East West Transport Corridor Ii

January 2012, № 1/12 (special edition) ISSN 2029-4212 EWTC

Newspaper for the transport professionalS

The EWTC Association as an instrument for the implementation of the EU Eastern Neighbourhood policy. 2 EWTC EWTC ASSOCIATION A new instrument for the implementation ACTION PLAN 2012 of the new EU Eastern Neighbourhood Policy

A. TO ESTABLISH THEMATIC EWTCA WORKING GROUPS

the groups should: - identify main problems and bottlenecks in functioning of the EWTC; - propose measures to avoid and prevent obstacles in functioning of the EWTC; - propose actual measures into agenda of the EWTCA activities.

• Working group on stakeholders cooperation along the EWTC; • Working groups on freight operations along the EWTC; • Working groups on customs, regulatory and administrative procedures along the EWTC; • Working group on research and development along the EWTC; • Working group on passengers transportation; II quarter 2012 B. TO DEEPEN COOPERATION BETWEEN EWTCA MEMBERS, STAKEHOLDERS ALONG THE EWTC

• To prepare the budget calculation of Association for 2012 (I quarter of 2012); • EWTCA Forum in China (I half of 2012); • EWTCA Forum in Germany (III quarter of 2012); • Quarterly EWTCA newsletter; • To facilitate coordination and information exchange between partners, broadening usage of EWTCA web bfl portal by EWTCA members (Regularly); • To organize Council meetings (II quarter of 2012, IV quarter of 2012). C. TO PROMOTE EWTC AND EWTC ASSOCIATION he transport and logistics sector is one of tion, Sweden and Ukraine. Tthe key sectors enhancing national activ- The Lithuanian Government welcomes • To prepare informational brochure about EWTCA members; ity in the global economy. Due to the globali- and supports the activities of the Interna- zation, the management and co-operation of tional Association EWTC, whose efforts to en- • To present EWTCA to members of the European Parliament (in cooperation with EIA) June 2012; the transportation systems, as well as their hance transport and logistics services con- • To present EWTCA in the European Commission Eastern Partnership Transport 2nd Panel (2012 February); co-ordination, have turned into a significant tribute to the development of internation- challenge which calls for joint efforts by all • To provide information about activities and opportunities of the EWTC through mass media (Regularly). al trade between Europe and Belarus, Russia, the counties of the relevant regions, as well Ukraine, Kazakhstan and the Far East coun- as all other players located along the global tries (e.g. China). D. supply chains. Therefore, with a view to form- The East-West Transport Corridor Associ- ing global intermodal logistics chains, differ- TO EXPAND EWTCA THROUGH ATTRACTING STAKEHOLDERS FROM NEW COUNTRIES ation has a significant role in deepening co- ent means and instruments uniting the ef- operation between the container train VI- forts of different transport modes, business KING partners and developing relations be- • Countries of TRACECA network; structures, and research institutions have cur- tween Baltic and Black Sea regional business- rently been actively discussed and promoted. • Turkey. es. Growing competitiveness inspires us to cre- As members of the Association, Lithua- ate new forms of cooperation to effectively nia, Belarus, Kazakhstan and China have ap- E. solve transnational transport problems and to find best solutions to current challenges. peared to be the most important “locomo- TO DEEPEN EWTCA RELATIONS WITH SHIPPERS The East-West Transport Corridor Associ- tives” in initiating and carrying out the con- ation was established in June 2010 with the tainer train project the SUN (China-Western • Through EWTCA members in EWTC countries to collaborate with chambers of commerce, industrial fede- aim to improve the competitiveness of global Europe via the Baltic Sea region). rations and individual companies (Regularly). East-West Transport Corridor linking the Bal- Thus, we are confident that the interna- tic Sea region and the Asian and European tional East-West Transport Corridor Associ- F. countries around it. ation can successfully serve as a new instru- The Association unites partners represent- ment for the implementation of the new EU TO INCREASE FINANCING OF EWTCA ACTIVITIES ing business, academic and public structures Eastern Neighbourhood Policy. from twelve states, namely Belarus, Belgium, • To prepare the application for EU funding (II quarter of 2012). China, Denmark, France, Germany, Kazakh- Prime Minister of Lithuanian Republic stan, Lithuania, Mongolia, Russian Federa- Andrius Kubilius EWTC 3 East – West transport corridor Association as an instrument for the realisation of the EU Transport Policy andriaus ufarto / bfl / ufarto andriaus

ropean Union Presidency (Szczecin, 22/9/20). Considering the positively recognized activity of the Association which stands along the effective cooperation of its members with public authority and business structures, the existing experience of coordination of the corridor might be also applied to the Baltic Sea - Black Sea Corridor, namely the shuttle train “Viking” running from Klaipeda through Minsk and Kiev to Odessa (Ilyichevsk port). We are inclined that the closer transport market integration beyond the EU’s offers new market opportunities for companies both in the EU and in the neighbouring countries. Closer integration between the transport and logistics markets of the EU and ENP countries can make transport connections faster, cheaper and more efficient. The western part of the East-West transport corridor, which consists mainly of ports and hubs situated in southern part of Baltic Sea, is prosperous in terms of cooperation and tight- ening links between Eastern and Western Eu- ropean partners as the container train “Viking” shutterstock is important in handling flows between the port of Klaipeda and the ports of Karlshamn in Sweden and Sassnitz in Germany. Other plans in the short term agenda contain realization of the new container shuttle trains, namely between ports of Klaipeda/Kaliningrad and Mos- he International East West Transport Cor- ment for regional and inter-regional coopera- Transport „Roadmap to a Single European Trans- cow transport hubs, as well as China/Kazakh- Tridor Association was established in June, tion, uniting representatives from business, ac- port Area – Towards a competitive and resource stan and the rest of EU. The pilot shipment Ka- 2010, with the aim to improve the competitive- ademia and public structures with the prima- efficient transport system“ and the realization of zakhstan-Rotterdam was already executed ness of the East-West transport corridor link- ry task to reach high level of mutual dialogue a green corridor concept through the formation successfully in the October, 2011. ing the Southern part of the Baltic Sea region that would lead to the most environmentally- of intermodal transport corridor flows, linking Eventually, we express our hope that the and the Asian and European countries beyond friendly, sustainable, efficient and safest con- Europe with the third countries, namely, China, East–West Transport Corridor Association will it. The members of the Association are from nections for freight transport in the East –West Kazakhstan, Mongolia, Russia, Ukraine and Be- be recognized by the Commission as an in- twelve states, namely, Belarus, Belgium, China, intermodal transport corridor larus. To obtain the closer cooperation and effi- novative instrument for the implementation Denmark, France, Germany, Kazakhstan, Lithua- Since its establishment the EWTC Associa- ciency of transport corridor, embracing EU and Eastern Partnership Policy in transport sector. nia, Mongolia, Russian Federation, Sweden and tion has already achieved and implemented non-EU countries, the Association primary fo- This goes with the attitude of the Communi- Ukraine. The biggest transport and logistics ac- several important initiatives reducing the bot- cuses on the promotion and implementation cation “A New Response to a Changing Neigh- tors across the corridor are: Lithuanian Railways, tlenecks and facilitating the functioning of the of common KPI’s and common standards of ser- bourhood” where the Commission seeks for Ukraine Railways, National Company Kazakh- East-West transport corridor. Some of them vices compatible with green transport concept transport co-operation in neighboring coun- stan Temyr Zholy, Asia Continental Landbridge are worth mentioning. First, the EWTCA initi- along the entire East-West transport corridor. tries, “aiming at closer market integration in Logistics Association Council, Berlin-Branden- ated project to test the monitoring system by Through these mechanisms the Association the transport sector, notably extending trans- burg Logistic Network, VPA Logistics, JSC Plaske, using innovative the e-Seals method for the aims at tightly linking European Neighbour- European transport networks (TEN-Ts) to part- Tuuchin Co. Ltd., Belintertrans JSC, Lithuanian tracing carriage arrival at the control stations. hood Policy and European Transport Policy and ner countries, addressing administrative bot- National Road Carriers’ Association Linava, Lith- In the particular case the container transpor- extending the instruments of these policies to- tlenecks with a focus on safety and securi- uanian National Freight Forwarders Association tation form Turkey to Lithuania was tested. As wards neighbouring countries. As it was men- ty issues”. Considering our ongoing activities LINEKA, Port of Karlshamn, Hohhot Export Pro- the part of Brokerage Information System this tioned before, the EWTCA has already contrib- and contribution to the closer cooperation cessing Zone, Terminal of Mockava, Lithuanian method might be successfully applied to the uted to facilitating the co-operation between between different partners and agents along Stevedoring Companies Association, Lithuani- EWTC operational activity in the future. Second, Baltic Sea and Black Sea Regions and the results East-West axis and the fruitful the first results an Intermodal Transport Technology Platform, the EWTCA efficiently contributed to the devel- were presented in several major internation- already achieved, we are aware that the East– DFDS Sea ways, Region Blekinge, Karlshamn city opment of KPI’s and Brokerage Information Sys- al events: EWTC Association Forum (Odessa, 27- West Transport Corridor Association may be- Municipality, Baltijsk Municipal District, Vilnius tem along the East West transport corridor axis, 28/5/2011), the Round Table discussion between come an effective and successful instrument to Gediminas Technical University, Wismar Univer- introducing it within shuttle train Viking con- the EWTCA and EIA (Brussels, 22/6/2011), the implement the EU Eastern Partnership Policy. sity of Technology Lohr industrie and etc. The necting Klaipeda – Odessa/Ilyichevsk ports. 19th OSCE Economical and Environmental Fo- European Intermodal Transport Association (EIA) Obviously the tasks and functions of the As- rum (Prague, 15/9/2011), the international con- Dr. Algirdas Šakalys is among the Association’s partners also. sociation stands along the key priorities of the ference “Green Corridors – Multimodal Sustaina- President of the East –West Transport corri- The Association is an innovative instru- new European Commission White Paper on ble Transport System” held under the Polish Eu- dor Association, Director of the CCITL of VGTU 4 EWTC EWTC – a glance at the futu re transport

