States to reach their Europe 2020 climate targets: only ten Member States are expected to meet their commitments based on existing measures.
(b) Energy indicators 20% of renewable energy sources in energy consumption While most Member States have already reached their 2011/2012 interim target, there is no room for complacency. The indicative trajectory contained in the Renewable Energy Directive is relatively flat early on in the period up to 2020, and rises more sharply towards the end. Nevertheless, three Member States have by now almost reached their 2020 target: Sweden, Romania and Estonia. On the other hand, in terms of progress towards interim targets, three Member States – Malta, the Netherlands and the UK – still need to make particular efforts (based on 2010 data). Cyprus, Ireland, Latvia and Luxembourg have also not reached yet their interim target, but the gap is much smaller. 20% increase in energy efficiency Member States have committed to achieving 2020 targets for energy efficiency.
The figures correspond to primary energy savings in million tonnes of oil equivalent. National projections vary as to the base year against which savings are estimated. The energy efficiency target as put forward in 2007 relates to absolute primary energy savings of 368 Mtoe against the projected consumption of 1 842 Mtoe in 2020, leading to a targeted EU energy consumption of 1 474 Mtoe. The current projections show that energy savings of only 206.9 Mtoe could be achieved in 2020. By 30 April 2013, Member States will define or revise their targets in line with the agreed methodology on target setting laid out in article 3(3) of the Energy Efficiency Directive adopted by Council on 4 October 2012. This will allow for a more quantitative assessment of the progress on energy efficiency in Member States.
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2.4 Transport - Promotion of rail, sea and inland waterway
2.4.1 Integration Promotion of rail, sea and inland waterway can not be achieved without the integration of all these transport modes and a better use of them. The aim of integrated infrastructures and means of transport is to have a network of infrastructures and transfer points that are consistent at European level, in order to ensure that the various modes can interoperate and interconnect. In order to do this the Commission:
wishes to boost the intermodal configuration of the TEN; supports the provision of logistical services that have added-value potential at the transfer points; is guiding the process of harmonising the load-carrying units (dimensions and weights). Intermodality has been added to the other transport policies conducted by the European Union, more particularly with a view to: liberalising the transport market;
developing the trans-European networks (TEN); promoting fair, efficient pricing;
bringing the information society to the transport industry.
Moreover, the TEN-T policy follows the strategy set out in the White Paper: to remove major barriers and bottlenecks in key areas of transport infrastructure. The aim is to create a Single European Transport Area with better transport services and a fully integrated transport network. This will link the different modes and bring about a profound shift in transport patterns for freight. Without the support of an adequate network and a smarter approach to using it, no major change in transport will be possible. Infrastructure planning and development are considered essential in order to develop a sustainable transport system. Ten multimodal corridors will help ensure the coordinated implementation of the core network. They will provide a platform for capacity management, investments, building and coordinating multimodal transhipment facilities, and deploying interoperable traffic management systems. The White Paper meets the need to lay down a strategy to revitalise the Community's railways by creating a sound financial basis, ensuring freedom of access to all traffic and public services and promoting the integration of national systems and social aspects. Commission efforts through the three railways packages (1st, 2nd and 3rd), have concentrated on three major areas, which are all crucial for developing a strong and competitive rail transport industry: (1) opening of the rail transport market to competition, (2) improving the interoperability and safety of national networks and (3) developing rail transport infrastructure. The Fourth Railway Package – “Completing the Single European Railway area to foster European Competitiveness and Growth” delivers an integrated approach that will create conditions for growth of overall rail traffic, increasing its market share as it becomes more reliable and more efficient. It will make for better services and will allow rail to fulfil its underused potential so that it becomes a real and attractive alternative.
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Apart from the TEN-T and the railway policy promoted by the four railway packages, Regulation (EU) No 913/2010 of the European Parliament and of the Council of 22 September 2010 concerning a European rail network for competitive freight is aimed to improve the efficiency of rail freight transport relative to other modes of transport, as well as increasing rail's capacity and attractiveness for customers. Potential gains from these measures can only be fully achieved if the obstacles to the efficient operation of IMs are eliminated and they acquire a truly European dimension. The establishment of international rail corridors for a European rail network for competitive freight form a situation in which freight trains can run under good conditions and easily pass from one national network to another allowing for improvements in the conditions of use of the infrastructure. The coordinated development of the networks is necessary, and in particular as regards the integration of international corridors for rail freight into the existing TEN-T and the ERTMS corridors. In addition, Directive 92/106/EEC, as amended by Directive 2006/103/EC, aims to reduce road transport by developing combined transport and bringing together rail, inland waterway and sea transport. Intermodal or combined transport means the transport of goods between Member States where the vehicle uses the road on the initial or final leg of the journey and, on the other leg, rail or inland waterway or maritime services where this section exceeds 100 km as the crow flies and makes the initial or final road transport leg of the journey:
between the point where the goods are loaded and the nearest suitable rail loading station for the initial leg and between the nearest suitable rail unloading stations and the point where the goods are unloaded for the final leg, or
within a radius not exceeding 150 km as the crow flies from the inland waterway port or seaport of loading or unloading. The transport document to be provided in the case of combined or intermodal transport must specify the rail loading and unloading stations relating to the rail leg, the inland waterway loading and unloading ports relating to the inland waterway leg or the maritime loading and unloading ports relating to the maritime section of the journey. All hauliers established in a Member State that meet the conditions of access to the occupation and access to the market for transport of goods between Member States may, in the context of a combined transport operation between Member States, carry out initial and/or final road haulage legs, which form an integral part of the combined transport operation and which may or may not include the crossing of a frontier. The Commission must draw up a report to the Council every two years on the development of combined transport. Member States take the necessary measures to ensure that the motor vehicle taxes applicable to road vehicles routed in combined transport are reduced or reimbursed. In this context, an exemption from compulsory tariff regulations for initial or final road haulage legs forming part of combined transport operations is planned. The Directive also provides for provisions specific to combined transport operations where the dispatching/receiving undertaking carries out the initial/final road haulage leg for its own account. The receiving/dispatching undertaking may then also carry out the transport operation for its own account under certain conditions.
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2.4.2 Incentives Directive 92/106/EEC gives incentives to Member States to use combined transport and support the modal shift from road to intermodal transport, taking specific measures to this direction. According to article 6, “Member States shall take the measures necessary to ensure that the taxes listed in paragraph 3 of the same article which are applicable to road vehicles (lorries, tractors, trailers or semi-trailers) when routed in combined transport are reduced or reimbursed either by a standard amount, or in proportion to the journeys that such vehicles undertake by rail, within limits and in accordance with conditions and rules they fix after consultation with the Commission. Member States may, however, grant these reductions or reimbursements on the basis of the rail journeys which take place partially or wholly outside the Member State in which the vehicles are registered. The reductions of reimbursements referred to in the first paragraph shall be granted by the State in which the vehicles are registered, on the basis of the rail journeys effected within that State”. Moreover, Directive 96/53/EEC sets out the maximum allowable vehicle dimensions in national and international road transport in the EU. Member States may deviate from these maxima in national transport in certain pre authorised circumstances, the modular concept being the most relevant example. Specifically, in case of combined transport, this Directive permits increased max weight and dimensions of heavy good vehicles, allowing by that way the Member States to deviate from the standard provisions for length and width. The most renowned programmes, Marco Polo and Freightwise, are aimed to support the modal shift from road to intermodal transport using road in combination with short sea shipping, inland waterways and rail. The Marco Polo Programme aims to ease road congestion and its attendant pollution by promoting a switch to greener transport modes for European freight traffic. Railways, sea-routes and inland waterways have spare capacity. Marco Polo co-funds direct modal-shift or traffic avoidance projects and projects providing supporting services which enable freight to switch from road to other modes efficiently and profitably. The programme provides financial support for the start-up phase of new services and investments in innovations and knowledge transfer. Companies with viable projects to shift freight from roads to greener modes can turn to Marco Polo for financial support. More than 500 companies have already done so successfully since the programme was launched in 2003. Every year, a new batch of projects qualify for funding. Five types of projects which shift freight from Europe's congested roads onto rail, short-sea shipping routes and inland waterways, or which avoid road transport, are eligible for Marco Polo grants. The main category concerns direct modal-shift projects (switching to another mode of transport such as rail or sea). The other four include catalyst actions which promote modal shift, motorways of the sea actions between major ports, traffic avoidance actions which reduce transport volumes, and common learning actions. The project FREIGHTWISE focuses on developing IT systems in integrating intermodal transport chains aiming at shifting freight from road to alternative modes. FREIGHTWISE is an integrated project within the EU's 6th Framework Programme that aims at bringing together three different sectors:
o Transport Management: Shippers, Forwarders. Operators and Agents;
o Traffic and Infrastructure Management: Rail, Road, Sea, Inland waterways;
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o Administration: Customs, Border Crossing, Hazardous Cargo, Safety and Security The FREIGHTWISE project will support the co-operation of these sectors in order to develop and demonstrate suitable intermodal transport solutions in a range of business cases. The project shall support the complex service integration into integrated transport chains. The technical expertise in the project will focus on the development of a reference architecture for intermodal transport and the integration of relevant IT systems including legacy systems in the business cases.
2.5 Enhancement of competitiveness of the private sector A Single Market for goods and services is one of the main drivers of Europe's economy, contributing to the enhancement of the competitiveness of the private sector. It relies largely on the opportunities available for businesses to market goods and to provide or access services in the EU. It is the EU's central mission to secure an increased market integration and to remove obstacles to the free movement of goods, services and capital and to the freedom of establishment. The changing nature of modern trade means that many of the trade barriers European companies face are not just the traditional import tariffs or quotas but discriminatory regulations. Studies demonstrate a direct link between internationalisation and company's competitiveness. The EU is helping SMEs to develop and promote their international activities and facilitating the access to international markets. Local support provided by 600 Enterprise Europe Network partners in more than 40 countries is available to entrepreneurs that need market and regulatory information or that are looking for business or technological partnerships. Internationalisation also means awareness of standards and compliance certification processes. Actions are carried out to improve the participation of SMEs in the European standardisation process, as well as to promote the use of standards facilitating access to the Single Market. European businesses are entitled to freely establish and provide services wherever they are in the EU. All mobility-related and business lifecycle information and services available at national or European level can be found on the Your Europe Business Portal. Greater competition makes for a more efficient and customer-responsive industry. EU rail legislation has consistently encouraged competitiveness and market opening, with the first major law in this direction dating back to 1991. The legislation is based on a distinction between infrastructure managers who run the network and the railway companies that use it for transporting passengers or goods. Different organisational entities must be set up for transport operations on the one hand and infrastructure management on the other. Essential functions such as allocation of rail capacity (the “train paths” that companies need to be able to operate trains on the network), infrastructure charging and licensing must be separated from the operation of transport services and performed in a neutral fashion to give new rail operators fair access to the market. EU Member States must also have regulatory bodies in place to monitor railway markets and to act as an appeal body for rail companies if they believe they have been unfairly treated. As well as encouraging greater competition within national markets, EU legislation gives rail operators the ability to run services in and between other EU countries, opening up competition in a cross- border sense. Rail freight transport has been completely liberalised in the EU since the start of 2007, for both national and international services. This means that any licensed EU railway company with the necessary safety certification can apply for capacity and offer national and international freight services by
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rail throughout the EU. Opening up national freight markets to cross-border competition is a major step towards the creation of an integrated European railway area and of a genuine EU internal market for rail. Greater technical harmonisation of rail systems and the development of key cross-border rail routes are also helping to break down barriers to a more competitive rail sector, along with better connections between EU and neighbouring markets. Establishing an efficient trans-European transport network (TEN-T) has constituted a key element for competitiveness and employment in Europe and will play an equally central role in the attainment of the objectives of the Europe 2020 Strategy, especially job creation and poverty reduction, giving by that way the chance to the private sector to develop its services. The trans-European transport network, thanks to its large scale, should also provide the basis for the large-scale deployment of new technologies and innovation, which for example, can help enhance the overall efficiency of the European transport sector and provide new positions of employment. Job creation is directly related to sectors such as construction, mechanical engineering, and business services. But it is also indirectly stimulated and induced by the economic effects of using new infrastructure. Specifically, transport infrastructure investments of about €200 billion could generate, by 2020, about 650,000 additional jobs.
2.6 Incentives for sparking growth and for moving into new technologies
2.6.1 Institutional Sparking growth means building a resource efficient, sustainable and competitive economy, exploiting Europe's leadership in the race to develop new processes and technologies, including green technologies, accelerating the roll out of smart grids using ICTs, exploiting EU-scale networks, and reinforcing the competitive advantages of our businesses, particularly in manufacturing and within our SMEs, as well as through assisting consumers to value resource efficiency. Such an approach will help the EU to underpin economic, social and territorial cohesion. The development of technological solutions for sustainable transport is important to promote growth and safeguard jobs. Population ageing might jeopardise Europe’s competitive position in the world economy and its ability to maintain high standards of living. To face this challenge, it will be particularly important for the EU economy to enhance its productivity, namely by maintaining an efficient transport system and by investing more on R&D. Europe is a world leader in many fields of transport including infrastructure, manufacturing of transport equipment, transport services and logistics. In view of the expected increase in global competition, keeping and enhancing this leadership is a key factor in preserving the overall competitiveness of the EU economy, and will also provide an opportunity for our transport industry to serve new and expanding markets. New infrastructure is costly and making the optimal use of existing facilities can already achieve a lot with more limited resources. This requires proper management, maintenance, upgrading and repair of the large infrastructure network that has so far given Europe a competitive advantage. Upgrading the existing infrastructure – also through intelligent transport systems – is in many cases the cheapest way to enhance the overall performance of the transport system. A new legal framework (Directive 2010/40/EU ) was adopted on 7 July 2010 to accelerate the deployment of these innovative transport technologies across Europe. This Directive is an important instrument for the coordinated implementation of ITS in Europe. It aims to establish interoperable and 36 Mapping of current EU & SEE Regional policies
seamless ITS services while leaving Member States the freedom to decide which systems to invest in. Under this Directive, the European Commission has to adopt within the next seven years specifications (i.e. functional, technical, organisational or services provisions) to address the compatibility, interoperability and continuity of ITS solutions across the EU. The first priorities will be traffic and travel information, the eCall emergency system and intelligent truck parking. The Commission already took a major step towards the deployment and use of ITS in road transport (and interfaces to the other transport modes) on 16 December 2008 by adopting an Action Plan. The Action Plan suggested a number of targeted measures and included the proposal for this Directive. The goal is to create the momentum necessary to speed up market penetration of rather mature ITS applications and services in Europe. The Digital Agenda for Europe (DAE) defines the key role of Information and Communication Technologies (ICT) for Europe to succeed in its ambitions for 2020. The objective of this Agenda is to chart a course to maximise the social and economic potential of ICT, most notably the internet, a vital medium of economic and societal activity, for doing business, working, playing, communicating and expressing ourselves freely. Successful delivery of this Agenda will spur innovation, economic growth and improvements in daily life for both citizens and businesses.
2.6.2 Organisational Ministers gathered in Cyprus for an Informal Ministerial Meeting on Transport and Telecoms on 16-17 July 2012 called for more integration of the EU Transport Policy and the Digital Agenda for Europe to speed up deployment of Intelligent Transport Systems (ITS) and enable seamless door-to-door mobility. The meeting focused on examining the fundamental elements that would facilitate the development of cross border, multimodal travel information and services. This was achieved through two special sessions: the importance of open and accessible data as a key element to smart transport and the potential of deploying multimodal journey planners and integrated ticketing as the means to foster sustainable mobility on the comprehensive Trans-European road network and in-urban areas. A modern and well developed transport and telecommunications infrastructure is vital for the growth of the EU economy and the enhancement of its competitiveness. By promoting the development of public open data policies and by addressing multimodality through the effective development of Intelligent Transport Systems (ITS), the aim of the meeting was to contribute substantially to the successful implementation of ITS. The European Commission organised on 22 October 2012 in Vienna its 3rd Conference on Intelligent Transport in Europe titled “Towards first ITS specifications”. The conference aimed at informing stakeholders from the ITS community about the progress on the implementation of the ITS Action Plan and the ITS Directive. A further objective was to provide a platform for the exchange of views with various public and private stakeholders about the specifications under the ITS Directive and the legal issues concerning ITS deployment. Last but not least, the winners of the 1st Smart Mobility Challenge were presented and key solutions were provided for European Multimodal Journey Planners During one week, the 19th ITS World Congress, which took place on 22 to 26 of October 2012 in Austria, showcased the latest developments within the field of Intelligent Transport Systems to an expert audience and also to the public at large on the Public Day. The Congress was the first to feature a Ministerial Round Table with a top-class political cast: Apart from Siim Kallas, Vice-President of the European Commission, the German transport minister Peter Ramsauer, ten international ministers, four 37 Mapping of current EU & SEE Regional policies
viceministers and two state secretaries participated in the political discussion under the direction of Doris Bures, Austrian Minister of Transport, Innovation and Technology. They commonly declared to force the deployment of ITS and to stronger integrate the outcomes of future ITS World Congresses into the structuring of political frameworks.
2.6.3 Financial The EU supports Intelligent Transport Systems in road transport by co-funding deployment projects. The grant programme for the Trans-European Network for Transport (TEN-T) aims to establish interconnections, interoperability and continuity of services especially on long-distance routes and across borders. Its guidelines cover the infrastructure for traffic management, traveller information, emergency systems and electronic fee collection. There has been a continuous development from support of individual projects (before 2001) towards more cross border deployment (2001-2006) and now real Europe-wide services (2007-2013). 2007-2013 The TEN-T work programme 2007-2013 outlines the following priorities for road ITS:
Europe-wide traffic and travel information service
Europe-wide traffic management service
Europe-wide freight & logistics Projects shall facilitate co-modality by promoting the concept of the connected traveller and connected intelligent technologies and have an emphasis on cross border cooperation and continuity of service. Within the framework of the TEN-T programme for the period 2007-2013, an indicative amount of 300 million € has been programmed for ITS road projects (of about 8 billion € for TEN-T in total). In the 2007 and 2009 calls the EasyWay project has been selected which is running until end of 2012. Since 2007, the new TEN-T Executive Agency is managing the technical and financial implementation of the TEN-T programme, including road ITS. This includes the organisation of calls and evaluation. The EasyWay project receives the EC support from the calls in 2007 and 2009 because of its wide European scope. 22 Member States (and further three observer countries) cooperate on Europe-wide ITS deployment on the main corridors of the trans-European road network. The project is driven by national road authorities and operators with partners including the automotive industry, telecom operators and public transport stakeholders. The European Commission contributes a share of 20% (200 million € for the period 2007-12). EasyWay partners will define common and seamless European services in the fields of traffic management, travel information and freight and logistics and will undertake projects to implement them. The targets for EasyWay for the year 2020 are:
to decrease traffic fatalities by 25 %
to decrease traffic congestion by 25 %
to decrease CO2 emissions by 10 %
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The new instrument Connecting Europe Facility, which will be further analysed in section 2.7, for the period 2014-2020 will focus on the investment of TEN-T “horizontal priorities”: a. Single European Sky – SESAR for air transport; b. Intelligent Traffic Systems (ITS) for road; c. European Rail Traffic management System (ERTMS) for rail; d. River Information System (RIS) for inland water ways; e. Innovative management systems and services for core network ports and airports; f. Vessel Traffic Management Information Systems (VTMIS) for maritime transport and Motorways of the Sea (MoS).
2.7 Infrastructure development through EU and national funding
2.7.1 Financial instruments for development The European Union is supporting the TEN-T implementation by several financial instruments - the TEN-T programme, the Cohesion Fund, the European Regional Development Fund and European Investment Bank's loans and credit guarantees. Grants, in particular under the TEN-T budget line and the Cohesion and European Development Funds, play a major role in both project preparation and implementation phases. Grants are allocated to studies (from feasibility studies to comprehensive technical or environmental studies and costly geological explorations), helping to overcome early stage project difficulties, and to the works phase. A key issue for the future in relation to the implementation of the TEN- T policy is to rationalise the allocation of grants and to link it to the projects' European added value so as to ensure the best value for EU money. The cost of infrastructure development in EU Member States for the period 2010-2030, needed to match the demand for transport, has been estimated at over €1.5 trillion. By 2020, investment needs on the TEN-T are estimated at about €500 billion. With a proposed budget of €50 billion between 2014 and 2020, the Connecting Europe Facility will be a key instrument to promote growth, jobs and competitiveness through targeted infrastructure investment at European level. It will support the development of high-performing, sustainable and efficiently interconnected trans-European networks in the fields of transport, energy and digital services. CEF investments will plug the gaps that would not be filled if the market, or existing public sector instruments were the only options. Specifically, for the period 2014-2020, the Commission has proposed that €31.7 billion will be invested, via the CEF, to support the TEN-T development. The €31.7 billion proposed by EU co-funding for transport projects is expected to generate about €140-150 billion of investments. The €31.7 includes €10 billion ring fenced in the Cohesion Fund exclusively for TEN-T projects in the countries eligible to the Cohesion Fund. The remaining €21.7 billion will be available for all Member States, including those eligible to Cohesion Fund support, for investing in TEN-T infrastructure. CEF investments will focus in particular on projects with high EU added value, such as building missing cross-border links and removing bottlenecks along main trans-European transport corridors. Priority will also be given to transport modes that are less polluting, to the deployment of telematics applications and the use of innovative technologies.
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In order to concentrate EU intervention even further, the Commission, in close consultation with the Member States, has pre-identified a list of projects towards which 80% to 85% of the total €31.7 billion CEF financial support for transport will be focused. This list, annexed to the CEF proposal, includes: • “horizontal priorities” for TEN-T development, namely innovative traffic management systems and services for all modes; • projects identified along the ten core network multimodal corridors; • projects on the core network, mainly cross-border sections and bottlenecks, which are not part of Corridors. The remaining 10% to 15% will be dedicated primarily to other projects on the core network.
Grants – direct EU support The support for TEN-T projects will take mainly the form of grants. Non-refundable EU contributions are necessary to help develop projects of important European added value, but for which the available national, regional public and private resources are not sufficient. Grants may amount to up to 50% of the total project implementation costs, depending on the type of project. The maximum rates have been established in the CEF Regulation, reflecting the anticipated added value to the development of the TEN-T network as a whole and the difficulties the experience has shown that certain types of projects may encounter. Together with the Connecting Europe Facility, the new Guidelines for the development of the trans European transport network will establish the priorities for European funding of transport infrastructure. The proposed Neighbourhood Investment Fund also provides a suitable mechanism to encourage investment in the transport sector and, therefore, to support the actions included in these guidelines. Additional funding can also come from the new increased EIB external lending mandate for the neighbourhood.
2.7.2 Non-Financial instruments for development As already mentioned, the total cost of projects for the Trans-European Network until 2020 is enormous, which makes it obvious that national government funding - and by extension EU aid - will be nowhere near enough to cover the full cost. The European Union is thus trying to get greater private- sector involvement in the funding of the network, by encouraging public-private partnerships (PPPs). As the name suggests, these are simply partnerships, entailing no privatisation of public responsibilities or nationalisation of private assets. The advantage of this kind of structure is that it makes for a better spread of the risk, lower borrowing costs, particularly at project launch, and a transparent management structure. Above all, it encourages the private sector to sign up for the public service aspect of projects and the public sector to be better aware of which business services can help to make a project profitable. The Commission is keen for the private sector and private capital to be brought into projects as soon as possible, at the planning stage. Clearly, the better the risks are understood and spread, the greater the chances will be of bringing the private sector on board: it is thus the job of the public sector to minimise the
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political and legislative risks and those entailed in scheduling the project, whilst the private sector will bear the risks of planning, financing, construction and traffic. Connecting Europe Facility investments are also intended to act as a catalyst to attract further funding from the private sector and other public sector actors. As the current pressure on EU public budgets is likely to continue in the near future, a more systematic use of innovative financial instruments is required to leverage the impact of EU budgetary resources. CEF is designed to attract private sector investment to infrastructure through a number of financial risk-sharing instruments, including special lending, guarantees and equity investments. These instruments aim to give credibility to infrastructure projects and to lower their risk profiles. The goal is to offer an alternative to traditional grant funding and to plug financing gaps for strategic infrastructure investments. The Commission will work closely with the European Investment Bank (EIB) and other financial institutions to take advantage of capital market investors’ interest in long-term investment opportunities with stable revenues. Following the in-depth assessment of market needs and its financing capacities, distinct financial instruments will be rolled out in cooperation with financial institutions. The “Europe 2020 Project Bond Initiative”, for which the pilot phase has been launched in 2012, is envisaged to become the main EU instrument to help promoters of individual infrastructure projects attract private sector investors, in particular insurance companies and pension funds. This initiative will enable the issuance by project companies of long-term well-rated bonds, instead of relying only on bank lending. The participation of the European Commission and the EIB will mitigate some of the risk associated with a project bond issued to finance a specific project. Member States, infrastructure managers or companies will therefore be able to access a competitive source of finance and consequently improve the cost of financing such projects. The Project Bond Initiative is thus expected to act as a catalyst to re-open the debt capital market – currently largely unexploited for infrastructure investments following the financial crisis – as a significant source of financing in the infrastructure sector. The aim is to attract private investment into a new class of European-wide infrastructure assets. Project bonds will also be one of the key EU financial instruments available within the CEF.
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3 National policies
3.1 Bulgaria Introduction The executive agency “Maritime administration” with registered office in Sofia, 9 Dyakon Ignatiy str. and unified identification code121797867 participates as a partner in the implementation of “Green multimodal transport corridors” project co-funded by the South East Europe Transnational Cooperation Programme 2007-2013. Activity 3.2 form WP3 – (Mapping of current EU & SEE Regional policies) of the project stipulates The EA “MA” to provide information about the integration of the European and national ecological standards into Bulgarian legislation as well as the related financial tools applied towards: - CO2 emissions; - Sustainable ecological transport development; - Promotion of rail, sea and inland waterway; - Combining different services suppliers to form effective logistics associations; - Promotion of competitiveness; - Encouraging the development of new technologies; - Infrastructure development through EU and national funding. The basic objective of the research is a better integration of different transport modes into the South-East European countries.
3.1.1 Transport – General
3.1.1.1 Overview of freight transport sector The Republic of Bulgaria is a link between Europe and Asia, the country is a chain-bridge between the East and the West. Another well developed transit destination is North- South connecting the Baltic sea and the Mediterranean sea. Bulgaria also has its own potential but the existence of the competitive transport routes passing westward the country should not be underestimated. The programmes Phare, ISPA and the Greek fund for the Balkans fund projects in Bulgaria which are of an exceptional importance for the international transport. The favorable geographical position of Bulgaria is evident in view of the five Pan-European Transport Corridors - ІV, VІІ, VІІІ, ІХ и Х, passing through its territory. This supposes a lot of challenges and requires huge investments - first for improvement and maintenance of the existing infrastructure, then for building the missing one.
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Figure 4: Map of the Republic of Bulgaria
Figure 5: Map of Bulgaria’s general transport network
Basic Transport Data 2008 2009 2010 2011 Length of track, incl. sidings – km 5923 5888 5831 5660
of which: running track- km 4144 4150 4098 4072
Share of electricified track -% 68.2 68.3 68.0 70.3
Roads-thousand km 19.4 19.4 19.5 19.5 Table 3: Basic Transport Data
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Goods - carried Transport performance - thousand tons million ton-km Mode of transport 2009 2010 2011 2009 2010 2011 Railways 13 284 12 939 14 152 3 145 3 063 3 291 Road 54 700 48 053 58 884 13 871 15 641 17 943 Maritime 5 718 4 906 3 052 44 091 24 722 17 262 Inland water 4 230 3 058 2 848 1 794 1 813 1 422 Air 19 11 8 10 8 7 Pipeline 19 095 18 449 22 395 3 761 3 736 4 560 Total 97 046 87 416 101 339 66 672 48 983 44 485 Table 4: Freight transport
Transport services demand Because of the unstable economic development of Bulgaria in the last 20 years, data for the transport sector does not fully confirm this correlation. On the other hand, Bulgaria’s accession to the European Union, the subsequent opening of this country to the European markets and the freedom of movement of persons and goods within the EU, provide a sound base to predict that the transport sector in Bulgaria will grow at an accelerating pace close to the rates observed in the EU member states. Based on Bulgaria’s GDP growth rate targets for 2010 – 2020 the transport performance expressed in tonnes-kilometre (ton-km) and passengers-kilometre (pass-km) is increasing and is expected to continue increasing. Two scenarios for the projected growth of the transport performance have been designed. The first option is based on a “stable growth rate” assumption and represents the baseline scenario for transport, based on the GDP growth forecast until 2020 of the Agency for Analyses and Forecasts. These estimates show that a decline of 6.3 percent of GDP is reported for 2009, while the decline for 2010 is limited to 1% compared to the previous year. The registered until 2012 and the projected development of the indicators for the following years is shown in the following graphs and charts.2 Figure 6 (Chart 1.1): Expected growth of transport performance for 2009 – 2020 (“Stable Growth Rate” scenario)
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The second scenario, provisionally referred to as “high growth rate”, implies an early exit of the country from the recession and it is based on projections of the nongovernmental Centre for Economic Development, forecasting a 5% decline of the economy in 2009, a token take-off from the bottom in 2010 by 0.5%, and a noticeable growth rate of 4% in 2011. The projected forecast until 2011 was realized and it is expected that the major transport infrastructure projects will be successfully completed. In 2013−2015 the economic growth is projected in the range of 2.5−4%.
Figure 7 (Chart 1.2.): Expected freight and passenger growth of transport performance for 2009–2020 (“High Growth Rate” scenario)
GDP Transport performance (ton-km) Transport performance (pass-km)
Freight transport growth forecasts for transport modes. The diagram below shows that the expected decline in the total freight transport performance for the crisis 2009 exceeded 9 percent, compared with the preceding year. A slow rise is registered the next years, with the 2008 transport performance (89.7 billion tonnes-km) reached by 2012. Towards the end of the period the freight transport performance is targeted at 115-116 billion tonnes-km, the rise is almost 30 percent higher than the reported in 2008, which is used as base for comparison. It must be noted that no significant changes in the overall structure of freight transport should be expected, as marine and inland waterway transport will retain its relative share of about 81-82% of the total due to significantly longer average transport distances. With freight transport performance of inland waterway transport in recent years of a token 2 to 2.5% of the total waterborne transport, no separate forecast for this transport mode was made. However, it should be expected that freight transport along the Danube will increase at the expense of road transport, in compliance with the European transport policy as outlined herein.
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Figure 8 (Chart 1.3.): Expected growth of freight transport – total, and by transport modes (waterborne and land) – million tonnes-km
The next chart shows consolidated projections for the growth of freight transport by the two main modes of land transport – road and rail. Figure 9 (Chart 1.4.): Expected growth of freight transport by land – total, and by transport modes (road and railway) – million tonnes-km
Source: MTITC 46 Mapping of current EU & SEE Regional policies
The chart clearly shows the collapse in freight transport by rail in 2009, compared to the previous year, with an expected decline of 30 percent. The situation of freight transport by road is quite different. Moreover, a 0.4 percent growth is registered compared to 2008. A very slow growth is registered in rail transport, as the 2008 transport performance is expected to be reached by 2015 – 2016; besides, rail freight transport performance will increase at the expense of road transport. Thus, rail freight transport performance by 2020 is expected to increase by about 30 percent compared to the base 2008, and its relative share is expected to increase to more than 40% of the total freight transport by land.
Trends in freight transport distribution by different transport modes Bulgaria has assured free access to all transport operators to various types of transport infrastructures, with the exception of the railway passenger transport operators, and has assumed a commitment to provide access to its railway infrastructure to these operators. Railway transport is visibly lagging behind other transport modes in terms of facing the challenges of this country’s EU membership. The introduction of the EU road transport rules, for instance limits on driving time and freight limits, also may increase the attractiveness of railways, as freight operations by road will become more expensive if performed legally. The requirements for protecting the environment will also become very important for Bulgaria; as a result, railways will become even more attractive. The volume of freight transported by railways will increase by 0.025 percent because of the higher environmental requirements. Freight transport by air is subject to longer-term trends, which means that these volumes will increase at a relatively stable rate. Growth of container cargo is expected in regions with good existing infrastructure, especially in Sofia, where the construction of new rail freight terminals will have a positive impact on the development of intermodal transport. Container traffic may increase significantly after 2016 as a result of the commissioning of new container terminals at the Burgas and Varna ports.
3.1.1.2 Key strategic policies for freight transport Strategy for the development of the transport system of the republic of Bulgaria until 2020 The Ministry of Transport, Information Technology and Communications elaborated Strategy for the development of the transport system of the Republic of Bulgaria until 2020, adopted by the Council of the Ministers of the Republic of Bulgaria on 7 April 2010.The Strategy’s goals are - Economic efficiency; Sustainable transport sector; Regional and social cohesion improvement Transport plays a major role in the development of every modern society as a means for economic development and a prerequisite for achieving social and regional cohesion. The transport sector in Bulgaria is of an exceptional importance for raising the competitiveness of national economy and for providing services to its citizens. The fact that by 2008 the Bulgarian transport system supported, on a daily basis, an average of 2.54 million passenger trips and the transport of 274,000 tonnes of freight, is an indicative example of the importance of transport.
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Transport and communications generate 11.7% of the gross value added in the country and directly employ more than 138,000 persons (Source: National Statistical Institute – NSI, Employees under labour contract). The development of the transport sector is of a paramount importance for enhancing Bulgaria’s foreign trade relations and of tourism. The demand for transport services – both passenger and freight – have been on the rise over the last several years, with a parallel demand for a higher quality services. In this aspect, the objective of the state administration, represented by the Ministry of Transport, Information Technology and Communications, is to establish legal and economic conditions for the provision of transport services and of the relevant infrastructure matching the expectations of the users. Transport sector mission: The mission of Bulgaria’s transport sector is to support the economic and social development of the country by:
Providing efficient, effective and sustainable transport
Supporting a balanced regional development Assisting in Bulgaria’s integration in the European structures, taking into account its crossroad location and its transit potential Strategic objectives: Achieving economic efficiency:
Efficient maintenance, modernisation, and development of the transport infrastructure Integration of the Bulgarian transport system into the European transport system
Provision of transparent and harmonised competitive business environment of the transport market
Sufficient financing for transport sector development and performance. Efficient absorption of EU funds Development of sustainable transport sector:
Reduction of the transport sector negative impact on the environment and human health
Safety and security of the transport system Regional and social cohesion improvement:
Provision of high-quality and accessible transport in all regions of the country Sustainable development of urban passenger transport Follow-up strategic documents:
Medium and short-term plans for the implementation of the Strategy General Transport Master Plan for Bulgaria
Strategy for the development of the transport infrastructure of the Republic of Bulgaria by 2020 Operational Programme on Transport 2014 – 2020
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Strategy for the development of the transport infrastructure of the republic of Bulgaria by 2015 The main goal of the transport sector of the Republic of Bulgaria is to facilitate the economic and social development of the country by providing efficient and reliable transportation. Its mission is to aid the balanced regional development, and given the convenient location of Bulgaria at a major transportation crossroad and the country's transit potential, to speed up the country's integration into the European structural framework. In order for this accelerated convergence with the European Union's member countries to be achieved, it is required that the full potential of various fundamental factors be recognized and consequently used. These factors include human capital, innovation, competitiveness, modernization, and the drive for constant improvement in the quality of the services offered. In connection with preparation of the Republic of Bulgaria for membership in the European Union and the integration of its transport infrastructure into the European one, great effort has been shown in introducing and implementing the European standards for a modern, environmentally-friendly and secure transport, intensive action has been undertaken to harmonize the Bulgarian legislation with the European one, and opportunities have been created for the exchange of property rights in the transport sector allowing the entrance of private companies in the transportation services market, which will undoubtedly improve the quality of service due to the emergence of competition in the market. A major issue during this process is the steady development of the transport infrastructure. The insufficient investment in maintenance and development of the infrastructure in the last decades and the increased demand for transportation services call for a new and improved, long-term planning of its future development. Modernization is necessary for the successful integration in the European transport system. Considerable amount of time is necessary for the creation of such a modern transport infrastructure, as well as planning in the long run, assuring the existence of reliable and steady influx of finances, and determination and commitment by all institutions and organizations participating in this process. For the crucial full absorption of the considerable European funds, the government has to prepare vital infrastructural projects and to co-finance their realization. It is essential that better conditions be created for strengthening the role of the private sector in the development of the infrastructure, including opportunities for various forms of public-private partnerships. The trend is for improving and developing the majority of the ports, airports and highways by giving them on concession. EU Strategy for the Danube Region (EUSDR) The EU Strategy for the Danube Region, endorsed in June 2011 by the European Council and it is the second EU macro-regional strategy after the EU Strategy for the Baltic Sea Region. The Danube region covers parts of 8 EU countries (Germany, Austria, Hungary, Czech Republic, Slovak Republic, Slovenia, Bulgaria and Romania) and 6 non-EU countries (Croatia, Serbia, Bosnia and Herzegovina, Montenegro, Ukraine and Moldova).
The region is facing several challenges regarding environmental threats (water pollution, floods, climate change), untapped shipping potential and lack of road and rail transport connections, insufficient energy connections, uneven socio-economic development, uncoordinated education, research and
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innovation systems and shortcomings in safety and security. The strategy Objective is divided to 4 pillars and 11 priority areas, namely:
Pilar 1 – Connecting the Region is divided into Mobility and Multimedia, Sustainable energy and Culture, tourism, People to people priorities;
Pilar 2 – Protecting the Environment is addressed to Water quality, Environmental risks, Biodiversity, landscapes, air and soil quality priorities;
Pilar 3 – Building prosperity entails Knowledge society, Competitiveness and People and skills priorities; Pilar 4 deals with the support of the Strengthening of the Region via Institutional Capacity and cooperation and Security priority lines.
3.1.2 Transport - CO2 emissions The Priority 5 Reduction of the transport sector negative impact on the environment and human health for the period until 2020 were identified on the basis of the formulated mission, vision and strategic objectives of Bulgaria’s transport sector, and accounting for the role of the state, the institutional framework, the development trends and the SWOT analysis. The emission of harmful gases in Bulgaria rose by 39.1% for the seven year period, compared to the EU average of only 7%.
3.1.2.1 Reduction and Targets Reduction of the transport sector negative impact on the environment and human health The analysis of the development of Bulgarian transport sector over the last several years has highlighted major structural changes and upward trends for the share of road transport in the total transport performance. The road passenger transport performance (in passengers-km) rose from 56% in 2000 to 71.3% of the total passenger transport performance in 2007, which is equivalent to a 15.3 percentage points increase for the seven-year period. For the same period, this indicator within the EU remained practically unchanged at a level of about 84%5. A similar trend was observed in freight transport, where road transport increased its relative share from 52.3% to 70% of the total freight transport performance (tonnes-km), which is equivalent to a 17.7 percentage points increase. The EU member states average increase is only 2.8 percentage points. These structural changes result in a drastic rise in the overall energy consumption of the transport sector in Bulgaria, which rose by 47.5% in 2007 compared to 2000. For the same period, the overall increase of the energy consumption by transport in the EU member states rose by an average of 8.7%. This line of development will result in an increase of noise and the emissions of harmful gases, which have a negative impact on environment and climate, thus lowering the quality of life in urban agglomerations. The emissions of harmful gases in Bulgaria rose by 39.1% for the seven-year period, compared to the EU average of only 7%. The increase for road transport stood at 51.7% for the same
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period, and its share in the total amount of greenhouse emissions from transport activities in 2007 rose to 88.4%. It must be noted that the total freight transport performance in 2007 rose by 21.3% compared to 2000, while total passenger transport performance fell by 0.7%6.Limiting the harmful effect of transport on the environment, climate and quality of life requires the introduction of, and incentives for using fuels and energy from alternative and renewable sources, as well as the development and increased share of environmentally compatible transport modes. The optimal balance in using the potential of the different transport modes, by reassignment of transport to more environment-friendly transport modes (railways, inland waterways, electric vehicles), as well as the expansion of the metropolitan, are seen as being among the most efficient means to achieve this objective. The development of transport vehicles powered by accumulator batteries (hybrid and fully electric) will also contribute to limiting the harmful impact on environment. The issues related to electric transport vehicles is becoming more and more topical on the background of the measures initiated with the objective to overcome climate changes and the economic crisis in the automotive industry. In a long-term perspective, the mass production of electric cars will help car manufacturers to match the goals set by the Community in terms of CO2 emissions from cars and will also contribute to the common objective to reduce carbon dioxide emissions. Minimizing the negative effects on public health and on the environment would be attainable at sustainable levels of energy consumption by transport and by a drastic reduction of noise and greenhouse gases. The introduction of European standards for light and heavy trucks in terms of particulate matter and nitrogen oxide emissions, the introduction of environmental requirements and tax relief for the acquisition of vehicles for public transport purposes as incentives for the market of environmentally compliant and energy efficient vehicles, as well as increasing the market share of bio- fuels used in transport to 5.75% by 2010, and to minimum 10% by 2020, and devising strategic noise maps along major roads, railway lines and airports will all contribute to decreasing the harmful effects of transport on the environment and public health. The implementation of the “Single European Sky” (SES) project by 2020 will substantially reduce the negative impact of air transport on climate by optimising the scheme for managing air traffic in Europe. As a result, in-flight carbon dioxide emissions will be reduced by 10%, and the capacity of the air control system will be tripled. In view of this, it is exceptionally important to create by 2012, jointly with Romania, the Danube functional airspace block, which will be Bulgaria’s and Romania’s contribution to the project. The complex implementation of the measures intended within the framework of this priority will contribute to the sustainable development of the transport sector in full compliance with EU policies. The major objective, which must be implemented between 2010 and 2020, is the creation of sustainable transport system, which will match the economic, social and environmental requirements and which will be fully integrated and competitive. A higher-level of integration of the individual transport modes is a tool for improving the overall efficiency of the system and for accelerating the development and commissioning of innovative technologies.
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Measure 1 Limiting harmful emission and pollution, and the negative impact on climate caused by the transport sector The objective of this measure is to create suitable conditions for reducing the negative impact of transport on the environment as a component of the set of measures for a sustainable development of the sector. The results expected from the implementation of this measure are: • Limiting harmful noise and gas emission released by transport • Creating conditions for renewal of the rolling stock and introduction of high technologies and innovations (including the development of electric and hydrogen-driven vehicles) • Reducing the pollution in the Bulgarian sections of the Black Sea and the Danube River • Reducing the relative share of road transport in the overall transport operations • Improving the living environment and conditions • Contributing to the implementation of the commitments assumed by Bulgaria with the Kyoto Protocol and the UN Framework Convention on Climate Change. Measure 2 Creation of a favorable environment and conditions for a substantial growth of intermodal transport The objective of this measure is to promote the use of the environment-friendly transport modes as well as to increase the added value of transport operations. The results expected from the implementation of this measure are: • More efficient utilization of railway and inland waterway transport • Development of transport schemes and technologies, matching the modern requirements regarding the impact on the environment and climate • Improving the coordination and integration of the different transport modes • Reducing the costs for transporting passengers and freight. Bulgaria is drafting a law on capturing and storing carbon dioxide emissions from power plants and other facilities in order to fulfill the requirements laid out in several EU directives. Capturing carbon dioxide and storing it in geological formations (CCS) is an interim technology that will contribute to addressing the impacts of climate change. It consists of capturing carbon dioxide from industrial plants, its transportation to storage and pumping it into suitable underground geological formation for permanent preservation.
3.1.2.2 Vehicle technologies Limiting the harmful effect of transport on the environment, climate and quality of life requires the introduction of, and incentives for using fuels and energy from alternative and renewable sources, as well as the development and increased share of environmentally compatible transport modes. The development of transport vehicles powered by accumulator batteries and the mass production of electric cars (hybrid and fully electric) will also contribute to limiting the harmful impact on environment.
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The electricity-powered vehicles are seen as a factor for sustainable urban development. They contribute to emission reduction. The electromobiles will be priority in public procurement in Bulgaria in the next years. As of 2014, all state institutions and municipalities in the country will purchase only electricity-powered service cars. The electricity-powered automobiles of the Chinese carmaker Great Wall started to be produced at the factory of Litex Motors near the town of Lovech. The factory occupies an area of 500 acres near Lovech and has a capacity of producing 50,000 cars a year in two shifts. Since the launch of the project nearly two years ago invested money without the value of the purchased land in Lovech village Bahovitsa amounted to 55 millions BGN. It remains to realize the second phase, which will close the full cycle of production and will be differentiated industrial zone in the region. The first series of electromobiles are ready and on the market of the spring 2012. There is a project for building electromobile's charging infrastructure in the main big cities in the country Sofia, Plovdiv and Varna. The project will be financed with funding from the Kozluduy Energy Fund. The introduction of European standards for light and heavy trucks in terms of particulate matter and nitrogen oxide emission, the introduction of environmental requirements and tax relief for the acquisition of vehicles for public transport purposes as incentives for the market of environmentally compliant and energy efficient vehicles, as well as increasing the market share of bio-fuels used in transport to 5.75% by 2010, and to minimum 10% by 2020, and devising strategic noise maps along major roads, railway lines and airports will all contribute to decreasing the harmful effects of transport on the environment and public health.
3.1.2.3 Charging and emissions trade Climate change is mainly caused by an accumulation of greenhouse gases (GHGs) in the atmosphere. The reduction targets established in the Kyoto Protocol can be met by reducing domestic GHG emissions (through domestic/regional emissions trading schemes and other policy measures), or by utilising the flexible mechanisms allowed under the Kyoto Protocol: Clean Development Mechanisms (CDM) and Joint Implementation (JI). Bulgaria, reduced the greenhouse gases by gasification, ERU03/29. This project has switched from carbon rich liquid and solid fuels to natural gas. The project involves construction of a gas main branch, and gas distribution networks, and restructuring of the end users installations. The project involved end users in industries, transport, public and administrative sector plus households in the towns of Bulgaria. The energy efficiency of their combustion installations increased. This switch leaded to essential reduction of carbon dioxide emissions. When comparing the emissions of the baseline with the emissions of the project, 484,356 tons of CO2e will be reduced in the period 2008-2012. Table 5: GHG Emissions from Transport - Million tonnes
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Table 6: GHG Emissions from Transport 2007 BY MODE/ Million tonnes
Table 7: Energy Consumption in Bulgaria 1990 1995 2000 2005 2006 2007 by fuel/product 16.15 11.38 8.59 9.58 10.01 9.78 Solid fuels 1.52 1.25 0.85 0.97 0.95 0.98 Oil 4.98 2.90 3.00 3.64 3.86 3.72 Gas 2.07 1.79 1.23 1.03 1.17 1.16 Electricity 3.03 2.47 2.07 2.21 2.31 2.34 Renewables 0.18 0.55 0.75 0.77 0.71 Derived heat & Industrial waste 4.54 2.80 0.88 0.99 0.95 0.88 by sector INDUSTRY 9.01 6.01 3.65 3.74 3.82 3.86 TRANSPORT 2.52 1.98 1.82 2.57 2.77 2.69 HOUSEHOLDS 2.23 2.26 2.16 2.15 2.18 2.07 AGRICULTURE 0.78 0.38 0.31 0.30 0.30 0.27 SERVICES etc. 1.60 0.76 0.65 0.83 0.94 0.90
Non-Energy Uses BULGARIA 1.43 1.24 1.26 1.07 0.97 1.04 CO2 Emissions (Mt) (**) 88 68 51 55 56 60 Energy intensity (toe/M€ '00) 1 984 1 632 1 361 1 127 1 090 1 016 Carbon intensity 3.15 2.91 2.73 2.74 2.72 2.93 Import dependency, % 63.6 57.2 46.6 47.4 46.2 51.9 Energy per capita (kgoe/cap) 3 209 2 773 2 288 2 589 2 668 2 642
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CO2 per capita (kg/cap) 10 098 8 065 6 253 7 106 7 269 7 739
Non-Energy Uses EU-27 98.02 110.34 112.33 115.51 112.79 114.41 CO2 Emissions (Mt) (**) 4 547 4 342 4 350 4 521 4 549 4 498 Energy intensity (toe/M€ '00) 233 209 187 181 176 169 Carbon intensity 2.75 2.61 2.52 2.48 2.49 2.49 Import dependency, % 44.5 43.5 46.8 52.6 53.8 53.1 Energy per capita (kgoe/cap) 3 381 3 474 3 570 3 711 3 696 3 641 CO2 per capita (kg/cap) 9 305 9 070 9 006 9 190 9 209 9 066 Notes: (*) not including pumping; (**) Source: European Environment Agency, July 2009; Including Bunkers; (***) Pumped Storage Plants and Other Power Stations; (****) Electrical Energy and Industrial Waste. Bulgaria is part of the European Union Emissions Trading System (EU ETS), also known as the European Union Emissions Trading Scheme. It was launched in 2005 to combat climate change and is a major pillar of EU climate policy. As of June 2012, the EU ETS covers more than 11,000 factories, power stations, and other installations with a net heat excess of 20 MW in 30 countries—all 27 EU member states plus Iceland, Norway, and Liechtenstein. The installations regulated by the EU ETS are collectively responsible for close to half of the EU's emissions of CO2 and 40% of its total greenhouse gas emissions. Over 130 Bulgarian companies, began trading under the ETS, and now are able to sell their free quotas.
3.1.3 Transport – Sustainability
3.1.3.1 Network Planning – Policies and strategies in national, cross-national and EU-wide transport network planning
• National ISPA strategy for the Transport sector • National regional development strategy of the Republic of Bulgaria for the period 2005 – 2015 • Strategy for the development of the transport infrastructure of the Republic of Bulgaria by 2015 • National strategic reference framework 2007 – 2013 • Operational Programme on Transport 2007 – 2013 The Operational Programme on Transport 2007-2013 (OPT) is one of the seven operational programmes of the Republic of Bulgaria, which are financed by the Structural and the Cohesion Funds of the EU. The OPT is the operational programme with the largest budget in Bulgaria - EUR 2 003 481 163.68.
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The goal of OPT is development of railway, road and waterway infrastructure, as well as stimulation of development of mixed transport in accordance with the transport policy of the European Union and the established requirements for development of the Trans-European transport network in order to achieve stability of the Bulgarian transport system. Specific features of the OPT are advanced selection of particular Beneficiaries of the projects and advanced prioritization of an indicative list of infrastructure projects envisaged for financing under the programme. The operational programme is focused on several strategic priorities, which will contribute to the integration of the national transport network in the EU one. Achieving those priorities will make a fundamental contribution towards stable and balanced economic growth in the country in the intermediate- and the long- term
DEVELOPMENT OF THE RAILWAY INFRASTRUCTURE ACROSS THE TRANS-EUROPEAN AND THE MAIN NATIONAL TRANSPORT AXES Objective of the priority axe is to build and develop the key railway infrastructure connections that are on a national, trans-border and European importance, as well as improvement of the operative compatibility of the main railway arteries. Anticipated investment: 580 million Euro. All activities are co-financed from the Cohesion Fund of EU. The Beneficiary is the National Railway Infrastructure Company. The improvement of the railway infrastructure will focus on achieving the quality standards of the EU and providing interaction through planned investments, in particular:
Increasing the infrastructure productivity;
Decreasing the costs (accordingly decreasing the taxes for using the infrastructure)
Decreasing the time, required for crossing the borders;
Improving the attractiveness of the railway stations;
Implementation of a suitable infrastructure and conditions for mixed transport for the freight transport;
Supporting high quality standard for safety of the railway network
DEVELOPMENT OF THE ROAD INFRASTRUCTURE ACROSS THE TRANS-EUROPEAN AND THE MAIN NATIONAL TRANSPORT AXES Objective of the priority axe - building and development of the key road infrastructure connections that are on a national, trans-border and European importance, as well as improvement of the operative compatibility of the main road arteries. Anticipated investment: 990 million Euro. All activities are co-financed from the Cohesion Fund of EU. Beneficiary - National Road Infrastructure Fund 56 Mapping of current EU & SEE Regional policies
Main groups of activities:
Building and development of the main road infrastructure that is on national and European importance.
Building and development of the main road infrastructure that connects the main road network of Republic of Bulgaria with those of the neighbouring countries. The main activities are:
Construction of new and rehabilitation and modernization of the existing motorways that are on national and European importance across the trans-European transport network.
Construction of new and rehabilitation and modernization of existing 1st class roads that are on national and European importance across the trans-European transport network.
Construction, rehabilitation and modernization of road sections that connect the main road network of Bulgaria with these of the neighbouring countries. IMPROVEMENT OF THE INTERMODALITY FOR THE TRANSPORTATION OF PEOPLE AND FREIGHTS Objective of the priority axe -. Facilitating and improving the conditions for transporting people and freights from one type transport to other and to direct the transportation of people and freights to ecology oriented type of transport. Anticipated investment: 211 million Euro. All activities are co-financed from the European Fund for regional development. Beneficiary: National Railway Infrastructure Company "Metropolitan" JSC Main groups of activities:
Extending the network of terminals for mixed transport;
Development of subway city railway that connects key transport centers from national importance (main railway stations, airports, etc.) with other types of transport. The improvement of the intermodality is of crucial importance, because once in place better conditions for transferring passengers and freights would create better environment for business and would attract investments. By directing the transfer of passengers and freights to eco-types of transport, the ecology in the country would be improved and preserved.
• Operational Programme Regional development 2007 – 2013 • National programme for the development of public ports by 2015 (draft) • National strategy for sustainable development (draft) • National long-term programme for energy efficiency until 2015
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• National long-term programme to encourage the use of biofuels in the transport sector 2008 – 2020 • National strategy for sustainable development of tourism in the Republic of Bulgaria 2009 – 2013 • National strategy for the environment 2009 – 2018 • Programme of the Government of European development of Bulgaria • General Transport Master Plan for Bulgaria.
European strategies:
• White paper 2011
Roadmap to a Single European Transport Area - Towards a competitive and resource efficient transport system
The Greening Transport Package
Railway transport “Towards a European rail network for competitive freight”, followed in 2008 by a Proposal for a Regulation of the European Parliament and of the Council concerning a European rail network for competitive freight.
Road transport and intelligent transport systems Action plan for the deployment of Intelligent Transport Systems in Europe. Waterborne transport “Strategic goals and recommendations for the EU’s maritime transport policy until 2018”,
Air transport The EU Air Transport Policy “Flying Together” highlights the aspects and the development objectives of air transport.
Intermodal transport “Freight Transport Logistics Action Plan”
Green paper on the development of TEN-T Green Paper TEN-T: “A policy review – Towards a better integrated trans-European transport network at the service of the common transport policy”.
3.1.3.2 Intelligent transport systems Technologies (incl. standards), roll-out strategies The Ministry of Transport, Information Technology and Communications, being the authority in charge of drafting policies and guidelines for the transport sector, monitors European trends in the development of
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intelligent transport systems (ITS) and takes measures to assist in the implementation of the long and medium-term objectives for the introduction of ITS in Bulgaria. ITS are a key tool for the efficient utilisation of the existing infrastructure and for assuring a more efficient, safer, more secure and more environment-friendly transport, thus contributing to the creation of a sustainable mobility for the citizens and for the economy. The specific infrastructure projects, which will be implemented during the next 10-year period, have been identified, or will be identified, in compliance with the following strategic documents: Strategy for development of the transport infrastructure by 2015, and a new infrastructure strategy, which must be drafted by 2014 and cover the period to 2020; OP Transport 2007-2013 and 2014-2020; General Transport Master Plan for Bulgaria etc. The introduction of intelligent transport systems will contribute to improving the overall performance of the transport system. The use of information systems is of crucial importance for the monitoring of the transport chains and would improve management and help achieving a higher level of integration of transport flows. The creation of road traffic monitoring, control and management will improve traffic management. The creation of a high-quality transport system will play a major role in support of a balanced territorial and sector development. It will have a positive impact on the prosperity of small and large agglomerations by making them more easily accessible. The use of intelligent transport systems will improve operations management and will allow offering new services (car pool management, passenger information systems, charge collection systems, etc.).
3.1.3.3 Innovation Research into procedures, policies, technologies, standards Following the European policy, Bulgaria highlights the four major pillars of the development of transport during the 10-year period: • Change in the balance between the different transport • Removing the “bottlenecks” • Placing the users in the focus of transport policies • Management of the effects of globalisation of transport The main objective, which must be achieved between 2010 and 2020, is the creation of a sustainable transport system, which will be fully integrated and competitive, and which will match the economic, social and environmental needs of the people. The priority axes 4-Improvement of the maritime and inland-waterway navigation of the Operational Programme on transport in Bulgaria for 2011 is implemented through the following projects, realizing innovative improvements in the sector:
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Project Improvement of the navigation on the Danube in joint Bulgarian - Romanian parts: from rkm 530 to rkm 520 – Bathin from rkm 576 to rkm 560 - Belene Because of the serious delay in the preparation of the Project under the Romanian ISPA programme, at the 11th Monitoring Committee of OPT in December 2011 it was proposed the Project to be prepared in the current programming period and its implementation to be realized in the next programming period. The proposed indicative budget for project preparation is 10 million EURO.
Project Establishment of River Information System in the Bulgarian Part of the Danube River The grant contract was signed on 04.10.2011 and provisioned grant is to the amount of BGN 35,378,913.72 (EUR 18,088,951.35). The Project is in the process of implementation. On 15.05.2010 is signed a contract with Association BULRIS 2009 for Phase 1 of the Project to the value of 6,9 million euro. On 18.10.2011 the first phase of the Project was started. Grant to the amount of BGN 5,104,228.87 (EUR 2,609,750.78) is paid under the Project – 14.43 % of the approved grant for the Project) and as at the end of 2011 there are no verified expenditure. The physical implementation of the Project is as follows: Built and equipped are two new towers in the village of Florentin and Oryahovo, equipped three towers owned by BTC-VIVACOM and National Management Radio and Television stations in the town of Silistra, Tutrakan and Russe. Fully furnished and equipped is a temporary operating center RIC Ruse, Reserving RIC Varna and site located on the roof of Bulgarian River Shipping Ruse. Fully completed and integrated in 2011 are 4 main subsystems of the RIC, namely ERI - electronic reporting system, NtS - notices to capitains, AIS - Automatic Identification System and Data Gateway - a system for data exchange with all countries that have built RIC system.
Project Vessel Traffic Management Information System (VTMIS) – Phase 3 In 2011 the following important moments from the preparation of the Project may be noted: AF of the Project is submitted for approval by the MA of OPT at the end of 2011. Submitted is a notification for the investment proposal to MOEW. There are decisions of RIEW Varna and Bourgas issued in accordance with which the sites under the Project are not subject of procedures for Environment Impact Assessment. In 2011 Bulgarian Ports Infrastructure Company has concluded the following contracts for performance of the Project preparation: Annual Report on Implementation of Operational Programme on Transport for 2011 90 - Development of a detailed structural plan for property No 2652 after the plan of 29 micro region Varna of intended use – construction of a building for management of the maritime traffic – traffic tower; - Preparation of an application for confirmation of subsidy under Articles 39 - 41 of Regulation (ЕC) No 1083/2006 and Cost-benefit Analysis in part financial analysis, analysis of the sensitivity and risk assessment;
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- Consultancy services for the preparation of Technical specification for engineering and methodology for assessment for construction of towers for management of the ship traffic in Varna and Bourgas for Project Vessel Traffic Management Information System – Phase 3. Project Improvement of the Navigation Systems and the Topo-Hydrographic measurements along the Danube river. In 2011 are prepared the technical specifications after the individual components of the Project. An application form is prepared for the grant to be provisioned under Priority Axis 5 technical Assistance for the financing of consultancy services for the preparation of the investment Project.
The following innovations are realized through the implementation of priority axis 4 - Technical Assistance: Project Technical Assistance for Preparation of Investment Project for Third Metro Diameter of Sofia Metropoliten Knyazevo– CCP – Botevgradsko Shosse blvd. For realization as type „light metro” Grant is awarded to the amount of BGN 3,270,000 (EUR 1,671,924.45) As at the end of 2011 the Contractor finished the work for Stage I – Feasibility study and pre investment studies. Selected is a variant for the route of Third Metro Diameter based on variant 4А worked out by the contractor with small changes. Currently the conceptual Project is developed with basic characters and indicators of the individual parts. The Project is implemented in accordance with the planned schedule. Project Design and Introduction of Geographic Information System for the Needs of NRIC Provisioned grant is to the amount of EUR 5 112 918,81. In 2011 all activities under the Project were performed within the time periods and scope according the concluded contracts. The Official opening and presentation of GIS to NRIC (presentation and press conference) was made on 05.04.2011. As at the end of 2011, NRIC has developed, built, technically provisioned and functioning Geographic Information System and trained employees to work with it. Within the framework of Directorate Strategic development and Investment Projects of NRIC – head Office is established unit GIS for work with the system. Project Technical Assistance for Support of the Strategic Development of the Railway Sector in the Republic of Bulgaria In 2011 the Project was finalized. Total amount of funds paid under it amounts to BGN 1,028,400 or about 83,6 % of the planned budget of the Project. As a result of its implementation the following documents were prepared: Project of Strategy for Introduction of Technical Specification for introduction of Technical Specifications for Operational Compatibility of the Conventional Railway System in the Republic of Bulgaria /2010-2030/; Project for Long-term Plan for Implementation of Technical Specifications for Interoperability of the conventional railway system in the Republic of Bulgaria (2010- 2030); Project of Strategy for Introduction of European Railway System for Traffic Management (ERTMS) in the Republic of Bulgaria. Project of national Plan of the Republic of Bulgaria for Introduction of ЕRTMS.
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The establishment of a working group is planned in 2012 with representatives of the competent administrations in the area of the railway transport like the Executive Agency Railway Administration and National Transport Policy Directorate with МТIТС. The work group shall have as a task to bring prepared Projects in the form of national strategic documents for the development of the railway transport and to facilitate their acceptance and approval at national level.
3.1.3.4 Internalisation of external costs – Models for assessment of external costs and strategies for internalisation, roadmap Strategy for the internalisation of external costs Internalising external costs is relevant for the package of measures, which aim at increasing the sustainability of transport. It is of an utmost importance that transport should contribute forachieving the basic priorities of the Commission, namely sustainable development and maintaining Europe’s competitiveness. The European Commission has emphasized during the last several years the necessity to develop a more efficient pricing system in transport, which would reflect in a better way the actual transport expenses. The aim of internalising external costs is to provide an indication for the exact price, so that users could take over the expenses they generate, so that they could be motivated to change their behaviour in order to reduce these expenses. The external costs (the loss of time caused to other motor vehicles drivers because of congestion, the health problems incurred by noise and air pollution, and in a longer-term perspective – the effect of gas emissions on climate changes) are not assumed directly by the users. Funding the police, infrastructure management, hospital establishments and public healthcare is real and is assumed by the society and the citizens.
3.1.3.5 KPIs - Key Performance Indicators to facilitate sustainability and improvement actions According to the strategic vision for the development of the country, as defined in the National Strategic Reference Framework, Bulgaria is facing the challenge to achieve a sustainable genuine convergence through high economic growth rates based on investments, a substantial increase of productivity and improvement of competitiveness. In order to negotiate the risks, which may compromise the efforts to maintain a high and stable economic growth, the economic policy must be focused on improving the quality of the physical infrastructure (by enhancing connectivity and accessibility), on investing in human capital and raising the standards of education and healthcare in order to maintain the quality of the work force, and remove the inefficiency in the performance of the administration and the market in order to provide incentives for entrepreneurship and investments and support a balanced territorial development. Achieving this vision implies that Bulgaria must achieve two strategic objectives in the medium Term. Achieving these objectives can be perceived as indicators performing sustainability: • To achieve and maintain a high economic growth rate by a dynamic economy in compliance with the principles of sustainable development • To improve the quality of the human factor and reach employment, income and social integration levels, which would assure a high living standard.
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By 2020, Bulgaria should have a modern, safe and reliable transport system in order to satisfy the demand for high-quality transport services and to provide better opportunities for its citizens and business. The mission of the transport sector was further developed in the strategic policy objectives, as follows: • Achieving economic efficiency through: - Raising the competitiveness of Bulgaria’s transport system; - Creating the conditions required for a sustainable growth of domestic and international transport at a higher energy efficiency; - Assuring the conditions for a loyal competition among and within the different transport modes. • Development of sustainable transport sector through: - Reducing the negative influence of transport on the environment and the climate - Integrating Bulgaria’s transport system into the European network - Assuring a high level of safety and security of the transport system. • Regional and social cohesion improvement through: - Coordinated development of the transport sector in compliance with the economic and social development at a national and regional level; - Improving, at a regional level, the access to the transport corridors and creating incentives for the development of border regions; - Assuring the mandatory public transport services at affordable prices.
3.1.4 Transport - Promotion of rail, sea and inland waterway
3.1.4.1 Integration – Policies for combining different transport modes, promote co-modality and lead to the integration of alternative modes besides road transport, in the freight transport sector. The Operational Programme on Transport 2007-2013 (OPT) is one of the seven operational programmes of the Republic of Bulgaria, which are financed by the Structural and the Cohesion Funds of the EU. The OPT is the operational programme with the largest budget in Bulgaria - EUR 2 003 481 163.68. The goal of OPT is development of railway, road and waterway infrastructure, as well as stimulation of development of mixed transport in accordance with the transport policy of the European Union and the established requirements for development of the Trans-European transport network in order to achieve stability of the Bulgarian transport system. Specific features of the OPT are advanced selection of particular Beneficiaries of the projects and advanced prioritization of an indicative list of infrastructure projects envisaged for financing under the programme.
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The operational programme is focused on several strategic priorities, which will contribute to the integration of the national transport network in the EU one. Achieving those priorities will make a fundamental contribution towards stable and balanced economic growth in the country in the intermediate- and the long- term. The general goal of the OPT is
Development of a stable transport system. The specific goals of the programme are:
Integration of the national transport system in the transport network of the European Union;
Achieving balance between different types of transport. According to Council Regulation (EC) No. 1083/2006 the programme has to be defined at the level of Priority Axes, underlining the most important directions of development. There are five Priority Axes in the OPT. The Priority axes of Operational Programme on Transport and the respective beneficiaries are: Priority axis I - Development of railway infrastructure along the major national and Pan-European transport axes
National Railway Infrastructure Company. Priority axis II - Development of road infrastructure along the major national and Pan-European transport axes
Road Infrastructure Agency; Priority axis III - Improvement of intermodality for passenger and freight
Sofia Municipality - "Metropolitan" JSC;
National Railway Infrastructure Company; Priority axis IV - Improvement of the maritime and inland-waterway navigation
Agency for Exploration and Maintenance of Danube River;
Bulgarian Ports Infrastructure Company; Priority axis V - Technical Assistance
The Managing authority of OPT;
All beneficiaries; Intermodality
All projects for development of the intermodality of the OP "Transport" 2007-2013 are setup in Priority Axe III of the Programme. In the Indicative list with projects exist 2 priority projects. In this site section you could learn more for the priorities, beneficiaries and priority projects for the development of the intermodality in the Republic of Bulgaria. Priority axe III - IMPROVEMENT OF THE INTERMODALITY FOR THE TRANSPORTATION OF PEOPLE AND FREIGHTS
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Objective of the priority axe -. Facilitating and improving the conditions for transporting people and freights from one type transport to other and to direct the transportation of people and freights to ecology oriented type of transport. Anticipated investment: 211 million Euro. All activities are co-financed from the European Fund for regional development. Beneficiary: National Railway Infrastructure Company "Metropolitan" JSC Main groups of activities:
Extending the network of terminals for mixed transport;
Development of subway city railway that connects key transport centers from national importance (main railway stations, airports, etc.) with other types of transport. The improvement of the intermodality is of crucial importance, because once in place better conditions for transferring passengers and freights would create better environment for business and would attract investments. By directing the transfer of passengers and freights to eco-types of transport, the ecology in the country would be improved and preserved. The intermodal carriage of goods is the most universal and promising transport system which combines the advantages of different transport modes, providing thus benefits for the individual participants, as well as the society in general. Intermodal transport and logistics are key components of a successful economy since they play a major role in the economic development both on national and regional level. Moreover, enabling the movement of goods and services in a more efficient way, intermodal transport and logistics are vital for the development of international trade and economic cooperation. In line with the EU understanding of their key role in assuring sustainable and competitive mobility in Europe, as well as their contribution to attaining other objectives like a cleaner environment, energy supply security, and safety and security of transport, the Ministry of Transport, Information Technologies and Communications (MTITC) adopted a strategic document on the Development of the Transport System of the Republic of Bulgaria until 2020. One of the main priorities of the strategy is the development of intermodal transport and freight transport logistics. Recognizing the importance of transport logistics for a successful business and the role of public authorities in creating a favourable environment for the operation of logistic systems, the strategic document clearly states the intention of MTITC to focus on ensuring optimal conditions for parallel development of both the transport infrastructure along the priority Trans-European axes and of the necessary intermodal terminals suitable to subsequently expand into freight villages. In order to achieve this objective, it is essential to continue the implementation of the project Construction of Sofia intermodal terminal under the Operative Programme Transport; the construction of intermodal terminals in the cities of Ruse and Plovdiv, and of container terminals at Port Burgas – West and Port Varna – East. Addressing these challenges in an effective way will require stakeholders and government agencies to cooperate closely and develop new approaches. By working together, all actors can keep goods moving efficiently and safely throughout an
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integrated intermodal transportation and logistic system. A major opportunity to enhance the efficiency of freight movements is the establishment of a cluster in the intermodal transport and logistics.
3.1.4.2 Incentives – Policy initiatives and strategies to promote rail, sea and inland waterway transport A main issue of the Ministry of Transport’s policy is the development of intermodal transport and logistics infrastructure. In order to create effective logistics chains there is a need for obstacle elimination, for optimum use and combination of all transport modes, for encouraging training and best practices exchange in the EU, for improvement of the standartisation and the operational compatibility between the different transport modes. The intermodal terminals are the most important part of the logistics chain and the Ministry of Transport directs its efforts towards construction of such terminals and, subsequently freight villages. The following projects are in a process of realisation: “Construction of intermodal terminal in Sofia” and “Construction and development of new container terminals at the ports of Varna-East and Bourgas-West”.
Sea and inland waterway transport Waterborne transport offers substantial opportunities to increase efficiency and improve environmental performance. The growth trend forecast for inland waterway transport is attributed to the expected development of the infrastructure and improvement of shipping conditions. Figure 10: International inland waterways freight flows for 2020
Railway transport
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The European Commission launched a series of initiatives in 2007 with the objective to achieve a higher efficiency in freight transport within the Community. This new package of measures included also the Communication of the Commission titled “Towards a European rail network for competitive freight”, followed in 2008 by a Proposal for a Regulation of the European Parliament and of the Council concerning a European rail network for competitive freight. The Proposal for a Regulation contains provisions, covering the international management of the railway infrastructures, which otherwise could not be implemented individually by the member states. The introduction of the EU road transport rules, for instance limits on driving time and freight limits, also may increase the attractiveness of railways, as freight operations by road will become more expensive if performed legally. The requirements for protecting the environment will also become very important for Bulgaria; as a result, railways will become even more attractive. The volume of freight transported by railways will increase by 0.025 percent because of the higher environmental requirements. The results from the research on the options to change the transport mode used for freight, and the expected increase of the prices of fuels, electricity and labour define a future increase of road transport operating costs, compared to rail transport, and create conditions for changes when choosing the transport mode, especially for the purposes of long-term planning. Figure 11: International rail freight flows for 2020
3.1.5 Enhancement of competitiveness of the private sector Structure of the individual transport markets and government policies that intend to enhance effective competition in the private sector
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• The market for land transport services is characterised by a strong competition both between railway and road carriers and between individual road transport companies. • The Bulgarian shipping companies, represented mainly by the Navigation Maritime Bulgare (NAVIBULGAR©) are competing with established world operators and have suffered a deterioration of their market positions because of the unfavourable age structure of the merchant fleet. • The Bulgarian river shipping companies are operating in a competitive environment, characterised by its own specifics and high dynamics as well as by an extreme sensitivity regarding changes of any nature – demand and supply of products and raw materials, and customs and other regulations. • The market of international passenger services is dominated by air carriers and bus operators. • The domestic public transport market is characterised by the strong competition both between the Bulgarian State Railways EAD (BDZ EAD) and the bus operators, and between the bus operators. The policy of subsidizing railway passenger travels guarantees the preservation of a certain level of passenger flows without however substantially improving the quality of the services provided by BDZ EAD in terms of availability, frequency, reliability and comfort, which implies a negative perspective for the national railway carrier. The strategic Priority 3 -Provision of transparent and harmonised competitive business environment of the transport market - of the transport policy is orientated exactly to improving the competition in the private sector This priority complies with the EU policy for regulated competition and adoption of an efficient policy in setting infrastructure access fees. The priority matches also the commitments Bulgaria has assumed in line with the EU Accession Treaty in view of cabotage transport deregulation within the initial transition period. The objective of cabotage transport deregulation is to reduce the number of empty runs, thus increasing operators’ revenues and reducing the impact on environment.
Provision of transparent and harmonised competitive business environment of the transport market Measure 1 Further liberalisation of the transport market Measure 2 Assuring transparent and harmonised conditions for competition between and within the different transport modes Measure 3 Modern management of state-owned assets in the transport sector
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3.1.6 Incentives for sparking growth and for moving into new technologies
3.1.6.1 Institutional
3.1.6.2 Organisational
3.1.6.3 Financial Institutional - Current legislative framework, its efficiency and effectiveness to spark growth and move economy into new technologies Organisational - Regulatory and operational instruments (i.e traffic management, control and information) Financial - Tools (i.e. taxation, pricing and licensing) and instruments (i.e. grants and subsidies) The harmonisation of Bulgaria’s legislation with the legislation of the European Communities, and achieving a full compliance, was the main prerequisite for Bulgaria’s accession and establishment as a full EU member state. Currently, Bulgaria’s regulatory instruments are fully harmonised with the Community legislation.