It is obvious that East – West transport flows will increase dramatically, despite the temporary efect of the current global economic crisis. Transport systems should be prepared to accommodate the growing demand for transport and logistics. At the moment special focus is emerging towards the development of land transportation from China and other Far East and Central Asian countries to CIS and European countries.

sian markets are growing despite the benefits of such a transport mode, land trans- As Minister E. Masiulis notes, East West fits, cooperation between different stakehold- “A fact of economic recession, the po- portation is almost 3 times faster. Although Transport Corridor (EWTC) is a strategy from ers within the global supply chain is needed. tential of trade cooperation is huge. Annually land transport corridor exists, only 5 percent Lithuanian point of view to create an effective Lastly, EWTC is a useful tool for governments there are transported over 8 billion. tons of car- of cargo flows are transported by rail or trucks. transport and logistics corridor on the East- to combine the efforts to facilitate needed im- go from Asia. Land corridors have not been fully exploit- West axis, and connecting Asia-Europe in a provements, for transport and logistics busi- For Baltic Sea Region the message is clear ed for some of the economic conditions: lack competitive way to another alternative trans- ness community to speak with governments – we aim to become an attractive region for of common tariff policy, the absence of harmo- portation chains. and cooperate for gaining competitive advan- logistics and transport of goods in the East – nized border control procedures, bureaucratic tage. Agenda for developing skills and qualifi- West direction”, – says Chancellor of the Min- barriers and the lack of infrastructure. Howev- Defining EWTC cation of logistics specialists in the context of istry of Transport and Communications Almi- Asia-Europe connections would be a task for er, countries such countries as China, are mak- EWTC is geographically defined infrastruc- nas Mačiulis. EWTC platform of researchers. ing huge efforts to allocate funds to develop ture linkages and intermodal transportation infrastructure links with neighboring coun- route between Asian countries (China, Kazakh- Potential for land transportation tries. stan et al.), Russia, Belarus, Ukraine, countries Expanding the initiative The growing demand for transport along Moreover, together with Chinese transport of Black Sea Region, Southern Baltic Sea Re- The focus on the development of the EWTC East – West axis is a clear signal for govern- minister, minister of transport and communi- gion countries (Lithuania, Kaliningrad district, began with the Interreg project “EWTC I”. The ments to address the following issues: a need cations of Lithuania, Eligijus Masiulis, initiat- Northern Germany, Denmark, Southern Swe- initiators of this project were Lithuanian and for better interoperability between different ed the meeting of the first ever transport min- den) and the markets of Central, Western and Sweden stakeholders. However, more coun- infrastructures, standards and systems, as well isters of Asia-Europe Meeting (ASEM) in Vilni- Northern Europe. tries and organizations joined the initiative. as removal of physical and operational bottle- us, 19-20 October 2009. And the underlying EWTC is an attempt to form the effective The second phase of the project, EWTC II was necks, especially on the borders. theme of this meeting was exactly to address transnational supply chain, providing a vari- welcomed by the European Intermodal Trans- A. Mačiulis notes that the biggest cargo the challenges of Asia-Europe land transporta- ety of transportation and logistics services. To port Association, various counties Europe flows are now transported by sea. Despite all tion. achieve the synergy effect and enjoy the bene- and Asian counties ministries, rail companies,

Helsingborg

Baltijsk

Here are the old (red) – and the new (green) – east-west transport routes from a global perspective. The Green Corri- dor between Esbjerg and Vilnius is a natural part of a greater context, which ties together commerce in the world. EWTC 5 East West Transport Corridor II – EWTC – a glance at the futu re transport Highlights the Green Corridor Concept Lithuania, Belarus and Ukraine allow the train to cross the border in 30 min. To apply the same principle and reach the same benefit for other border crossings along EWTC route is required. Finally EWTC and its structures offer a framework for better linkages between the transport hubs and terminals as well as framework for improving the efficiency of the transport solutions in the EWTC to meet market demands. Development of the EWTC is a priority not only of Lithuanian Ministry of Transport and Communications, but also of the Government. There are actual plans of implementing the projects, connected with EWTC conception – development of Klaipeda State Sea port infrastructure, the “Rail Baltica” project, the railway network projects to improve cargo capacity and speed of transportation. In addition to infrastructure development, the Ministry of Transport and Communications and the Government priorities are to implement PPP principle in transport projects. “Next year we plan to implement a pilot project at- tempting to attract private funds”, says the shutterstock Chancellor. Future cooperation in EWTC Green cooperation stimulate Expected results Association economic growth Examples of end result of the project It is proved that challenges of today and Through international cooperation, the are: tomorrow can not be met by separate and in- aim of the project is to develop and work ewtC is as a Best Practice Case for Green dividual effort. Cooperation along the chain for efficient, safe and environmental frien- Corridor development is crucial. This assumption is reflected in the dly handling of the increasing amount of ewtC is a part of the EU commissions emerging interest of various business and goods going east-west in the south Baltic Action Plan for the Baltic Sea Region