Additional target-oriented actions are required in the following aspects: • Access to profession: - Strengthening of the supervisory and control functions of the executive agencies in the transport sector - Further development of the regulatory base, especially in the sphere of civil aviation, including accession to the initiative of the European Commission for deregulation of aviation transport in Europe - Application of the EU requirements regarding the financial stability of road transport operators according to the agreed transit period and schedule. • Market access: - State investments and compensation for assuring a sustainable development - Modernising the policy regarding the charges paid by users for access to the relevant transport infrastructure - Unification of standards and procedures related to shipping and crews - Gradual deregulation of cabotage operations in the field of road transport according to the agreed transit period and schedule - Requirements regarding the maximum admissible dimensions and weight of the road vehicles according to the agreed transit period and schedule. 69 Mapping of current EU & SEE Regional policies
• Access to transport services, reflecting in the obligation of the state to provide, maintain and co-finance the relevant level of public transport • The introduction of the European technical standards and requirements for interaction and operational compatibility • Raising the level of safety and security in all sub-sectors • Further development of the regulatory base in the field of transport of dangerous goods and full harmonisation with European and international safety requirements • Regulatory reform for the purpose of establishing a regulatory framework for the investment process in the construction and/or modernisation of the transport infrastructure From July 2011, transport research is one of the national research priorities. The main policy and strategic documents which provide an outline for transport sector research development are:
The National Strategic Reference Framework
The National Strategy for Integrated Development of Infrastructure of the Republic of Bulgaria for the Period 2006-2015
The Strategy for the Development of the Transport System of the Republic of Bulgaria until 2020
A General Transport Master Plan 2007-2010. Development of the Transport system in Bulgaria is also supported by the EU Structural and Cohesion Funds Operational Programme Transport 2007-2013. The National Transport Policy Directorate in the Ministry of Transport and Communications controls and monitors the scientific, technological, standardization and metrological activity in the transport sector. Executive agencies have been established within the Ministry, which function as regulatory bodies for the individual transport modes: The “Railway Administration”, The “Automobile Administration”, The “Maritime Administration”, “Exploration and Maintenance of the Danube River” and Directorate General “Civil Aviation Administration”. The transport research is financed within a general research funding schemes in Bulgaria. The two most important policy funding instruments are:
the National Science Fund, a funding body of the Ministry of Education, Youth and Science, which promotes the uptake of science and research initiatives at the national, regional and international level. Funds are distributed according to the Law on Scientific Research Promotion;
the National Innovation Fund, which functions under the Ministry of Economy, Energy and Tourism and promotes and finances the development of the competitive knowledge-based industry in Bulgaria. The Fund is administrated by the Bulgarian Small and Medium Enterprises Promotion Agency (a government body under the Minister of Economy, Energy and Tourism). Additional funding is available in universities and research centers, as well as through the bilateral and multilateral cooperation programmes between the universities within different EU and other international programmes. Organisations active in transport research
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The Ministry of Education, Youth and Science elaborated a National Roadmap for Research Infrastructures, adopted by the Council of Ministers in September 2010. The Roadmap prioritises the agglomeration of research infrastructures and resources into seven national research areas and encourages inter-sectoral and cross-border collaboration. Currently the majority of research in Bulgaria is carried out in public research organisations – universities and the Bulgarian Academy of Sciences. The organisations active in transport research in Bulgaria are:
Todor Kableshkov University of Transport
Transport Faculty and Faculty of Telecommunication, Technical University of Sofia
Faculty of Shipbuilding, Marine Sciences and Ecology, Technical University of Varna
Faculty of Mechanical Engineering and Technology, Technical University of Russe
Faculty of Transportation Engineering University of Architecture
Bulgarian Academy of Sciences
3.1.7 Infrastructure development through EU and national funding PPPs
3.1.7.1 Financial instruments for development
3.1.7.2 Non-financial instruments for development Overview - Areas of investment, alignment with EU transport roadmap, timeframes and objectives to be achieved Financial instruments for development - Schemes and tools (i.e. cohesion funds, PPP, PFI, guarantees) Non-Financial instruments for development - Regulatory approach, tools (i.e. BOT, concessions, corporatisation) Transport sector financing has several objectives: • Construction, modernisation, maintenance and repairs of the infrastructure, in which the State plays the leading role, without excluding other financial sources (fees for using the infrastructure) and tools (various forms of public-private partnership) • Renewal, modernisation and operation of the transport stock (a major obligation of transport operators) • Public transport services, provided jointly by the State and the transport operators • Research and development in the sphere of transport. The specific features of infrastructure building and modernising include a long period of preparation and implementation of projects and the concentration of financial resources at a low rate of return on investments. In compliance with the basic principle of priority of public over individual and/or local 71 Mapping of current EU & SEE Regional policies
interests, this fact implies the use of a combination of various financial schemes, mechanisms and sources, namely: • Public funds – the state budget, EU Structural and Cohesion funds • Resources, generated by facilities on concession, which basically means the transfer of revenue from fees for access to infrastructure • Private capital, participating in project financing by public-private partnerships for the implementation of projects and/or providing services, which are traditionally offered by the public sector • Other resources, including bank loans mainly from the European Investment Bank, the European Bank for Reconstruction and Development, by the World Bank, by the Japan Bank for International Cooperation, as well as from other international financial institutions
The infrastructure development is counted in Priority 1 and 4 of the transport policy Priority 1 - Efficient maintenance, modernisation and development of the transport infrastructure The analysis indicates that Bulgaria has a sufficiently dense railway and road networks, ports and airports. Because of a chronic deficit of funds, however, the components of these networks are in an unsatisfactory state of maintenance and require urgent measures for assuring compliance with the design parameters and/or technical operability, and modernisation, in order to match modern requirements. At the same time, traffic along these networks and nodes is limited and the fees charged for using the respective infrastructures are insufficient to cover costs. Hence, it is necessary to review the existing transport networks and nodes, with utmost attention focused on priority networks and facilities, while less stringent maintenance standards are specified for second-rate facilities. A portion of the existing infrastructure of local importance should be transferred for use and maintenance to interested parties – municipalities, industrial enterprises, private business, etc., or should be closed in case no interest is displayed. It must be noted that the process of decentralization of the ports management has already started. This provides good opportunities for re-allocation of the limited financial assets to those sections of the network, which will assure economic and social returns within the shortest possible period. At the same time and despite the existence of a transport infrastructure and untapped capacities on a national level, there are still “bottlenecks”, which – unless removed on time and in view of the expected growth in the demand for transport – will create serious problems in meeting all transport demands. This implies modernisation of the infrastructure in order to meet growing requirements in terms of capacity and quality. Development and modernisation of the transport infrastructure should be based on the analysis of the costs related to a specific project and of the social benefits of its implementation and commissioning, and by taking into account the expected traffic intensity and the assessment of its environmental impact. The improvement of the infrastructure, combined with optimisation of traffic, will contribute to raising the energy efficiency of transport. This priority objective covers also the commitments, assumed by Bulgaria according to the provisions of the EU Accession Treaty, to construct and upgrade close to 1,600 km of the main road network and increase its load-carrying capacity to 11.5 tonnes/axle by 2014. 72 Mapping of current EU & SEE Regional policies
The Ministry of Transport, Information Technology and Communications, being the authority in charge of drafting policies and guidelines for the transport sector, monitors European trends in the development of intelligent transport systems (ITS) and takes measures to assist in the implementation of the long and medium-term objectives for the introduction of ITS in Bulgaria. ITS are a key tool for the efficient utilisation of the existing infrastructure and for assuring a more efficient, safer, more secure and more environment-friendly transport, thus contributing to the creation of a sustainable mobility for the citizens and for the economy. The specific infrastructure projects, which will be implemented during the next 10-year period, have been identified, or will be identified, in compliance with the following strategic documents: Strategy for development of the transport infrastructure by 2015, and a new infrastructure strategy, which must be drafted by 2014 and cover the period to 2020; OP Transport 2007-2013 and 2014- 2020; General Transport Master Plan for Bulgaria etc.
Measures for the implementation of the strategic priority 1 Measure 1 Acceleration of the implementation of infrastructure projects in the sphere of railway, road, inland waterway, air and combined transport Two Operational Programmes on Transport will be implemented during the period under consideration. The first programme covers the period from 2007 to 2013, and the second – from 2014 to 2020. The projects scheduled for implementation according to OP “Transport” 2007-2013 are distributed into the following 4 priority axes: • Priority axis 1 “Development of railway infrastructure along the major national and Pan- European transport axes” – Modernisation of Sofia – Plovdiv railway line; Electrification and reconstruction of Svilengrad – Turkish border railway line; Renewal of railway section along Plovdiv – Burgas railway line (along the Trans-European transport network); Modernisation of Sofia – Dragoman railway line (along the Trans-European transport network); Modernisation of Vidin – Sofia railway line • Priority axis 2 “Development of road infrastructure along the major national and Pan- European transport axes” – Modernisation of section of I-1 (E 79) Vratsa – Botevgrad (E 79); Vidin – Montana; Kardjali – Podkova; Connection of the Hemus Motorway to the Sofia Ring Road; Construction of Struma Motorway – Lots 1 and 4; Constriction of Maritsa Motorway – from km 5 to km 72; Completion of the construction of Trakia Motorway – Lots 2, 3 and 4 • Priority axis 3 “Improvement of intermodality of passenger and freight” – Extension of the Metropolitan Sofia from Nadejda – Central Railway Station and Central Bus Station, square “Sveta Nedelya” – bul.”Cherni vruh” and “Mladost” – “Drujba” to the new terminal at the Sofia Airport; Construction of intermodal terminal in Sofia • Priority axis 4 “Improvement of maritime and inland waterway navigation” – Improvement of the navigation on the Danube in joint Bulgarian – Romanian parts: from rkm 530 to rkm 520 – Bathin from rkm 576 to rkm 560 – Belene; River Information Services System in the establishment of Bulgarian part of Danube River; Vessel Traffic Management Information system – phase 3.
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Implementation of the following infrastructure projects, co-financed by ISPA/CF 1164/94 will be completed during the period from 2010 to 2020: Reconstruction and electrification of Plovdiv – Svilengrad railway line; Construction of new combined (road/rail) bridge over the Danube River at Vidin – Calafat (Bulgaria/Romania); Construction of Lyulin Motorway: Sofia Ring Road – Daskalovo Road Junction; Technical assistance for the rehabilitation of Plovdiv – Burgas and Mezdra – Gorna Oryahovitsa railway lines; Technical assistance for the modernisation of the railway lines along the Trans-European transport corridors (TEN-T) in Bulgaria; and Technical assistance for the preparation of road projects along Trans- European transport corridors (TEN-T) in Bulgaria. The remaining infrastructure projects, which will be implemented during the next 10-year period as described in the relevant priority, have been identified or their identification is pending in the relevant strategic documents. Measure 2 Improving the technical and operational state of the transport infrastructure of national importance The objective of the measure is to improve the quality of services offered by the transport infrastructure of national importance and to reduce operational costs of transport operators and users. The results expected from the implementation of this measure are: • Increasing the share of the transport infrastructure, which is in a good technical condition • Restoring the design parameters along the main railway destinations • Shortening transit times • Improving the efficiency of utilisation of the rolling stock and reduction of operational costs • Attraction of international transit traffic • Improving traffic safety and reducing the number of accidents caused by infrastructure • Assuring an efficient transport support for Bulgarian business. Measure 3 Development and modernisation of the transport infrastructure The objective of the measure is to create conditions for an integrated planning and development of the main transport infrastructure in compliance with the volume and characteristics of transport demand. The results expected from the implementation of this measure are: • Increasing the capacity and removing the “bottlenecks” of the transport infrastructure with the aim to assure obstacle-free traffic for increasing transport flows in the main network destinations • Development of high-speed transport infrastructure • Attraction of international transit traffic with the objective to raise the efficiency of infrastructure use • Modernisation of the transport sector by investments in infrastructure and modern technologies as a prerequisite for the economic development of the country • Assuring an efficient transport support for the Bulgarian business • Raising the competitiveness of Bulgaria’s economy.
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Measure 4 Operation and maintenance of the transport infrastructure in compliance with the technical norms and standards The objective of the measure is to create the suitable infrastructure conditions for meeting transport demand by quality transport services, and to arrest the process of de-capitalization of national transport infrastructure assets and an optimal utilisation of the available financial and technical resources. The results expected from the implementation of this measure are: • Sustainable maintenance of the transport infrastructure of national importance in a good technical and operational state • Reduction, in the long-term perspective, of the costs of repairs and rehabilitation of the infrastructure • Reducing operational costs of transport operators and private users • Improved quality of transport services • Modernisation of the transport sector by investments in infrastructure and modern technologies as a prerequisite for the economic development of the country. Measure 5 Development of the logistics infrastructure Taking into account the important role of transport logistics for business, and the role of the Ministry of Transport, Information Technology and Communications in creating a favourable environment for the operation of logistic systems, the next several years will see efforts focused on creating optimal conditions for parallel development of both the transport infrastructure along the priority Trans-European axes, and of the necessary intermodal terminals, creating conditions for their growth into freight villages. The implementation of the following projects in this sphere will continue, namely: • Implementation of the project “Construction of intermodal terminal in Sofia”, in line with the OP “Transport” • Construction of intermodal terminals in the cities of Ruse and Plovdiv • Construction of container terminals at Port Burgas – West and Port Varna – East • Design and construction of new intermodal terminals in response to emerging needs.
Priority 4 - Sufficient financing for transport sector development and performance. Efficient absorption of EU funds Transport sector financing has several objectives: • Construction, modernisation, maintenance and repairs of the infrastructure, in which the State plays the leading role, without excluding other financial sources (fees for using the infrastructure) and tools (various forms of public-private partnership) • Renewal, modernisation and operation of the transport stock (a major obligation of transport operators)
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• Public transport services, provided jointly by the State and the transport operators • Research and development in the sphere of transport. The specific features of infrastructure building and modernising include a long period of preparation and implementation of projects and the concentration of financial resources at a low rate of return on investments. In compliance with the basic principle of priority of public over individual and/or local interests, this fact implies the use of a combination of various financial schemes, mechanisms and sources, namely: • Public funds – the state budget, EU Structural and Cohesion funds. • Resources, generated by facilities on concession, which basically means the transfer of revenue from fees for access to infrastructure. • Private capital, participating in project financing by public-private partnerships for the implementation of projects and/or providing services, which are traditionally offered by the public sector. • Other resources, including bank loans mainly from the European Investment Bank, the European Bank for Reconstruction and Development, by the World Bank, by the Japan Bank for International Cooperation, as well as from other international financial institutions.
The analysis of the current state of Bulgaria’s transport sector indicates that a major portion of the existing transport stock is physically and morally outdated; however, with the high level of privatization in this sector and in a deregulated market environment, renewal and modernisation of the transport stock is a top priority task for the private sector. In this sense, the basic role of the State is to create the relevant favourable regulatory opportunities and to provide financing for new rolling stock only to state-owned enterprises. The obligation to provide public transport services requires adequate financial resources for co- financing / compensation, allowing long-term planning for improving services quality. At the same time the contracts, which would guarantee compensation of the losses accrued by transport operators as a result of the obligation to provide public services, place these operators in a more advantageous position, as entrepreneurial risks would be eliminated to a major extend. Operators are not sufficiently stimulated to streamline operational costs, to use their full capacities and increase revenue, which does not favour the creation of a more favourable business environment. All these factors must be taken into account when drafting new, more detailed contracts for providing public services, in which it should be clearly stated what is the expected quality of the services by using the funds provided by the State. In view of the delay in the field of research and development in the sphere of transport, and in the application of the results in practice, as stated in the SWOT analysis, it is necessary to initiate measures in several aspects: • Support for transfer of know-how and new technologies at an international level within the framework of common development research in the EU • Support for research in the sphere of environment-friendly transport modes, energy saving technologies and alternative energy sources and their application in practice
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• Raising the efficiency of research and development efforts.
Measures for the implementation of the strategic priority 4 Measure 1 Improving the management and implementation of projects financed by EU funds • Timely implementation of projects, financed by the ISPA programme and by the OP “Transport”, with the objective to assure an efficient utilisation of EU funds • Creation of transparent criteria for selection and assessment of projects, and for follow-up control of their implementation • Timely start of projects within the OP “Transport”, which supports investments in the construction, modernisation and rehabilitation of the railway and road infrastructure, and the development of intermodality in passenger and freight transport. Measure 2 Development of the transport infrastructure by using the mechanisms of public- private partnership Limited state budget funds and the need for substantial investments in modernising the transport infrastructure imply searching for alternative sources and financing schemes. The construction of modern transport infrastructure requires time, long-term approach and assuring stable financial flows. The implementation of infrastructure projects by public-private partnership schemes is an opportunity to make the most of the private sector’s experience in applying innovations for development of the transport infrastructure. • Organising and successful completion of concessions procedures on various projects • Attracting private entrepreneurs by port and airport concessions • Raising the competitiveness of the transport system as well as the economy. Measure 3 Acquisition of statistics data and analyses required in the strategic and operative decision-making regarding the transport sector The objective of this measure is to provide information on the performance of the transport sector and on related social and economic indicators, in scope and quality sufficient for drafting and making motivated operative and strategic decisions. The results expected from the implementation of this measure are: • Improving the quality of analyses and forecasts on the development of the transport sector • Improving the quality of the preparatory stages and accelerating project implementation • Streamlining operative and strategic decision at all levels of the transport sector • Contributing to the transport sector quality and efficiency improvement.
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3.1.
3.2 Croatia
3.2.1 Transport – General
3.2.1.1 Overview of freight transport sector In year 2011, largest quantity of goods in Croatia was carried by road transport (74,645 million tonnes), followed by 30.348 million tonnes in seawater and coastal transport and 11.794 million tonnes in railway transport. Compared to 2001, bit more than 1 % less goods were carried by road, 5% less by seawater and coastal transport and more than 9 % more goods by railway transport. The highest increase is recorded for inland waterway where, compared with 2001, 361% more goods were carried. When compared with results for 2010, every mode of goods transportation records decrease, except air transportation where stagnation is evident. The data on goods transport presented by tonne-kilometers show an increase in 2011 in road, railway, seawater and coastal and inland waterway transport. Only air transport recorded decrease. In comparison with 2001 in inland waterway transport 787% more tonne-kilometers were performed, followed by 17,6% in seawater and coastal transport, 17,5% in rail transport and 17,2% in road transport. Air transport relative decrease is 50%, but observed absolutely, this makes difference of 2 tonne-kilometers. Table 8: Goods transport and traffic, Croatia 2001-2011
Index Good transport and traffic 2001 2006 2010 2011 2011-2001
Tonnes (in millions)
Road transport 75.476 107.753 74.967 74.645 98.90
Railway transport 10.807 15.395 12.203 11.794 109.13
Seawater and coastal transport 32.051 31.423 31.948 30.348 94.69
Inland waterway transport 1.123 1.509 6.928 5.184 461.62
Air transport 6 6 3 3 50.00
Tkm ('000)
Road transport 7.615 11.096 8.78 8.926 117.22
Railway transport 2.074 3.305 2.618 2.438 117.55
Seawater and coastal transport 132.168 136.994 162.751 155.437 117.61
Inland waterway transport 0.078 0.117 0.941 0.692 887.18
Air transport 4 3 2 2 50.00
Source: Croatian Bureau of Statistics2
2Statistical Information 2012, Croatian Bureau of Statistics, Croatia, 2012. 78 Mapping of current EU & SEE Regional policies
Figure 12: Goods transport in ‘000 tonnes, Croatia 2001-2011
Figure 13: Goods transport (tonne-kilometers), Croatia 2001-2011
Geographical position generates Croatia as extremely transit country (three Pan-European corridors cross state territory). According to the Central Bureau of Statistics, in 2011 in Croatia 117.2 million passengers and 125.2 million tons of goods were transported. Compared to 2010, the number of passengers decreased by 16.5 % in 2011. Transported goods, measured in tones, were 2.6 % lower than in 2010. Analysing the structure of transported passenger in 2011, it is evident that road transport has participated with 45%, rail transport with 42 %, maritime and coastal transport with 11 % and air freight with 2 %. Number of transported passenger increased in maritime and coastal transport by 3.4 %, in air transport increased by 11.7 %. In road and rail transport the number of transported passenger decreased, by 6.8 % in 79 Mapping of current EU & SEE Regional policies
road transport and 28.7 % in rail transport. In the transportation of goods in 2011, road transport has participated with 60%, maritime and coastal transport with 24.2 %, rail transport with 9.5 %, river transportation with 0.4 %, while air travel has a negligible share.
3.2.1.2 Key strategic policies for freight transport The transport strategy within National strategic reference framework (2012-2013) (draft version) is based on several strategic documents and activities funded through preaccession programmes (ISPA and IPA – Component III) which serve as a precursor to the Structural Funds. The ISPA/IPA transport priorities, namely the rehabilitation of railway network and a further development of Croatia’s inland waterway system are both still the most deficient sectors. Therefore, the integration and the modernisation of the Croatian railways and inland waterways connected to TEN-T corridors remain the core prioritiesof the transport development strategy, as expected In addition, interventions will be extended to motorways, national and regional roads, seaports and airports as well as the development of clean transport systems in urban areas. Also, resources are expected to be provided for projects that are ready for implementation. The development of the transport infrastructure of the Republic of Croatia is based on the Strategy of Transport Development of the Republic of Croatia which was adopted by the Parliament in November 1999. This document needs to be updated and take into consideration several sector-specific strategic documents which have been adopted since 1999. The Government envisages updating its Transport Development Strategy by preparing and adopting a new long term strategic document that should cover all the transport modes and that would be in line with the European transport policy. As far back as 2000, within the framework of the Stabilisation and Association Process, Croatia started its active international and regional activities in order to improve traffic and transportation links with the neighbouring countries. The South-East Europe Transport Study TIRS (2000) and the Regional Balkan Infrastructure Study - REBIS (2003) were produced with the assistance of EU funds. REBIS determined the South-East Europe basic transport network. A Memorandum of Understanding was signed by seven South- East European countries and the EU determining the basis for joint network development through multi annual development plans. In line with this Memorandum, Croatia has been intensively cooperating with the region and the EU through the South East Europe Transport Observatory – SEETO. This cooperation has been proven through the implementation of the Strategic Development Framework 2006-2013 (SDF 2006- 2013), a basic development plan in Croatia which, as far as the transport infrastructure development is concerned, anticipates the following: • More balanced development of transport network; • Enhancement of intermodal forms of transport; • Alignment of transport development with the environmental protection principles. With the Memorandum of Understanding on the development of the South East Europe Core Regional Transport Network signed on 11 June 2004, the Republic of Croatia is committed in the implementation of transport projects defined in the multimodal Core Transport Network for South East Europe. This core network is based in part on the alignment of the relevant pan-European Corridors (notably Corridors V, VII,
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VIII and X). As a SEETO Participant Croatia has been involved in the preparation of the Five Year Multi Annual Plan 2010–2014. In the railway sector Croatian priorities are: • To develop railway transport infrastructure: . Interconnection and interoperability of national networks to TEN-T, . Meeting EU standards, . Moving goods transport off roads and contributing to sustainable development. • To improve technical and technological standards of regional and local railways including the development of an energy-saving, clean and safe mode of transport. • To balance the railway sector spending and strengthen the railway intermodal and international competitiveness. • To regain market share for the railways in the freight transport sector.
The National Railway Infrastructure Program for Period 2008-2012 adopted in 2008, addresses the needs of substantial investments in the rail sector. In the inland waterways and inland ports sectors, the priorities are the following: • To establish, maintain and improve conditions for safe and reliable inland navigation. Waterway regulation must correspond with the needs of the users, which means ensuring smooth and safe navigation for ships with maximum draughts in accordance with the class of the waterway. In practice this means ensuring a mini-mum depth of 2.5 m for 300 days per year (international waterway class). • To maintain international waterways according to the required international navi-gational class standard. Croatian inland waterways are specific in that most of the waterways are rivers which follow Croatia’s borders. In consequence, the river bed regulation projects should be coordinated with neighbouring countries. Croatia considers these joint projects a priority, taking into account the fact that they help es-tablish better transport connections between countries, and help create preconditions for joint economic prosperity. • To develop and modernise international inland ports according to international standards and to equip international ports with facilities for the collection and treatment of human waste and the removal of silt from ports. Croatian river ports require qualitative and technological modernisation in order to satisfy the existing and expected transport demand. Along with the modernisation of the basic port infrastructure, the system of safety and surveillance in the port area should also be enhanced. • To connect inland ports to transport networks and to develop multimodal transport. Ports need to connect with main road and rail corridors in order to achieve better integration with the economic hinterland and to create preconditions for the development of inter-modal transport. The overarching strategic documents related to the inland waterways and ports are the Strategy for Development of Inland Waterway in Republic of Croatia (2008-2018), adopted on 16 May 2008, as well as
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the Mid term Plan of Development of Inland Waterways and Ports in the Republic of Croatia (2009-2016) adopted in 2009. In the road sector, the priorities are the following: • To develop a road network in Croatia concerning in particular the interconnection and interoperability of national networks with trans-European networks. • To improve the quality of the road network at the national and regional levels. • To increase the level of investment in the development, restructuring and reconstruction of the road network. • To upgrade the traffic and transport facilities that may be detrimental to traffic safety and environment. • To upgrade the national road network in order to improve access to Croatian sea ports, inland ports as well as airports, cities, towns and villages, and tourist sites. The programme for Construction and Maintenance of Public Roads for Period from 2009 to 2012, adopted on 3 December 2009, clearly defines objectives in that segment of the transport network. The basis for efficient public roads management in Croatia is The Public Roads Act, adopted on 8 December 2004. According to the Strategy for sustainable development of Croatia (Official Gazette, No. 30/09.) adopted by the Croatian Parliament in March 2009., the Republic of Croatia has reached a high level of development of motorway network, while a network of state, county and regional roads should be developed further. In the maritime transport sector the priorities are the following: • To upgrade and develop the seaport capacities and to modernize port infrastruc-tures. The quality of the port infrastructures is poor in contrast to the competing ports. • To upgrade the connections of the seaports to railway and road network, • To increase investments into multimodal transport terminals. The Pre-accession Maritime Transport Strategy of the Republic of Croatia dated October 2005, and the Seaport Act adopted by the Croatian Parliament in 2003, are strategic and legislative basis for the development and modernisation of maritime sector, seaports, as well as related multimodal transport infrastructure. In the air transport sector the priorities are the following: • To upgrade capacity of airports and modernize and develop the airport infrastructure for passengers and cargo. • To build new airport terminals in order to increase the capacity of the airports for passengers and freight. • To increase investments into multimodal transport terminals. • To develop connections between airports and other transport modes.
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The Development Strategy for Air Transport in the Republic of Croatia, elaborated in 2002 by the Institute of Transport and Communications, articulates a long-term strategic objective – the integration into the international air transport system. As related to clean urban transport, the priorities are the following: • To upgrade and develop infrastructure dedicated to clean urban transport in ur-ban areas such as the construction of tramway infrastructure. • To modernize and develop public transportation system through an integrated transport development approach, • To build a light railway transport system between the main railway station of the City of Zagreb and the Zagreb Airport passenger terminal. This railway line is important for providing high quality public transport service in south east area of Zagreb and Zagreb County. • To develop pedestrian zones and bicycle lanes. • To modernize rolling stocks in the public transport sector (trains, tramways, buses). • To develop public car parks close to stations. Unfortunately, there is no transport demand study or analysis nor transport flow study or analysis, so actual data on cargo flow and freight transport demand are not collected, summarized and researched. It is common strategy, and even recognized and accepted that rail transport should take over the majority share of freight transport in international and transit road transport, and a combination of road-rail and road-maritime freight transport, which will enable a more even distribution of freight among different transport modes. Since in the past decade significant financial resources are invested in construction of new roads, and this road improved infrastructure capacity and enhanced transport service significantly, it is necessary to intense investment in others transport sectors and also in intermodal transport.. Transport infrastructure investment planning requires new vision of an integrated transport network that utilised advantages of individual transport mode and minimizes weaknesses of individual modes. In recent years, the Republic of Croatia has significantly developed road infrastructure, where in 2011 length of all roads totalled in 26,907.4 km, of which 1,413.1 km are highways. Railway infrastructure integrates 2,722 km of railways (2,468 km of one track railways and 254 km of two tracks railways) of which 36.1 % is electrified. The total length of inland waterways is 804.1 km with four river ports (Sisak, Slavonski Brod, Osijek and Vukovar), where in maritime transport there are six seaports of national interest (Rijeka, Zadar, Šibenik, Split, Ploče, Dubrovnik). Currently the Republic of Croatia is developing a new transport strategy which will define action plan and will determine the priorities for the development of traffic infrastructure. Current operational programme for transport which defines and regulates the utilisation of European funds for development of transport infrastructure in the financial perspective in the period 2007– 2013, combines two parts: first part refers to the pre-accession period (IPA funds) and second, a short period in which the Republic of Croatia will become a full member of the EU (as expected on July 1st) and for the first time can use structural instruments (ERDF funds).
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Operational programme 2007-2013 defined following areas: 1. Improvement of railway systems in the Republic of Croatia: Restoration and reconstruction of the railways at the Okučani – Novska Contract about the construction and electrical installations of rails Contract about the signalling and telecommunications devices Contract for works supervision Modernization and reconstruction of railway Dugo Selo- Novska, stage 1 – preparation of a project documentation Preparation of project and other project documentation for the „ building of a new two track railways Goljak- Skradnik“ Preparation of project and other project documentation for the „ Upgrades, building of new two track railway line and the second track on the railway Hrvatski Leskovac – Karlovac“ A system of safety signalling systems on Zagreb main railway station Preparation of projects and other project documentation for „ Upgrading and reconstruction on a railways Križevci – Koprivnica – state border with the construction of a second track“ Support Croatian Railways (HŽ) infrastructure in evaluating tender documents for the works Modernization and reconstruction of railways track, building the second railways track Dugo Selo – Novska, stage 2 and stage 3 – preparation of project documentation Preparation of projects and other project documentation for "Reconstruction and electrification of the railway Vinkovci – Vukovar“ Making project documentation for building of commercial buildings of Agency for safety of railway traffic 2. Improvement of inland waterways in republic of Croatia: The master plan for the new port in Sisak – Technical assistance for the preparation of project documentation Renovation and upgrading of the waterway channel of Sava Technical assistance for the reconstruction of the port Vukovar – new port in the East Build and reconstruction of the south coast of the port Osijek Technical assistance for the reconstruction and improvement of the waterway Sava – preparing traffic documentation Technical assistance for the reconstruction port of Vukovar – New port on the east – preparing of project documentation Build and reconstruction of the South coast port of Osijek – Technical assistance for the preparation of project documentation The river port Slavonski Brod – terminal for accepting dangerous cargo – prepares entry – level of project and investment documentation 3. Technical assistance Support in the preparation of the transport development strategy in RH – technical assistance on establishment of the technical secretarial for the organization and management of the transport sector- development strategies.
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3.2.2 Transport - CO2 emissions The Kyoto Protocol was adopted in Kyoto, Japan, in 1997 and entered into force on 16February 2005.It includes184 countries, together with EU as an international regional community. Republic of Croatia signed the Kyoto Protocol on March 11th1999, and entered into force on August 28th2007, becoming the 170tth country to accept this document. The main feature of the Kyoto Protocol is setting targets for reducing greenhouse gas emissions (six greenhouse gases: CO2, CH4, N2O, HFCs, PFCs and SF6) for 37 industrialized nations, including the European Community. Republic of Croatia has accepted the adoption of the Kyoto Protocol's commitment to reduce greenhouse gas emissions by 5% by 2012. Due to the specific circumstances in which Croatia was integrated into the economic, energy and infrastructure system of the former Yugoslavia, Conference of the Parties in Montreal at 2005, decided that is allowed for Croatia a certain degree of flexibility in determining the reference value of greenhouse gas emissions compared to historical levels. At Conference of Parties in Nairobi 2006th it was decided that
Republic of Croatia is allowed an additional 3.5 Mt CO2-eq at the level of greenhouse gases. After that
Conference, for Croatia emissions base year is 34.64 Mt CO2-eq. In global emission of greenhouse gases, Croatia participates with less than 0.1%. Sources of greenhouse gas emissions are divided into six sectors: energy, industrial processes, solvent use and other products agriculture, land use, land -use change and forestry waste management. The largest contribution to greenhouse gas emissions in the year 2010 in Croatia had the Energy sector (73.0%), followed by agriculture (11.4 %), industrial processes (11.3 %), waste (9.7 %) and solvent use and other products (0.5 %). This structure, with minor changes, remained unchanged during the entire period of 1990–2010.
The CO2 is the largest anthropogenic contributor to total national GHG emissions. In 2010, the shares of
GHG emissions were as follows: 74.1 % CO2, 12.6 % CH4, 11.7 % N2O, 1.6 % HFCs and 0.05 % SF6. The most significant anthropogenic greenhouse gas is carbon dioxide (CO2). In 2010, CO2 emission was 8.3 % lower than in 1990. The CH4 emission in 2010 was 3.7 % lower than in 1990. The N2O emission in 2010 was 15.1 % lower than emission in 1990 and according to provided calculations, the contribution of SF6 in total national GHG emission in 2010 was approximately 0.05 %. Energy sector covers all activities that involve fuel combustion from stationary and mobile sources and fugitive emission from fuels and is the largest contributor to emissions of Greenhouse gas which was in 2010 lower by 3.2 % compared to 2009. Energy sector is the main cause for anthropogenic emission of greenhouse gases. It accounts approximately 75 % of the total emission of all greenhouse gases presented as equivalent emission of CO2. Looking at total contribution to the emission of carbon dioxide (CO2), energy sector accounts for about 90 %. The contribution of energy in methane (CH4) emission is substantially smaller (46 %) while the contribution of nitrous oxide (N2O) is quite small (about 3 %). 85 Mapping of current EU & SEE Regional policies
The largest part (29 – 36%) of the emissions are a consequence of fuel combustion in transport, then the combustion in energetic industries with increasing trend (28 % in 2010) and the combustion in manufacturing industries and construction with decreasing trend (25 % in 1990; 16 % in 2010).
CO2‐eq emissions from the transport sector in 2010 amounted to 6,035.4 Gg, which is 3.9 % less than in
2009 as a result of less fuel consumption in road transport. Specifically, the emission of CO2‐eq emissions from sector Road transport (CRF 1AA3B) was dominant one in the transport sector (CRF 1AA3) in 2010 and contributed to the CO2‐eq emissions from the transport sector with 95.2 %. In 2010, the sector civil aviation
(domestic) was contributed to the CO2‐eq emissions from the transport sector with 1.4 %, railways with 1.5
% and navigation with 1.9 %. In comparison with 1990, CO2‐eq emissions from the transport sector were increased by 51.4 % as a result of increasing the number of vehicles and also increase of annual millage. All EU regulations related to greenhouse gases, which were adopted by 2008 are fully transposed into Croatian legislation. In 2007 Croatian Parliament adopted the National Strategy for the implementation of the UN Framework Convention on Climate Change and the Kyoto Protocol with a plan of action. Objectives and measures set out in the Plan of Action are an integral part of the Plan of protection and improvement of air quality in the Republic of Croatia for the period 2008-2011, which were adopted by Croatian Government in May 2008. With the adoption of the Law on Environmental Protection in 2007, Croatia has completely accepted the Directive 1999/94 EC of the European Parliament. Directive 1999/94/EC refers to the availability of information to consumers about the fuel consumption and CO2 emissions, and is valid for new passenger vehicle. Road Traffic Safety Law and Rulebook for registration and labelling of new vehicles, requires the data collection about average specific emission of CO2 by an authorized professional organizations for all new passenger cars that which are first time registered in Croatia.
3.2.2.1 Reduction and Targets Most of energy consumption in the transport sector occurs in road transport (share of 88.5 % in 2011). The share of air transport for same period was 5.8 %, and the share of sea and river transport was 1.9%, rail transport (2.1%) and public urban transport (1.7 %) of total energy consumption in the transport sector. During the period 2006 – 2001, transport sector had increasing energy consumption until 2007 - this year was the turning point of the consumption trends. At that point the consumption started to decline and in 2011 was only slightly above the 2006 level. In the period of 2006 – 2011, there was an upward trend in energy consumption in air, sea and river and in public city transport, while the consumption in other means of transport was decreasing. Energy consumption in road transport was annually falling at average 0.1 %; in rail transport was decreasing by average 3 % and in non-specified means of transport by 1.8 %. The average annual rate of energy consumption increased in air transport by 2.6 %, in sea and river transport by 1.9 % and in public city transport by 1.2 %. Croatia adopted Energy Development Strategy in 2009. In accordance with the strategic objectives, various measures will encourage use of vehicles with emissions below 120 g CO2/km, electric vehicles, hybrid vehicles through investment subsidies, and providing free parking spaces, the right to use the yellow tracks, etc. Total fuel consumption in road transport in the period 1990 – 2007 was increased by 70.1%. Despite the existing capacity and production, level of biodiesel consumption in transport in Croatia is very low.
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According to official data of the Ministry of Economy, Labour and Entrepreneurship consumption of biofuels in the transport sector was first recorded in 2007 when the consumption of biodiesel was 0.14% of total energy consumed in transport (2008). According the Law on Biofuels for Transport, National Action Plan was established, to encourage the production and use of biofuels in transport. The National Action Plan is a planning document that is adopted for a period of ten years (2011-2020) in accordance with Directive 2009/28/EC which defines the target of 10% share of energy from renewable sources in the total energy consumption in transportation.
3.2.2.2 Vehicle technologies In Croatia, there is no vehicle production tehnologies except new company Rimac Automobiles which developed a luxury electric car concept called Concept_One, went into production and in January 2013 first cars were shipped. There are also companies that manufacture auto parts, and companies that are upgrading special vehicles such as ambulance vehicles, fire trucks, etc. The Croatian consortium Gredelj Ltd. and Končar Inc. are producing low-floor rail trains series 6112 for regional traffic. Designed as a low-floor electric train, length 75 meters, and it is designed for regional traffic by tracks that are electrified power supply system 25 kV 50 Hz and custom speeds up to 160 km/h. Total capacity is 432 passengers, of which 192 on second class seating places, and 20 in the first class seating places, and with 220 standing places (equal to four people per square meter). Also, CROTRAM consortium (Gredelj Ltd. and Končar Electrical) produces Zagreb tram (TMK 2200 and TMK 2300), for the public transportation in the city of Zagreb ZET. The tram is 32 meters long, can accommodate 202 passengers and reaches a top speed of 70 km/h. TMK 2200-K or TMK 2300 is shorter version of model of TMK 2200. Compared to the previous model from the 2200 series, the new tram is shorter (for 11.26 m), and therefore can accomodate 72 passengersless.
3.2.2.3 Charging and emissions trade Transport is recognized as one of the economy sectors which significantly contributes to greenhouse gas emissions. In 2010 in the total greenhouse gas emissions from transport activity contributed a share of 21.1 %. Also, starting from the fact that traffic contributes greatly to increasing emissions of pollutants into the air and that almost every third inhabitant of Croatia owns a car (336 registered passenger cars per 1,000 inhabitants), this has significant influence on air quality. However, measures such as the introduction of vehicles with catalytic converters, "rejuvenating" the fleet and the implementation of regulations governing the fuel quality have reduced the emissions of certain pollutants from road traffic compared to year 1990, for example, carbon monoxide (CO) by 70 %, nitrogen oxides (NOx) by 22 % and lead (Pb) by 94 %. As response to the current situation, the environmental protection policy emphasizes the need for an integrated and combined transport of people and goods with different forms of transportation; however, it is not carried out to plan. The exception is the modernization of the fleet in the urban public transport of passengers that led to some positive effects, but other measures are not implemented, or not generated of positive effects. National strategy for the implementation of the UN Framework Convention on Climate Change and the Kyoto Protocol with a plan of action has the following measures for the transport sector:
reduction of fuel consumption in passenger vehicles (technical measures and training),
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measures in the transport of goods,
measures in urban passenger transport (public transport, traffic organization, regulation of traffic, bicycles), measures in intercity traffic (improvement of road traffic),
promote rail, maritime and intermodal transport, increasing the use of liquefied petroleum gas and compressed natural gas,
increasing the use of hydrogen, Current trend of reducing greenhouse gas emissions is recognized as derived consequences of better driver education and emphasizing the Eco driving mode, whose main goal is to reduce the average fuel consumption without reducing the average speed of the vehicle significantly contributing to protection of the environment and reduction of emissions. According to previous research, an Eco driving mode can reduce very effectively fuel consumption and also can reduce the average CO2 emissions up to 30 %. Also, at the moment in Croatia there is no encouraging policy neither statement for using of alternative fuels in a way that drivers are not entitled to subsidized prices of car registration, which is the European Union's standard practice. Introducing such subsidies to stimulate drivers to purchase alternative fuel vehicles will lead to the reduction of greenhouse gas emissions.
3.2.3 Transport – Sustainability
3.2.3.1 Network Planning The Republic of Croatia is developing Traffic and Transportation system according to two strategic documents Spatial Planning Strategy of the Republic of Croatia, which is adopted by the Croatian Parliament in 1997 and Transport development strategy of the Republic of Croatia which is also adopted by the Croatian Parliament in the 1999 and presents the first and still valid long-term transport system development document. Beside these, there are other important national development documents: • The National Railway Infrastructure program for period 2008 - 2012; • The Building and Maintenance program of public roads for the period 2009 – 2012; • The Strategy of River Transport Development in the Republic of Croatia (2008-2018); • Medium-Term Development of inland waterways and inland ports in Croatia (2009-2016.); • Pre-accession Maritime Strategy (2005); • Broadband strategy in the Republic of Croatia for period 2012 - 2015; • The Strategy for the development of postal services in the Republic of Croatia until 2013; • The Traffic and Transportation strategy in the Republic of Croatia (1999). The National Railway Infrastructure program for the period of 2008 – 2012 has established plans to build a new modernizing and maintaining the existing rail network. The main objectives of the document are:
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• rail infrastructure matched in technological terms with the requirements set for the trans-European conventional rail network; • to balance technical and technological state railroads of importance for regional traffic and railway lines of importance for local traffic; • coordinate the development of the railway infrastructure, maritime, river ports, combined transport and provide a harmonized organization of the transport sector in the Republic of Croatia; • increase the role of the railway in suburban and urban traffic of large cities in the Republic of Croatia; • construction, additions, reconstruction and modernization of railway infrastructure to create the necessary capacity to increase the scope and efficiency of rail transport; • provide an adequate level of functionality and the maintenance of security infrastructure subsystems, and timely reconstruction and modernization of old and outdated lines and facilities; • complete and functional computerized railway infrastructure system and increase the efficiency and quality of service; • create a sustainable and stable system of financing the construction, modernization, renovation and maintenance of the railway infrastructure. The Program for the construction and maintenance of public roads in the period 2009 – 2012 includes the continuation of the previous program, which was implemented during the project preparation for the new construction, emergency and regular maintenance activities of public roads planned in the period 2009 – 2012. The objectives of the program were development of public roads, namely, construction of highways and maintenance ofstate roads, reconstruction and modernization of public roads, where the state of total existing network of public roads is significantly improved. The Strategy of River Transport Development in the Republic of Croatia (2008-2018) is strategic document defining the strategic development of river transport in Croatia. This strategy refers to the main issue of functionality of the transport system on inland waterways, and the lack of integration networks. In this sense, it defines the long-term goal of integrating of river transport system in Croatia into the network of the traffic corridor Danube – Adriatic region. In addition to this strategies the following documents should be taken into consideration: • The National Program for the accession of the Republic of Croatia to the EU, 2008; • The Plan for harmonization of Croatian legislation with the EU acquits (2008) - Appendix A NPPEU 2008; • Water Management Strategy (in preparation), • Spatial Planning Strategy of the Republic of Croatia, 1997, • The strategic coherence framework 2007 - 2013, • Waste Management Strategy of the Republic of Croatia, 2005. A starting point for defining the strategy is the fact that the network of waterways in the Croatia is integral part of the European network of waterways - the Danube Pan-European Corridor VII.
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Medium-term development of inland waterways and inland ports in Croatia (2009-2016) is the National Action plan inland waterways and ports, based on traffic development strategy adopted by the Croatian Parliament in June 2008, which is expected to develop in two directions: • Reaching a higher level of competitiveness and quality of the existing network of inland waterways; • Realization of faster and more harmonized construction of European standardwaterways, within the TEN-T network, in accordance with the principles of the European transport policy. Adoption of the Medium-term plan of development of inland waterways and inland ports represent a legal obligation under Article 103 Act on Navigation and Inland Ports. This plan provides an overview of the total activity in the network of waterways, ports and inland ports of state and regional significance for the period 2009 – 2016. Pre - Accession Maritime Strategy defines following strategic objectives: • raising the level of security and identification of Croatian fleet in international waters; • Recognition of the Croatian Register of Shipping in accordance with Directive 94/57 as amended; • establishing a comprehensive system of control and traffic in the Adriatic (CVTMIS); • preserve the purity of the Adriatic sea; • to improve the education and certification of seafarers; • raising standards of living and working conditions on board ships; • raising the level of environmental protection in ports the highest standards of environmental protection; • strengthening administrative capacity and operating effectiveness in the prevention of pollution interventions in case of contamination, also search and rescue at sea; Broadband strategy of the Republic of Croatia for period 2012 - 2015 is to continue the positive development of the strategy Broadband Development in Croatia until 2008, and to improve the quality and extent of this development with the increased activity in the removal of the identified barriers and gaps, especially at local (regional) self-government level. The main values to realize the implementation of this Strategy include the development of infrastructure for the provision of public services, such as e- government, e-health, e-education, e-business and others to encourage the development of rural areas and areas of special state concern economic zones in the Republic of Croatia. The Strategy for the development of postal services in the Republic of Croatia until 2013 is defining guidelines for medium-term development of the postal service the Croatia. Development goals are consistent with the policy of freedom of competition, promoting the interests of the economy, citizens and users of these services, to ensure the availability of the universal postal service and the development of new postal services.
3.2.3.2 Intelligent transport systems In Croatia, there is no ITS architecture defined, developed and approved by national authority. Furthermore, there are ITS technologies implemented as follows.
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Traffic monitoring, control and management system (TMCM) which include: monitoring all factors contributing to driving conditions and detect traffic incidents and other for the safety of traffic and its participant’s critical situations, providing adequate solutions to all incident and for safety critical situations, warning traffic participants of all incident and critical situations and provide them with maximal protection of unwanted consequences TMCM subsystems are: video surveillance systems, emergency roadside telephone system, traffic signalling system, data transmission system, over-height vehicle detection system, automatic vehicle counter / classifying systems, road weather information systems. All these systems are managed and controlled from central Traffic Maintenance and Management Center (TMMC) either directly or via local sub-centres which provide certain level of local control through a data communication (transmission) network which extends from TMMC to the farthest on road segment under control. Managing authority of TMCM are: Motorway Macelj-Zagreb, Autocesta Zagreb – Macelj Ltd. (AZM), Motorway Zagreb-Rijeka, Autocesta Rijeka- Zagreb Ltd. (ARZ), Motorway Goričan-Zagreb, Hrvatske autoceste Ltd.
Methods of data transmission are: Fiber-optic + Ethernet, Ethernet and GSM/GPRS Data transfer protocols are: TLS, PROFIBUS, MODBUS, TCP/IP, XML-OPC Complete TMCM system for all road infrastructure related requirements are provided as all-in-one system solution, from the design to the turn-key system delivery. TMCM system provides integration on following levels: Level 1 - field integration of subsystem elements (e.g. variable message signs and displays, emergency telephone systems, traffic counting, meteorological stations), Level 2 - integration of different intelligent traffic management subsystems (e.g. highway & tunnel subsystems: video automatic incident detection, lighting, air quality, ventilation, fire alarms), Level 3 - integration of systems from various ITS branches (e.g. interurban, urban, tolling, enforcement, information systems) (in project phase), Level 4 -design and implementation of ITS systems on various levels (from sectional, regional to national systems, such as national traffic management centre, police back office and various traffic related government offices) (in project phase).
Automatic Charging System which include (ACS): automatic vehicle pre- and post-classification, video surveillance and License Plate, Recognition System, Electronic toll collection (ETC), Fraud detection. Managing authority of ACS are: Motorway Macelj-Zagreb, Autocesta Zagreb -Macelj Ltd. (AZM), Motorway Zagreb-Rijeka, Autocesta Rijeka-Zagreb Ltd. (ARZ), Motorway Goričan-Zagreb, Hrvatske autoceste Ltd. Technical characteristics of the solution On motorways in Croatia tolls are collected in accordance with the length of the travelled section and as per relevant vehicle category.
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At the toll stations toll may be paid in cash, by cards identified as acceptable means of payment at the points of sale, by cheques or subscription means. It may also be paid in foreign currencies according to the exchange rate in force on the date of payment. Two toll collection systems are in use on Croatian motorways: open and closed toll collection system. On engineering structures (bridges, tunnels) and on shorter motorway sections the open toll system is in use. In such toll system a toll station serves as both entry and exit station which means that toll transactions are conducted immediately based on the subject vehicle category. On motorways with several entries and exits closed toll collection system is in use. In the closed toll collection system the motorway user takes a toll ticket at the entry and returns it to the toll attendant at the motorway exit. Based on the submitted ticket toll collection is charged according to the length of the travelled section and vehicle category. The users of electronic toll collection (ETC) use the lanes dedicated for this method of payment and do not take a toll ticket. Methods of data transmission are: Fiber-optic + Ethernet, Ethernet, GSM/GPRS and Data transfer protocols are: TLS, PROFIBUS, MODBUS, TCP/IP and XML-OPC The ITS Croatia association was founded with the aim of promoting and achieving harmonized development of Intelligent Transport Systems (ITS). By joining ITS Croatia, individuals, companies, institutions and other interested parties will be able to act more efficiently in promoting ITS solutions through the realization of synergy at the national and international levels.
3.2.3.3 Innovation Innovation in Croatia is particulary defined by Framework Programme for Competitiveness and Innovtion (CIP). The program supports innovative activities of small and medium-sized companies, ensuring it better access to finance and business support services in the region. Also, encourages better use of information and communication technologies (ICT), assists in the development of the information society and promote increased use of renewable energy and energy efficiency. Mission of programme is supporting innovation and easear of access to finance for small and medium companies and other organizations. It consists of three sub-programs: EIP – Program of entrepreneurship and inovations ICT PSP – Policy Support Programme for the Information and Communication Technology IEE – Intelligent Energy of Europe. Within these programmes, subtopic STEER is also mentioned that promotes the efficient use of energy in transport and use of new and renewable fuels for transport. Priorities of mentioned sub-programs are: alternative fuels and clean vehicles dissemination of the principles of energy efficient transport construction or improvement of knowledge of local and regional agencies in the field of sustainable mobility.
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3.2.3.4 Internalisation of external costs In Croatia, the estimated size of the greenhouse gas pollution caused by traffic is between 18% and 24%, where the share of road transport is 86-94%. According to the statistical indications, the expected growth in road transport is 4 % annually. The Croatian Ministry of environmental protection has determined the compatibility of national norms and procedures with EIA (Environmental Impact Assessment) Directive of the European Union. That research is a priority for all reconstruction and upgrading transport infrastructure projects under the ISPA program. However, the experiences of inconsistent and fragmented development of transport sectors, with no clear development conception at the level of the whole transport system, without any consideration of real conditions and an exclusive emphasis on the financial resources of the public sector, indicate what the priorities of transport policy are and how to solve critical problems. This is related to the restructuring of unprofitable state-owned enterprises in the transport sector, the rational management of transport infrastructure, the equality of market operation for all sectors of transport, traffic management, inducing demand for non-road traffic modes and public transport, identifying and taking measures to reduce the external costs of transport and the use of scientific potential. The goal is an improvement of traffic safety, environmental protection and reduction of external costs. To achieve this goal a sectoral analysis of selection and future offer of transportation options, is required. Although the need for internalization of external costs in transport was first noted in the White Paper of the European Commission in 19923., in Croatia external costs of transport are still not internalized and are settled through some other sources of public sector or community. In 1997 ECMT Declaration "Towards Sustainable Transport in the CEI countries"4 has recognized the strategic position of the region as Europe`s transport link with enormous traffic growth potential, particularly road transport and adverse environmental consequences of that growth. Therefore, a pilot study, "Environmentally sustainable transport in the transition countries of the Central European Initiative"5 is indicated under the sponsorship of the UNEP/ OECD, with the purpose of the future transportation options consideration in accordance with the requirements of sustainable development. Research results and first calculations of transport external costs in that region, excluding the costs of congestion, amount to 14% of GDP6, are indicators of the need for a more systematic approach in the transport development planning and radical departure from the "demand" to the goal-oriented concept of strategic planning. That need is even more pronounced if one takes into account the rate of economic growth in the region, which is between 3% and 5%. About half of the external costs of transport refer to the costs of accidents. Costs of air pollution are the second indicative category with a share of more than 40%. Road transport generates 87% of the total external costs of transport. Internalization of external costs in the transport sector, and reducing their size can be achieved in different ways. For the time being, only for the purpose of the pilot study the following methods were used:
3 The Future Development of the Common Transport Policy: A Global Approach to the Construction of a Community Framework for Sustainable Mobility - White Paper. COM (92) 494 final, 2 December 1992. Bulletin of the European Communities, Supplement 3/93 4 “Towards Sustainable Transport in the CEI Countries” 5 Joint Pilot Study on Environmentally Sustainable Transport in the CEI Countries in Transition 6 External costs of transport in Central and Eastern Europe. INFRAS/HERRY, Zürich/Vienna, 2002. 93 Mapping of current EU & SEE Regional policies
methods of direct billing for infrastructure use according to specific criteria like length of trip, vehicle characteristics according to fuel and noise pollution, urban/rural areas of use and the time and place of city infrastructure use. The implementation of those criteria would enable the fairness of billing because all relevant parameters are taken into account- from the characteristics of the vehicle, the time and place to travelled distance. Except the direct billing, as a function of the external transport costs internalization, the effectiveness of methods used for their reducing, generally is based on legal standardization and system supervision. This is especially applied to the speed limit, driver training and safety standards for vehicles, as well as technical standards of infrastructure and signaling. A clear goal of the National Transport Strategy from 2004 is to develop the transport sector which will be in compliance with the Croatian development needs, while in line with international needs, and thus integrated into the pan-European transport infrastructure. This approach takes into account all goals of Croatian economic and social development.
3.2.3.5 KPIs Analysing Strategy for sustainable development of the Republic of Croatia (OG 30/09) and Croatian Strategy of Government programmes for period 2012-20147 where one of the general objectives for achievement of strategic objective8 is balanced regional development (general objective 3), under which specific objectives are identified, transport system development being one of them, the following key performance indicators that facilitate sustainability and action improvement are identified:
Transport infrastructure. Main national transport terminals are currently in the process of surface area enlargement/optimisation which correlates with the capacity and realized transhipment volumes, i.e. the larger the surface is, the higher the capacity and realized volumes generally are. Also, one of the objectives is also improvement of roads, rail gauges, and inland waterways which will enhance terminal connections.
Time. Except investments in transport infrastructure there are also investments in transport suprastructure (ship, cranes, trains), which reflects in optimisation of average time for loading/unloading from ship/truck/train, average dwelling time per transport unit in the terminal, turnaround time, total waiting time, total time, average transhipment time, etc. Also, improvement in quality and quantity of roads, rail gauges, and inland waterways will ensure shorter travel time. Accessibility/connection. Maintaining and increasing the frequency of existing services and introduction of new lines ensures better mobility of the population, faster and more economical cargo transport, uniform development of regions, the association of different types of traffic, i.e. intermodal transport and encourages tourism development.
Transport fleet size and average age. To enhance service quality, of passenger and freight transport, measures are adopted to help operator, by subsidising, to construct and to modernize transport fleet (e.g. in the maritime sector around 10 passengers ships were constructed, on rivers
7 Strategy of Government programmes for period 2012-2014 is a document composed by the Croatian Ministry of finance on the basis of Strategic plans of different ministries; all Croatian ministries are obligated to construct Strategic plans according to the Budget Act (OG 87/08, 136/12). Strategy is available at: public.mzos.hr/fgs.axd?id=18603, 06.02.2013. 8 Strategic objective set by the Strategy is: Growth and employment in a competitive market economy that operates in the European welfare state of 21 century. 94 Mapping of current EU & SEE Regional policies
vessels on the ferry crossings (areas without bridges) are being modernized and maintained, construction of tourist boat on the River Danube), and to improve economic activity by renewing transport fleet. Safety and security. Implementation of different system to manage and control traffic is in the process of establishment or is already functioning (e.g VTMIS, RIS, tachograph, etc.), system informatisation. In order to increase the competitiveness of domestic (road) carriers and to prevent illegal performing public road transport, in the coming period is planned to create single register of the carrier, which will consolidate all the data on the number and quality of licensed carriers.
Energy efficiency. There are several approaches to change transport dependence on oil, to reduce local, regional and global pollution, and to decrease energy consumption, defined by the Croatian National energy efficiency program 2008-2016. Croatia has already adopted Biofuels Act (OG 65/09) and subordinate regulations, it is necessary also to provide the infrastructure for the use of alternative fuels (electric vehicles liquefied petroleum and compressed natural gas). One of the approaches for energy efficiency stated is also traffic congestion taxation at the local level. Intensive public awareness campaign on the promotion of the use of energy-saving vehicles, energy-efficient driving, and using public transportation and promoting the use of different modes of transportation can be introduced is needed. Also, at the local level to encourage sustainable planning of transport systems, which includes increasing the number of bike trails and improving public transport infrastructure. Through sector policy MPPI is responsible body for enforcement of energy efficiency in the transport sector and the use of biofuels in transport.
Transport emissions of greenhouse gases. Reduction of emissions gasses, especially CO2 and NOx as well as other pollutants, by redirect traffic from road to more energy efficient and environmentally friendly transport modes (inland waterways, railways, MoS)
Intellectual capital. Encouraging education and specialist training of sufficient personnel in transport, by awarding scholarship, the required level of knowledge and skills is achieved, to provide quality of transport services. Since 2006 scholarships and fellowships are awarded to scholars of secondary schools and students of maritime faculties, and this practice is going to continue. Also, MPPI will help in provision of necessary equipment to maritime schools and faculties, according to new international standards.
Sustainability. Protection of the environment from pollution, e. g by establishing a sustainable system of oily water, sewage water and waste from ships and equip all ports for public transport and nautical port with appropriate devices and equipment for such acceptance, and moderate use of natural resources. Networking and cooperation with international organizations.
Integrated transport development. Development of transport sector as a whole, using integrated approach through territorial cohesion, to enhance accessibility and connectivity by exploiting the inherent characteristics of different developmental areas.
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3.2.4 Transport - Promotion of rail, sea and inland waterway
3.2.4.1 Integration Importance of transport has been identified in different strategy documents and policy statements in Croatia. Enhancing mutual integration and interconnection of all internal transport systems for better access to European transport corridors and better integration with transport network of the neighbouring countries, while respecting environmental protection criteria, is one of the measures set by the Strategy for sustainable development of the Republic of Croatia (OG9 30/09). The policy objectives and actions are laid down particularly in the following documents: - Transport development strategy of the Republic of Croatia, (OG 139/99) - National railway infrastructure programme for the period 2008-2012 (OG 31/08) - River transport development strategy of the Republic of Croatia, 2008-2018 (OG 65/08) - Mid-term Croatian Inland Waterway and Ports Development Plan (Period 2009-2016) (MPPI, 2008), - Pre-accession maritime strategy of the Republic of Croatia (MPPI10, 2005) - Physical planning strategy of the Republic of Croatia (1997, amendments OG 96/12) - Physical planning programme of the Republic of Croatia (OG 50/99, 96/12) - Strategic development framework 2006-2013 (CODEF,112006) - Strategic coherence framework 2007-2013 (CODEF, 2007) - Program for the construction and maintenance of public roads 2009-2012 (CG,12 2009) - Transport development strategy "Croatia in 21st century” (CG, 2002) - Strategy for sustainable development of the Republic of Croatia (OG 30/09) - Strategy plan of Ministry of economy 2013-2015 (MINGO,13 2012) - Strategic framework for the development of the public private partnerships (Croatian Ministry of the economy, labour and entrepreneurship, 2008) - Strategy of Government programmes 2012-2014, (MFIN,14 2012) - Regional development strategy of the Republic of Croatia 2011. – 2013, (Croatian Ministry of regional development, forestry and water management, 2010) - Strategic plan of the Ministry of sea, transport and infrastructure 2011-2013 (MMPI, 2010)
9 OG – Official Gazette of Republic of Croatia 10MPPI – hrv. Ministarstvo pomorstva, prometa i infrastrukture, eng. Ministry of maritime affairs, transport and infrastructure 11 CODEF - Central Office for Development Strategy and Coordination of EU Funds, now Croatian Ministry of regional development and EU funds 12 CG – Government of the Republic of Croatia 13MINGO – hrv. Ministarstvo gospodarstva Republike Hrvatske, eng. Ministry of the economy Republic of Croatia 14 MFIN – hrv. Ministarstvo financija Republike Hrvatske, eng. Ministry of finance of the Republic of Croatia 96 Mapping of current EU & SEE Regional policies
New National transport development strategy is currently in the process of drafting, and it is expected that it will be constituted as part of the single transport market of the EU. Act on combined (intermodal) transport (OG 124/09, Article 2) stipulates that the Strategy for the development of combined (intermodal) transport in the Republic of Croatia will be adopted/made for the purpose of long-term and coordinated development of the combined (intermodal) transport and for encouragement of logistics in the Republic of Croatia.
3.2.4.2 Incentives Intermodal transport cluster is a non-profit organisation founded on the initiative of the Croatian Ministry of the maritime affairs, transport and infrastructure. Cluster members are all maritime port authorities, operators, Croatian railways, bigger agents and transporters as well as other interested organizations. Main goal of this organisation is to increase participation of intermodal transport in Croatian transport system as well as to provide information and help with project creation to EU fund users (Marco Polo II Programme, FP7, IPA (Adriatic, SEE; MED, bilateral), CIP IEE, CIP EKO).15 Act on combined (intermodal) transport (OG 124/09) Incentives defined by the Act on combined (intermodal) transport (OG 124/09), Section IV are: - The release of the annual fee for the use of public roads (Article 7) (1) Owners or operators of motor vehicles and trailers registered in the Republic of Croatia, which, during the 12 months of the date of the last certification of roadworthiness performed at least 80 prior or subsequent transportation to and from the railway terminal for intermodal transport or unloading station, shall be exempt from obligation to pay the annual fee for the use of public roads to be paid at the registration of motor vehicles and trailers, and that is determined by a special regulation. (2) The minister responsible for traffic regulation shall establish procedures and method of proving the use of vehicles for the previous and subsequent transport from the first paragraph this article and entitlement to an exemption from paying the annual fee for the use of public roads to be paid at the registration of motor vehicles and trailers. (3) County road managements and Governing Body of the City of Zagreb will be allocated from the state budget to cover the amount of the annual fee for the use of public roads that have not been achieved due to the application of Article 7 Paragraph 1 and 2 this Act. - Exemption from quotas and licenses (Article 8) Minister responsible for transport regulation stated in Article 5 of this Act shall define also road route on which the previous and subsequent transportation is exempt from all quotas and permits that are set out in international multilateral and bilateral agreements. - Exemption from restrictions on the Road (Article 9) On the previous and subsequent transportation the injunctions defined by other special rules do not apply. Order on the traffic restrictions on roads (OG 64/09)
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This order restricts/prohibits transport of cargo vehicles, with or without a trailer, having a maximum mass exceeding 7.5 tonnes, vehicles that are with or without a trailer longer than 14 m, also it restricts transport of tractors, horse-drawn vehicles, work vehicles and other machinery and vehicles that on the straight road cannot achieve speed greater than 40 km/h, vehicles of driving school (when the training is carried out), in the state ferry ports of Split and Zadar, and on defined state roads, in defined periods. These periods are: - Between June, 15 to September, 15 on Saturdays from 4:00 to 14:00 and Sunday from 12:00 to 23:00 h. - On Good Friday and on the days prior to the Croatian feast days from 15:00 to 23:00 h, and on the last day of the feast from 14:00 23:00 h. (If the holiday, or the last day of the holiday season, is on Friday or Saturday, the ban applies also on Sundays from 12:00 to 23:00 h. If the feast is on Sunday or Monday, the ban applies also on Fridays prior to the feast from 15:00 to 23:00 h. During the validity of the ban, vehicles registered in the Republic to which this Order applies, shall be permitted to enter Republic of Croatia through border crossing defined by this Order, and movement to the nearest customs office or customs terminal, provided that there is a space for parking vehicles. Ordinance on technical requirements for vehicles in road traffic (OG 51/10, 84/10, 145/11) This Ordinance stipulates deviations in terms of vehicles weight involved in combined (intermodal) transport, where in the Artice 10 it is stated that maximum permissible weight for triaxial haulier whit twin or triaxial trailer, when transporting 40 TEU ISO container as a combined (intermodal) transport operation (unit), can be up to 44 tons, while for the haulier in non-intermodal transport the limit is 40 tonnes. Railway Act (OG 123/03, 194/03, 30/04, 79/07, 75/09) This Act defines services provided in combined (intermodal) transport as services of special national interest (Article 39) and provides possibility of cost reimbursement for rail carriers involved in intermodal transport from the State budget where cost generated by the transport cannot cover the revenues. There is no special tax relief for road vehicles involved in intermodal transport, except in the part that is arranged by bilateral treaties on international transport with other countries.
3.2.5 Enhancement of competitiveness of the private sector Infrastructure is traditionally under the strongest jurisdiction of the public sector primarily because of its strategic role in the national economy, the high cost of investment and an extremely long period of repayment. National government strongly supports construction of infrastructure objects because that is the way to increase the growth of the national economy. However, due to increasing pressures to reduce public consumption and maintaining macroeconomic stability, which directly limits the ability for local public resources to invest in to infrastructure development, requires finding new sources of funding. Because of the scarcity of financial resources and public funding sources for the construction of transport infrastructure, more often the convergence between the private and public sectors is present. That convergence refers not only to the construction and investment, but also to the transport infrastructure management. The development of transport infrastructure is an important part and a highly ranked priority of Croatian strategy for integration into the European Union. The main idea, on which such a list of priorities is based on, is the fact that an effective transport sector is a precondition for the development of a market 98 Mapping of current EU & SEE Regional policies
economy, and that its development is of strategic importance for a small and open country such as the Republic of Croatia. The transport sector must experience many changes and reforms, of which the most important are the continuation of the process of liberalization, building the transport infrastructure of corresponding quantity and quality and respect for different social requirements regarding the safety of traffic, and environmental protection. The process of road transport liberalization has reached a high level, but the liberalization of the railway sector in Croatia has started in 2003 with the adoption of the Railway Law and still is not at a satisfactory level. Liberalization of railway freight transport in Croatia will create a space for competitive actions and transport services. However, although the current conditions in the market of railway services in Croatia, give wide opportunities for the entry of new competitors, the success of liberalization is directly dependent on the well-regulated laws and regulations which must be consistently implemented. Intermodal transport is a huge business opportunity for Croatia due to its geographical and geopolitical position. It is necessary to develop it, but so far the investments have been really low. Intermodality increases transportation opportunities and makes transportation of goods cheaper. In Croatia, that transport makes less than 15 % of total transport, while in the developed European countries, from 20 to 25 %. Especially, there was small number of investments in the development of railway infrastructure and services, which is a key aspect of land transport in intermodal chains. For example these are HŽ-Croatian Railways Holding Ltd., the main organization that coordinates and supervises HŽ-Infrastructure Ltd, HŽ Passenger Transport Ltd., HŽ Cargo Ltd., HŽ-Traction Ltd. Furthermore, the HŽ Cargo Ltd. Company is dealing with public rail transportation, public cargo transportation in domestic and international railway and combined transport, other supporting activities in transportation, transshipment cargo in railway stations and other places, public cargo transportation on domestic and international road transport, storage services, rental of own property from other land transport vehicles, services of “train escort”(freight trains escort services for other companies), repair and maintenance of rolling stock (minor wagons repairs other railway administrations, as well as future rail carriers in Croatia). Among them there is the company AGIT-Agency for Integrated Transport Ltd., a Croatian company which deals with the organization of railway and road transportation, customs intermediation and provision of transport services in the domestic and international markets, etc. Aligning with EU transportation standards, Croatia has already improved the transport system in all aspects and has created a legal framework that enables further increase of traffic safety and better protection of passenger rights. Liberalization of the national traffic market will increase competition, which will lead to better prices and higher quality services. The delay of some EU rules about the liberalization of the market has been approved for Croatia- until early 2013 in the railway traffic, and by the beginning of the 2015 and 2017 in maritime traffic in order that domestic carriers can be better prepared for the European competition. For at least two years after the joining, the Croatian carriers will not be able to do/perform the national road transport (cabotage) in other EU member states, but according to the European principle of reciprocity nor the carriers from other states during that period will not be able to perform the same service in the Croatian territory.
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3.2.6 Incentives for sparking growth and for moving into new technologies A well-developed transport infrastructure and application of new and modern technologies are the basic precondition for development of the transport system. A developed transport system is essential to create the conditions for balanced regional, economic and social development. Incentives for sparking growth and for moving into new technologies are possible to observe through the Institutional, Organizational and Financial segment.
3.2.6.1 Institutional The institutional level includes legislative framework, its efficiency and effectiveness to spark growth and move economy into new technologies. In Croatia there are some important national development documents: - 1999 Transport Development Strategy Paper (OG16 139/99), - Strategic Development Framework 2006-2013 (SDF), - The River Transport Development Strategy in the Republic of Croatia 2008-2018 (OG 65/2008), - Mid-term Croatian Inland Waterway and Ports Development Plan (Period 2009-2016), - 2010 Interim Transport Strategy, - Law on Ratification of the Agreement between the Croatian Government and the European Commission amending the Financing Agreement between the Croatian Government and the European Commission's multiannual operational program "Transport" for Community assistance from the Instrument for Pre-Accession Assistance under the "Regional Development" in Croatia (NN MU 11/2010) and collaboration through participation in activities that are carried out within the TEM (Trans-European Motorway), SEETO (South East Europe Transport Observatory) and SEETAC (the South East Europe Transport Axis Corporation)The regulatory base in the field of the transport in the Republic of Croatia consists of the following major acts and relevant bylaws: - The Railway Act (OG 123/03, 194/03, 30/04), - Croatian Railways Division Law (OG 153/05), - Act on the ratification of Protocol of 3 June 1999 for the modification of the Convention concerning International Carriage by Rail (COTIF) of 9 May 1980 (1999 Protocol) and the Convention concerning International Carriage by Rail (COTIF) of 9 May 1980, as amended by the Protocol of 3 June 1999 (Official Gazette - International Agreements (OG-IA)12/2000), - Law on Agency for Railway Service Market Regulation (OG 79/07), - Inland Navigation Act (OG No 19/98) and the Inland Ports Act (Official Gazette No 142/98), - Act Amending the Navigation Act (OG No 151/03) and the Act Amending the Ports Act (OG No 65/02), - Road Traffic Safety Act (OG 67/08),
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- Act on the Ratification of the Memorandum of Understanding between the European Community and the Republic of Croatia on the Participation of the Republic of Croatia in the Information and Communication Technologies Policy Support Programme (ICT PSP), (OG MU 3/08),
- Operational Programme Transport 2007-2013.
3.2.6.2 Organisational The main guidelines for building the Croatian innovation system (CIS) are given in the first National Programme for Strategic Development of Science and Technology (1996 – 1998) under the jurisdiction of the Ministry of Science, Education and Sports (MSES). The national scientific research programme determines the following: - the role of science and technology in Croatia’s future, - the criteria for channelling state investment into science and technology, - the formulation of a strategy for sustainable development and the application of new technologies, - activities and measures encouraging the development of science and technology development, - international co-operation in science and technology. The Programme also envisages the construction of a national network of technology centres with some basic types of institutions (business and innovation centres, innovation and engineering associations, technology transfer centres, financial institutions, forecasting and supervisory institutions and other centres for technological excellence). The Programme creates a new model for institutional and organised activities of key entities, i.e. manufacturing industry, government, and the research and development sector. Their interaction makes up a National Innovation System (NIS), which places an emphasis on the commercial application of research results in order to achieve economic growth and strengthen the competitiveness of local goods and services on the international market. Until 2000, the centres for technological excellence were founded in university centres in Zagreb, Split, Rijeka and Osijek, such as the Technology Transfer Centre CTT in Zagreb, Technology Centre Split, Technology and Innovation Centre TIC in Rijeka, Research and Development Centre for Mariculture in Mali Ston, Dubrovnik, Business and Innovation Centre BICRO in Zagreb, the Croatian Institute for Technology in Zagreb Technological Park Varaždin, etc. BICRO is the key organisation within the national innovation system whose basic role is development and implementation of government support programs aimed at strengthening technology development as the main generator of sustainable economic growth. The first Croatian Programme for Innovative Technological Development - HITRA Programme was adopted in April 2001 and is being implemented by the Croatian Ministry of Science, Education and Sport. The HITRA Programme represents a special form of integration of scientific and technology policies aimed at establishing links between the public scientific and research sector and the economy. MPPI is the central government body responsible for transport. It is, among other activities that fall within its competence, responsible for administrative and other affairs relating to general transport policy - road 101 Mapping of current EU & SEE Regional policies
traffic management, railway management, air traffic management, maritime traffic management, inland waterways management, protection of Adriatic Sea and organisation of preparation of strategic infrastructure projects and investment programs. It performs the tasks of co-ordination and expert development, and participates in the development of strategic documents. The MPPI also conducts activities related to the process of EU integration in the transport sector, transport inspection, promotion of transport education and research in connection with transport policy. An organisational unit of the Ministry – the Directorate for Strategic Infrastructure projects has been appointed as the lead institution within the Operating Structure for the IPA Component III Regional development – transport, under the Regulation adopted by the Government of the Republic of Croatia in February 2007 (OG No. 18/07).
3.2.6.3 Financial
3.2.7 Infrastructure development through EU and national funding PPPs
3.2.7.1 Financial instruments for development
3.2.7.2 Non-financial instruments for development
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3.3 Greece
3.3.1 Transport – General Greece holds a strategic position on the map of transport as a gateway to the EU for Asia. With the accession of Bulgaria and Romania to the EU, Greece obtained land borders with the European Union, which is beneficial for the future development of main road and railway connections with the rest of Europe, particularly for the movement of products and goods, thus providing greater role and viability to the railway. Likewise, in the aftermath of the potential entry of Turkey into the EU, Greece will emerge as the "key link" between Europe and the Middle East. The Greek geographical structure consists of a very large number of small islands (approx. 3.000) and a hilly or mountainous terrain with steep slopes. These physical characteristics have economic repercussions in terms of transport infrastructure and represent a significant challenge for sustainable land use. Since the beginning of the 1970s, the country’s urban system has been transformed into a highly concentrative one, with the cities of Athens and Thessaloniki holding the primary role at the functional and economic levels. Nearly 50% of the urban population in the country lives in these two metropolitan areas. Two-thirds of the largest urban centers are located in coastal areas and most of them host important harbours. Transport in Greece has undergone significant changes in the past two decades, vastly modernizing the country's infrastructure. Although ferry transport between islands remains the prominent method of transport between the country's islands, improvements to the road infrastructure, rail, urban transport, and airports have all led to a vast improvement in transportation. These upgrades have played a key role in supporting Greece's economy, which in the past decade has come to rely heavily on the construction industry. Greece has set as a priority the efficient and cost effective transportation of people and goods. Large volume of traffic, passengers and cargo will be served through infrastructure, networks and freight centers. The prospect of developing/promoting multimodal transport can serve companies who wish to invest in our country, highlighting its potential to emerge as a transit center of international magnitude. However, due to the crisis, the macroeconomic outlook and with it the expectations for trade and transport in the near term remain rather bleak. Growth rates have slowed and downside risks dominate, including the effects of high and volatile oil prices. In the longer run, the government will have to complete a difficult balancing act between reducing debt ratios while maintaining long term growth potential and avoiding policy-induced slowdowns in the nearer term. The impacts are most clearly felt in the near term outlook for freight transport. The conditions for returning to growth do exist; however, the economic outlook is particularly pessimistic in Europe, where perceptions of unsustainable sovereign debt continue to cause turmoil and instability. Views on what to do and concrete policy approaches differ widely, leading to poorly coordinated policy responses and weak and declining levels of confidence among consumers and businesses, which in turn feeds back negatively on the recovery. The Greek economy has been in recession since 2008. In 2011, real GDP contracted substantially more than in 2010, falling by -7,1%. This is mainly due to very weak domestic demand, in turn the result of fiscal adjustment, declines in household disposable income in a weak labour market and restrictive credit
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conditions. Productivity growth is far below Euro zone average, and despite the recent labour market reforms, unemployment remains high. Greece has not yet completed and tackled strategically key road, rail, port and airport infrastructure networks, and other support or multimodal infrastructures which hinder easy access for the transportation system to goods and people. Connecting routes within the country and to neighbouring countries are insufficient. Modern railways networks are absent, whereas the completion of the motorway concessions (up to 1,400 km) becomes imperative. Road safety remains alarming in Greece with 129.3 fatalities per 1 million inhabitants recorded in 2009. This is one of the highest in the EU-27 and far from the 2020 target of 33.8 fatalities per 1 million inhabitants. It is profound that in order to achieve a balanced development to the transport sector with respect to the national and international environmental norms, the national and European transport policy targets and the social cohesion, special emphasis should be placed on the following issues: • The transport networks completion and integration • The complementarity of transport networks and modes, the parallel development of road rail and sea motorways according to the European Union White Paper • The modernization of the existing infrastructure through the new techniques aiming at the improvement of the level of service and the level of safety in the networks • The use of new techniques and planning and monitoring instruments during the construction and operation of transport projects • The use of peak technologies for the management of the transport chain
Successful policies have been adopted since 2010, in the framework of reforming national economy, mainly considering:
Simplification of the start-up of new businesses: “Fast track” process for large investments legislated and implemented. Liberalization of road haulage sector: unlimited licenses with fees gradually declining to zero between January 2011 and June 2012.
Liberalization of closed professions: the new Law imposes default of opening effective July 1, 2011 and covers over 150 professions; reversal of burden of proof for retaining restrictions; need for special decrees that fully specify the need and way of keeping restrictions before July.
Restructuring of the railway and urban transport sectors: 150 million Euro savings in 2010, 400 million Euros savings projected in 2011.
Abolition of cabotage restriction in order to boost cruise tourism. Configuration of the institutional framework towards the deployment of Intelligent Transport Systems (ITS). Progression of the TEN-T networks and intermodality.
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3.3.1.1 Overview of freight transport sector With 98% of total national freight transport carried out by road, road freight holds the dominant position in the sector of freight transport in Greece. More precisely, for the period between 2000-2008, 97,75% of total national freight was carried by road, while at the same time the respective EU-27 average accounted for approximately 75,64% of total national freight transport. According to recent studies, between 2004- 2008, average Road Freight in Greece increased by 27,64% per annum (in tones of freight) which accounted in an increase of about 19,53% tones*km in average per annum, while the respective increase registered in the EU-15 was 4%. External trade (imports-exports) is structured mainly through sea & road, ranking gradually larger percentage of imported goods volume (in terms of transported goods quantity and value), while gradual reduction is observed in exported goods quantity and value. Allocation of external trade is depicted below: Imports: In terms of value: Road Freight: 40,30% Maritime Trade: 43,93% In terms of quantity: Road Freight: 15% Maritime Trade: 77% Exports: In terms of value: Road Freight: 49,92% Maritime Trade: 41,72% In terms of quantity: Road Freight: 23,42% Maritime Trade: 74,50% Rail freight transport represents only a small fraction of the total transport volume and value. In association to EU members concerning road freight volumes, Greece holds the 14th place, while in correlation to its population, Greece rated (elaborated EUROSTAT facts, 2007) 3.044 tn*km/resident, which is below the EU- 27 average (3.721 tn*km/resident). Associating road freight volume with GDP, Greece ranks 122.732 tn*km/ M€ of GDP, while EU-27 ranks 155.907 tn*km/M€ GDP. According to facts, Table 9: Freight volumes (Eurostat facts) Road Rail Sea Air
2010 507.442.000 tn 3.982.000 tn 124.387.000 tn 86.596 tn 29.815 M t*Km 614 M t*Km 2011 505.986.000 tn 78.780 tn 20.597 M t*Km in 2011, 75.6 M tones of goods were carried in road goods transport and 17 M tones in railway transport. Compared to 2000, over 30 % more goods were carried by road and 24 % more by railway transport. Fewer goods were carried by road (7%) and more by railway (by 5%) in comparison to 2010.
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The augmented trucks/resident ratio is a characteristic attribute of small, fragmented markets with notable deficiency in complementary infrastructure (ports, rail and unexploited capacity).
The main disincentives affecting the competitiveness of Road Freight Sector relate to: o Differences in fuel costs and wage costs between countries o Divergence in taxation etc. (26% for Greece, 10% for Bulgaria & Cyprus) o Only the railways and short shipping navigation are subject to state subsidy, due to the environmental impact of Road Transport (EU’s Marco Polo programme). o No funds for facilities or fleet renewal.