andriaus ufarto / bfl / ufarto andriaus research stakeholders from China, Kazakh- region. The project will prepare stakehol- and is an integrated part of the Northern stan, Russia, Belarus, Ukraine, Lithuania, Swe- ders in the region to enhance sustainable Transport Axis. den, Denmark, Germany and others. Atten- transport planning and smart IT solutions a manual of how to develop a Green Cor- tion of Governments of Asian and European freight forwarders associations. in the field of transport. ridor in accordance with the EU’s trans- countries towards the development of Asia- “One of the biggest advantages of devel- This in combination with business deve- port policies and to offer stakeholders in European transport network is also evident. opment of the East-West transport corridor is lopment in the transport sector will stimula- the EWTC more eco-friendly transport al- The first Asia-Europe (ASEM) Transport Min- a fact that project is interesting both for the te the economic growth in the entire EWTC. ternatives than available today. isters Meeting was launched in Lithuania on public authorities and business companies. an innovative IT-based “Information Bro- 19 October 2009, with the ambition to create Willingness to participate in the project was al- ker System” for transport and traffic in- an Action plan and agenda for future work of Three main focuses: ready brought by China, Mongolia, Turkey, the formation which will increase efficiency ASEM Transport Ministers. 1) To make EWTC a good example of a Green Kaliningrad region public authorities, need- and reduce the environmental impact Second meeting will take place in China Transport Corridor in line with EU’s latest transport less to say about the interest of neighboring a manual of how to buy, sell, and plan in 2011. Within a context of the multifold de- policies also meeting market demands for more countries such as Belarus. The project takes on eco-friendly transports, which can be velopments, a tool or a structure is needed efficient and environmental friendly transports. a much larger scale than previously thought. used by different customers to combine the efforts of businesses govern- The project connects researchers and institu- 2) To develop an innovative pilot testing New business concepts for railway trans- ments and researchers along the EWTC. EWTC tions”, – says A. Mačiulis. ground where modern technology and infor- ports Association provides the Platform for coop- The main aim within the EWTC initiative mation systems contribute to increased effici- improved transport service in ports and eration and action. It is of special relevance is to establish EWTC Association and create a ency, traffic safety and security as well as re- terminals at the moment when historical opportunity secretariat. “We were able to demonstrate the duced environment impact in the corridor. increased transport competence among for land bridge between Asia and Europe to potential of this project to the European Com- 3) By stimulating new business models various stakeholders within the East be break through is viable from market driv- mission. EWTC stage II got funding from EU for e.g. railway transport supporting econo- West TC en perspective. EWTC Association will be the funds”, - adds A. Mačiulis. mic growth within the corridor in particular in improved infrastructure within the East flagman for promotion of vitality and effec- ports and inland hubs. West TC tiveness of the EWTC. And partners of Associ- The priority to EWTC ation should enjoy the future benefits, which Based on previous extensive research will be created jointly. EWTC II project has six Work Packages (WP) (2007) on the perspectives of EWTC, Strategy and Action plan of EWTC development were Aims and Framework of the EWTC for the Green Corridor Concept development prepared. Today, within a second phase of the project, the aim is to implement the Action Association he work will be carried out in a number ding an information broker system. Plan and to develop a Green Corridor Con- Among the main tasks of EWTC Associa- Tof work packages which will focus on In- WP 4 - Business opportunities in railway cept as a best practice case in Pan-Europe- tion are: to strengthen the cooperation be- telligent Transport Systems, development of transports an perspective in order to match market de- tween transportation, logistics companies, ports and terminals, business development Improve business opportunities in railway mands for growing freight transport in the intermodal terminal operators, shippers and of new railway concepts, Capacity Building, transports to strengthen the development of corridor as well as to and from the trading ar- consignees; to pursue simplification of pro- improved infrastructure and marketing of the hubs along the corridor as local/regional eas of EU, Russia and Far East (including Chi- cedures and documentations; to promote transport services offered in the corridor. growth centers, aiming for improved integra- na) with more efficient and environmental- the development of infrastructure and to de- WP 1 - Project Management and Admi- tion between the European market and Rus- ly-friendly transport solutions. EWTC also im- velop interactions among different transport nistration sia, Ukraine, Caucasus, Central Asia and Far plements the connection of the EU transport modes along EWTC. Also it provides the fo- Management support to the EWTC II project. East markets. These activities should have a network (TEN-T) with the networks of neigh- rum for researchers to launch the research WP 2 - Communication and Information. focus on creating growth in the corridor. boring countries (Belarus, Russia, Ukraine). and qualification improvement agenda for Communicate the project with partners WP 5 - Hub development That implies the multitasked agenda to im- Asia-Europe land-bridge logistics special- and other stakeholders that have an inte- Develop hubs/ports/logistic centers in prove transnational connections and condi- ists. The demand part of this agenda should rest in the development of the EWTC. Bran- the EWTC with a focus on growth and in- tions for businesses to operate along EWTC. be influenced heavily by companies. Lastly, ding of the East West Transport Corridor. termodality. Within the EWTC a pilot scheme for crossing EWTC Association will ensure that voice of WP 3 - Development of the Green Corri- WP 6. Corridor capacity support the EU-C1S border is used, drawing on the ex- business communities along EWTC will be dor Concept To simulate the impact of investments, perience of intermodal shuttle train “Viking”, heard in the governments of EWTC coun- To develop EWTC as a green trans- transport concepts, road taxes, bottleneck operating from 2003. Agreement between tries. port corridor by increasing environmental improvements and to support decision- awareness in all activities in the corridor. making for environmentally solutions. De- Support a modal shift from road to rail, im- velop concepts for dynamic speed control The first Asia-Europe (ASEM) Transport Ministers Meeting was launched prove road transports and to experiment and intelligent truck parking. Build up with all kind of innovative transport solu- capacity among different stakeholders in in Lithuania on 19 October 2009, with the ambition to create an Action tions included advanced ITS applications. the EWTC through selected education pro- plan and agenda for future work of ASEM Transport Ministers. Develop a Green Corridor Concept, inclu- grams. 6 EWTC EAST-WEST TRANSPORT CORRIDOR ASSOCIATION Council‘s Meeting In October 19 in Vilnius EAST-WEST TRANSPORT CORRIDOR ASSOCIATION (EWTCA) Council meeting was attended by 24 persons, 8 among themrepresented the EWTCA Council. Chairman of the meeting President of the Association Dr. Algirdas Šakalys made a EWTCA 1st year activity report and members had discussion onorganizations future goals. shutterstock

WTCA consists of 7business associations, of June, 2011); V.Zubkov expressed the importance of The EWTCA Action Plan E16 non-associated companies, 5 public ad- Association took partin the 19th OSCE Eco- common future vision ofthe Association. ministrativeinstitutions, 2 universities from nomical and Environmental Forum, Prague, Meanwhile, the Association mostly relies on M. Roos has delivered a comment concern- 12 countries (Belarus,Denmark, Kazakhstan, Czech Republic,(14-15th of September, 2011); Railway operatorsand forwarders, though the ing the aims, structureand the expected re- China,Lithuania, Mongolia, France,Belgium In the EWTCA meetin in Vilnius, Dr. A. road and inland water sectors should be mo- sults of the EWTC II project, mainly focusing (EIA), Russia, Ukraine, Swedenand Germany. Šakalys also emphasizedthe main goals and reactively involved in the activity of the Asso- on the Greentransport corridor organization The aim of the Association is to become a co- tasks of the Association in the nearest future. ciation. manual and the structure of InformationBro- operation platform for implementingGreen First of these goals - integrationof the East - T.Sankauskas draw attention to the idea kerage System. L.Zenevicius introduced the participants transport technology concept in practice: pro- West transport corridor of the Southern part of that the members ofthe EWTCA should more with the launchedwebsite fwww.ewtcassocia- mote innovations, newtechnologies, business the BSR in TEN-Tcore network. actively involve into cargo transportation be- tion.net) and possibilities of using it. models, management systems in transport- Also recognition of the Association as the tween Sweden and China. The forwarders from V. Ališauskas presented the systemof moni- ing process, newresearch on logistics schemes instrumentfor the European Eastern Partner- China are interested in consignors from Swe- toring using the e-Seals for the tracing and ar- and the implementation of the results. ship implementation in transport area and de- den.It was suggested to organize the meet- rival control of means oftransport as the suc- Dr. A.Šakalys informedthat during the peri- velopmentof the Black - Baltic Sea transport ing of the interested parties within theformat cessful example of Brokerage Information Sys- od of 2010 - 2011, the secretariat of the Asso- link. of the meeting which will be held by Lithuani- tem that mightbe applied to the EWTC activi- ciationtogether with the partners has organ- an Ministry of Foreign Affairsin Denmarkin the ty in the future. ized and/or presented the Association, itsaims end of this year. Discussion regardingthe Activity A. Arūna said, that the ActionPlan, draft- and activities in these main regional and glob- N.Urbonienė hasinformed that the respon- Report ed by the Secretariat, envisages the means al level events such as EXPO2010 in Shanghai, sible institutions of Lithuania, Belarus and Chi- towards further promotionof the EWTCA ac- where during the seminar and Round Table Dr. N. Wagener stressed, that the Associa- naactively negotiate with the governmental tivity, inner structural developments, im- discussion with therepresentatives of China tion should directits activity towards the trans- structures of Kazakhstan and Russiaseeking provements ofcommunication between part- International Freight Forwarders Association port hubs and developing the ways to facilita- that the latter countries would join the Decla- tethe accessibility to the hubs. The improved ners, the EWTCA enlargement with associat- (CIFA)and China Communications & Transport ration of cooperationconcerning the develop- accessibility may create favourableconditions ed members,ways to attract financial support. Association (CCTA) main projects werepresent- ment of the EWTC. with Rail Baltica link (Berlin- Warsaw-Kaunas). Consequently, when the Action Plan with- ed. The members of the Council accepted the In this context the link between the EWTC and inEWTC II framework of the Corridor develop- There also was a businessseminar in Klaipe- EWTCA 1st year Activity Report bycommon Rail Balticawould be very important. ment is prepared, the next step shouldbe the da and Karlshamn, Sweden (8-9th of Novem- agreement. ber 2010) and the EWTCA waspresented at the This is very relevantfor German industry. implementation of the more concrete means international conference in Fort Lauderdale, This issues concerning Rail Baltica will be dis- of business organization alongthe Corridor. USA (12-13th ofNovember, 2010), cussed inMacklenburg (Germany)in June, The acceptation of new members The Action Plan was submitted to the mem- Important forprojects presented by EWTCA 2012; the link of the EWTCA and Rail Baltica V. Kosovskij, the head of the non-profit bers of Association inJune; four proposals for werediscussed in The Coordination Council of might be considered thereas well. Mr. Wagener making organization Kaliningrad institute of- the Action Plan were received (these propos- VIKING meeting in Kiev, Ukraine (15-16thof also expressed the opportunities to promote regional space planning, development and in- als mainlyagreed with the means envisaged in March, 2011) and The EWTCAssociation Fo- the EWTCA in Germanyand strengthen the co- ternational relations has submittedthe appli- the Action Plan). rum „Role of the transport corridor East-West operation with associated transport structures cation for the EWTCA membership and famil- It was suggested to organize the meetings in extension ofeconomical cooperation be- inBerlin-Brandenburg region, iarized with the activitiesof the Institute. The of the Council twice a year and submit to the tween regions of Southern Baltics and Black V.Koshelev has informed that in October, Institute functions as the regional strategic re- Associationthe key concepts of further fund- Sea" in Odessa, Ukraine (27-28thof May, 2011). 2011, the Memorandum ofUnderstanding searchcenter engaged into promotion of the ing in the upcoming meeting. It was agreed EWTCA was presented in high levelRound ta- concerning the opening of the southern coast external relations with the developingEurope- toarrange the working group for the task. The ble discussion at the European Intermodal of the ferry lineBaltijsk-Sweden. This tool be- an regions. Moreover, the intention to obtain common agreement was expressed tospare Transport Association,Brussels, Belgium (22nd longs to EWTC II W5. the status of a nationalsecretariat of the EWT- the efforts in order to gain the political recog- CA representing Russia was expressed. nition of the EWTCA asthe effective instrument It was suggested to organize the meetings of the Council twice The Councildecided to approve the Mem- to implement the East-West Transport Corridor a year and submit to the Associationthe key concepts of further bership application. Together it was offered ActionPlan. In order to attain this goal, it is nec- toestablish the Russian national coordinator essary to seek that the EWTCAction Plan would funding in the upcoming meeting. It was agreed toarrange the institute, as the EWTCA Statuteallows only one become a part of the Strategy and Action Plan working group for the task. secretariat within the structure. for the BSR. EWTC 7 EAST-WEST TRANSPORT CORRIDOR ASSOCIATION Council‘s Meeting EWTCA • to strengthen the co-operation between transportation, logistics companies, intermodal terminal operators, shippers and consignees, national, regional and domestic authorities, science and research institutions along the EWTC; • to develop the links and services between the EWTC and different Europe-Asia regions; • to initiate the simplification of procedures and documentation; • to initiate of removing of bottlenecks in the development of infrastructure and operations; • to initiate and promote implementation of common KPI’s and services standards along EWTC (with focus on green transport); • to promote co-operation between private and public sectors; • to disseminate best practices and modern logistics solutions; • to support IT networks development among EWTC partners; • to represent the associated EWTC partners in the European Commission and international transportation organizations, as well as in national and regional authority institutions. andriaus ufarto / bfl / ufarto andriaus archyvo asmeninio