Additional problems at Customs Offices causing bottlenecks refer to: o Lack in infrastructure and modernized systems o Single shifts cause serious delays and problems o Divergence in regulations between states implies disincentives in terms of competition o Cargo verification required during transit through non-EU countries, increasing cost & delay.
The current features of the Railway Network are:
Total length 2,571 km (764 km are (or will be) electrified)
standard gauge: 1,565 km 1.435-m gauge
meter gauge: 961 km 1.000-m gauge; 22 km 0.750-m gauge
dual gauge: 23 km combined 1.435 m and 1.000-m gauges (three rail system)
The lack of a railway connection with the major Greek ports is also characteristic - with the key exception of the freight rail link between Thriassion Freight Center and the port of Piraeus, which was completed and became operational recently.
Nevertheless, special attention should be paid to remaining bottlenecks mainly referring to:
Delays due to lack in infrastructure, in maintenance and in electrification of the entire network. In cross-border connections, only the section Thessaloniki-Gevgeli (Skopje) is electrified. For the rest links, a shift from electrified to diesel traction is currently required. Interoperability requirements (cross border) cause discrepancies in seamlesness
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Custom offices procedures, lack of modernization and restricted service timetable (often 8h only), impede reliability in shipping times.
Maintenance works across the networks cause disruptions in transit and restrict capacity. Capacity of the Networks is reduced due to the concommitant utilization of Freight & Passenger Trains
The contribution of ports and maritime transport to the Greek economy are significant and briefly summarized within the following:
18% of cargo imported to Greece is transported by sea 25% of the goods for the domestic market is transported by sea
29.200 people are employed in maritime transport including supporting industries such as shipbuilding, port services, fisheries, etc. (4th in EU)
Moreover, shipping and accompanying industries produce added value of the range of 3.2% of the country’s GDP, ranking the 6th position in Europe.
Twelve out of sixteen (12/16) Ports of International Importance, namely Piraeus, Thessaloniki, Alexandroupolis, Volos, Eleusis, Heraklion, Igoumenitsa, Kavala, Corfu, Lavrio, Rafina and Patras operate in the form of a limited company (S.A.). Two of them, Piraeus Port Authority SA (OLP S.A.) and Thessaloniki Port Authority SA (OLTH S.A.) are traded on the Athens Stock Market.
Regarding the freight traffic service, many ports do not provide adequate indoor storage, proper container stowage, CFS or silos and conveyors for bulk loads, etc. Finally, many ports do not provide adequate electrical / mechanical equipment (cranes, mobile cranes, support networks, forklifts, etc.) for the handling and stowage of goods and unitised cargo (pallets and containers).
In order to optimise and facilitate accessibility, Greece should develop a comprehensive multi-modal transport strategy accompanied by a business plan. Connectivity should be addressed in the framework of cooperation with the neighbouring countries and stimulating growth (e.g. promoting sustainable transport and removing bottlenecks in key network infrastructure). Key activities should be prioritized: the completion of a modern railway network, port interconnectivity with the rail network, the road and rail connections with third countries and the TEN-T networks completion. Special attention should be given to internal sea and air links (in particular regional small ports and airports) with the islands. Greece should modernise cross-border and customs border crossing points for fast, secure and efficient EU external trade, supporting modernisation of customs infrastructure, equipment, and systems, as well as administrational capacity building, as appropriate. Investments to support maritime connectivity and multimodality such as berthing, port facilities and transport connections with the hinterland should be pursued with a view to further increase the revenue generating from tourism. With regards to coastal 107 Mapping of current EU & SEE Regional policies
areas, the construction of relevant infrastructure for sailing boats and/or cruise yachts is of particular relevance. The same applies to investments in cruise terminals (berthing capacity and port facilities) which is aligned with the country's objective to attract cruise ships either visiting or using Greece as home port. However, there are impediments to the overall ports efficiency:
Inadequate connection between mainland ports, land and air transport networks, thus reducing the possibility for combined transport. Complexity of institutions and instruments and confusion of liabilities between services that hampers the timely intervention on issues such as adoption of amendments to Master Plan, approval of contracts, budgets, accounts, etc. Weakness in national funding thus delaying the completion of the project functional design and difficulty in estimating/responding to demand.
The uncertainty of operating conditions and the blurring of responsibilities (administrative- operational) is a limiting factor in attracting private investors.
Complex, inefficient, lengthy processes or the approval, financing, maturing of projects (multiple licensing requirements etc.).
With respect to Community funding, limited eligibility time compared to the time required to complete maturation of projects, as well as strict regulations for the implementation of co- financing, compared to the existing capabilities of implementing agencies.
Supportive measures: National and European strategies to promote intermodal transport, combined with investments made in ports and freight centers.
Opening of ports to private firms with adequate experience and position in the global market as concessions for recovery and development of specific port activities (e.g. containers, car terminal, marina) and the obligation to materialize the required investment.
3.3.1.2 Key strategic policies for freight transport National transport policy is consistent with the fundamental elements of the European Union strategy, as outlined in the Treaty of Lisbon, and in particular in the “White Paper on Transport: Roadmap to a Single European Transport Area – towards a competitive and resource-efficient transport system”, with a vision for sustainable transport system. Growing transport and supporting mobility while reaching the 60% emissions reduction target, multimodal transport, promotion of global-level freight transport and optimization of the logistics chains and green economies are among the main objectives of EU policies which are pursued by specific concrete strategies, focusing on innovation, modernization and synergies. Sustainable mobility, reduction of carbon footprint (the transport sector alone is responsible for the 27 % of total CO2 emissions) and maximum safety are the main principles, but there is also a clear connection between transport effectiveness and GDP growth (according to data, 1,6% of transport growth results to 1% of GDP growth).
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As the transport sector faces numerous challenges, while at the same time the forecasted growth in demand rates at 50% for freight transport and at 35% for passenger transport for the period 2000-2020, the pressure in the sector is magnified. The characteristics of transport policy largely meet the requirements for a meaningful contribution to the objectives of the EU as a whole and especially to the Lisbon and Gothenburg priorities, but also to the country's development priorities. In this light, the transport system in Greece is affected by the policies and priorities of the EU in areas like: The liberalization of international transport, with the right of establishment of service providers in Member States across the EU (cabotage). The establishment of speed limits and safety rules for trucks and buses and the reduction of risk in the transport of dangerous goods.
The design and implementation of an integrated Trans-European Transport System and a pan- European transport network for the connection with Central and Eastern Europe (CEE) and the Mediterranean. Strategic planning for transport in Greece is closely linked to the strategic planning which takes place within the framework of EU mechanisms and funding support to cohesion. There is no specific transport policy document such as a national “White Paper”. Policies are mainly depicted through national plans, action plans and operational programmes (OPs). The national and regional development planning, in the absence of a concretely defined national strategy for the transport sector, forms the basis for the configuration and implementation of general development policy in Greece and ultimately the keystone of transport policy, through agencies, programmes, funding sources and processes. Transport Policies in Greece are also promoted in the frame of bilateral and multilateral agreements, international cooperations and MOUs (e.g. MOU on Cros-Border cooperation along Pan-EU Corridor X, bilateral agreements between Greece-Bulgaria on the elaboration of a new agreement for Railway Transport, etc.)
Liberalization of the Road Freight transport market The liberalization of professions in the wider European area and particularly the enactment of Law 3887/10 relating to the settlement of issues on Road Freight Transport, create a new, dynamic environment in which professional drivers and inland freight companies convene to work together. Law 3887/10 and its ammendements 4038/12 & 4070/12 envisage, inter alia:
The Liberalization of the Road Freight Sector The Equalization of Road Freight companies by releasing their domain of jurisdiction for conducting freight transport (national, international & prefectural carriers).
Compliance of newly registered Road Freight Vehicles with EURO-5 standard for emissions.
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The transitional period established for the reduction in costs for issuing new road transport operator licences has been brought to an end in January 2012. Prior to the disbursement, the necessary secondary legislation as foreseen in that law (Article 14(11)) is published, specifying the cost for issuing new road transport operator licences. This cost is transparent, objectively calculated in relation to the number of vehicles of the road transport operator and does not exceed the relevant administrative cost.
Furthermore, in line with the policy objectives of Law 3919/2011 on regulated professions, the Government removes entry barriers to the taxis market (in particular, restrictions on the number of licences and price of new licences), in line with international best practice. With the establishment of the new Law 3887/10, liberalization of freight transport is a fact. As envisaged by the new legislation, incremental liberalization concerning the national authorizations (licenses) of road hauliers is due, beginning from 2013. This means that, with the new, minimal-cost license (includes only administrative costs), many new licenses, and thus new vehicles will serve the transport of goods in the country. As a result:
competitiveness in the sector is enhanced freight transport market liberalization is attained, so anyone, under certain conditions, can acquire and possess a haulier license. limits on fares are eliminated. The fare will be set after agreement between Haulier and Lessee.
hauliers are organized into business companies.
incentives are generated for the modernization and development of businesses. consolidation of carriers is achieved, distinctions between national and international carriers are eliminated. environmental criteria are initiated.
The expected outcome would be: International carriers can provide services at national level and vice versa.
The haulage industry is one of the key sectors of the economy, with an annual turnover of 17, 5 billion €, which amounts at approximately 7% of GDP and can be further developed. Rail Freight Transport Rail Transport market was fully restructured and liberalized in 2010 by Law 3891 (Official Gazette of the Hellenic Republic Α’ 188/04.11.2010) Restructure, rationalization and development of OSE (Hellenic Railways) and TRAINOSE and other provisions for the rail sector. The separation between the infrastructure manager and operators was established. The rail regulatory authority, an independent body, establishes the procedures for issuing licenses and decisions affecting non-discriminatory access of EU railway undertakings to Greek rail infrastructure. It 110 Mapping of current EU & SEE Regional policies
identifies the benchmarking data on the cost effectiveness of the infrastructure manager. The authority conducts on its own initiative procedures and respects the legal time lines for such decisions set out in the EU railway Directives, including cases on international traffic. All operators are awarded licenses and safety certificates. EU Interoperability legislation was also established by the Presidential decree 104 (Official Gazette of the Hellenic Republic A’ 181/12.10.2010) Harmonisation of Greek Law to the provisions of the Directive 2008/57/EC of the European Parliament and the Council of 17 June 2008, on the interoperability of the rail system within the Community, and of the Commission Directive 2009/131/EC of 16 October 2009 amending Annex VII to Directive 2008/57/EC. Finally EU railway safety standards were implemented by:
Presidential decree 160 (Official Gazette of the Hellenic Harmonisation of Greek Law with the Republic A’ 201/23.08.2007) directive 2004/49/EC (Safety Directive)
Amendment of presidential decree 293/1999 Presidential decree 186 (Official Gazette of the Hellenic «Constitution of Ministry of Transport and Republic A’ 21/12.09.2007) Communications (Α΄263)»
Amendment of presidential decree 160/2007 (A’ 201) for the adaptation of the Greek legislation to the provisions of Directive 2008/110/EC of the European Parliament and of the Council of 16 December 2008 amending Directive 2004/49/EC on safety on Presidential decree 71 (Official Gazette of the Hellenic the Community’s railways, and of Republic A’ 127/03.08.2010) Commission Directive 2009/149/EC of 27 November 2009 amending Directive 2004/49/EC of the European Parliament and of the Council as regards common safety indicators and common methods to calculate accident costs
Law 3534 (Official Gazette of the Hellenic Republic Α’ Penalties in relation with the implementation 40/23.02.2007) of directive 2004/49/EC
Law 3911 (Official Gazette of the Hellenic Republic Α’ Certification of train drivers and other 12/08.02.2011) provisions
Ports The National Ports Strategy (Dec.2012), as fostered by the Department of Maritime and the Aegean is consolidated in the following statement:
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"Integrated and sustainable national port system for economic development and territorial cohesion, by providing high quality port services, port participation in international supply networks and services and focus on local development and employment"
To achieve this goal in the given political and economic context, Greek ports need to: • increase their participation in international trade and transit • provide high quality services at all levels and at competitive prices • achieve flexible and efficient administration, adopting modern management practices • attract private capitals and expertise
NEW POLICIES introduced with the new National Ports Strategy, are modulated into 6 levels of intervention: o Regulation o Administration o Improvement of ports infrastructure o Ports operational functioning o Modernization of domestic maritime transport system o Attracting private investment funds for the development of ports With the establishment and operation of the new governance of the port system (Port Networks), the Ministry of Maritime, through its newly proposed Regulatory Authority, will review the institutional framework for the provision of port services and formulate proposals for modernization in accordance with modern standards of ports operation. In each case, the configuration will take into account both the practices applied in northern European ports, as well as those of the neighboring ports of eastern and southern Mediterranean. Freight centers In the context of the establishment of the TEN-T, the European Union is promoting a Trans-European multimodal transport network, which integrates the Road and Railway Network, the Trans-European inland waterway network and the ports. By this act, freight transport is mainly served. In order to shift freight from road to other modes of transport and to encourage intermodality, the EU is also fostering Marco Polo II Programme, for the period 2007-2013. The Government defines a strategy to integrate ports into the overall logistics and transport system, specifying the objectives, scope, priorities and financial allocation of resources. The strategy will ensure the implementation of the TEN-T priorities and the establishment of the foreseen corridors. It will also ensure the efficient use of the assigned Structural and Cohesion Funds. At the institutional level, Law 3333/2005 on the Establishment and Operation of Freight Centres ("Establishment and Operation of Freight Centres and other provisions") has been enacted, identifying the 112 Mapping of current EU & SEE Regional policies
required extent, infrastructure and sitting principles for Freight Villages. Hence, there exists an institutional framework for the establishment, installation and operation of Freight centers, whereby conduction and evaluation of tendering process for funding and operating Freight Centers will be carried out. Although preliminary actions and respective research studies have been conducted for the Ministry of Transport and legislative acts highlighting the importance of intermodal transport have been fostered, no related act has been completed so far. One exception is the Freight Center of Promahonas-Serres, implemented under Public Private Partnership (PPP), providing public utility services. At present, Greece has no organized Freight Centers network. The major, planned intervention for the development of an intermodal freight center in Greece is the establishment of Thriassion Freight Village complex and its railway connection to the port of Piraeus, through which significant amounts of containers and cars from the port will be carried throughout the Greek mainland and to the northern countries across the borders.
Strategic Planning General Objective 13 of the NSRF 2007-2013 is consistent with the policy of the EU in the field of Transport, and the basic needs of the EU for transport as set out in White Paper, summarized in four policy components: • Liberalization of transport • Balance between growth in transport • Tackling congestion in road, urban and air transport • Addressing the environmental impacts of transport Attracting private capital, combined with the available national and Community resources will be exploited for the development and operation of networks and transport services. In this context, part of concessions for transport infrastructure projects, which have already been completed and put into operation of major transportation projects and has, therefore, gained valuable relevant experience in the field of transportation projects.
The general objectives of the national transport strategy of Greece are: • Reduction of social/regional disparities • Stimulation of economic growth • Improvement of the quality of life (especially in the main urban areas).
More specific objectives of the transport policies are: 1. integration through concessions of major road axes, procedures which have been launched and promoted during the period 2000-2006 2. Securing accessibility throughout the country 3. Promotion of transit and facilitating cross-border trade 113 Mapping of current EU & SEE Regional policies
4. Improved road safety 5. Promotion of modal shift, a/o by: Improvements in urban transport Modernization of railways
Transport sector actions in the programming period are envisaged in the frame of the NSRF 2007-2013 and its main Operational Programmes (OPs) namely: OP “Competitiveness and entrepreneurship” OP “Enhancing Accessibility”
Within the O.P. “Competitiveness and entrepreneurship” the “Modernization of Inland Road Freight Transport” is initiated. The programme’s scope is to modernize the operation of Inland haulage companies with the perspective to achieve quality transport at low cost, protection of the environment by reducing emissions and fuel consumption, and road safety. The achievement of these targets will reduce transport costs and will make the transport of goods safer, ensuring food hygiene and safety to the benefit of the consumer. More specifically, the needs of the sector to be addressed, are: A. The transport of perishable foodstuff requires special equipment (Law 2006/92 ATP agreement), prompting for replacement of vehicles and special equipment with other of new technology, low consumption and environmentally friendly. B. The need imposed by today's competitive environment, the International Convention for Safe Containers (CSC) and other relevant provisions for the empowerment of multimodal and Intermodal freight transport requires enhanced supply of loading units and supportive equipment. C. Modernization of the industry, in addition to improving environment and reducing transport costs, effects firmly to the reduction of road accidents, as new vehicle technology systems provide drive- ability and safety features. D. Public utility trucks circulating in Greece amount to 35.000, 22.000 of which perform national transport, 10.000 prefectural, 2.000 international transport and the rest 1.000 are tankers. Road freight transport accounts for 98% of aggregate national transport (within the country), with an impact to the final price of goods. E. From all hauliers only 5% are organized into companies and only 1% into SAs and LTDs. The Greek government with the Law 3887/10 aims to alter the existing status and provide assistance in the establishment of transport companies by offering incentives and by organizing modern transport facilities (warehouses, logistics, parking places, etc.).
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This sector of national economy, although representing 7% of the country’s GDP, has not been amplified so far by any national or European programme. The purpose of the “Modernization of Inland Road Freight Transport” programme is to ensure, at the greatest possible extent, for the sector’s businesses: Conditions for the development and improvement of competitiveness through effective implementation of Law 3887/10, as well as introduction of new technologies in businesses.
Incremental reduction in the number of solitary driver- businesses (which leads to an internally unhealthy competition) and establishment of modern enterprises with the capacity to achieve economies of scale.
Reduction of transport costs by increasing competitiveness of enterprises with the use of modern equipment.
Conditions for the reduction of operating costs by applying internal organizational and operational systems, training drivers, using information technologies for the automation of fleet management, etc. Apart from all anticipated benefits to the economy, the programme chips in the achievement of most of EU strategy objectives towards the modernization of road transport in general. The OP "Enhancing Accessibility 2007-2013" was shaped after the completion of the NSRF 2007-2013 (http://www.espa.gr/), covering the full range of the country’s development strategy -for the respective period- in the transport sector. It is the core Operational Planning of the country in the transport sector for this period. The program is modulated from individual Operational Programmes and therefore includes interventions and actions related to all transport sub-sectors (road, rail, maritime and aviation). The development strategy of the transport sector, implemented through the Operational Programme "Enhancing Accessibility" is based on two main strategic objectives:
1. Improving accessibility of the country’s areas with the deployment of the Trans-European Transport Networks in priority, as well as transport infrastructure in National / Regional level, focusing on the sustainable development and the sustainability of the transport system.
2. Increasing the competitiveness and productivity of the transportation system by improving the quality of mobility services, with emphasis on reducing travel time and cost, improving transport safety and increasing service level and the overall added value of the system. The OP was approved by the European Commission through the C (2007) 5436 / 31-10-2007 decision, the first revision of which was approved by the E (2011) 6985/7-10-2011 authorization decision. The OP aims at the improvement of transport infrastructure in Greece and its international connections. By doing this, enhancement of the attractiveness and accessibility of remote and landlocked regions of Greece is attained and its position in the international transport sector is improved.
The main transport networks in the country are integrated within the framework of the OP’s proposals and actions that help eliminate discontinuities of the network, including the completion of current operations,
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the implementation of new projects, the establishment of freight centers and their connections to the network, in order to promote combined (multimodal) transport. At the same time, the gaps in the country’s port network are “filled” with suggestions and actions envisaged in the OP, which are mainly located in the adequacy of facilities and the availability of support equipment and are addressed with proposals for the upgrading and expansion of port infrastructure and facilities, for both primary and secondary ports of the country. Similarly, the gaps in air transport are managed and addressed with suggestions and actions of the Programme, regarding the upgrading of the airport infrastructure and services offered. The proposals include, inter alia, the modernization of air navigation systems and improvement of services. The second strategic objective is about reducing time and cost in the transport of people and goods, which is directly related to the energy-saving and natural resources policy, forming a crucial factor for the exploitation of the supply chain potential and the establishment of logistics centers in corresponding regions of the country. The improvement of transport safety is a primary requirement which defines the priorities of the OP towards improving road safety, upgrading the PATHE/P (Patras Athens Thessaloniki / Promahonas) railway corridor into double, electrified, high speed line with modern signaling / telecommanding systems (ETCS Level 1) and telecommunications (GSM-R), while including specific interventions in the management and operational means of transport networks (e.g. ERTMS for subway and railway, VTMIS & ISPS in maritime transport, etc.). The realization of these objectives includes -wherever possible- the reduction of environmental impacts (pollution, noise), the promotion of bypass projects for main urban centers and the reduction of congestion and pollution caused by road transport, the implementation of environmental management systems in ports, the prevention and treatment of marine environmental accidents. The Government meets targets for payment claims and major projects in the absorption of EU structural and cohesion funds set down in the table below. Compliance with the targets shall be measured by certified data. In meeting absorption rate targets, recourse to non-targeted state aid measures is gradually reduced. The Government provides data on expenditure for targeted and non-targeted “de minimis” state aid measures co-financed by the structural funds in 2010 and in 2011. Furthermore, the position paper drafted for the programming period 2014-2020 follows the principles of the targets and priorities as set for the structural funds and is analyzed below with the funding priority: “Sustainable infrastructure for growth and jobs” In addition, according to the Memorandum of Understanding on Specific Economic Policy Conditionality, Greece commits to consult with the European Commission, the ECB and the IMF staff on the adoption of policies in line with the conclusions of the euro-area summit of 26 October 2011, which in the field of transport entail the following: Legislation is adopted, and immediately implemented, to shorten deadlines and simplify procedures on contract award and land expropriations, including the deadlines needed for the relevant legal proceedings. [Q1 2012]
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The Government earmarks amounts to:
complete the unfinished projects included in the 2000-06 operational programme closure documentation (ca. EUR 260 million) [Q2 2012] complete the implementation and closure of the 2000-06 cohesion-fund projects. [Q2 2012]
cover the required national contribution, including non-eligible expenditure (i.e. land acquisitions) in the framework of the 2007-13 operational programmes. [Q2 2012]
The Government identifies the necessary amounts from ERDF within the 2007-13 operational programmes for the first allocation to the guarantee mechanism for small and medium-sized enterprises. [Q1 2012]
The Government ensures that the web-based monitoring tool of procedures for the approval of project proposals and for the implementation of public projects is available to the public by February-2012. Based on the assessment of the measures adopted since May 2010 to accelerate the absorption of structural and cohesion funds, the Government takes measures to speed up absorption and to simplify project implementation by i) mapping responsibilities and removing unnecessary steps; ii) consolidating management capacities where appropriate (e.g. waste treatment) in accordance with existing management and control systems. To accelerate the absorption of EU financing and following the increase in the EU co-financing rates, Government will, by Q1-2012:
establish appropriate monitoring tools for priority projects. These projects should be operational by 2015 at the latest. report to the Commission the final results of the activation or elimination of sleeping projects (i.e. projects already approved in the operational programmes but not yet contracted within the timeframes defined at the national level). For retained projects, the Government indicates the conditions that must be met to keep the co-financing.
create a central database monitoring compensation and the time elapsed for the completion of expropriations incurred in the framework of the implementation of projects co-financed by the ERDF and the Cohesion Fund.
3.3.2 Transport - CO2 emissions The Kyoto Protocol stipulates emissions for the period 2008–2012 with regard to emissions in the base year, which are for Slovenia defined as the sum of CO2, CH4 and N2O emissions in 1986 (the base year for developed countries is 1990) and F-gases in 1995. The limitation of GHG emissions in Greece obtained a legal framework and specific objectives with the adoption of the Act Ratifying the Kyoto Protocol to the United Nations Framework Convention on Climate Change. The Ministry of Environment, Energy and Climate Change (MEECC) is the main governmental body entrusted with the development and implementation of environmental policy in Greece. MEECC is responsible, among others, for the formulation of policies concerning environmental protection, for the 117 Mapping of current EU & SEE Regional policies
coordination of implementation efforts and to ensure compliance with the current legislative framework. To this end, MEECC cooperates both with other competent ministries and with regional, prefectural and local authorities. Other ministries are responsible for integrating environmental policy targets within their respective fields. Greece ratified the Kyoto Protocol in 2002 (Law 3017/2002) and adopted a National Programme for achieving its commitment by a decision of the Council of Ministers (DCM5/2003). By Law 3017/2002 the former MEPPPW - present MEECC is designated as the governmental body responsible for the coordination, within its responsibilities, of all other competent ministries and possibly any other public and / or private entities involved, for: the implementation of the provisions of the Kyoto Protocol and the formulation and monitoring of the National Programme for achieving the national targets set under the Kyoto Protocol. Moreover, with this law it is defined that all issues related to the implementation of the provisions of the Kyoto Protocol, including among others, the establishment of the necessary administrative structures and procedures, enforcement rules, etc. are to be resolved and adopted by Common Ministerial Decisions of the Minister of Environment, Energy and Climate Change and other, as appropriate, competent Ministers. The same procedure is to be followed in order to introduce into the national legislation any decisions of the COP and/or CMP or any necessary modifications to the National Programme. The most important supporting policies related with the implementation of measures for the restriction of GHG emissions in Greece are:
The 2nd National Climate Change Programme, that was elaborated and adopted in 2002 (Act of the Ministerial Council 5/27.02.2003, Official Journal of the Hellenic Republic Α' 58 – 05.03.2003) defines the additional policies and measures necessary for Greece to meet its Kyoto target, i.e., restricting the increase of GHG emissions to 25% over the time period 2008–2012, compared to base year emissions.
The European Common and Coordinated Policies and Measures (CCPM), that constitute a legislative framework that supports and set the targets of a number of the respective national policies for the restriction of GHG emissions.
The European Emissions Trading Scheme - ETS (Directive 2003/87/EC) the operation of which started in 2005. In Greece, the trading system for the period 2008-2012 comprises 140 industrial installations (power plants, refineries, cement plants, etc.).
An allowance reserve is also created which is intended to cover possible unknown new entrants in the period. According to the 2nd National Allocation Plan (NAP), the allowances of CO2 emissions that were allocated to installations included in the EU ETS were fixed to 341.547.710 t CO2, which requires a considerable decrease of emissions by the enterprises that participate in the system. It is estimated that this decrease of emissions or, with other words, the effect of ETS supporting policy is a 16.7% reduction or 69.2 Mt of CO2 emissions of ETS installations for the period 2008-2012.
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The financing mechanisms for the funding for the support of policies that either straightforward or inter alia contributes in the restriction of GHG emissions have been developed in a big extent under the frame of the Community Support Frameworks. The fiscal measures that support policies and measures that reduce GHG emissions, such as the tax regime of energy products, the registration tax of vehicles, the Motor vehicle circulation fee (road tax), the income taxation – relief and exemptions.
Planned measures have been identified with a view to ensure compliance with the target set in the framework of the Kyoto Protocol for Greece and the further commitments set by the 2020 CC&E package and EC directives concerning RES-E, CHP, end-use energy efficiency, biofuels, proposals for post 2012 ETS, etc. The estimation for the emissions reduction potential in the time horizon of 2020 has been based on specific assumptions concerning further penetration/implementation of the planned policies and measures, taking into account the dynamics that will develop from the fulfillment of the targets of the 1st Commitment Period of the Protocol and EC directives. As, on the other hand, 28% of CO2 emissions in EU comes from the transport sector and particularly from road vehicles, while, at the same time, heavy duty vehicles contribute more than 66% to nitrogen oxides and particulates emissions, the Commission supports research and development in new (greener) technologies in the transport sector. As part of the Strategic Transport Technology Plan (STTP), the Commission shall promote clean transport systems and the development of standards. All this development is based on a resource-saving philosophy, which is highly advantageous to the environment, attaining sustainable Development conditions and the creation of “green jobs”, which is one of the target priorities of Greece’s broader political agenda. Also noted that GHG emissions from railways decreased by 69% from 1990 to 2010.
Table 10: GHG emissions (Eurostat facts): Transport Sector Total 2009 25.837 * 1000 tonnes CO2 equivalent 124.693 * 1000 tonnes 2010 22.996 * 1000 tonnes CO2 equivalent 118.287 * 1000 tonnes
For year 2011, according to data submitted to the EC, the overall emissions from transport sector are analyzed below: Transport Emissions (2011) CO2 CH4 N2O Civil aviation 347,94 0,03 0,01 Road transport 17.260,00 3,61 0,43 Railways 47,25 0,03 0,02
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Navigation 2.294,21 0,18 0,37 Pipeline transport 11,31 0,00 0,00
Total Transport 19.960,70 3,85 0,83
Economic development and improved living standards have a significant effect on the ownership of passenger cars. The number of passenger cars in 2007 was almost 20 times higher compared to the number of passenger cars in 1970, while similar trends are also observed for the number of trucks, buses and motorcycles. In 1990, the number of passenger cars was 1.7 million cars (1 car/6 inhabitants), while in 2007 this figure reached 4.8 million cars. Since 1995 the number of advanced technology catalytic passenger cars is constantly increasing, while the number of medium and large size passenger cars almost doubled from 1990 to 2007. In 2007, of the vehicles that were operated for the first time, 88% were new and the rest 12% were used. Passenger cars represented 64.6% of total motor vehicles in operation, motorcycles 17.6%, trucks 17.0%, taxis 0.5% and buses 0.4%. The Greek maritime fleet is one of the largest in the world, and in 2007, according to the data of the competent Ministry, it comprised of 2049 vessels (1455 fly the Greek flag) of a total dead-weight tonnage of approximately 98.2 GRT, that represent the 18% of world shipping capacity. In 2007, sea transport of passengers increased by approximately 2.6%, compared to 2000, while sea transport of goods increased by 33.5%. Railways cover a small part of transportation activity in Greece. On the contrary, air traffic presents an average annual increase of 3.1% for the period 1997 – 2007 while the number of passengers increased by approximately 3.9% in the same period.
MEASURES TAKEN BY THE GOVERNMENT, in order to address impacts: 1) Design and construction of environmentally friendlier and energy efficient transport means and systems (extension of metro lines and stations network, electrification of railway network). 2) Adoption of regulatory and administrative actions, such as: - encouragement of the use of public transport means - traffic management measures - renewal of vehicle fleet with new, cleaner and more energy efficient vehicles. 3) Incentives for the use of new technology vehicles (higher taxation and fees for higher exhaust emissions levels). 4) Application of EU regulations and directives regarding technical requirements and specifications, emission limits, modern (cleaner) technologies, etc. 5) Enhancement of multimodality, emphasizing on environmentally friendlier transport means (train, metro, tram).
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6) Deployment of freight villages for the optimized use of the available infrastructure. 7) Encouragement of the use of alternative transport means (bicycle). 8) Incentives for hauliers’ fleet replacement with newer technology vehicles. 9) Institutional measures (environmental studies, compensatory tree planting, speed and emissions limits, etc.). 10) Effort for the extended use of renewable energy sources and environmentally friendly vehicles. 11) Mandatory regular vehicle inspection. Also: Use of Intelligent transport systems for more efficient and greener mobility.
Monitoring of air pollutants/emissions Greece, as an EU Member State (MS), has incorporated into its national legislation all air quality related EU Directives. This legislative framework, apart from setting threshold values for measuring and assessing ambient air quality, it also defines the number and location of sampling points for each air pollutant, the minimum requirements for results quality assurance as well as the measuring and reference methodologies, etc. Based on these legal enactments that set limit values and requirements for air pollution monitoring, Greece has designed a “National Network for the Control of Atmospheric quality and Pollution” (NNCAP); the modernized NNCAP was set up and put into operation in 2001. Its supply and setting up has been partially funded by the 2nd EU Community Support Framework (CSF) complemented by national funds. The NNCAP encompasses 33 automatic measuring stations in areas characterized as urban, residential, commercial and semi-industrial, located in 8 Greek cities plus 1 background station located in a rural area: Athens (16 stations), Thessaloniki (8 stations), Kozani (3 stations), Patras (1 station), Larissa (1 station), Volos (1 station), Megalopoli (1 station), Herakleion/Crete (1 station) and Aliartos (background station). Measurements of all air pollutants stated in the related legislation, including 03, NO2, SO2, CO, smoke and PM10, are measured automatically on hour and daily basis and are reported on the internet Overall Greenhouse Gas Emissions profile GHG emissions: Greece’s overall Greenhouse Gas (GHG) emissions’ profile shows a clear domination by the energy sector, with CO2 as the main GHG. A station for CO2 vertical flux measurements has been established and operated for a number of years in Kalamata by NAGREF, in the frame of the research project MEDFLUX of the European Commission.
3.3.2.1 Reduction and Targets Due to the negative trend that railways record across Europe, there has been a raise of concern, stressing the need for a solid strategy in this field. As a result, UIC, CCFE, UITP and UNIFE have commonly adopted the following targets:
Increase passenger transport by 6% to 10% Increase freight transport by 8% to 15%
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Save 50% in energy efficiency
Reduce emissions by 50%
Energy Efficiency: An Increase in energy efficiency by 20% (equivalent for 368 Mtoe) is envisaged by Europe 2020. A total reduction in primal energy consumption by 2,7 Mtoe is the target set at national level (Draft for Proposal ERDF 2014-2020- 4th Programming Period –not yet endorsed).
Renewable Energy Sources (RES): Target defined by Europe 2020 is to increase by 20% gross energy consumption. A respective increase of 8,2% was recorded in 2009 in Greece, while the target set for year 2020 is an increase by 18% (Draft for Proposal ERDF 2014-2020- 4th Programming Period –not yet endorsed).
Reduce GHG emissions (originated by sources not included in the ETS-Emissions Trade System): Europe 2020 has set a reduction by -20% or -30% (if enabled by conditions) in percentage, as compared to base year 1990. In 2009 an increase of the range of +17% was recorded in Greece, while the target set for 2020 is a reduction by -4% (year of reference 1990) (Draft for Proposal ERDF 2014-2020- 4th Programming Period –not yet endorsed).
2020 target of EU is -20% GHG (reference to 1990 levels)
ETS: -21% from 2005 level. A single EU-wide cap on emission allowances in place of the existing system of national caps. The cap will be cut each year so that by 2020 emissions will be 21% below the 2005 level. Non-ETS: -10% from 2005 level. The national targets, covering the period 2013-2020, are differentiated according to Member States' relative wealth. They range from a 20% emissions reduction (compared to 2005) by the richest Member States to a 20% increase by the least wealthy. Greek target -4%.
Pursuant to Article 3.2 of Decision 406/2009/EC (the 'Effort Sharing Decision' – ESD), the European Commission shall determine the annual emission allocations (maximum allowed greenhouse gas emissions) of Member States for the period from 2013 to 2020 in tones of carbon dioxide equivalent (CO2 eq.), using reviewed and verified emission data. The 2020 target is based on GHG emission estimates of the reference years (2005, 2008, 2009 and 2010). These estimates must have been reviewed to allow the determination in 2012 of the annual emission allocations for the period from 2013 to 2020. National commitments: Within the framework of the Kyoto Convention, the Greek government, after taking into consideration both economic and social parameters, agreed that a realistic target for Greece was the restriction of the overall increase of carbon dioxide emissions to 15% ± 3% by 2000 compared to 1990 levels. The measures taken in
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order to achieve this restriction in the CO2 emissions were described in the1st Greek National Action Plan for the abatement of CO2 and other GHG emissions (MINENV/NTUA 1995). With respect to the EU target under the Kyoto Protocol (i.e. reduction of emissions at 8% for the period 2008-2012), EU has stated that EU Member-States will achieve this jointly under the provisions of Article 4 of the Protocol. The Burden-Sharing agreement between all Member States was finalized during the Environment Council in June 1998 and entered into force with Decision 2002/358/EC concerning the approval, on behalf of the European Community, of the Kyoto Protocol. According to this agreement, Greece is committed to limit its GHG emissions increase for the period 2008 – 2012 to +25% compared to base year emissions (1990 for CO2, CH4 and N2O emissions – 1995 for F-gases). Greece ratified the Protocol in 2002 (Law 3017/2002) and adopted the 2nd National Programme for Climate Change (MINENV, 2002) for achieving the abovementioned commitment by a decision of the Council of Ministers (DCM5/2003).
Energy consumption The sectors with the greatest increase in final energy consumption is transport and building sector and the average annual increase in energy consumption over the period 1990 to 2007 amounts to 2.4%, 3.4% and 6.8%, respectively. However, in both 2008 and 2009, and much more in 2010, there was a reduction in consumption specifically in the industrial, residential and tertiary sector, which is possibly due to the fact that these sectors were the first to sustain the effects of the economic recession in final energy consumption, which is further enhanced by the increase in energy prices. This decrease in consumption is particularly noticeable in the transport sector, where although there was an 8.1% increase in energy consumption in 2009 compared with 2008, the reduction of fuel consumption in the activities of the transport sector in 2010 was 13.7%, leading to an overall reduction of energy consumption in this sector of 8.9% for the period 2007-2010. The contribution of renewable energy sources (RES) to gross inland consumption, including large hydro, varies from 3.1% to 5.7% according to the fluctuations of the production of large hydropower plants. Excluding large hydro, the share of renewable energy sources is about 4% for the period 1990 - 2007. The exploitation of renewable energy sources (excluding hydro) is related to the use of biomass for space heating in the domestic sector, the use of solar energy for water heating mainly in the domestic sector and the wind energy for electricity production. The electricity-generating system in Greece consists of thermal and hydroelectric units as well as a small, though increasing, percentage of other renewable energy sources. In 2007, the total installed capacity of the Public Power Corporation (PPC) generating system was 13526 MW which corresponds to an increase of approximately 55% compared to 1990 levels, while the net electrical capacity of auto producers in 2007 was 176 MW. Electricity generation increased continuously with an average annual rate of approximately 4.8% for the period 1990-2007. Gross electricity production in 2007 totaled 63.5 TWh, 55% of electricity is produced by solid fuels (lignite using steam coal and / or BKB as additives), while the share of liquid fuels and natural gas is 28% and 11% respectively. The rest of electricity production derives from hydropower and wind energy. In 2007, final energy consumption in Greece totaled 24.8 Mtoe. Energy consumption in industry accounted for 29.6% of final energy consumption (including consumption of the energy sector). The share of transport in final energy consumption is estimated at 35.8% in 2007, while the share of residential and tertiary sector was 34.6%. The average annual rate of increase for the period 1990 - 2007 is estimated at 3.2%. The per 123 Mapping of current EU & SEE Regional policies
capita final energy consumption has increased by 41% from 1990 to 2007 (1.57 and 2.22 toe/cap respectively). All three sectors increased their energy use from 1990 to 2007, with the residential and tertiary sector showing the highest increase (92.5% in 2007 compared to 1990), followed by transportation (49.5%) and industry (29.4%). This resulted in a total increase of 54% between 1990 and 2007. Table 11: Rate of change of energy consumption by end-use sector
Average annual 1990-2007 2007-2008 2008-2009 2009-2010 2007-2010 change
Transport (Mtoe) 2.4% -2.3% 8.1% -13.7% -8.9%
General Objective 14 of the NSRF: The secure energy supply in the country with a view to Sustainability: The overall objective is further specified into: • the integration and modernization of the electricity grid • reducing the country's dependence on oil with friendly way environment The "completion of the country's energy system" focuses on international interconnection country, taking into account the priorities of the TEN Energy (TEN-E), and the strengthening and modernization of the national interconnected electricity transmission system, including interconnection of the islands to the mainland grid of the country, which ensures both their needs and also helps to increase capacity installation RES. "Reducing the country's dependence on oil, so friendly environment "focuses on promoting the penetration of renewable energy (RES) and natural gas in the energy balance of the country, improving energy efficiency, research and development of innovative energy technologies and the rational management of Mineral Natural Resources. On 5 November 2007, the European Commission approved the OP "Environment and Sustainable Development" for Greece for the period 2007-2013. This programme involves Community support through the ERDF for eight Greek regions under the "Convergence" objective. The objective for 2007-2013 is not just the incorporation of the EU environmental law into national legislation, but the pursuit of a genuine convergence to the European environmental "acquis communautaire" in order to deal with the real needs concerning the environmental protection and the development of a model leading to sustainable development. The principal environmental interventions in Greece for the period 2007-2013 relate to integrated solid waste management, a rational use of water resources, modern waste water facilities, protection of natural resources and the efficient tackling of environmental risks (e.g. desertification, droughts, fires and floods, marine pollution). It will contribute to economic growth through a more efficient use of resources, such as reuse, recycling and recovery of waste. The programme will support interventions which, in addition to the investments in the sectors of energy and transport to be covered by other national programmes, will contribute to combating climate change.
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Specifically, under Priority 1: Air & rural transports, climate change, Renewable Energy Sources (RES): The strategic objective of this priority axis relates to energy saving, promotion of RES and support the autonomy and security supply of energy by the use of RES. In addition, it will promote sustainable transport infrastructures combating climate change. The program Intelligent Energy Europe (IEE) contributing to the European Strategy for Energy 2020 and facilitates the implementation of the European Action Plan for Energy Efficiency and the Directive 2009/28/EC on the promotion of use of Renewable Energy. It is the main tool of the European Union to tackle non-technological barriers to the dissemination of energy efficiency and promote the use of renewable energy (RES) in all sectors, including transport. Indicative types of activities supported by the programme are, amongst others, the European exchange of experience / expertise, sharing best practices, strengthening institutional and administrative capacity, education and training, the establishment of standards and specifications, etc.
Energy efficiency: EU target: 20% increase in energy efficiency Member States have committed to achieving 2020 targets for energy efficiency. The target for Greece is: GR: 2,7, corresponding to primary energy savings in M tones of oil equivalent. National projections vary as to the base year against which savings are estimated. The energy efficiency target as put forward in 2007 relates to absolute primary energy savings of 368 Mtoe against the projected consumption of 1 842 Mtoe in 2020, leading to a targeted EU energy consumption of 1 474 Mtoe. The current projections show that energy savings of only 206.9 Mtoe could be achieved in 2020. By 30 April 2013, Member States will define or revise their targets in line with the agreed methodology on target setting laid out in article 3(3) of the Energy Efficiency Directive adopted by Council on 4 October 2012. This will allow for a more quantitative assessment of the progress on energy efficiency in Member States. Assessment of the main challenges in the Member States: According to the latest projections, the Member States that are furthest from reaching the 2020 targets are Luxembourg, Malta, Ireland, Belgium, and Greece. These Member States will need to either design additional policies or make use of flexibility mechanisms in order to avoid non-compliance with their target. With a view to further progress towards achievement of the Europe 2020 climate target, Member States are facing the following key challenges: (i) lack of consistency in the domestic climate policy framework, (ii) energy intensity, and (iii) lack of investment security for innovative green technologies. Member States need to address these challenges in order to be able to meet their 2020 GHG emission reduction targets.
Research, technology & Innovation The main objective of the national policy for the promotion of research, technology and innovation was to enhance the competitiveness of Greek enterprises and of the national economy in general. In this framework, most of the programmes promoted had as their purpose to support enterprises in the implementation of RTD projects, as well as in the networking of research with production. In parallel, actions were also promoted aimed at strengthening (a) the S&T infrastructures of the public and the private sectors, (b) human resources, and (c) entrepreneurship. 125 Mapping of current EU & SEE Regional policies
Our country’s performance in these areas is poor. According to the “European Innovation Scoreboard” data for 2005, Greece is ranked 23rd among the EU-25 countries (ahead of Malta and Latvia only) in terms of its innovation performance. In the last years, formulation of this policy was carried with a view to contributing to the attainment of the Lisbon targets, particularly so of the increase of investments in knowledge and innovation. The national target set was for R&D expenditures to reach 1.5% of GDP by 2010, of which 40% should represent the contribution of the private sector. The General Secretariat of Research and Technology of the Ministry of Education, Lifelong Learning and Religious Affairs is the institution with the competency of support and promotion of research in Greece. Research in Greece is carried out at Research Centres, Universities and to some extend in industry. The main funding sources in the research sector in Greece include public and private funds. Public funds are provided by the national budget, by the Programme of Public Investments, Structural Funds and also the European Commission’s funds. Programmes that are funded from Structural Funds are included in the European Commission’s Support Frameworks and are managed by the Ministry of Economy. The main means of European Funds in the area of Research are the Framework Programmes. The 7th Framework Programme for Research and Technological Development (7th FP), has started in 2007 and will be completed in 2013. Until October of 2008 the Greek research organisations have obtained contributions of about 121MEuros, through the 7th FP. According to information from the European Commission (European Commission - European Research Area, 2009), up to now the 3.3% of signed grant agreements regard the sector of “Energy and Environment (including Climate Change). Regional development is substantial for the increase of the research potential in the EU. Greece is receiving this kind of support in the Research sector, in the context of the ‘Convergence’ objective which is financed by the European Regional Development Fund. International cooperation in the field of Research is ensured by the implementation of projects. Greece in the past has participated in a number of bilateral and cross-border programmes. During the new programming period, the Community Initiative Programmes are replaced by the Programmes of Goal III "European Territorial Cooperation". The objective of “European Territorial Cooperation” is offering an important support to research and innovation. Three programmes of the cross-border regions of Greece are aimed to research and are co - financed by Greece and the European Regional Development Fund: Adriatic Programme, Mediterranean Sea Basin, Black Sea. Greece participates in two trans-national programmes: MEDA Programme, resulted from the merger of the INTERREG, ARCHIMED and MEDOCC Programmes, and Southeast Europe Area, resulted from the division of the CADSES programme into two different zones, north and south. Greece participates also in the INTERREG IV C interregional programme and in the INTERACT, ESPON and URBACT networks.
Freight transport demand As road freight transport holds a dominant position in freight transport market (namely 98 % of the market share), becomes obvious that road prevails over other means of transport.
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Target set is that Rail transport should take over the majority share of freight transport in international and transit road transport, and a combination of road-rail and road-maritime freight transport, which will enable a more even distribution of freight among different transport modes.
3.3.2.2 Vehicle technologies In Greece there is no vehicle manufacturing. Incentives for the use of new technology and cleaner vehicles are offered: Registration tax According to Law 2960/2001 (Article 121), motor vehicles for private use which are imported to Greece, in order to be registered and circulate with Greek plates, are subject to registration tax. The relevant rates are determined on the basis of the cylinder capacity and the anti-pollutant technology of the vehicle. The passenger motor vehicles which are imported in the country and comply with the specifications of Directive 98/69/EC under phase B or of any subsequent Directive under phase 2 are subject to registration tax rates ranging from 5% to 50%, while those complying with the specifications under phase A are subject to rates from 14% to 142%; finally, motor vehicles which comply with the specifications of Directives 94/12/EC, 91/441/EEC, 89/458/EEC and 88/76/EEC are subject to rates from 24% to 334%. Motor vehicles of conventional technology are subject to rates from 37% to 346%. Hybrid cars in compliance with the applicable provisions for anti-pollutant technology of Directive 94/12/EC, as well as electric cars are not subject to registration tax. Motor vehicle circulation fee (road tax) Owners of motor vehicles and motorcycles using public roads are subject to an annual road tax. Such tax is paid in a lump sum every November and December in advance for next year and a vignette is posted on cars. Tax rates, tax base and reliefs are determined by the Ministry of Finance. Motor vehicles are categorized to vehicles for private and public use and within each category to passenger cars, lorries and trucks, buses, trailers and other vehicles. The tax assessment basis is cylinder capacity for private cars, gross weight for lorries and number of passenger seats for buses. It should be noted that the European Commission has proposed a directive, in order to link taxes related to the circulation of cars with the levels of CO2 emissions, with which Greece agrees in principle.
3.3.2.3 Charging and emissions trade Emissions trading scheme – aviation – marine bunker fuels In 2005 the European CO2 emissions trading scheme (EU-ETS) started operating. It covers a number of industrial and energy sector installations which exceed specific capacity limits set by Community Directive 2003/87/EC. The major objective of EU-ETS is to help the EU Member States to achieve their obligations in the frame of the Kyoto Protocol in terms of economic efficiency. In Greece, the trading system for the period 2008-2012 comprises 140 industrial installations (power plants, refineries, cement plants, etc.). An allowance reserve is also created which is intended to cover possible unknown new entrants in the period. According to the 2nd National Allocation Plan (NAP), the allowances of CO2 emissions that are to be allocated to installations included in the EU-ETS (including the reserve) were fixed to 341.547.710 t CO2, which requires a considerable decrease of emissions by the enterprises
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that participate in the system. It is estimated that this decrease of emissions or, with other words, the effect of ETS supporting policy is a 16.7% reduction or 69.2 Mt of CO2 emissions of ETS installations for the period 2008-2012. Since ETS is a supporting policy, the emission reduction target is implemented by applying other policies and measures as NG use, RES, CHP, etc. So, its effect is not additional to the sum of the other policies and measures. As concerns emissions from aviation, it should be mentioned that they will also be brought into the EU ETS, following a two steps phase. From the beginning of 2011, emissions from all domestic and international flights between EU airports will be covered. One year later, at the beginning of 2012, the scope will be expanded to cover emissions from all international flights – from or to anywhere in the world – arriving at or departing from any EU airport. Regarding GHG emissions from international shipping, Greece: actively participates in all formal and informal meetings (sessions, working groups, correspondence groups and informal consultation processes), within the framework of IMO.
submitted data and statistics, which have been taken into account in the official GHG IMO study of 2009, as regards the contribution of maritime sector.
participated as a member in the Steering Committee, which has been assigned to supervise the work of the International Consortium that carried out the above-mentioned study.
3.3.3 Transport – Sustainability In 2002, the Hellenic National Strategy for Sustainable Development (NSSD) was approved by the Council of Ministers, aiming at promoting economic growth in Greece, while safeguarding social cohesion and environmental quality. It articulated a set of principles for the formulation of an action plan in line with international challenges and commitments, including EU policy and legislation. The NSSD set three basic principles for environmental policy – the precautionary principle; the polluter pays principle; and the equity and shared responsibility principle – and identifies the main sector for action for each environmental issue. It further addressed the integration of sustainable development into sectoral policies, such as spatial planning (regional development, physical planning and urban planning), energy, transport, agriculture, fisheries, industry, tourism and employment policies. In 2007, the National Strategy was revised, based on proposals from Ministries and extensive consultations with regional and local officials, and with a broad range of private stakeholders. The revision encompasses the priorities of the 2006 Renewed EU Sustainable Development Strategy. Sustainability is acknowledged as a key factor for effective mobility as well as for growth and is prioritized in the framework of the strategy 2014 – 2020, under the funding priority: “Sustainable infrastructure for growth and jobs”
This specific objective of the funding priority will be attained primarily by thematic objectives 'Promoting sustainable transport and removing bottlenecks in key network infrastructures', 'Supporting the shift towards a low-carbon economy in all sectors' and 'Protecting the environment and promoting resource efficiency'.
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Thematic objective: “Promoting sustainable transport and removing bottlenecks in key network infrastructures” For this thematic objective the funding priority translates into the following priorities and specific objectives reflecting the country’s specific challenges to be supported by CSF funds:
Supporting multi-modal Single European Transport Area by investing in the TEN-T network and enhancing regional mobility through connecting secondary and tertiary nodes to TEN-T infrastructure. Investments to support maritime connectivity and multimodality such as, port facilities and transport connections with the hinterland. Construct infrastructure for sailing boats and/or cruise yachts including investments in cruise terminal facilities. Remove bottlenecks at and on the lines leading to rail border crossings.
Developing environment-friendly, resource efficient and low-carbon transport systems and promoting sustainable urban mobility. In urban areas such as Athens and Thessaloniki, the interconnection facilities between ports, airports, interurban and suburban rail should be completed and operational in the framework of a comprehensive sustainable metropolitan urban transport plan. Assuring performance of investments by CSF Funds under this thematic objective requires meeting the relevant ex-ante conditionalities. In addition, the following general considerations would improve governance and delivery: Develop comprehensive multi-modal transport strategy accompanied by a business plan that prioritise needs against available funds accompanied by a clear timetable for implementation and a realistic mature project pipeline. Completion of the Patras – Athens – Thessaloniki - Promaxonas rail axis. Connectivity should be addressed in the framework of cooperation (e.g. promoting sustainable transport and removing bottlenecks in key network infrastructure). Completion of the vertical axes of the Egnatia Highway, TEN-T networks. Ensure connectivity towards neighbouring regions as well as the hinterland and internal sea links with the islands.
Thematic objective: “Supporting the shift towards a low-carbon economy in all sectors” For this thematic objective the funding priority translates into the following priorities and specific objectives, utilising good practice from elsewhere and reflecting country specific challenges to be supported by CSF funds: Developing smart distribution systems at low voltage levels: Decentralised production and consumption systems should be considered and effective feed-in schemes designed.
Promoting low-carbon strategies for urban and rural areas: Promote smart and clean mobility solutions, in particular medium urban areas
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Thematic objective: “Protecting the environment and promoting resource efficiency” For this thematic objective the funding priority translates into the following priorities and specific objectives reflecting country specific challenges to be supported by CSF funds: Addressing the significant needs for investment in the waste sector to meet the requirements of the environmental acquis.
Construct modern solid and integrated waste management installations. Waste prevention and recycling should be strongly promoted in line with the waste hierarchy, in particular re-use, recycling and for non-recyclable materials, recovery.
Spatial planning Sustainable Development comprises strategic spatial planning of the entire territory at a national and regional level. In this framework, the newly introduced General Framework for Physical Planning and Sustainable Development sets out the main objectives:
spatial organization of key national urban centers,
spatial organization of infrastructure networks of strategic importance, spatial organization, specialization and complementarity of productive sectors,
spatial organization of metropolitan areas, urban networks and mountainous, rural, coastal and island regions as well as other critical areas. These objectives aim not only at addressing challenges but also at utilizing and benefiting from new opportunities linked to the further integration and enlargement of the European Union. For more effective control of land development, Greece is now accelerating the completion of its National Cadastre which constitutes a strategic tool, together with spatial planning, for integrated planning and development. Completion of the cadastre had initially been anticipated for 2010, but due to the fact that the process of validating ownership claims and subsequently, processing appeals takes longer than originally anticipated, the whole project is expected to be completed by 2018. By that time the system will cover 132,000 km2 and about 35 million property rights, covering the entire country. In the framework of the EU urban policy, via Integrated Urban Interventions, programmes were carried out in areas in need of regeneration, through the EU Initiatives URBAN I (1994-1999) and II (2000-2006) as well as the 2nd and 3rd Community Support Frameworks (CSF) for the same periods respectively. While retaining an integrated approach to social, economic and environmental problems, the basic objective of URBAN II is innovation. Greece has been actively involved in the European Ministerial Initiative “CEMAT” in the framework of the Council of Europe. CEMAT is responsible for Regional/Spatial Planning, since 1970, and brings together representatives of the 46 Member States of the Council of Europe, united in their pursuit of Chapter III: “Land – Physical Planning; a common objective: sustainable spatial development of the European continent”.
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Fundamental documents, which have been adopted and have guided Greece’s national spatial planning policies, include:
The European Regional/Spatial Planning Charter, adopted in 1983 at the 6th Session of the CEMAT in Torremolinos;
The European Regional Planning Strategy presented at the 8th Session of the CEMAT in Lausanne in 1988; The Guiding Principles for Sustainable Spatial Development of the European Continent, adopted at the 12th Session of the CEMAT held in Hannover in 2000. Energy use The main policies for reducing energy use of the transport sector are the following:
The renewal of the fleet of vehicles (cars, buses, coaches, trucks, used in public transport or on own account)
The use of alternative fuels in vehicles;
The technical inspection of vehicles; The improvement of infrastructure
To reduce energy use, modern engines of reduced fuel consumption and efficiency control of engines apply. The withdrawal of old vehicles, as well as the substantial incentives offered for the purchase of new cars resulted in the decline of fleets average age, and the significant improvement of the ratio of modern technology cars in relation to conventional cars. The periodical technical inspection of vehicles in the 58 Technical Inspection Centers (KTEO) improved substantially the efficiency of car engines. On the other hand, an annual control of the exhaust gas emissions of the vehicles was applied by introducing the exhaust emissions inspection card (KEK). 4,000 authorized centers have issued over 7 million certificates. A new law has been adopted by the Greek Parliament, which foresees the establishment of private technical inspection centers. This measure is expected to improve substantially the overall system of technical inspection of vehicles. The most important Joint Ministerial Decisions (JMD) for the reduction of vehicle emissions are: “The form and content of exhaust emissions Inspection Card”, which introduced the exhaust gas emissions inspection programme for road vehicles; “Determination of measuring method and permitted values (limits) of carbon monoxide (CO) and hydrocarbons (HC) in exhaust gases of gasoline and LPG powered vehicles” and “Determination of measuring method and permitted values (limits) of the opacity of exhaust gases from diesel powered vehicles”. Since 1990, exhaust emission regulations required new gasoline-fueled cars to have three-way catalytic converters and to use unleaded gasoline. All automobiles require, among other measures, a periodical check at the already established Regional Vehicles’ Technical Inspection Centers (one in each Prefecture). Besides, Greece has already harmonized European Union (EU) directives concerning the upper permitted limits for CO2 and oxygen surplus
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emissions. In 34 Greek prefectures, including the prefecture of Attica, the exhaust emissions Inspection Card system has been established. Under this system, private use automobiles are obliged, once annually, to be checked and supplied with the appropriate card. Furthermore, mobile checking stations of the Ministry for the Environment and the Ministry of Transportation perform random emission checks on cars. The scientific community has undertaken studies on health effects resulting from air pollution and depletion of the ozone layer.
Energy Efficiency National Action Plan Measures for the Transport Sector: T1. Reformation of the system of means of public transportation T2. Infrastructure projects in transport T3. Development of urban mobility plans T4. Promotion of Economic, Ecologic and Safe Driving T5. Incentives for the replacement of old middle weight and heavy vehicles (over 3.5 tn and over 10 years old) T6. Incentives for the replacement of cars and promotion of energy efficient Vehicles (natural gas, biofuels, hybrid cars) T7. Ecologic Labeling -Energy Label on Passenger Cars T8. Mandatory quota with energy efficient vehicles in public services or organizations T9. Linking vehicle tax with energy efficiency and CO2 emissions
3.3.3.1 Network Planning The national network is largely integrated into the TEN-T as core and comprehensive axes and corridors, currently comprising: o 2.780 km of Railway Network, largely integrated into TEN-T. o Road network, including 1.500 km of new National Roads across the N-S & E-W axis. o Marine network comprising 16 international ports. o Aerial Network which includes 15 international and 25 domestic aviation airports. o 3 freight/logistics villages in operation: (Thriassion, Thessaloniki, Sindos)
The development strategy of the NSRF is formed in synergy with perennial national sectoral policies, including (in addition to the co-funded programs), interventions or purely national funding, as well as private sector contributions. Priorities identified here, are being developed through sectoral Operational Programmes (OPs). The main national thematic policies for transport are currently covered by programming documents: Transport Development Plan 2007-2013 and twenty-year plan (Minisrty of Transport)
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National Port Policy (Ministry of Mercantile Marine)
Accessibility OP 2007-2013
General Objective Nr.13 of the NSRF.
General Objective Nr.13 of the NSRF with the subject "Development and modernization of physical infrastructure and related services in the country’s transport system" is further specified in: Addressing discontinuities in the TEN-T Development of combined transport and enhancement of intermodality in the transport system Linking the regions of the country with the TEN-T Upgrading of infrastructure Promoting institutional and organizational interventions.
Addressing discontinuities in the TEN-T mainly focuses on the completion of the road and rail networks. Priority is given to the completion of the Trans European Road Network with special emphasis on the motorways network and major interconnections with the neighboring countries, as well as to the compoletion of the country’s main railway corridor (Patras-Athina-Thessaloniki / Promahonas). The development of combined transport and the enhancement of intermodal transport system focus on infrastructure interconnections with TEN-T.
Linking the country’s regions to the TEN-T focuses on connecting urban centers, production zones and major touristic destinations of the country with the TEN-T. Infrastructure upgrading is about the modernization of road and rail infrastructure, ports and airports, in order to improve the level of users’ services and safety. Promoting the institutional and organizational interventions focuses on the improvement of the efficiency and effectiveness in the production of projects and service.
General Objective 13 is consistent with the EU policy for transport, as the basic necessities of EU set out in the White Paper can be summarized in four policy components:
Liberalization of transport market Equilibration of growth between transport modes
Addressing congestion in road, urban and air transport. Addressing the environmental impacts of transport.
Attracting private capital/funding, in conjunction with the disposable national and Community resources, will be used for the deployment and operation of transport networks and services. In this context, concessions for transport infrastructure projects already implemented are integrated. For the road
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transport sector, the completion of major highways (Moreas, Maliakos-Kleidi, Western Greece Freeway, Ionian Highway) through concessions in the programming period 2007-2013 is envisaged.
Freight Transport & Logistics: There are a number of feasibility studies under elaboration for the implementation of freight villages in several locations around Greece, as regulated dy the Law. 3333/2005 Freight villages will mainly involve the construction of warehouse buildings for freight storage and distribution, buildings to house administration services and customs, as well as other secondary services such as fire station, first aid, eating facilities, banking and post, conference and meeting rooms. The main transport infrastructure would involve access to road and rail transport and an internal road network and parking facilities. Finally, they will be supplied with the appropriate electrical and mechanical equipment. According to Law 3333/2005, the “Freight Village Company S.A” will be established as a S.A. for every Freight Village/Logistic Centre and will be the legal entity that is in charge of carrying out the feasibility study, as well as the financing, construction and operation of the freight village. Both public and private parties/ companies are eligible to take part in the company. Therefore, there is the possibility that a single company, being the shareholder of the “Freight Village Company S.A” and possessing all the qualifications, permits and requirements by the Greek Law to construct buildings and public units, to carry out the construction. However, the operation of the freight Village/Logistic Centre remains at the responsibility of “Freight Village Company S.A”. The issue of obtaining access to the terminals is also envisaged by the Law 3333/2005. The access will be on a non-discriminatory basis (Article 10, Paragraph 2). Thus, any company aiming at setting up business within the freight village, will do so by concluding a contract with the “ Freight Village Company S.A” stating the terms of collaboration, as well as their abidance to the respective rules and regulations with regards to its operation. The same provisions will be applicable to any applicant. The Law stipulates the approval by the Ministry of bylaws for the operations conducted by “Freight Village Company S.A”.
According to Law 3333/2005 (Article 15, Paragraph 3) the amount of granted subsidy/ state aid is computed as a percentage of the approved budget of the investment for the project. The upper limit for state aid is to be in compliance with in the regional aid scheme approved by the European Commission (Article 15, Paragraph 3). This differentiates according to the regions in Greece. The current percentages, for which state aid is allowed, are presented in the following table. Freight villages fall under Category 4. It should also be mentioned that an extra 5% on the approved budget of the project could be granted given certain conditions (freight village in industrial area, hotel services, etc.) specified in the legislation. The eligible costs for the state aid are those envisaged by the law for the constitution, construction and operation of the freight village and include the following: Elaboration of feasibility studies and infrastructure design
Electrical and mechanical equipment IT equipment
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Building of infrastructure (internal road network, storm and wastewater collection sewer system, landscaping, etc.)
Construction/renovation of buildings to house the services provided Developing/ connecting with existing transport network infrastructure and intermodal terminal. Energy network The decision for the introduction of natural gas into the Greek energy system was taken in an effort to ensure the modernization and improvement of the energy balance, as well as the diversification of the country's energy sources. Greece is supplied with natural gas from Russia and Algeria (to a lesser extent in the case of the latter). The natural gas from Russia reaches Greece through a pipeline system, while that from Algeria is transported by special tankers in liquefied form. The construction of the required infrastructure (apart from the distribution networks) began in 1992 and is continuously improved. The basic infrastructure of the Greek system for the transportation, storage and distribution of natural gas includes:
the main pipeline with a length of 512 km, the natural Gas transmission branches, 689 km in length, extend from the main pipeline, aiming at supplying the regions of Eastern Macedonia and Thrace, Thessaloniki, Platy, Trikala, Volos, Inofyta, Antikyra and Attica with natural gas. With the completion of the Korinthos project by the autumn of 2007, the transmission branches will extend roughly to 700 km,
the terminal station of the liquefied natural gas, which includes two storage tanks with a total capacity of 130,000 m3. In July 2007, the revamping (expansion project) of the Liquefied Natural Gas (LNG) Terminal at Revythousa was completed, thus carrying out one of most significant investments in Greece’s energy infrastructure. With this revamping, the Terminal has the capacity to accept and handle triple the quantity of LNG than before and supply the National Transmission System with 5.2 -5.3 billion cubic meters annually,
the distribution networks (of medium and low pressure) of natural gas to cover the needs of the above mentioned regions. Recently, the National Natural Gas Transportation System has been extended from Komotini to the Greek-Turkish borders (Kipi site) and interconnected with the Turkish transmission system.
3.3.3.2 Intelligent transport systems To address the challenges encountered by the freight industry, innovative solutions are required. Intelligent transport systems in concordance with the indispensable realistic synergies (infrastructure, institutional measures), can yield tangible results for the sector. According to the new White Paper on Transport, adopted by the European Commission on 28 March 2011, the objectives proposed at several points coincide with the expected output of the applications of Intelligent Transport Systems. To this purpose, Directive 2010/40/EU was adopted by the European Parliament and the Council on the framework for the development of Intelligent Transport Systems in the field of road transport and the
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interfaces with other modes of transport. The overall objective of the Directive 2010/40/EU is to establish a concrete framework for concerted and coherent development and integration of ITS applications. The freight sector greatly benefits from the applications of intelligent systems that modernize business model, rendering them more competitive. ITS for Logistics applications systems facilitate procedures and control and make the operation of freight centers more efficient, thereby reducing delays, optimizing transport and better informing stakeholders on the status of shipments. The dynamic management of available fleet with the use of modern equipment and appropriate software, electronic shipping documents and cargo/vehicles electronic tags, safeguard and provide facilitate the operations of the industry and optimize cost, which equals to a direct benefit on the final prices of goods. At the same time, multiple ITS applications help save energy (fewer trips equal to reduced fuel consumption), reduce traffic congestion and protect the environment (less pollution). Within the context of Greece’s National ITS Action Plan, Strategically Necessary actions are proposed. More precisely, for the freight sector: Smart urban freight transport systems are proposed for the optimal operation of fleets in urban centers. Delivery space booking services, optimal routing, optimal scheduling technologies are included. National Management System for Multimodal Freight Transport with the: Creation of interface nodes for linking ports to the railway network Integrated freight Surveillance systems, with emphasis on perishable goods integrated system for the interconnection of the ports of Greece. Integrated transport management in transit centers (e.g. ports)
Strengthening and support of freight transport using: monitoring and fleet management systems (tracking, on- line management) optimal route planning system e-logistics & e-freight ITS systems for optimizing logistics and supply chain processes with respect to: (i) procedures at stations and hubs (e-logistics) and (ii) goods, standardization process & compliance procedures, uninterrupted flow of information between all involved stakeholders (i.e. with e-freight). ITS applications in Greece provide information and facilitation to the following; o traffic & travel time data o public information o smart bus-stops o accurate traffic data (National Center for Traffic Data Management) o automated ticketing systems 136 Mapping of current EU & SEE Regional policies
o spatial impacts monitoring (transport observatory) o fleet management o toll-way management o real-time traffic information o traffic surveillance o emergency response
3.3.3.3 Innovation On political level, the Greek government and the Parliament with its advisory body, the Permanent Committee for Technology Assessment, are the main actors in the development of the research and innovation policy. At the operational level, the explicit responsibility for research policy rests with the General Secretariat for Research and Technology - GSRT (Ministry for Education). The formal body for providing scientific advice to the government is the National Council for Research and Technology. The financing of transport research in Greece is provided through the general research funding framework and European and international funds. Public funding is allocated on a competitive basis by the OP ‘Competitiveness and Entrepreneurship’, while funding for research coming from the Regional OPs is in the responsibility of the Regional Councils. European funds for transport research are available through the Framework Programmes and Structural Funds. Organizations responsible for the institutional framework and funding are:
The Ministry of Education, Lifelong Learning and Religion
The National Council for Research and Technology
The Ministry for Development, Competitiveness, Infrastructure, Transport & Networks.
The Ministry of Environment, Energy and Climate Change Research and innovation policy in Greece is currently described through the Strategic Development Plan for Research, Technology and Innovation for 2007–2013 (NSRF-RTDI), as research and innovation objectives, priorities and strategy, in the context of the National Strategic Reference Framework. The Plan establishes a list of research priorities. Transport services and sustainable development make part of this list. In line with the provisions on implementation, General Secretariat for Research & Technology (GSRT) is the body responsible for policy formulation and implementation in these areas. CERTH/HIT (Hellenic Institute for Transport) and ICCS (Institute of Communication & Computer Systems) are major research bodies carrying out research and promoting innovation in Greece. They comprise several research units and laboratories with a remarkable activity in European co-funded research programmes in various research areas. Research and Innovation in Greece is primarily driven by universities, technological educational institutes, science parks, research centers and business innovation venues. These include:
The Centre for Research and Technology Hellas (CERTH) in Thessaloniki, The Institute of Communications and Computer Systems (ICCS) and its I-Sense Group
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Demokritos National Centre for Scientific Research,
The Science and Technology Park of Crete (STEP-C),
The Lavrion Technological and Cultural Park, The Patras Science Park,
The Centre for Research and Technology in Thessaly (CE.RE.TE.TH), The Industrial Systems Institute (ISI) in Patras,
The Computer Technology Institute & Press in Patras, The Epirus Science and Technology Park,
The Association of Information Technology Companies of Northern Greece (SEPVE), the Corallia Clusters Initiative,
The National and Kapodistrian University of Athens, the National Technical University of Athens, the Aristotle University of Thessaloniki, the Polytechnic School of the Aristotle University of Thessaloniki, the University of Macedonia, the University of Crete, the Technical University of Crete, the University of Patras, the University of Ioannina, etc. Greece’s performance in the area of RTDI is rather poor. According to the “European Innovation Scoreboard” (data for 2005), Greece was ranked 23rd among the EU-25 countries (ahead of Malta and Latvia only) and 15th among the EU-15 ones in terms of its innovation performance. The weakest points of our system refer to broadband penetration, lifelong learning, investments in research by enterprises, venture capital, exports of high-tech products, employment in medium- and high-tech manufacturing, production of new products and registration of patents. On the basis of the data available at the national and European level, it would seem that, in general, utilisation of Community funds does not involve a particularly high added value. This strategic plan (NSRF-RTDI) presents the strategy for the development of research, technology and innovation under the NSRF 2007-13, with the objective to restructure the Greek economy, gearing it towards high value added products and services and achieve the transition to the knowledge economy and society, with consideration to globalization and open innovation. The main objective of the development strategy is to promote innovation in all sectors as a key driver for restructuring the Greek economy and for the transition to the knowledge economy, which is a prerequisite for substantial improvement of competitiveness, development, employment and the welfare of citizens. Priority will be given to promoting innovative actions that contribute to the attainment of this objective and are environment-friendly (eco-innovation). The key principles that will govern all research, technology and innovation actions, in the planning as well as in the implementation phase, are the following:
Achievement of economies of scale and scope Promotion of integrated interventions focused on restructuring the Greek economy towards higher value-added and more environment-friendly sectors, products and services.
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Creation of poles / centers of excellence in high-tech, knowledge-intensive areas.
International cooperation with organisations from other countries will be eligible under all actions, while special-purpose actions will also be promoted. Synergies and complementarities with corresponding actions at the European level, especially with the 7th Framework Programme for RTD and Demonstration and EU’s new Competitiveness and Innovation Framework Programme.
Participation in joint RTD actions with other EU countries, in the framework of the coordination of national policies and the creation of the European Research and Innovation Area. Support to enterprises for addressing global competition and for exploiting the opportunities of globalisation and open innovation and increasing the exports of Greek “products” to the international markets. Contribution to the attainment of the targets of the revised Lisbon strategy and particularly of the National Reform Programme.
These actions will be applied mainly at the level of Regions and to actions that contribute to the increase of investments in research and technology by the private sector and to strengthening innovativeness and the introduction of new technologies and knowledge in enterprises. Transport, energy & the environment are among the priorities of the strategy, namely: - Interoperability of transportation and public transport systems. - Managing congestion in the urban and long-distance road network. - Optimal operation and maintenance of public transport infrastructures. - Development and exploitation of intelligent transport systems. - Strengthening the competitiveness of fixed-rail transport systems. - Integrated sea transport systems. - Development of best practices for road safety. - Support of integrated multimodal logistic chains. The goals of funding research in ICT are the following: To exploit the opportunities offered by ICT for improving the competitiveness of the Greek economy; to reduce the gap from other European countries in terms of ICT penetration; and, most importantly, to enhance the quality of life of citizens. Development sectors of major importance, such as health, education, public administration, transport, and tourism, will benefit directly from strengthening research in the field of ICT. Despite the relatively small number of researchers, the employment of scientific personnel in the Greek research institutions and especially in businesses, the rich scientific output, the strong performance record of Greek research efforts (in terms of publications per researcher), and the success of the Greek researchers in the European competitive programmes, render the country’s human resources a strong asset of the Greek innovation and research system.
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Weaknesses:
Very low investments by the private sector in R&D and innovation application. Among other reasons, this weakness is also due to the structure of the Greek economy (lack of large enterprises in innovation- producing, high-tech sectors). Business R&D expenditures are particularly low (16% of the EU average).
Extremely low performance record in: manufacturing (the lowest in the EU); employment in medium- tech and high-tech sectors; innovative manufacturing enterprises; new-to-market product sales, added value; high-tech industries.
Weak production base, consisting of small-sized enterprises in traditional sectors that are used to transferring mature technology from abroad rather than developing technology in-house or cooperating with research organisations.
Segmentation of public R&D efforts across many areas, organisations and groups whose size is below the critical mass required to bring results. Public research organisations are characterised by introversion and a limited capacity to respond to the needs of the economy and of society. Nevertheless, the public sector is the main driving force for innovation in Greece. Incompatibilities between employment supply and demand in research – technology – innovation. Although social demand for university-level education is high, new graduate scientists cannot be absorbed by the country’s productive fabric. Lack of specialised scientists and engineers in rapidly developing technological areas; inability of new doctoral graduates to secure employment in enterprises; low level of life-long learning and training activities; lack of suitably qualified trainers. Lack of entrepreneurship in the Greek research community, and domination of “risk avoidance” attitudes.
Low performance in the registration of patents in all categories. Low performance in broadband penetration.
Strengths:
High level of human resources. Rich scientific output, high mobility of Greek researchers (mainly in geographical terms). Strong Greek research community outside the Greek borders.
Good innovative performance in the services sector: sales of new-to-firm products (innovation) / sales of new-to-market products (technology transfer).
Cooperation in innovation between small and medium-sized enterprises.
In general, it may be argued that Greece performs better in disseminating rather than creating innovation, because of its improved performance in terms of indicators measuring the diffusion of innovation, such as: enterprise-financed University research and development (close to the EU average); percentage of SMEs participating in networks (69% of the EU average); tertiary education (94% of the EU average); and number
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of enterprises that have introduced non-technological innovation (89% of the EU average). Greece is also very close to the EU average in terms of the indicators measuring domestic demand for innovation, and it also performs better in sales of new-to-firm products than in sales of new-to-market ones – a fact suggesting that priority is given to the diffusion of innovation. According to the National Report on the specification of actions of the NSRF on RTDI issues (GSRD, 2009), the focus of research in the area of transport in the context of FP7 is the development of safer, more environmentally friendly and more intelligent European transport systems to the benefit of the citizens, with respect to the strengthening of competitiveness of the European industry in the global market. During the first 2 calls of the FP 7, Greece has received 3.75% of Community Funding in the sector of land transport and 2.25 % in Aeronautics. Pertaining the sector of land transport, strong operating teams mostly from academic institutions and research centers (CERTH-HIT, NTUA Department of Marine Science, Institution of Technologhical Research, University of Crete and University of Patras) exhibit permanent participation in competitive EU research projects. In parallel, there are large industrial units possessing research infrastructure, occasionally participating in European research projects, as well as SMEs operating European research projects (Non- destructive testing techniques, robotics, etc). In the field of aeronautics and aviation, there are active research groups, mainly from academic institutions (University of Patras and NTUA), as well as a permanent presence of the Hellenic Aviation Industry (HAI) and several SMEs, some of which also comprise a development base. HAI makes part of the international competition with its entry in the markets of MRO and electronics, while engaged in R&D of technologies applied in new generation aircrafts and avionics. HAI avails a certified design center and participates in consortia for the design of structural parts & systems new European aircrafts.