Stasys Dailydka, Sven-ake Svensson, Vice President of the EWTCA QUICK START OF EAST-WEST Chairman of “Lithuanina railways”: EWTCA Council meeting 2011 10 19 Railways are one ofthe most I am glad to notice that Lithuanian partners are environmentally friendly transport modes. very active in developing the EWTC Association. TRANSPORT CORRIDOR 2 PROJECT A few examples of the bestpractice The partners from Swede nactively sought that that could be applied for developing the concept of the Corridor would be recognized Green East-West TransportCorridor using at high political level, in particular, by the railway transport were mentioned. One Swedish ministry of infrastructure andother example - shuttle train Viking which administrative structures. The direct contacts of during the nine months of this year have the leaders of the Association with the European transported a record-high volume of Commission officials reveal that we are working containers- 43.6 TEU. Another promising towards the right direction. The activities taken example - container train Saulė which only within the project format entirely cannot willbe launched in November, 2011, and guarantee the effective operation of the corridor will take the route covering Lithuania, itself; it only creates the favourable conditions bfl Belarus, Russia and Kazakhstan. The project for tight cooperation between financial and is strongly supported by the government political supporters. The success of the Viking of Lithuaniaand Kazakhstan. Moreover, project displays that horizontal partnership y implementing „East-West transport corri- countries and freight forwarders. The company is dor II“ project it is planned to increase freight a member of a special initiative group created to there are plans to launch the permanent among business companies, universities B flows between Southern Baltic states through Li- establish “East-West transport association”. Imple- route of container train Merkurijus and political administrations might be very thuania, Belarus, Russia, Ukraine, Kuakas, Cen- mentation of this task preconditions increase of between Lithuania, Belarusand Russia beneficial. Information Brokerage System, tral Asia, China and countries of far East by using railway freight flows by Lithuanian territory. (Moscow). Regular contacts with transport which might be applied to the Association advantages of intermodal transport. Project par- forwarders and manufacturing enterprises activities, could function as the factor fostering tners are Swedish, Danish, German and Belaru- Shuttle trains for Belarus, Ukraine, Russia and Lithuania the trust worthiness of the partners. Using this sian science and state institutions and business All other tasks are more specific and com- organizations. Main project partner is adminis- are very important and vital for increasing instrument, we could demonstrate that due plements mentioned task. „Shuttle trains from tration of Swedish Bekinge region. transportation volumes within the Corridor. to the tight relations between the associated Klaipėda/Kaliningrad towards East“, which is be- Project will be implemented within EU The success ofthe project is entirely partners we have actually established the net ing implemented by JSC “Lithuanian railways and transport politic stressing importance of for- determined by the tight cooperation of the Corridor whichis capable of transporting its main goal is to analyze new logistic schemes matting “Green transport corridors” concep- between business, public institutions and cargo between Baltic Searegion and Asian and launch of new shuttle trains. The company is tion which is giving priority to railway trans- scientific community in implementing countries. The Council of region Blekinge already analyzing possibilities to develop shuttle port as one of most ecological and economical train “Viking” and to launch new trains from Klai- modern management solutions, investing accepted the directions of the EWTCA Action transport means and to sustainable integra- in infrastructure and equipment. The Plan and expresses the opinion that the peda towards Russia, Kazakhstan and other des- tion of all transport modes. Due to high impor- tinations. Due to continuous increase of contain- partnership between EU countries and membersof the Association should seek for the tance of railway transport to creation of “green erization a future for intermodal shuttle trains is Eastern neighbours (EU partners) is very political support for common actions as well as corridors” a separate set of task have been cre- very bright especially if we look at Chinas inter- important and Association shall effectively technical support to the Association from the ated which is called “Development of railway ests in a context Asian-Europe trade. contribute to the realization of this mission. third parties. transport business opportunities”. JSC “Lithuanian railways” have been assigned responsible for this set of tasks. In addition to Improving services that the company is responsible for imple- Entire company’s investment activity, mod- The summary of thedecisions of the Council menting three out of seven sets of tasks in ernization of infrastructure, rolling stock, signal- ing and communication systems, establishment 1. To ACCEPT the EWTCA 1st year Activity Report, delivered by Dr. Algirdas Šakalys. total including “Creation of common railway transport conception”. Main goal of this task of freight villages improve the quality of rail ser- 2. To ACCEPT the EWTCA Action Plan with the corrections (part A, B, C, E, F) in accordance to thecomments is to create a conception of smooth and con- vices along the East-West transport corridor. and remarks expressed during the discussion. The updated Plan shall bedelivered to the partners. tinuous freight transportation on East-West The accession to the European Intermod- 3. To address Dr. N.Wagener with a REQUEST to assist the Association in the development of partnership transport corridor and to make an action plan al Association (EIA), the participation in Lithu- among German business partners. for its implementation. anian Prime Minister’s Working Group, which 4. The members of the Council shall DELIVER the proposals concerning the content of Letter to European is supporting the project ,,East-West Transport Corridor II” and participation in the activity of Commissioners (till 09.11.2011). Future tasks Lithuanian Intermodal Transport Technolo- 5. To address Mr. M. Roos with a REQUEST to familiarize the EWTC members with the detailed recommen- There are different standards, different servic- gy Platform (LITTP) - all mentioned factors are dations about the practical application of Brokerage Information Systemin partners activities. es are being offer in regard to legal base of dif- promoting the development of railways trans- 6. To address Mr. L. Zenevičius with a REQUEST to prepare a User Manual for the EWTCA website www.ewt- ferent countries and different IT systems are be- port sector, efficient synergy among transpor- cassociation.net ing installed on railway sector in each coun- tation types along international freight corri- 7. To address Mr. Ališauskas with a REQUEST to deliver the detailed information regarding the E-seals tech- try. Therefore there are different railway models dors, raising the competitiveness of those cor- nologies and benefits of using it. in every country of East-West transport corridor. ridors and amounts of freights. This task is unique as to achieve goals it is crucial We hope that the East-West Transport Cor- 8. To ESTABLISH the Council working group for examining financial issues of the EWTCA. Mr. N. Wagener, to integrate interaction of different service mod- ridor Association will be effective coordina- Mr.M. Roos, Dr. A. Šakalys shall be included in the group. els of railway transport sector on methodological tion center for freights movement along cor- 9. To ADDRESS the Council Secretariat to prepare the Association Budget Plan for 2012, in accordance with level. In order to achieve this it is important to ridor. This center will improve the quality of the obligations envisaged in the EWTC II budget. identify the “bottlenecks” on East-West transport transportation services, remove existing “bot- 10. To AGREE on the requestof Kaliningrad institute of regional space planning, development and internatio- corridor and to make an action plan to eliminate tlenecks”, initiate effective schemes of logis- nal relations to become a member of the EWTCA and deliver a positive opinion regarding the decision to them. For implementation of this task JSC “Lithu- tic services and ensure competitiveness of the the members of the Association. anian railways” is cooperating with project part- East-West transport corridor in the interna- ners, railway transport companies of neighboring tional logistic networks. 8 EWTC The Train “SaulE” Is JOINING the East and the West On her official visit to Kazakhstan, President Grybauskaitė agreed with Kazakh President Nursultan Nazarbayev to support on the highest level the project of the shuttle container train “Saulė” (The Sun) 2011 and to put best efforts to launch the project already this year.