Accomplishments have been made in the field of technology and innovation. Some of the sectors are:
Energy Environment
Industry
Internet technologies E-commerce
Transportation (telematics, biofuels, Port Freight Management Systems, etc.) and other
3.3.3.4 Internalisation of external costs In general terms, externalities arise whenever the well-being of an individual is affected by the activities of others who ignore this "spillover" when taking their decisions. In transport, "external costs" accrue to others but the persons engaged in the transport activities as they impose Environmental, Spatial and Socio- Economic impacts (Air pollution, Energy Consumption, Climate Change, safety concerns, implications in Land use and accessibility, etc.). 141 Mapping of current EU & SEE Regional policies
Internalization of external costs of transport is a concept implying that commuters will bear the actual cost of transport to the environment and the society. It is hoped that, with the implementation of this philosophy, indirect users of private cars will be forced to turn to more environmentally friendly modes of transport, which will eventually be cheaper to them. In the city areas, this policy will be pursued through the introduction of road pricing, which would charge drivers of cars using congested urban corridors. The use of cutting edge technologies such as telematics, will soon make automated tolling technically feasible. The reduction and/or internalization of the environmental, spatial and social costs caused by the transport sector are policy objectives which have been commonly assumed over the last decades. Within a market approach and according to the “polluter pays” principle, internalization is a way toward a comprehensive payment actually born by the transport users. In the “classic” vision, this is obtained by means of some additional pricing (tolls, vignette, parking pricing, vehicle/fuel taxation) imposed to citizens/enterprises generating road traffic. However, incompleteness of the application of direct pricing and a missing or only partial link with modal policies, spatial planning and infrastructural decisions limit the internalization policies in terms of their ability to reach improvements of the sustainability of transport systems over the time. To foster the planning and investment approach to transport internalization (i.e. reallocation of public resources in the context of spatial planning, infrastructural decisions and modal policies) Regions and Cities require/will be provided with a knowledge base created from real experiences and a set of methodological and analytical tools to guide and support plans and policies. In Greece, SASTH (Public Transport Authority of Thessaloniki) participates in the ECOTALE project, which aims at integrating the traditional approach based on the “economic" internalization of external costs (i.e. pricing measures) with a wider internalization approach considering land use and environmental planning as well. ECOTALE promotes the exchange, sharing and transfer of policy experience, knowledge and good practices in the field of the internalization of external cost of transport, planning and investment decisions. Reduced congestion and air pollution, as well as improved road safety, can translate into economic savings equal to several percentage points of GDP. Since transport has such large and broad externalities, it makes the transport sector one of the most promising sectors in terms of its impact on the implementation of a green economy. Long‐term economic and social benefits, including improved health due to reduced pollution, can be achieved through investment in infrastructure and planning, while simultaneously creating valuable jobs. Rough estimates of the external costs of transport (expressed as percentages of GDP) Air pollution (A) 0.4 % Noise 0.2 % Accidents 1.5 % Congestion 2.0 %
(A) excluding global warming
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Source: Various studies and OECD (1994) Estimates suggest that over 90% of these costs are related to road transport. External costs of railways are estimated at only a fraction of the total, although there are complicated infrastructure cost recovery issues to be dealt with. To date, less information is available for maritime and air transport, where the required policies are also likely to differ from those in inland transport due to the highly intercontinental nature of trade in these services. These findings explain why, whilst fully recognizing that the principles developed in this paper should apply to all modes, it concentrates on road transport, without however, overlooking the other transport modes in relevant cases.
Table 12: Average external costs 2008 for EU-27 by country and transport mode (excluding congestion) According to OECD facts pertaining average external costs of transport for year 2008, Greece rates 51,5 €/1.000 tkm2 a for road freight and 13,4 €/1.000 tkm2 a for rail freight. As concerns the internalization of external costs in practice, it must be highlighted that, in feasibility studies and respective estimates, this parameter is not completely integrated. What has been done until recently was basing transport pricing on financial requirements. TRADITIONAL FISCAL INSTRUMENTS The traditional fiscal instruments that are implemented in Greece and are related to the transport sector can be divided into two main categories: The direct measures such as road tolls, the vehicle registration fees and the parking fees and the indirect measures such as the taxes on fuels. The two main ministries that are being involved in the policy of fiscal instruments are: • Ministry of Development, Competitiveness, Infrastructure, Transport and Networks • Ministry of Finance
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Road Tolls Road tolls are placed only along main highway corridors (such as Egnatia Odos and PatraEvzoni), as well as at specific structures (such as the Rio-Antirrion Bridge) and tunnel sections. The latest law that is related with the tolls in Greece is that of 82/10-4-2012. Almost all tolled roads are managed by private companies with the exception of PATHE and Egnatia Odos which are operated by Public sector authorities. All main highways are under the responsibility of the Ministry of Infrastructure, Transport and Networks or one of its descendant authorities. There are no cases in Greece where tolls are imposed by regional or local authorities. Toll level in the case of highways that are under concession is set according to the concession contract. What is usually set is the maximum charge; discounts or toll reductions are possible. However the toll type (fixed or variable) is usually fixed and cannot be altered. In the case of roads operated by public authorities, the toll level is set by the Ministry for Infrastructure and the Ministry of Finance. No variable tolls dependent on demand exist in Greece at the moment. Registration Fees The vehicle registration fee is a tax that is paid annually and is related to the horsepower and the engines’ volume. By 2011, the registration fees are also determined by the CO2 emissions of the vehicle (law 219/2.11.2009). The following table presents the correspondence between CO2 emissions per km and fee level in euros for private cars. CO2 Annual fees (Gr/Km) (€Xgr/km) 0 – 100 0 101 – 120 0.8 121 - 140 1 141 - 160 1.5 161 - 180 2 181 - 200 2.25 201 - 250 2.5 More than 251 3
Fees for professional vehicles (taxis, lorries, buses, etc.) follow separate rules. Parking fees Parking fees are set normally by municipal authorities at public parking lots belonging either to the local authorities or to other public bodies. However approval of the Ministry of Commerce services is required. In the case of private parking spaces the fee levels are approved by the Ministry of Commerce local services. Public Transport Authorities have no authority on the parking fee level and thus as a result many times low parking fees attract private cars creating competition to public transport. The park & ride concept is still not well developed in most Greek cities. It is developed in Athens in relation to the new metro lines opened since 2000, and it is planned in Thessaloniki along with the Metro system under construction. 144 Mapping of current EU & SEE Regional policies
Fuel Taxation Fuel taxes are set by the Ministry of Finance and comprise a high % of the final fuel price. The % of taxes to the final fuel price for year 2012 is approximately 56%, one of the highest within the European Union. The high tax rates on fuel are the result of both the European fuel tax policies and the recent financial crisis; regarding the latter, the Greek Government was forced to implement horizontal measures and tax increases, including VAT in order to increase the national revenues. Evaluation of the above mentioned fiscal instrument is made on a per case basis either by Ministry of Finance services, or by certain Research Institutions such as KEPE or IOBE, or by private consulting firms on behalf of the government authorities.
TRAFFIC NOISE POLICY The policy framework concerning traffic noise in Greece is set by the Ministerial Decision 13686/724/2006 for the definition of measures, conditions and methods for the assessment and management of environmental noise, developed by the Ministry of Finance, the Ministry of Environment, Energy and Climate Change, the Ministry of Transport and Communications (Ministry for Development, Competitiveness, Infrastructure, Transport and Networks. The Decision is in full compliance with the Directive 2002/49/EC (June 2002) of the European Parliament and of the European Council relating to the assessment and management of environmental noise. Thus, it comprises the introduction and definition of the term “environmental noise”. Furthermore, the Decision refers to (Voyiatzis, 2011): • Common EU methods of monitoring noise exposure (i.e indicators and noise maps) • Development and implementation of Action Plans deriving from the results and conclusions for monitoring. The Action Plans comprise integrated master plans with a five year time horizon with the objective to formulate the framework of necessary activities at the local level (Municipality/Town) for the effective management of environmental noise. • Management of public dissemination of information related to environmental noise.
PUBLIC TRANSPORT SUBSIDIES In Greece the responsibility for Public Transport Subsidies lies with the Ministry of Development, Infrastructure, Transport and Networks and the Ministry of Finance. Public transport subsidies are given to the PT operators in the area of Athens, and the area of Thessaloniki, i.e. in the two larger conurbations in Greece. In all other urban areas, public transport operations run on commercial basis by local co-operatives (under the name KTEL) which were turned into companies. KTEL do not receive any subsidies except when they serve remote areas. The aim of public transport subsidies granted to those operators is to maintain fares at a reasonably low level and reduce modal shift of private car use. In Athens OASA is the responsible Public Transport Authority under the Ministry of Development, Infrastructure, Transport and Networks. Transport services are implemented by two operators, STASY and OSY, which are subsidiaries of OASA. The first includes all fixed track systems, namely electric rail, metro and tram, and the second thermal and electric buses. Both operators enjoy direct service awards from OASA. So far there is no contract concerning the service 145 Mapping of current EU & SEE Regional policies
obligations of these operators. The state subsidy is decided every year jointly by the two co-responsible ministries. Given the fact that fare levels are set by the central government, OASA for many years was obliged to borrow money from banking institutions with state warranty to finance operations since revenues and subsidies were not enough to match operating expenses. During the last two years the government set a ceiling on PT subsidies in the Athens area which is 40% of total operating cost. In the greater area of Thessaloniki, THEPTA is the responsible PT authority for planning and supervising PT services. THEPTA is controlled by the Ministry of Development, Infrastructure, Transport and Networks. PT operations in Thessaloniki are offered exclusively by OASTH, a private entity, according to a public service contract with the Ministry of Development, Infrastructure, Transport and Networks, ratified by the Greek parliament. According to this contract and given the fact that the fare level is set by the Greek central government, OASTH receives every year an amount equal to the annual deficit as subsidy, provided that operating expenses and certain indicators remain within certain limits. However there is no explicit bonus- malus system in this contract, which was granted in 2008, 1 year before Regulation 1370/07 came into effect. Regarding long distance rail the owner of rail infrastructure is OSE. OSE has a contract with the Ministry of Development, Infrastructure, Transport and Networks and receives subsidy for maintaining the infrastructure since its revenues from the operating companies are not adequate to cover expenses. Rail operations are the responsibility of TRENOSE which is a state company. TRENOSE has a contract with the Ministry of Development, Infrastructure, Transport and Networks and receives subsidies from the central government to match its deficits. TRENOSE is charged by OSE for the use of the rail infrastructure. In Greece until now only the central government provides public transport subsidies. It is expected that in the near future regional authorities will be given the responsibility to provide subsidies to public transport operators functioning under their control. Evaluation of the above mentioned policies is made either by the services of the responsible Ministry or by third private consulting firms on behalf of the Ministry.
3.3.3.5 KPIs In Greece there are several Key Performance Indicators monitored regularly, pertaining Transport. Main databases with the competence to maintain the facts and indicators are:
1) Eurostat: http://epp.eurostat.ec.europa.eu/portal/page/portal/transport/data/database (a) per transport mode (road, rail, maritime, pipe, air), (b) per region (NUTS2, NUTS0), but also (c) indicators for transport volumes / modal split (freight και passenger). 2) ETIS-Plus Project: http://viewer.etisplus.net/ 3) Hellenic Statistics Authority, maintaining a database of:
Emissions: Based on facts provided by the Hellenic Statistical Authority on emissions (GHG, CO2, CO, CH4, PM, etc.), indicators can be constructed per transport mode category.
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Transport: Data on traffic volumes
Sustainability: In the context of expansion of the services provided, the Hellenic Statistical Authority are preparing -inter alia- indicators for Transport Sustainability, based on environmental monitoring. Additionally, in the frame of Eurostat facts, sustainable development and energy consumption are monitored for Greece as well.
4) Additional indicators are developed and monitored by the Ministry for Environment, Energy & Climate Change: - Total CO2 intensity of GDP, t/Mio Euro - Energy related CO2 intensity of GDP, t/Mio Euro - CO2 emissions from passenger cars, kt - Number of kilometers by passenger cars, Mkm - CO2 emissions from freight transport on road, kt - Freight transport on road, Mtkm - Specific diesel/petrol related CO2 emissions of passenger cars, g/100km - Specific CO2 emissions of passenger cars, t/pkm - Specific air-transport emissions, t/passenger - Carbon intensity of transport, t/TJ
5) The TEN-T Networks technical data base for monitoring of technical characteristics of constructed networks (km), etc.
6) General performance indicators, e.g.: Research, Technology & Development Indicators: RTD expenditure as a share of GDP (%)
Share of RTD expenditure funded by enterprises (%) Share of RTD expenditure funded by the public sector (%)
Share of RTD expenditure funded from abroad (%)
Innovative businesses as a share of total businesses (%) Sales of “new-to-market” and “new-to-business” products and services (%)
Patent applications submitted to the Greek Industrial Property Organisation, EPO, USPTO
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3.3.4 Transport - Promotion of rail, sea and inland waterway
3.3.4.1 Integration According to the priorities envisaged by national strategies, the need for a shift to greener transport modes is stressed. In accordance with the NSRF and the OP “Enhancement of Accessibility”, the development and modernization of physical infrastructure and related services with respect to the environment is a priority, promoting peripheral competitiveness and sustainable development respectively. Railways Of utmost importance, is the further restructuring of the rail sector through enhanced deregulation and liberalization. The current efficiency of the rail service is low and the existing railway network is heavily underused (even stronger for freight than for passengers). As from 2007, competition is allowed (this was required for freight as part of the 2nd Railway Package). The interconnection (to the ports) and modernization of the existing rail network is of high importance to improve the competitiveness of rail vis- à-vis road transport. The modernization of the rail network include the construction of double tracks, high(er) speed (less level crossings) and electrification, to ensure more load for less energy. In the implementation of projects the administrative capacity of the railways sector needs to be improved. The current institutional/management capacity is reported to be poor, which leads to a higher risk of failure within projects. As an eco-friendly means of transport, railway is responsible for less than 2% of total transport derived CO2 emissions in the EU, with the perspective of zero emissions, if energy supply emanates from RES. Due to the terrain morphology, railways in Greece suffer from certain limitations, which are also imposed by spatial, demographic and economic reasons and the country’s peripheral location. As a result, road, sea and air transport were disproportionally developed. Existing impediments to the deployment of all transport modes restricts the effectiveness in the fulfillment of needs stemming from other socio-economic activities. Nevertheless, Greece benefited the most with the completion of railway networks, mostly utilizing EU financial assistance. Although severe interventions are still to be completed, substantial progress has been achieved, e.g. reduced travel time recorded in the Athens-Thessaloniki section (from 6h15’ in 1994 to the pursued objective of 3h30’). Recent status was fixed in 2.554 km of railway network, comprising 522 km of double line of which 359 km with electrification, 79 km of single line with electrification and 699 km of meter-gauge line. Within the framework of the Operational and Funding Programmes, intermodal transfer has been enhanced, as in the case of Thriassion Freight Center and its link to the port of Pireaus (Ikonio). As foreseen in the “Report on Proposals toward National Development Strategies in the field of Railway Transport, 2014-2020”, after the completion of the main axes and the upgrading of the railway systems, the time- target of 3h30’ for the route Athens - Thessaloniki shall be attained. Additionally, the major developmental imperatives for the respective period comprise:
Completion of the core network axis with double, electrificated, high-speed line, equipped with signaling & telecommanding systems (ETCS1).
Integration of freight operation projects, including the connection with basic ports, airports and industrial areas. 148 Mapping of current EU & SEE Regional policies
The spatial impact of railway transport, given the low density of the network, mostly due to the morphology of the country, highlights the necessity for connections with major ports and airports, thus considerably extending the zone of influence and service provision, eschewing the need for extensive outspreads of the network. Particularly, the connection with the ports is expected to boost the freight outcome, further expanding its range. Another indicator which gives (indirect) information on the competitiveness of rail transport is the utilization of the railtrack. Low utilization rates signal an inefficient use of the available infrastructure. Greece ranks amongst the lowest utilization figures in Europe. For freight rail transport the country shows even the lowest figure. This clearly does indicate that the existing railway traffic does have a potential for growth once the competitiveness and attractiveness of rail (both technically and institutionally) is brought at a higher level. Rail transport, both for freight and passenger transport only plays a very modest role in Greece. Notwithstanding the poor attractiveness of the Greek rail system, rail transport in Greece increased in the last decade (although still at low absolute levels). Rail passenger traffic, expressed in passenger kilometers, increased mainly due to the introduction of the high quality intercity services. This phenomenon was particularly impressive during the period of 2000-2004, with an increase of 36% mainly as a result travel time reduction on Athens-Thessaloniki corridor. The transport demand reached 1,668 M passenger* Kilometers. Road networks: From an international perspective, Greece plays a key role in creating East-West connections between the EU and Asia. The situation in the Balkan and the economic development of Central and Eastern Europe directly influences transport demand and transport system requirements, which is expected to lead to an increased importance, especially of the road network. Focus of investment has been directed toward the completion of the backbone motorway network in Greece, with a focus on the construction of missing links and the construction of connections to neighboring countries (Balkans & Bulgaria). Greece clearly has discovered the possibility of PPPs in these projects, which are successful in motorway construction both in terms of quality of the projects and in leveraging additional sources of finance. Further road development should be directed at connecting regions to the trunk network through the secondary road network. This includes connecting centers of economic activity (ports, urban areas, railway nodes) to the Egnatia and PATHE motorways. The axes have to be developed into a real network. In the development of the network specific attention should be paid to the accessibility of large urban centers (Thessaloniki and Athens) and more peripheral regions. Improvement of the road network clearly contributes to road safety which is a point of attention in Greece. The Trans European Road network in Greece (Decision 1692/96/EC) consists of 4,333 km of road sections operating today in Motorway standards. Additional 2,956 km operate as single carriageway highways, out of which:
149 km are expected to be upgraded to motorway standards by public funding within the current programming period. 755 km are planned for upgrade to Motorway standards using PPP schemes. 149 Mapping of current EU & SEE Regional policies
The rest is set as high priority road network for upgrading seeking funding during the 4th Programming period 2007-2013. Furthermore, road links to crossing points along the northern boarding of Greece are planned for construction or upgrade, giving access from via Egnatia (East – West Motorway axis) to Pan European corridors VI and X. Approximately 5,000 km national and more than 29,000 km of provincial road network provide access to this Trans European network within Greece.
The main road axes are: o Egnatia motorway. Motorway (Via Egnatia) spanning Northern Greece from its western to its eastern border, starting from Igoumenitsa, and running to the village of Kipoi on the Turkish border. Its total length amounts to 670km. o The main North-South road axis of the country (P.A.TH.E.), which connects Patras, Athens, Thessaloniki and Evzoni at the borders with FYROM and belongs to the Trans - European Motorway system and runs along the north coast of Peloponnisos, and the east coast of the Greek mainland. In June 2003, 462 km were constructed or upgraded at motorway standards, while the total length of the axis upon its completion will sum up to 774 km. o The west road axis (Via Ionia) serving the west part of Greece from north to south (Ioannina – Antirio - Rio- Patras - Kalamata). o The remaining national road network, providing connection between the major axes and serving other areas as well. Out of this network the axes of Panagia - Trikala - Larissa / Lamia (planned for upgrade to form “Central Greece Motorway”), Lamia - Antirio and Lamia – Agrinio, assure trans regional connection between the east and the west parts of Greece, separated by Pindos mountain range. o The northern road axis of Crete, providing trans-regional transportation on the island connecting the four major towns Chania, Rethimno, Herakleio and Ag. Nikolaos (single carriageway highway standards).
Sea Freight Transport: Domestically, the island character of Greece favors the development of ports and airports, on the one hand to cater tourism development in the country and on the other hand to facilitate freight transport (especially through the ports). An adequate port system which is well connected to the inland transport system (rail and road) is essential in this respect. In this respect especially the key ports connecting Greece to the rest of Europe would deserve attention. Main focus would be to provide good hinterland connections and measures and activities which further improve the port efficiency and thus the competitiveness of the Greek ports. The recent process of corporatization and privatization of the main ports will also contribute to a further improvement of port efficiency in due term, especially when this is combined with more (international) competition within the ports (e.g. in terminal operation). Also in the port sector this could serve as a means to leverage additional sources of finance.
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On a global scale, freight shipping holds 80% of the total volume of world trade (land transport holds the rest 20%). The expected medium and long term evolution is rather optimistic: it is estimated that in 2050, in Europe, maritime transport will overcome road freight. In the field of freight distribution via intermodal transport (sea-rail-road) the simplification of procedures in the transport chain, the avoidance of delays at border crossings, the reduction of costs and the increase in safety, are of paramount importance. The deployment of Rail and Road networks in the Greek hinterland is critical to the implementation of Sea-Rail-Road combined transport. In this context, the port of Igoumenitsa emerges as a connection Gateway of the entire Europe with the Balkans, the Black Sea and the Middle East, through the development of multimodal transport, incorporating the railroad. Conditions for the development of other combined land-sea transport systems of international importance will be created, such as through the port of Thessaloniki in northern Greece (as marine service center for Bulgaria and Romania, FYROM and Serbia), the port of Volos (likelihood for sea link with the Middle East in the long term), the port of Patras (where with the adequate organization (sea transport of trains), rail transport will be able to substitute largely road, as for the connection of southern Greece and Europe). During the last decade, Piraeus’ port has consolidated its position as one of the main transit hubs in the Mediterranean (for transshipment), while activities in the port of Thessaloniki are rapidly growing, raising the perspectives for the port to emerge - together with the port of Alexandroupolis – as a transit hub of transnational importance, covering the needs of the northern neighboring countries. Moreover, "secondary" distribution activities are being developed through feeder vessels, while through the recently constructed direct connection of Thriassion freight village, with the port of Piraeus, a combined Sea-Rail transport system will operate for the first time in the country. Apart from internal flows or flows of transit flows, Greek ports can also serve cargo transshipments, by which containers and passenger cars are mainly handled. Piraeus for example, holds a favorable geographical position and has sufficient depth to accommodate large quantities of cargo (containers and passenger cars), which can then be divided into smaller quantities and transshipped to smaller vessels (feedership), for transfer to neighboring countries. Ports, as hubs of transport between land and sea, are required to play an important role in developing intermodal transport and logistics chains. Their enhancement is a rational choice for the development of TEN and their importance to the overall capacity of the system is being gradually recognized. In the context of the TEN-T, M-S together with Port Operators ensure that: a) ports are linked to rail lines & roads b) there is at least one freight terminal at each seaport, open without discrimination to all operators, where transparent charges apply. According to the Regulation on the Revision of Guidelines for TEN networks adopted by the European Parliament, the accession of Greek ports in the TEN is reflected as follows: “within the core network are integrated the following ports: Piraeus, Thessaloniki, Patras, Igoumenitsa, Heraklion”. As core sea network nodes for Greece, these ports are or should be connected to TEN Rail and Road infrastructure by no later than December 31, 2030, while in the comprehensive network 21 additional ports are integrated. Finally,
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the ports of Piraeus and Thessaloniki are integrated in Corridor 4 (Hamburg-Rostock-Burgas-Piraeus Thessaloniki Nicosia), connecting the periphery to the center of Europe. A Common European Maritime Space without barriers: Within the EU Action Plan on "Establishing a European Maritime Space without barriers" along with the adoption of the Regulation on the new Customs Code, seeking to simplify customs and bureaucratic procedures at ports and removing barriers of sea freight, which essentially impede the completion of the internal market, the following are recorded regarding ports: E-Maritime initiative The establishment of a European “electronic navigation” (e-Maritime) system is promoted, following the implementation of national “single window” systems to the benefit of maritime transport, maritime trade and EU logistics. Respective Directive should be adopted in 2013.
Deployment and implementation of ITS for freight and passenger traffic. Developments in e-maritime, e-freight and e-customs initiatives are being monitored for the interconnection of electronic systems of the competent national authorities (customs / e-Customs, port authorities / SafeSeaNet, etc.) and the creation of a of "Single Window” system, in order to integrate during the next phase the existing ports systems.. Intermodal logistics centers Connecting the different mode networks is essential to facilitate intermodal transport. Also the establishment of multimodal logistics centers a main transfer point is necessary in this respect. With the adoption of a new law on the establishment of freight centers in summer 2005 and important step has been taken in this respect. The next step will be the actual development of a network of these centers around economic areas, which are served by different modes and take care that these centers are connected to the networks. EU funding could be directed at facilitating the establishment of these centers for example through the construction of the connecting infrastructure. Urban Public transport Within the urban agglomerations which are faced with heavy congestion the development of public transport systems clearly offers room to alleviate transport problems. Whereas Athens has shown a beneficial development in this respect the city of Thessaloniki (the second urban conglomeration of Greece) would merit specific attention in this respect. Also projects involving modern IT based traffic management systems and passenger information systems (for urban transport) should be considered to alleviate urban congestion.
3.3.4.2 Incentives
3.3.5 Enhancement of competitiveness of the private sector Central objective of the OP Competitiveness and Entrepreneurship 2007-2013 is to improve the competitiveness and extroversion of businesses and production systems, with emphasis on innovativeness. Boosting innovation should be a basic horizontal axis for all interventions in all covered areas. Urgent factor is the incorporation (and growth) of innovation in the country’s productive sector, so as to promote the 152 Mapping of current EU & SEE Regional policies
knowledge society, the development and upgrading of human resources, the widest possible dissemination and exploitation of research and new technologies, the technological upgrading of enterprises. The development strategy of the program focuses on: shift of public support toward of higher value added interventions and sectors
enhancing the ability to integrate new technologies and adaptation of produced innovations to the Greek productive system improvement of the business environment
improve of the country’s openness, through linking with international integrated production systems and services, strengthening international cooperation agencies and enterprises and increasing exports of goods and services,
integration of the country’s energy system and to enhancement of Sustainability
3.3.6 Incentives for sparking growth and for moving into new technologies The low mobilisation of enterprises is one of the weakest points in the Greek innovation, research and technology system, and thus it requires further analysis. The low contribution of the business sector in research activities may be attributed to the overall structural weaknesses of the Greek productive base (many small enterprises; traditional activity sectors; very low potential in sectors generating technological innovation; “turnkey” transfer of off-the-shelf, mature technology, rather than development of in-house RTD activities in enterprises; personnel with low scientific qualifications; “risk avoidance” attitudes, etc.). The international experience shows that in order to be competitive in terms of its system for the production and exploitation of knowledge and the eventual transformation of that knowledge into economic and social prosperity, a region should satisfy a number of key parameters: . The existence of appropriate knowledge production and exploitation infrastructures, such as Universities and research and technological centres, together with intermediary mechanisms for the dissemination and uptake of research results and for supporting innovation, such as technology parks, incubators, liaison offices, etc.. . The parallel existence of effective networks promoting the increase of demand for new knowledge, i.e. promoting close synergies and cooperation with the productive fabric and with enterprises, either individually and/or in clusters.
Based on the new Investment Law N3908/11, the investment field in Greece is changing. The target is the promotion entrepreneurship and economic development in Greece. A new status for enhancing investment is thus formulated, while enhancing entrepreneurship, technological development, business competitiveness, with concomitant promotion of the green economy and the efficient operation of the available infrastructure. Among other, are also fostered: Research, development and technology.
Investment projects in the field of transport.
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Investment projects for entrepreneurship and other major investments. By introducing new approaches and through:
Financing, tax breaks and subsidies for the establishment, expansion and modernization of enterprises.
the implementation of a new, streamlined procedure for submission, evaluation and approval of investment projects
The Operational Programme "Improvement of Accessibility" will provide strong support to the Lisbon agenda for growth and employment, bridging the gap that distinguishes Greece from the most developed regions of Europe in the field of transport infrastructure. 86.58% of the investments available under the program are earmarked for Lisbon priorities. In addition to this, the program aims to attract private investments of the range of 1.8 billion euros through various motorway concession agreements, in order to complete the basic motorway network on the mainland by 2015. “FAST TRACK” With the new law "Acceleration and Transparency in the Implementation of Strategic Investments» (also known as “Fast Track”), the Greek Government provides the international and Greek investment community a stable and transparent investment framework of rules, procedures and administrative structures for the implementation of large public and private projects. The Act aims to develop investment projects that derive long-term positive results and a wide range of significant intensity in the National Economy. As a result, modern infrastructure, networks, and -finally- services will become available to the citizens, economy competitiveness will improve, new jobs will be created, environmentally friendly and socially responsible businesses will prevail. Incentives for RES and energy saving: Furthermore, a considerable funding tool for RES and energy saving investments is the so called Development Law 3299/2004, as in force today, following its amendment by virtue of article 37 of law 3522/2006. Specifically, the Greek territory is divided into three (3) zones where the capital grants are as high as 20, 30 and 40 percent respectively of the eligible investment cost, the connection cost to the grid being also included in the case of large scale enterprises. The grant is increased up to 10 percent for medium-scale enterprises and up to 20 percent for the small ones. In particular, for investments in power generation using solar and wind energy, the grant intensity along with the above markup amounts to 40 percent. Finally, as concerns the 4th period of Community Support Framework, the main axes of the strategy that describes its operational programmes are the sustainable development and the confrontation of climate change, focusing particularly in energy resources management and energy efficiency.
3.3.6.1 Institutional Enhanced accessibility of networks and services of general economic interest in the energy sector is a necessary tool for increasing the competitiveness of the Greek economy, as it creates favorable conditions for the development of businesses, in conditions of competition. Already developed actions have fundamentally altered the Greek landscape:
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a true internal energy market is created in order to increase competitiveness in the context of the Lisbon Strategy and ensure the provision of quality services at affordable prices, major infrastructure and high quality networks contribute substantially to the environment (as the country takes the necessary steps to implement the Kyoto Protocol), a social model that ensures high quality services is gradually developed.
Substantial initiatives were undertaken: the incremental reduction of corporate tax rates and simplification of the tax system, the law for Public-Private Partnerships, a new legal framework for licensing manufacturing, trade and services businesses, Chambers of Commerce Legislation to provide "one-stop shop services" for company establishment and licensing, the General Commercial Registry, the procedures for setting up the law for S.A.s and installing off-shore businesses, the reforming of the law on bankruptcy, the framework for the "European Company", the implementation of the National Spatial Plan and Plans for RES, Tourism & Industry, the establishment of entrepreneurship networks and the insertion of entrepreneurship courses in the universities and technical colleges, the Law for the operation of commercial establishments, the establishment of the National Council of Electronic Commerce, the revision of the Administration of State Procurement, the preparation of the National System for Electronic Public Procurement (E.S.I.D.P.), strengthening of the role of the Energy Regulatory Authority, the new Code for System Management and Electric Power Exchange, the legislative framework for faster liberalization of the natural gas market, the Draft Legislation for Electronic Communications, the Legal Act for the creation of freight villages, the acceleration of privatizations, etc.
One of the critical indicators for the competitiveness of the private sector is the high rate of establishment of SMEs in Greece. Worryingly, this entrepreneurship is largely based on “necessity” and that the high potential Indicators of Entrepreneurship and Corporate Entrepreneurship (reflecting the degree of innovativeness of enterprises) are low. Comparative analyses reveal that the country, while the first position on the entrepreneurial self-employment and seventh in terms of the open market capitalization of companies (entrance to the Stock Exchange Market), holds the last position in terms of borrowing venture capital, the 13th as for electronically provided public services to businesses (above the Netherlands and Luxembourg), the 3rd from the end on the total rate of corporate taxation (above Germany and Italy) and in total expenditure on R&D as % of GDP, and the last regarding percentage of turnover achieved through e-commerce. The integration and institutionalization of the National Spatial Planning, as well as of the associated Special Plans for tourism, renewable energy and manufacturing, is expected to prove instrumental in solving critical problems in locating the business activities and accelerating the implementation of specific investment categories.
In this framework, most of the programmes promoted aim at supporting enterprises in the implementation of RTD projects, as well as in the networking of research with production. In parallel, actions were also promoted aimed at strengthening (a) the S&T infrastructures of the public and the private sectors, (b) human resources, and (c) entrepreneurship. In the last years, formulation of this
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policy was carried with a view to contributing to the attainment of the Lisbon targets, particularly so of the increase of investments in knowledge and innovation.
One main distinction between Road Freight services provided in most EU countries and in Greece is the fact that these are based on the Principle of Legitimacy, which lays emphasis on the conditions ensuring competition, safety and minimization of the societal cost, instead of the Operating Principle which applies in Greece, (emphasis on the centralized control of capacity availability in conjunction to the evolution of transport volumes, under centralized pricing policy), due to be reversed after the liberalization of the service.
The augmented trucks/resident ratio is a characteristic attribute of small, fragmented markets. The integration of their services, enabled through new technologies and new legislative environment may prove beneficial.
3.3.6.2 Organisational Through the OP “competitiveness” the following measures are proposed:
support system for entrepreneurship, production of strategic information on market issues, and dissemination of innovation. In this context, existing structures will be used (i.e. the SMEs Observatory, Investors support centers, etc.).
Creation of financial engineering tools to facilitate access to finance for companies so as, amid adverse economic conditions, to ensure the smooth operation and enhancement of investment activities, including: o Holding Funds for companies (venture capital, security funds and loan funds) to finance through loan or secure the investments and business plans in favorable terms. o Shared risk products and micro funds (JEREMIE initiative), targeted to SMEs. o Credit Guarantee Fund of the European Investment Bank to improve access of SMEs in financing, strengthening entrepreneurship, investment, and development of SMEs businesses in the country. o Venture capital: “Innovation Fund-Investment in Innovative Businesses” to enhance innovative, dynamic, mainly high-tech companies. o Business Angels and Mentoring o Create venture capital (seed capital), with the aim of expansion of financial instruments in the implementation of national RTD policy. and: actions to facilitate SME access to services
extension of Medium Enterprises Bonding or SMEs networks in new products. The modernization of business infrastructure and supportive investment required for: o Business Plans for the expansion or creation of new "Business Parks"
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o relocation of businesses in OP o creation of specialized industrial, commercial and tourism infrastructure, with the possible involvement of public-private partnerships (PPPs). o Supply Chain Infrastructure o Quality Infrastructure Support o Support of incubators o Support Business Incubators (pre-incubation) o environmental improvement programs implementation in areas with high industrial density o Completion and upgrading of infrastructure for the development of the tourism sector
Projects for the development of marine tourism, sites to host commercial ports, etc. Actions to support modernize and upgrade enterprises: o Integrated Business Plans to support productive investments-building, harnessing the incentives of the Investment Law as applicable. o Collaborative Business Plans for strengthening business clusters and networking o Targeted business support for the restructuring of their organizational framework and the modernization of their operations so that they can cope with the problems initiated by the financial crisis more effectively, while creating the conditions for quality differentiation of their products and services and enhancing their presence in domestic and international market. o Attainment of business excellence and its linking it with the dissemination of good practices to young entrepreneurs.
Integrated Entrepreneurship Development Programmes related to: o establishment of new firms by groups with limited today entrepreneurship in areas affected by deindustrialization and unemployment. o strengthening entrepreneurship within special groups (e.g. Youth Entrepreneurship, Innovative Entrepreneurship)
Actions and Programmes are in place to promote innovation and the creation of highly knowledge- intensive enterprises. Examples of these actions are the following: Support of Research Units for the standardisation and commercial exploitation of research results and for the creation of new enterprises (spin-offs).
Development of S&T Parks and Business Incubators for knowledge-intensive enterprises, and development of research centres and public laboratories geared towards providing services to enterprises.
Promotion of the action for the creation of Regional Innovation Poles, with the aim of promoting an integrated innovation strategy at the regional level and at establishing development plans in priority areas for the regions with the participation of all stakeholders (Regional and National
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authorities, enterprises, associations businesses, consumers, etc..). This action also includes the creation of regional technological plans (technology platforms) equivalent to those of the EU, in order to determine the long-term research agenda for activity sectors of the regions which present comparative technological advantages.
Creation of the Innovation Zone in Thessaloniki.
Creation of a cluster in the microelectronics sector. This action is implemented as a pilot, and is expected to serve as the basis for the creation of clusters of enterprises across the country in high- tech activity sectors. The implementation of the above actions is expected to impact positively on the production of new, high value added products and to boost entrepreneurship. However, given that implementation of these actions was launched relatively recently, it is difficult to evaluate their performance at the present stage, as their effects will be manifested on the medium-to-long term. These actions, which will continue into the new Programming Period, will nevertheless be revised based on the experience gained through their initial implementation and the developments in international level and on best practices transfer.
Also, the Simplification of the start-up of new businesses: “Fast track” process for large investments is legislated and implemented.
The new portal www.StartupGreece.gov.gr, supported by the Ministry of Development, Competitiveness, Infrastructure, Transport & Networks, provides new entrepreneurs with useful tools and advise on business start-ups, funding, legislation, success stories, networking, etc.
The large number of SMEs in the internal market highlights the need for clustering and business networking, in order to tackle challenges and enhance competitiveness.
3.3.6.3 Financial State Aid To the implementation of actions, are taken into account: o The Guidelines on State Aid of regional character for 2007-2013 o The Investment Law as it applies o Approved investments under Law 3299/2004 o Regulation (EC) 1628/2006 of 24 October 2006 on the application Articles 87 and 88 of the Treaty on regional character state aid o Regulation (EC) 1998/2006 of 15 December 2006 on the application of Articles 87 and 88 of the EC Treaty on “de minimis” aid o Regulation (EC) No. 800/2008 of 6 August 2008 (General BER). Where state aid measures falling outside the scope Regulations (EC) 1998/2006 and (EC) No. 800/2008 of the Commission, the Directorate General for Competition of the Commission is notified.
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Alternative implementation mechanisms may apply: o The European investment Fund and general opportunities offered by the European Investment Bank and the new financial instrument JEREMIE (Joint European Resources for Micro to Medium Enterprises), offer additional features that are not yet fully exploited. o The new institutional framework for Public-Private Partnerships is at the early stages of implementation and is estimated that, despite individual reservations, it is already functioning positively towards attracting private funds into areas that traditionally covered their needs (mainly infrastructure) through the Public Investments Programme. o Model Innovative Development Plans (Global Grants) in line with the relevant call for proposals by the Ministry of Economy are potentially important means to implement innovative interventions, mainly of a spatial dimension and thematic focus in areas that can support the emergence of new forms of entrepreneurship.
Alternative legal forms for funding may be: o global grants through national or regional bodies o PPPs o special aid schemes of the Ministry for Development and the Ministry of Tourism o the Investment Law
More important in terms of commitments is the intervention by Code 09 'Other measures to promote research, innovation and entrepreneurship" in which is aggregated 26.03% of the total Community Funding commitments. Note that "Research and Technological Development (RTD), Innovation and Entrepreneurship" has pledged 64.29% of the total Community Assistance. In addition, RTD actions are also funded under the OP “Information Society” (OPIS), by which research and technology actions came under the axis “Development and Employment in the Digital Economy”, involving the creation, distribution and use of knowledge and information. The key actions concerned the creation and dissemination of content regarding research on ICT (e-learning, e-business, image, sound and language processing, new researchers in businesses, Grid applications, etc.) and the development of infrastructure such as the National Research and Technology Network (GRNET), the electronic infrastructure of the National Documentation Centre, etc.
PPP financing EIB has also supplied loans to the three most important PPP projects designated until date. These are: o Spata Airport, Athens, o The Rion-Antirion bridge, and o The Essi motorway (northern ring road Athens, connecting the city centre with the airport). These projects have set an example to an increasing use of PPP in recent road schemes.
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3.3.7 Infrastructure development through EU and national funding PPPs Community Strategic Guidelines The context for identifying strategic investment priorities is set by the Community Strategic guidelines. In accordance with the draft Council Regulation (article 23), the Council establishes Community Strategic Guidelines for cohesion policy to “give effect to the priorities of the Community with a view to promote balanced, harmonious and sustainable development”. These Strategic Guidelines form the basis for identifying investment priorities, which are then be elaborated in National Strategic Reference Frameworks at the Member State level, which are subsequently further detailed in Operational Programmes (OPs) for thematic areas. A Commission proposal on these Strategic Guidelines was published in July 2005. In parallel, Member States have already started preparations for their National Strategic Reference Frameworks and OPs. Additional factors influencing investment priorities As indicated the Strategic Guidelines form the context in which investment priorities for Community financing should be identified. In addition to these strategic guidelines a number of other factors shape the eventual establishment of transport investment priorities. These other factors include:
Cost-effectiveness of projects;
Availability of other sources of funding; Appropriateness of transport policy
Administrative capacity to adequately absorb and manage funds. The Community Strategic Guidelines distinguish the following guidelines for action:
Member States should give priority to the 30 projects of European interest, located in Member States and regions eligible under the Convergence objective14. Other TEN projects should be supported where this is a strong case in terms of their contribution to growth and competitiveness. Within this group of projects, cross-border links and those overseen by the specially designated European coordinators in the Member States merit special attention. Member States should make use of the coordinators as a means of shortening the time that elapses between designation of the planning of the network and the physical construction
Complementary investment in secondary connections will also be important in the context of an integrated regional transport and communications strategy covering urban and rural areas, in order to ensure that the regions benefit from the opportunities created by the major networks.
Support for rail infrastructure should seek to ensure greater access. Track fees should facilitate access for independent operators. They should also enhance the creation of an EU-wide interoperable network. Compliance and applications of the interoperability and the fitting of ERTMS on board and on track should be part of all projects financed.
Promoting environmentally sustainable transport networks. This includes public transport facilities (including park-and-ride infrastructures), mobility plans, ring roads, increasing safety at road
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junctions, soft traffic (cycle lanes, pedestrian tracks). It also includes actions providing for accessibility to common public transport services for certain target groups (the elderly, disabled persons) and providing distribution networks for alternative vehicle fuels. In order to guarantee the optimum efficiency of transport infrastructures for promoting regional development, attention should be paid to improving the connectivity of landlocked territories to the Trans-European network (TEN-T). In this respect, the development of secondary links, with a focus on intermodality and sustainable transport, should be promoted. In particular, harbours and airports should be connected to their hinterland.
More attention should be paid to developing the “motorways of the sea” and to short-sea shipping as a viable alternative to long-distance road and rail transport. In addition the Guidelines give specific instructions with respect to the territorial dimension of Cohesion policy in stressing that Member States should pay particular attention to prevent uneven regional development and improve territorial integration and cooperation between and within regions. There is no single policy concerning transport infrastructure investment in Greece. The Ministry of Development, Infrastructure, Transport and Networks is responsible for planning the major infrastructure investments in the country and at urban areas, either directly or through state authorities or companies controlled directly by the Minister. Smaller investments are planned by regional and local authorities, but at the end all plans must be approved by special authorities of the Ministry. There are authorities under the Ministry of Development, Infrastructure, Transport and Networks which implement transport infrastructure investments. More specifically: ATTIKO METRO SA is a state owned company responsible for the study and construction of metro and tram systems in the whole of Greece. However, new investments need to be approved by all involved authorities such as the authorities for the Master Plan of Athens and the respective for Thessaloniki which belong to the Ministry of Environment, Energy and Climate Change. EGNATIA ODOS SA is another state owned company responsible for the design, construction and operation of Egnatia Highway, a 670 km road crossing Northern Greece from west to east. All investments implemented by the above two companies were funded by EU and national funds following the public debt method. The Ministry until recently provided a general secretariat for Concession projects. Five major highways are under construction through concessions managed by that secretariat. However, this was merged with the general secretariat for public works. Most of the above major projects, including some older ones such as the Rion- Antirrion Bridge and the Athens International Airport were planned by the National Transport Plan 2020 formulated some 20 years ago. This plan forms the basis for major investments and is amended periodically. Infrastructure investments are evaluated by independent transport engineering consultants and by the special managing authorities, which are under different ministries. Evaluation follows the EU Cost Benefit Analysis Guidelines. In fact all projects are funded through the so called National Strategic Reference Framework.
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National Policy The main national policy instrument, regarding transport infrastructure, is the National Transport Model (NTM), which is the base for the development of the General Transport Master Plan (GTMP). These two policy instruments are the keystone for all planning actions at the transport infrastructure, such as the prioritization, the programming as well as the 1implementation of transport infrastructure projects. These projects can be funded by the National budget, by the International Funding Institutions (IFI) through Public Private Partnership –PPP or Private Finance Initiatives (PFI). The GTMP examines the priorities that has been set regarding the development of the Trans-European Network and the Priority Projects as well as supports the objectives of the Cohesion Fund and the European Regional Development Fund. The overall objective Nr.13 of the NSRF for «Development and Modernization of Physical Infrastructure and Related Services of the Country’s Transport System", is further specified: O to address inconsistencies in the trans-European transport networks O in the development of combined transport and the enhancement of intermodality O to link the country with the trans-European transport networks O in the upgrade and modernization of ports infrastructure O to promote institutional and organizational interventions related to ports development and operation.
Development interventions related to ports are implemented upon the programming period 2007-2013 through the Sectoral Operational Program “Enhancement of Accessibility”, which focuses on promoting the integration of the network of main ports and port infrastructure and interconnection with other TEN. Also, to the improvement of existing and creation of new port infrastructure in order to upgrade and modernize services and promote combined transport. The goal is to highlight the main ports as transit nodes, the construction of passenger stations and the improvement of ports organization and operation as needed for the upgrade and modernization of services, and the involvement of Greek ports in the development of Mediterranean sea motorways (Middle East-Balkans, Suez Canal-Black Sea, Middle East-Adriatic).
Priority Nr. 21 of the TEN-T Projects of European interest, "Motorways of the Sea", refers to the creation of modern port infrastructure and the design and introduction of new, high quality multi-modal logistic chains between states that rely on shipping. In two of the projects that make up Priority Project 21, funded from the TEN-T, Greek Port Organizations are involved: The project "Monitoring and Operation Services for the Motorways Of the Sea (MoS4MoS) "- (2010- EU-21102-S), on the design and development of standards set to improve operational coordination of traffic flows and facilitate cooperation among various government agencies and port operators (Piraeus Port Authority). The project will test the standards applied to door-to-door logistics chains in the Mediterranean region, in two different types of cargo: containers and Ro-Ro. The project "Motorways of the Sea Adriatic (ADRIAMOS)" - (2011-EU-21001-M) on strengthening sustainable and reliable maritime transport services as part of the supply chain, along the sea 162 Mapping of current EU & SEE Regional policies
transport corridor Adriatic-Ionian Sea, between the harbor Venice and the ports of the Ionian Sea / West Greece (Igoumenitsa and Patras) which consequently helps to reduce the economic, social and environmental costs associated with port activities and supply chains, involving the Port Authority of Igoumenitsa. The project will fund projects and studies for infrastructure and facilities to support the transport of trucks, trailers and cars, by RoRo and Ro-Pax ships, between the North Adriatic and the ports of Igoumenitsa and Patras, enhancing the shift from road to sea transport. Proposals will be developed to improve the current situation by use information and communication technologies (ICT), which may be standards that could be extensively applied.
Complementary to Priority Project 21, which is directly related to interventions in ports, there are two more priority projects: • Priority Project 7 "motorway axis Igoumenitsa / Patras-Athens-Sofia-Budapest" for the development of the West-East motorway from the Greek port of Igoumenitsa to Kipi (border with Turkey) and Priority Project 22 "Railway axis Athens-Sofia-Budapest-Vienna-Prague-Dresden", which will connect the ports of Piraeus, Thessaloniki and Constanta with the entire Europe.
The methodology proposed by the new National Ports Strategy for the identification and prioritization of ports and their specific needs in order to complete the infrastructure is based on a multi-criteria analysis: 1. Port integrated into the Trans-European Transport Network 2. Port serving intermodal transport (combined transport) as a node of road or rail network or adjacent international airport 3. Port integrated in Motorways of the Sea 4. Port that serves the national cohesion with emphasis on Accessibility Improvement of the insular country 5. Port with maturity of Studies and Projects Licensing 6. Port for which project completion (due to integration in previous financial periods) 7. Port for which security upgrade is necessary, by implementing the ISPS Code, 65/2005/EU & 65/2010/EU Directive 8. Port for which it is necessary to implement international regulations for the Protection of the Environment. As a result of the multi-criteria analysis, particularly regarding ports of International interest (Athens and Thessaloniki ports were not included as they are traded in the stock market), the most highly prioritized ports are: Volos, Igoumenmitsa, Alexandroupolis, Heraklion, Lavrion, and other. Transport investments in Greece in the past years have been focused on road construction. Additionally, the new airport in Athens and the Athens metro were largely funded. Investment in rail transport has been relatively modest, mostly financed from EU support, especially in the second programming period.
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3.3.7.1 Financial instruments for development State Aid issues In the context of implementation of EU co-financed projects, the relevant departments of the Ministry for Development, Competitiveness, Infrastructure, Transport and Networks, in cooperation with the competent Special Management Agencies and the implementing Authorities (Beneficiaries) shall ensure compliance of infrastructure projects with state aid rules (exploring compatibility, notification to DG COMP where required, etc.) to ensure uninterrupted and without delays projects implementation. Moreover, the Greek authorities in close cooperation with the competent services European Commission examine existing systems management / concession of ports, airports and roads in order to ensure: (a) full compatibility with EU rules governing the management ports plus (b) the promotion of fair competition by preventing unfair advantages that could raise issues of state aid. Partnership Agreement 2014-2020 In the planning and configuration of the of the country development for the period 2014 - 2020 and more specifically in the first Encyclical on the Special Agency for Strategy, Planning and Evaluation of Development Programmes of the Ministry of Development, Competitiveness, Infrastructure, Transport & Networks, reference is made to key thematic Goals for the next programming period and their co-financed component: "Corporate Partnership Agreement" (CPA). The financial instruments under the CPA include the ERDF, the Cohesion Fund and other Funds. Identifying the thematic objectives and key priorities is based on a series of texts on development and financial goals for the near future. These texts are the strategy "Europe 2020" (E2020), the National Reform Programme, the Common Strategic Framework and Memoranda of Economic Policy. One of the thematic objectives included in the E2020 is the promotion of sustainable transport and removing bottlenecks on major networks infrastructure. More specifically, an investment priority for the Structural Funds is to promote sustainable transport and removing barriers to basic infrastructure networks (key network infrastructures) through: a) The support of a multimodal Single European Transport Area by investing in Trans-European Transport Network (TEN-T) b) Strengthening regional mobility by connecting secondary and tertiary nodes to TEN-T infrastructure. c) The development of environmentally friendly and low carbon transport systems (rail, river and sea transport). For the programming period 2014-2020, the CPA remains the main source of financing infrastructure and systems of the 25 ports of the central and extensive network of TEN (mainly through funds and the Cohesion Fund, ERDF). For ports outside TEN, the main financial tool remains the ERDF. In this case, especially for island regions of the country, particular importance is the impending agreement on all cohesion funds allocated to Greece under the Multiannual Financial Framework 2014-2020. Finally, the ERDF supports cross-border sharing of facilities and infrastructures in various investment priorities, in the context of transnational cooperation and promote development implementation strategies and macro strategies basins.
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"Connecting Europe” / Connecting Europe Facility (CEF) Regarding the next period, to June 29, 2011, the Commission adopted a proposal for the next multiannual financial framework for 2014-2020: "A Budget for Europe-2020". With this document, the Commission decided to propose the creation of a new integrated instrument for investing in transport, energy and telecommunications: Facilitation "Connecting Europe» / Connecting Europe Facility (CEF). The objectives of the Regulations are: • The development of smart, sustainable and fully interconnected transport, energy and digital communications. • Promoting investment in key infrastructure with high added value, which can promote the competitiveness of Europe. • Finally, these investments are also crucial for the EU to achieve its objectives set in the strategy "Europe 2020" and to the "2020-20" in the areas of energy and climate policy.
For the transport sector particularly, the objectives are: • Eliminating bottlenecks and creating connections that will be evaluated by the number of new and improved cross-border connections and improve transport in their respective paths • Ensuring sustainable and efficient transport term, measured by the length of conventional rail and high speed rail network in the EU. Optimization of transport connections and enhancement of intermodal transport services are monitored by the number of ports and airports connected to the railway network. In order to ensure that the necessary priority infrastructure is to be implemented, the Commission proposes to allocate 21.7 billion for transport, both in: (a) continuing the financing of the Cohesion, Fund towards Member States with a per capita GDP of less than 90% of the average EU-27 for investment in trans-European transport networks and the environment and (b) part of available funds from the Cohesion Fund (10 billion euros) to be used for financing projects of core transport network by eligible for the Cohesion Fund Member States, based on the "Connecting Europe" Facilitation. More specifically, transport co-financing rates for studies will amount to 50% of total eligible costs, while for construction projects pertaining transport links between ports and the mainland, as well as ports development and intermodal systems, the rate is no more than 20% of eligible costs. Finally, with respect to traffic monitoring systems and related support activities related to "MoS" funding rates will also attain 20% of total eligible costs.
Public-Private Partnerships (PPPs) Obviously, within the constraints of fiscal policy, it is necessary to assist the private sector in co-operation and development projects all through the country. Apart from the programs promoted by the twelve
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TAIPED Limited Companies and selected projects, major boost for the participation of private enterprising in the country can occur with other tools, such as Public-Private Partnerships (PPPs) Large scale activities can, under certain conditions, be covered under PPP shapes which, will not only ensure the adequacy of resources for investment in infrastructure and superstructures, but they can also derive benefits for the projects, due to their experience, so as to produce efficient facilities, thus promoting competitiveness in the international freight and passenger market. JESSICA JESSICA initiative (Joint European Support for Sustainable Investment in urban areas) being developed by the European Commission and the European Investment Bank (EIB), in collaboration with the Development Bank of the Council of Europe (CEB) gives Member States the right to use part of the grant funding received from the EU through the Structural Funds, to invest in the form of grant funding in projects that are part of an integrated plan for the promotion of sustainable development. These investments may take the form of equity, loans and / or guarantees. JESSICA is a means of exploiting existing grants from the Structural Funds to support urban development plans and urban transport infrastructure projects, provided that they are placed in "integrated and sustainable urban development plans." The main benefits of using JESSICA are associated with the recycling of resources since, under conditions, all rebates and revenues generated by an investment may be reinvested by the Member States, attracting the participation of the private sector not only in correlation to additional investment, but also additional knowledge for the implementation and management of the projects. Finally, the experience of the banking and private sectors can be exploited boosting investment market in urban areas and complementing other initiatives or existing funding sources. However, for the participation of the private sector, rules on State Aid will still apply.
3.3.7.2 Non-financial instruments for development •The New Investment Law 3908/2011 provides incentives, giving priority to investments on:
(a) innovative products and services,
(b) high-tech products and services;
(c) creation of applied industrial research laboratories;
(d) development of technological and industrial plans; and
(e) software development.
By establishing the self-certification of potential investors, by removing unnecessary barriers and disincentives for large investments, by strengthening the role of the Interministerial Committee for Strategic Investments and facilitating investors of third States for their stay in our country and the issuing of visas to those who invest in real estate, attempts are being made to attract investors’ interest in Greece. In accordance with the provisions of the draft law "Configuring Amicable Development Environment for Strategic and Private Investments”: 166 Mapping of current EU & SEE Regional policies
General Secretariat for Strategic and Private Investments is established, concentrating all competences relating to strategies and private investments for the production, implementation and coordination of a single investment/development policy, the simplification of licensing procedures and speeding-up beneficial investments for the country. The very limited to date interest, with respect to the investment strategy, has identified the need to modernize the institutional framework for licensing and creating one-stop shops for licensing and coordinating the overall Strategic Investments, as an incentive to attract such investments in the country, a service that belongs to the narrow public sector, the relevant constitutional mandate and legitimacy to carry out the respective administrative procedures.
RTD (Research, Technology & Development) actions under the OPs were aimed primarily at strengthening the competitiveness of the Greek economy towards its convergence with the economies of the other European countries. To achieve this objective, support of NSRF-RTDI programmes is targeted mainly at enterprises and associations of enterprises and knowledge-producing organizations. Examples of the actions in this category are the following: o RTD consortia in national priority areas. o Programmes to stimulate research and the transfer and dissemination of technology in enterprises, as well as International Scientific and Technological Cooperation programmes. o Awareness-raising actions targeted at the general public in connection with new technologies, S&T policy support and S&T information management. o Actions to enhance scientific and technological potential, including incentives to industry for recruiting researchers, employment and attraction to Greece of researchers from abroad.
By participating in European and International Organizations (UNECE, BSEC, OECD), the configuration of bilateral and multilateral agreements, the participation to the TEN-T networks, the position of the country in the international market is promoted and empowered, to the benefit of development.
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3.4 Hungary
3.4.1 Transport – General Hungary is a landlocked country in the Carpathian Basin of Central Europe, with an area of 93 030 sq km (35 919 sq mi), extending 268 km (167 mi) N – S and 528 km (328 mi) E – W. It is bounded on the North by Slovakia, on the North-East by the Ukraine, on the East by Romania, on the South by Serbia and Montenegro and Croatia, on the South-West by Slovenia, and on the West by Austria, with a total boundary length of 2 171 km (1 349 mi). Hungary's capital city, Budapest, is located in the north central part of the country.
Four vital European transport corridors pass through Hungary, providing unparalleled access to all parts of Europe. . Corridor IV runs from the Austrian and Slovakian border to Budapest and the Romanian border . Corridor V, utilising the M7 and M3 motorways, runs south-west to north-east, through Venice, Trieste, Ljubljana, Budapest, Zahony, Uzhgorod and Lviv and, merging with Corridor III, further to Kiev and Moscow also offering access to China; o Corridor V/B runs from Rijeka via Zagreb to Budapest; o Corridor V/C runs from Ploce via Osijek and Sarajevo to Budapest. . Corridor VII is the Danube corridor . Corridor X branch B connects Budapest to the Yugoslav border Figure 14: Pan-European corridors and their segments in Hungary
Source: MÁV Tervezőintézet Kft., EU Transport and Energy Directorate
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3.4.1.1 Overview of freight transport sector The competitiveness of the Hungarian economy is primarily based on the unique combination of different transport modes within the existing transport system, in order to exploit the exceptional geographical potentials of the country. Freight transport, as one of the most successful sector in Hungary, accounts for appr. 6% of the Gross Domestic Product (ERTRAC roadmap). Simply put, freight transport amounted to 131,6 % (tonne-km / GDP) relative to GDP in 2010, compared to the base year of 2000 that exceeds most MS’ performance. The modal split of the freight transport also represented 19,6% of the freight transport performance in 2010. Modal split share of freight transport reflects the relative importance of road freight transport in total inland transport. In 2011, 169 242 tonnes of goods were handled in Hungary, that equals to 12 848 million tonne-kilometers in total. Ratio of the overall freight transport performance per transport modes shows that road freight transport is the most preferred transport mode with a contribution of 149 892 tonnes, followed by rail freight by 10 703 tonnes, inland waterways by 37 tonnes and pipelines by 8 610 tonnes. Table 13: Freight transport in Hungary
out of which out of which total volume of goods tonne-km, Year transported rail road IWW pipeline million rail road IWW pipeline (thousand tonne)
2001 207 043 50 117 129 935 2 903 24 064 26 241 7 731 12 500 1 055 4 904 2002 293 845 50 370 217 099 3 006 23 360 30 959 7 752 17 143 1 120 4 912 2003 291 227 50 612 214 390 2 105 24 107 32 614 8 109 18 199 1 117 5 149 2004 297 581 51 726 213 339 7 356 25 142 36 716 8 749 20 598 1 904 5 410 2005 314 032 50 850 228 935 8 413 25 818 41 993 9 090 25 138 2 110 5 591 2006 338 642 54 705 250 801 7 327 25 793 48 426 10 167 30 495 1 913 5 779 2007 331 518 53 983 243 299 8 410 25 809 53 912 10 137 35 804 2 212 5 723 2008 343 954 51 542 258 380 8 829 25 189 53 522 9 874 35 743 2 250 5 637 2009 303 079 42 277 229 809 7 744 23 232 50 154 7 673 35 373 1 831 5 262 2010 280 020 45 794 199 848 9 951 24 410 50 565 8 809 33 721 2 393 5 623 2011 268 501 47 424 182 840 7 175 31 050 51 091 9 118 34 528 1 840 5 581 Based on data collection of the Hungarian Central Statistical Office, the performance of the rail sector in Hungary was ended up to 46,9 million tons of goods and around 9 million tkm. Both figures have been increased by 2,3% compared to 2010. However, the inland rail freight is 10,7 million tons and 1,2 million tkm, that show a slight drop by 6,1% and 13,3%. Modal-split of rail in tons is increased to 17,8% from the figure of 2010, which was 16,4%. In tkm, the share is 17,7% compared to 17,4% in the previous year. Road freight transport: In 2010, the volume of the Hungarian freight transport relative to GDP amounted to 131,6 % compared to the EU-27 average of 98,6 % measured as a ratio between tonne kilometers and GDP indexed on 2000. Approximately 75% of all goods were transported on road [EUROSTAT, (2012)].Road freight transport by type of cargo in the same year showed a more diverse picture. Palletised goods amounted to 18 513 million tonne / kms, followed by solid bulk goods with the amount of 7 505 million tonne / kms, liquid bulk goods with the cotribution of 1 609 million tonne / kms, large freight containers with 386 million tonne / kms, other freight containers with 489 million tonne / kms, pre-slung goods with 1965 million tonne / kms and mobile, self-propelled goods with 628 million tonne / kms and other mobile units with 220 million tonne / kms. Other cargo not specified properly represented 2 300 million tonne / kms. Road freight transport by types of operations including national, international, cross-trade and cabotage freight, amounted to 33 721 million tkms in 2010. National road freight transport amountedf to
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11 329 million tonne/kms that equals to an 5,9% decrease compared to the last year. International road freight transport, 13 786 million tonne/kms that is a 3% drop in comparison with 2009. In term of cross- trade, Hungary’s total road freight in 2010 was 8 186 million tkms while the amount of cabotage road freight transport reached 420 million tkms that equals to a 47,7% increase compared to last year. In total, Hungary’s share in international freight transport equals to 3,9% of total EU-27 international transport per tonne/kms. By group of goods, Hungary’s share in road freight transport shows a diverse picture, in which products of agriculture, hunting and forestry, fish and other fishing products was 1 206 579 thousand tonnes, which equals to 179 516 million tkms. Change between 2009 and 2010 shows a 2,7% growth. Rail freight transport: Rail freight transport accounted for 19,6 % relative to GDP in 2010 compared to the EU-27 average of 17%. Freight transport volume relative to GDP was 5,3% of GDP in 2010, which underrepresents the EU-27 average of 6,5%. In 2009 hauled vehicles movements measured in million tkms amounted to 21.
Year 2007 2008 2009 2010 2011
hauled vehicles 21.4 71 21 N/A N/A movements
Source: EUROSTAT Hauled vehicle-kilometers, by type of hauled vehicle amounted to 1601 millions of tonnes kms in 2009, 1714 tonnes kms in 2008 and 5229 millions of tonnes kms in 2007, the last available year in the database. Between 2008 and 2009, results indicate a decrease of 113 millions of tonnes kms, that is a 6,59% drop. Similarly, comparing data from 2007 to 2009 the drop is 60%. Goods transported, by type of transport measured in 1 000 t, million tkm shows 27 796 thousand tonnes in 2011. In 2010 the goods transported represented 24 628 thousand tonnes, a drop of 11,3%. Hungarian volume of transported goods, however, is one of the most decisive in Europe. The number of self-propelled vessels, of dumb and pushed vessels by load capacity, show continuous descrese between 2002 and 2010, representing a drop of 63% in total. Regarding dangerous goods, in 2011 only 2 thousand tonnes were carried, while in 2010 the amount was 5 thousand tonnes. In 2009 this amount reached 41 thousand tonnes.
Year 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Dangerous goos (thousand N/A N/A N/A N/A 7 10 12 26 40 41 5 2 tonnes)
Source: EUROSTAT IWW: According to EUROSTAT, the amount of transported goods amounts to 1855 tonnes in 2011, that shows a 1066 tonnes drop compared to last year in line with NST classification.
Year 2007 2008 2009 2010 2011
Volume (tonnes) 2388 1887 2720 2920 1855
Source: EUROSTAT Air transport: Freight loaded and unloaded at airports in Hungary was 48 thousand tonnes of freight carried on aircraft flying to and from Hungary in 2009, out of which 16 thousand were carried by Hungarian airlines and the remaining 32 thousand tonnes by non-Hungarian airlines. In 2011, main freight volume has 170 Mapping of current EU & SEE Regional policies
been transported between the Budapest Airport and Hong Kong (3614 tonnes), Leipzig (3280 tonnes) and Liege (1130 tonnes). Data show that the main significant growth in terms of tonnes carried can be observed in the case of Luxembourg representing a 27,5% increase compared to 2010.
3.4.1.2 Key strategic policies for freight transport a) Hungarian Transport Policy (2003-2015) The Hungarian Transport Policy is completely in line with the European Union’s new transport policy, issued in 2001. Practically, in Hungary, transport services and the state of the infrastructure often diverge from the European norm, but the nature of the challenge is similar, especially in the long term. This situation both enables and forces Hungary to adapt to the EU’s transport policy. Hungarian transport policy has identified the need of creating a transport system that is economically efficient, modern, safe, and friendly to the environment. The policy is made up of 5 priorities, essentially the same as those of the transport policy adopted in 1996, namely to: . improve the quality of life, preserve health, reduce regional differences, . increase transport safety, and protect the natural and man-made environment, . promote successful integration within the European Union, . improve and broaden relations with neighbouring countries, . assist regional development and enable efficient operation and maintenance through regulated competition. The policy has been developed by the Ministry of Economy and Transport in 2004 and was approved by the Parliament. As a cornerstone of the transport policy, the transport goals set by the National Development Plan (NTF) prepared grounds for the conditions for receiving support under the Cohesion Fund Master Strategy and the Structural Funds. As part of the NFT, projects running under the Environmental and Infrastructure Operative Program (KIOP) and the Regional Operative Program (ROP) between 2004 and 2006 had supplemented investments supported by the Cohesion Fund. b) New Hungary Development Plan 2007 (ÚMFT) - National Strategic Reference Framework of Hungary 2007–2013 (Transport Operational Program 2007-13, KözOP) The Transport Priority Axis of the New Hungary Development Plan is in accordance with the resolution of the Parliament 19/2004 (III. 26.) and the Hungarian transport strategy 2003-2015, as well as the relevant European strategies. The comprehensive objective of transport development is to improve accessibility with a view to increasing competitiveness and strengthening social and territorial cohesion. Proper accessibility and the adequate intermodal connections attract operating capital, influence the selection of business sites, bring supply and sales markets closer, increase the room for workforce mobility and enable the generation of additional income through servicing the international transport of goods. The following interventions serve transport development. The improvement of the international accessibility of Hungary include: . extension of the expressway network on TEN routes, modernisation of main railways; improvement of infrastructure of river transport; . Improvement of regional accessibility, the elements of which include; 171 Mapping of current EU & SEE Regional policies
o Development of road networks, improved loading capacity of main roads; o Establishment of regional transport associations; o A better integration of the country into the European economic circulation and the more efficient utilisation of the potentials of emerging markets through the development of the transport infrastructure: . Improving the accessibility of regions (both internally and between the various regions) in order to strengthen social and territorial cohesion; . Improving the intermodality of transport in order to improve the competitiveness of businesses and the alternative accessibility of regions . The environmentally sound development of public transport c) Integrated Transport Development Strategy (EKFS) The National Integrated Transport Strategy has at the moment no documentation or accepted detailed timetable. The future team for the development of the plan is the same group that has just finished a sub- sector strategy for the motorways and main road network of Hungary. d) Széll Kálmán Plan (2011-2014) Széll Kálmán Plan has been developed by the Ministry for National Economy in 2011 with the overaching objective to support overall structure reform of Hungary, including the public transport system. The new funding system will be worked out, which can secure the high-quality and the efficient operation of the transport companies in the long term by the optimal utilization of budgetary resources. e) Unified Transport Development Strategy, UTDS (2007-2020) The Hungarian Authorities elaborated and the government approved, at its meeting of 3rd September 2008, the functional and subsectoral strategies, which are necessary for the further project selection, project design and project implementation. The UTDS shall contain the freight transport (within this, are the logistics) strategy, passenger transport strategy and infrastructure development strategy. The horizontal strategic objectives appear within all of the three strategic fields. Hungarian Transport Policy – HTP 19/2004(III.26) OGY – (2003-2015) and, the Unified Transport Development Strategy – UTDS (2007-2020) are the main key documents of the Hungarian Transport policy. The latter focuses on:
ensuring the share of environmentally friendly factors above the EU-27 average in the task sharing of transport of goods;
enhancing profitability of environmentally-friendly transport modes and improve their infrastructure maintenance capacity;
increasing the share of combined transport of goods;
increasing the efficiency of intermodal logistic service centers.
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The UTDS elaborated in 2007, specified a more efficient cooperation of sub-sectors and a uniform set of objectives of services. Priority objectives regarding freight transport can be divided into freight transport priorities and transport infrastructure development priorities: Freight transport priorities include: . Ensuring the share of environmentally friendly factors above the EU-27 average in the task sharing of transport of goods; . Profitability of environmentally friendly transport modes, improvement of their infrastructure maintenance capacity; . Increasing the share of combined transport of goods; . Increasing the efficiency of intermodal logistic service centers.
Development of transport infrastructure cover: . Elaboration of a main network structure, improving economic competitiveness; . Improvement of regional accessibility at various levels; . Development of the infrastructure of urban and suburban community transport; . Prevention of increased road ware originating from public road vehicles of increasing axis pressure.
f) EU Strategy for the Danube Region (EUSDR) The EU Strategy for the Danube Region, endorsed in June 2011 by the European Council and it is the second EU macro-regional strategy after the EU Strategy for the Baltic Sea Region. The Danube region covers parts of 8 EU countries (Germany, Austria, Hungary, Czech Republic, Slovak Republic, Slovenia, Bulgaria and Romania) and 6 non-EU countries (Croatia, Serbia, Bosnia and Herzegovina, Montenegro, Ukraine and Moldova). The region is facing several challenges regarding environmental threats (water pollution, floods, climate change), untapped shipping potential and lack of road and rail transport connections, insufficient energy connections, uneven socio-economic development, uncoordinated education, research and innovation systems and shortcomings in safety and security. The strategy Objective is divided to 4 pillars and 11 priority areas, namely: Pilar 1 – Connecting the Region is divided into Mobility and Multimedia, Sustainable energy and Culture, tourism, People to people priorities; Pilar 2 – Protecting the Environment is addressed to Water quality, Environmental risks, Biodiversity, landscapes, air and soil quality priorities; Pilar 3 – Building prosperity entails Knowledge society, Competitiveness and People and skills priorities; Pilar 4 deals with the support of the Strengthening of the Region via Institutional Capacity and cooperation and Security priority lines.
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Countries are in charge of priorities. The Strategy does not come with extra EU finance but it is supported from the resources already available, according to an integrated approach, such as Cohesion and Structure Funds, structural EU and national programmes, ENPI and IPA sources.
g) New Széchenyi Plan – Transport axle (2007-2013) The New Széchenyi Plan is a development strategy based on the competence of the ministries of National Economy and National Development. Other fields covered by other ministries are partly or totally missing from the strategic document. The Transport sector is a part of the Ministry of National Development, so it is included, but there was relatively small harmonisation with the earlier transport documents. In the framework of the New Széchenyi Plan, the Government has launched a series of National Programmes, in order the create the foundations of a strong country and fair competitiveness in the industry. In this context, Hungary’s secondary road network and public transport will be renewed to allow those living in smaller settlements to travel quickly and safely.
h) National Spatial Development Concept 2005
The National Spatial Development Concept defines Hungary’s spatial vision, the long-term spatial policy objectives necessary for achieving that vision, and the medium-term spatial objectives. It outlines spatial policy priorities, it sets out the conditions for institutions and instruments of policy implementation, and contains conceptual objectives for the individual regions. The document is adopted by Parliamentary Decree 97/2005 (XII.25.). The aim of the National Spatial Development Concept (NSDC) – in accordance with the National Development Policy Concept (NDPC) – is to set out the country’s spatial development policy objectives, principles and order of priorities, in order to create the opportunity for the consistent endorsement of regional considerations in the elaboration of all departmental policies and the national and regional programmes. Spatial coordination is executed through six fundamental pillars. Special attention has been paid on the development of a highly competitive Budapest metropolitan area, strengthening development poles that strengthen regions and development of system of interconnections forming a network of towns, levelling up the internal and external peripheries, backward regions, integrated development areas and themes of national significance (Balaton area; the River Tisza area; the Danube Riverside including the whole of the sandy Danube-Tisza interfluves). Similarly objectives are focusing on the integrated territorial usage of the national reserve of thermal water and on increasing the share of renewable energy sources, for the strengthening of the development of border regions and the cooperation between cross-border regions and spatially integrated developmental priorities for rural areas. i) Hungarian Logistics Strategy
Hungarian Logistics Strategy for the period 2007-2013 has been designed to “make Hungary the centre of logistics services in the Eastern-European region and the intercontinental cargo hub between Europe and Asia until 2013 (Ministry of Economy and Transport, 2008).” More speficially, core horizontal priorities, namely sustainable development and the enhancement of competitiveness of enterprises are at the heart of the hierarchy of objectives addressed to:
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. exploit transit, hinterland position of Hungary; . provide high-value added logistics services; . exploit state-of-the-art technologies; . facilitate modern modal shift. Main policy measures represent a three-pilar structure, putting equal emphasize on fiscal measures, regulatory measures and public policy measures in a complementary manner based on financial sources provided by the European Regional Development Fund and Hungarian State Budget. In brief, policy and regulatory measures include the development of customs services, logistics subsidies and direct cash subsidies in support of national / regional projects, recommendations of tax subsidies. The strategy is currently being updated.
Regarding the safety aspects of freight transport the following directives are applied in Hungary: Table 14:
HU law, No HU law, title
176/2011. (VIII. 31.) A közúti infrastruktúra közlekedésbiztonsági kezeléséről Korm.rendelet Managing the safety of road transport infrastructure
The 176/2011 (VIII. 31.) regulation deals with the harmonization of the 2008/96/EK safety issues of the national road infrastructure. An important element of this regulation is that the implementers have to run a public safety audit procedure within the development of the infrastructure for the fast-lane road network elements, for the road elements running the Trans-European network’s Hungarian national segments. The developer of this regulation helps the implementation by precisely defining what has to be present within the technical plan, the implementation plan and the safety impact tests.
40/2012.(VII.10.) NFM rendelet A közlekedési infrastruktúrával összefüggő egyes állami feladatok végrehajtásáról, valamint a feladatok végrehajtásához szükséges források
felhasználásának szabályairól
Regulations on the implementation (use of resources) and fulfilment of the state tasks regarding the transport infrastructure.
On the implementation of the state tasks regarding the infrastructure and the fulfilment of the regulations for the resources on implementation, the regulation authorizes the Transport-development Coordinating Centre (KKK) to manage several tasks, e.g. to manage the incoming funds devoted to the development, operation and management of the road infrastructure, such as technical, engineering, financial and legal tasks, that are related to the state’s obligations. The regulation details the financial sources of the state’s obligations regarding the transport infrastructure and also the methods, rules of their use. The regulation also cares to detail for the concession-type contracts, and to other topics, such as how to manage and finance those entities, that are not in the possession of the KKK, or for entities that were implemented with the inclusion of private funds, or other sources, but were implemented within the national road infrastructure.
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EU law, No EU law, title 661/2010/ECC (D); Guidelines for the development of the Trans-European transport network text with EEA relevance COM(2011) 650 final
2011/0294 COD) 2008/96/ECC (L) On road infrastructure safety management 3.4.2 T 1108/70/ECC (R) Introducing an accounting system for expenditure on infrastructure in respect r of transport by rail, road and inland waterway a 851/2006/EC (R) Specifying the items to be included under the various headings in the forms of n accounts shown in Annex I to Council Regulation (EEC) No 1108/70 s port - CO2 emissions Most Hungarian transport policies and strategies are addressed to the long-term reduction of transport- related emissions. For instance, the Hungarian Transport Policy (2003-2015) has introduced environmentally-conscious instruments, such as the “user pays” principle and the reduction of pollutant emissions via direct technical and economic measures, such as modernizing vehicle fleets to meet progressively adopted EU emission norms. Improving fuel quality by encouraging alternative energy carriers and programmes supporting the replacement of an aging vehicle fleet are also among the priorities addressed to this field. Similar attempts have been adopted to foster the uptake of environmentally friendly modes, by developing combined shipping capabilities. Similarly, the Unified Transport Development Strategy is about fostering the uptake of environmentally friendly transport modes and improving their infrastructure maintenance capacity, with special emphasis on increasing the share of combined transport of goods and the efficiency of intermodal logistic service centers. Recently, the calls for proposals under the New Széchenyi Plan’s Transport Priority are providing co-financing for environmentally sound freight transport solutions until the end of 2013. Overview – facts & figures
CO2 emissions in 2008 accounted for 5,4 metric tons per capital, while the CO2 intensity was equivalent to
2,1 kg per oil equivalent energy use. The CO2 emissions from transport in Hungary was reported at 12.85 million metric tons in 2008, according to the World Bank. According to the European Commissions database, the Hungarian total CO2 emission reached 57,8 million tonnes, out of which the transport sector alone was responsible for 12,4 million tonnes compared to the 966 million tonnes of the EU-27 countries.
Examining the change in the timeframe of 1990-2008, the CO2 emission reduction is more visible. Within the given period, Hungary has reduced its overall CO2 emissions by 20% in total that shows 1,36 T/capital, a ratio of 60% savings. The transport sector’s CO2 abatement has been decreased by 55%, being in charge of a 71% reduction, namely 1,25 T/capital, including the reduction of the road transport sector by 66%, the aviation CO2 by 67% and the waterbourne CO2 emissions by 100% separately. In 2008, all transport CO2 emissions were made up of 12,56 Mt CO2 emissions by the road transport, 0,19 Mt by rail transport, 0,82 Mt by domestic aviation and 0,1 Mt by other transport modes.
Hungary applies the following rules, regulations and EU directives regarding emissions: Table 15:
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HU law, No HU law, title
13/2008. (I. 30.) Korm. National distribution plan, Government decree rendelet This decree defines the total free emission quantities for the already existing facilities, and the distribution of these quantities among the sectors. A unit of
this quote refers to 1000 kilogram of CO2 emission (385 litre of petrol burnt will result in 1000 kg emission).
EU law, No EU law, title
EU-Emissions trading From 2013 until 2020, reporting on emission of harmful materials Systems (EU-ETS) There will be significant changes in the third phase. On reconsidering the emission of harmful materials, from 2013 till 2022 the distribution of the free quota will change. For industrial companies, the quota will have to match the BAT values. The EU-ETS defines the new quantities and distribution algorithm
from 2013 to 2020. The freely distributed CO2 quote will decrease to 80%, according to the EU-ETS, and for 2020 to mere 39%, while for 2027 it will be zero. From then on quota can only be purchased on world market price.
3.4.2.1 Reduction and Targets Hungary signed to the United Nations Framework Convention on Climate Change (UNFCCC) and shares most of their characteristics with respect to climate policy. Hungary signed the UNFCCC on June 13, 1992, the Parliament passed a resolution and the ratification was announced to the public by Law LXXXII of 1995. Since its accession to the EU in 2004, Hungary has consolidated its environmental legislation, has actively participated in the negotiation of new environmental acquis, and in the development of EU environmental policies and programmes. However, Hungary did not have a comprehensive climate change strategy until recently, there has been insufficient integration of climate change concerns in sectoral policies. Hungary has ratified the Kyoto Protocol in 2002 and since the EU accession there is a commitment to respect CO2 abatement objectives. In 2005, Hungary introduced the emissions trading system in compliance with Community directives. In early 2008, the Parliament adopted Hungary’s National Climate Change Strategy 2008-25, and then the Energy Strategy 2008-20. Both strategies were discussed simultaneously to ensure coherence. During the period of 2008-2012 Hungary was obliged to reduce its CO2 emission by 6% compared to the levels of 1985-87. At national level, the most decisive strategies are the National Energy Strategy, defining long-term objectives till 2030, and the National Sustainable Development Strategy 2007-
2025. Main GHG emission target is 6 % by 2012, including 6,9 % measured in Mt CO2-equivalent. Hungary can potentially reduce its emissions even further than under a -30 % target. An additional amount of roughly 2.6 Mt CO2 can be reduced in the ETS sectors and roughly 1.6 Mt CO2 in the non-ETS sectors at a cost lower than 30 €/t. It is important that these additional negative and low cost domestic abatement options are exploited. For Hungary, additional abatement would increase investments, which likely results in additional employment and energy security benefits. For the EU, emission reductions could be achieved more cost-effectively if Hungary’s negative and low cost abatement options were exploited fully. In the case of reduction targets, Hungary applies the following regulations and government decisions: Table 16:
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HU law,No HU law, title
2001. évi X. tv. + MARPOL Prevention of pollution from ships 1973/1978 (MARPOL international agreement)
The regulation is to benefit the environment It is a continuation of the international agreement MARPOL 1973/1978 on the prevention of sea pollution from ships. Based on this, the regulation poses sanctions on the ships that deliberately, or by chance, or by carelessness pollute the sea by oil leakage, or other harmful material. After pollution has occurred, all member organization must be notified.
145/2012 (VII.3.) Korm.rendelet - A széndioxid geológiai tárolásáról /On geologic storage of CO2 Government decree
EU law,No EU law, title
91/61 EC (L) Integrated pollution prevention and control
This directive shows significant change. The change is evident, the load of pollution for the elements of environment are not monitored by the elements (e,g, air, water, soil), but the pollution is measured by its effect and interaction to all. Within the countries that accepted this directive (L), the emitted level of pollution is monitored and kept registered within the EPER – European Pollutant Emission Register
3.4.2.2 Vehicle technologies In Hungary, the automotive industry is especially dominant as it provides 14% of the industrial output and 25% of the total export. One in seven employees receives a wage from the vehicle manufacturing, transport and shipping (logistics) industries and between one third and one half of the cost of any product is determined by logistics related costs. Several major automotive companies have based their manufacturing and service operations and, in some cases, R&D centres in Hungary. An advantageous geographical location, a safe legal environment, an advanced business infrastructure and a committed labour force are the main ingredients in the “Hungarian Mix” – an effective stimulant of long-term progress and prosperity. In the early 1990s, manufacturing began of the Puli, Hungary’s first electric car, which was followed by the appearance of electrically powered golf carts based on the design. This construction continues to be manufactured in various guises even today. At the turn of the millennium, the development and production of electrical engines was boosted by an EU regulation requiring all water vehicles used on European lakes to meet strict environmental criteria. At the same time, more and more companies have focused their attention on the development and construction of environmentally-friendly vehicles. This is reflected in the Széchenyi Race for alternatively powered vehicles. The event was first staged in 2005 and has since grown into a respected international event. The competition is an opportunity for designers and engineers to showcase and promote alternative technologies. A variety of prizes are awarded for the most creative and innovative constructions. Hungary applies the following EU regulations regarding vehicle technologies: Table 17:
EU law, No EU law, title
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1222/2009/ EC Regulation (EC) No 1222/2009 of 25 November 2009 on the labelling of tyres with respect to fuel efficiency and other essential parameters
This regulation supports the spreading of new, up-to-date vehicle technologies. From the date of 1 November 2012, special sticker or badge must be attached to each tyre sold for personal car or small vans. This regulation also refers to the tyres of all new personal cars and small vans and trucks, buses and coaches that are manufactured after 1 July 2012.
228/2011 EC Regulation (EU) No 228/2011 of 7 March 2011 amending Regulation (EC) No 1222/2009 with regard to the wet grip testing method for C1 tyres
3.4.2.3 Charging and emissions trade As an economy in transition, it barely has twenty years of experience with a market-based economy, it was rather challenging for Hungary to introduce and nevertheless successfully introduce such a market-based environmental policy tool, such as allowance trading into the policy space in Hungary. Hungary is a small country influenced by its neighbours. Hungary does not develop a significantly different environmental policy from the policy of the neighbouring countries and especially the EU, it follows the European trends. Nonetheless, after the pilot phase of the EU ETS, a Climate Change and Energy Unit is operating in the Ministry for Environment and Water in Hungary with a team of five people. The issue of climate change and the term cap-and-trade is more and more becoming common knowledge. Environmental awareness in Hungary has grown considerably. During the pilot phase of the EU ETS, Hungary has learned considerably about using emissions trading, using the market in order to reduce GHGs. The infrastructure and the institutional background has been set up, although with considerable delays, but we might say it was due to the time pressure, which was the same for every Member State, even for EU15. Hungary is part of the European Union Emission Trading System (EU ETS). Hungarian emissions covering CO2, CH4, N2O have already decreased by 25% since 1990, due to the restructuring of the economy after the end of socialism – under which heavy industry thrived. Hungary will have more emissions quotas in 2020 than it had in 2005. Under the next phases of the EU's emissions trading scheme, which will begin in 2013, Hungary has been granted a 10% quota increase in recognition of the efforts made in recent years. Hungary has successfully linked to the carbon emissions trading system under Kyoto Protocol in 2008. It is well within its targets under Kyoto and can potentially sell over 100 million AAUs by 2012, each one allowing other countries to emit a tonne of carbon dioxide. Historically, since 2000 Hungarian CO2 emissions fell by 34.5 % by 2008. Emissions of carbon dioxide under the EU ETS includes 30.7 millions of tonnes, percentages change in the period of 2008-2012. However, CDM/JI limit between 2008-2012 accounts for 10%. Hungary, only some one-third of all GHG emissions (32.73%, IDEACarbon, 2008) are covered by the EU ETS market. Hungary’s its cap of CO2 equivalent per year amounts to 26.9 million tonnes until 2012. The Registry is up and running, the spot market has developed. Hungary is one of only a handful of states to have used provisions in the ETS Directive, allowing governments to auction allowances. By January 1, 2008, only three countries had received UN approval to trade in flexible mechanisms, Hungary among them, with Japan and New Zealand. In February 2008, Hungary adopted its National Climate Change Strategy to help meet its obligations. The strategy is financed through sales of Kyoto carbon credits and funds from the government's environment and energy operational program. 179 Mapping of current EU & SEE Regional policies
The Hungarian emission policy related to transport is harmonized with the EU legislation. In compliance with the Union's type approval regulations (€4 for passenger cars and €5 for trucks and buses), the same exhaust emission norms are valid as in all other EU countries. For off road vehicles, the regulation is the same. The legislation will follow the new EU directives when they come into force. In order to control the emission related condition of the car fleet, a regular control was introduced, which is compulsory for all road vehicles.
3.4.3 Transport – Sustainability
3.4.3.1 Network Planning Hungary’s Transport Policy concerning EU funding is embedded in a series of stated policy documents at various levels of policy making. The linkages between levels and documents are shown in the picture below, and objectives and policy directions are discussed in the following sections. Figure 15: Hungarian Network Planning Agenda
Priority developments untill 2015 cover: Implementation of a North-South transportation corridor across Western Transdanubia, with special emphasis on the development of the motorways M9 and M86 and of the Vienna-Graz railway line, across Sopron and Szombathely (in progress since 2003); Development of a conveyable waterway on the Hungarian Danube-section with international co- operation, as well as the infrastructure of the national public ports: There are currently about 1 600 km of navigable waterways in Hungary. Most commercial traffic is on the Rivers Danube and Tisza; and there is occasional crop transport on the Körös river. The technical parameters of the Danube section in Hungary, as part of the Helsinki Corridor, (the Hungarian TINA network incorporates a 378 km section of the Danube and six ports) do no meet the requirements for the traffic of EU self-propelled pusher crafts and pushed trains of crafts. As a consequence, the possibilities offered by the Danube-Main-Rhine (DMR) channel can
180 Mapping of current EU & SEE Regional policies
be exploited only to a limited extent. Ship capacities can be utilised only up to 60 to 70% in the Hungarian section, as opposed to the 80 to 100% utilisation rate in Europe. Development of regional international airports: Hungarian airports can be classified as international airports, domestic airports, military airports and non-public airports. International airports are located in Budapest, Debrecen, Sármellék, Győr-Pér, Pécs-Pogány. Domestic airports are situated in Ferőszentmiklós, Nyíregyháza, Siófok and Szeged. Further development of the air traffic service, increasing the safety of the airspace, European harmonization and integration of the air traffic control systems and operations; Providing a modern vehicle fleet meeting the demands and requirements (including the demands of disabled users); Use of the intelligent transport systems, providing more efficient utilisation of transportation infrastructure and services; Development of the logistic service centres and modern combined transport terminals, allowing the increased share of environment-friendly goods transport: Recently a great number of logistics centres have been established by multinational corporations active in Hungary such as GE, Sanofi-Aventis, Philips, Panasonic, General Motors or Renault Nissan. Similarly, in 2008 the capacity of the Budapest Intermodal Logistics Centre – the arrival point of most block trains – was increased considerably. At present, 13 intermodal logistics centres are serving at least two transport modes in Hungary. Figure 16:
Legend:
Intermodális LSZK – Intermodal Logistics Centre
Regionális LSZK – Regional Logistics Centre 181 Mapping of current EU & SEE Regional policies
Helyi LSZK – Local Logistics Centre
Source: László Nagy – Federation of Hungarian Inland Ports, Conference of International Transport Logistics (slideshow) The crucial question of the implementation of the transportation policy is the financing, modification of the financing system, support from EU-funds, involvement of credits and private capital in the developments. The successful implementation can be guaranteed by an infrastructure oriented development of the economy, which assumes a systematic management of the additional resources and provision of national central resources much higher than before (i.e. spending 3.6 % of the GDP for transportation investments). On 1st August 2007, the European Commission approved Hungary’s Operational Programme for Transport for the period 2007-13. The Operational Programme falls within the framework laid out for the Convergence Objective and has a total budget of around € 7.3 billion. Community assistance through the European Regional Development Fund (ERDF) and the Cohesion Fund amounts to some € 6.2 billion, which represents approximately 24.5 % of the total EU investment earmarked for Hungary under the Cohesion Policy for 2007-13.
Hungary applied the following regulation in terms of transport planning:
Table 18:
EU law,No EU law, title
352/2009/EC (R) Safety method on risk evaluation and assessment
COMMON SAFETY TARGETS are defined, and the standard helps us to learn into the details. Article 9(1) of Directive 2004/49/EC requires railway undertakings and infrastructure managers to establish their safety management systems in order to ensure that the railway system can achieve at least the common safety targets (CSTs). According to point (2)(d) of Annex III to Directive 2004/49/EC, the safety management system must include procedures and methods for carrying out risk evaluation and implementing risk control measures whenever a change of the operating conditions or new material imposes new risks on the infrastructure or on operations. This basic element of the safety management system is covered by this Regulation.
3.4.3.2 Intelligent transport systems The principle of co-modality should prevail in the area of passenger transport, goods transport and logistics, while each mode of transport has to be improved. Freight transport, by improving its energy efficiency, and by its decisive ratio impacting volume, considerably influences the total consumption of the Hungarian transport sector, so the improvement of its environmental performance has a special importance. Development of the railway sector is a prominent societal and national economic interest emphasized due to sustainability advantages. Hungary’s long-term objective is to have a railway by 2020, which offers a significantly higher level of service than today, as well as a better operating reliability for passengers (primarily in suburban and long- distance inter-city transport) and freight companies using the services. Navigation does not play a very 182 Mapping of current EU & SEE Regional policies
significant role in domestic transport. However, its contribution to the foreign trade performance of Hungary has been growing steadily. There are some factors limiting the utilization of our inland waterways, e.g. frequent draft restrictions, low ration of loaded passage time/annual operation time, density of ports operating permanently with facilities and infrastructure of adequate standards, high water level.
3.4.3.3 Innovation The scope of transport research in Hungary is determined by the Government's mid-term Science, Technology and Innovation Policy Strategy (2007-2013) and by policy documents that provide a framework for the development of the Hungarian economy and transport system. The most important policy documents for the development of the Hungarian economy and transport system are: . The Government's Mid-term Science, Technology and Innovation Policy Strategy (2007-2013); . New Hungary Development Plan including the Transport Operational Programme (2007-2013); . New Szechenyi Plan 2010-2020. The main objective of the government's mid-term policy strategy is to enhance the competitiveness of the Hungarian economy and that by 2013 Hungary will become a “country where knowledge and innovation are the driving engines of the economy”. Together with the New Hungary Development plan these are the main strategic documents for Hungarian development in the coming years. The Economic Development Operational Programme (2007-2013) also has research, development and innovation priorities on its agenda. In the long term, a decisive role will be played by the updated New Szechenyi Plan. In January 2011, a chapter of the Plan, entitled 'Science - Innovation Programme' has been launched. The document sets science, technology and innovation goals and identifies thematic priorities. The transport sector is on the government's investment agenda. The development of the national transport system is supported by the Research and Development Concept in the transport sector, which is a part of the Transport Operational Programme. Specifically focusing on transport the following national and EU regulations are in use in Hungary: Table 19: HU law, No HU law, title
2001. évi LXI. törvény Közúti árufuvarozás meghatározott feltételeinek kialakításáról és a kombinált fuvarozás elősegítése,versenyképessége
On decisive factors of road freight transport and enhancement of competitiveness of combined transport
EU law, No EU law, title
913/2010/EC (R) A European rail network for competitive freight
This Regulation lays down rules for the establishment and organization of international rail corridors for competitive rail freight with a view to the development of a European rail network for competitive freight. It sets out rules for the selection, organization, management and the indicative investment planning of freight corridors. Within the framework of the European Union new Strategy for jobs and growth, the creation of an internal rail market, in particular with regard to freight transport, is an essential factor in making progress towards sustainable mobility.
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2001/14/EC (L) On the allocation of railway infrastructure capacity and the levying of charges for the use of railway infrastructure and safety certification Institutional framework for Transport RDI A new body, the National Research, Innovation and Science Policy Council, was set up in December 2010 to coordinate governmental science, technology and innovation policy decisions at national level. Research and development at sectoral level is managed under the specific ministries. The most important ministries with responsibilities for various domains of science, technology and innovation policies are the Ministry of National Economy (the Minister also supervises the National Innovation Office), the Ministry of National Development (its Minister supervises the Research and Technological Innovation Fund as well as the National Development Agency, managing the measures co-financed by the EU Structural Funds) and the Ministry of National Resources (supervising all levels of education, including higher education, and coordinating science policy). At an operational level, the National Innovation Office develops research, development and innovation policy schemes and manages international R&D cooperation. The development and implementation of Transport and infrastructure policies in Hungary is divided between different ministerial departments. The Deputy State Secretary for Transport functions under the Ministry of National Development. In the work on transport related projects, close interaction is necessary with the work done by the Ministry of Rural Development for urban planning topics, the Ministry for National Economy for the long-term national strategies and sectoral plans and the Ministry of Interior in the questions related to the transport safety and security.
Transport research, as any other research in Hungary, can be financed in three main ways: by State funding, private funding and by EU funding sources: The main national source for funding research, development and innovation policy schemes till 2012 was the Research and Technological Innovation Fund, under the control of the Research and Technological Innovation Council. Two other governmental bodies funding research are: the National Innovation Office and the National Development Agency. All research projects financed by the state budget are collected in the Hungarian Current Research Information System, which is a free access database. All Ministries and Public offices must provide information to this database. EU funded projects are co-financed by the EU Structural Funds are managed by the National Development Agency. The Cohesion Fund and ERDF are the major sources of EU funding. Hungarian practitioners may apply for EU funds for the INTERREG IV C Programme, CES – Central European Space Programme, SEE – South East Europe Territorial Development Programme and bi- and multi- lateral programmes along the borders.
3.4.3.4 Internalisation of external costs Direct effects:
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Sulphur and nitrogen taxes or tax-like charges are applied in Hungary. Standard VAT rate is 27% based on emissions since January, 2012.17 In Hungary there are no subsidies on the purchase and use of an electric vehicle. Fuel taxation (special carbon tax) Fuel tax amounts to HUF 97,350 per 1,000 liter based on fuel consumption.
Vehicle taxation based on CO2 emission Vehicle tax equals to HUF 12 levied on the basis of vehicle weight and half load jointly.18
User charges for infrastructure use with differentiation or mark-ups for CO2 The Ministry of Transport decided to remove physical vignettes from the toll system as from 1 January 2008. However, the channels through which authorisation for road use can be obtained has remained the same under the new e-system. Tickets can be purchased at SMMC’s customer service offices and points of sale; retailers; petrol stations; via text message; online; and via landline and mobile phones. After the transaction has been made, customers will receive a control coupon or a confirmation message that should be kept for one year from the last day of the validity period, as the excess charge payment obligation expires a year after issue. As before the changes, SMMC has to send excess charge notices by post within a 60-day period. The new system offers a more convenient and faster service, and eliminates the costs of printing and distributing physical vignettes (windscreen stickers). These expenses amounted to around 250 million HUF in 2007. The Coordination Centre for Transport Development has been using these extra resources for road development and operation. The methods of checking road use authorisation continue to be based on vehicle registration numbers. The SMMC calls attention to the relevant legal regulation, according to which all motorway sections (as well as highways and main roads) subject to tolls can be used only with a valid and (in terms of items such as. registration number and validity period) properly validated vignette for the proper vehicle category, purchased prior to entering the motorway (or any other toll road). It is also important to bear in mind that the signature of motorists purchasing vignettes in person – and the reply message of those buying vignettes via text messages – confirms the validity of the indicated data (registration number, toll category, start and end date of validity), and so checking these details before signing the receipt or sending a reply message is strongly recommended. User charges for infrastructure use differ according to the type of vehicles19:
D1 category – motorcycles, and motor vehicles with a maximum total permissible weight of 3.5 tons, including any trailers
D2 category - motor vehicles and motor vehicles with trailers (long vehicles) with a maximum total permissible weight of over 3.5 tons, but not more than 7.5 tons
17 http://www.tmf-vat.com/vat/eu-vat-rates.html 18 http://www.doingbusiness.org/data/exploreeconomies/hungary/paying-taxes/ 19 http://www.motorway.hu/02Ematrica/01Dijtablazat2012 185 Mapping of current EU & SEE Regional policies
D3 category - motor vehicles and motor vehicles with trailers (long vehicles) with a maximum total permissible weight of over 7.5 tons, but not more than 12.0 tons
D4 category - all motor vehicles that do not fall in categories D1, D2 or D3. Buses, with or without trailer, with a total permissible weight of over 7.5 tons shall fall into the category below, the one they would belong to based on their total permissible weight. The prices of authorisation, including VAT, are as follows: Table 20:
Category 1-day Weekly* Monthly Annual
D1 - 2,975 HUF 4,780 HUF 42,980 HUF
D2 3,375 HUF 8,255 HUF 13,970 HUF 123,975 HUF
D3 3,375 HUF 12,600 HUF 20,370 HUF 184,985 HUF
D4 3,375 HUF 15,875 HUF 25,785 HUF 234,950 HUF
Hungary has recently introduced integrated network-wide electronic road charging systems for HGVs. Similarly, Hungary has own time based vignette system covering both passenger cars and HGVs.
Regulation and standards Environmental Taxes and Charges in Hungary are containing the following elements: Table 21: Taxation nomenclature Objective of tax Tax base Tax rate MOTOR FUEL EMISSIONS Excise tax: Unleaded / Leaded Revenue raising tax Petrol Fuel product charges: Earmarked environmental charge Petrol, diesel VAT: Unleaded / Leaded Revenue raising tax petrol 27% OTHER ENERGY PRODUCTS Excise tax: Revenue raising Heating oil (final 80,200 HUF/kl; 308 users) EUR/kl 72,200 HUF/kl; 277 Lubricant oil EUR/kl Fuel product charges: Earmarked environmental Lubricant oil 74,500 HUF/ton; 290 EUR/ton charge Heating oil with high 4,200 HUF/ton; 16 sulphur content EUR/ton Substandard heating oil 74,500 HUF/ton; 290 186 Mapping of current EU & SEE Regional policies
EUR/ton VAT: Revenue raising tax Fuel oil 27% Natural gas 12%
Electricity 12%
District heating 12% AIR EMISSIONS
Non-compliance fee Compliance/ earmarked Emissions above the Minimum 5,000 HUF1 environmental permitted levels (19.17 EUR) per
charge (dependent on the kilogram of category emissions;
of source: immobile In cases of extreme pollution: point sources, 10,000 -100,000 building sources, surface HUF/case; sources, extreme 38.3 – 383.4 air pollution) EUR/case VEHICLE EMISSIONS Annual vehicle tax: Revenue raising Vehicles registered in 6 - 10 HUF/kg; taxes Hungary 0.023 – 0.038 EUR/kg
(road development) (based on weight) 50 HUF/day; 0.192 EUR /day, or Vehicles registered 3 HUF/t/km; 0.012 abroad EUR /t/km Highway toll: Cost recovery 1,300 – 5,200 HUF per 9 days, or
22,000 – 88,000 HUF/year;
5 – 20 EUR per 9 days,
or 84 – 337 EUR/year
Sales tax: Revenue raising Motor> 1600cm3 with 20% of customs value taxes catalytic converter; 10% of customs Motor< 1600cm3 with value catalytic converter; 32% of customs
Motor> 1600cm3 without value
catalytic converter; 22% of customs value Motor< 1600cm3 without
catalytic converter Import duty: Revenue raising Cars < 4 years 2.7 – 18%
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taxes Cars < 4 years 2 – 13 %
with catalytic converter 7.2 – 48 %
Cars > 4 years 6.5 – 43 %
Cars > 4 years 2.7 –18 %
with catalytic converter 3.8 – 25 %
New lorries 3.1 – 20.8 %
Old lorries
New, old buses AIR TRANSPORT Noise tax/charges: NOISE AND VIBRATION Noise and vibration non-compliance Compliance/ earmarked Excess levels of noise, Based on environmental dependent on the type formula fees charge of the source, and the type of affected area Source: Environmental Taxes in an Enlarged Europe, The Regional Environmental Center for Central and Eastern Europe, 2001(modified according to data published by the Customs and Excise Office)
Indirect effects: Estimates put the share of indirect costs of transportation approximately 7-10% of GDP. The IWW research institute, located in Germany, and the Swiss INFRAS have developed a study on external costs related to Transport, which is presented in the following figures: Table 22 : External costs
Accidents 24%
Air pollution 27%
Climate change 30%
Noise 7%
Urbanization 2%
View loss 3%
Environmental costs of background processes 7%
Source: IWWW - INFRA
As most relevant factor, freight transport is responsible for 83,7% of all external costs. Similarly, air transport accounts for 14% of external costs, followed by rail transport by 1,9%.
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Table 23: Average external costs of freight transport, €/1000 tkm, 2000
Road Rail IWW
Accidents 4,8 0 0
Noise 4,9 3,2 0
Air pollution 38,2 8,3 14,1
Climate change 12,8 3,2 4,3
Nature change 2,0 0,3 0,8
Urbanization 7,4 0,5 0
Environmental costs of background processes 1,1 2,4 3,3
Total external costs 71,2 17,9 22,5
Regarding intermodality the transport modes cost aspects are the following: . road – IWW: 61,07 € . road – rail: 66,84 € . rail – IWW: 5,77 €
Regarding the internalisation of external costs the following regulations are applied in Hungary: Table 24:
HU law, No HU law, title
9/2011. (IV. 7.) NFM A Nemzeti Fejlesztési Miniszter 9/2011. (IV. 7.) NFM rendelete az egyes rendelet fejezeti kezelésű előirányzatok felhasználásáról
The Act of the Ministry for National Economy to allow larger funds to be used.
EU law, No EU law, title
67/2010/EC (R) Laying down general rules for the granting of Community financial aid in the field of trans-European networks
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3.4.3.5 KPIs A New Hungary Development Plan defines specific objectives and related indicators for the transport sector as follows: 1. A better integration of the country into the European economic circulation and the more efficient utilisation of the potentials of emerging markets through the development of the transport infrastructure: - reduction of the travelling time of the entire TEN-T road network (hour, minute) - reduction of the travelling time of the entire TEN-T railway network (hour, minute) - growth of the volume of goods transported on the Hungarian railway network (million km of tons of goods/year) 2. Improving the accessibility of regions (both internally and between the various regions) in order to strengthen social and territorial cohesion: - number of people of working age, within 30 minutes of access to a town of county rank (by car and bus) (thousand persons) - change in the number of fatalities of road traffic accidents (in 10 years’ average, person/year) 3. Improving the intermodality of transport in order to improve the competitiveness of businesses and the alternative accessibility of regions - growth of the volume of goods arriving at the supported centres (thousand tons, value) - Growth of the intermodal flow of goods at the supported centres (thousand tons, value) - flow of goods transported by railway in the Záhony region (thousand truck-loads) 4. The environmentally sound development of public transport - savings in journey time in connection with the improved sections (thousand passenger hours/year) - number of people with access to better transport services due to the developments (thousand persons) - impact of the priority on the change of the rate of GHG emission (kt CO2e/year) - change in the amount of emission of PM10 generated by raffic in Budapest (tons/year)
Similarly, the Hungarian Logistics Strategy defines a 18 macro-indicators acknowledged internationally, including base values, target values and the frequency of data collection as well. The three most relevant ones are marked with bold letters. - Logistics Performance Index - Logistics added value in GDP - Distribution location ranking
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- Logistics expenditures in per cent of GDP - WEF-BCI - Increase (change) in road freight transport volume in per cent - Intermodal freight volume - Model split of transport modes (all modes jointly and separetely) - Average negative external costs of transport goods - Number of ITS systems operated in Hungary - Turnover of logistic service providers
3.4.4 Transport - Promotion of rail, sea and inland waterway
3.4.4.1 Integration Over the years, Hungarian governments have prioritized reinforcing the logistics industry, and in particular they have been supporting the expansion of intermodal transportation and enhancing the intermodal connectivity of modes in Hungary. The policy objectives and actions are laid down particularly in the following documents: . Unified Transport Development Strategy (2007-2020, White Book) . Transport Infrastructure Development in Hungary (2006) . Transport Operational Programme (2007-2013) . Intermodal Logistics Strategy (2006) . Hungarian Logistics Strategy (2007-2013) Similarly, transport-related cross-sectoral priorities for national policies in terms of resource-efficiency and the promotion of intermodality (co-modality) are visible in the following strategies: . Land (National Environmental Programme, NHRDP, Rural Development Strategy, National Spatial Development Concept, National Spatial Structure Plan) . Water (RBMP of Hungary, National Environmental Programme, National Sustainable Development Strategy) . Biodiversity, genetic resources (National Environmental Programme, National Biodiversity Strategy and Action Plan, National Rural Strategy 2011-2020, National Sustainable Development Strategy) . Energy (National Climate Change Strategy 2008-2025, Energy Efficiency Action Programme 2008- 2016, National Renewable Energy Action Programme 2010-2020, etc.) . Soil (National Environmental Programme, National Rural Strategy, to be adopted in 2011) . Renewables (Energy Strategy until 2030, National Renewable Energy Action Programme 2010- 2020) . Biomass (National Rural Strategy 2011-2020, to be adopted soon)
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. Construction materials (National Environment Programme, 2009-2014, New Hungarian Waste Management Plan – under approval)
3.4.4.2 Incentives Concerning direct actions to promote intermodal traffic, Hungary had adopted three instruments: A. There is a derogation from the general 40 tonnes limits for road vehicles, which are employed for pick-up or delivery of intermodal loading units at intermodal terminals, permitting an increased gross weight up to 44 tonnes under the following conditions: a. compliance with the technical requirements such as max. axle weight; b. road journeys up to 70kms to/from intermodal terminals; c. transport companies are required to gain authorization from the Hungarian road administration, but no extra fee has to be paid. B. The Hungarian State provides grants for the construction or expansion of intermodal terminals. The financial sources are the European Regional Development Funds (85%) and the Hungarian central budget (15%). The scheme includes two programmes distinguished by the area where the terminal is planned to be built or expanded: a. The Central-Hungary Operational Programme governs investments in the Budapest and Pest regions. Funding is limited to €2.2m per project and a maximum of 30 % of the total investment. b. The Economic Development Operational Programme related to terminal investments in all other Hungarian regions. Funding is limited to €2.7m per project and a maximum of 50% of the total investment. C. In 2007, the Ministry for Economy and Transport has launched a funding scheme designed to promote accompanied intermodal services. However, the scheme has been discontinued in 2009 due to constraints on the central budget as an impact of the global crisis.
3.4.5 Enhancement of competitiveness of the private sector The Hungarian logistics market grows by approx. 10% annually and accounts for up to 5% to 6% of Hungarian GDP. Major Hungarian players, including the Masped Group, Waberer and TransSped, have enhanced their regional role by investing in neighbouring countries. The individual transport market in Hungary is mainly determined by high market penetration of larger firms, mainly foreign companies. Therefore, the structure of the Hungarian logistics market entails the world's largest contract logistics providers and Hungarian-owned companies offering sophisticated services, consistent flexibility, complete reliability and highly competitive prices as well. The large number of large companies shows that Hungary is a logistics hub in Europe. Regarding micro enterprises and SMEs, it is observed that most of them are very closely bounded to larger organizations and form their logistics and distribution chains as well. The competitiveness of the sector is supported by the combination of national strategies and policies, especially by the New Széchenyi Plan, New Hungary Development Plan launching calls for proposals in
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various fields. New Széchenyi Plan’s Transport Development Priority covers 752 billion HUF for the period of 2011-2013.
3.4.6 Incentives for sparking growth and for moving into new technologies
3.4.6.1 Institutional Act XC of 2003, approved by the Hungarian Parliament on November 10, 2003, established the Research and Technological Innovation Fund, which provides stable and reliable financing for RTDI activities. The independent government Fund is envisioned to promote demand driven innovation and the knowledge based competitiveness of companies. The Fund is financed by mandatory contributions of all companies registered in Hungary, matched yearly by the government budget. The so-called innovation contribution, based on the percentage of the (adjusted) net turnover, for medium size and large companies grows from 0.2% in 2004 to 0.3% by 2006. Micro-enterprises and small-size enterprises are exempt from paying a contribution. Direct R&D expenditures, both intramural and ordered from public R&D units, can be deducted from the contribution thus stimulating innovation activities. The company payments into the transparent, dedicated RTDI Fund shall be used for the direct or indirect benefit of the private sector, as stipulated in the legislation creating the Fund. It is also a legal requirement that resources of the Fund be spent through competitive calls, and at least 25% should go for regional innovation purposes.
3.4.6.2 Organisational Figure 17: The organizations structure of the National Innovation System
Source: National Innovation Office
Government decree 303/2010 (XII. 23.) establishes the National Innovation Office (NIH) as the governmental body responsible for research, development and technological innovation. The Office operates under the direction of the Minister for National Economy; the Minister appoints its president and vice-president. Dr. György Mészáros is the president of the Office. 193 Mapping of current EU & SEE Regional policies
As the Government’s body responsible for research, development and technological innovation, the National Innovation Office takes part in: the development and implementation of national science, technology and innovation policy (STI policy), as well as the governmental information and analysis activities that support its implementation; enhancing innovation activities of SMEs; supporting research cooperation and enhanced networking, as well as the incubation of young innovative enterprises; supporting national and international exploitation of R&D results; boosting foreign investments in Hungary; harmonisation of international and EU cooperation activities in the areas of STI policy, as well as the coordination of bilateral science and technology (S&T) cooperation.
NIH activities cover the following three strategic areas: . Strategic planning and analysis . Coordination and stimulation of international R&D&I cooperation . Innovation management With regard to long term, strategic issues related to the national innovation system as a whole, the National Research, Innovation and Science Policy Council (NKITT) serves as the Government’s advisory body. The Minister of Public Administration and Justice is the chair of the Council; the president of the Hungarian Academy of Sciences holds the co-chair position. The members of the council include the Minister for National Economy, the Minister of National Development and the Minister of National Resources. The Council’s work is supported by the presidents of the Hungarian Association for Innovation, the Hungarian Rectors’ Conference, the National Innovation Office, the Hungarian Scientific Research Fund committee, as well as the Hungarian Intellectual Property Office; furthermore, two persons – leaders of enterprises performing exceptionally in research and development – are invited by the president of the Council. The Ministry for National Economy (NGM) is responsible for preparing the strategies related to national research, development and innovation. It cooperates closely in the realisation of these strategies with the National Innovation Office (NIH), which it oversees. The implementation of funding programmes related to R&D&I strategies is coordinated by the Ministry of National Development, and the National Development Agency, which is under its direction. The Hungarian Intellectual Property Office (HIPO), overseen by the Ministry of Public Administration and Justice, ensures the effective protection of intellectual property with the instruments of industrial property and copyright protection. The Hungarian Academy of Sciences (HAS), with its network of scientific research institutes, is a key actor of the national R&D&I system. HAS oversees the Hungarian Scientific Research Fund (OTKA), the funding agency for basic science. The next generation of researchers receives excellent education through the national universities and higher education institutes. In addition, universities are taking an increased role in the commercial exploitation of research results and the transfer of knowledge and technology. The primary organisation representing the interest of higher education institutes is the Hungarian Rectors' Conference, which is included in the R&D decision making process through the Ministry of National Resources, which oversees higher education.
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3.4.6.3 Financial Strategic issues relevant to the Fund shall be addressed by the Research and Technological Innovation Council. The majority of the members of the Council shall comprise of non-governmental representatives of the economic and scientific communities. The Council shall have a right of approval concerning the establishment of the utilisation plan and the strategy for the calls for proposals for the Fund, including determination of the means and tools of funding and decision-making relevant to the provision of financial assistance.
The various competitive schemes include: . Regional University Knowledge Centres . Regional Innovation Agencies . National Research and Development Programs . Creation of R&D and Innovation Centre for Mobile Communication (Mobil 2004).
Hungarian Tax Incentives for Research and Development As far as Hungary is concerned, there is no increment scheme; tax schemes are strictly based on the level of R&D expenditures. Fiscal measures related to R&D started to be employed relatively recently, (e.g. R&D tax allowances are used since 1997, and their rate has jumped in 2000 from 20% to 100%, while the special 300% rule is applicable from 2004).
The Hungarian R&D fiscal measures in accordance with EU practice usually take one of the three following forms: (1) tax deferrals, which are relieves in the form of a delay in payment of tax, e.g. deprecation allowances; (2) tax allowances or extra amounts over current business expenses deducted from gross income to arrive at taxable income; (3) tax credits or amounts deducted from tax liability.
Measures (1) deferrals (2) allowances (3) tax credits
Expenditures
(a) current X X -
(b) capital X X X
Nowadays, Hungary uses several fiscal measures to stimulate R&D, the most important of which: - 100% RTD corporate tax allowance (also available for subcontracted R&D activities if partner is public/non-profit research site) - 300% RTD tax allowance if the company lab is located at university or public research institute 195 Mapping of current EU & SEE Regional policies
- In case of SME's, there is a special IPR tax allowance. The emerging costs of getting and maintaining of the patents, utility model and design in the area of Hungary can be deducted from the corporate income, supposing these costs can not be regarded direct costs of fundamental research, applied research and technological development. - Tax credits on investments, including R&D investments (rate depends on volume, company size and geographic location) - Tax free employment of PhD, MSc or MBA students (up to the official minimum wage) in the field of educational and research activities and other services closely related to these activities. - Option to create tax-free investment reserves, including R&D investments - Tax allowance for corporate donations to organisations of public benefit supporting R&D activities - Tax credit for individual donors supporting R&D activities. - Tax credit off personal income tax after the creation of intellectual property. - In addition, the Research and Technological Innovation Fund with fiscal incentives like credits toward the innovation contribution to be paid by companies. The amount of any floor or cap on the amount of R&D that can be claimed or a cap on the maximum amount of the tax incentive that can be deducted: - 100% RTD tax allowance: no cap - IPR tax allowance: no cap - 300% RTD tax allowance: up to 50 M HUF - investment tax credits: up to 25% of value of material assets - tax free employment of students: up to official minimum wage - tax credit of individual donors to R&D up to 50.000 HUF - tax credit for individuals after creation of intellectual property up to 50.000 HUF - tax allowance for corporate donations: 20% of net turnover Carry-over (backward or forward) is possible only in specific cases: a) For investments: option to create tax-free investment reserves up to 500 M HUF b) According to the Act on Accounting, current R&D expenditures can be deferred to later years e.g. in case of sustained losses, with hopes for profitability for the following year The firms, which receive royalty income in profit or in profit from any other sources, are able to get the same benefits from these fiscal measures. Firms, which are not in profit, are not able to get benefit from a fiscal measure in these ways. Research and Technological Innovation Fund: fiscal measures positively discriminate micro-companies, and to a lesser extent SMEs. Tax credits on investments are higher for SMEs; SMEs also enjoy a preferable treatment via a specific tax deferral measure. The tax allowance or tax credit for R&D is not taxable. The tax credit can not be traded.
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In the future, the intended direction for Hungary (e.g. through the new Bill on Research, Development and Technological Innovation-hereinafter called Act on Innovation) is the improving and fine-tuning of fiscal measures to create innovation-conducive conditions for the economy and the society. The advantage of fiscal measures is that they are more "democratic", provide for a playing field with equal opportunities, reaching a wider audience than grant schemes, where e.g. proposal-writing wizards have an advantage. On the other hand, they are not as much concentrated, cannot serve a specific, targeted and well-defined goal. Hungarian legislation related to R&D fiscal measures: . Hungary has two major legislations relating to fiscal measures supporting R&D, with definitions of R&D. The Act C. of 2000 on Accounting uses a compact version of the OCED/Frascati Manual definitions, recommended by the International Accounting Standards Committee (Frascati definitions are also used in statistical data gathering legislation); while the Act XC. of 2003 on the Research and Technological Innovation Fund uses a slightly different terminology in line with EU competition regulations (as this Act has to be declared as a State Aid measure, EU competition terminology, based on the WTO document "Agreement on subsidies and countervailing measures", was followed as closely as possible).
. According to the provisions of the Act of 2003 on the Research and Technological Innovation Fund contribution (innovation fee) shall be payable by business companies which have their registered office in Hungary and which are subject to Act C of the year 2000 on Accounting, except for companies considered micro-enterprises under Article 3 of Act XCV of the year 1999 on Small and Medium Enterprises and the Promotion of their Development. Within the limits defined in this Act, the gross annual contribution amount may be reduced by the direct costs of the R&D activities conducted by the business company itself, and the costs of R&D activities ordered from organisations identified in of Act CLVI of the year 1997 on Organisations Operating in the State Budget Framework and Organisations of Public Benefit. Any deductible costs shall be reduced by any public aid and used to cover the relevant costs, both in the case of R&D conducted by the company itself and when the R&D was purchased. . R&D activities are designated by law to be so-called activities of public benefit, thus foundations supporting R&D are designated foundations of public benefit, eligible for specific privileges according to the Law CLVI of 1997 on Organisations of Public Benefit. These privileges include excemption on corporate taxes as well as other tax and contribution allowances and credits. See the text of legislation for details, as well as exact requirements to be registered as an organisation of public benefit. . On Corporate and Capital Return Taxes Act LXXXI of 1996 (modified by Act CXIII of 2001) contains the earlier mentioned R&D fiscal measures. . In addition to that, the corporate taxation rules have been changed from January 2004. To improve the competitiveness of the domestic enterprises, their corporate tax decreases to 16 percent from 18 percent. Hungary finds it particularly important and has undertaken to publish detailed guidelines for companies, especially to SMEs (the exploitation of the benefits arising from the fiscal measures is less than satisfactory
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among them) usually not having the knowledge, expertise and experience to deal with sometimes complicated fiscal regimes. We have a detailed guideline about the tax incentives and the innovation fees on the following websites: www.nkth.gov.hu (only in Hungarian). Other than publishing guidelines and setting up diverse information schemes, a way to fight this problem is simplify measures and relieve administrative burdens as much as possible. Generally, there is no expiration date set for Hungarian fiscal measures. When applicable, incremental rates are set for the introduction phase the fiscal measures. For example, see the Research and Technological Innovation Fund for incremental increases of the innovation contribution for the first years of the measure. Geographic differentiation: Tax credits on investments are higher for economically backward regions.
3.4.7 Infrastructure development through EU and national funding PPPs The 170,000km road network (out of which 30 000 km is centrally operated), as well as the 7 500 km rail network, are in poor condition, as a result of underinvestment in maintenance. The motorway network has been developed at an accelerated pace for the last eight years, both in traditional procurement and PPP structures. Currently, besides the development of the ring-road around Budapest, no major new motorway project is expected. The quality of the road and rail infrastructure is seen as a major impediment to an efficient transport system. Physical infrastructure in other public services (e.g. health care, education, sport and leisure) also lags behind the expectations of the public and hinders the provision of efficient and satisfactory public services.
3.4.7.1 Financial instruments for development For the period of 2007-2013, €8.6 billion under the Cohesion Funds and €16.7 billion under the Structural Funds are available for Hungary. The infrastructure development is overwhelmingly concentrated on EU co- funded projects. Regarding the source of the private partner's revenue among PPP schemes, the availability of a fee-based model has proven to be the most appropriate solution. The beneficiaries' relatively low ability or willingness to pay for public services limits the spectrum of financially viable real toll projects.
At the beginning of 2008, altogether there were 67 projects that held an assumed commitment in Hungary. Among them, seven projects had significant individual values – above HUF30bn (circa €120m). Project sizes vary; the biggest projects cover motorways, while the smallest can be gymnasiums and educational swimming pools. Besides these funds, the national government has in the past signed large construction contracts without international financial assistance. National funds are therefore also a possible source of financing. The amount of such funds is difficult to assess, though, as part of the available funds will be needed for co- financing of EU funded projects. The long-term goal of Hungarian road infrastructure development projects is to build 2500 km length of expressway network by 2015 supported by the Act CXXVIII on the development of the Hungarian expressway network (accepted by the Parliament in December 2003). M6 Duna, the consortium building Hungary’s M6 motorway, has been the first company in Central and Eastern Europe to issue Senior Floating Rate Notes, in a public private partnership-project (PPP) providing early refinancing of its original funding. The EBRD provided a €32 million loan to the original M6 financing and the consortium expressed strong 198 Mapping of current EU & SEE Regional policies
interest in the Bank’s continued participation. Approx. 252 km section between Budapest and the Hungarian - Croatian border has been built in 2 phases: first phase between Budapest and Dunaújváros (54 km) by 2006; second phase between Dunaújváros and the Croatian border (198 km) by 2007. The EBRD has extensive experience in financing and structuring road PPPs in Hungary, including the financing of the M5 motorway to Szeged in 2004. Both EBRD and EIB can also get involved if PPP constructions are considered through direct equity participations. Expected projects in the period of 2007-2013 include: . M43 road construction (Roads) – €200 million; . FEREX, railway link between Ferihegy airport and Budapest city centre (Urban Railways) - €200 million; . Development of central railway station (Urban Railways); . Puskás Ferenc Stadium (Leisure & Sport); . Electronic Toll System (Roads) - €360 million;
3.4.7.2 Non-financial instruments for development Public Procurement Over the past decade, Hungary has introduced a number of notable reforms in its commercial legal framework. Since becoming a full member of the European Union in 2004, Hungary has been harmonising its laws with European Union legislation. Accordingly, the legal system has strongly evolved towards an internationally acceptable level and until recently Hungary has had an advanced set of commercial laws when compared to other transition countries. Public procurement in Hungary is regulated by the Act CXXIX of 2003 on Public Procurement (PPL), (amended on several occasions) and secondary legislation (Government Decrees and Ministry of Justice and Law Enforcement Decrees). The Hungarian PPL provides for modern, uniform, and comprehensive regulation, in accordance with the EU PP Directives. PPL clearly promotes transparency, integrity and competition in public procurement (average 90% compliance rate). Hungarian PP policy is focused on adopting transparency and integrity safeguards and providing significant enforcement instruments; it is less comprehensive when it comes to PP efficiency instruments. The most relevant pieces of legislations are: the Act on Public Procurement and the Act on Public Finances. Large infrastructure PPPs fall under the Act on Concessions. Concession The Hungarian government has a policy framework for improving the legal environment and promoting the concept of the Public Private Partnership (“PPP”) pursuant to which a PPP Task Force was set up by the Ministry of Economy and Transport in 2003 to include representatives of major public agencies and infrastructure line ministries as well as experts from private sectors. The main legislative act is the Law XVI of 1991 on Concessions (the “Concessions Law”). Moreover, Act CXXIX of 2003 on public procurements (replacing Act XL of 1995) may be applicable to PPP projects other than concession. The 2007/08 EBRD Concessions Sector Assessment revealed that the Hungarian concession legislation is in medium compliance with international standards and practices. The Hungarian legislation does not provide a clear
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definition of concession. Since there is no formal definition of PPP either, several legal provisions may be relevant to PPP depending on the project’s particulars. Concessions legislation in Hungary is two-fold: arrangements are governed by a combination of the Concessions Law and sector specific legislation, references to which are contained in the former. The Concessions Act provides an apparently exhaustive list of the activities/sectors where concessions arrangements are possible. Sector specific concessions legislation further defines concessions arrangements applicable to particular sectors and contains cross references to the Concessions Act. The Concessions Act contains rules on contracting arrangements, concession granting procedures and provides for the possibility of international arbitration for dispute settlement. It regulates the tendering process and also refers to a special tender law and to the relevant provisions of the Civil Code that are also applicable to a concession contract. Overall, the Concessions Act appears somewhat superficial and inflexible. In addition to an unclear concession definition other deficiencies include restricted assignment of concession rights to a third party, the absence of a stability clause, insufficient termination/compensation provisions and mechanism, pre- qualification procedure. These have been addressed by an EBRD-sponsored technical cooperation project requested by the Ministry of Economy and Transport in 2006/7. A comprehensive modern PPP Policy paper has also been drafted in consultation with the PPP Task Force for the Government to consider. However, unfortunately, neither the reviewed concessions law drafted under the project, nor the PPP Policy paper has been approved since (EBRD).
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3.1. Italy
3.2. Jkjk
3.3. Jkjkj
3.4. Kjkjk
3.5 Italy
3.5.1 Transport – General
3.5.1.1 Overview of freight transport sector In Italy the road mode is by far the most used in the system of internal transport, with a market share close to 90 percent, up more than 10 points to the European average, and much lower values for alternative modes (rail and inland waterways). However, examining the data related to the level of road cabotage (the degree of use of the road network for international transport calculated as the amount of internal transport carried out by Community air carriers non-residents), shows that Italy, in the period 2000 -2010, stands at levels much lower than those of other European countries, similar to those of Spain and less than half of those typical of countries such as Austria, Germany and France (where the data is, of course, the effect of geographical location). As to rail freight, the Italian market is less developed than that of other European countries. Comparing the national rate of rail freight transport in EU-15 there is a clear preeminence of Germany which covers 42 per cent (in terms of tonnes / km), followed by France with 11, 7 per cent and Sweden with 9.2 per cent, Italy and the UK report both the same amount, equal to 7.3 percent (figure below) Figure 18: Comparison between ms, as to rail freight
Source: ISTAT on Eurostat Data The performance of the railway operators in Italy, after a period of growth until 2007, was affected significantly from the international economic crisis in 2008-2009, scoring a slight recovery in 2010. Overall, there was a decrease in the total traffic by 8,3 per cent between 2002 and 2010, with a reduction of about 18 billion tons / km.
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Maritime transport is historically a very important matter for Italy that, until a few years ago, was the second European country in terms of handling goods, following only United Kingdom. Since 2008, Italy has dropped to third place, beyond the Netherlands who also assumed the leading position in Europe. In 2010, in fact, maritime traffic was slightly less than 500 million tonnes for Italy, compared to a value slightly above that threshold in the UK and nearly 540 million in the Netherlands.
3.5.1.2 Key strategic policies for freight transport The Italian Logistics Plan is at the moment the main tool to develop the necessary transport policy changes and to define the strategic guidelines able to face the short and medium term challenges to increase the competitiveness of freight transport in Italy. It has been completed in 2012 but never officially approved by Italian Parliament or Government due to the Government Crisis in 2011 and 2012. It contains several strategic options to promote freight transport in a more sustainable way, according to the contents of the EU Transport White Paper and to growth and environmental strategies set in these years by the European Commission. The National Logistics plan contains infrastructural, organizational and managerial measures summarized in “actions”. The relevant policies for economic growth must therefore be to improve the factors that contribute most to growth, namely: human factor infrastructure quality and the costs of services governance and regulation. All these factors affect the overall productivity of the economy and therefore on the competitiveness of the country. Two steps have been planned in the document: firstly, it is necessary to draw a "map" of the existing measures and the extent of the resources involved and to engage the various measures identified; secondly, and for reasons not dissimilar to those mentioned, it is necessary to make a detailed survey of regional policies in place and the resources involved. The ten strategies identified for the program of implementation of the Logistics Plan are: 1. The Reference Plan (Europe 2020 Expo 2015, Plan for the Southern Italy, etc...) 2. Sectorial policies in the logic of a carrier transport system for the country 3. The contribution of the parliamentary committees for monitoring of policy interventions 4. The inter-ministerial agreements for a shared program of interventions 5. The processes of economic reform and relaunch of the transport and logistics sector 6. The processes of the supply chain 7. Rules and regulations and policies: disincentives and incentives 8. Electronic platform, system of ICT and Galileo Project 9. Training program for a different "culture" of transport and logistics 10. Implementing body of the Plan The Logistics Plan is intended to be a catalyst for all the actions that allow the production in the next three years, of the interventions that will be able, on the one hand, to respond to the forecast scenarios (not in terms of the evolution of demand, as the ability of the system to offer and support new business cycles),
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and second, a strong sense of responsibility of all the parties that are responsible for managing the transport system. The Logistics Plan in its subsequent implementations will refer to the factors up to 2020 and change completely the relationship of supply and demand and the actions to adapt to these parameters must be implemented in the short / medium term, such as those in the energy, environmental, competition, security (understood as the safety and security). In particular, we have identified 51 "Actions" necessary for the implementation of the Plan: Action 1 - One Stop Shop for Customs Action 2 - Port Authorities and freight villages reform Action 3 - disincentives to reduce empty running and procedures for bans Action 4 - reducing the cost of work in the field of transport and logistics Action 5 - urban freight distribution Action 6 - intermodality, co-modality and network system of freight Action 7 - National Plan for Intelligent Transport Systems. Action 8 - Road freight transport: regulation time of loading and unloading time of payment, regular contributions, co-responsibility Action 9 - Set an Observatory of costs within the “Consulta”20 Action 10 - Establishment of a board of experts to simplify legislation Action 11 - Ferrobonus and ecobonus (see paragraph) Action 12 - Coordination with the Senate Action 13 - Coordination with the House of Deputies Action 14 - Including the Logistics Plan in the "National Reform Programme for the implementation of the Strategy for smart, sustainable and inclusive growth - Europe 2020" Action 15 - Implementation of the actions of the “Consulta” in the Strategic Plan for Infrastructure Action 16 - Agreement with the Ministry of the Interior Action 17 - Agreement with the Ministry of Foreign Affairs Action 18 - Agreement with the Ministry of Agriculture, Food and Forestry Action 19 - Agreement with the Ministry of Environment Action 20 - Agreement with the Ministry of Economy and Finance Action 21 - Agreement with the Ministry for European Policies Action 22 - Agreement with the Ministry of Economic Development Action 23 - Agreement with the Ministry of Labour and Social Policy Action 24 - Agreement with the Ministry for Relations with the Regions Action 25 - Authority for Transport and Logistics Action 26 – implement a database for volumes and traffic flows and realize an "Atlas of logistics" Action 27 - Programming of the TEN-T: Protocol of the Alps and “Corridor Companies” Action 28 - Agreement Local Authorities and Regions
20 The “Consulta Generale per l’Autotrasporto e la Logistica” is a technical/political body set up by the Ministry of Infrastructure and Transport in November 2005 to conduct "proactive activities, study, monitoring activities, consultation with the political authorities, for the definition of transport policy and strategies, including technical and administrative controls on the activity of road transport. " 203 Mapping of current EU & SEE Regional policies
Action 29 - Develop primary rail network Action 30 - Ports Action 31 – Better Organization of road transport for own account Action 32 - database for the industry on own account-on hire-cabotage Action 33 - Normalization List at provincial and national level Action 34 - Air transport development Action 35 – Inland navigation development Action 36 - Best Practices for the supply chain of consumer goods Action 37 - Best Practices of the medical supply chain Action 38 - Best Practices for Home appliance transport Action 39 - Best Practices for Automotive industry Action 40 - The freight mobility in urban areas Action 41 - urban mobility plan/guidelines Action 42 - Modernization rail vehicles Action 43 - telematics platform for logistics Action 44 - training for transport and logistics Action 45 - Intervention measures Action 46 - Rules and regulations Action 47 - Implementing body of the Logistics Plan Action 48 - The Agency for Promotion logistics Action 49 - Fiscal policy for logistics (Tax Reform, Tax Credit, Taxes customs) Action 50 -Tremonti Ter law for aggregations Action 51 – Impact assessment in a scenario of status-quo and with interventions During 2011 a series of studies were commissioned by the Ministry of Transport aiming to "calibrate" the contents of the Plan and to better define the scope of practice of the 51 proposed actions. The investigations concern: (a) the analysis of the demographic and socio-economic infrastructure of the territorial platforms along both North/South and East/West axis. This new way of reading the territories was a challenge especially for the identification of "correction factors" on the processes of "governance". (b) the structural analysis of combined transport and maritime proposals for strengthening the sector; (c) aspects related to the development of combined transport rail and air on a national scale; (d) analysis and assessments of the processes in the chain of policies aimed at implementing the plan and evaluating the dynamics of traffic flow
3.5.2 Transport - CO2 emissions In Italy, the last two decades have been characterized by a reduction of emissions of certain pollutants into the atmosphere. The levels of pollutants such as sulfur dioxide (SO2), carbon monoxide (CO), benzene and lead (Pb), are below the respective limit values since many years. The atmospheric particulate matter (PM10 and PM2.5), ozone and nitrogen dioxide (NO2) are the pollutans that continue to be a problem in Italy. Even with some improvements over the last 20 years, the transport sector continues to be one of the main contributors.
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In 2010, greenhouse gas emissions in transport sector in Italy reached 124 Mt CO2 eq, the 28% of national emissions. About 90% of sectoral emissions can be related to road (passenger and freight) transport, which has led the growth of the sector until 2007, followed by a gradual decline, with the first estimates of 2011, which will mark a - 9 % in four years. Transport is confirmed as the first sector for national emissions of CO2. The dynamics of emissions from transport is mainly driven by consumption of liquid fuels which in 2010 are responsible for 95% of emissions in the sector. The electric consumption has been fairly stable over the years, and represent approximately 3.5% of the sectoral emissions. The remaining part of the emission depends on gaseous fuels, which in recent years has increased essentially due to the dynamics of natural gas. Figure 19: 2010 greenhouse gas emissions in transport sector in Italy compared to national emissions in total
Services Housing Transport Industry Agricolture and fisheries
Source: ISPRA
3.5.2.1 Reduction and Targets In Europe, targets, plans and programmes aimed at controlling and reducing the environmental impact and greenhouse gas emissions in the transport sector, with a distinction between binding and non-binding targets. While the binding targets represent real commitments for Italy which therefore are also associated with a system of penalties, the non-binding targets configure these strategic scenarios in the long-term, and should, however, guide the choices of transport. The Roadmap 2050 and the White Paper on transport show at the current day a path to 2050 that is not at the moment mandatory, but it could become so in a short/medium term. The objective of reducing greenhouse gas emissions by 80% is in fact a technical and moreover an ethical and political commitment to the whole of Europe. For the moment the mandatory targets set by EU for the transport sector are the following, according to EU Directives: Directive 406/2009/CE
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According to the Directive 406/2009/EC, all areas not ETS1 EU must reduce their greenhouse gas emissions by 10% within 2020 compared to 2005. This is a legally-binding measure to be achieved between 2013 and 2020, with a reduction of emissions that must follow a linear path, that is, with equal shares of reductions possible from year to year. The rule of the EU 2020 Strategy, modulated according to the level of income per capita across countries, assigned to Italian transport as non-ETS sector, an obligation to reduce emissions by -13% between 2012 and 2020. Directive 28/2009/CE The Directive 28/2009 on the promotion of energy from renewable sources provides that each Member State will ensure that the share of energy from renewable sources in all forms of transport in 2020 is at least 10% of the final energy consumption in the transport sector of the Member State. As known, the first target of 2009, which applied only to biofuels, was followed correctly, taking into account 10% of other possible sources, such as electricity. In this sense, for the calculation of the amount of energy from renewable sources consumed in transport, all types of energy from renewable sources consumed in all forms of transport are taken into account. Regulation 443/2009 and 510/2011 With the Council Regulation (EU) N. 443/2009 and the Regulation (EU) N. 510/2011 the European Community has set levels of emissions performance standards for newly manufactured cars and light commercial vehicles. For all the new cars, the first Regulation sets a target of 120 grams of carbon dioxide per kilometer for new cars and introduces an average limit of 130 g CO2/km from 2015 (the limit will come into force in 2012 and then extended progressively higher percentages of car). The further reduction of 10 g CO2/km has to be achieved through the implementation of operations on other components of the car, such as tires and air conditioners. It is also expected that the average level of emissions to be observed to drop to 95 g of CO2 from 2020. For light commercial vehicles (Regulation no. 510/2011) instead the limit is set in 175 grams of CO2/km from 2017. In this case, the limit will be introduced gradually and, provided that it is feasible, further reduced to 147 grams of CO2/km from 2020. These limits have to be read together with standard, called “Euro”, which regulate the emissions of pollutants such as particulates and nitrogen oxides. The Euro 6 limits (Regulation no. 715/2007) for cars and vans will apply from 2014. It is necessary to point out that these limits relate to vehicle manufacturers and compensation in the event of emissions excess shall be borne by the latter. Each Member State has the duty to record information for each new passenger car registered in its territory and to report back to the Commission.
3.5.2.2 Vehicle technologies The rate of growth of electric vehicles in the next two decades is one of the biggest uncertainty in EU. In fact it is commonly agreed that in 2020 its diffusion will be still low, while in 2030 the “fork” (provided by the EEA) could be between 800 thousand and seven million electric vehicles (almost 18% of the national fleet). Therefore it is necessary to study measures aimed at creating an efficient system of charging vehicles mainly in urban areas. It is also necessary to support the reduction of carbon share in the electricity mix, and resolve the issues of recycling and transport of batteries.
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The development of biofuels is a pillar of the European strategy for the reduction of greenhouse gas emissions in the transport sector. Biofuels are particularly attractive in areas that have little chance to develop electrification, such as air transport, but also naval and heavy vehicles. Therefore it is necessary that first-generation biofuels (with greater potential impact on the system of food production and the environment) quickly leave the place to those called “second-generation”. Italy has great potential and many examples of excellence in this field. Our country, compared to other European partners, is in an advanced position in terms of know-how and technical expertise in this area.
3.5.2.3 Charging and emissions trade No info about this theme in Italy
3.5.3 Transport – Sustainability
3.5.3.1 Network Planning The main Italian programming document is the General Plan for Transport and Logistics (Piano Generale dei Trasporti e della Logistica - PGTL) approved in 2000 by the Italian Parliament. In this plan, objectives and strategic guidelines for the development of the transport sector in Italy were defined. According to this document the Italian lack of infrastructure holds back the further expansion towards the more advanced areas of the country and, at the same time, it is an inhibiting factor to the development processes needed to reduce the serious regional imbalances in the less advanced regions. Transport policy cannot be exhausted in planning actions to improve the country’s infrastructure, but has also to point out how to the increase of efficiency of their use. The objectives of the PGTL can be summarized in eight points, schematically shown below:
To serve the transport demand with appropriate levels of service quality. To serve the transport demand with a environmentally sustainable system. To ensure high standards of safety. To make efficient use of the resources devoted to the provision of services and the implementation of transport infrastructure. The transport system is an important factor to mitigate the socio-economic differences between different areas of the Country. Therefore, it is necessary to integrate spatial development strategies with those of mobility. To ensure the flow of international trade, which is essential for the maintenance and development of the economic relations of the Country with the rest of Europe. To create a strong network of multimodal infrastructures and services. Growth of sector’s expertise through professional profiles.
3.5.3.2 Intelligent transport systems The European Commission has estimated that the ITS solutions implemented so far at European level have allowed reductions in journey times (15-20%), energy consumption (12%) and emissions of pollutants (10%). Studies at the international level estimate even higher impacts: reduction of up to 40% of the congestion, 25% of total travel time 10% in fuel consumption 22% in the emission of pollutants.
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The extraordinary development of telecommunications and information systems allow mobile information services to ensure: Optimal use of data related to road, traffic and mobility, traffic management and freight, road safety; link between vehicles and infrastructure. It is necessary for Italy to transpose the Directive 2010/40/EU drawing up a National Action Plan which will contain the priority areas for action and the relevant national implementing measures.
3.5.3.3 Innovation A policy for the innovation in the transport sector must surely activate the full range of tools available: introduction of new rules, standards or prohibitions on direct public interventions in the realization of services and the infrastructure management. The most important tools for its inconsistency with current approaches is probably the principle of “funding through programs”. This policy for innovation is at the moment in a study phase in Italy, according also the possibility to create an Authority for the transport sector which has the aim to regulate the market but also to stimulate it. Funding through programs overcomes the approaches of direct subsidy to companies (mainly public) and that of indirect incentives, which have proven to be inefficient, on the one hand because companies use subsidies also to pursue their own objectives and are very difficult to control and sanction. Secondly, because the revision of price signals cannot determine structural changes in the system, as it is necessary in the case of mobility. The alternative must then be at the same time direct and unmediated. The model is that of some large European programs such as "Marco Polo": resources are available to achieve well-defined goals (not for generic objectives as they might be "innovation" or even "development") and are provided to entities - companies, government, non-profit facilities - which are considered to be consistent with the project objectives, regardless of the specific tools proposed by the project An active policy of innovation can also be managed with innovative tools: the public-private partnership encouraging the public venture-capital, the promotion of youth entrepreneurship in the creation of "incubators" in any case the discontinuity with the approaches prevailing cannot be hushed up: it is the participation of public capital in the ownership of new transport companies.
3.5.3.4 Internalisation of external costs In September 2011 the European Council approved the revision of Directive 1999/62/EC “Eurovignette”. The vote sets the entry into force of the Directive to be transposed by the Member States within two years after its publication in the Official Journal of the EU. The new directive updates the previous Eurovignette framework in order to allow Member States to calculate and apply tolls according to the external costs of transport in terms of air pollution, noise and congestion, under the "polluter pays" principle. These tolls, until now applied only to the trans-European network will be extended to all motorways. Vehicles which comply with the most stringent emission standards will be exempted from the burden of air pollution for four years from the date on which the new Directive will become applicable. This means that the Euro VI vehicles in the class will benefit from the exemption until 31 December 2017, EURO V vehicles until 31 December 2013. Member States may exempt vehicles weighing less than 12 tonnes, for example if application of tolls cause significant adverse effects or excessive administrative costs. A surcharge will be 208 Mapping of current EU & SEE Regional policies
applied instead, under certain conditions, the cost of infrastructure in mountainous regions. Although there is an obligation to do so from the Member States, the revenue generated by charges of infrastructure and external costs should go to support projects in the transport sector, in particular in favor of the trans- European network. An explicit requirement that provision is expected, however, for the revenue from the increase in the reporting burden of infrastructure in mountainous regions or from the increase in external cost on polluting vehicles. All Member States have two years starting from 14/11/2011 (publication on the EU Official Journal) to transpose the Directive into national law. Italy has not transposed the text yet.
3.5.3.5 KPIs No KPI/target in Italy about the sustainability of transport apart from the transposition of EU strategies and Indicators. For example, the 2011 White Paper identified the challenges that the transport system will face in the future, based on an assessment of the policies and recent developments and an assessment of trends. It then defined a long-term strategy which would enable the transport sector to reach the set objectives at the horizon of 2050. The White Paper's proposal for a transport system competitive and efficient in terms of resources is collected in three chapters and ten objectives.
3.5.4 Transport - Promotion of rail, sea and inland waterway
3.5.4.1 Integration The integration of the mode of transport is achieved through a transport policy coherent with EU policies, particularly with those reported in the 2011 White Paper. According to these principles transport policy in Italy try to promote the integration between all modes of transport according also with the EU principles of co-modality. For example Italian Ministry of Infrastructure participate to the Zurich Process, named after the “Declaration of Zurich”, the formal platform of cooperation of the Ministers of Transport of the Alpine countries. With this agreement with other Alpine Countries Ministries all necessary measures are to be taken to ensure the sustainable and safe management of road traffic in these ecologically (Alpine region) and technically (tunnels, mountain roads) difficult areas. At the same time, efforts must be made to encourage the use of more economically efficient and environmentally-friendly means of transport, i.e. mainly rail transport.
3.5.4.2 Incentives Ferrobonus The Ferrobonus is an incentive to support combined transport and shift road transport to rail, as well as with art. 3 of Ministerial Decree no. 592 of 4 August 2010, as amended by the Ministerial Decree no. 750 of 14 October 2010, in which the operating procedures for the disbursement of the resources of the 209 Mapping of current EU & SEE Regional policies
contribution are indicated. This program is now the main legislative instrument in which are described and detailed the Italian political priorities in relation to rail transport and combined services. Incentive can access the business users of rail services that: have commissioned, from 15/10/2010 to 14/10/2011, combined transport services with complete trains or transshipped transport services with a volume of traffic (in terms of trains/km travelled on the national network), not less than 80% of what held from 1/7/2009 to 30/6/2010; the business users of rail services that have not commissioned combined transport services in 2009, but that they did in the period from 1/10/2010 to 30/9/2011. Also transport services with empty load units can be considered for the purposes of calculating the contribution, at the condition that they are included within a service contract for combined transport. This can be done both in the case of train that once unloaded abroad comes back in Italy, both in the case of complete train that arrives fully in Italy and returns empty abroad. This contribution is subject to the implementation, on an annual basis, of at least 48 pairs of trains. The amount of the contribution is fixed at a maximum of € 2.00 per combined transport train / km on the national network from 15/10/2010. The companies that received contributions that were not transport users (eg railway undertakings) are required to re-allocate the benefit to their customers through a discounted of at least 40% of the contributions received. Available resources have been established in an amount not less than 25.7 million euros. In December 2011 the European Commission Decision C (2011) 9794 has been declared compatible with the internal market support this scheme for combined transport by rail (Ferrobonus), assessing the coherence between the national and Community legislation on the basis of parameters set included in "Community guidelines for State aid for railway undertakings" (2008 / C 184/07)”. Ecobonus The Ecobonus is a national direct incentive to all truck drivers that has the aim of supporting trucking companies to make the best possible use of the sea lanes in order to transfer even larger shares of goods traveling on heavy vehicles from the road to the Motorways of the sea. To this aim the law 265/2002 made available to drivers about 240 million. the Presidential Decree no. 205/2006 put this law into action, promoting the re-balancing of modal transport of goods on the Italian territory, with the introduction of incentive systems aimed to support a gradual increase in the use of the maritime mode and the 2008 Financial Law (Law 244/2007) allocated 77 million euros for each of the years 2007, 2008, 2009 to this aid regime. The main measure is designed to support the selection of the sea transport as an alternative to the road. Accompanying measures are intended to encourage partnerships between small businesses with the specific goal of making efficient use of the maritime alternative to road transport and to facilitate training measures to promote the access and use of sea routes and the purchase of hardware and software designed to optimize the transport chain in conditions of maximum security. The Presidential Decree no. 205/2006 grants incentives to carriers who choose to take on heavy vehicles (trucks and lorries) accompanied or unaccompanied on ships instead of roads and highways, thereby supporting the transfer of goods to regular existing services or to newly established as Motorways of the Sea. 210 Mapping of current EU & SEE Regional policies
The promotion of modal shift of transport takes place through the establishment of a fund distributed according to the following percentages for the purposes listed below: a) 90% for interventions of innovation of the system of road haulage of goods, the development of logistics chains and the upgrading of intermodality, with particular reference to the use of the maritime mode in place of that road, and for the development of maritime cabotage and environmental improvement interventions; b) 10% for corporate restructuring and technological innovation, linked to the objectives referred to in point a). The beneficiaries are all trucking companies, including existing temporary or permanent consortia, that load trucks and trailers on cargo ships (Ro-Ro and Ro-Pax), in order to use sea routes identified according to the criteria set out in paragraph 6 of art. 3 of the DPR. The amount of the contribution can reach the maximum percentage of 20% on fares on existing routes and 30% on transport prices on the new routes. The incentive measure provided direct effects on the traffic flow of goods from/to Italy encouraging a concentration of traffic on the existing maritime routes, encouraging also the creation of new maritime services. The Ecobonus, in fact, aims both at optimizing the routes already in use by offering incentives in order to increase the level of use of the available space and the opening of new routes. Promoting maritime transport services, the incentive Ecobonus, in accordance with Community policies in the field of transport, intended to ensure a significant modal shift from road to sea. The following decree of 31 January 2007 and the Decree of 14 September 2009 of the Ministry of Transport and Infrastructure (Annex I), have identified the following sea routes covered by regular services such as those of delivering the contribution: National: Catania Civitavecchia; Leghorn –Catania; Catania-Genoa; Catania Naples; Catania- Ravenna; Messina-Salerno; Palermo-Civitavecchia; Palermo-Genoa; Palermo-Naples; Salerno- Palermo; Civitavecchia-Messina, Savona Vado-Termini Imerese. International: Barcelona-Genoa; Barcelona-Palermo; Barcelona-Civitavecchia; Valencia-Genoa; Tolone-Civitavecchia; Tunis-Genoa; Tunis-Leghorn; Tunis-Civitavecchia; Tunis-Naples; Marina di Carrara-Castellon de la Palma. Friuli Venezia Giulia - State aid no. 643/2009 Interventions for the development of intermodality This scheme of State aid aims at supporting the modal shift of freight from road to rail and ship through the granting of aid to rail and short sea shipping, to compensate extra costs of combined transport and maritime transport compared to road transport. In March 2006, the Commission approved this scheme for the period 1 January 2007 - 31 December 2009. The objective is to facilitate the modal shift of freight from road to rail and short sea shipping in the region Friuli Venezia Giulia, in order to reduce transport costs incurred by the shippers. The duration of the scheme is 6 years from 1 January 2010 to 31 December 2015 and provides a total budget of EUR 12 million, 2 million per year. The scheme is based on:
Regional Law 15/2004 which provides for the granting of aid for the establishment of intermodal rail transport services and new maritime services for the combined transport of goods;
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Resolution no. 1970/2004 of the Regional Government of Friuli Venezia Giulia laying down provisions for the implementation of the above mentioned law and setting the terms and conditions of implementation of the notified scheme. The beneficiaries of this scheme are:
All public or private logistics companies with their registered office in a Member State and providing combined transport between rail and at least one other transport mode; In addition, for “eligible rail intermodal service” the regulation applies to: "[...] a full train service, single or multi-client, acquired by the logistics on a relation both national and international, traveling with a rail path and on a regular basis to and from a terminal in the region Friuli Venezia Giulia” For the intermodal rail transport (combined transport) the aid is fixed In the amount of 33.00 Euro per transported intermodal unit, corresponding to the difference between the external costs between road and rail in the transport of goods for a distance of at least 100 km. The measure can be adjusted by applying a coefficient that takes into account the length of the service and the number of crossed countries. It never exceeds 30% of the cost of intermodal transport service. The coefficient has the objective to adapt the amount of aid taking into account additional structural costs incurred for the train service, based on the distance traveled and the number of countries crossed. The measures are the following:
For rail services between 100 and 250 km, the adjustment factor is 1.00 in the case of crossing the territory of a Country, 1.20 in the case of two countries and 1.30 in the case three countries ; For rail services between 251 and 450 km, a coefficient of 0.90 is applicable in the case of crossing the territory of a Country, 1.10 in the case of two countries and 1.30 in the case of three Countries. This aid scheme has been applied/is applied also to the short-sea shipping services: the eligible services are the maritime services for the transport of goods with origin / destination in one of the ports of the region Friuli Venezia Giulia. The aid aims at new maritime services capable to capture the flow of road traffic coming from central and southern Italy. The measure promotes the use of the Adriatic Sea as an alternative to road routes from southern Italy to Trieste and Gorizia, with the objective of encouraging the development of intermodality and reducing congestion on roads and highways. Beneficiaries are ship- owners, shipping companies and ship operators established in a Member State that manage the ship operations establishing regular services lines with specialized vessels for the transport of UTI and non- intermodal loading units in shipping lines in concurrence with road transport. The basic measure of aid is 54 Euro per unit transported, corresponding to the difference between the external costs between road and sea in the transport of goods for a distance of at least 100 km. As in the combined transport, the basic measurement may be appropriate with the application of a coefficient that considers the length of the route and the number of landings in the ports. Friuli Venezia Giulia - State aid no. 644/2009 Interventions for the development of Accompanied services (Ro.La) In June 2010 the European Commission approved the extension of the aid scheme aimed at encouraging the transfer of freight from road to rail, by reducing the cost of access to combined transport services in order to promote the modal shift of freight traffic from road to rail by reducing the cost of access to accompanied combined transport services.
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The total budget amounts to EUR 12 million (2 million a year) and will be disbursed in two tranches: an advance payment equal to 40% of the total contribution granted and a second payment for each year of the activity of the service, after verifying the accounts produced. The duration for the scheme covers the period from 1/1/2010 to 31/12/2015 and will be implemented only with the approval of the Commission. The aid will be granted to companies that organize logistics services accompanied combined transport with origin or destination in a railway station or intermodal center located in Friuli Venezia Giulia region performed by a lorry, trailer or semitrailer. The financial aid intends to compensate various external costs and the costs for the use of the infrastructure associated to a different mode of transport. The scheme allows the reduction of tariffs for road transport companies for the use of combined transport services, thus reducing road traffic in the region. The aid will take the form of direct grants and will be granted to each one-way rail journey of at least 100 km in length and its amount will be proportional to the use of combined transport. It is fixed according to the length of the rail stretch (above or below 150 kilometers) and the rate of use of the rail services. “Rate of use” means the ratio between the number of units transported in the period of reference shown in the provided work plan and its capacity. Accordingly, the following levels are applicable: a) EUR 33.00 per unit transported, if the rate of use is between 71% and 100% and the distance travelled is more than 150 km; b) EUR 30.00 per unit transported, if the rate of use is between 71% and 100% and the distance travelled is between 100 km and 150 km; c) EUR 27.00 per unit transported, if the rate of use is between 51% and 70% and the distance travelled is more than 150 km; d) EUR 25.00 per unit transported, if the rate of use is between 51% and 70% and the distance travelled is between 100 km and 150 km; e) EUR 22.00 per unit transported, if the rate of use is between 25% and 50% and the distance travelled is more than 150 km; f) EUR 20.00 per unit transported, if the rate of use is between 25% and 50% and the distance travelled is between 100 km and 150 km; g) if the rate of use is less than 25% for both kilometer bands, no aid may be granted and any paid in advance must be refunded. The aid will amount to a maximum of EUR 33 per unit transported over a one-way rail stretch of at least 100 kilometers in length. This value has been established in accordance with the Commission's evaluation of external costs. The maximum level is fixed at 30% of the transport cost.
3.5.5 Enhancement of competitiveness of the private sector All the Incentives system presented in the previous paragraphs are dedicated to the private sector, both belonging to the transport sector and not only: private rail operator, forwarders, shippers and other companies who want to shift their transport from road to other more sustainable mode of transport as rail, inland waterways or sea transport.
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3.5.6 Incentives for sparking growth and for moving into new technologies
3.5.6.1 Institutional
3.5.6.2 Organisational
3.5.6.3 Financial In Italy there isn’t a plan for new technologies and all the related activities are included in other ministerial plans and programmes. Furthermore the incentives are normally provided on regional basis and on regional initiative. A special project for the innovation in maritime services is the Italian Sea Technology Platform. The Italian Sea Technology Platform (PTNM)
The Italian Sea Technology Platform (Piattaforma Tecnologica Nazionale del Mare - PTNM) was created in 2005 to meet the need of a holistic interface among industry, research and administration on the topics of research, training and innovation. Today the PTNM initiative perfectly suits the European Commission strategy to implement an Integrated Maritime Policy (Blue Book) and boost Member States to adopt holistic strategies for the sea.