10.929 kilometres in 18 days 2011-10-28 Chongqing (China) 2011-11-03 Dostyk (Kazakhstan) 2011-11-10 Kena (Lithuania) 2011-11-15 Antwerpen (Belgium) bfl

ietuvos geležinkeliai” (Lithuanian Rail- ridor by way of contributing to the rapid de- zakhstan, Russia and Belarus belong to a sin- tics”, Lithuanian and foreign railway admin- “Lways) operates a modern rolling-stock velopment of logistics infrastructure in both gle customs zone, so it is expected that pre- istrations. “It is a major challenge for the en- fleet, properly maintains and regularly up- countries. President N. Nazarbayev empha- cious time will be saved as far as customs tire Lithuanian transport system, but we be- grades its infrastructure, makes investments sised that Lithuania is Kazakhstan’s top-prior- clearance is concerned. Cargo will be trans- lieve that the synergy that has been achieved in the development of intermodal terminals ity partner in the Baltic Sea region. According ported in containers, and it is most likely that among the country’s airports, railways and in Vilnius and Kaunas, is in constant pursuit to the Head of the State of Kazakhstan, the it will be expensive electronic equipment. Klaipėda Port by virtue of the transport pol- of new opportunities for development and Lithuanian President’s first official visit has Upon arrival to Šeštokai, cargo will be trans- icy that has been implemented in an effi- is working towards widening the circle of its served as a new impulse for raising bilateral shipped and will be further transported by cient and targeted manner by the Ministry partners both in the Eastern and Western di- economic relations to a higher level. rail of the gauge of 1435 mm in width to Ant- of Transport and Communications will ena- rections. In order to efficiently service the an- In the joint statement made by the Heads werpen (Belgium). The Chinese are interested ble to achieve best possible results and most ticipated cargo flow, “Lietuvos geležinkeliai” of the States of Lithuania and Kazakhstan, in trying the land road”, – said R. Kozyrovičius. substantial benefits for the interested par- (Lithuanian Railways) ought to purchase support is expressed for deeper coopera- The train “Saulė” (in the Kazakh language a ties”, – said S. Dailydka. about 240 platform wagons in the nearest tion in international organisations, and it has very similarly sounding word “saulė” (sun) de- future. It is estimated that the price of such been agreed to strengthen mutual trade and notes a “ray”) has been named by both Pres- Business Council purchase would amount to approximately 50 investments, to develop mutually beneficial idents as a strategic project of cooperation million Litas. relations in the energy field, to foster bilat- between Lithuania and Kazakhstan. Established Railways are one of the most ecological eral cooperation in the fields of agriculture, At the Lithuanian and Kazakhstan Busi- means of transport, and, for this reason, the food industry, chemical industry, law and law ness Forum during the Lithuanian President’s implementation of the project “Saulė” is ex- enforcement, education and culture, health Operator – “VPA Logistics” visit, the Business Council was established, pected to enable further development of the care, tourism and sports, combat against ter- The operator of the container train “Saulė”, which will take care of business relations “green” transport by way of joining Europe rorism and organised crime. which is to run between Lithuania and Ka- and implementation of specific projects.T wo and Asia with the logistics bridge of Lithua- zakhstan, will be Private Limited Liability business associations and 40 entrepreneurs nia. Interested in Trying the Company (UAB) “VPA Logistics”. This has been from Lithuania attended the Forum. “It is the Land Road quite recently approved with signatures by first time after 20 years that we will have a A Revolution in the Stasys Dailydka, General Director of AB “Li- joint Business Council, which will take care of Next year, for commemoration of the etuvos geležinkeliai” (Lithuanian Railways), business projects that are beneficial to both Freight Carriage Market twentieth anniversary of diplomatic relations, and Darius Beinortas, General Director of countries. Namely business relations are the “The shuttle train, which is to reach Chi- the Head of the State has invited the Kazakh UAB “VPA Logistics”. best foundation for developing bilateral rela- na within a week, is a revolution in the freight President to come to Lithuania. As one mem- Container trains will run regularly on the tions between the states“, – spoke President carriage market. It not only ensures benefits ber of the Lithuanian President’s delegation following routes: Draugystė Railway Sta- Dalia Grybauskaitė. for the economy of the country for the dec- to Kazakhstan – Romualdas Kozyrovičius, tion (Lithuania) – Dostyk Railway Station (Ka- As the Lithuanian President stated, the ades to come, but also is the best offer for Eu- Adviser to General Director of AB “Lietuvos zakhstan) – Draugystė Railway Station (Lith- train “Saulė” has become the top-priority pro- rope and China which are looking for inter- geležinkeliai” (Lithuanian Railways), said, im- uania) and Šeštokai Railway Station (Lithua- ject of cooperation between Lithuania and connections. This project may become the mediately after the visit paid by President nia) – Dostyk Railway Station (Kazakhstan) – Kazakhstan, which is also of great impor- stimulus of the Lithuanian and Kazakh econ- D. Grybauskaitė, some specialists from the Šeštokai Railway Station (Lithuania). In the tance for the country’s business as well as for omy and for this reason we will support it at Freight Transportation Directorate were sent future, cargoes will be transported between the whole state. At the Business Forum, the the highest level”, – emphasised the Head of to the Dostyk Railway Station in Kazakhstan Kazakhstan and China as well as between Ministers for Transport signed an interdepart- the State. at the Chinese frontier. The purpose of their Lithuania and Belgium. mental agreement on the cooperation of rail- When shipped by sea, cargoes reach Eu- trip was to coordinate all the issues pertain- “We hope that the first ray of the project ways, which is to contribute to a smoother rope from China in 40 days, but when the ing to the launching of the train “Saulė”. “It is “Saulė”, which initially is to join Lithuania and implementation of the “Saulė” train project. shuttle container train is to be launched, 10 planned that cargo from China to the Dostyk Kazakhstan and later is to join Western Eu- The Presidents of both countries described it days will be sufficient.T he Presidents of Lith- Railway Station will be delivered on the 30th rope and China, will inspire for aspiration of as strategic and expressed support for it on uania and Kazakhstan announced a joint of October, and on the immediately follow- the common goal – to create an efficient in- the highest level, whereas the Ministries of statement with focus on particular attention ing day it will leave and go through Kazakh- termodal logistics chain between the East Transport have already taken certain steps so to the formation of the intercontinental cor- stan, Russia and Belarus towards Šeštokai. Ka- and the West”, – said Stasys Dailydka, Gener- that the train would start moving already this al Director of AB “Lietuvos geležinkeliai” (Lith- year. uanian Railways). According to the Head of the State, the As the Lithuanian President stated, the train “Saulė” has become According to him, the realisation of the new transport connection between Klaipėda the top-priority project of cooperation between Lithuania and project is the result of several years’ joint and and Almaty, extending the route up to the efficient cooperative work of the Office of China’s border, which can be covered in ten Kazakhstan, which is also of great importance for the country’s the President, the Ministry of Transport and days, is a guarantee of fast exports of pro- business as well as for the whole state. Communications, Klaipėda Port, “VPA Logis- duction, ensuring economic benefits for the EWTC 9 The Train “SaulE” Is JOINING the East and the West bfl bfl bfl bfl