3.5.7 Infrastructure development through EU and national funding PPPs
3.5.7.1 Financial instruments for development
3.5.7.2 Non-financial instruments for development In Italy the main national funding instruments for infrastructure development is the so called “Legge Obiettivo”: this term typically refers to the rules contained in the field of "strategic infrastructure of national importance", in some national acts:
Law n.443/2001, C.D. "Objective Law", the Government is delegated to enact laws and legislative decrees for the implementation of the guidelines set out; CIPE n.121/2001, which draws up the first list of "strategic infrastructure of national importance", estimating the total cost and the state budget; Law n.166/2002, C.D. "Collegato Infrastrutture", which amends the provisions of the Framework Law n.443/2001, including reforming the procurement rules set out in Law n.109/94 (Merloni ter); Leg. N.190/2002, C.D. "Decree implementing the Objective Law", which fulfills all the rules of procedural simplification for the design to approval of strategic projects contained in the CIPE. The main innovative aspects in terms of procedure of the approval of these laws are: a) Introduction of strict time limits for the approval of projects; b) Changing the role of the Conference of Services21;
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c) Approval of preliminary and final plans by the CIPE; d) Discipline of project finance; e) Introduction of the figure of the general contractor; f) Raising the price and duration limit of the concessions The importance of the legislation planned that "Objective Law" is primarily in the list of strategic projects referred to CIPE22 n.121/2001, which are automatically incorporated into the PGTL, and for which the responsibility for project approval passes to the CIPE, regardless of the type of infrastructure and expertise "in the ordinary regime."
TEN-T Network and Trans-European Transport Network Executive Agency The Trans-European Transport Network Executive Agency's mission is to support the European Commission and TEN-T project managers and promoters, by ensuring the technical and financial management of the projects and the successful implementation of the TEN-T Programme. Envisioning such a network, the European Commission's TEN-T programme dedicates financial support towards the realisation of important transport infrastructure projects - in line with the overreaching goal of European competitiveness, job creation and cohesion. From 2003 Until 2011 TEN-T funding in Italy could be summarized as follows: a) PP1 (Berlin-Palermo) – 948.8 million Euro b) PP6 (Lyon-Ukraina) – 827.3 million Euro c) PP24 (Genoa-Rotterdam) – 422.4 million Euro In the same period TEN-T Agency co-financed 83 infrastructural project for the development of TEN-T core network in Italy National Operating Programme The National Operational Programme "Networks and Mobility" (PON "Reti e mobilità"), approved by the European Commission Decision C 6318/2007 of 07.12.2007 provides funds for infrastructure measures for a total of 2.75 M Euro, funded by the European Regional Development Fund (ERDF 1.375 Meuro) and the national fund (Meuro 1.375). The program operates in the areas of "Convergence" (Campania, Calabria, Puglia and Sicily) and aims to contribute to the enhancement of the country's position in the Mediterranean, through actions that make up a logistics platform which bridgehead the EU to the south of the Mediterranean. Following the opening of formal negotiations, the text was approved by the European Commission on 7 August 2007. The strategic vision of NOP, and its consequent objectives, is developed according to the results of analysis of the context and of the main constraints to external strategic program. In particular, these constraints are represented by: 1. At community level:
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EU strategic guidelines
the Integrated Guidelines for the Lisbon Strategy promoted at European level
sectoral policies defined at European level, in particular through the review of the White Paper on European transport policy and the Community guidelines for the development of trans-European transport network (TEN-T) 2. National level:
Strategic National Framework (QSN)
sectoral plans operating at national level, in particular the General Plan for Transport and Logistics and the Annex to the Infrastructure Planning Document 2007-2011
Regional level. The NOP “Networks and Mobility” pursues the following strategic priorities aimed at ensuring: modal shift, addressing the demand for mobility towards more efficient mode of transport from the economic, social and environmental point of view; intermodality, favoring both the interconnection between the major traffic routes and major local production centers and the integration between different modes of transport; mobility and accessibility, ensuring a careful integration between port nodes and national and the main international transport routes in order to support balanced regional development processes and at the same time offer them the opportunity to be placed in a more competitive position; quality and efficiency, enhancing the quality of freight transport services, safety standards, management techniques; the reduction of environmental impacts in terms of emissions (air, noise) by improving the overall efficiency of the transport system and the modal shift in favor of rail and sea.
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3.2.
3.6 Romania
3.6.1 Transport – General By its geographical position, the traditions and the spirit of its good neighborhood policy, Romania, with an area of over 237,500 square kilometers and about 23 million inhabitants, is part of the European countries and has committed irreversible path of integration in European and euro-Atlantic community. Situated on transit corridor between Western Europe and the Middle East, herself a regional power, producer and consumer, Romania became independent in the second half of the 19th century, started to develop transport by investing resources, talent and hard work in creating the highest of the era technological infrastructure. Given its geographical position and infrastructure network, Romania meets the essential role of the Board of continental and intercontinental transportation on the main geographical trajectories West-East and North-South. Structure of public transport infrastructure network Public network infrastructure in Romania includes Public railway network covers practically the entire territory of the country, with a population density of exploitation 46,1 km/1000 km², providing connection with all railway networks of neighbouring countries. The length of the network is 10.981 km, of which 2.965 km (27,0%) double line and 3.942 km (35,9%) electric line. The network is served in territory of 1.051 stations and railway depots 50 halte and draws of locomotives, carriages and 120 revision workshops area and maintenance sections 106, works of art and of interlocking and telecommunications. From the point of view of the public road network modernization owns 24.6% (18,084 kilometers) upgraded roads, 28.4% (20,836 km) roads with light traffic and 47% (34,515 kilometers) of paved roads and land. Waterway network lies entirely in the south and south-eastern Romania km/1000 density of 6.5 sq km. Network length is 1,779 km of which 1,075 km navigable Danube international waterway of the Danube arms 524 km and 91 km of artificial waterways (Danube-Black Sea channel and gate Alba Navodari); The network of inland waterways and the Black Sea ports integrate 35 ports: 3 seaports, 6 river and sea ports and 26 river ports. Romanian ports have approx. 49,000 m hydraulic for dock construction, including 18.1% older than 50 years, requiring urgent reconstruction works. Decision no. 1326 / 11.11.2009 – On transport in Romania This decision establishes the general transport unit carrying dangerous goods by road modes, rail or inland waterway performed wholly or partly in Romania, including loading and unloading activities, transfer / transshipment to or from another mode of transport and the stops necessitated by the circumstances of transport, as required by law. Romanian Government Ordinance no. 27 / 31.08.2011 – On road transport 217 Mapping of current EU & SEE Regional policies
Provisions of this Ordinance constitutes the general framework for organizing and conducting road transport of goods and people in Romania and their related activities, safety and quality with the principles of free competition, ensuring non-discriminatory open access to the road transport market, environmental protection of the rights and interests of individuals and businesses and to meet the needs of the national economy and defense needs of the country. By this ordinance to create the general framework for the application of the provisions of Regulation (EC) no. 1.071/2009 of the European Parliament and of the Council of 21 October 2009 establishing common rules concerning the conditions to be complied with to pursue the occupation of road transport operator and repealing Council Directive 96/26/EC, Regulation (EC) no. 1.072/2009 of the European Parliament and of the Council of 21 October 2009 on common rules for access to the international road haulage market goods and Regulation (EC) no. 1.073/2009 of the European Parliament and of the Council of 21 October 2009 on common rules for access to the international market for coach and bus services, and amending Regulation (EC) no. 561/2006, hereinafter Regulation (EC) no. 1.071/2009, Regulation (EC) no. 1.072/2009, namely Regulation (EC) no. 1.073/2009.
3.6.1.1 Overview of freight transport sector Romanian Government Emergency Ordinance no. 12 / 07.07.1998 – Regarding Romanian railway transport and the reorganization of the National Society of Romanian Railways Public railway transport is, by its nature, a strategic sector for national interest, an essential service to society, contributing to freedom of movement, to solve major economic interests, the movement of people, goods and other goods in the domestic and international traffic with a high degree of safety in an environmentally friendly, efficient, and performs specific tasks for the needs of national defense under the law. Public rail is made only on the basis of contract of carriage. Rail License To make public rail transport services for themselves can obtain license the carriers with state capital and / or private granting of the Ministry of Transport. During operation, licensed railway operators are required to carry, the deadlines and technical parameters listed in railway safety requirements for all checking, maintenance and repair of rolling stock which is or placed into service, under penalty of suspension or license withdrawal. Parameters Romanian railway infrastructure components must conform to national and international or those established by international agreements and conventions to which Romania is a party. These parameters must be compatible with the Romanian railway infrastructure, in whole or in lines and corridors, with the international railways. Public authority in rail transport The Ministry of Transport, as a specialized body of the central public administration, is the state authority in the field of railway transport, ensuring development and safety. The Ministry of Transport exercises state authority, directly or by delegation of powers to a railway authority organized as a public institution. Railway infrastructure management
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Railway infrastructure management is ensured by the Romanian National Railway Company in respect of the concession, without paying any taxes. Railway infrastructure concession contract shall be concluded on behalf of the State, the Ministry of Transport, for a period up to 50 years. Investment, modernization, development and public railway infrastructure repairs and investments in projects of national importance, ensuring Romania's integration into the European railway system is financed from the state budget or state-guaranteed loans repaid from the state budget. Making new public railway infrastructure or major projects of structural changes and / or technological public railway infrastructure is subject to laws regarding public works and approved by the Ministry of Defence, to fit the national defense infrastructure. Infrastructure rate utilisation Rail carriers licensed to carry out public transport for themselves, cargo and / or passengers using railway infrastructure capacities, pay a fee to use it, whose limits are set by contract concluded by the national company that manages infrastructure with the Ministry of Transport. Traffic safety Public rail transport must take place in a climate of firm discipline, ensuring the necessary conditions for the complete safety of passengers and goods transported. Staff tasks traffic safety national company that manages the railway infrastructure and railway undertakings licensed subject to the provisions of the regulations and instructions specific to railway safety concerning train movements. Order no. 7 of 20 January 2005 – For approval of railway transport in Romania This regulation is to establish standards on the rights, obligations and responsibilities of the administrator and rail infrastructure managers, railway operators and railway carriage recipients in Romania. This Regulation shall apply to shipments, public transport passengers, cargo and other goods on railways in Romania, and activities incidental thereto and where applicable, railway transport in Romania made their own interests, and activities incidental thereto. If national security, railway safety, public interest or operating requirements require administrator / rail infrastructure managers and / or railway undertaking, in accordance with the competent authorities, by law, may decide that: - Traffic and service on certain routes to be suspended in whole or in part - Some shipments are excluded from transport or received only in certain prescribed conditions; - Some expeditions to enjoy priority; - Military transports will run continuously, if necessary. Transport rates Setting or changing tariffs rail passenger is under legal regulations. Passenger fares are published at the CFR and are made public and other mass media, including display in places where tickets are sold.
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Rail freight rates are freely established market. Rail fares are published in the commercial CFR The price is determined by the performance of transport operators railway tariffs applicable when the contract of carriage. Rail fares are published in the commercial CFR Commercial purposes, based on agreements between rail carriers and customers may be granted tariff reductions can be practiced other than published rates, except for rail passenger transport. Publication of trade measures is not mandatory. Transport of goods An operator may agree to transport any goods whose transport is prohibited by law. Goods for which special conditions are established by law may be transported in accordance with these provisions. Dangerous substances or articles are accepted for carriage under the Regulations concerning the International Carriage of Dangerous Goods by Rail (RID). Obligations rail operator Rail carrier is liable for damage resulting from total or partial loss and damage to goods arising from the contract of carriage and when to release the expedition, and damage resulting from exceeding the period of performance of the contract of carriage. An operator is obliged to pay compensation for total or partial loss, damage or excess merchandise term transport contract performance. When undue rates are charged, rail operator is obliged to return them. Order no. 644 / 03.05.2005 – To establish rules for transport of dangerous goods by rail comply with Commission Directive 2004/110/EC which adjusts for the sixth time to technical progress Council Directive 96/49/EC on the approximation of the laws of Member States relating to the transport of dangerous goods by rail. Transport in internal traffic of dangerous goods by rail shall comply with the Regulation concerning the International Carriage of Dangerous Goods by Rail (RID) provided in Appendix. 1 to Appendix B to the Convention concerning International Carriage by Rail (COTIF) version 2005. Intermodal transport Intermodal transport is designed as an item of rationalisation and improvement of the quality of the carriage of goods. It will be based on greater cooperation between all modes of transport, a key support for the improvement of the logistic costs, influencing the final price of the goods, positive in destination markets. Intermodal transport priorities in the period 2007-2013 are to define the network of intermodal transport of goods related to the provisions of international agreements (AGC, AGTC) and the needs of development, the structure of the system by supporting actions to implement links between modes and enhancement of certain key units, stimulating the emergence of new operators and increasing use of existing equipment, namely: . definition of intermodal transport network system at national level . fostering territorial structuring of international and national nodes based on intermodality, in coordination with the regions and local administrations; construction/development of intermodal terminals
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. implementation and development of alternative solutions for combined transport . stimulating the development of a network of intermodal regional platforms included in the main areas of production and consumption with autonomous character . strengthening the development of intermodality port logistics platform in the port of Constanta and the Danube ports showing potential for economic development . strengthen railway accessibility in ports . the integration of rail network in the network of logistic land platforms developed or planned . intermodality with air cargo development through multimodal platforms (A.I. "Henri Coanda" Bucharest Otopeni) and other airport facilities specializing in the operation of the goods . implementation of a specific programme for the promotion of intermodality, in coordination with the Marco Polo II programme of the EU.
3.6.1.2 Key strategic policies for freight transport Decision no. 817 / 14.07.2005 – For approval of the sector's long-term strategy to restore financial balance rail infrastructure manager and the modernization and renewal of infrastructure Long-term plan strategy to restore the railway sector financial balance of the infrastructure manager and the modernization and renewal of infrastructure in the Annex which forms part of this decision, defines the main directions in which reform should be directed to restore financial balance to the administrator modernization and renewal of infrastructure and infrastructure as part of the rail system, but its implementation should be in correlation with other modes of transport policies and priorities in other sectors of the Romanian economy and society. Pricing Policy The rail transport market is in competition with other modes of transport, especially road transport. To ensure financial stability in railway transport system requires benefiting from market playing field with other modes of transport. Only if it is clear that market prices of transport formats are not distorted by discriminatory policies, they can be successfully applied restructuring policies and ensuring financial balance within each mode of transport. It is not possible to ensure the financial stability of the company that manages the railway infrastructure, if other system components are not taken into account. State intervention in covering costs - tariff distortion On the one hand, one can not ignore the fact that rail operators must operate on commercial principles. On the other hand, state should cover the costs involved in railway infrastructure and public social services payment passenger. Trying to balance the system by non-commercial practices based on over-charging for access to the infrastructure of the transport of goods, which emphasizes cross-subsidies, leads to negative effects on the economy by distorting rail transport tariffs and additional transport volumes transfer to competing modes. Long-term strategy of the railway sector
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Long-term strategy of the railway sector is crucial to restore financial equilibrium of the infrastructure manager and the modernization and renewal of infrastructure in the next period. An increase in GDP of one to three percent, as provided in the coming years in EU, results in increases in transport and passenger traffic in similar margins. So far there are no statistics to deny this relationship. Starting from this premise, current transport volumes will double in the next 20 to 40 years, depending on the annual rate of growth. Competition: Road -Rail Road became a dominant mode of transport in Europe and will continue to maintain this position in the near future, although growth rates will be better controlled at EU level than hitherto. EU wants the next 25 years an important part of the new transport demands to be taken by the railway system to prevent collapse and to respond effectively to the challenges of environmental criteria, but also to reduce the time lost in congestion traffic, mainly due to claims producers receive deliveries logistics principles (just in time). Rail is a really strategic sector for successful efforts to re-balance distribution of requests across multiple modes of transportation, especially for goods. Revitalising this sector means competition between railway companies themselves. Common rail to railway operators European rail operators have committed themselves to defining a common strategy to create a unique railway in Europe by 2020. In this document signed by the International Union of Railways (UIC) Community of European Railways (CCFE), the International Union of Public Transport (IUPT) and the Union of European Railway Industries (UNIFE), the railway stakeholders agreed to achieve the following goals by 2020: . Increase the market share for passenger rail from 6% to 10% and freight by rail from 8% to 15% . Tripling labor productivity on track . 50% increase in energy efficiency . 50% reduction in emissions of pollutants . Increase infrastructure capacity based on expected traffic Information services on the international market Railway system in Romania has developed an integrated, complex, based on the latest available technologies. This system consists of several components very competitive internationally: . IRIS system for railway traffic management . Xsell system for electronic selling tickets in railway traffic people . Financial accounting system based on Oracle Financial package
3.6.2 Transport - CO2 emissions Environmental issues are related to increased traffic and health risks. These can be solved by an integrated policy approach to reduce both emissions and negative effects and noise.
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Romanian Government Emergency Ordinance no. 40 / 20.04.2011 – On the promotion of clean road transport vehicles and energy efficient Considering the fact that Member States are obliged to transpose Directive 2009/33/EC of the European Parliament and of the Council of 23 April 2009 on the promotion of clean road transport vehicles and energy efficient before 4 December 2010, required to initiate a draft emergency ordinance to transpose it in a short time, to avoid the risk of triggering an infringement procedure. Given that emergency adopting these measures bring harm to Romania by triggering the infringement procedure and application of financial penalties in accordance with EU law, with serious consequences for the state budget and given the fact that traditional sources of fuel as we know, are exhaustible sources and constant concern of Romania to create a framework for a clean and unpolluted environment, adopting a bill to create the possibility of purchasing vehicles "clean" clean, hybrid or electric. Since the entry into force of this emergency ordinance, all contracting authorities referred to in art. 4 letter. a) and operators referred to in art. 4 letter. b) have an obligation to account to the purchase of road transport vehicles of energy and environmental impact throughout their life, at least the items listed in par. (2) using at least one of the options provided in par. (4). Thus all road transport authorities and operators will consider the purchase of a road vehicle designed cargo or persons transport, assess operational energy and environmental include at least the following: . energy consumption . CO2 emissions . NOx, NMHC and particulate Operators benefit from new vehicle price reductions given that they agree to scrap an old polluting vehicle. Decision no. 935 / 21.09.2011 – On the promotion of biofuels and bioliquids This decision sets mandatory national targets for the share of renewable energy in transport and sustainability criteria for biofuels and bioliquids. It aims to promote the use of biofuels and other renewable fuels to replace diesel or gasoline, to help meet climate change commitments, securing the supply of gasoline and diesel products in a manner compatible with the environment and promoting the use of renewable energy.
3.6.2.1 Reduction and Targets Order no. 343 / 10.03.2005 – Regarding the organization of green corridors and downloading electronic TIR carnets. The provisions of this Order are applicable to customs offices at the borders with Bulgaria and Hungary to eliminate unjustified stays of vehicles at the borders. The flow input / output to / from country to transport registered in Romania and abroad, traveling from Bulgaria - Romania - Hungary and vice versa, will be created and organized separate color processing operations under cover of TIR Carnets called green color.
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In these colored green TIR Carnets as transit customs documents will be submitted by the carriers as transit holders only customs personnel, without the intervention of customs brokers or other legal entities operating at the border unless their carriers require the provision of services against payment. This regulation lays down rules for classification of CO2 emissions from new cars. The limit fixed by the regulation is 130 g/km of CO2. By 2020, this level should be reduced to 95 g of CO2. Romanian Government Emergency Ordinance no. 40 / 20.04.2011 – On the promotion of clean road transport vehicles and energy efficient Considering the fact that Member States are obliged to transpose Directive 2009/33/EC of the European Parliament and of the Council of 23 April 2009 on the promotion of clean road transport vehicles and energy efficient before 4 December 2010, required to initiate a draft emergency ordinance to transpose it in a short time, to avoid the risk of triggering an infringement procedure. The goal is to promote and stimulate the market of clean and efficient energy and improving transport sector's contribution to EU policies on the environment, climate and energy. Since the entry into force of this emergency ordinance, all contracting authorities referred to in art. 4 letter. a) and operators referred to in art. 4 letter. b) have an obligation to account to the purchase of road transport vehicles of energy and environmental impact throughout their life, at least the items listed in par. (2) using at least one of the options provided in par. (4). Thus all road transport authorities and operators will consider the purchase of a road vehicle designed cargo or persons transport, assess operational energy and environmental include at least the following: . energy consumption . CO2 emissions . NOx, NMHC and particulate
3.6.2.2 Vehicle technologies This regulation lays down rules for classification of CO2 emissions from new cars. The limit fixed by the regulation is 130 g/km of CO2. By 2020, this level should be reduced to 95 g of CO2. The types of vehicles covered by the regulation The regulation applies to vehicles of category M1 as defined in annex II of the directive on the type- approval of motor vehicles registered for the first time in the European Union (EU), without having been previously registered in a third country. Specific emission targets Vehicle manufacturers have targets on emissions of CO₂, whose formulas are set out in annex I of this regulation. In order to determine the average specific emissions of CO₂ for each producer, the following percentages of cars should be taken into account:
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. 65% in 2012 . 75% in 2013 . 80% in 2014 . 100% from 2015 This regulation contains specific provisions for vehicles that operate on the basis of ethanol fuel compounds in 85% (E85). To determine whether a manufacturer reaches its goal of CO₂ emissions, specific to this type of vehicle must be reduced by 5% by 31 December 2015. To calculate the average specific emissions of CO2, each new passenger car that generates a quantity of COs emissions of less than 50 g/km shall be regarded as equivalent to: . 3.5 cars in 2012 . 3.5 cars in 2013 . 2.5 cars in 2014 . 1.5 cars in 2015 . 1 car starting in 2016 Specific emission targets For the calendar year commencing 1 January 2012 and each subsequent calendar year, each manufacturer of passenger cars shall ensure that its average specific emissions of CO2 do not exceed the specific emissions targets laid down in accordance with Annex I or, where a manufacturer is granted a derogation under article 11, in accordance with that derogation. In order to determine, for each producer, the average specific CO2 emissions, taking into account the following percentages of the respective manufacturer's new passenger cars registered during the year in question: . 65 % in 2012 . 75 % in 2013 . 80 % in 2014 . 100 % starting 2015 Additional credits To calculate the average specific emissions of CO2, each new passenger car that generates a quantity of specific CO2 emissions of less than 50 g CO2/km shall be regarded as equivalent to: . 2 vehicles in 2012 . 2 vehicles in 2013 . 2.5 vehicles in 2014 . 1,5 vehicles in 2015 . 1 vehicle starting 2016 225 Mapping of current EU & SEE Regional policies
Specific emission targets for vehicles powered by alternative fuels In order to determine to what extent a producer shall comply with specific emission targets referred to in article 4, the CO2 emissions generated by each vehicle designed to operate with a mixture of gasoline and ethanol at the rate of 85% (E85), which complies with Community law or the relevant European technical standards. shall be reduced by 31 December 2015, by 5% in recognition of the increasing technological capacity and emission reductions for vehicles that run on biofuels. This discount only applies if at least 30% of the power stations in the Member State in which the vehicle is registered provide this type of alternative fuel, in compliance with the sustainability criteria for biofuels laid down in relevant Community legislation. The Romanian Government decision No. 343 of 18 March 2004 on the provision of information relating to the fuel economy and CO emissions (2) new passenger cars, intended for buyers in marketing Information on fuel economy and CO emissions (2) new passenger cars for buyers at the sale, sale or purchase in the system, are made available by manufacturers or importers to allow buyers to make an informed choice. Annex 1 Model label on fuel economy and CO (2) The label on fuel economy and CO 2 (297 mm x 210 mm) Annex 2 Description of the Guide on fuel consumption and CO (2) emissions A guide on fuel economy and CO emissions (2) must contain at least the following information: 1. A list developed annually, with all new passenger car models available for sale, depending on the brand and in alphabetical order. If the guide is updated more than once a year, it must contain a list of all new passenger car models available at the time of publication of the draft updated. 2. Fuel type, the numerical value of the official fuel consumption and the official specific emissions of CO (2) for each model that appears (?) in the Guide. The value of the corresponding official fuel consumption is expressed in either liters per 100 kilometers (l/100 km), kilometers per liter (km/l), or an appropriate combination between these two formulas and is indicated with accuracy. The official specific emissions of CO 2 are expressed in grams per kilometer (g/km) rounded to the nearest whole number. These values can be expressed in units (gallons and miles) to the extent they are compatible with the provisions of Directive 80/181/EEC. 3. A list of who to go out with the ten models of new cars, best performing in terms of energy efficiency, ranked in ascending order according to the CO2 for each fuel type. The list includes the model number, the value of the official fuel consumption and the official specific emissions of CO2. 4. Tips for motorists say that a proper use and maintenance of the car and the right behavior behind the wheel, which includes, for example, avoid aggressive driving, run at a moderate speed, anticipate, check the correct swelling of the tyres, reduce periods of driven, avoid excessive load, improve the fuel consumption and the official specific emissions of CO2 of the car.
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5. An explanation of the consequences of the emissions of greenhouse gases, their potential to cause climate changes and the role of motor vehicles, as well as a reference to the different fuel proposed buyers and the implications of their use on the environment, on the basis of scientific data and the latest legal requirements. Annex 3 Poster description /other ways of written information at the point of sale Posters or other forms of written information should comply with the following requirements – at least: 1. the flyer or other forms of written information must accurately measure at least 70 cm × 50 cm. 2. the information which is on the poster must be easy to read. 3. when the information is displayed on an electronic screen, it must have at least the dimensions of 25 cm x 32 cm (17-inch screen). The information displayed can be in motion. 4. new models of cars must be grouped and listed separately according to fuel type that uses it (gasoline or diesel). For each fuel type, models must be classified in order of ascending CO2, the model whose official fuel consumption is the lowest should be the first on the list. 5. for each passenger car model in the list the make, the numerical says of the official fuel consumption and the official specific emissions of CO2. The value of the corresponding official fuel consumption is expressed in either liters per 100 kilometers (l/100 km), kilometers per liter (km/l), or an appropriate combination between these two formulas and is accurately indicated. The official specific emissions of CO2 are expressed in grams per kilometer (g/km) rounded to the nearest whole number. 6. the flyer or other forms of written information must contain the following text regarding the availability of the Guide on fuel economy and CO2 emissions: "a guide on fuel economy and CO2 emissions for all new passenger car models can be obtained free of charge at all points of sale". In the case of electronic displaying, this text should be maintained continuously. 7. the flyer or other forms of information must be written with the following text: "fuel consumption and CO2 of a car depends on not just energy efficiency or, but and driving behaviour and other factors not related to the technique. Carbon dioxide is the main greenhouse gas responsible for the heating of the planet. " In the case of electronic displaying, this text should be maintained continuously. 8. the flyer or other forms of written information must be presented in full at least once every 6 months. In the case of display (?), maintenance must be done at least every three months. 9. traditional display modes may be substituted completely and permanently by an electronic screen display. In this case, the screen must be placed so as to attract the attention of at least all such consumers as if the show were done in a traditional way. Annex 4 The provision of data on fuel consumption and CO2 emissions in promotional documentation
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All promotional literature must contain data on the official fuel consumption and the official specific emissions of CO2 cars which concerns. This information should comply with the following requirements at least: 1. the information must be easy to read, at least as visible as the main part of the information that appears (?) in the promotional literature 2. the information must be easy to understand, even if it is read quickly 3. the data of the official fuel consumption data should be provided for all car models described in the promotional material. If promotional material contains more than one pattern, you can indicate whether the official fuel consumption of all models described, or the interval between the least developed and most advanced model. Fuel consumption is expressed in either liters per 100 kilometers (l/100 km), kilometers per liter (km/l), or an appropriate combination between these two formulas. All numerical data should be accurately expressed. These values can be expressed in units (gallons and miles) to the extent that they are compatible with the provisions of Directive 80/181/EEC.
3.6.2.3 Charging and emissions trade The development and implementation of fuels and propulsion for sustainable systems Objective 1: Halving the use of motor vehicles "conventionally powered" in urban transport by 2030; their progressive disappearance of cities by 2050; implementation of urban logistic practically free of CO2 in large urban agglomerations by 2030. Performance optimization, including multimodal logistics chains through wider use of modes of transport more efficient in terms of energy Objective 2: A percentage of 30% of the road transport of goods over distances of 300 km should be transferred by 2030 to other modes of transport, such as rail or inland waterways, this percentage must exceed 50% by 2050, with the help of freight corridors efficient and environmentally friendly. In order to achieve this objective, the development of the appropriate infrastructure will be necessary. Objective 3: Implementation, by 2030, "primary networks" TEN-T and fully functional multimodal throughout the EU, a network of high quality and high yield by 2050 and a corresponding set of services. Increase the efficiency of transport and the use of infrastructure, information systems and market-based incentives. Objective 4: The proximity to the objective of "zero fatalities" in road transport by 2050. In this perspective, the EU's goal is to reduce by half the number of road accident victims by 2020 to guarantee the leading position of the EU in matters of transport security and safety for all modes of transport. Objective 5: Progress towards the implementation of the principles of "user-payer" and "polluter-payer" and strengthening the commitment of the private sector in relation to the Elimination of distortions, including the injurious subsidies, income generation and ensuring funding for future investments in transport. Positive Impact for road transport . promoting co-modality, doubling the use of public transport – SMART goal MOVE IRU
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. reduce emissions of CO2 by 20% by 2020, the establishment of a methodology for calculating the EU call for terms and conditions . equal tax system between the ways people incentives to encourage investments in green technology and the use of the European Modular System espoused (EMS) . increasing the number of safe areas for truck parking. Romania – strategic positioning for the EU Romania is the area of intersection of several main transport corridors, linking northern and southern Europe as well as the west to the east. The transport network in Romania provides the link between the transmission and the non-neighboring States in Eastern Europe and Asia Network of national roads: 16.499,9 miles (source: CNADNR): Motorways: 321,9 km; European roads: 6.172, 9 km At the end of the year 2010 were to enrich the European standards about 8.280 miles the share of road transport in the transport market of goods: . 80,1% to 73.2% of goods carried during the espoused goods in long distance and international traffic . 60,91% on turnover of goods in internal traffic, comparable to that registered in the EU 27 (76.5%), but superior to that provided for in the white paper (44%). Pollutant emissions from the transport sector (about 70% of the emissions of carbon monoxide and carbon dioxide – CO + CO2 – and 65% of nitrogen oxides-NOx) increased compared to the year 1990, largely due to road transport which contributes about 80% of the emissions from this sector.
3.6.3 Transport – Sustainability The main objective in the transport sector is to provide an adequately developed infrastructure, modern and sustainable, maintained properly, to facilitate a safe and efficient movement of people and goods at the national and European level and to contribute positively and significantly to the economic development of Romania.
3.6.3.1 Network Planning Integration into the European transport networks The integration of the Romanian infrastructure in European transport networks will promote interconnection (?) and interoperability in the existing networks by focusing on the "organisational arteries" located on the route of the 10 pan-European transport corridors with geographical cross areas (?) of several countries and connecting the main economic and social centers. Instruments that formed the basis for the definition of pan-European transport corridors which include Romania and European agreements are developed in the framework of the UNECE (AGR, AGC, AGTC, TER and TEM) results of the three pan-European Transport Conferences of Prague (1991), Crete (1994) and Helsinki (1997) and Decision of the European Parliament and of the Council No. No 1692/96/EC of 23 july 1996 on guidelines for the development of the trans-European transport network, as amended by decision of the European Parliament and of the Council No. 1346/2001/EC of 22 m.
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The 10 pan-European corridors of transport have been established at the Paneuropean Transport Conference in Crete (March 1994). The third Paneuropean Conference of Helsinki has agreed on the Pan- European transport corridors adjustment by adding the unuinou (?) corridor to the 9 already defined. At this Conference, 4 Pan-European Transport Areas have also been defined. Thus, Europe is toured by 10 Pan-European Corridors and 4 defined Pan-European Areas. These are: I. ("Via Baltica") Helsinki – Tallinn – Riga – Kaunas – Varsovia si Riga – Kaliningrad – Gdansk II. Berlin – Warsow – Minsk – Moscow – Nizhnij Novgorod III. Berlin/Dresda – Wroclaw – Lviv – Kiev IV. Berlin/Nurenberg – Praga – Budapest – Constanta – Istanbul – Thessaloniki V. Venetia - Trieste/Koper – Ljubljana – Budapest – Uzgorod – Lviv Branch A: Bratislava – Zilina – Kosice – Uzgorod Branch B: Rijeka – Zagreb – Budapest Branch C: Ploce – Sarajevo – Osijek – Budapest VI. Gdansk – Grudziadz/Warsow – Katowice – Zilina Branch A: Katowice – Ostrava – Coridor IV VII. Danube: Danube, with Sulina and The Danube-Black Sea Canal VIII. Durres – Tirana – Skopje – Sofia – Varna IX. Helsinki – St.Petersburg – Moscow – Pskov – Kiev – Ljubasevka – Chisinau – Bucarest – Dimitrovgrad – Alexandroupolis Branch A: Odessa – Ljubasevka Branch B: Kiev – Minsk – Vilnius – Kaunas – Klaipeda/Kaliningrad X. Salzburg – Ljubljana – Zagreb – Belgrad – Nis – Skopje – Veles – Thessaloniki Branch A: Graz – Maribor – Zagreb Branch B: Budapest – Novi Sad – Belgrad Branch C: Nis – Sofia – coridor IV spre Istanbul Branch D: Veles – Bitola – Florina – Via Egnatia Pan-European areas are: . The Pan-European Transport of the Black Sea . The Pan-European Transport-Arctic Barents Sea . The Pan-European Mediterranean Transport . The Pan-European Transport Igor Adriatic Sea. Romania is toured by corridors:
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IV. Berlin/Nurenberg-Praga-Budapest – Arad – Bucarest – Constanta – Istanbul – Thessaloniki VII Danube: with Sulina and The Danube-Black Sea Canal IX. Helsinki – St.Petersburg – Moscow – Pskov – Kiev – Ljubasevka – Chisinau – Bucarest – Dimitrovgrad – Alexandroupolis
3.6.3.2 Intelligent transport systems A vision for a competitive and sustainable transport system The challenge is to break the dependence on oil transportation system without sacrificing efficiency and without compromising mobility. In accordance with the initiative of the project "Europe in terms of efficient use of resources" presented in the framework of the European strategy and the new Plan 2005-2011 on energy efficiency, the main objective of European transport policy is to contribute to the creation of a system to assist European economic progress, strengthen competitiveness and provide high-quality mobility at the same time, ensuring more efficient use of resources. In practice, the transport must use less and cleaner energy, better exploit the modern infrastructure and reduce the negative impact on the environment and on some fundamental components of natural assets such as water, soil and ecosystems. Reducing mobility is not an option New models must appear, within which the larger volumes of freight and greater numbers of passengers are transported by using the most efficient combination of modes. Individual transport will be used, preferably, for the final segment of the journey and will be carried out with vehicles. Future development should be based on several components: . improve performance in terms of energy efficiency for all modes; the development and implementation of fuels and sustainable propulsion systems . performance optimization-feely multimodal logistics chain, including through the use of more intensive ways inherently more efficient in terms of resource use, in cases where other technological innovations is insufficient (for example, the carriage of goods over long distances) . more efficient use of transport and infrastructure through the use of a number of improved systems of traffic management and information (e.g. STI, SESAR, ERTMS, RIS, SafeSeaNet), through the use of advanced logistic and market measures, such as the development of an integrated European rail market, cabotage restrictions, removal of barriers to maritime transport over short distances, the absence of distortion, etc. Romanian Government Ordinance no. 7 / 25.01.2012 – Regarding the implementation of intelligent transport systems in road transport and for interfaces with other modes of achieving transport This ordinance establishes a framework to support the implementation and use in Romania of the intelligent transport systems, hereinafter ITS, in a consistent and coordinated with similar systems implemented and used in the European Union way, and it provides general conditions necessary for this purpose.
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The Ordinance establishes specifications to be adopted by the European Commission under the provisions of Directive 2010/40/EU of the European Parliament and of the Council of 7 July 2010 on the framework of the deployment of Intelligent Transport Systems in the field of road transport and for interfaces with other modes, hereinafter Directive ITS priority areas for action and, where appropriate, the standards required by Directive ITS services and applications apply in Romania at the time of their implementation. It is applied to services and ITS applications in the field of road transport and interfaces with other modes of transport, without prejudice to national security issues and the necessary defense. The following areas are priority areas for development and use of specifications and standards: . Priority area I: Optimal use of road, traffic and travel; . Priority area II: Continuity of traffic management ITS services and goods; . Priority area III: ITS road safety and security; . Priority area IV: Linking the vehicle with the transport infrastructure.
3.6.3.3 Innovation Synergies with other sustainability goals, such as reducing dependence on oil, the competitiveness of European industry of motor vehicles, as well as the benefits in terms of health, in particular to improve the air quality in cities, strongly argues in favor of intensifying EU efforts to accelerate the development and adoption of environmentally friendly vehicles. Policies for research and innovation in the field of transport is to give increasingly and consistently more emphasis on the development and implementation of key technologies necessary for the transformation of the EU transport system into a modern, efficient and easy to use transport system. Innovative mobility patterns New concepts on mobility cannot be imposed. To promote a more sustainable behavior, a better mobility planning must be actively encouraged. Information pertaining to all modes of transport, the possibilities of combined use of them, as well as their environmental impacts will have to be widely available, both in the case of air travel and the transport of goods. To reduce congestion and emissions in the urban context, a mixed strategy is needed which involves landscaping plans, charging systems, efficient public transport services and infrastructure for non- motorized modes, as well as platforms for loading/refueling of vehicles. Romanian Government Ordinance no. 39 / 22.08.2007 – On the interoperability of electronic systems of charging for the use of road infrastructure. This Ordinance sets out the conditions to be satisfied by the electronic systems of charging for the use of road infrastructure on the territory of Romania, so that they can be interoperable with similar systems implemented at European Union level. The Ordinance applies to electronic charging systems, which concern only the collection of all types of charges for use of infrastructure across the entire network of public roads including urban and electronic systems implemented for pricing the use of sections of the infrastructure, bridges, tunnels, ferry access infrastructure and mountain passes. 232 Mapping of current EU & SEE Regional policies
Order no. 343 / 10.03.2005 – Regarding the organization of green corridors and downloading electronic TIR carnets. The provisions of this Order are applicable to customs offices at the border with Bulgaria and Hungary to eliminate unjustified stays vehicles at borders. The flow input / output to / from country to transport registered in Romania and abroad, traveling to and from Bulgaria - Romania - Hungary, will be created and organized separate color processing operations under cover of TIR Carnets called green color. Romanian Government Ordinance no. 37 / 07.08.2007 – Establishing the framework for the implementation of the rules on driving times, breaks and rest periods for drivers and use of recording equipment of their work This ordinance sets the scope of the rules on driving times, breaks and rest periods for drivers who operate vehicles subject to European Parliament and Council Regulation (EC) no. 561/2006 on the harmonization of certain social legislation relating to road transport and amending Council Regulation (EEC) no. 3.821/85 and Council Regulation (EC) no. 2.135/98 and repealing Council Regulation (EEC) no. 3.820/85 or road transport operations covered by the European Agreement concerning the Work of Crews of Vehicles engaged in International Road Transport (AETR), hereinafter AETR Agreement. The Ordinance sets the scope of the rules on the use of recording devices driving times, breaks and rest periods of drivers, hereinafter digital tachographs as defined in Appendix I and Annex IB to Council Regulation (EEC) no. 3.821/85 on recording equipment in road transport Order no. 152/558/1119/532 / 13.02.2008 – Guidelines for approval of adoption of limit values and how to apply them when developing action plans, indicators and L_night L_zsn where traffic noise and congestion on major roads, major railways rail traffic and in clusters Target which aims to ensure that maximum allowable noise indicators are those L_night L_zsn and maximum values allowed for the second stage of the development of action plan (2012) and that the orders to be taken are technical, administrative, of traffic planning ensuring that these levels: . are not exceeded and, . if exceeded, they should be brought under the maximum allowed.
3.6.3.4 Internalisation of external costs Cost-effectiveness Cost-effectiveness or value for money stands at the core of any sound investment programme. It is also fully embedded in the procedures and structure of the cohesion policy of the Commission in which cost- benefit assessments of proposed projects are standard procedure. Also EIB applies CBA as standard assessment methodology before granting new loans. The cost-effectiveness criterion is especially important if budget resources are limited. In this case cost- benefit analyses can be used to phase foreseen transport investment in time or to seek alternatives with a similar functionality that offer a higher value for money. In summary, other financing sources are expected to relevant for the following areas: estimation
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. TEN-T TEN - projects, especially cross border sections . EIB - Motorways, and to a lower extent railways . EBRD - Railways, airports and state roads rehabilitation . PPP & private capital - Income generating transport investments: ports, airports, toll roads, logistic centers Appropriateness of the transport policy Apart from the investment policy of Romania, other aspects of the country’s transport policy are relevant to contribute to EU and national policy objectives. Three specific elements are identified on the basis of the analysis of the current transport system: . Transport safety . Promoting transport by inland waterway . Transport pricing and charging Administrative capacity The institutional capacity within key agencies to programme and/or implement transport sector programmes is widely acknowledged as a significant problem in Romania. The institutional capacity to absorb assistance therefore has to be an integral part of any discussion on transport strategy in Romania. A risk element in this is that priorities may change with changes in the composition of the cabinet. Moreover, as staff members are frequently being shifted, the technical capability to prepare and implement projects could be in danger. Romanian Government Ordinance no. 22 / 29.01.1999 *** Republished – Concerning the administration of ports and waterways, using the facilities of the naval transport belonging to the public domain, as well as naval transport activities in the ports and on inland waterways. For shipping infrastructure concession, or sub-concession, users pay a fee the level of which is determined by the corresponding contracts. The level of the fee is based on income by providing users of water transport infrastructure. Order no. 1615 / 22.06.2009 – Approving the instructions concerning the access of economic operators to the NCTS/TIR NCTS –RO application. The order was issued in order to: . uniform apply the procedure of customs transit under TIR Carnets, as provided for in Regulation (EC) No. 648/2005 of the European Parliament and of the Council of 13 April 2005 amending Council Regulation (EEC) No. 2.913/1992 establishing the Community Customs Code, as amended, and Regulation (EEC) No. 1.875/2006 of 18 December 2006 amending Regulation (EEC) No. to 2.454/93 laying down provisions for implementing Regulation (EEC) No. 2. 913/92 of the Council establishing the Community Customs Code, . apply technical rules on transit procedure under cover of TIR Carnets accepted by order of the Vice- President of the National Agency for fiscal administration,
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. implement the requirements of the European Commission concerning the establishment of a common information system, based on the exchange of electronic messages between customs authorities, relating to goods which passes through the customs territory of the community, . implement controls based on an analysis at Community level of risk in terms of safety and security of the community.
3.6.3.5 KPIs A series of performance indicators such as: a) distribution of freight on modes of transport (%): by the year 2020, the share of intermodal transport of goods through Romania should represent 40% of the total volume of goods transported in intermodal transport units (ICU). b) number of terminals built in the short term in the POS-T (2007-2013), c) number of terminals built in the medium term of the POS-T (2014-2020) It aims to build at least 3 (three) terminal which must comply with all the other locations identified as key areas, namely: . Calafat – Craiova – Piteşti . Turda – Cluj Napoca – Dej – Târgu Mureş . Făgăraş – Sfântu Gheorghe . Galaţi – Bacău – Iaşi . Giurgiu/Olteniţa – Bucureşti – Ploieşti. d) number of containers/TEU transported. Predictions for Romania indicate that the volume of intermodal transport will reach 1.2 million TEU (corresponding to 0.7 million units, ICU) by the year 2020. e) intermodal service punctuality: the maximum permissible limit of train delay (minutes), f) reliability (regularity) intermodal services: posting of trains and ships of the line under the transport programme (%), g) frequency intermodal services (no racing/week), h) total time of performance of the contract of intermodal transport, including cargo loading/unloading time, customs procedures and other adjacent operations/related (hours), environmental indicators): energy consumption, renewable energy, mixed CO2 emissions, noise, etc. The aforementioned key performance indicators must be processed within the framework of an efficient system of measurement, evaluation and reporting so that quantitative and qualitative information obtained could be used in the process of updating / developing / revisioning of intermodal transport policies.
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3.6.4 Transport - Promotion of rail, sea and inland waterway Road transport system The priorities of the road transport system for the period 2007-2013 focus on homogenization and improving conditions of service across the network, in terms of safety and physical condition, further work on the routes on the network TEN-T Corridors IV and IX, in the process, and the establishment of objective criteria for the selection of investments and the initiation of a system of additional services, in coordination with other competent administrations using the possibilities of intelligent transport systems (ITS), namely: The design and development of network . the reconfiguration of the core schema of the network of roads with heavy traffic (Network TEN-T core about 10,500 miles to cover the main routes of the network as a basis for future coordinated actions in the definition. . the redesign and resizing existing network to load axle load of 11.5 t . continued work on routes with heavy traffic which is under construction and start up of the advanced programming and with high or medium application (IMD > 10,000 vehicles/day) . programming activities with long distance routes in the first stage, will be conventional roads (with control over the access and course design) letting and development at the level of the highway when it is justified to demand, priority will be given to this type of action, the transverse axes . coordination with local and county administrations for granting titulaturii (?) road sections which can be regarded as having remained outside the network for various reasons (the construction of the variations, the existence of parallel roads with heavy traffic, etc.) . update the inventory of the network . define a step-by-step program of rehabilitation to achieve minimum standards across the network of national roads . actions within the law of concessions: the projects will be based on the previous analysis on the economic and financial viability and compatibility with the objectives of the PSIST . to review and update the draft standards to assess needs and including, where appropriate, in particular mobility requirements and non-motorized (?) public transportation, etc. Maintenance . contribution, from transport policy, the Community objective of reducing the rate of fatal accidents . maintenance of road network, approaching an investment in maintenance of 5% of the value of the assets of the network – Providing for a level of service appropriate to the use of infrastructure, explicitly defined every four years, to increase the safety, reliability and effectiveness of the network . implementation of ongoing activities with the lowest cost possible, while reducing the overall maximum not only economic cost, but also especially costs relating to accidents as well as to the environment . management of modernization as a way to optimize the necessary objectives . obtaining parameters of the network of national and European roads.
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Operating and user service . conditions of comfort and services on the whole network of roads . define the concept of territorial centres of traffic management; increasing cooperation with the General Inspectorate of the police and local communities; the introduction of a pilot in major metropolitan areas and in the main corridors of the network . definition of a strategy for ITS systems and information services associated to the user of the road; implementation of a pilot programme of actions . the development of an automated information system to citizens, updated and easily consulted, including issues such as the situation of roads, public transport services; new actions that are or have been the subject of public information. Rail system The ultimate objective is to progressively transform the railway system into the central pillar for the Organization of intermodal transport services, both passenger and freight. This objective requires the concentration of actions on conventional rail infrastructure rehabilitation located on dead-end and with high potential of Interoperable Network TEN-T, ensuring the interoperability of the conventional network (contained in the TEN-T network, the Pan-European Corridors IV and IX, TER) and intermodality requirements of regional rail service and bus, improving accessibility to the whole territory of the country. Actions with the perspective 2007-2013 focus on continuing the modernization projects on the network TEN-T Corridors IV and IX, prioritizing projects to rehabilitate the interoperable rail network, to facilitate interoperability with neighbouring authorities and network rail system; the drive on the network for the improvement of the interoperable service of rail services for goods, facilitating the intermodality with road transport and sea and improving the institutional framework and the relationship between the infrastructure manager (CN CFR) and rail operators under conditions which favour the development of the railways, namely: . defining the Sectoral Plan of railway network Rail interoperable and non-interoperable over the long term (2020). . completing the gradual rehabilitation of the infrastructure projects on the sections of the interoperable network (TEN-T Corridors IV and IX). . prioritizing the rehabilitation projects of the conventional network interoperable and preparing for its progressive integration in technical parameters and operational level. . developing and reviewing the system of charging for the use of infrastructure. . liberalizing the freight market and introducing competition: national and international traffic of the goods. . establishing a programme of support for the development of combined transport (freight and passengers), paying particular attention to international services. . optimizing installations of border stations and increasing compatibility and interoperability.
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. providing the framework for the implementation of the national system of centralized railway traffic control on the territory of Romania. . establishing an emergency maintenance program and a plan to eliminate level crossings – delimitation of the needs for action in environmental services and regional lines. . improving the institutional framework. . establishing a new tariff calculation methodology for the use of infrastructure, which will need to be fixed (given the existing situation in other modes of transport) to ensure the stability of the railway system in the short and medium term. Shipping (shipping and inland waterway) Priorities in the field of shipping for the period 2007-2013 focus on upgrading/developing transport infrastructure, traffic safety, together with consolidating the ports as intermodal logistics centers, which serve as a support to the progressive realization of intermodal cargo network and the development of safer and more friendly to the environment shipping services. In order to achieve these priorities, Romania will take account of: . making out projects on Corridor VII, which contribute to ensuring the conditions for year-round navigation on the Danube, on the waterways Danube-Black Sea and Midia Năvodari-White Gate. . attracting cargo flows on the lower Danube and the Constanta Port through activities for the promotion of inland waterway transport, shipping infrastructure and related services of shipping. . promoting the use of inland waterway transport as an option complementary to the road transport, offering competitive transportation alternative in the chain of logistics "door to door". . developing the port of Constanta as the main point of Europe and Asia and its inclusion in the network of highways. . realizing projects on modernisation and development of maritime and river ports. . developing functional structuring of ports for their transformation into logistic centers and their integration in the intermodal transport system in a balanced framework of cooperation and fair competition into the port (in the light of the current and potential: in perspective of the ports, the geographic influence, strategies in the field of trafficking-specialization and diversification of functional development and export in relation to current trends and perspective of the market). . stimulating safety and environmental efficiency of shipping. . developing inspection services, safety and rescue; implementation of IMO in the field of safety of navigation (EDI systems, VTS, dGPS, GMDSS). . developing river information services (RoRIS – "Romanian River Information Services"). . developing inland waterway transport infrastructure and port facilities for tourism and recreational activities. . developing inland waterway transport infrastructure in order to increase the activity of the naval transport on inland waterways, shipyard transport infrastructure development in order to achieve specialized terminals. 238 Mapping of current EU & SEE Regional policies
. implementing the legal framework for carrying out the obligations of the agreements and conventions to which Romania is a party. . developing and modernizing of road and rail transport in ports. . rebalancing modes of transport participation in relations with Europe and the countries of the Black Sea, in accordance with the overall objective of sustainable mobility that you ask for the common Transport policy. . contributing to the reduction of the pressure imposed by the growth of road transport on the main axis is the State of commercial relations with the rest of Europe and, in particular, the EU countries through the promotion of inland waterway transport. . improving the safety for human lives and goods transported by sea and inland waterways, through continuous training of the crew, according to the international standards of training, certification and Watchkeeping for seafarers required by the STCW Convention ‘78, with the amendments into force, Convention to which Romania acceded through Act No 107/1992. Transport Ministry Ordinance no. 20 / 23.08.2012 on port reception facilities for ship-generated waste and cargo residue The purpose of this Ministry Ordinance is to reduce the discharge of ship-generated waste and cargo residue in national navigable waters, especially illegal discharges from ships using Romanian ports, by improving the availability and use of port reception facilities for ship-generated waste and cargo residue to improve the marine environment. Scope: . all ships, including fishing vessels and recreational craft, regardless their flag, calling or operates one of Romanian main ports, except warships, naval vessels and auxiliary ships owned or operated by the State and which are used exclusively for non-commercial governmental purposes . all Romanian ports and shipyards located in them, normally ships referred to in subparagraph a) Port reception facilities must meet the following conditions: . can retrieve any types and quantities of waste generated by ships and cargo residues from ships calling at the port . ensure the operational needs of the port users, taking into account the size and geographical location of the port, the type of ships calling Romanian Government Ordinance no. 22 / 29.01.1999 *** Republished – Concerning the administration of ports and waterways, using the facilities of the naval transport belonging to the public domain, as well as naval transport activities in the ports and on inland waterways. For the purposes of this Ordinance, shipping activities taking place at national inland ports and waterways are classified as follows: . activities freight and / or passengers by ship, including: 1. public transport of passengers and / or cargo, performed by individuals or legal entities authorized by law;
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2. transportation of passengers and / or goods for their own benefit by legal entities or persons authorized by law, the goods carried are the property or the result of their work, and their employees being persons carried; 3. transportation of goods and / or persons for personal, domestic inland waterway, by individuals with their own demands of shipping, for sport or pleasure; . activities related to shipping activities, including: 1. security services in ports and inland waterways, hereinafter safety services, such as pilotage of ships into and out of ports, among the same port berths and inland waterway and maritime towage of vessels maneuvering in port; 2. activities in connection with the operation of ships, such as: loading / unloading ships, storage, stowage, lashing, sorting, labeling, palletizing, packing, containerization and other activities relating to goods, agency, cleaning holds of ships, bunkering, cleaning and degassing tank vessels, binding, loosing and river- sea ships; . support activities of shipping activities, including: 1. maintenance and repair work on water transport infrastructure, signaling coastal and floating navigation maintenance dredging to ensure depths in ports and inland waterways vessels support the operation of dangerous goods, taking waste and waste water from ships, taking garbage and domestic waste from ships; 2. other activities, such as the execution of specific hydraulic structures shipping, diving work carried out in national waters waterways and ports, surveillance unmanned vessels, leisure craft services and tourism, dredging extraction of water being redone, the electricity and heat, assistance, salvage and refloating of ships, ship repair. Activities of loading / unloading of ships carrying goods on inland waterways in Romania are as follows: . for loading goods from a Romanian port bound for a port in a Member State of the European Union can be used only vessels registered in a Member State of the European Union or possess a certificate of membership of a state fleet its membership; . for loading goods from a Romanian port bound for a port of a State which is not an EU member, you can use: Vessels registered in another EU member state or have a certificate of membership of a member of its fleet; Vessels flying the flag State in which the port of destination; Ships which have a permit issued in accordance with Romanian legislation on transport traffic directly between Romania and other countries; the goods loaded at a port belonging to a member state of the European Union bound for a Romanian port are allowed to download only vessels registered in a Member State of the European Union or possess a certificate of membership of a member of its fleet or ships, regardless of flag, carrying cargo to be transhipped in ships.
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3.6.4.1 Integration Order no. 9207 / 08.12.2006 – Regarding customs formalities to be carried out on goods transported on the Danube between ports of Romania and Bulgaria To avoid situations in which non-Community goods transported on the Danube River are introduced within the European Community without customs formalities, the main responsibilities of customs offices of ports located on the Danube are: . checking the status of the goods . verifying and endorsing documents proving the Community status of goods . controling customs at the entrance / exit to / from the European Community and the appropriate controls based on risk analysis . supervising the transshipment of goods from one means of transport to another.
3.6.4.2 Incentives Railways . The railway network of Romania is one of the densest in Europe, but the rail infrastructure needs upgrading and maintenance. Focus should be given on the national railway lines that represent parts of trans-European Corridors, the TEN-T priority axis (TEN 22) that connect Romania with neighbouring countries (corridor IV). Less priority is given to European corridor IX, towards Moldova/Ukraine, because of low passenger and freight demand. . Upgrading of the national railway network is especially important for recovering from fierce competition with road haulage. There is an increasing number of sections with speed restriction due to deteriorating quality of the infrastructure. Upgrading the railway infrastructure is important, as well as the conditions of the trains and stations and junctions that need to be improved. The renewal of rolling stock is essential for a better quality of service. Roads . Romania does not yet have a well developed network of motorways. Priority should be given to construct such a network, however only where (potential) demand justifies construction of motorways, or else express roads will be sufficient. Future motorway sections include Nadlac – Sibiu (corridor IV / TEN 7), Bucharest – Constanta and Bucharest – Brasov. . The overall standard of the national road network is insufficient, with poor maintenance impeding the quality. The rehabilitation and upgrading of the national road network therefore is of utmost importance, especially for regions with low accessibility. Also, the Romanian Government is recommended to pay attention to financing of regular maintenance of the state road network. River . The potential of the Danube River is not yet fully utilized, due to capacity restrictions. Investments in the river system will benefit in particular international traffic. They may be less efficient from a national point of view. An integrated view is needed, taking into account the full corridor (TEN 18).
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Ports . Modernisation of the ports can help to stimulate sustainable transport modes. Some of the investments can be performed by private parties, though. The role of the government could be limited to investments in public infrastructure, quay walls, etc. Intermodal transport . Development of indermodal terminals should be integrated in the development of rail freight corridors and/or river system development. There are positive effects to be expected on sustainability and (indirectly) on safety. Investment need to be fine-tuned though.
3.6.5 Enhancement of competitiveness of the private sector Romanian Government Ordinance no. 22 / 29.01.1999 *** Republished – Concerning the administration of ports and waterways, using the facilities of the naval transport belonging to the public domain, as well as naval transport activities in the ports and on inland waterways. Port work is covered by this ordinance, labor legislation and international agreements and conventions in which Romania takes part. Specific port work is performed by port workers. Port worker can be anyone over the age of 18 who meets the criteria for health and training according to the law. The qualification of port workers is organized and conducted according to legal provisions.
3.6.6 Incentives for sparking growth and for moving into new technologies Innovating for the future: technologies and behaviours. A strong European research, innovation and implementation in the field of transport. A technology roadmap. The fragmentation of research and development efforts in Europe is extremely harmful. Common European efforts in the fields listed below are likely to bring the highest European added value: . vehicles, safe and silent for all modes of transport from road vehicles, ships, barges, railroad rolling stock and aircraft material (including new materials, propulsion systems, electronic tools and management for managing and integrating complex systems) . technologies that contribute to enhancing the safety and security of transport . transport systems and vehicles are new and unconventional threats such as aircraft without personnel or unconventional schemes for the distribution of goods . a sustainable strategy on alternative fuels, providing adequate infrastructure, and . embedded systems of information and transport management, to facilitate intelligent mobility services, a traffic management with a view to making better use of infrastructure and of vehicles, as well as information systems in real time for tracking goods and management of freight flows; passenger information systems/travel, reservation and payment systems 242 Mapping of current EU & SEE Regional policies
. intelligent infrastructure (both terrestrial and space) in order to ensure the monitoring and the interoperability of the various forms of transport and communication between vehicle and infrastructure . innovations for a sustainable urban mobility, in the extension of the CIVITAS programme and initiatives relating to urban road pricing systems and restricting access. A strategy for innovation and implementation Identification of strategies for innovation, including with regard to the instruments of governance and adequate financing in order to ensure the rapid implementation of the results of the research, for example: . implementation of intelligent mobility systems, such as the future of air traffic management (SESAR), the European rail traffic management (ERTMS) and railway information systems, maritime surveillance system (SafeSeaNet) River information systems (River Information Services-RIS), intelligent transport systems (intelligent transport systems-ITS) and the next generation of information systems and management of multimodal transport . the definition and implementation of an open standard, electronic platforms installed on board vehicles that can perform various functions, including collecting taxes . development of a plan of investment in new services, traffic monitoring and communication, in order to enable the integration of flows of information, management systems and mobility services, on the basis of a european Plan of multimodal integrated information and management demonstration projects for electromobility (and other fuels), including reloading and refueling infrastructure and intelligent transport systems with an emphasis on those in urban areas where air pollution levels are often exceeded . smart mobility partnerships and demonstration projects relating to sustainable solutions for urban transport (including demonstration of elements of collecting road fees etc.) . measures to promote an accelerated pace of replacing the inefficient and polluting vehicles. A regulatory framework for innovative transport The identification of an appropriate regulatory framework, with the help of standardization or regulation: . appropriate standards for CO2 emissions of vehicles in all modes of transport, complemented where appropriate with requirements on energy efficiency, to address all types of propulsion systems . noise emission level standards/noise for vehicles . ensure the reduction of emissions of CO2 and pollutants in field conditions, by proposing, at the latest in 2013, an update of the cycle of measuring emissions . procurement strategies to ensure the rapid adoption of new technologies . infrastructure interoperability standards for vehicles . guidelines and standards for refueling infrastructure . standards for interfaces type communications infrastructure-infrastructure and vehicle-vehicle . conditions of access to the data on the transport, in order to ensure the safety and security . specifications and conditions for intelligent systems for levying taxes and in the transport sector
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. a better implementation of the rules and standards in force. Promoting more sustainable behaviour Information on travel . Promote awareness about the existence of alternatives to individual transport (less intensive use of the car, walking, cycling, car sharing, "park & drive", smart ticketing, etc.). Labelling of vehicles with respect to emissions of CO2 and fuel consumption efficiency . Revision of the directive on labelling to make it more effective. It is, inter alia, by extending the scope of the directive to light duty vehicles and those in it, as well as the harmonization of all Member States of the labels and the classes of fuel efficiency for vehicles. . To support the entry of the tires on the market safe, effective in terms of noise and fuel consumption, beyond the performance requirements set out in the approval mark. The calculation of the carbon footprint . The promotion of certification of GHG emissions for businesses and the development of common European standards, in order to estimate the carbon footprint of each passenger and each freight, with versions tailored to different users (companies, individuals, etc.), to allow users to make better choices and to facilitate the marketing of cleaner transport solutions. Eco-driving and speed limits . Inclusion of requirements for environmental management in the future revision of the directive on driving licences and to take measures to accelerate the implementation of intelligent transport systems applications that promote eco-driving; fuel-saving techniques should be promoted and, in the case of other transport modes, for example the descent continues for aircraft. . Examining approaches to limit the maximum speed of light commercial vehicles, to reduce energy consumption, increase road safety and to ensure equitable conditions of work. Integrated urban mobility Plans for urban mobility . The establishment at european level of procedures and mechanisms for financial support for the preparation of audits and urban mobility plans on urban mobility and the establishment of a dashboard of urban mobility (European Urban Mobility Scoreboard) based on common objectives; examination in the case of cities and towns of a certain size, the possibility of the imposition in accordance with national standards and based on EU guidelines. . Provision of Conditioning for regional development and cohesion funds of the cities and regions of a valid audit licence issued independently confirming their performance in the field of urban mobility and sustainability. . Examine the possibility of establishing a european framework to support a gradual implementation of plans on urban mobility in European cities. . The integration of urban mobility in a possible partnership for innovation entitled "smart Cities".
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. Encouraging the development of the major undertakings of the mobility management plans at the level of the enterprise. A strategy for an "urban-logistics (quasi) void" by 2030 . Developing guidelines based on best practices, with a view to better monitoring and managing urban freight flows (for example, consolidation centers the size of vehicles of the centers of cities, such as regulatory limitations, Windows, unused potential of inland waterway transport). . Defining a strategy for the establishment of a "logistic urban emissions (quasi) void", taking into account aspects of territorial arrangement, access to waterways and rail, and the information practices of the undertakings, the charging standards and technology. To promote public procurement of low-emission vehicles to commercial fleets (taxis, buses, vans, etc.).
3.6.6.1 Institutional Romanian Government Ordinance no. 22 / 29.01.1999 *** Republished – Concerning the administration of ports and waterways, using the facilities of the naval transport belonging to the public domain, as well as naval transport activities in the ports and on inland waterways. This ordinance regulates the management and use of water transport infrastructure, organization and operation of port administrations and / or inland waterways, and how to conduct authorization and shipping activities. This applies to ports and inland waterways, all ships and shipping activities, all the activities taking place in these areas.
3.6.6.2 Organisational Decision no. 1016 / 06.10.2010 – To establish information systems and monitoring vessel traffic entering / leaving in / from Romania's national navigable waters The purpose of this Decision is to establish an information system and monitoring vessel traffic entering / leaving in / from Romania's national navigable waters, to enhance the safety and efficiency of maritime traffic, to improve its response to incidents authorities, accidents or potentially dangerous situations at sea, including search and rescue operations, and contributing to a better prevention and detection of pollution by ships. Information and monitoring system in Romania will be an integral part of information system and monitoring of European Union. Scope: The provisions of this Decision shall apply to vessels with a gross tonnage greater than or equal to 300, unless otherwise stated. . Ships with a gross tonnage of less than 1,000 do not have mandatory reporting fuel consumption. . Ships are not subject to mandatory reporting supplies and equipment for use on board. Unless otherwise provided, this judgment does not apply to:
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. warships, naval auxiliaries and other ships owned or operated by the Romanian state or a member state of the European Union for non-commercial public service . fishing vessels, traditional ships and recreational craft with a length less than 45 m Communication systems must have the following characteristics: . data exchange to be electronic and to enable messages notified in accordance with art. 15 to be received and processed . system allowing information to be transmitted 24 hours a day . on request, through SafeSeaNet and, if necessary, to maritime safety or security or protection of the marine environment, the NRA must be able to transmit information about the ship and the dangerous or polluting goods on board to the national or local authorities of another EU Member State without delay . to maritime safety or security or to protect the marine environment, the NRA may request information concerning a ship by SafeSeaNet Romanian flag and dangerous or polluting goods on board from another EU Member State. Without prejudice to international regulations for the prevention or reduction of any significant threat to safety of navigation, people or the environment, the NRA must monitor and take all necessary measures to ensure that a commander of a ship plying inside the search and rescue region / exclusive economic region of Romania or equivalent zone, shall report immediately to RNA following: . any incident or accident affecting the safety of the ship, such as collision, failure, major failures or damage, flooding or shifting of cargo, and any defects in the body or ship's structure; . any incident or accident which endangers the safety of navigation and all malfunctions that may affect the ship's maneuverability or seaworthiness, propulsion or steering system, electric generators, navigation equipment or communications; . any situation which might lead to water pollution and shoreline Romania, such as downloading or intended discharge of polluting products into the sea; . any slick of polluting materials, parcels, packages or other goods which are seen drifting at sea. The report submitted must include at least the ship's identity, position, port of departure, port of destination, the address from which to obtain information on dangerous and polluting goods carried on board, the number of persons on board, details of the incident and any information relevant to that referred to in IMO Resolution A.851 (20).
3.6.6.3 Financial Not applicable.
3.6.7 Infrastructure development through EU and national funding PPPs Financing approach for the development of intermodal transport in Romania includes, in summary, the following points: . maintaining the budgetary financing as the main source of financing of investments
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. the growth of direct investment (own sources) in order to meet the objectives of the action, while maintaining budgetary stability and commitment to reduce the deficit of public expenditure . increase European financing sources (non-refundable) . increasing own sources and private sector intervention through the use of formulas of public-private partnership . to promote collaboration between the public and private sectors in order to improve the viability of projects through this management scheme in accordance with the recommendations of the European Union . to facilitate local authorities ' contribution to the financing of the common harmonized actions . encouraging users to access infrastructure in competitive and non-discriminatory manner, as well as the financing of infrastructure, taking into account the European Union's rules on pricing for the use of infrastructure.
3.6.7.1 Financial instruments for development Financing alternatives for intermodal system at the national level are: . loans/loan from IFI . grant from the European Commission . infrastructure costs . concession (modernization and/or exploitation) . public-private partnership . State aid . the State budget.
Grant from the European Commission a. The sectoral operational programme for Transport 2007-2013 Is the programmatic document which sets out the priorities, objectives and targets to be attained on the implementation of the structural instruments in the transport sector. Within the sectoral operational Programme for the priority Axis 3 is Shipping – modernization of the transport sector in order to improve the protection of the environment, human health and safety of the passengers, The major intervention to promote intermodal transport-3.1, which finances projects preparation, construction and/or modernisation of infrastructure of intermodal transport. The funds of the POS-T (2007-2013) training projects, construction and/or modernisation of infrastructure of intermodal transport, promoted by eligible beneficiaries. b. TEN-T Programme TEN Regulation is a European legal document which sets out the General rules for the granting of Community financial aid in the field of trans-european transport (TEN-T). Funding from the TEN-T funds will 247 Mapping of current EU & SEE Regional policies
be given to conducting studies and works that contribute to the attainment of the objectives of the TEN-T programme. Concession Building or upgrading the relevant infrastructure (intermodal terminal) will be in agreement with the infrastructure managers and the local authorities. Intermodal infrastructure operation, however, can be concession (?) private environment should provide access and use on a non-discriminatory, by all operators, irrespective of the nature of social capital (State or private). Public-Private Partnership Public-private partnership (PPP) must take into account the following: a): both land/infrastructure and utilities/superstructure are made available to the public sector that has responsibility for the regulation of the operation, b): Public-private sector will invest in utilities/superstructure made available by the public sector, the public sector while maintaining the responsibility of operating the terminals, Private-public c): both land/infrastructure and utilities/superstructure belong to the private sector, the public sector while maintaining the responsibility of operating the terminals. d) private sector participation: all the Terminal, assuming the responsibility of regulating the exploitation thereof, as well as providing access to the terminal non-discriminatory. State aid In accordance with European Union regulations on State aid – Art. 107 and 108 of the Treaty on the functioning of the European Union (TFEU), we consider that it is necessary, in parallel with other measures proposed, State aid to be taken into account and to be directed to the debut-based subsidies to rail carriers (or road), specialized wagons RO owners – to (SHOOTING), legal entities registered in Romania. The State budget The task that returns is the public budget (State) can share the collaboration of our country to finance investment projects in the field of intermodal transport in the framework of budgetary stability, in conjunction with an increase in the extra-budgetary financing, if you want to increase the levels of investment. Financing strategy Financing approach for the development of intermodal transport in Romania included, in summary, the following points: . maintaining the budgetary financing as the main source of financing of investments . the growth of direct investment (own sources) in order to meet the objectives of the action, while maintaining budgetary stability and commitment to reduce the deficit of public expenditure . increase European financing sources (non-refundable) . increasing own sources and private sector intervention through the use of formulas of public-private partnership
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. to promote collaboration between the public and private sectors in order to improve the viability of projects through this management scheme in accordance with the recommendations of the European Union . to facilitate local authorities ' contribution to the financing of the common harmonized actions . encouraging users to access infrastructure, competitive and non-discriminatory manner, as well as the financing of infrastructure, taking into account the European Union's rules on pricing for the use of infrastructure.
3.6.7.2 Non-financial instruments for development Pillar integration that contributes to the transition to a sustainable transport is in a global and harmonized approach to activities, programmes and projects and a collaboration between authorized authorities, public administration policy makers and administrators, operators, manufacturers and users. As a strategic planning document on the medium and long term, the strategy is an open and flexible instrument subject to the dynamics of development of society, economy, mobility, intermodality or sustainability criteria. In this sense, the strategy will allow some periodic review on the basis of the results of monitoring and evaluation of actions implemented. Benefits. Expected results Achieving the objectives and implementing the actions set out in order to achieve a sustainable transport will have direct beneficial effects at all levels of the system of transport-infrastructure managers, operators of transportation and transportation-related services, the beneficiaries of the services of transport (people, production, distribution, sales), etc. Expected results of the implementation of the action are: . increased capacity of transportation (30%-100%), increased circulation, safety of navigation and security of goods and persons (25%-50%) . increased accessibility of routes and destinations (20%-50%), the average travel time (20%-40%) . growth and diversification of the supply of goods transport (20%-40%) and service quality (25%-45%) . diversified and increased quality of services in the transport of passengers (20%-40%), increased passengers’ comfort (30%-60%) . increased operating parameters to the administrator (20%-40%) and carriers (25%-45%): Optimizing and reducing annual expenditure on operation and maintenance of the administrator (15%-30%) and carriers (20%-40%) . increased annual revenues to administrator (20%-40%) and the operators of transport services (45%- 80%) . to achieve gradual level of accessibility in the metropolitan areas of Europe (80%-100%) . increased participation in the transport sector GDP (12%-15%) . reduced specific energy consumption/km t horse km (10%-20%) 249 Mapping of current EU & SEE Regional policies
. increased use of research results – development – innovation (40%-60%) . decreased overall impacts of transport (employment goals set for Romania on National Emissions Ceilings) and the impact on the environment (5%-20%) . reduced overshoot current limit level of air quality in cities and for pollutants where the transport is the main source of pollution (5%-15%) . increased population's access to public services infrastructure (20%-40%) . increased public transport service for hard to reach areas with low density of population and dispersible and cores for people with disabilities (25%-45%) . ensured social protection for some categories of perso Sharon laid down by law (80%-100%). To these are added and propagated over the life of the economicosociale materialized in: . the creation of new jobs as a result of the increase in direct investments in the transport sector and in sectors that participate in their implementation . the development of manufacturing industry of ecological means of transport as a result of the conditions imposed by the rules in this area and increase passenger traffic and goods . the development of production of usable biofuels in the transport process . the rehabilitation of the Romanian petrochemical industry by creating cross-dock facilities through the port of Constanta and along the pan-european corridor VII a certain quantity of oil extracted from the Caspian Sea area . increasing the speed of rotation of circulating means and reducing supplies of production as a result of diversification and modernization of the services and to reduce the average time for loading-unloading . increasing the volume of trade by improving the facilities provided by the logistic centers located on pan-European corridors and corridor VII . increase of labour mobility at local level as a result of the creation of the shuttle on distances up to 100 km . the development of insurance and reinsurance sector.
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3.7 Serbia
3.7.1 Transport – General The transport sector in Serbia includes road, rail, inland waterways and air modes, and intermodal transportation. Serbia is an integral part of the European transport network and through the Pan-European Transport Corridors (Corridor X and Corridor VII) links with the EU Trans-European Transport Network (TEN- T). While Corridor X includes the road and railway transport modes, as well as intermodal transportation, the Corridor VII represents the Danube River. Transport should establish conditions for the free movement of people and goods within Serbia, as well as internationally. This sector makes a valuable contribution in terms of activity and GDP growth, and is considered one of the major contributors to the economy’s development, employment and future increase in competitiveness. Current statistics show that the transport sector, together with storage and communications, is contributing 7.5% of GDP and 8.3% of total employment. Transport performance and effectiveness depends strictly on the capacity and quality of infrastructure, and the quality of transport services, including the interoperability of different modes, networks and systems. It is estimated that in transport activities in road, railway, waterway and air transport work around 150,000 workers engaged. Taking into account their families, We conclude that a significant number of citizens of the Republic of Serbia live from the transport sector. The basic transport infrastructure is relatively well established and can be considered a good basis for further development. It consists of 43,838 km of roads, 3,809 km of railways, 1,680 km of inland waterways, two international airports, five secondary and 16 tertiary airports, and three partly-developed intermodal terminals. Though transport network is at the level of medium-developed European countries, its capacity and quality is reduced due to insufficient investment and inadequate maintenance in the past. This has resulted in outdated technology, infrastructure quality below EU standards, and transport network bottlenecks/limitations (speed limits, single rail lines, non-electrified rail lines, gauge UIC-C standard, critical sections and UXOs in the Danube and the Sava River, poor infrastructure of ports, insufficient transport capacities of Djerdap locks, etc.). It is estimated that about EUR 290 million is needed for the rehabilitation and maintenance of the inland waterways system in the next ten years. Besides the fact that in the 1990's the intermodal transport was in standstill, there is partially constructed infrastructure, both on the railways – Railway integral transport, and in ports (ports in Novi Sad, Belgrade, Pančevo and Prahovo) for container trans-shipment. There are significant restrictions at the existing terminals, caused by the current locations, obsolete equipment and available investments for development. The core traffic flows of the railway, road and inland waterways transports are recorded within the main European corridors crossing the country (the Pan-European Transport Corridors X and VII and Route 4 of the Core Regional Transport Network); these are considered the backbone of the Serbian transport network. In case of railway traffic, over 50% of transport operations are realized on Corridor X that shares 25% of the network. At present, the Republic of Serbia is intensively working on completing, upgrading and modernizing the main transport infrastructure and harmonizing its transport legislation with the EU.
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3.7.1.1 Overview of freight transport sector When compared to 2010, all modes of transport, except inland waterways, saw a growth of activity in 2011. This information should be taken with reservation because of the increased number of reporting units in road, air and pipeline transport. As regards railway transport, a fall was recorded in passenger and goods transport, even when compared to 2006, as well as in air, inland waterway, urban and pipeline transport. However, this was not the case with road passenger and goods transport. Road transport increased by 139.0% in goods transport in comparison to 2006, which was the result of the increased number of reporting units in 2011 and after 2006. As for air transport, the number of passengers carried and traveled passenger-kilometers increased by 11.7%, but the activity in goods transport decreased by 49.7%. Serbia has favourable economic and geographic features for cargo inland waterways transport (IWT). The total length of Serbian inland waterways, at the average water level, is about 1,680 km. The Danube River flowing through Serbia allows central Europe's connection to the Black Sea and through Danube-Rhine-Main canal, the North Sea. The Tisa River offers a connection with Eastern Europe, while the Sava River connects Serbia to western former Yugoslav Republics near the Adriatic Sea. The network of navigable canals within the Hydro-system Danube-Tisa-Danube (HS DTD) is about 600 km. Regarding the annual transport volume and capacity, the most important ports are: Belgrade, Pančevo, Smederevo and Prahovo. Most of the ports on inland waterways in the Republic of Serbia are connected with main railway lines and roads or are very close, which has strategic and logistic importance. The fleet on IWW in Serbia consists of about 450 vessels, mostly obsolete, with the available transport capacity of about 435,000 tons and the total power of 68,000 kW. Road transport was the only mode demonstrating stable performance for freight traffic during the recent recession. Rail freight traffic in 2007-2009 dropped by 31%, inland waterways transport decreased in 2006- 2009 by 47% (2006-2009), while air transport performance dropped from 7.5 million tkm in 2004 to 2.7 million tkm in 2009, which represents a 64% reduction. Though the roads represent a dynamic and dominant transport mode, road freight performance in 2009 expressed in tkm represents just a 23.6% share, while railways reaches 59.0%. This indicates an ideal division between transport modes, whereby transportation of bulk and raw materials is undertaken mainly by rail and inland waterways modes, which are considered more environment friendly and cost efficient. In order to clarify the views of freight transport in Serbia, the following tables present its main performances, with special emphasis to river cargo transport, as follows: Table 25: Goods transport and traffic, Serbia 2008-2011, Table 26: Basic indicators of inland waterway transport, 2007-2011, Table 27: Goods traffic at river ports, 2007-2011, thousand tonnes.