Stasys Gudvalis, Deputy Chief Executive Officer of Galymzhan Koishybajev, Kazakh Mindztao Tong, Chinese ambassador to The railway corridor between Europe and Asia JSC Lithuanian Railways and the Head of the Cargo Ambassador to Lithuania Lithuania can be or already is the new revolution in the Transportation Directorate The fact that the train “Saule” reached I would like to express my congratulations within transport. The train, named “Saule”, which This event is important, because we greeted the first Kazakhstan so fast is very important to our arrival of this train from China’s city Changchun began its journey in China and went to Europe cargo carrying train, which unites Asia and Europe and country. This result was reached just one trough Kazakhstan to Lithuania. This is a 20 through Kazakhstan, Russia, Belorussia and runs right through Lithuania. The next country to meet month after the meeting of the president of year anniversary for the establishment of the Lithuania, marks the new era of transport “Saule” is Poland and then through Germany it will reach Lithuania and Kazakhstan. Furthermore, this diplomatic relations between Lithuania and connections. This project is the synthesis of all its destination – Belgium, Antwerpen. The computer could not be done if all the institutions were China, so during the past two decades, the further institutions working together. technologies carried by “Saule” from Antwerpen went not working together on the same thing. relations between these two countries have been Scientists also have a share in this event, straight to Holland by ship. However, nowadays cargo The name of this cargo-carrying train “Saule” developing smoothly with all co-operations in because they are the ones, who calculated all travels by sea takes 40 days, but this train can reach can be interpreted very symbolically. As various fields. China consistently tries to co-operate the odds. Five years ago nobody could imagine the destination three times faster. These trains are in the Lithuanian “Saule” means the sun, with Lithuania in transport sector and is devoted that railway systems can compete with the sea also environmentally friendly, so it does not need a in Kazakh it means the ray of sun, so this to promote and develop the Euro-Asia transport transport, but now it is proven, that railways shunting work, while crossing over the borders. This train is the ray of sun from the East to the corridor. During first meeting held in Lithuania in can be as same reliable, fast and safe. The train can carry all sort of cargo: chemicals, oil, dangerous West. Now, I believe, trains must run in 2009 China signed declaration with Lithuania and advisor of Lithuania’s Prime Minister Algirdas fertilizers. We also have other examples of well both directions. We are pleased, that the other Eastern countries, which purposed to develop Šakalys says, that it was very imporant for working long distance travelling trains like “Viking”, but train could reach Europe so fast and I think this corridor in to important international transport Lithuania, that even two local companies “Saule” has yet traveled the longest distance. The main that the talks of the new revolution should route for all the countries along the corridor. This „Lietuvos geležinkeliai“ and „VPA logistics“ difference is that if you put the same amount, which become real, because there are no other declaration made the conditions of transportation took their share in this project. However, it can carry this train, of the cargo on the auto transport, words to describe this event. I believe that for China between Lithuania, Belorussia and other is very hard for railways to compete with the you will get eight kilometers. Just imagine how difficult the agreements between Kazakhstan, countries much easier. sea transport rates, but it is believed that the travel would get. The train “Saule” will be returning Russian and Belorussian customs made the With the efforts of the Ministry of Transport by analyzing all the issues, this project will with the electronics, frozen food and home appliances. great share in getting the train to reach the and Communication of the republic of Lithuania begin the new age of transportation. It is very This train did get late to reach the Russian border form borders in time. We believe that this is only and the institutions of China we can be proud important that all members of EWTCA were a Kazakhstan however, while running through Russia it the first step on developing this project. of the good results and I’m happy to see the locomotive of this project. It is essential, that increased its pace and reached Belorussia three hour Next year we will celebrate the 20 year successfulness of this transport corridor. I believe communication and transportation between earlier. I don’t believe that Kazakhstan can be a problem anniversary of co-operation with Lithuania that this event marks the new era of the transport European states and other continents became in this situation. All the problems are always situated in and I think that this project is the shift in and it will make the connections between Europe much faster. This will change the whole the end and the beginning of the route. collaboration in economic relations. and Asiastronger. understanding of transport.

country’s people in the decades to come. The in this province to transport their cargoes to sia, Belarus, and Lithuania. Upon arrival to the should be successful. Head of the State of Lithuania emphasised Western Europe across Lithuania. The Gover- Port of Klaipėda, the cargoes would be fur- Pursuant to agreements with China, con- that this strategic project also would serve nor of Sichuan Province was familiarised with ther shipped to the West or would be trans- tainer trains should run to Lithuania from the as an impulse for other, smaller business pro- the project of the container train “Saulė”. The ported to Poland by rail or trucks”, – said E. Chongqing city in Sichuan Province, situated jects. first test train from the frontier of China and Masiulis. in the centre of China. The rapidly developing Kazakhstan offers Kazakhstan has already reached Lithuania. He is convinced that, after ensuring con- This week, E. Masiulis is to participate in for Lithuanian entrepreneurs new business “Chinese companies, which export their venient transport communication, fast state- China in the second Asia-Europe Transport opportunities not only in the transport, but production to Western Europe, could make border crossing and competitive prices for Ministers’ Meeting (ASEM). The first meeting also in the logistics sector. Kazakhstan has al- use of the new road across Kazakhstan, Rus- services, the new route across Lithuania was held two years ago in Lithuania. ready more than 20 Lithuanian business companies operating in the services-, food industry-, metalwork export-, and health care sectors. Lithuanian experience is important in the medicine and construction sectors. Both countries are already cooperating in the field of cardiology. Hundreds of Kazakh medical physicians are being trained and prepared at Lithuanian universities. Our architects have won the tenders for the projects of Astana’s National Theatre and Russian Drama Theatre. Besides, Lithuanian entrepreneurs are ready to invest in the manufacture of solar cells, optical storage media as well as food processing factories, and are likewise ready to help with the modernisation of the tele- communications market. According to the President, economic cooperation and business relations with Kazakhstan are of great importance for Lithuania as this opens large markets. Introduced to the Chinese Governor During his recent visit to China, Eligijus Masiulis, Minister for Transport, met with Ji- bfl

ang Jufeng, Governor of China’s Sichuan Province, and invited companies operating 10 EWTC East-West direction: shuttle train Mercury Lithuanian Railways is successfully implementing the intermodal project Mercury. At the present moment the ways are being sought how to implement this project as successfully as possible – further cooperation has already been agreed with railwaymen from other countries. shutterstock

articipants of the international conference it is thought that they will not be lower than P“Project Mercury. Development and Pros- usual. pects”, arranged by Lithuanian Railways in Vil- If everything goes on as per the sched- nius in 2011 discussed possible new route. The uled and thoroughly analysed plan, then the intermodal container train Mercury will apply combined-transport intermodal train Mercu- from Kaliningrad and Klaipėda ports via Vilni- ry will ply between Kaliningrad and Klaipėda us to Moscow. It is thought that this route will ports as well as Moscow logistics centres. “De- help to attract new freight and container lines. velopment of intermodal transportations is Representatives of both Lithuanian and Rus- the top-priority area not only of Lithuania, but sian railways agree on the need for this train also of many other countries. It is worth not- and its route. In specialists’ opinion, Mercu- ing that more and more interest in such servic- ry could take in up to 114 traditional sea con- es is shown by business companies, while containers (TEU) and by one voyage would replace tainer shipment trends keep growing up by about 100 trucks. approximately 10 percent each year”, – said T. At the conference, discussions on issues Keršis. of refurbishing and reconditioning the combined-transport train Mercury were taking place among potential train operators and In pursuit of attracting entrepreneurs Baltic sea shippers: representatives from Lithuanian, It was suggested for the participants of shutterstock