Table 25: Goods transport and traffic, Serbia 2008-2011
Index Transport and traffic of goods 2008 2009 2010 2011 2011-2010
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in 000 Tonnes
TRANSPORTED GOODS - TOTAL 30368 22697 25767 24509 95,1
Domestic transport 13002 9504 11152 10826 97,1
Export 3096 2684 3457 3063 88,6
Import 8820 6862 6939 6262 90,2
Transit 5392 3501 4033 4160 103,1
Transport abroad 58 146 186 198 106,5
Land transport 25013 20703 23840 22566 94,7
Railway transport 14131 10419 12581 12620 100,3
Road transport 5446 5660 6181 5080 82,2
Pipeline transport 5436 4624 5078 4866 95,8
IWW transport 5356 1994 1952 2146 109,9
Air transport 3,38 2,487 2,393 2,230 93,2 mill. Tone-kilometres
TOTAL 7876 5951 6708 6936 103,4
Domestic transport 1381 1078 1412 1444 102,3
Export 1101 1115 1366 1247 91,3
Import 2566 1900 1816 1955 107,7
Transit 2807 1801 1989 2050 103,1
Transport abroad 21 57 125 240 192,0
Land transport 6507 5079 6215 6521 104,9
Railway transport 4339 2967 3522 3611 102,5
Road transport 1112 1185 1689 1907 112,9
Pipeline transport 1056 927 1004 1003 99,9
IWW transport 1369 872 875 726 83,0
Air transport 4,065 2,673 2,737 2,748 100,4
* City transport not included
Source: Statistical Office of the Republic of Serbia, 2012. Table 26: Basic indicators of inland waterway transport, 2007-2011
Freight transport
Cargo vessels Transport of goods, thous. t
Carrying Traffic Ton- capacity National between kilometers, Total All Exports Imports Transit tons. transport foreign mill. 1 Thous. ports
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2007 301 336 5379 4277 214 628 259 1,0 1584
2008 302 338 5355 4366 227 702 59 1,0 1369
2009 322 322 1931 1147 390 344 39 12 865
2010 308 314 1952 1213 357 382 - - 875
2011 324 314 2146 1573 179 382 12 - 726
1 The total number of cargo vessels refers to the inventory, but not to the registered vessels number being technically ready for sailing Table 27: Goods traffic at river ports, 2007 – 2011, thous. t
Traffic Transit 1 Total traffic National traffic International traffic
Total Loading Unloading Total Loading Unloading Total Exports Imports Total Upstream Downstream
2007 14515 5975 8540 8554 4277 4277 5961 1698 4263 5491 2520 2971
2008 14044 5691 8353 8734 4367 4367 5310 1324 3986 6350 4195 2155
2009 6998 3052 3946 2292 1146 1146 4706 1906 2800 5480 2285 3195
2010 8112 3373 4739 2426 1213 1213 5686 2160 3526 4964 2660 2304
2011 7964 3414 4550 3146 1573 1573 4818 1841 2977 3330 2321 1009
1 Transit excluded
Source: Statistical Office of the Republic of Serbia, 2012.
3.7.1.2 Key strategic policies for freight transport Policy directions for the transport sector have been determined by the following Government strategies: 1. The National Programme for Integration with the European Union (NPI) NPI specifies obligations concerning the incorporation of acquis communautaire into the domestic legal system and tasks to fulfill criteria for accession. Strategically important place should be reserved for the development of integral transport as a more efficient way of delivering goods to the biggest EU centers. 2. Strategy Of Railway, Road, Inland Waterway, Air And Intermodal Transport Development In The Republic Of Serbia, 2008 - 2015 (hereinafter: Strategy) In 2008 the Government adopted the Strategy of development of rail, road, water, air and intermodal transport in the Republic of Serbia for 2008-2015 period. (Official Gazette of the Republic of Serbia No. 004/08, 13 January 2008). The Strategy identifies the condition in the transport sector, puts forward a concept of the development of infrastructure and transport, defines goals and objectives of transport system development and Action Plan for their implementation, bearing in mind a need for a sustainable development of the transport in the Republic of Serbia. Guidelines for such development have been drawn up on the level of the whole system and are based on safety and intermodality principles, the application of new technologies, complementary use of all transport modes and, above all, on the rational exploitation of available capacities and resources in the country, to the benefit of all inhabitants of the Republic of Serbia. This strategy is goal oriented and based on the vision for 2015, taking into account the social development,
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determination to accession to the European Union, sustainable development of the transport system and stable institutions. 3. Amendment of the Strategy, 2010-2020. Recognizing the need for the Strategy to comply with the newly adopted documents (primarily the Master Plan for Development of Transport and Spatial Plan for the Republic of Serbia), Ministry of Infrastructure and Energy (now Ministry of Transport) have approached to the Amendment of the Strategy, which will cover the period 2010-2020. When considering the importance of the transport sector in any country, two dominant aspects are observed: the quality of life and overall economic development. In order to have positive influence on the economic development, the transport system must reach a certain level of development. The current condition of the system can be explained by the consequences of the economic decline in the period 1990-2000 and the slow recovery. In order to reach the level of development of the EU candidate countries and EU members, it is necessary to reach the level of development comparable with those countries. The Strategy defines the steps on this path and identifies priorities. Basic goal of Serbia’s transport strategy is thus to reach the compatibility with the EU’s transport system, while ensuring as low as possible adverse environmental impacts of such development. Seven general objectives (goals) of the Strategy have been defined: 1. Integrating Serbian transport network into the TEN-T. 2. Efficient use of comparative advantages of each transport mode. 3. Rising the quality of transport services, by increasing efficiency, better organization of transport operations from economics, safety and environmental perspective and application of target-oriented planning and managing of traffic flows. 4. Increasing the level of safety and security of the transport system. 5. Strengthening and gradual liberalization of transport market. 6. Reducing adverse environmental impacts of transport. 7. Establishing stable financing of transport system’s development The approach to transport in the Strategy is based on the following principles: . the transport strategy must focus on providing life quality, environment protection, welfare and mobility of the individual; . active approach to transport affects transport system development and does not respond only to demand by adapting to events; . transport strategy takes care of long term objectives of the country and harmonizes them with the goals of the individuals; . transport strategy is active in the areas where safety, population health or environment protection are jeopardized by uncontrolled transport system growth.
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The Strategy has the following functions: . it gives the guidelines for decision making in the transport sector and the planning document which comprises operation of all modes of transport; . it is the source of information on condition, problems, scenarios, general goals, goals according to transport modes and certain measures in the transport sector; . it channels and gives information to economy and interested citizens; . it lays down guidelines for decision making to all public administration bodies and bodies on local level. 3. Documents which establish the framework for the Strategy drawing up are the following: . Law on Spatial Plan of the Republic of Serbia (“Official Gazette RS”, no. 13/96), contains a chapter "Transport and Communications". Even though the recommendations of this Spatial Plan look unrealistic in the current economic and political climate, general guidelines, particularly those which consider corridors and intermodal transport nodes, still remain and could be applied in the future; . The Regional Infrastructure Project of the Balkans (REBIS Transport) from 2003; . The National Strategy of the Republic of Serbia for Accession to the European Union, June 2005; . Strategy of the Regional Development of the Republic of Serbia for the period from 2007 to 2012 (“Official Gazette RS”, no. 21/07); . Strategy of Integrated Border-Crossing Management in the Republic of Serbia (“Official Gazette RS”, no. 11/06); . The Strategy of encouraging and developing foreign investments (“Official Gazette RS”, no. 22/06); . Strategy that regulates economic development of the Republic of Serbia; . Strategy for Poverty Reduction in the Republic of Serbia. Other papers dealing with the railway, road, inland waterway, air and intermodal transport strategy in the Republic of Serbia are specifically and segment oriented to specific transport modes assuming their own development scenarios for individual subjects of transport sector for different planning periods. Other papers are as follow: . Law On Navigation And Ports On Inland Waters . Danube Strategy . Legislative Activities - Harmonization With EU Legislation . Transport Master Plan For Serbia (TMP) 4. Law On Navigation And Ports On Inland Waters The Low carried out full institutional reform of waterway transport sector in the Republic of Serbia. In this regard, today we have three key state institutions in this sector, namely: Directorate for Inland Waterways (former “Plovput”),
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the Board for Determining the Ability of Ships to Sail (the former "Jugoregistar"),
Agency for the management of ports and the port authorities. In relation to the legal status of former Jugoregistar, when it was defining, attention was paid to legally binding provisions of Directive 2006/87/EEC through which this issue is regulated. The Law abandoned its former monopoly position, since documents issued by recognized classification societies will be fully recognized, while Jugoregistar is established as the Board for Determining the Ability of Ships to Sail, with the legal status of an administration body within the Ministry. The provisions of this Law regulate the terms and conditions for safe navigation on inland waters of the Republic of Serbia, inland waterways and navigation, vessels and their seaworthiness, crew, search and rescue, ports and harbors, inspection surveillance and other issues related to navigation on inland waters. 5. Danube Strategy
In June 2009 the European Commission was given mandate by the EU Council to create a joint comprehensive strategy for the Danubian countries. After extensive preparation and a series of conferences and meetings, in which the Republic of Serbia took an active part with its proposals, on 8 December 2010 the European Commission adopted the final document of the Strategy and referred it for adoption to the EU Council of Ministers. The development of the EU Danube Strategy represents an opportunity for Serbia to be closely involved with its EU partners and its neighbors in defining the main pillars, the types of actions envisaged, the identification of flagship projects and coordinating the existing initiatives that will meet ecological, transport and socio-economic needs of the Danube. Along with this document the Action Plan for the implementation of the Strategy was adopted as well. Finally, on 24 June 2011 the EU Council adopted the conclusion calling all relevant actors to take an active part in the implementation of the Strategy, thus formally concluding the Strategy adoption process. Serbia’s contribution is evident in the fact that it is one of the coordinators, for two areas or the Strategy – science and transportation (except navigation). The Danube Strategy is realized by 14 countries of the Danube region, from which 8 countries are EU members and six are not. The Danube Strategy conducts over 11 priority areas, which are presented in Table 28.
Table 28. Pillars and Priority Areas
Pillars A | Connecting the Danube B | Protecting the C | Building Prosperity D | Strengthening the Region Environment in the in the Danube Region Danube Region Danube Region
Priority 1) To improve mobility and 4) To restore and 7) To develop the 10) To step up Areas multimodality maintain the quality of Knowledge Society institutional capacity 2) To encourage more waters through research, and cooperation sustainable energy 5) To manage education and 11) To work together to 3) To promote culture and environmental risks information technologies promote security and tourism, people to people 6) To preserve 8) To support the tackle organised and contacts biodiversity, landscapes competitiveness of serious crime and the quality of air enterprises, including
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and soils cluster development 9) To invest in people and skills One of them „Improve mobility and multimodality – rail, road and air transport“ is entrusted to the Republic of Serbia and the Republic of Slovenia to jointly coordinate and implement this area to all countries of the Danube region. On behalf of the Republic of Serbia, a representative is appointed from the Ministry of Infrastructure and Energy (now Ministry of Transport) as a Coordinator for this priority area.
5. Position of the Republic of Serbia
In June 2010, one year prior to the adoption of the Danube Strategy document by the EU Council, the Government of the Republic of Serbia set its own objectives and priority areas of major interest. General aim is the Utilization of the Danube potentials as a significant resource for sustainable development of the Republic of Serbia. Priority Areas are: 1. Development of the transport and energy systems, and information and communication technology (ICT) along the entire Danube River; 2. Environmental protection and sustainable use of natural resources along the entire Danube River Basin; 3. Economic development and strengthening of regional cooperation and partnership in the Danube Region; 4. Establishment of a safe transport system and affirmation of the rule of law principles along the entire Danube watercourse; 5. Creating a knowledge-based economy through cooperation in the Danube region and the active role of science in achieving the objectives of the Strategy. Until recently Serbia has ratified several of the following multilateral and international environmental treaties, for instance: Kyoto Protocol (Official Gazeta of Republic of Serbia, 2007); The Framework Convention on the Protection and Sustainable Development of the Carpathians; Convention on the Conservation of European Wildlife and Natural Habitats; Convention on Migratory Species; Convention on the Prohibition of the Development, Production, Stockpiling and Use of Chemical Weapons and on Their Destruction (National Environmental Strategy, 2006).
‘Green Package’, in 2009: Act on Waste Management, Act on Ionizing Radiation Protection and Nuclear Safety; Act on Non- Ionizing Radiation Protection; Amendments in the Act on Environmental Protection; Act on Chemicals, Act on Air Protection; Act on Packaging and Packaging Waste; Act on the Ratification of the Rotterdam Convention on the Prior Informed Consent Procedures for Certain Hazardous Chemicals and Pesticides in International Trade; Act on Biocides, Act on Ratification of Conventions and Trans- boundary Effects of Industrial Accidents; Act on the Protection and Improvement of Green Areas; Act on Protection and Sustainable use of Fish Fund, the Act on Noise Protection (Official Gazeta of Republic of Serbia, 2009).
All the listed acts or their amendments are done in accordance with the harmonization requirements of the EU accession.
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6. Legislative Activities - Harmonization With EU Legislation Ministry of Transport actively monitors the process of harmonization of legislation with EU acquis in the field of transport. Among legislation activities are the following: . Law on Road Traffic Safety - the Law was developed in cooperation between the Ministry of Internal Affairs and the Ministry of Infrastructure and Energy. . Law on navigation and ports on inland waters - the most important law in the reform by the Sector for inland waterway traffic and navigation safety and fully complies with EU directives, conventions and resolutions of the United Nations Economic Commission for Europe (UNECE), adopted in November 2010. . Law on Amendments of the Law on Air Transport - The Low entered into force in August 2011 and makes further harmonization with EU acquis also fulfilling the recommendations of the European Commission's annual report for 2010, in order to speed up the acquisition of the candidate status. Changes entrusted the review of accidents and serious incidents of aircrafts to a functionally independent body, and the inspection to the Civil Aviation Directorate of the Republic of Serbia. . Law on Transport of Dangerous Goods - The Low adoptet on 23 November 2010. and regulates transportation of hazardous cargo of all modes of transport - road, rail, air and water, and complies with the multilateral conventions RID, ADR and ADN ratified by our country. . Law on Maritime -The Low adopted in 2011. . Law on Railway . Law on Obligations and Basis of Property- Legal Relations in Air Transport is adopted. . new legislation pending: Railway Law, Law on safety and interoperability in the railway transport law on transport goods by road, ACT state affiliation and enrollment boats and law multilateral convention in railway transport 7. Transport Master Plan For Serbia (TMP) On June 18, 2010 the National Council for Infrastructure adopted Transport Master Plan for Serbia. TMP’s aim is to contribute to better and safer transport networks, which will attract new investments in Serbia, to improve the quality of life and contribute to improving relations with neighboring countries. TMP is a rolling investment program for the period up to 2027, namely survey and plan of implementation of all infrastructure projects in the Republic of Serbia. The objective of TMP is an extended, improved and safe transport network, which will attract new investment in poor regions, improve the quality of life in Serbia, boost trade and contribute to better relations with the neighboring countries. TMP is a base for all future projects that will be financed from the EU pre-accession and accession funds as well as from other sources of financing.
Expected result of established policies on inland waterway transport, which is aimed at increasing the volume of transport on inland waterways, is the increase in annual transport volume to 12-15 million tons in 2015, or in percentage, from 4.8% to 12%.
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3.7.2 Transport - CO2 emissions Among several other environmental problems, air pollution is one of the most serious, heaving significant harmful effects on public health and the environment as a whole. As air pollution had a very low priority on political agenda in the past, so far not enough has been done to control air pollutant emissions. The Kyoto Protocol, under the United Nations Framework Convention on Climate Change (UNFCCC) as well as Convention on Long-range Trans-boundary Air Pollution (CLTRAP) are in place to curb climate change, acidification, air pollution from human activities including transport. Transport is responsible for around a quarter of EU greenhouse gas emissions making it the second biggest greenhouse gas-emitting sector after energy. Road transport accounts for more than two-thirds of EU transport related greenhouse gas - GHG emissions and over one-fifth of the EU’s total emissions of carbon dioxide, the main greenhouse gas (EC, EU Transport GHG: Routes to 2050, 2011). In no other sector have GHG emissions increased as rapidly between 1990 and 2009 in the 32 member countries of the EEA, as in transport sector (EEA Technical report 6/11, 2011). Global CO2 emissions from transport have grown by 49,35% from 1990 to 2008, led by emissions from the road sector in terms of volume, and by shipping and aviation in terms of highest growth rates. Transport related CO2 emissions have increased 36%, of which 26% of increase was from road transport, during the same period. These results were published in International transport forum report (OECD and ITF, 2010).
Fig. 20: Global CO2 emissions from transport have grown by 49,35% from 1990 to 2008
Source: OECD and ITF According to the data published by OECD and ITF, share of transport related CO2 emissions in total CO2 emissions in Serbia and contribution of road transport to overall CO2 emissions emitted by transportation sector are presented on Fig. 21.
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Fig. 21. Share of Transport Sector in Overall CO2 Emissions and Distribution of CO2 Emissions by Mode in Serbia
Source: OECD and ITF In 1990 transport related CO2 emissions (Table 3), amounted to 7.8% of total CO2 emissions in Serbia. After that period, during the years of economic and political crises, downward trend is noticed until 2000 (1995: 6.4% and 2000: 5.6%). After 2000, because of economic growth, transport related emissions have increased, and in 2008 this emissions accounted to 13.4% of total CO2 emissions in Serbia.
Table 29: CO2 emissions in Serbia 1990 -2008
Serbia 1990- % 2007- CO2 Emissions 1990 1995 2000 2001 2002 2003 2004 2005 2006 2007 2008 2008 %/year** 2008
IEA CO2 from fuel 55,2 combustion (Mt)* 61,87 44,12 42,63 44,84 48,4 51,96 6 45,41 48,26 49,96 49,35 -20% -1,25% -1,22%
… of which transport CO2 (Mt)* 4,85 2,81 2,39 3,8 4,61 5,06 5,45 5,46 5,43 5,63 6,6 36% 1,73% 17,23%
Transport* as a percentage of total 7,8% 6,4% 5,6% 8,5% 9,5% 9,7% 9,9% 12,0% 11,3% 11,3% 13,4%
Road (Mt) 4,42 2,7 2,3 3,66 4,44 4,87 5,31 5,31 5,27 5,45 5,57 26% 1,29% 2,20%
Rail (Mt) 0 0 0 0 0 0 0 0 0 0 0 ......
Domestic Aviation (Mt) 0 0 0 0 0 0 0 0 0 0 0 ......
International Aviation (Mt) 0,43 0,11 0,09 0,14 0,17 0,19 0,14 0,15 0,16 0,14 0,14 -67% -6,04% 0,00%
Domestic Navigation (Mt) 0 0 0 0 0 0 0 0 0 0 0 ......
International Shipping (Mt) 0,00 0,00 0,00 0,00 0,00 0,00 0,00 0,00 0,00 0,00 0,00 ......
Other Transport (Mt) 0 0 0 0 0 0 0 0 0 0,04 0,88 ......
* includes emissions from international aviation and international maritime bunkers - there is no internationally agreed allocation mechanism for these and totals here are indicative of the scale of these emissions, not of their national "ownership" available yrs.
Source: OECD and ITF
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Further analysis of emissions of CO2 in 2009 were for 2.71% higher comparing to emissions in 2008 (these data are not shown in the table 3). Comparing to amounts emitted in 1990, CO2 emissions in 2009 increased for 60.41%. The above data are supporting new research for emissions in Serbia. So in a period from 1990 to 2008 different trends in transport related CO2 emissions were noted. Total CO2 emission in Serbia decreased during the period from 1990 to 2008 for 20% (Fig.3) unlike the EU (Fig.4).
Fig. 22: Trend in Emissions of Air Pollutants from Fig. 23: Trend in Emissions of Air Pollutants from Transport in Republic of Serbia Transport in EEA-32
Source: Kecman I. et al. Serbian Road Transport and Pollutant Emissions: An Indicator Based Review and Comparative Analysis, 2012
3.7.2.1 Reduction and Targets Since 2001, the Republic of Serbia has been a member of the United Nations Framework Convention on Climate Change, as well as a member of the Kyoto Protocol since 2008. Having a status of a developing country, Serbia is not obliged to reduce greenhouse gas emissions (GHG) in the first, obliging period of time, but it does have an obligation to “determine and implement actions which contribute to the achievement of its goals”. Serbia is in the process of preparing its National GHG Inventory. Nevertheless, by signing the protocol, it gained the opportunity to reduce these emissions through the Clean Development Mechanism, through which developed countries can invest in Serbian projects with an aim of reducing the emission of GHG on their territory. In 2002, Serbia signed the Athens Memorandum on the establishment of the regional (ESSEE) energy market of the Southeast European countries and accession to it. The country has also committed itself to the 20+20+20 by 2020 Strategy, which stands for: decreasing GHG emission by 20%, decreasing the use of non-renewable energy sources by 20%, and increasing the usage of renewable energy by 20% by 2020. These have been followed by the National Spatial Development Plan of Serbia 2024, Strategy on Energy Development of Serbia by 2015, and Strategy on Implementation Program and Energy Survey. In addition, many studies, programs, exploratory projects, etc. were carried out regarding particular projects, or initiatives. Reduction of the GHG emissions is one of the main priorities defined within Energy Sector Development.
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Two recently developed and adopted documents, “Efficient ways for GHG emissions reductions within the post-Kyoto framework in Serbia” (Ministry of Environment, Mining and Spatial Planning of Serbia, 2011.) and „Nationally Appropriate Mitigation Actions – NAMAs” (Ministry of Environment, Mining and Spatial Planning of Serbia, 2010.), focusing on the reduction of GHG emissions, have addressed the issue on a more pragmatic level by focusing on measures to be employed in the 2012-2020 timeframe. The measures have been quantified in terms of emission reduction possibilities, as they relate to energy production, industry, transportation, buildings, agriculture, waste and forestry. It is estimated that the likely reduction, as the result of implementation of these measures by 2020, may take from 7% in the building sector, 8% in transportation, and up to 57% in the energy production sector. The expected possibilities in GHG emission reduction, as well as the selection of targeted sectors, clearly indicate which path the country has to take and where the focus for future actions should be placed. For each of the sectors the BAU projection of emissions for 2020 was estimated (Table 30 - Transport), and the projected emissions reductions to be obtained by implementing the reduction measures by 2020 were estimated and quantified (Table 31 -Transport).
Table 30: Breakdown of the main GHG emissions by sub-sectors and BAU projections for 2020
No Project classification National GHG 2020 BAU GHG 2020 BAU GHG emission Inventory Classification emissions (1,000 tCO2e) projections (% total without removals)
4 Transport Road transport 10,379 10%
Source: “Efficient ways for GHG emissions reductions within the post-Kyoto framework in Serbia”, Ministry of Environment, Mining and Spatial Planning of Serbia, 2012. Table 31: Emissions reductions obtained by the implementation of reduction measures in 2020
Source: “Efficient ways for GHG emissions reductions within the post-Kyoto framework in Serbia”, Ministry of Environment, Mining and Spatial Planning of Serbia, 2012. The reductions range between 7% in the building and 8% in transportation sector, and up to 57% in the energy production sector. As for the transportation, the reduction of road transport for passengers and goods, and increase in the railway and water way transportation modes, will be contributing by 54,4% to the total in this category. The National programme for integration with the European Union - NPI defines, among others, the following priorities: 1. Strengthening the administrative capacity for the implementation of the UNFCCC and the Kyoto protocol;
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2. Begin strengthening the administrative capacity for the transposition and implementation of the EU Climate and Energy Package, especially focusing on the Emission Trading Directive. In Chapter 3.27.3, on Air quality and climate change, it is planned to transpose the Commission Decision (2007/589/EC) establishing guidelines for the monitoring and reporting of greenhouse gases pursuant Directive 2003/87/EC. Also, it is envisaged adoption of all directives and regulations included in EU Energy and Climate Package. The National Sustainable Development Strategy (NSDS) was adopted in 2008, while the Action Plan for its implementation was adopted in 2009. NSDS defines as strategic objective, among else, mitigation on climate change. These include the preparation of relevant institutions for the implementation of EU climate change policy and for fulfillment of Serbia’s international obligations (the UNFCCC and the Kyoto Protocol etc.). National Programme for Environmental Protection (2010-2019) – NEAP, adopted in 2010, defines as one of a national priorities transposition and preparation for implementation of the EU Emission Trading Directive. NEAP Short term objectives (2010-2014) are: . To transpose into national legislation and prepare for implementation of the EU Emission Trading Directive, and EU Energy and Climate Package . To develop professional and administrative capacities, including industry and relevant subjects, for efficient implementation of national policies to combat climate change and to fulfill international obligations; . To harmonize national legislation with EU acquis. Strategy for development of energy sector of the Republic of Serbia stipulates EU accession as a main political objective. It implies meeting EU standards in terms of environmental protection, by transposition of relevant directives. Increasing energy efficiency and the use of renewable energy resources by 2015 are two from five main priorities in the Serbian Energy Sector Strategy Development. Environmental Approximation Strategy defines transposition of Emission Trading Directive (2009/29/EC) as a second highest priority in the air and climate change field. Relevant ministry should prepare legislation to transpose Directive (2009/29/EC), together with the associated EU legislation on monitoring, reporting and verification of GHG emissions and to start preparing Serbian industry to join the EU ETS. Draft Approximation Strategy for the Air Quality and Climate Change Sector envisages that for Serbia the most likely date of entry to emission trading system is 2016, but this will be possible only if preparations are supported with Technical Assistance Project. The European Partnership (EP) 2008 is one of the EU’s main policy objectives is combating climate change through short term and medium term priorities. For Serbia this covers the approximation of the EU environmental acquis, implementation of the Kyoto Protocol and strengthening administrative capacity at both national and local levels. The Stabilization and Association Agreement (article 111.) requires its parties to develop and strengthen their environmental cooperation with a view to sustainable development thus preventing further degradation and improving the environmental situation.
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3.7.2.2 Vehicle technologies Emission of air pollutants originating from mobile sources is primarily determined by technology level applied to a vehicle, vehicle’s technical condition, traffic intensity and density, fuel quality, local climate conditions, etc. In that sense, old vehicle fleet, constant increasing in number of vehicles, inadequate vehicle maintenance, bad fuel quality, as well as, insufficient and badly maintained road network can be identified as main reasons for increasing trend in air emissions from transport sector and significant contribution of these emissions to overall air pollution in Serbia in a past two decades. As opposed to increasing trend in transport related emissions in Serbia, EEA-32 notices steady decline in air emission from transport sector. This downward trend is the result of increasing number of policy actions undertaken in Europe to specifically addressed issues concerning air pollution. Gasoline quality in Serbia is governed by Ordinance on Technical and Other Requirements for Liquid Fuel Oil Origin (“Official Gazette of RS”, no. 64/11). This Ordinance defines the type and quality of the motor gasoline and diesel fuels on Serbian market. Production of leaded gasoline in Serbia finally stopped in August 2010, and in the same year, free import of fuels, which are compliant with EU Norms for unleaded gasoline (EN 228), and diesel fuel (EN 590) has been allowed in Serbia. NIS “Petrol” oil refinery, the only oil company in Serbia, in 2010 has started with production of high quality gasoline and diesel fuels that fully meets quality requirements of European Norms EN 228 and EN 590. EU norms noncompliant fuels are still producing and these fuels still are sold in Serbia. Production as well as sale of these non-compliant fuels was finally ceased in December 2012. Besides consumption of low quality fuels until 2010, usage of inefficient and old vehicle fleet can be considered as one of the main reasons for high transport related emissions in Serbia. From 2005, vehicle that does not comply with EURO 3 Emission Standards cannot be imported into Serbia. However, estimations from 2010 are that in Serbia 91% of vehicle fleet is over 11 years of age. Today, because of world economic crises, purchase of new vehicles had slow down after 2009 and purchase and import of used vehicles increased. By the increase of vehicle fleet, Serbia is not different from the rest of the world. In a last decade, public and political awareness of the importance of environmental protection has considerably developed in Serbia. The public in Serbia became aware of the importance that clean air has on quality of living, especially in urban areas. Since 2002, Serbia has made significant progress in developing environmental and air quality management legislation. Improvement in vehicle technology had performed a key role in reducing the environmental impacts from road transport in last two decades in developed countries. Economic factors, are for sure, greatly responsible for condition of a vehicle fleet in Serbia, but many non-economic measures can still be done in order to contribute to reduction of air pollution from road transportation. In EEA-32 after the lead has been phase out of gasoline, lead emissions from the road traffic have dropped remarkably. Effect of this measure in Serbia is yet to come in the following years.
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3.7.2.3 Charging and emissions trade Serbia should start with the implementation of the EU directive on GHG emissions trade till 2016. Serbia, having the status of developing country, currently has no obligation to reduce greenhouse gases, but this will be one of the priorities in the process of European integration. The Republic of Serbia has adopted as a strategic goal accession to the EU, which treats emission reductions within the so called Energy-Climate package, a complex legislative framework, with which the Republic of Serbia will have to harmonize its legislation. The implementation of this package will require a legislative, institutional change, human resource capacitating and large financial investments in sectors that are the biggest GHG emitters, like thermal energy sectors (cement factories, refineries, iron and steel works, paper industry, glass factories, nitrogen factories …) in the most cost-efficient way. The emission trading system emerged in order to fulfill the commitments of EU countries that had ratified the UN Framework Convention on Climate Change and the Kyoto Protocol. With the adoption, ratification and enforcement of the Framework Convention followed by the Kyoto Protocol, was created a global, internationally binding agreement that establishes and quantifies the commitments of greenhouse gas emission decline both for developed and developing countries. Monitoring the climate situation indicates to a change in climate caused mostly from GHG emission. GHG emissions need to be reduced, so that temperature growth by the end of this century doesn’t cross 2C, thus avoiding climate changes of catastrophic proportions with unforeseeable damage to the environment. To attain this, we need to lower GHG emissions on the global level by 2020 by 20-30%, and by 50% by 2050. The political platform of Serbia in terms of our status within the Convention and Protocol is based on the attitude that Serbia has a clearly defined plan and program on how to address this issue. According to carried out analyses, the RS will in the period up to 2020 conduct such an energy policy that will enable for our GHG emission to be limited against the emissions without the implementation of climate change measures, which entails a considerable increase in energy efficiency in production, transport, and consumption, increasing renewable energy share in the total balance of the country, the transition, wherever possible, to energy cleaner fuels (from coal and oil to gas), reducing energy consumption in traffic, transfer of energy efficient technologies and so on.
3.7.3 Transport – Sustainability Basic infrastructure is one of the preconditions for economic growth and one of the key foundations of competitiveness and development. Inefficient infrastructure services discourage or impede investment, and consequently decrease the rate of economic growth, ultimately resulting in an increase in unemployment. By contrast, planning and development, combined with the principles of environmental protection, are an integral part of the overall development strategies. The Republic of Serbia, with its natural and geographical position at the intersection of transport corridors VII and X, is the shortest and most efficient transit link between Central and Western European countries, on the one hand, with Southern European countries and countries of Middle and Far East, on the other. Adequate transport infrastructure is an important factor in the efficiency of the overall transport system, but also a key precondition for achieving the sustainable economic and social development of Serbia.
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The Government plans to continue the construction and modernization of the road and railway infrastructure, especially with the financial support of the IFIs, and to create the necessary conditions for normal inland waterway navigation, especially on the Danube and Sava Rivers. The restructuring of the overall transport services into a modern, safe and functional system represents one of the most important preconditions for boosting regional development and using the comparative advantages of local communities through links between tourism and agriculture areas with large business centers. The development of the EU Danube Strategy represents an opportunity for Serbia to be closely involved with its EU partners and its neighbors in defining the main pillars, the types of actions envisaged the identification of flagship projects and coordinating the existing initiatives that will meet ecological, transport and socio-economic needs of the Danube. The investments made so far in transport cover only a small portion of the real needs. The total cost of public investments required for the development of transport infrastructure in 2010-2027 is estimated at up to €15 billion23, of which the modernization of Corridors X and VII to European standards will require around €4 billion. The priority of the Government is to establish the regulatory and economic mechanisms for the realization of sustainable economic development, which will be focused on the preservation and improvement of the environment, reducing pollution and pressures on the environment, providing uninterrupted water supply and using natural resources so they will continue to be available for future generations. Transport sector makes a valuable contribution in terms of activity and GDP growth, and is considered one of the major contributors to the economy’s development, employment and future increase in competitiveness. Transport performance and effectiveness depends strictly on the capacity and quality of infrastructure, and the quality of transport services, including the interoperability of different modes, networks and systems.
3.7.3.1 Network Planning Based on a study funded by the World Bank and conducted by the International Organization IRAP (International Assessment Programme) based in the UK, the main route Corridor X (section Belgrade-Novi Sad, Belgrade - Sid, Belgrade - Leskovac) is evaluated with the mark 4 (the highest score is 5 for a full highway profile). During the evaluation parameters that are taken into account are: condition of road infrastructure and the environment, transport signals, speed limits and safety of passengers in the vehicle. Based on the analysis of the Global Economic Forum (The Global Competitiveness Report 2011-2012) the state of infrastructure in Serbia is ranked on position 84 of the total of 142 countries, and on lower positions, for example, is some of EU Member States. The basic transport infrastructure is relatively well established and can be considered a good basis for further development. It consists of 43,838 km of roads, 3,809 km of railways, 1,680 km of inland waterways, two international airports, five secondary and 16 tertiary airports, and three partly-developed intermodal terminals.
23 General Master Plan for Transport in Serbia (2009). This includes new construction, rehabilitation, upgrading and maintenance of the main corridors, regional and local roads and railways, inland waterways, airports, and intermodal terminals. 267 Mapping of current EU & SEE Regional policies
Road network covers: 498 km of highways with toll collection and 136 km of semi-highways with toll collection. Serbian railway network is 3,809 km long, 1,196 km of which are electrified lines. The national railway company, Serbian railways, carries circa 6,500,000 passengers and 14,200,000 tons of commodities annually by means of 158 hauling units. Inland waterway transport is effectuated along two inter-national rivers and one interstate river and a canal system accounting for the total length of circa 1,600km: Danube River 588 km, Sava River 207 km, Tisa River 164 km, Danube – Tisa – Danube canal 604 km. Serbia has ten international ports, nine of which are located on the Danube river and one on the Tisa river, while two national ports are on the Sava river In 2008, the gross investment and maintenance spending reached €710 million in case of roads, total of €51 million in inland waterways and only €23 million in railways. This indicates that the Government has strongly prioritized construction and reconstruction of road infrastructure. Transport sector is faced with a lack of continuous financing and insufficient capacity for infrastructure project documentation development. The motorway density of 4.8 km/1000 km2 is much lower than in Austria (19.9 km/1000km2) or the UK (14.85 km/1000km2), and is comparable with countries like Bulgaria (3 km/1000km2) or the Czech Republic, Slovakia or Hungary with around 7 km/1000 km2. The density of the rest of roads of 500.8 km/1000km2 can be compared with Macedonia or Montenegro, and is about a half of the density of this category road in Austria or the United Kingdom. The EU-27 average is 1,214.9 km/1000km2. The technical condition of roads is not satisfactory; more than half of local roads are not appropriate for needs of modern traffic, 32% of the main and regional roads are over 20 years old and only 14% were constructed less than 10 years ago. 24 The railways density of the Republic of Serbia of 49.2 km/1000km2 is comparable with the EU-27 average (50.1 km/1000km2), and with France and Romania that have a density of 46 km/1000km2. Up to 46.4% (1,768 km) of railways are the main lines, of which 1,254 km (32.7%) are electrified. Only 7% of the lines (272 km) are double-tracked. About 45% of the railway lines have allowed axle load of 22.5t, while 30% is less than 16.86. In Corridor X, which ought to be the best maintained part of the network, the difference between design and actual speed varies between 15% and 40%. The speed of trains exceeds 100 km/h on only 3.2% of the lines, and about 50% of rail network allows maximum speed of up to 60 km/h. Except the lines Belgrade - Šid and Velika Plana - Niš, which are double-track, electrified and in some parts with a greater speeds, all other lines have obsolete technical and technological parameters. However, the situation of speed restrictions has not worsened dramatically during the last 10 years. Serbia has favorable economic and geographic features for cargo inland waterways transport (IWT). The total length of Serbian inland waterways, at the average water level, is about 1,680 km. The Danube River flowing through Serbia allows central Europe's connection to the Black Sea and through Danube-Rhine- Main canal, the North Sea. The Tisa River offers a connection with Eastern Europe, while the Sava River connects Serbia to western former Yugoslav Republics near the Adriatic Sea. The network of navigable canals within the Hydro-system Danube-Tisa-Danube (HS DTD) is about 600 km.
24 SEETO – Five Year Multi Annual Plan 2010 to 2014 and the General Master Plan for Transport in Serbia 268 Mapping of current EU & SEE Regional policies
Average operating speed on the Danube is given as 8 to 14 km/h upstream and 15 to 20km/h downstream. The maximum draft of the vessels plying the Danube is between 2.5 and 4.5 m, this requires a minimum water depth in the range of 3.2 to 6 meter. The Danube Commission requires a minimum water depth of 2.5m.25 The most important ports on the Danube River are: Belgrade, Pančevo, Smederevo and Prahovo; Belgrade and Pančevo ports have container terminals. Four airports (Belgrade, Niš, Vršac, Bor and Krljevo) are used for commercial purposes. Belgrade Airport “Nikola Tesla” and Niš Airport “Konstantin Veliki”, being a part of the Core Regional Transport Network, are used for international flights. In addition, based on the official airport register published by Civil Aviation Directorate of Serbia, there are 22 more certified airports. Several military airports operated by the Serbian Armed Forces have good potential for further network development as civil or combination civil-military category airports. There are only three partly functional intermodal terminals in Serbia: the ZIT (Railway Integral Transport) nearby the central railway station in Belgrade, in the port of Belgrade, and in the port of Pančevo. These employ mostly multifunctional equipment and universal devices which enable trans-shipment of containers and some huge-pack transport units. The most important segments of the Trans-European transport network on the territory of the Republic of Serbia are: 1. Corridor X with its branches - Xb (Belgrade-Budapest) and Xc (Nis-Sofia), representing the most significant road and railway route on the territory of the Republic of Serbia. It was established as a part of the South East multimodal axis, linking Austria/Hungary, Slovenia/Croatia, the Republic of Serbia and Bulgaria/Macedonia/Greece. It covers 792 km of roads and 760 km of railway lines in the Republic of Serbia; 2. Corridor VII (the river Danube) connecting Central Europe with the Black Sea via the Republic of Serbia, and it represents a part of the South East multimodal axis. Transport development depends on the economic development of the country and the surrounding region. Recent transport trends in Serbia are similar to all Western Balkans countries. After a period of expansion since 2000, the growth in inland freight and passenger traffic halted in 2008, due to the global financial crisis which resulted in economic recession and falling domestic and international demand. Based on the overall strategic framework and the current situation in the sector, the following mid-term priorities have been identified: • Increase the effectiveness of all transport modes and the transport system as a whole Transport competitiveness is deeply connected with the effectiveness of the whole system and with the efficiency of services provided. Serbian transport, represented by all transport modes, including inter- modal transport, needs to establish common goals, based on the analysis of the effectiveness and efficiency of individual modes and considering their advantages to the competitiveness of transport, to provide the choice and offer of optimized transport options to users. This means implementing a purposeful planning and results-approached management, transport flows management, transport
25 General Master Plan for Transport in Serbia
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network development, increase in safety and efficiency, fair determination of prices, environmental protection, social responsibility, and strengthening of the internal market and the market external dimension (transit and export of transport services). • Improve the capacity and quality of transport infrastructure and services within the Pan-European Transport Corridors and the South East Europe Core Regional Transport Network The quality, effectiveness and efficiency of transport services depend on the capacity and quality of transport infrastructure. A developed transport network together with the management of traffic flows are the basic conditions for providing a fast, safe and efficient transport service. The demand for transport services within the country, as well as for transit, is growing. Serbia needs to complete and further develop its transport infrastructure of national, pan-European and regional importance, and to increase the capacity and quality of the main road, railway and inland waterways routes, to avoid the current and expected future bottlenecks and limitations. • Strengthen and gradually liberalize transport market The process of integration of Serbia with the European Union brings very specific requirements for the gradual liberalization of the transport market. There has been done some progress in the previous period in the adoption of the acquis communautaire, and the process of harmonisation of the national legislation with the acquis continues, but in general, Serbia complies very slowly with the obligations arising in this area. The lack of administrative capacity and of necessary skills in implementation of legislation into daily practice is often the reason for this situation. Administrative capacity needs to be strengthened for the implementation of adopted legislation. Measures for implementing sector priorities During 2011-2013, the sector’s priorities will be achieved through the implementation of projects under the following measures: Priority 1 - Increase the effectiveness of all transport modes and the transport system as a whole Priority 2 - Improve the capacity and quality of transport infrastructure and services within the Pan- European Transport Corridors and the South East Europe Core Regional Transport Network, within which are the most important measures: Measure 2.1 Modernizing railway infrastructure The measure will focus on further development of railway infrastructure which will be reached by reconstruction, upgrading and modernization of specific sections of existing railway lines, mainly within the pan-European Transport Corridor X (the Northern part of the Railway Corridor X (Xb), Stara Pazova - Novi Sad – Subotica - Hungarian border as well as the Southern part of the Railway corridor X (Xc and Xd) Niš- Dimitrovgrad - Bulgarian border; Niš - Preševo - Macedonian border; Resnik - Klenje - Mali Pozeravac - Velika Plana and further along Corridor X towards Niš) and the Route 4 of the South East Europe Core Regional Transport Network (Romanian border - Vrsac - Belgrade - Montenegrin border). In addition to investment projects with already developed and approved project documentation and their supervision, specific effort will be given to development of documentation for the future projects required for modernization the network. European standards for TEN-T are considered for implementation, to reach the required quality of services.
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Measure 2.2 Completing the road network The measure will support continuation of the construction of missing sections of the motorway network of national and international importance, and will be focused mainly on the planned motorways within the pan-European Transport Corridor X (Belgrade - Novi Sad - Hungarian border; Belgrade - Niš - Macedonian border; Niš - Dimitrovgrad - Bulgarian border) and the Route 4 of the South East Core Regional Transport Network (Belgrade - Čačak - Montenegrin border). In addition to investment projects with already developed and approved project documentation and their supervision, specific effort will be given to development of documentation for the future projects required for completion the network. The European standards for TEN-T are considered for implementation to reach required quality of services. Measure 2.3 Capacity strengthening for efficient intermodal transport Aim is to contribute to increasing the capacity for intermodal transport in Serbia and providing the infrastructure necessary for accelerating the development of intermodal transportation. The measure will support facilitation of intermodal transport in Serbia by establishing an intermodal terminal, based on results of two specific projects implemented with support from the Netherlands Government (2009) and IPA 2008. The investment project, including supervision, and assistance to the terminal operator in management of the terminal are consider for implementation. Measure 2.4 Improving navigation conditions within inland waterways Aim is to contribute to improving the safety of navigation within Serbian inland waterways. The measure will be delivered through investment projects, building on the results of already implemented or running IPA projects; specifically, the measure will support implementation of hydro technical works and dredging of the river bed to eliminate critical sections of the fairway, as well as other bottlenecks dangerous for navigation (e.g. UXOs removal, Djerdap locks renewal), and the establishment of the River Information Services (RIS), all in accordance with documentation developed. Project documentation Government of the Republic of Serbia European Integration Office Needs of the Republic of Serbia for International Assistance 2011-2013. Development for further navigation improvements is also under consideration for implementation. Specific attention and the main priority will be given to the Danube, the Sava and the Tisa rivers. Priority 3 is to strengthen and gradually liberalize transport market.
3.7.3.2 Intelligent transport systems Implementation of ITS - Intelligent transport system on the roads of the Republic of Serbia The ITS of road safety has been developed. The concept of the intelligent transport systems (ITS) represents a system of measures and technologies applied in the transport system uniting the informatics and telecommunication technology aiming at raising the level of road safety, more efficient traffic performance, with a smaller volume of congestions and a lower level of environmental pollution. Since the implementation of ITS in the Republic of Serbia is at its beginning, it is necessary to decide on the implementation of a recognizable and internationally accepted term that should describe this field. The term that is more known and is market and user oriented is the term of intelligent transport systems. There are two ways in which to improve road safety through ITS – by using systems that have direct or indirect impact on safety. 271 Mapping of current EU & SEE Regional policies
In the most general sense, ITS must ensure improvement of road safety levels by influencing the following: · Reduction of traffic exposure and traffic risks · Reduction of risk of accidents and · Reduction of consequences of accidents that already happened. Implementation of RIS - River Information Services on the Danube in Serbia 2009 - 2013
The RIS implementation project on the Danube in Serbia is financed by the EU via IPA funds, amounting to 10 million EUR. The outcome of project implementation is an operational RIS system (telematic and IT technology services are based on international standards for IWW navigation in compliance with RIS EU Directive 2005/44/EC.), consisting of ship locating and tracking subsystem (15 base stations), electronic shipping communications subsystem, electronic trip reporting subsystem, GPD signal correction subsystem according to IALA standards, and so on. Because of the way it was conceived and designed, the RIS system in Serbia will be one of the most complex and comprehensive systems on the entire course of the Danube. Inland Waterways Directorate Plovput is the beneficiary of the RIS Implementation project on the Danube. "Plovput" implemented a pilot project to introduce RIS on the Danube (a length of 200 kilometers). The RIS programme in Serbia includes the installation of 15 AIS Base stations along the Danube and 3 AIS Base stations along the Sava, RIS Centre for system monitoring in Belgrade, 47 work stations for specified users (River Police, Kapetanija), 51 Government vessels and about 170 commercial vessels equipped, and the development of Software applications for 9 services for inland waterway navigation. RISING international research and development project – co-funded within FP7 programme
RISING project supports the expansion of river information services to private operators and the integration of inland navigation in intermodal transport chains. Recognizing the significance of River Information Service for the advancement of economic development of inland waterway transport sector, the European Union has obliged the Member States to implement Directive 2005 / 44 / EC, which ensures the use of RIS, including new services for transport logistics. Inland waterway transportation - IWT has become an integral part of intermodal (door-to-door) transport chain. As such, the IWT sector has to comply with requirements of supply chain management (SCM). Effective transport infrastructure and Intelligent Transport Systems (ITS), which will play a key role in this process, must be further developed. Therefore, there is a need to exploit the existing and identify new RIS services for almost every step of an IWT-based process: planning > execution > completion. The RISING project consortium consists of 23 partners from 11 countries (Serbia one of them) from different sectors of the industry:
Transport operators
Logistics service providers
Port and terminal operators
Port information service providers
Research institutions
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Software developers
Promotion agencies IRIS Europe II Project The IRIS Europe II project is based on the work of expert work groups from the field of river information services. This project is the continuation of the IRIS EUROPE project, which was implemented between 2006 and 2009. The project includes organizations from nine EU countries as well as additional organizations as cooperation partners, among them Serbian Directorate of Inland Waterways Plovput. The main objective of the project is to include RIS users in the field of logistics and transportation through pilot activities.
3.7.3.3 Innovation Main research performers in the S&T field of transport in Serbia include: • University of Belgrade: o Faculty of Transport and Traffic Engineering o Faculty of Mechanical Engineering o Faculty of Civil Engineering • University of Novi Sad – Faculty of Technical Sciences • University of Kragujevac – Faculty of Mechanical Engineering • University of Niš – Faculty of Mechanical Engineering • Institute “Mihajlo Pupin”, Belgrade • Institute “Kirilo Savic”, Belgrade • Institute of Physics, Belgrade • Institute “Vinča”, Belgrade • CIP Traffic Institute, Belgrade • Innovation Centre, Faculty of Mechanical Engineering, University of Belgrade • Military Technical Institute, Belgrade • Utva Aircraft Industry, Pančevo • Zastava Automobiles, Kragujevac • PE “Serbian Railways” • PE “Roads of Serbia” SWOT analysis of the Transport research capacity in Serbia Strengths • Transport recognized among national priorities.
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• Institutional support for RTD in transport, first of all by the Ministry of Science and Technological Development - MSTD. • Presence in EU research programmes. Weaknesses • Transport research in general lagging behind European/international trends (in terms of topics, methods, etc.). • Lack of specific (target, predefined by the MSTD) transport research themes – no clear transport research strategy as such. No clear focus on areas that might provide most benefits for the transport system, economy and society as a whole. • Insufficient and typically untimely communication on transport R&D funding opportunities. • Insufficient support (incentives) for young researchers – lack of funding and of longer-term positions in research institutions. • Leakage of former/potential researchers to commercial sector. • Joint research: research institutions/transport stakeholders (industry) – insufficient communication, cooperation and transfer of research findings. Transport research lacks initiative from the (national) transport industry. • Lack of communication on EU policies. Research community does not always keep pace with EU transport policies. • Lack of project management skills (particularly in preparation of proposals for EU-funded research programmes). Opportunities • New National strategy for science and technological development (work underway) – transport research possibly among priorities. • Presence in EU research programmes. Serbia is an affiliated country for EU’s framework R&D programmes. Access to EU research funds. • EU accession process – alignment of transport research policies with the EU’s, expected to provide more funding opportunities. • Expected liberalization of transport market. In a liberalized setting, transport stakeholders will be incentives to improve their performance (efficiency), so as to be (come) more competitive. Such a change might well lead to increased cooperation with research institutions (and greater spending on R&D by industry stakeholders). Threats • Research infrastructure. Lack of institutional support (first of all funding) for acquisition of latest (state-of- the-art) technologies – ICT, simulators, equipment for laboratory experiments (testing), etc.; Technical equipment increasingly lagging behind recent developments.
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• Brain drain. Loss of transport research staff to both commercial sector in Serbia and to foreign commercial enterprises and research institutions, jeopardizing the prospects of transport research in Serbia. • Economic crisis – endangered RTD funding. One of the obvious R&D priorities are: to investigate possibilities for developing a sustainable integrated transport system for the Balkan’s region on the one hand, and for linking (integrating) it to the CSEE transport system and to the TEN-T on the other, through an “optimal” combination of different transport modes (the concept of optimodality), which would provide effective and efficient transport services to its users through modal competition and complementarity. In this context, the “sustainable transport system” should simultaneously embrace technical/technological, operational, economic, social, environmental, and institutional performance. In line with the above written, R&D priorities in the field of transport could be classified in two broad categories: network-related and vehicle-related priorities. Main projects in the field of R&D are dealing with the Integrated information-management system for traffic regulation on roads and motorways (Project led by Institute „Mihajlo Pupin“), ITS for IWW, universal toll system, reduction of the harmful gaseous emissions and noise in the transport system of Serbia... Research in the field of transport should focus primarily on matters of intermodality, interoperability and interconnectivity of both passenger and freight transport on pan-European corridors VII and X, as well as on lower-rank transport links (regional, national, etc.). More specifically, research efforts should head towards the development of: - Optimal combinations of different modes (optimodality), aiming at efficient and seamless transport chains (especially for transit). Different combinations of modes may be investigated in WB environment: e.g. rail/road or air/rail/road in case of passenger transport; rail/ road or water/rail/road for freight transport; - Intelligent transport systems, encompassing all transport modes: rail, road, water and air transport; - Supply chain management including terminal processes; - Charging schemes for use of transport infrastructure.
3.7.3.4 Internalisation of external costs Transport system in the Republic of Serbia uses each mode of transport to its advantages and benefits, considering its external costs, and it is market oriented with stable financing system; traffic safety is improved up to the level of the EU; negative social and environmental impacts of traffic are controlled and permanently reduced. The interest of the Republic of Serbia lies in the stimulation of IWW transport, as very effective, energy- efficient and sustainable. As a competitive alternative, it is complementary to railway and road transport. The consumption of energy per ton-km of goods in IWW transport is six times lower than on the road and twice lower than on the railways. Total external costs in IWW transport, expressed through accidents, congestions, noise emission, air pollution and other impacts on the environment, are seven times lower than in road transport. IWW transport provides high safety level, especially in the transport of dangerous goods. IWW transport
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contributes to the reduction of congestions on the road network in densely populated areas, and, despite geographical restrictions, affects price increase stabilization. For the purpose of monitoring external costs, closer cooperation should be established among the ministry competent for traffic affairs, ministry competent for internal affairs, insurance companies, health services, social care services, as well as automobile associations, with one uniform data base. According to the Strategy Of Railway, Road, Inland Waterway, Air And Intermodal Transport Development In The Republic Of Serbia, 2008 – 2015, adjustment of regulatory rules in the sphere of transportation of dangerous cargos with European agreements on international transportation of dangerous goods (ADR, RID, ADN) and EU regulations, contributes to higher level of traffic safety. Special attention should be paid to the analysis and gradual introduction of external costs charging. For the implementation of the Strategy one of the things that should be regulated is fair determination of expenses of infrastructure use (internalization of external costs).
3.7.3.5 KPIs Key performance indicators - KPIs are the main pointers of all activities related to freight traffic (road, rail, CT, IWW). There are 21 types of KPIs which are divided into 6 groups (Service Efficiency, Service quality, Environmental sustainability, ICT, infrastructure, Transport Business players, Object of measurement). Measurable indicators are processed by descriptive statistics (average, weighted, average, s. deviation, maximum, minimum). The Key performance indicators for corridor VII are presented in Table 32.
Table 32: Key performance indicators
KPI group KPI Further info
Service Cost of goods transported per ton-km Relative unit cost Efficiency Formula: Average transport cost in EUR/tkm for each transport mode (calculated price (EUR/tkm) is based on 100km distance)
Transport time Transport time (node- to-node) (h/km) Formula: Average transport time per mode based on trip distance and length (h/km).
Frequency of service Regular services per week Formula: Number of regular services per week per transport (number of mode services/week)
Service quality Delay risk Amount of serious disruptions like cancellations, strikes, etc. (h/km) Formula: Average delay of transport per transport mode (h/km)
It is about damage due to unlawful acts. Contributes to economy as it affects the attractiveness’ of shipping cargo through the corridor. Formula: Proportion in number of loss claims/Total number of shipments (%) Cargo loss Categories (scale 1-5) 1)<=0.1% 2)0.1%
Incidents that result in the damage of foods transported Cargo damage Formula: Proportion in number of damage claims/Total number of shipments (%) (scale 1-5) Categorie 1)<0.1% 2)0.1% 3)1 % This KPI is considered more important than transport time since reliability indicates to Reliability (time what extent the transport stakeholder can rely on the provided service. (i.e. how well precision) the transport provider complies with predefined schedules and time-tables) (%) Formula: Percentage of shipments per mode delivered on time (same day) /Note: Reliability= 100-(%) of delayed transport Environmental Estimate quality of anti-noise protection. how many settled urban areas are noise sustainability protected with noise protection barriers Formula: Categories 1 - 5: Noise protection 1- less than 20% protected population along the section (scale 1-5) 2 - 20% - 40% protected population along the section 3 - 40% - 60% protected population along the section 4 - 60% - 80% protected population along the section 5 - more than 80% of protected population along the section Road network conditions & quality may have negative environmental impacts e.g. combination of heavy rainfall and low quality road causes pollution in surface waters. Surface water Formula: This KPI can be expressed in degree of quality on a scale from 1 to 5 pollution Categories 1)<0.1% (scale 1-5) 2)0.1% Freight transport is major source of greenhouse emissions that contribute to global climate change. The greenhouse gases or carbon footprint is here limited to the Carbon footprint emissions of CO2-equivalent. The unit is grams of CO2 per ton-km. It is recognized that (CO2), the polluters are many, but here three are chosen, namely Nitrogen Oxides: grams NOx (g/tkm) per ton-km, Sulphur Oxides: grams SOx per ton-km and Particle Matter PM: grams PM2.5 per ton-km Formula: Goods quantity (ton), distance (km), transport mode (these input data are needed in EcoTransIt calculator) ICT - Availability of Intelligent Transport Systems (e.g. cameras in tunnels, ERTMS, VTMIS, PCS) Infrastructure-based - Integration and functionality of ITS systems ICT Formula: % length of a link that is managed with the help of a basic ICT (%) - Basic ICT for road: VMS, Camaras, lane management, Traffic Control Centre,other - Basic ICT for train: Signalling system, Control centre, Communication system - Basic ICT for ports: VTMIS, Port Community System - Per node: Availability of tracking services - Per operator: Availability of tracking Cargo monitoring services, availability of telematic services (fleet management) ICT Formula: number of equipped nodes/total number of nodes Formula: number of equipped operators/total number of operators infrastructure Existence refueling station Sum of Existence fueling stations +Alternative fuel stations /km (stations/km) This indicator reflects the costs of transport services, taking into account the existence Infrastructure of external costs, such as road charges charges This indicator can also apply for railway as well Formula: Average of external cost Number of accidents This indicator is measured how many accidents happen in freight transport 277 Mapping of current EU & SEE Regional policies (%) Formula: Percentage(%) of serious and non-serious accidents per mode (serious accidents = accident fatalities; non-serious = any other type of accidents) The bottlenecks can focus mainly on infrastructure (road): - No. of areas along the link that create queues. Bottlenecks - Average hours of congestions per bottleneck, - Average length of queus per bottleneck We can calculate the demand over the total capacity per mode (demand can be Capacity utilization caluclated in Tn, Capacity is defined as the throughput of the link) Formula: total demand(Tn/year) over capacity (Tn/year) Electrification (only for rail) (%) Electrification (only for rail) (%) Corridor land use Size, density and proportion of population living along the corridor (%) (%) Transport Corridor Number of transport providers (international transport) that operate in one of 3 PECs Business competitevness players Corridor Freight % of annual turnover that comes from international transport (in the 3 selected Market corridors) 3.7.4 Transport - Promotion of rail, sea and inland waterway 3.7.4.1 Integration Serbia is an integral part of the European transport network and through the Pan-European Transport Corridors (Corridor X and Corridor VII) links with the EU Trans-European Transport Network (TEN-T). While Corridor X includes the road and railway transport modes, as well as intermodal transportation, the Corridor VII represents the Danube River. The Ministry of Transport actively participates in negotiations related to Contract on Establishing the Transport Community. The main goal is making unique transport market in South-East Europe region and its integration with EU transport market on the basis of relevant EU legislation, as well as development of the transport network. In order to integrate the EU, it is intended to open railway market for domestic and foreign carriers gradually in accordance with EU directives. In the past year the Serbian Government has adopted four bylaws in order to prepare for the fully open market. The first phase will bring domestic competition to "Serbian Railways", the second regional, and the third phase is opening to the EU when their operators will be on our railway tracks and vice versa. Transport network-related R&D activities should pave the way for an effective inclusion (integration) of Serbian transport network into wider (regional and European) transport network, enabling an efficient and less environmentally harmful flow of passengers and goods (freight), not only for “terminal” traffic (where 278 Mapping of current EU & SEE Regional policies origin and/or destination are in Serbia/other WB countries) but also for transit traffic, bearing in mind the strong traffic flows traversing the WB region. 3.7.4.2 Incentives There are several initiatives to improve freight traffic: . Law on Spatial plan of Serbia from 2010 to 2020 (Official gazette RS 88/10) supports all Free zones location for construction of intermodal terminals and recommend all free zone in view goods flow generators in article 327. Intermodal transport and logistic centers (page 272 in Law) . Strategy for development of rail, road, water, air and intermodal transport in Republic of Serbia from 2008. to 2015 (Official gazette RS 55/05, 71/05 i 101/07 in article 4.2. Guidelines for the development of intermodal transport (page 39) in accordance with EU guidelines are given for the consideration of locations (11 conditions) and define the necessary infrastructure (7 conditions) – recommend terminal location in Free zone. 3.7.5 Enhancement of competitiveness of the private sector In the field of transport it has been registered total of 6 500 companies which employ around 124 000 persons, which is 11.21 percent total of number of employees in Serbia. Within the Serbian Chamber of Commerce and the network of regional CCIs exists the Association of Transport and Telecommunications which deals with and supports: Road passenger transport, Road cargo transport, Freight forwarding agencies, Post transport, Harbors, River transport, Railway transport, Air transport, Telecommunications, Road infrastructure, TIR, ATA and provides adequate training services to the stakeholders. Association of Transport and Telecommunications represents the interests of its members, contributes to the development of the sector, defines the opinions and proposals in the light of efficient domestic policy of the protection and operative support to the export, carries out the activities in the field of modernization of the sector, new technology, implementation of international standards, technical regulations and measure units, cooperates with relevant institutions, participates in the work of international organizations and associations Speaking of IWW transport, one of the pillars of the Danube strategy is support the competitiveness of enterprises, including cluster development. One of the most significant activities in this field is establishing Vojvodina Transport and Logistics Cluster in 2012. The level of competition and competitiveness, in practice, is revealed through opportunities to create innovative products with added value in comparison with other products on the market, which influences the start-up and growth of small and medium-sized enterprises (SMEs), and is highly dependent on the institutional set-up and cooperation of the public and private sectors. Therefore, the Serbian Government has stepped up its efforts in bringing together all stakeholders embedded in the competitiveness of Serbia through creation of National Council for Competitiveness, National Council for SMEs, National Council for Regional Development and National Council for Science. Competition policy includes rules and procedures to fight anti-competitive behaviour by companies to scrutinise mergers between undertakings, and to prevent governments from granting state aid which 279 Mapping of current EU & SEE Regional policies distorts competition in the internal market. Serbia has adopted the Competition Law in 2009 and the Law on State Aid Control. The acquis regarding company law includes harmonised rules in the field of company law, including financial reporting requirements, intended to facilitate the exercise of the right of establishment. The Strategy for Development of Competitive and Innovative Small and Medium-sized Enterprises for 2008- 2013 is based on five pillars: Promotion and support for entrepreneurship and business start-up; Human resources for a competitive SME sector; Financing and taxation for SMEs; Competitive advantages for SMEs in export markets; Legal, institutional and business environment for SMEs in Serbia. Transport competitiveness is deeply connected with the effectiveness of the whole system and with the efficiency of services provided. Serbian transport, represented by all transport modes, including intermodal transport, needs to establish common goals, based on the analysis of the effectiveness and efficiency of individual modes and considering their advantages to the competitiveness of transport, to provide the choice and offer of optimized transport options to users. As said above, Ministry of Transport actively participates in negotiations related to Contract on Establishing the Transport Community with the main goal of making unique transport market in South-East Europe region and its integration with EU transport market on the basis of relevant EU legislation, as well as development of the transport network. In order to integrate with the EU, it is intended to open railway market for domestic and foreign carriers gradually in accordance with EU directives. 3.7.6 Incentives for sparking growth and for moving into new technologies 3.7.6.1 Institutional Institutional support for moving into new technologies by the Ministry of Science and Technological Development, is recognized as one of the strengths of the transport system in Serbia. But it is noticeable lack of the general institutional support - first of all (funding) for acquisition of latest (state-of-the-art) technologies – ICT, simulators, equipment for laboratory experiments (testing), etc. Since in 2008 the Government adopted the Strategy of development of rail, road, water, air and intermodal transport in the Republic of Serbia for 2008-2015 period. (Official Gazette of the RS No. 004/08, 13 January 2008) The directions for future transport sector development in the Strategy are based on principles of safety, intermodality, application of new technologies, complementary use of different transport modes and rational use of available capacities and resources in Serbia. 280 Mapping of current EU & SEE Regional policies Fig. 24: Policies for supporting low-carbon technologies Source: Energy Technology Perspectives 2010, OECD/IEA In terms of strengthening competitiveness from the research and development angle, the Scientific and Technological Development Strategy of the Republic of Serbia over 2010-2015 is recognized as one of the opportunities of development new technologies in transport sector and it focuses on: Redefining national priorities for investment in science and technology in order to establish a sustainable economy and society; Improving partnership and systems for supporting talented young researchers through higher education and job opportunities in the field of science; Increasing and diversifying R&D expenditure, as well as investing 300 million Euros in infrastructure. A long term outlook, also include protection of the environment, in the sense on the potential for GHG mitigation in the energy sector in Serbia will be given. An overview will be provided on the current and future technologies that could be used for reducing GHG emissions in Serbia’s energy sector. The overview will include a high-level cost assessment (Fig. 5). 3.7.6.2 Organisational Projects and plans of the Ministry of Transport of the Republic of Serbia have the goal of forming the framework of the actions in the future to ensure the continuity necessary for the completion of corridors in the Republic of Serbia on the one hand, and on the other hand, to initiate the reforms of transport and energy systems in the organizational and technological terms. Network of significant players in the field of transport and innovation (Ministry of education, science and technological development, Ministry of Traffic, Cluster of transport and logistic of Vojvodina, Cluster of ITC of Vojvodina, Association for transport and communication of the Serbian CCI, Universities and faculties, research institutes (Mihajlo Pupin),...) form wide and complex network of organizational and institutional support to the development projects – introducing new technologies to traffic sector in Serbia. 281 Mapping of current EU & SEE Regional policies 3.7.6.3 Financial Ministry of education, science and technological development provides some funding fo transport research (grants). Transport research priorities for Serbia are: . Optimal combinations of different modes (optimodality), aiming at efficient and seamless transport chains; . Intelligent transport systems, encompassing all transport modes: rail, road, water and air transport; . Supply chain management, including terminal processes; . Charging schemes for the use of transport infrastructure; . Development of small aircraft; . Development of river and river-sea vessels; . Experimental testing including technical and navigational characteristics and propulsion of loaded vessels and pushed convoys, to increase the efficiency of river traffic The Government has taken the following most significant activities to support the development of the transport sector: . Funds are provided and projects for construction of 180 km of highways and 25 km of railway infrastructure are completed. . Provided funds in the amount of 1.2 billion euros for construction of 320 km of highways, 1 billion for the reconstruction of railway infrastructure and 200 million euros for procurement of new railway rolling stock whose implementation is underway. 3.7.7 Infrastructure development through EU and national funding PPPs Enactment of the new law governing Public-private partnerships - PPPs and concessions represents a significant improvement of regulatory framework. Because of insufficient public funds and inefficient public services it is evident that PPPs will eventually become an option of choice in Serbia. However, at this point, it is still uncertain whether remaining legal impediments and ambiguities will pose a serious threat to further development of PPPs (at least in the short run). 3.7.7.1 Financial instruments for development Public-private partnerships (PPPs) allow the private sector to take on traditionally public roles in transportation, while allowing governments to access financing needed to ensure the service to the public. In many cases, PPPs are an effective way to build and implement new infrastructure or to renovate, operate, maintain or manage existing transport infrastructure facilities. Also, PPPs may be a mutually beneficial way for both sectors to solve critical transportation problems. PPP Law from 2011 has introduced a PPP unit – the Commission for Public Private Partnerships (the Commission). The Commission is made from representatives of different ministries, and although originally designed as a consultative body, it has been subsequently upgraded to a decisive authority once it was formed by the Decision on Formation of the Commission for PPs. It is now in charge not only for 282 Mapping of current EU & SEE Regional policies consultative matters, but also for approving each PPP project, given that its positive/affirmative opinion is required for realization of a PPP project. Such change in competences was required by the IMF, but has resulted in fundamentally different institutional setting for development of PPP projects, and has only added to the administrative requirements which were already present in the PPP Law. On the other hand (or similarly), the PPP Law has been written under significant and obvious influence of potential financiers. The PPP Law recognizes a number of financing techniques which were present in Serbian commercial reality, but were never explicitly regulated, such as project finance or structured finance. Moreover, it provides for a wide set of security instruments that could be provided to the financier (e.g. pledge over concession rights), as well as for the possibility of conclusion of the Direct Financing Agreement - DFA). Content of the DFA is also regulated in the PPP Law, and encompasses generally accepted concepts, such as step-in rights. The total inflow of net Foreign Direct Investment (FDI) in Serbia in the period 2001 to 2009 was around €12 billion, with the dominant part coming through privatization. FDI during the 2000s was mostly directed into the financial, transport, storage, communication and manufacturing. The investments made so far in transport cover only a small portion of the real needs. The total cost of public investments required for the development of transport infrastructure for period 2010-2027 is estimated at up to €15 billion, of which the modernization of Corridors X and VII to European standards will require around €4 billion. Estimated total budget required in 2013. for transport is about 187 million EUR year (Table 33) Table 33: Total state budget expenditure limits for 2011-2013 (in EUR*) Institution year 2011 2012 2013 Ministry of Infrastructure 178,978,962 184,458,455 184,615,319 Directorate for Inland Waterways Plovput 1,573,245 1,684,841 1,808,090 Directorate for Railway Transport 421,721 454,456 490,654 Total 180,973,928 186,597,752 186,9140,63 Converted at the rates used in the preparation of the Memorandum on Budget and Economic and Monetary Policy for 2011, with the projections for 2012 and 2013 - Needs of the Republic of Serbia for International Assistance 2011 – 2013 According to information from the donor community, new grant commitments in the transport sector are expected to be at least €88,3 million for 2011-2013. (Table 34). The implementation of large investment projects is not possible without financial support provided from IFIs. The soft loans for transport infrastructure development in Serbia are provided by the WB, EIB and EBRD, for the benefit of the PE Roads of Serbia and the PE Serbian Railways, which are competent for development of these transport modes. All loans are conditional on approval by the Government and the Parliament. Other donors supporting the transport sector include Norway, the Netherlands, Switzerland, the Czech Republic and Canada. Table 34: Total Expected New Grant Commitments in the Transport Sector (in EUR) 283 Mapping of current EU & SEE Regional policies *Needs of the Republic of Serbia for International Assistance 2011 – 2013 Master Plan and Feasibility Study for inland waterway transport in Serbia (2006) and General Transport Master Plan for Serbia (2009) identified four groups of development projects, according to the priority rivers (the Danube, Sava, Tisa and DTD). According to the estimates and on the basis of the reviews of infrastructure and substructure in the ports along the Danube, for their modernization and development, it is needed to invest about 155 million euros. In addition, each year it is needed to invest 2-3 million euros for maintaining, which is not the case at the moment. According to the current state of the ports, and on the basis of certain projects for individual ports, assessment of the required cost is far greater. The estimated costs of training works and dredging in terms of investing in the rehabilitation of the Danube waterway are 55 million euros, while estimated maintenance costs are 770,000 euros. Activities will focus mainly on infrastructure, both at national and local level, the development of project documentation or supervision of works and institutional building projects in order to comply with the acquis. With regards to capital investment, the best case scenario will be combining national, IPA and/or IFIs’ funding. The assistance under IPA will prioritise two modes of transport infrastructure for support: the railways and inland waterways. The railway infrastructure will be upgraded and modernised within the Pan-European Corridor X (Salzburg - Ljubljana - Zagreb - Beograd - Niš - Skopje - Veles – Thessaloniki) and its branches Xb (Beograd-Budapest) and Xc (Niš-Sofia), the core corridor connecting the main Serbian cities with the neighbouring countries, to reach European standards. Navigation conditions within the Pan-European Corridor VII will be improved, by training works, eliminating critical sections and improving navigation and safety conditions in the Danube River, 2,300 km long, to reach the requirements of the Danube Commission and in line with the forthcoming EU Danube Strategy. Support will also be directed towards the preparation of further rail and inland waterways projects for investment, to EU standards. It is expected that international financial assistance under the theme of economic and social cohesion will be focused on measures within the following two sectors: • Transport – including road, railways, air and inland waterways modes and intermodal transport; • Environment and Energy - including natural resources and mining, heating, electricity, gas, oil, energy efficiency, renewable energy, climate change, the natural habitat, waste and chemicals management, water supply and wastewater treatment, air quality and noise. Below, the focus will be on the inland waterways transport modes and intermodal. 284 Mapping of current EU & SEE Regional policies The most significant projects in the field of inland waterways, funded from EU donations, are: "Implementation of River Information Services (RIS) on the Danube and Sava rivers" and “Supervision of Implementation of RIS on the Sava and the Danube” (IPA 2007, the value of the project is 11 million euros), “Preparation of Documentation for regulatory and dredging works on selected locations on the Danube" (IPA 2010, project’s value is 1.85 million euros) and “The Search and removal of unexploded ordnances (UXO) from the Danube, the sector Prahovo" (IPA 2010, the value of the project is 2, 7 million euros) and "The supervision of the removal of UXO from the Danube, Sector Prahovo " (IPA 2010, project value is 0.79 million euros). The most significant projects in the field of intermodal transport, funded from EU donations, are: Project Intermodal transport was completed from the programme of donation G2G of the Government of Holland; Intermodal development centre was established in Belgrade Chamber of Commerce from European Union. Project Facilitating Intermodal Transport in Serbia is financed (2 million euros donor fund IPA 2008). Project is aimed to strengthening of institutions in the area of intermodal transport, determining of a location for construction of a terminal and preparations of tender and project documentations for future first modern terminal of intermodal transport in Serbia. At the moment from EU funds documentation is being prepared for infrastructure project of construction of intermodal terminal in Belgrade, as well as for training works and dredging at the identified locations on the river Danube (Corridor VII), and there are positive indications by the EU Delegation in Belgrade that the EU is planning to continue these projects in terms of financing the terminal construction and works on critical sections on the Danube. Also, substantial funds are planned for the establishment of River Information Services (RIS) on the part of the Danube which belongs to the Republic of Serbia is in progress, as well as the removal of unexploded ordnances from the Danube. 3.7.7.2 Non-financial instruments for development Application of PPP agreements as a method for implementation of transport infrastructure projects is a common practice in many countries. In order to enhance the usage of public- private partnerships in Serbia, it was necessary to establish the appropriate legal framework which would regulate this area. Modern and efficient infrastructure is surely the precondition for the economic growth and prosperity, and the private sector is undoubtedly more efficient than the public one in this area. Therefore, the private sector should be included in major infrastructure projects in Serbia on a larger scale and as soon as possible. Furthermore, private sector will also enable inclusion of better standards and maintenance of infrastructure, without the engagement of the public sector. PPP are, in general, agreements between two parties, the public and the private sector, for delivery of services which were traditionally provided by the public sector. These partnerships serve as a model for overcoming budgetary shortfalls, i.e. for filling the gap between services required by the society and available funds for delivery of those services. Transport is one of sectors in which the implementation of these types of agreements may be good a common approach in resolving the infrastructure issues. Revenue generating projects like toll roads were usually funded by the public sector, while the private sector was involved mainly in several phases of project’s life like construction of the highway section or scheduled maintenance work. However, PPP agreements enable the private sector to participate in the 285 Mapping of current EU & SEE Regional policies project delivery through several crucial phases like design, building, finance, and operation or build- operate-transfer (BOT) scheme which is one of common PPP models. For providing these services, the private sector is usually entitled to collect tolls from users, although the public sector may provide an annual payment directly to the private sector proportional to the highway traffic volumes. Before 2011, the Republic of Serbia had no comprehensive and effective regulatory framework governing Public Private Partnerships (PPPs).26 The inadequate legal framework was insufficient for the proper implementation of PPPs and has limited the possibilities for wider application of the PPP models. More recently, insufficient public funds and the need to ensure more effective and efficient public services increased the demand for PPPs in Serbia. To address these issues the new regulatory framework based on two key laws – The Law on Public-Private Partnerships and Concessions (Official Gazette of the Republic of Serbia, no. 88/2011) and the Law on Communal Utility Activities (Official Gazette of the Republic of Serbia, no. 88/2011), was enacted in late 2011. The new regulatory framework for PPP in the Republic of Serbia is supplemented with implementing bylaws, as well as ancillary legislation (e.g. the Law on Public Procurement, the Law on Public Property, etc.). Under the PPP Law, subject matter of concessions includes research and exploitation of geological resources, specific activities within protected natural areas and usage of other protected natural goods, energy, ports, public roads, public transport, airports, sports and education, cultural goods, utilities, railroads, commercial usage of lifts, healthcare and tourism, as well other areas related to the commercial usage of natural resources, publicly-owned common goods or performance of services of general interest. With regard to the potential locations of intermodal terminals and logistic centers (Spatial Plan RS until 2020) and on the basis of results of multi-criteria analysis in the project Facilitating Intermodal Transport in Serbia, a decision for preparation of project documentation for the terminal in Belgrade – location at Batajnica is being made by the Ministry of transport. So far, for location at Batajnica, the General Project and Pre-Feasibility Study have been done. The Directorate for Inland Waterways contributes to meeting the international legal obligations of the Republic of Serbia, to significantly improve the legal framework as well as by entrusting certain projects, such as RIS, to enable this institution to acquire additional revenue that will be used to improve its core business and to retain young engineers. Here you can also add managing the ports, the Ministry of Transport has chosen a model that is defined by the World Bank as the Landlord model, with a few specifics that are a direct result of both the existing circumstances in the Republic of Serbia, as well as specifics for inland navigation. In this regard, it is the specifics of inland waterways in respect of maritime that determined the Ministry's decision to establish an Agency to manage the ports. Bearing in mind that the volume of transshipment and therefore the revenue projections, that will be achieved through the payment of port fees, are significantly lower in the ports on inland waterways than in seaports, a belief prevailed that in terms of training the Agency for investment procedures in relation to construction and modernization of port infrastructure, it is the best for it to be established as a "National Agency". 26 PPPs were not regulated by a specific act, while concessions and public utilities were regulated by two separate pieces of legislation. 286 Mapping of current EU & SEE Regional policies 3.8 Slovenia 3.8.1 Transport – General 3.8.1.1 Overview of freight transport sector In 2011, 75.6 million tonnes of goods were carried in road goods transport and 17 million tonnes in railway transport. Compared to 2000, over 30 % more goods were carried by road and 24 % more by railway transport. Fewer goods were carried by road (7 %) and more by railway (by 5 %) in comparison with 2010. The data on goods transport expressed in tonne-kilometres also show an increase in 2011 in road and railway transport. In comparison with 2000 in road transport 147 % more tonne-kilometres were performed. The reason was international transport where the distances are longer. In the same comparison in railway transport 44 % more tonne-kilometres were performed. In comparison with 2010, in 2011 in road transport 3.2 % more tonne-kilometres and in railway transport 10 % more tonne-kilometres were performed. Air transport stayed almost at the same level as in the last two years. In maritime transport 12 % more goods were carried and almost 3 % more tonne-kilometres were performed compared to 2010. Goods traffic increased at Slovenian airports and ports in 2011 compared to 2010 by 8 % and 11 %, respectively. Cross border traffic of goods at the Croatian border increased by almost 4 %. Table 35: Goods transport and traffic, Slovenia 2000-2011 Index Good transport and traffic 2000 2005 2010 2011 2011-2000 Tonnes Road transport 57.910 82.750 81.026 75.615 130,6 Railway transport 13.667 16.344 16.234 17.024 124,6 Air transport 5 3 2 2 38,7 Maritime transport 3.547 5.815 6.131 6.858 193,3 Airport traffic 8 6 8 8 103,2 Port traffic 9.038 12.625 14.591 16.198 179,2 Border road traffic1)2) 31.342 13.154 16.713 17.348 55,4 Tkm Road transport 6.654 11.032 15.931 16.439 247,1 Railway transport 2.600 3.245 3.421 3.752 144,3 Air transport 4 3 2 2 40,4 Maritime transport 32.035 52.513 56.467 57.985 181,0 1) Import, export and transit are included. 2) Only the border traffic with Croatia is included, some changes in customs procedures have occurred since Slovenia became member of the EU on 1 May 2004. Source: Statistical Office of the Republic of Slovenia, Rapid report Transport, 2012. 287 Mapping of current EU & SEE Regional policies 3.8.1.2 Key strategic policies for freight transport In the Republic of Slovenia transport policy until 2006, when the Resolution on Transport Policy of the Republic of Slovenia Intermodality: Time for synergy (OG RS, No. 58/06), was adopted, was not covered by a separate policy document. Till 2006, the transport policy was created in the framework of development documents for specific transportation subsystems and within adopted spheres of the national and local regulations. Individual transport activities were discussed and developed also in a partial, incoherent, and often inadequate way in relation to the needs of the economy. Resolution on Transport Policy of the Republic of Slovenia - Intermodality: Time for synergy, which was adopted in 2006, represents the first policy document that comprehensively regulates the national transport policy. It defines the national transport policy followed by the baseline transport development in the European Union, while ensuring achievement of the priority objectives of the Slovenian transport sector. Thus, the basic orientation of transport policy in Slovenia aimed at ensuring adequate mobility, effective care of economy, rational use of transport infrastructure, security and efficiency of the transport system, protection of natural and cultural environment, wise use of public finances, increasing the added value and employment in the shipping industry. In the context of national transport policy strategic directions in development of freight transport are oriented to the integration of various transport systems (road, rail, air and maritime transport) and to create optimal routes and integrated logistics solutions for users of the transport system and transport clients’ services. For this purposes, the transport policy provided a number of general measures that will contribute to the development of intermodal transport, namely: introduction of payment for the use of transport infrastructure on the principle of social marginal cost, creation of a comprehensive transport model with appropriate calculation of resources and intermodality of links and resources, creation of the National Development Plan on the optimal alignment of the transport system in compliance with international obligations of Slovenia, development of transport infrastructure, which is the condition for the uniform and synchronous operation of the system, introduction of fiscal measures to stimulate the formation of complete logistics solutions, introduction regulations and other acts to regulate primarily conditions for the development of qualitative market structure and to support the comprehensive logistics services and promotion of the use of more economical and environmental friendly vehicles. Resolution on Transport Policy of the Republic of Slovenia includes numerous measures to promote intermodal transport and establish the basis for the full operation of logistics centres, where the load passes from one to another transport system. The country also seeks to ensure an adequate fiscal policy to support the implementation of intermodal transport and modern on the environment cost based transport policy in the long run, with the objective of ensuring the economic viability of intermodal transport in the inland freight transport (road, rail). Special attention is also devoted to developing new technologies that allow different types of intermodal transport. 288 Mapping of current EU & SEE Regional policies 3.8.2 Transport - CO2 emissions The Kyoto Protocol stipulates emissions for the period 2008–2012 with regard to emissions in the base year, which are for Slovenia defined as the sum of CO2, CH4 and N2O emissions in 1986 (the base year for developed countries is 1990) and F-gases in 1995. The limitation of GHG emissions in Slovenia obtained a legal framework and specific objectives with the adoption of the Act Ratifying the Kyoto Protocol to the United Nations Framework Convention on Climate Change (OG RS, no. 60/2002). According to the data of the Environmental Agency of the Republic of Slovenia, the largest share of GHG is contributed by the energy sector (81 % in 2007), followed by the transport sector (26.0 %). Transport GHG emissions in the period 1986-2007 more than doubled. Road transport emissions increased by 174 %, air transport emissions by 175 %; on the other hand, rail transport emissions reduced by 45 %. In the split of GHG in the considered period, N2O emissions increased the most (almost by five times) due to an increased share of vehicles with catalytic converters, which reduce cars’ exhaust emissions of certain air pollutants but produce N2O as a by-product. CO2 emissions increased by 162 %, CH4 emissions have been slightly reduced. In the total GHG emissions in 2007, transport represents 26 %. Road transport is the source of the majority of emissions, since in 2007 it contributed 99.2 % of all emissions. The number of road motor vehicles as well as the power and capacity of their engines have been constantly increasing in Slovenia, while the specific use of new vehicles has not been reducing (MESP, 2009a). The development of infrastructure, especially in urban areas, cannot follow such growth; therefore, congestions are becoming more frequent. In recent years, the increase in road freight transport, especially transit transport through Slovenia, is also a major problem. The share of transit freight transport emissions in 2007 was estimated to be 12 % (MESP, 2009). Otherwise, freight transport causes 37 % of GHG emissions, while other emissions are caused by passenger transport (personal transport 61 %, bus transport 2 %) (ARSO, 2009). According to the data of the European Environment Agency, the emissions of GHGs from transport (excluding international air and maritime transport) in the EU-15 area increased in the period 1990-2007 by 24 % and in the new Member States (EU-12) by 46 %. According to the growth of emissions, Slovenia is positioned in sixth place of 32 countries, which are members of the European Environment Agency. In the older Member States, the growth in emissions has stabilised in recent years, while in the same period the growth was significant in the new Member States. Road and air transport contributed to this growth; also GHG emissions from international aviation and navigation are increasing rapidly, but these emissions are not included in the GHG emission totals relevant for the Kyoto targets (EEA, 2009). For the fulfillment of the Kyoto Protocol Commitment, the Government of the Republic of Slovenia adopted in 2003 (with amendments in 2004) the Operational Programme for Limiting Greenhouse Gas Emissions. In 2006, a new programme was adopted, supplemented and amended in 2009. In the last version, the Ministry established, similarly as is the case in the programme from 2006, that the emissions of GHGs from transport in Slovenia are on a critical path, while their control is of key importance for the fulfilment of Kyoto commitments. Especially worrying is the transit of heavy trucks through Slovenia, which has strongly increased since the integration of Slovenia into the EU. The measures to reduce transport emissions are the following: the reduction of emissions from passenger cars, promotion of public transport, sustainable freight transport and the replacement of fossil fuels with bio fuels. Since the implementation of measures of previous operational programmes was insufficient, Slovenia will not be able to achieve the Kyoto 289 Mapping of current EU & SEE Regional policies objective only by domestic measures; therefore, the Operational programme stipulates the use of the Kyoto flexible mechanisms. This consequently means a need to provide funds from additional taxation of engine fuels (MESP, 2009). Forecasts of the developments of GHGs from transport in the last Operational Programme for Limiting Greenhouse Gas Emissions were, in accordance with the past trends, corrected. Their volume will increase in 2008; in 2010, it is expected to decrease due to the economic crisis. Average emissions in the period 2008–2012 were estimated to be 6.165 kt CO2 eq., which is 14 % more than in 2007 (MESP, 2009). The efficiency and adequacy of the measures of the operational programme are uncertain, especially since the state is not implementing an integrated transport policy, which would harmonise the transport system and enable a more equal development of sustainable transport modes. Since there is no efficient transport policy, the planned measures with regard to public transport and an increased share of railways for the transport of cargo and passengers are at issue (MESP, 2009a). 3.8.2.1 Reduction and Targets Freight transport demand After the entry of Slovenia into the EU, road freight transport has increased sharply; namely, the volume of tkm of Slovenian transport operators in the period 2004-2010 increased by 77 %. Particularly alarming is also the growth of road freight transit through Slovenia. Targets: Rail transport should take over the majority share of freight transport in international and transit road transport, and a combination of road-rail and road-maritime freight transport, which will enable a more even distribution of freight among different transport modes (RePPRS) Provision of reliable, safe, competitive and environmentally-friendly freight transport (Operational Programme of Environmental and Transport Infrastructure Development for the Period 2007–2013). Transport Infrastructure investments In the last ten years, Slovenia has been directing the majority of its growing investments in infrastructure into the road network, especially the motorway network. There have not been many investments in rail transport, which is why its non-competitiveness has been increasing in comparison with road transport; therefore, the entire transport system is moving away from the sustainable objectives. In 2009, primarily due to the closure of a motorway network, a total investment decreased by about a third. As a result, investments in rail transport have been increasing, but Slovenia is still well below the EEA-32 average. Targets: Provision of necessary transport infrastructure for land transport as well as maritime and air transport, which will follow the principles of sustainable and coherent regional development (RePPRS and Operational Programme of Environmental and Transport Infrastructure Development for the Period 2007–2013). Development of balanced and equally burdened transport sub-systems (RePPRS and the Operational Programme of Environmental and Transport Infrastructure Development for the Period 2007–2013). Development of the Slovenian port and completion of its infrastructure and inland backbone transport 290 Mapping of current EU & SEE Regional policies infrastructure, and the establishment of the system of sea motorways (Operational Programme of Environmental and Transport Infrastructure Development for the Period 2007–2013). The Operational Programme of Environmental and Transport Infrastructure Development for the Period 2007–2013 specifically includes the following projects: - construction of 28 km of new railway tracks and modernisation of 400 km of existing railway tracks, - construction of or modernisation of 500 km of cycling tracks, - construction of 20 km of new and modernisation of 130 km of existing roads, - construction of 15 new non-level crossings, - construction of 65 km of new motorway sections, - construction of 1800 m of new operative shoreline. Transport final energy consumption Transport is the highest energy consumer of all sectors, and its consumption has been increasing in the last number of years. In 2008, the share of transport in total final energy consumption amounted to almost 40 %; in comparison with 1992 it increased by 138 %. Inside the transport sector, road transport is by 97 % the largest consumer. Targets: Slovenia does not have a direct objective for transport energy consumption. Its indirect objectives are the following: - Increase in the efficiency of transport energy consumption by 10 % until 2010 in comparison with 2004 (ReNEP). - 8-percent reduction in greenhouse gas emissions in the 2008–2012 in comparison with the value in the base year (1986) (ReNPVO). - 9-percent saving of final energy by 2016 (Directive 2006/32/EC). - Promotion of public transport due to smaller energy consumption (Operational Programme of Environmental and Transport Infrastructure Development for the Period 2007–2013). External costs of transport The assessment of external costs of transport in Slovenia for 2002 varies between 6 and 9.8 % of GDP, which is at the level of the EU-15 average (7 %). The majority (over 90 %) of all external costs of transport in Slovenia are caused by road transport. Targets: -Charge of external costs caused by transport (RePPRS). - Provision of necessary transport infrastructure for land transport as well as maritime and air transport, which will follow the principles of sustainable and coherent regional development (Operational Programme of Environmental and Transport Infrastructure Development for the Period 2007–2013). - Efficient energy consumption and a clean environment (Operational Programme of Environmental and Transport Infrastructure Development for the Period 2007–2013). Transport accident fatalities Although the annual number of road transport fatalities in Slovenia has been decreasing for decades and has almost halved in the last 20 years, it is still too high – traffic accidents in the last ten years took around 291 Mapping of current EU & SEE Regional policies 250 lives annually. Of major concern is also the recent increase in the number of these accidents and injured persons, due to the extreme increase in transport. Fortunately, the number of accidents has decreased since 2005. Targets: - Reduction of the number of fatalities in traffic accidents to 124 victims by the end of 2011, which would save approximately 600, lives in the period 2007-2011 (Resolution on National Programme on Road Traffic Safety 2007–2011). - Increase of road traffic safety with the accelerated construction of the motorway network and bypasses, non-level crossings of traffic routes, improvement of the vehicle fleet, education of drivers and their awareness as well as stricter monitoring of traffic violations (Operational Programme of Environmental and Transport Infrastructure Development for the Period 2007–2013. - Improvement of safety in rail transport, with an emphasis on the improvement of traffic culture of participants and better protection or elimination of level crossings of roads with railways (Operational Programme of Environmental and Transport Infrastructure Development for the Period 2007–2013. Use of alternative fuels The introduction of bio fuels in Slovenia and the objectives in this area are lagging behind the referential values of the EU Directive on the promotion of the use of bio fuels and other renewable fuels for transport, which amount to 2 % by the end of 2005 and 5.75 % by the end of 2010. Slovenia explains the deviations from the referential values by the limited possibilities of bio fuel production. Targets: Distributors of diesel fuel for the propulsion of motor vehicles in transport must ensure that the annual average content of marketed bio fuels in all fuels for the propulsion of motor vehicles is equal to at least 2 % in 2007, at least 3 % in 2008, at least 4 % in 2009, at least 5 % in 2010, at least 5,5 % in 2011, at least 6 % in 2012, at least 6,5 % in 2013, at least 7 % in 2014 and at least 7,5 % in 2015. Progress in charge levels In comparison with the European average, the levels of transport charges in Slovenia are relatively low. The charges for the road freight transport subsystem are somewhere at the average level, while in the rail freight transport subsystem substantially below the average level of other European countries. Targets: The introduction of transport infrastructure charges following the principle of social marginal costs (costs by the infrastructure user to himself/herself, other infrastructure users and society in general). 3.8.2.2 Vehicle technologies There is no production of trucks in Slovenia, but there is production of components for the vehicles. Among the best known to mention is a company Akrapovic, which is a manufacturer of top-quality exhaust systems. The transit road freight transport in Slovenia complies with all applicable EU directives. In the Slovenian rail network there is electrification of new tracks on existing or new routes and tracks, which are not yet electrified. 292 Mapping of current EU & SEE Regional policies There is Automotive Cluster of Slovenia, which is a business interest Association based on economic interest of its members uniting Slovenian automotive suppliers. Its members' aim is to reinforce the competitiveness and create greater added value. GIZ ACS is the central communication point of the automotive cluster and it is supported by infrastructure. ACS provides support for its members to integrate into the global automotive industry and to improve the range of their products and services. Therefore it accelerates the efficiency of its members by providing adequate research and development and co- operating with expert development and scientific institutions both in Slovenia and abroad (Source: http://www.acs-giz.si/slo/domov.asp). 3.8.2.3 Charging and emissions trade Emissions of air pollutants from traffic Although the transport emissions of the majority of the main air pollutants have been decreasing, this sector has become the most important pollutant. The only exception is NOx, the emissions of which increased in 2007. Transport, especially road transport, is becoming cleaner; however, the reduction of emissions in other sectors is still more efficient. Targets: Reduction of national emissions of nitrogen oxides to 45 thousand tonnes, sulphur dioxide to 27 thousand tonnes, non-methane volatile hydrocarbons to 40 thousand tonnes and ammonia to 20 thousand tonnes by 2010. Greenhouse gas emissions from transport Greenhouse gas emissions from transport in Slovenia increased up to 2007 by 165 % in comparison with 1986 (from road transport by 174 %). In this way, they strongly exceed the growth in the area of older members (EU-15), where greenhouse gas emissions from transport increased by 24 % in the period 1990– 2007. The largest source of the majority of greenhouse gases is road transport, contributing 99.2 % of all emissions. The permanent growth of GHG from transport and their high share (26 % in 2007) in total emissions make difficult the endeavours of Slovenia to achieve the Kyoto Protocol commitments. Targets: Slovenia does not have a direct objective for transport GHG emissions; indirectly it is stipulated within the framework of the Kyoto Protocol, under which Slovenia must in the period 2008-2012 achieve 8 % lower emissions in comparison with base emissions. The Operational Programme for Limiting Greenhouse Gas Emissions until 2012, adopted in 2009, stipulates in the period 2008-2012 transport GHG emissions in the amount of 6.165 kt CO2 eq. In the proposal of the climate-energy package, the European Commission indicated that Slovenia must reduce GHG emissions by 2020 by approximately 6 % with regard to emissions in 2005 by: • reducing emissions from sectors that are included in the European Emission Trading Scheme by 21 %, • allowing a maximum 4 % increase of emissions from sectors that are not included in the European Emission Trading Scheme with regard to emissions from these sectors in 2005. 293 Mapping of current EU & SEE Regional policies 3.8.3 Transport – Sustainability 3.8.3.1 Network Planning In Slovenia there are four important national development documents: Ordinance adopting the Spatial Development Strategy of Slovenia (OG RS, No.. 76/04), Resolution on National Development Projects for the period 2007-2023 adopted by the Government of Republic of Slovenia on 12th October 2006, Operational program on development of environmental and transport infrastructure for the period 2007 - 2013 and National Programme on Slovenian Railway Infrastructure Development (OG RS, No. 13/96). The Spatial Development Strategy of Slovenia defines guidelines for the development of transport infrastructure. As terminals for intermodal transport, which are developed at the international level, are defined terminals in Koper and Maribor as terminals of national significance are defined terminals in Novo Mesto, Celje, Divača (Sežana), Nova Gorica and Kranj (Jesenice). Due to existing capacity and anticipated transport logistics needs and according to these guidelines also following terminals or distribution centres in the context of other transport hubs can be Brežice Dravograd, Ptuj, Ilirska Bistrica and other, if there are transport and logistics needs and there are provided spatial options. In The Resolution on National Development Projects for the period 2007 - 2023 are among the priority projects of transport infrastructure development included projects of development of the Slovenian railway infrastructure, which will indirectly impact on improving the implementation conditions of combined (intermodal) transport, namely: modernization of railway network, where will be a priority focus on modernization and reconstruction of V. and X. Pan-European corridors, modernization and reconstruction of infrastructure in the course of V. corridor Koper / Trieste- Hodoš and modernization and reconstruction of infrastructure in the course of X. Corridor. Special priority is the development of quality logistics services, including development of logistics centres, transhipment terminals and intermodal hubs, where partnership between the state and companies is foreseen. Operational Programme on Development of Environmental and Transport Infrastructure 2007-2013 (2007) presents an implementation document, which defines the strategy and key projects for the development of transport, environment and energy sustainability. The first priority is intended to rail traffic within the limits of funds the following measures are planned: development of the Slovenian port and completion of port (operational quay, storage facilities) and hinterland transport infrastructure (railways, highways); modernization and completion of infrastructure on V. and X. Corridor; modernization of existing railway line Divača-Koper, reconstruction, electrification and upgrading of railway line Pragersko- Hodoš for speed up to 160 km / h, modernization of level crossings and construction of underpasses at stations, 294 Mapping of current EU & SEE Regional policies construction of new railway line Divača-Koper, introduction of GSM-R system into Slovenian railway network, introduction of ETCS system into Slovenian railway network (Corridor X), upgrading railway line Celje - Pragersko – Šentilj for speed up to 160 km / h, introduction of remote control traffic management on the V. and X. Corridor, construction of the second rail track / New two track line Ljubljana-Jesenice/state border with Austria, construction of the second rail track on the line Maribor-Šentilj/state border with Austria. National Programme on Slovenian railway infrastructure development - NPSRID is a strategic document for the development of railway infrastructure in Slovenia, which was adopted in 1996 and to date has been realized only to a lesser extent. As parts of this development plan are among the priority projects planned the following projects: ensuring allowable axle load of at least category D3 (225 kN / axle and 72 kN / m) on the entire network of main routes, electrification of line Pragersko – Hodoš – state border (Corridor V), construction of the second rail track on line Ljubljana - Jesenice, including a link to the airport (Corridor X), construction of the second rail track on line Maribor - Šentilj (branch of Corridor X), to enable railway lines at the level that ensures their interoperability in accordance with the provisions of EU Directive 2001/16, and EU directive 2004/50, strict implementation of measures specified in the Law on railway safety related to level crossings of roads and railways and outer level access to platforms, increase the maximum allowed line speed on main lines for up to 160 km / h, construction of new second railway track on Koper – Divača line, construction of new Divača - Trieste railway line with a link to the Koper station, construction of new high capacity line Ljubljana (Zalog) - Zidani Most (for speed over 160 km / h), construction of new high capacity line Divača - Ljubljana (for speed over 160 km / h), reconstruction of signalling and safety devices and modern remote control traffic management on main lines, reconstruction of catenaries and remote control of fixed installation for electric traction, preparation of documentation for new lines. 3.8.3.2 Intelligent transport systems With the accession of Slovenia to the European Community, the transport infrastructure that has been a decade in the intensive phase of national development, has become part of the wider environment trans-European networks, where in addition to the construction of infrastructure and the provision of efficient transport also encountered some completely new services. For these services based on telecommunications and information systems and provide sophisticated control and traffic management through better information to users typically transcend national boundaries or borders operators and infrastructure allow continuity of services based on internationally agreed standards, 295 Mapping of current EU & SEE Regional policies procedures and organization of data. These services and expert systems are called Intelligent Transport Systems -ITS. Due to ambitious targets and the fact that the new associate members in 2004 are on significantly different levels of development compared to the old members, the program CONNECT was designed to coordinate or create the basic preconditions for the introduction of European services, which are designed with the future program EasyWay as continuation of the CONNECT programme. Slovenia was as the intersection of two European corridors (V and X) with the national introduction of intelligent transport systems included in the program coordination and stimulation of innovative ITS activities TEMPO-CONNECT 2004 to 2009 in the region of Central European countries. TRANSPORT - Project for the management of European cross-border traffic was a partnership project of the Slovenian and the Italian Ministry of Transport in 2007-2008 with the content of "tactical management" of cross-border linkages and coordination of intelligent transportation systems of two neighbouring regions / highways. Slovenia continued international cooperation in the framework of the Easy Way-CONNECT with the introduction of pan-European ITS services in the corridor network. Slovenia has so far in the field of ITS implementation activities carried out mainly in the field of control systems and traffic management for the newly built motorway sections in the corridor, which are connected to the network control centres, as a basic ITS infrastructure will be upgraded and integrated into the national centre the control and command and information users. Major investments were also intended to restore the system call emergency safety equipment in the tunnels and back office information system, which is built on the sophisticated and centralized system. Slovenia reported within a program TEMPO - CONNECT implementation activities, study and pilot projects in the amount of € 57 million by the European Commission co-funded in the amount of € 6.7 million. Slovenia is fulfilling its obligations to the request formulated in article 17(1) of Directive 2010/40/EU and to the EC implementing Decision (C(2011)4947 final). 3.8.3.3 Innovation Slovenia accepted the new Research and Innovation Strategy of Slovenia 2011-2020 (RISS) in May 2011. The main new strategic guidance document: Establishment of an effective integrated management of research and innovation system, involving all stakeholders Increasing transparency and streamlining the system and support measures. The reform of the public research sector Promoting innovation economy Financing 3.8.3.4 Internalisation of external costs In Slovenia, the first comprehensive assessment of the external costs of transport was obtained in 2004 with a research Analysis of External Costs of Transport (Lep et al., 2004). The total value of these costs in 296 Mapping of current EU & SEE Regional policies 2002 was according to the more expensive scenario (climate change was considered by the higher estimation) estimated to 2.3 billion EUR, from which road transport contributes 94 %. The sum of costs of the impact of the basis sources of external costs of transport (accidents, noise, emissions and congestion) was estimated to be between 1.4 and 1.9 billion EUR annually. The calculation into the share of the Slovenian GDP indicated that according to the more expensive scenarios the external costs of transport in Slovenia in 2002 amounted to 9.8 % of GDP, which is exceeding the EU-15 average (7 % of GDP). The calculation that considered the cheaper scenario (climate change was considered by the lower estimation) amounted to 7.1 %; considering only the basic four groups of external costs of transport, it amounted to 6 % of GDP. A comparison with the shares in the EU-15 indicated a lower level of external costs in Slovenia due to congestion and noise, while the share of emissions was significantly higher (Lep et al., 2004). The chapter on the economic policy of environmental protection in the Resolution on the National Environmental Action Plan stipulates that business entities and households should take over the costs for the damage caused to the environment, since otherwise these costs shall accumulate in the form of degradation and will present a burden for future generations, while the consequences of environmental pollution will not be correctly considered in strategic social decisions. The starting points of the Resolution on Transport Policy of the Republic of Slovenia stand for one of the possible forms of financial measures regarding external costs; namely, the policy of charging a fee for the use of transport infrastructure by considering external costs, caused by the implementation of transport activities. Such a policy should ensure a more coherent burden on the infrastructure of individual subsystems and a more coherent development of transport activities in Slovenia. The resolution emphasizes the meaningfulness of the dynamic determination of costs and consequently of the price for the use of infrastructure with regard to the conditions and occupancy of the entire transport infrastructure. The payment of all costs for the use of infrastructure would cause a temporal redistribution of traffic flows, which would result in a better utilisation of the road infrastructure and a reduction in congestion. However, the Resolution on Transport Policy did not convert the indicated starting points into specific and quantified objectives or support them with transport polices for the elimination of this problem. Furthermore, it focused only on one area of the wider spectrum of possible measures. In the EU environmental and transport policies, the measures focus on two types of measure in order to reduce the external costs of transport: 1. Restrictive measures for the direct reduction of those transport impacts that cause the largest external costs (for example, traffic bans in urban neighbourhoods); 2. Pricing mechanisms (for example, taxes, charges, subsidies) that are directed towards users' behaviour change in favour of the use of sustainable transport modes. 3.8.3.5 KPIs Within the Ministry of Agriculture and the Environment, Slovenian Environment Agency prepared over 100 Environmental Indicators in Slovenia. The indicators represent one of the four pillars of Slovenian environmental reporting, based on the demands in article 106 of the Environment Protection Act (Official Gazette of the RS, No. 41/2004 with changes). Based on numerical data, they indicate state, characteristics and trends of environmental development in Slovenia. Transport indicators (KPIs) in Slovenia: 297 Mapping of current EU & SEE Regional policies Freight transport demand Transport Infrastructure investments Transport final energy consumption External costs of transport Public awareness about the effects of transport on the environment Exceedances of air quality objectives due to traffic Transport emissions of air pollutants Transport emissions of greenhouse gases Transport accident fatalities Size of the vehicle fleet Average age of the vehicle fleet Use of alternative fuels Expenditures on personal mobility Progress in charge levels Road transport fuels prices Transport Fuel quality Exposure to traffic noise 3.8.4 Transport - Promotion of rail, sea and inland waterway 3.8.4.1 Integration Slovenia has prioritized transport industry, and in particular they have been supporting the expansion of intermodal transportation and enhancing the intermodal connectivity of modes in Slovenia. The policy objectives and actions are laid down particularly in the following documents: Ordinance adopting the Spatial Development Strategy of Slovenia (OG RS, No.76/04), Resolution on National Development Projects for the period 2007-2023 adopted by the Government of Republic of Slovenia on 12th October 2006, Operational program on development of environmental and transport infrastructure for the period 2007 - 2013 and National Programme on Slovenian Railway Infrastructure Development (OG RS, No. 13/96). 3.8.4.2 Incentives Governmental aids for carriers of intermodal transport 298 Mapping of current EU & SEE Regional policies ZZelP-UPB6 in Art. 4 provides that a State may give carriers that perform combined transport state aid in the form of government benefits for the portion of the funds spent by these carriers for investments, for research and for the share of transportation costs, if the following conditions are met: implementation of the special interest of the State and that these government benefits provides carriers in intermodal transport an equal economic position with carriers in other types of goods traffic or providing reimbursement of expenses incurred in carrying this because they would not be doing this, if it was performed only because of their economic interest. Government should regulate the state aids in the way that the conditions would not be applicable in all cases, when introducing a new transport lines and stimulation is really limited. ZZelP OCT6 defines criteria for assessing the eligibility requirements of carriers to state compensation costs that are further elaborated in the Decree on compensation of costs for services, research and investment to carriers that perform certain transport services by rail (OG.RS, No. 108/2000). Aid can be applied by carrier that is registered in Slovenia and proves that he is entitled to such compensation with attached supporting evidences. Although there is legal basis for state aid to carriers engaged in combined transport, in the form of compensation of portion of costs, last aid granted by the State to the carrier was in 200327. Tax incentives (cost-effective tariffs) Types of fees and reimbursements for use on public roads taxative are generally defined in the Act on public roads-ZJC28, which was repealed by the Act on the roads - ZCes-1 (OG RS, No. 109/2010), based on the transitional provisions of ZCes -1 remain valid provisions ZJC governing fees and compensation for use on public roads. Individual fees and reimbursement for use on public roads, which generally defined in ZJC largely become subject to regulation by special laws. The obligation to pay the annual charge for use of motor vehicles and trailers registered in Slovenia is defined in the Act on an annual levy for the use of vehicles on the road (OG RS, No. 57/2008), the amounts of annual charges are defined in Regulation of setting the method and the amount of annual charges for the use of vehicles on the road (OG.RS, No. 100/08 and 19/10) 29. Its sizes depend on the technical features of the particular vehicle. For trucks, maximum allowed mass is relevant. While for each category of vehicles as a measure to enforce the reductions take into account the ecological requirements (emissions of air pollution). Under the existing arrangements are currently no specific incentives for combined transport, which would allow reduction of payment of the charges for road goods vehicles (trucks, HGV) involved in intermodal transport. 27 Presentation, Ljubo Žerak, Ministry of Transport, Combined transport within the framework of Slovenian transport policy, Athens, 1.4.2011. 28 Law on public roads - ZJC-OCT1 (consolidated text, OG RS, No. 33/06). 29The update of Regulation on of fixing the annual user charge paid by road users for road motor vehicles and trailers is in preparing, so that the tax relief will also apply to trucks that are used exclusively for the transport of swap bodies and containers. 299 Mapping of current EU & SEE Regional policies The Law on tax on motor vehicles - OCT2 (OG.RS, No. 72/06 and 9/10) 30 regulates the obligation to pay tax on motor vehicles of certain codes as defined in the Customs Tariff of the European Community as this vehicles are first time put on the market or are first time registered in the territory of the Republic of Slovenia, and for sale of used motor vehicles. Under the existing arrangements for road vehicles used in intermodal transport, no specific benefits, reduction or exemption of tax are presumed. It would be encouraging and would contribute to the development of combined transport to introduce tax relief for these vehicles31. Exemption on paying motor vehicle tax and road charges for vehicles in combined transport are the form of tax incentives for the development of combined transport and are already included in the agreement that the Republic of Slovenia has concluded with the Republic of Hungary on the international rail, road and water combined transport, with the restriction that this measure is limited to cabotage operations in unaccompanied combined transport within the 30 kilometre zone the air line from the terminal for combined transport and is effective only for goods vehicles registered in countries signatory to this Agreement. A similar provision is contained in a bilateral agreement, which Slovenia has concluded with Croatia, in which the two parties have undertaken to transport to / from the terminal in unaccompanied combined transport mutually acquitted of road user charges and other fees pay for road vehicles, from loading place to the terminal or from terminal to loading place within a certain distance of each terminal of combined transport. For motor vehicles and trailers that are registered in a foreign country, not a member of the European Union, the payment of road tax was governed by the Decree on road taxes to be paid by motor vehicles and trailer vehicles registered outside the Republic of Slovenia and engaged in road carriage of passengers and goods on public roads within the Republic of Slovenia (OG RS, No. 63/2002). On the day of the full membership of the Republic of Slovenia in the European Community this Decree expired (OG RS, No. 46/2004). Transport infrastructure user charge In combined transport on the price of goods transport also affects the amount of costs to be paid for the use of transport infrastructure, which usually involves paying a toll for lorries to use the road infrastructure in the transport from or to the nearest terminal points of origin and destination of goods and payment of charges for carriage of goods by rail. Toll system for trucks and motor vehicles whose permissible maximum weight exceeding 3.5 tonnes is subject to specific regulation in the Law of the tolls for vehicles whose maximum mass exceeds 3,500 kg - 30 Motor vehicle tax has characteristic of the sales tax and is paid only once, when purchasing a vehicle, its base is the selling price of the vehicle. Annual charge for use of vehicles on the road (or tax) is a periodic, annual payment, the primarily purpose of the collection is the function of managing the integration of vehicles in the traffic. 31 The legal basis for this form of incentives for combined transport can also be found in Directive 1999/62/EC on the charging of infrastructure use for heavy duty vehicles, amended by Directive 2006/38/EC, which provides a fairer system for use of road infrastructure and is based on the principle of "polluter pays". That law provides that road vehicles, which are included in the initial or final phase of combined transport (the origin of goods, shipping terminal or receiving terminal), in whole or in part exempt from road tax. 300 Mapping of current EU & SEE Regional policies ZCestV (OG RS, No. 69/08) 32, toll collection system for all other vehicles are still governed by the provisions of ZJC tolls in accordance with the transitional provisions of ZCes-1 continue to remain in force33. Toll system for trucks over 3.5 tonnes bases on the European principle of "polluter pays" (e.g., by adjusting the tolls on the basis of environmental performance of vehicles), but the existing national framework does not currently contain specific incentives in the form of exemptions or reductions in payments for road tolls for trucks in intermodal transport. Regarding the starting point of European law, Member States are allowed that in exceptional cases, such as infrastructure in mountainous regions (Alps), may charge additional payment to the tolls for sections where there is severe congestion and sections where vehicles cause significant environmental damage. Each country can decide whether to maintain reduction of tolls or introduce an exemption from the obligation to pay charges for road freight vehicles in intermodal transport, particularly if this would have positive effects on the free flow of traffic, environment, noise or congestion. This must be used very carefully, at the same section it is not allowed for any category of vehicle to charge both tolls and other charges. System of user charges for the use of railway infrastructure is regulated by the Railway Transport Act-ZzelP - OCT6 (OG RS, No. 11/2011), that transposes the EU legislation in the field of railway transport into the Slovenian legislation34. ZzelP - OCT6 in the art. 15d regulates charging for the use of railway infrastructure. Detailed provisions regarding the evaluation criteria for determining the amount of user charges, guarantee, process of guarantee and user charges settlement, methods of payment, exemption from payment, control of payments and non-payment penalties are governed by the Regulation on the allocation of train paths and user charges on the public railway infrastructure (OG RS, No. 38/08). Under current law user fees must be objective and non-discriminatory, equal for all carriers providing equivalent service in a similar market segment (except in cases specified by regulation, the same system of charging must be used on the entire network). Current legislative framework for railways does not include specific exceptions or exemption from paying user charges for railway vehicles, participating in combined transport as well. Such an incentive would certainly be a welcome step in promoting and creating a more competitive position of this kind of transport. 32 This act transmits Directive 1999/62/EC on the charging of infrastructure use for heavy duty vehicles, amended by Directive 2006/38/EC and Directive 2004/52/EC on the interoperability of electronic road toll systems in the Community in the Slovenian legal system. 33The obligation to pay a toll for use of toll roads for motor vehicles having a maximum mass not exceeding 3,500 kg, or for cars ZJC is regulated in Art. 11.a. to 11.c. 34 ZzelP transposes in Slovenian legislation Directive 91/440/EEC on the development of the Community's railway network, last amended by Directive 2007/58/EC, Directive 95/18/EC on the licensing of railway undertakings, amended by Directive 2004/49 / EC, Directive 2001/14/EC on the allocation of railway infrastructure capacity and the levying of charges for use of railway infrastructure and safety certification, last amended by Directive 2007/58/EC, Directive 2004/49/EC on safety on the Community railways and amending Directive 95/18/EC on the licensing of railway undertakings and Directive 2001/14/EC on the allocation of railway infrastructure capacity and the levying of charges for use of railway infrastructure and safety certification, as last amended by Directive 2008/57/EC, and Directive 2007 / 59/ES on the certification of train drivers operating locomotives and trains on the Community's rail network. 301 Mapping of current EU & SEE Regional policies Restrictions and traffic bans for commercial vehicles In Slovenia, on some state highways a time limit for heavy goods vehicles (goods vehicles having a maximum mass exceeding 7.5 tonnes) are introduced, on certain roads for these vehicles is introduced all- day traffic ban. Time limits on state roads have been introduced under the Regulation restricting traffic on the roads in the Republic of Slovenia, which entered into force in July 2006 and replaced Regulation of 2004. During a time limit of freight traffic on Saturdays, Sundays and holidays, in the restricted areas it is prohibited to transport heavy goods vehicles. These restrictions do not apply to trucks carrying goods in the public interest. Thus, the exception to the time limit also applies to goods vehicles engaged in road transport in combination with a rail or sea35, namely in the area36: -to rail or ferry terminal, if they continue to ride piggyback train or ferry, and otherwise would not arrive in time (submission of appropriate documentation required), -from the ferry or railway terminal to the nearest border crossing, if they arrived by ferry or piggyback train and if they can continue travel abroad to the final destination (submission of appropriate documentation required). Prohibition of traffic for all heavy goods vehicles, except for the services of local importance, is determined by the Rules restricting the use of state roads to transport goods vehicles whose permissible maximum weight exceeding 7.5 tonnes (OG RS, No. 102/06, 109/2010 - Ces-1)37, on individual sections of regional roads that passes through or past the urban areas and exists the possibility of transportation by other state roads, which have equivalent or better road- technical characteristics. The aim of introduced ban is to achieve that drivers of goods vehicles using the parallel roads free charge would no longer be able to avoid paying tolls on highways, as well as to regional roads to improve traffic safety and that the transit road freight consistently diverted back to the highway. The prohibition is generally set out for all trucks and contains no exemption for road vehicles, participating in combined transport, but this kind of transport of goods from / to rail or ferry terminal can be seen as a service of local importance. Maximum allowed gross vehicle weight for HGV For road freight vehicles, which carry the combined traffic delivering and shipping within the prescribed distance to the nearest rail terminal or port, the Decree on combined transport (OG RS, No. 4/2001) allowed a maximum authorized mass of up to 44 tons. For other goods vehicles which do not participate in combined transport, namely lower limit of the maximum total weight of these vehicles is prescribed. 35 This legal framework has also realized the commitment of the Republic of Slovenia arising from bilateral agreements on combined transport, which Slovenia has concluded with Croatia and Hungary, where these countries signatories pledged that vehicles performing delivery and shipping associated with combined transport are exemption from time limit restrictions on weekends and holidays. 36 A similar exemption from time limit restrictions of road vehicles performing combined transport is prescribed by the Regulation on combined transport (art. 6), there are detailed all the necessary documents to carry out delivery and shipping (art. 8). 37 Rules restricting the use of state roads to transport goods vehicles whose permissible maximum weight exceeding 7.5 tonnes, was repealed by the ZCest-1, but the transitional provisions of this Act continue to apply until the enactment of new regulations to be adopted on the basis of ZCest-1. 302 Mapping of current EU & SEE Regional policies 3.8.5 Enhancement of competitiveness of the private sector 3.8.6 Incentives for sparking growth and for moving into new technologies 3.8.6.1 Institutional Investing in research and development is a key factor for the competitiveness of enterprises. In Slovenia, the volume of private sector investment in research and development increased in recent years, approaching the EU average, but is still far from successful countries. This progress is reflected in favourable impact of tax incentives for investment in research and development, but their share in Slovenia is still lower than in most of the most successful countries. The volume of investment of public funds for research and development in the economy has recently increased significantly, mainly due to use of European structural and cohesion policy. Incentives for companies are mainly to continue to carry out research and development projects in conjunction with the public research sector. Direct (irreversible) financial incentives to invest in research and development have favourable effects, but resources are limited and not sufficient to meet actual needs, especially as sources of European structural policy reduced. The shortcomings are mainly reflected in the provision of access to grant sources of funding to invest in research and development projects with a higher risk by financial markets generally not accepted. Access to (mostly commercial) sources of financing for development, according to performance indicators innovation system (EIS 2009), far below the EU average (67% average) (Source: http://www.drznaslovenija.mvzt.gov.si/ch02s05.html). 3.8.6.2 Organisational Adria Kombi is a company in Slovenia in the field of combined transport in all its forms. It is coordinating the interests and activities of all stakeholders for the development of combined road-rail transport, organizing and implementing a combined turnover in the domestic and international traffic, and improves and expands infrastructure and quality of services. Adria Kombi is a member of the International Association of combined road-rail transport or UIRR, which promotes and facilitates combined transport throughout Europe. The objective of all members of UIRR society is switch from road to rail transport and fast, secure, reliable and high-quality performance of transport services at the lowest possible cost. Chamber of Transport Carriers was founded in 2007 on the initiative of GIZ Transport, Trade Union of Slovenia transporters (SAS) and GIZ Intertransport. Chamber of Transport Carriers is a voluntary, interest and non-profit Association of legal entities and others engaged in transport and other transport-related gainful economic activity. Membership is not limited to carriers, but also open to providers to transport goods and related services. Its members promised commitment to improving the reputation of transport carriers, ensure Europe's competitiveness, greater industry support and additional benefits for its members. Within the Slovenian Chamber of Commerce works in the field of transport the Association of Transport and Communications. It provides its members better and easily operation within their business activities through its own professional service associations, common information base and concrete advices. Within the Chamber of Craft and Small Business of Slovenia operates The Transport Section, which includes over 9000 members, private haulers, businesses and companies with all aspects of road transport. It is a 303 Mapping of current EU & SEE Regional policies place where their professional interests are met in international express carriers and inland transport, bus and coach operators, construction machinery operators and taxi drivers. Together they are powerful and competent interlocutor to state institutions in formulating transport policy and traffic and transportation regulations. Slovenian rail market is liberalized. Currently there are three players in Slovenia that have a license to carry out transport in Slovenian railway network: Slovenian Railways Ltd., Austrian GHB and RCA (Rail Cargo Austria), a subsidiary of Austrian Federal Railways and the Slovenian company Adria Transport. 3.8.6.3 Financial Within financial incentives in Slovenia there is State compensation to carries performing combined transport (Railway Transport Act, Art.4). Within tax incentives there is Road tax exemption for foreign motor vehicles, subject to reciprocity, if prescribed conditions are met (Regulation of road tax for motor vehicles and trailers registered outside the Republic of Slovenia. There is the acquisition of the legal framework of EU on liberalization of transport market for goods carriers’ registered in EU Member States into national law on Free cabotage from / to the terminal in the internal EU combined traffic. For road goods vehicles engaged in road transport, combined with rail or ship the time limit within driving bans on Saturdays, Sundays and holidays is not applicable (Ordinance restricting traffic on state roads). For heavy road freight vehicles that carry out transport of local importance the prohibition of traffic on individual sections of regional roads is not applicable (Rules restricting the use of state roads to transport goods vehicles with a maximum weight exceeding 7.5 tonnes). For road freight vehicles in combined transport maximum mass exceeding 44 tonnes is allowed (Decree on combined transport). In 2012 Eco Fund of the Republic of Slovenia announced Non-reimbursable financial incentives for subsidizing electric vans for legal entities and sole proprietors. Aid may be granted for both new electric vehicles, as well as conversion of existing vehicles. The purchase of vehicles is encouraged, which will be paid the retail price including VAT of € 50,000.00. Help may also be granted for the vehicle purchased, processed or purchased abroad, provided that the vehicle has been paid or requested other assistance from the state or the EU for the same eligible costs. Transit authorization shall be considered as the first registration after manufacture. The vehicle must be at least three years after grant aid remain the property of the recipient. Slovenian Export and Development Bank (SID Bank) offers state aid in the context of "Development - incentive program to fund technology - development projects, 2011 - 2013" for companies operating both in transport as well as in other markets. Those incentives will be allocated for the initial investment and for research and development (industrial research and experimental development). 3.8.7 Infrastructure development through EU and national funding PPPs The situation in public railway infrastructure is getting worse and worse due to insufficient funds for its development, maintenance and modernization. Only 25 % of the National programme of Slovenian railway infrastructure development, adopted by the Slovenian Parliament in 1996, has been implemented to date. Bad conditions show in the form of extensive damage and defects occurring on rails, contact wires, 304 Mapping of current EU & SEE Regional policies signalling/safety devices and points; bad conditions are reflected also in the fact that trains had to be slowed down. Inadequate maintenance and slow modernization of the railway infrastructure, together with increasing burdening of rails due to the increase of the scope of the maintenance work in transport, reflects in the increased number of decisions by TIRS (Transport Inspectorate of the RS), limiting speeds and axle loads, which additional affects the quality of transport services. Due to this situation the already barely competitive transport services are becoming even less so and the users are getting discouraged to use them. If these negative trends continue, it will be impossible to achieve one of the basic goals of the transport policy relating to the scope of transport, which is to increase the share of railway transport; in the worst case this situation can lead to closedown of certain sections of the railway. Due to permitted axel loads, which are insufficient, certain freight transports have already been redirected to avoid Slovenia; this means loss of freight transport or - even on main railroad lines such as Zidani Most - Šentilj and Pragersko - Murska Sobota - the freight wagons are loaded 15 % less than their full and permitted capacity. The permitted axel loads are smaller than those declared within the international frame and for Slovenia as well (D3; 225 kN/axel and 72 kN/m) on the mentioned sections of these main railroads of the Public Railway Infrastructure (PRI). Because the safety of the traffic is of paramount importance and because the current situation in the infrastructure warrants speed-limiting measures, the delays in railroad transport are increasing. The described state of the railway infrastructure also affects intermodal transport, which is, in public railway infrastructure, mostly carried out in the form of combined transport (transport of containers, of changeable carriers, trailers, saddle-shaped semi-trailers, road freight transporters). The transported quantities are limited by permitted axel loads; the scope of the transport is limited by the profile of the line. The main lines of public railway infrastructure allow the transport of vehicles and freight in accordance with the SŽ loading gauge and with the loading gauge for the combined transport UIC-GB. For smooth transportation of combined cargo and for ensuring the safety, codification of railways exists, which defines, for each line, the permitted size of the containers. All the limits on the lines (bridges, tunnels,…) are included in the codification. The analysis conducted indicates that investments in railway infrastructure are indispensable since deteriorated railway system reduces competitiveness of Slovenia. This in particular applies to the Slovene part of the 6th priority project in the trans-European transport network (TEN-T) defined in the Decision No 884/2004/EC of the European Parliament and of the Council of 29 April 2004 since Slovenia committed itself to construct high-capacity railway connection. On tracks that in the Republic of Slovenia are included in the 6th priority project some other projects that are not a part of the operational programme will be carried out and will be financed with own resources or on the basis of public-private partnership. There have been no infrastructure project implemented in the PPP so far, but it is a mandatory content for pre-investment studies. 3.8.7.1 Financial instruments for development In the last ten years the Republic of Slovenia has been directing the majority (around 90 %) of its growing investments in infrastructure into the road network, especially the motorway network. Railways, which have a much higher sustainability potential, are staying behind in development due to a lack of investment. 305 Mapping of current EU & SEE Regional policies Existing railway tracks, built primarily in the 19th century, do not fit the modern transport needs with regard to their parameters and their capabilities, and are completely non-competitive compared to the modern road network of Slovenia and modernised railways in the majority of the EU countries. Air and maritime transport do not have a significant role in the structure of total investments in infrastructure. The majority of infrastructure investments will be devoted to the motorway network at least for another ten years, since the Resolution on the National Motorway Construction Programme in the Republic of Slovenia (OG RS, no. 50/2004) stipulates annual expenses for the completion of the remaining motorway network of between 200 and 400 million EUR (around 1.6 % of GDP) in the period 2003-2013. However, already in 2007 their value exceeded 600 million EUR. Besides the budget, the most important source of financial resources will be borrowings and long-term infrastructure bonds. After the completion of the motorway network (expected in 2013), construction financing will not end, since the motorway programme costs (in total, more than 10 billion EUR) will have to be repaid until 2033. At the same time, the management and maintenance costs of this network will also increase. Future investments in railway infrastructure are less structured, since at this point they do not have a basis in the revised national programme for this area. However, projects for the modernisation of the 5th Trans-European corridor network, which was also highly ranked by the EU in its priority tasks, are being implemented with EU support. However, in the last number of years it is possible to detect changes in the ratio of investments of state resources in individual transport sub-systems. In the year 2000, the resources for the motorway network amounted to 80 %, while 13 % were intended for state roads and only 5 % for the railway network. With the completion of the motorway network the investments have slowly begun to move primarily to the construction and modernisation of the railway network; in 2008, the investments for the motorway network decreased to 70 %, while the resources for the railway infrastructure increased to 14 %. It is also possible to detect a slight increase in investments in state roads, the investment share of which increased to 16 % in 2008. Hereby, it has to be emphasized that the resources of motorway construction in the last years have been coming less from the budget and more from the resources collected by tolls. The construction has been frequently financed by various forms of borrowing – for instance, by loans from international financial organisations, foreign financial loans and domestic financial loans. 3.8.7.2 Non-financial instruments for development Web portals for small size companies that are established in Slovenia are one of the non-financial instruments for development. There is also GPS Fleet tracking system developed in Slovenia with benefits of full fleet overview and control, regularly updated road maps, instant information of stops and driving duration, control efficiency of drivers leads to fuel cost cutting, help for drivers, alerts for monitor deviations, higher quality of services, savings on work hours, with automatic travel order, regular customers visits information, extra protection against theft (Source: http://www.sledenje.com/index.php). Within The Chamber of Craft of Slovenia operates section of road transport operators, where the operators can get all the information and contacts, information on regulations and EU legislation, standards and price information, advisory and educational centre (Source: http://www.ozs.si/Ozbornici/Sekcijeinodbori/Sekcijazapromet/Zakonodaja.aspx). 306 Mapping of current EU & SEE Regional policies 4 Conclusions Having carefully read all the participating in the GIFT Programme countries’ contributions in the Activity 3.2 “Mapping of current EU & SEE Regional policies” and wishing to elaborate on a summarizing conclusion, we are going to briefly review in what extent the EU, Regional and National priorities have been converted to policy by each partner/country. We remind that, according to the Activity’s scope, this conversion to policy was aiming at a better integration of the different modes of transport as a way to improve the overal efficiency of the GIFT transport system, including its environmental performance, at accelerating the deployment of innovative technologies and bussiness practices and at sparking economic growth through transport policy. The guidelines of this Activity included review of the current policies for intermodal transport, legislation, environmental performance (green aspects) for transport, and current institutional finacial tools (incentives, PPPs) per country involved. In our summary, we are going to follow the policies, strategies and norms that the countries have reviewed in the same order as they did it, that is: -Environmental, CO2 emisions -Green and sustainable transport -Promotion of rail, sea, and inland waterway transport -Enhancement of Competitivenss of the private sector -Incentives for sparking growth and for moving into new technology -Infrastructure development through EU and national funding. We would like to stress that this summary constitutes an overview of the countries contributions to the Activity, based solely on their content and on our understanding as Leader Partner of these contributions. 4.1 DETAILED ANALYSIS Inspite of the relatively large extent of the total deliverable (approx. 300 pages), we are going to be as brief as possible, summarizing to the extreme the countries’ contributions, focusing on the more interesting, to our opinion, countries’ measures/policies. Let us follow the overall structure and begin with: 4.1.1 Environment: CO2 emisions and green, sustainable transport In Bulgaria, GHG emissions rose considerably, due to the increase of freight transport by road from 52,3% to 70%. Bulgaria reduced GHG by switching to natural gas, which increased energy efficiency. To limit impacts, Bulgaria turns to mass production of electric cars (as of 2014, all publicly procured vehicles will be electricity-powered), uses European Standards for PM and Gas emissions and implements Single European Sky (SES) by 2020 for managing air traffic. In Greece, emissions from Railways decreased by 69% (1990-2010), but road Transport is held responsible for 86,5% of the total transport CO2 emissions. Measures taken include the electrification of railway network, incentives for freight fleet renewal, implementation of EU regulations for technical requirements, enhancement of multimodality, institutional measures such as speed/emissions limits, mandatory regular 307 Mapping of current EU & SEE Regional policies vehicle inspection, fiscal measures such as fees & taxes & financial measures to control GHG emissions, monitoring emissions using 33 stations & observatory of “Egnatia Odos”. Hungary reduced overall CO2 emissions by 20% (1990-2008), mostly due to the restructuring of the economy (less heavy industry). In the transport sector Hungary reduced CO2 by 55% , well within the targets of the Kyoto Protocol. The National Climate Change Strategy is financed through the sales of Kyoto credits. Hungarian transport Policy Measures (2003-2015) include user-pays principle, modernization of fleets to meet EU norms, fostering environmentally-friendly modes, increased share of combined transport of goods, co-financing for environmentally sound freight transport solutions. In Italy, 90% of total Transport emissions is road-related. They adopted EC Directives and Regulations to reduce non-ETS emissions, to promote RES and to set performance standards for new commercial vehicles. “Second Generation” Biofuels are attractive for Air, Naval and Heavy Vehicles and in that field Italy has many examples of excellence, know-how and technical expertise. In Serbia, the Kyoto Protocol & the Convention on Trans Boundary Air Pollution are implemented, even if, as a developing country, Serbia is not bound to reduce GHG in the first period. Nevertheless, since 2010, the leaded fuel production stopped and import of fuels compliant to EU Norms was allowed. Serbian national plans & Strategies support the preparation of a National GHG inventory, a targeted reduction of Road Transport / increase of Railway & IWW, the adoption of Energy/Climate Package & ETS Directive (entry into force in 2016) and the increased energy efficiency and use of RES. Finally in Slovenia, since its accesion to the EU, heavy trucks traffic increased. Unable to reach Kyoto objectives, Slovenia uses Kyoto’s flexible mechanisms (additional taxation of engine fuels). As road transport rates 97% of transport sector’s total energy consumption, Slovenians try to replace fossil fuels with biofuels. 4.1.2 Promotion of rail, sea, and inland waterway transport All countries admit, on the one hand, that intermodal transport is a key factor to achieve sustainable and competitive mobility, a cleaner environment, transport safety and security, and, on the other, that the promotion of rail, sea and inland waterway transport, as alternatives to road and air transport, is what intermodality needs in order to be better implemented. What the countries have done or intend to do in the near future: Italy has implemented concrete measures that encourage the use of more economically efficient and environmentally-friendly means of transport – rail and sea transport. 1. Ferrobonus contribution: shifting from road freight transport to rail freight transport. €25.7 million are the available resources established by Ferrobonus up to now. 2. Ecobonus fund: shifting from road freight transport to sea freight transport (Motorways of the sea). Its main goals are to promote the access and use of sea routes and the purchase of hardware and software designed to optimize maximum security. Law 265/2002 made available to drivers about €240 million. Amount: max. 20% on fares on existing routes and 30% on transport prices on the new routes. 3. State aids for Friuli Venezia Giulia region = Goal: shifting from road freight transport to rail and ship freight transport / to accompanied combined transport services (compensating extra costs of combined & maritime transport compared to road transport => to reduce transport costs incurred by the shippers.) This 308 Mapping of current EU & SEE Regional policies aid scheme also applies to the short-sea shipping services with origin / destination one of the ports of the relevant region => use the Adriatic Sea, no road routes from south Italy to Trieste and Gorizia. In Slovenia, although it would be encouraging to introduce tax relief, according to EU Directive 2006/38 ”Polluter pays”, for road goods vehicles (trucks, HGV) participating in combined transport, no tax incentives (cost-effective tariffs, specific benefits, reduction or tax exemption) exist. The same goes for railway vehicles participating in combined transport (not currently excluded from paying user charges). Bilateral agreements exist with Hungary and Croatia: exemption from paying motor vehicle tax and road charges, limited to certain cabotage operations. Hungary accords grants (85% ERDF + 15% the state) for constructing / expanding intermodal terminals, Serbia develops in 3 phases its legal framework, with the ultimate goal to join EU and Bulgaria, in order to develop railway, road and waterway infrastructure and intermodal transport, works on the Operational Programme on Transport 2007-2013. The OPT, the OP with the largest budget (€2 billion) of the 7 Bulgarian OPs, is co-financed by the Structural and the Cohesion Funds of the EU. Important OPT projects: intermodal terminals in Sofia, Ruse and Plovdiv; container terminals at Port Burgas – West and Port Varna – East. 4.1.3 Enhancement of Competitivenss of the private sector All countries agree that, in general, investing in R&D is a key factor for enhancing the enterprises’ competitiveness. The scope is to create innovative products with added value, to the benefit of SMEs. Contributing factors are the institutional set-up and cooperation of the public and private sectors. European Funds are of great help, even if their budgets have been reduced. The private sector is reluctant to cope by itself with high risk R&D projects. Existing competition is between: - private companies (i.e.: river shipping bulgarian companies, the italian transport market, slovenian railways) - the state and private operators (State Bulgarian Railways and bus operators) and - domestic and international transport providers (the Hungarian case, Bulgarian shipping companies and established world operators) In the case of high market penetration of larger firms, 2 possible outcomes, one positive and one negative, are possible: a. the world's largest contract logistics providers combined with Hungarian-owned companies has as a result high quality services, flexibility, reliability, competitive prices. b. there is a deterioration of the Bulgarian shipping companies’ market position, because of the unfavorable age structure of the merchant fleet. In all cases, competitiveness is enhanced if: -the state imposes rules and procedures to fight anti-competitive behaviour by companies, -the state scrutinizes mergers between undertakings and -EU law prevents governments from granting state aid which distorts competition in the internal market (Bulgarian railways, Greek Olympic Airways). 309 Mapping of current EU & SEE Regional policies Incentives enhancing competitiveness of the private sector •Financial incentives include state compensation to carriers performing combined transport (Slovenia) and non-reimbursable financial incentives for subsidizing electric vans for legal entities and sole owners (Slovenia). •Tax incentives include Road tax exemption for foreign motor vehicles, subject to reciprocity (Slovenia) •Legal incentives: ○EU laws on liberalisation of transport market for goods carriers’ on Free cabotage from / to the terminal in the internal EU combined traffic; ○Formulation of transport policy and legislation [private companies + legal entities (i.e. Chambers of Transport Carriers, etc.) + the state (Slovenia and Serbia)]. 4.1.4 Incentives for sparking growth and for moving into new technology 4.1.4.1 Institutional incentives Research is the main incentive for growth and moving into new technologies for all countries. The Italian Sea Technology Platform adopts a holistic strategy for the sea transport including industry, research and administration on the topics of research, training and innovation. In Hungary, the National Research, Innovation and Science Policy Council (NKITT) serves as the Government’s advisory body. The National Innovation Office (NIH) is the governmental body responsible for research, development and technological innovation. In Serbia, the Strategy of development of rail, road, water, air and intermodal transport for 2008-2015 period bases the transport sector development on safety, intermodality, application of new technologies and rational use of available capacities and resources. 4.1.4.2 Organizational incentives Hungary publishes detailed guidelines for companies, especially focusing on SMEs because they cannot benefit from the fiscal measures and they usually do not have the knowledge, expertise and experience to deal with sometimes complicated fiscal regimes. Alternatively, Hungary proposes, instead of publishing guidelines, to simplify measures and relieve administrative burdens as much as possible. In Serbia, an overview will be provided on the current and future technologies that could be used for reducing GHG emissions in the country’s energy sector. 310 Mapping of current EU & SEE Regional policies 4.1.4.3 Financial incentives In Bulgaria, the transport research is financed by universities and research centers, through bilateral and multilateral cooperation programmes between universities, by the EU Structural and Cohesion Funds Operational Programme Transport 2007-2013. In Hungary, the Research and Technological Innovation Fund provides stable and reliable financing for RTDI activities and it is financed by mandatory contributions of all Hungarian companies (SMEs do not pay a contribution). Additionally, Hungary differentiates geographically the financial incentives: tax credits on investments are higher for economically backward regions. The Hungarian R&D fiscal measures, in accordance with EU practice, usually take one of the 3 following forms: 1. tax deferrals, which are relieves in the form of a delay in payment of tax, 2. tax allowances or extra amounts over current business expenses deducted from gross income to arrive at taxable income, 3. tax credits or amounts deducted from tax liability. 4.1.5 Infrastructure development through EU and national funding The main goals are to construct, modernise, maintain and repair transport infrastructure, renew, modernise and operate transport stock, provide public transport services, conduct transport research. The way to do the above is by combining the know-how of the public sector with the flexibility of the private companies. Special attention should be given to the long period of preparation and implementation of projects, the low rate of return on investments and the regulatory framework (=>detailed contracts) between the 2 parties, i.e. private companies should procure the expected quality results, according to the funding of the whole project, under close monitoring of the State. Current situation shows that transport infrastructure in Slovenia, Hungary, Bulgaria and Serbia has suffered for many years (and still suffers in many cases) from lack of funding and inadequate maintenance. The increasing volume of the freight transport nowadays pushes towards the use of PPPs for infrastructure development. In Slovenia, only 25 % of the National programme of the railway infrastructure development adopted in 1996, has been implemented to date. For the last 10 years, priority was given to the construction of high- capacity motorways. Bulgaria has sufficiently dense railway and road networks, ports and airports, which, due to a chronic deficit of funds, are in an unsatisfactory state of maintenance. Urgent measures for modernisation are required, in terms of capacity and quality. In Hungary, 170,000km road network and 7,500 km rail network are in poor condition (underinvestment in maintenance). The motorway network has been developed at an accelerated pace for the last 8 years, both in traditional procurement and PPP structures. Currently, besides the development of the ring-road around 311 Mapping of current EU & SEE Regional policies Budapest, no major new motorway project is expected. The quality of the road and rail infrastructure is seen as a major impediment to an efficient transport system. In Serbia, it is still uncertain whether remaining legal impediments and ambiguities will pose a serious threat to further development of PPPs (at least in the short run). 4.1.5.1 Non-Financial instruments: In Slovenia and in Bulgaria, the utility of GPS and ITS is widely recognised. The Slovenian GPS Fleet tracking system offers: full fleet overview and control, regularly updated road maps, instant information of stops and driving duration, control efficiency of drivers leading to fuel cost cutting, alerts for monitor deviations, higher quality of services, savings on work hours with automatic travel order, regular customers visits information, extra protection against theft. 4.1.5.2 Financial / Legal instruments: In most of the countries, the motorways are in better condition than the railway network. Public funds (state budget, EU Structural and Cohesion funds), tolls, public-private partnerships, bank loans and donation programmes are used in order to improve railway infrastructure and to increase the use of this mode of transport. The ultimate goal is to achieve competitiveness through intermodality, which is the most economic, energy efficient and environmentally friendly way of transport. In Italy, the “Objective Law”, i.e. the main national funding instrument for infrastructure development, introduced strict time limits for the approval of projects, discipline of project finance and raising the price and duration limit of the concessions. Also, the TEN-T Network Executive Agency co-financed 83 infrastructural projects for the development of TEN-T core network in Italy. Finally, the National Operational Programme “Networks and Mobility” (ERDF 1.375 Meuro + Italy 1.375 Meuro) operates in the areas of "Convergence" (Campania, Calabria, Puglia and Sicily). Scope: to enhance the country's position in the Mediterranean Sea. In Slovenia, air and maritime transport do not play a significant role in total infrastructure investments. In the last 10 years, 90% of investments (borrowings and long-term infrastructure bonds to be repaid until 2033) was directed in road network infrastructure; the maintainance cost of this network will continue to burden Slovenian budget for some years. In 2004, Slovenia committed itself to construct high-capacity railway connection (part of the 6th priority project in the TEN-T: the modernisation of the 5th Trans-European corridor network, highly ranked by the EU in its priority tasks and implemented with EU support). Bulgaria committed itself to construct / upgrade 1,600 km of the main road network and increase its load- carrying capacity to 11.5 tonnes/axle by 2014. Bulgaria set the conditions for the infrastructure development in Priorities 1 and 4 of the transport policy as follows: Pr. 1 - Efficient maintenance, modernisation and development of the transport infrastructure and Pr. 4 - Sufficient financing for transport sector development and performance. 312 Mapping of current EU & SEE Regional policies The same country proposes to transfer know-how and new technologies at international level, to conduct research towards environment-friendly transport modes, energy saving technologies & alternative energy sources and apply them and, finally, to raise the efficiency of research and development efforts. The long-term goal of Hungarian road infrastructure development projects is to build 2,500 km length of expressway network by 2015. For 2007-2013, they have available €8.6 billion (Cohesion Fund) and €16.7 billion (Structural Fund). The infrastructure development is overwhelmingly concentrated on EU co-funded projects. Hungary has an advanced set of commercial laws and in 2003, the Ministry of Economy and Transport set up a PPP Task Force (major public agencies, ministries, private sector experts). In Serbia PPP Law from 2011 has introduced a PPP unit: the Commission for PPPs, that began as a consultative body and ended as a decisive authority. The total inflow of net Foreign Direct Investment (FDI) was around €12 billion, mainly through privatization, for 2001-2009. The investments made so far in transport cover only a small portion of the real needs. The total cost of public investments required for the development of transport infrastructure for 2010-2027 is estimated at up to €15 billion, of which the modernization of Corridors X and VII to European standards will require around €4 billion. Priority rivers’ (the Danube, Sava, Tisa and DTD) modernization needs €155 million. The competent Serbian Ministry established an Agency to manage the ports of inland waterways and of the sea and in 2011, it created a new regulatory framework for PPPs, based on two key laws. 5 References 5.1 List of documents used in the Bulgarian Contribution 1. National ISPA Strategy for the Transport Sector 2. Operational Programme on Transport 2007-2013 3. Operational Programme Regional Development 2007 – 2013 4. Strategy for the Development of the Transport Infrastructure of the Republic of Bulgaria by 2015 5. Strategy for Integration of the Bulgarian Railway Infrastructure into the European Intermodal Transport Network 6. General Transport Master Plan for Bulgaria – draft 7. National Strategic Reference Framework 2007 – 2013 8. Programme of the Government of European Development of Bulgaria 9. Programme Statement of the Government of European Development of Bulgaria 10. Vision on a New Policy for the Development of the Bulgarian Railways 2008-2013 11. Schedule for the Introduction of ERTMS in the Republic of Bulgaria 12. National Regional Development Strategy of the Republic of Bulgaria for the period 2005-2015 13. National Strategy for Environment 2009 – 2018 14. National Strategy for the Improvement of Road Traffic Safety in the Republic of Bulgaria 2007-2010 15. National Strategy for sustainable development of Tourism in the Republic of Bulgaria 2009-2013 16. National Long-term Programme for Incentives for Use of Renewable Energy Sources 2005-2015 17. National Long-term Programme for Energy Efficiency until 2015 313 Mapping of current EU & SEE Regional policies 18. Programme for Increasing Energy Efficiency in the Transport Sector by Applying Energy Saving Measures 19. First National Action Plan for Energy Efficiency 2008-2010 20. National Long-term Programme to Encourage the Use of Biofuels in the Transport sector 2008-2020 21. National Program for the Development of Public Transport Ports by 2015 – draft 22. Strategy for the Sustainable Development of the Republic of Bulgaria – draft 23. Forecasts for the Main Macro-economic Indicators of Bulgaria 2006 – 2020, Agency for Economic Analyses and Forecasts 24. White paper “European transport policy for 2010: time to decide” 25. Mid-term Review of the White Paper 2006 26. Community Guidelines for Development of the Trans-European Transport Network 27. Communication from the Commission on “A sustainable future for transport: Towards an integrated, technology-led and user-friendly system” 28. Communication from the Commission on „Rail Freight Oriented Network” and the follow-up Proposal for Regulation of the European Parliament and of the Council „European Railway Network for Competitive Freight” 29. Communication from the Commission on the “Strategic goals and recommendations for the EU’s marine transport policy until 2018” 30. Blue Book: “An Integrated Maritime Policy for the European Union” 31. Communication and action plan with a view to establishing a European maritime transport space without barriers 32. Communication from the Commission on a European Ports Policy 33. Black Sea Synergy – a new regional cooperation initiative 34. Third Maritime Safety Package (Erika III) 35. Communication on the Promotion of Inland Waterway Transport “NAIADES” an Integrated European Action Programme for Inland Waterway Transport 36. “Flying Together”: EU Air Transport Policy 37. Green Paper on TEN-T: “A policy review – Towards a better integrated trans-European transport network at the service of the common transport policy” 38. Green Paper on Urban Mobility 39. Action Plan on Urban Mobility 40. Communication from the Commission “Freight Transport Logistics Action Plan” 41. Communication from the Commission Action plan for the deployment of Intelligent Transport Systems in Europe 42. Communication from the Commission “Environment Policy Review 2008” 43. Communication from the Commission “Progress towards achieving the Kyoto objectives” 44. Eurostat: http://epp.eurostat.ec.europa.eu/portal/page/portal/sdi/indicators/theme7 45. European Environment Agency: http://www.eea.europa.eu/themes/transport/indicators 5.2 List of Documents used in the Serbian Contribution 1. Statistical Yearbook of the Republic of Serbia - Transport and Communications, - Statistical Office of the Republic of Serbia 2012; 2. Reports on traffic - Statistical Office of the Republic of Serbia, 2012, 2011,2009, 2005; 3. Government of the Republic of Serbia - Needs of the Republic of Serbia for International Assistance In the Period 2011-2013; 4. General Transport Master Plan for Serbia – Ministry of Infrastructure (now Ministry of Transport) of Serbia, 2009; 5. Ministry of Infrastructure and energy -Report 2008-2011 314 Mapping of current EU & SEE Regional policies 6. Strategy of railway, road, inland waterway, air and intermodal transport development in the Republic of Serbia from 2008 until 2015; 7. Official prezentation of the Danube strategy – www.dunavskastrategija.rs; 8. Key Transport and Greenhouse Gas Indicators 1990 - 2008, OECD and ITF; 9. Serbia’s Response to Climate Change, Milica Bajić-Brković, 2012; 10. Serbian Road Transport and Pollutant Emissions: An Indicator Based Review and Comparative Analysis, Kecman I. et al, 2012; 11. Strategy for planning, development and implementation of ITS on the roads of the Republic of Serbia in the function of road safety; 12. Instrument for Pre-accession Assistance (IPA) - Multi-annual Indicative Planning Document MIPD 2011- 2013, Republic of Serbia; 13. 3rd Draft of the Strateguc coherence framework of the Republic of Serbia 2012 - 2013I, nstrument for Pre-accession Assistance; 14. National Background Report on Transport for Serbia, Vojin Tošić, Radosav Jovanović, 2009 15. Public Private Partnerships in Serbia, Branko Radulović and Dragutin Nenezić, 2011 6 List of Abbreviations used in the Bulgarian Contribution AGTC European Agreement on Important International Combined Transport Lines and Related Installations BDZ EAD Bulgarian State Railways EAD BPIC Bulgarian Ports Infrastructure Company BULATSA Bulgarian Air Traffic Services Authority CF Cohesion Fund CM Council of Ministers DG “CAA” Directorate General “Civil Aviation Administration” DG-TREN Directorate General Energy and Transport EA “AA” Executive Agency “Automobile Administration” EA “MA” Executive Agency “Maritime Administration” EA “EMDR” Executive Agency “Exploration and Maintenance of the Danube River” EA “RA” Executive Agency “Railway Administration” EASA European Aviation Safety Agency EBRD European Bank for Reconstruction and Development EC European Commission ECE Economic Commission for Europe ECMT European Conference of Ministers of Transport (transformed into International Transport Forum) EIB European Investment Bank ERTMS European Rail Traffic Management System EU European Union GDP Gross domestic product GVA Gross value added ICAO International Civil Aviation Organization ISPA Instrument for Structural Policies for Pre-Accession ITS Intelligent transport systems MEET Ministry of Economy, Energy and Tourism MEW Ministry of Environment and Water MF Ministry of Finance MI Ministry of Interior 315 Mapping of current EU & SEE Regional policies MRDPW Ministry of Regional Development and Public Works MTITC Ministry of Transport, Information Technology and Communications NAVIBULGAR© Navigation Maritime Bulgare NRIC National Railway Infrastructure Company NSI National Statistical Institute OP Operational programme pass-km passengers-kilometer PSO Public services obligation RO-RO Roll-on/Roll-off transport TEN-T Trans-European Transport Network ton-km tonnes-kilometre UN United Nations 7 List of Figures Figure 1: Road freight transport, 2011 (1 000 tonnes)- Source: Eurostat (ttr00011) Figure 2: Air freight transport, 2011 (1 000 tonnes)- Source: Eurostat (ttr00011) Figure 3: Gross weight of seaborne goods handled in ports, 2010 (1) (million tonnes) Figure 4: Map of the Republic of Bulgaria Figure 5: Map of Bulgaria’s general transport network Figure 6 (Chart 1.1): Expected growth of transport performance for 2009-2020 (“Stable Growth Rate” scenario) Figure 7: Expected freight and passenger growth of transport performance for 2009-2020 (“High Growth Rate” scenario) Figure 8: Expected growth of freight transport – total, and by transport modes Figure 9: Expected growth of freight transport by land – total, and by transport modes (road and railway) – million tonnes-km Figure 10: International inland waterways freight flows for 2020 – p. 69 Figure 11: International rail freight flows for 2020 Figure 12: Goods transport in ‘000 tonnes, Croatia 2001-2011 Figure 13: Goods transport (tonne-kilometers), Croatia 2001-2011 Figure 14: Pan-European corridors and their segments in Hungary Figure 15: Hungarian Network Planning Agenda Figure 16: Intermodális LSZK – Intermodal Logistics Centre, Regionális LSZK – Regional Logistics Centre, Helyi LSZK – Local Logistics Centre Figure 17: The organizations structure of the National Hungarian Innovation System Figure 18: Comparison between ms, as to rail freight Figure 19: 2010 greenhouse gas emissions in transport sector in Italy compared to national emissions in total Figure 20: Global CO2 emissions from transport have grown by 49,35% from 1990 to 2008 Figure 21: Share of Transport Sector in Overall CO2 Emissions and Distribution of CO2 Emissions by Mode in Serbia Figure 22: Trend in Emissions of Air Pollutants from Transport in Republic of Serbia Figure 23: Trend in Emissions of Air Pollutants from Transport in EEA-32 Figure 24: Policies for supporting low-carbon technologies 316 Mapping of current EU & SEE Regional policies 8 List of Tables Table 1: Modal split of inland freight transport, 2000 and 2010 (1) (% of total inland tkm) Table 2: Index of inland freight transport relative to GDP, 2000-2010 Table 3: Basic Transport Data Table 4: Freight transport Table 5: GHG Emissions from Transport - Million tonnes Table 6: GHG Emissions from Transport 2007 BY MODE/ Million tones Table 7: Energy Consumption in Bulgaria Table 8: Goods transport and traffic, Croatia 2001-2011 Table 9: Freight volumes (Eurostat facts) Table 10: GHG emissions (Eurostat facts): Table 11: Rate of change of energy consumption by end-use sector Table 12: Average external costs 2008 for EU-27 by country and transport mode (excluding congestion) Table 13: Freight transport in Hungary Table 14: Regarding the safety aspects of freight transport the following directives are applied in Hungary: Table 15: Hungary applies the following rules, regulations and EU directives regarding emissions: Table 16: In the case of reduction targets, Hungary applies the following regulations and government decisions Table 17: Hungary applies the following EU regulations regarding vehicle technologies: Table 18: Hungary applied the following regulation in terms of transport planning: Table 19: Specifically focusing on transport the following national and EU regulations are in use in Hungary: Table 20: The prices of authorisation, including VAT, are as follows: Table 21: Environmental Taxes and Charges in Hungary are containing the following elements: Table 22: External costs Table 23: Average external costs of freight transport, €/1000 tkm, 2000 Table 24: Regarding the internalisation of external costs the following regulations are applied in Hungary: Table 25: Goods transport and traffic, Serbia 2008-2011 Table 26: Basic indicators of inland waterway transport, 2007-2011 Table 27: Goods traffic at river ports, 2007 – 2011, thous. T Table 28: Pillars and Priority Areas Table 29: CO2 emissions in Serbia 1990 -2008 Table 30: Breakdown of the main GHG emissions by sub-sectors and BAU projections for 2020 Table 31: Emissions reductions obtained by the implementation of reduction measures in 2020 Table 32: Key performance indicators Table 33: Total state budget expenditure limits for 2011-2013 (in EUR*) Table 34: Total Expected New Grant Commitments in the Transport Sector (in EUR) Table 35: Goods transport and traffic, Slovenia 2000-2011 317 Mapping of current EU & SEE Regional policies