Russian, Belorussian and Kaliningrad railways. the discussion to employ joint efforts and to shape competitive tariffs for road transport, to Ports to be connected with Moscow raise the quality of services rendered, to apply contemporary information technologies and nights. “A train of 57 wagons can replace 80–90 of train drivers”, – said T. Keršis. “Firm steps of project implementation are to develop the partnership by attracting the road container carriers and can cross the bor- Lithuanian Railways assures that the train being taken: the working group for its imple- der in half an hour. Such transportation mode business sector and encouraging it to use the Mercury can become an exemplar of freight mentation has been formed; meetings are be- is also efficient when it comes to human re- “green transport” services. T. Keršis says that transportation along the route Klaipėda- ing arranged; technical details are being co- sources – the train is serviced only by one crew Minsk-Moscow. “I am sure that strategic deci- ordinated. It is planned that the Ministry of when frontier checkpoints were being set up sions that have been passed today with regard Transport and Communications, Customs-, there were no estimates made for servicing to the development of the container train Mer- Border-Guard Services and respective institu- such transport flows as now are crossing the tions from other states will participate in the borders and, therefore, there ensue queues cury can be very beneficial not only for “Lietu- project”, – said Tomas Keršis, Director of the of many kilometres. Standing in such queues, vos geležinkeliai”, but also for the entire trans- Commerce Department of the Freight Trans- drivers have to wait even for several days and port system”, – said T. Keršis. portation Directorate of Lithuanian Railways . According to him, specialists expect that the growing volumes of container shipments will give an opportunity for this train to start LATVIA plying already from the next year. It will be pos- RUSSIA sible for containers from Klaipėda and Kalinin- Klaipėda Radviliškis Moscow grad ports to reach Moscow fast and safe. Pres- ently, an analysis is being conducted for con- LITHUANIA tainer shipments in this direction; it is sought Baltic sea to identify the possible cargo base. Kaunas Krasnoe Kaliningrad Kena Possible to be extended to Nesterov Smolensk RUSSIA Kybartai Kazakhstan Vilnius Gudagoy Osinovka According to T. Keršis, Mercury has good prospects for development; there is a possibility of extending the train’s route to Kazakhstan. Minsk Specialists have estimated that the train can carry about 106 TEU at one time. So far, transportation tariffs are still being negotiated, but POLAND BELARUS At the conference, discussions on issues of refurbishing and reconditioning the combined-transport train Mercury were taking place among potential train operators and shippers: representatives from Lithuanian, Russian, Belorussian and Kaliningrad railways. EWTC 11 VIKING – BEST PRACTICE EXAMPLE artūro aušros artūro

y implementing „East-West transport cor- The priorities been created which is called “Development of methodological level. In order to achieve this ridor II“ project it is planned to increase railway transport business opportunities”. JSC it is important to identify the “bottlenecks” on B Project will be implemented within EU freight flows between Southern Baltic states “Lithuanian railways” have been assigned re- East-West transport corridor and to make an transport politic stressing importance of for- through Lithuania, Belarus, Russia, Ukraine, sponsible for this set of tasks. In addition to action plan to eliminate them. For implemen- matting “Green transport corridors” concep- Kuakas, Central Asia, China and countries of that the company is responsible for imple- tation of this task JSC “Lithuanian railways” is tion which is giving priority to railway trans- far East by using advantages of intermodal menting three out of seven sets of tasks in cooperating with project partners, railway port as one of most ecological and econom- transport. Project partners are Swedish, Dan- total including “Creation of common railway transport companies of neighboring coun- ical transport means and to sustainable inte- ish, German and Belarusian science and state transport conception”. Main goal of this task is tries and freight forwarders. The company is gration of all transport modes. Due to high institutions and business organizations. Main to create a conception of smooth and continu- a member of a special initiative group created importance of railway transport to creation project partner is administration of Swedish ous freight transportation on East-West trans- to establish “East-West transport association”. of “green corridors” a separate set of task have Bekinge region. port corridor and to make an action plan for its Implementation of this task preconditions in- implementation. crease of railway freight flows by Lithuanian territory. Latvia Future tasks There are different standards, different ser- Shuttle trains vices are being offer in regard to legal base of All other tasks are more specific and com- Baltic sea Radviliškis different countries and different IT systems are plements mentioned task. „Shuttle trains from being installed on railway sector in each coun- Klaipėda/Kaliningrad towards East“, which is Klaipėda try. Therefore there are different railway mod- being implemented by JSC “Lithuanian rail- Kena els in every country of East-West transport cor- ways and its main goal is to analyze new logis- LITHUANIA Gudagoj ridor. This task is unique as to achieve goals it tic schemes and launch of new shuttle trains. Vilnius is crucial to integrate interaction of different The company is already analyzing possibilities service models of railway transport sector on to develop shuttle train “Viking” and to launch new trains from Klaipeda towards Russia, Ka- Molodečno Minsk zakhstan and other destinations. Due to continuous increase of containerization a future for intermodal shuttle trains is very bright es- Osipovichi pecially if we look at Chinas interests in a con- POLAND Zlobino text Asian-Europe trade. BELARUS Kalinkovichi RUSSIA Improving services Slovechno Entire company’s investment activity, mod- ernization of infrastructure, rolling stock, sign- Berezhest aling and communication systems, establish- Korosten ment of freight villages improve the quality of rail services along the East-West transport cor- Kiev ridor. The accession to the European Intermod- al Association (EIA), the participation in Lithu- Kazatin Shepetovka anian Prime Minister’s Working Group, which is supporting the project ,,East-West Transport UKRAINE Corridor II” and participation in the activity of Zhmerinka Lithuanian Intermodal Transport Technology Platform (LITTP) - all mentioned factors are promoting the development of railways trans- Kotovsk port sector, efficient synergy among transportation types along international freight corri- MOLDOVA Odessa dors, raising the competitiveness of those corridors and amounts of freights. We hope that the East-West Transport Cor- ridor Association will be effective coordina- Iljachovsk tion center for freights movement along cor- The “Viking” train route – Klaipeda and Odessa ridor. This center will improve the quality of Black sea (Ilyichevsk) port connections. JSC „Lietuvos geležinkeliai“ transportation services, remove existing “bot- is already analyzing possibilities to develop shuttle train tlenecks”, initiate effective schemes of logistic services and ensure competitiveness of the “Viking” and to launch new trains from Klaipeda towards East-West transport corridor in the interna- Russia, Kazakhstan and other destinations. tional logistic networks. 12 EWTC East West Transport Corridor Association: Contributing to the Closer Cooperation between the Baltic and the Black Sea Regions The International East West Transport Corridor Association is an innovative instrument for regional and interregional cooperation uniting representatives from business, academia and public structures with the aim to create comprehensive transport corridor able to handle world trade flows in Asia-Europe directions. At the moment there is a special emphasis on land transport networks from China, Far East and Central Asia to CIS and Europe. Soaring demand for transport in East-West axis means the states concerned shall deal with various issues such as prompt interaction between the structures, standards and systems, and elimination of bottlenecks impeding the just-in-time deliveries. shutterstock

usiness and public structures are concer- As part of cooperation between EWTCA as by authorities from different states and re- Bned about cost-friendly transport and ef- and PLASKE JSC several important initiatives gions. ficient use of current infrastructure. New busi- reducing the bottlenecks and facilitating the The participants highlighted the practi- ness models and innovative solutions would functioning of the East-West Transport Corri- cal value of the Forum. Mr Grigoriy Legen- lead to efficient logistics chains.T he Interna- dor have been implemented. Some of them kiy, TRACECA National Secretary, emphasi- tional East West Transport Corridor Associa- are worth mentioning. First, the Forum “Role zed the need to tighten cooperation betwe- tion was established in June in Lithuania to of East-West Transport Corridor in extension en the two associations. His offer was suppor- reach those aims. It links transport hubs loca- of economical cooperation between regions ted by EWTCA President and the participants, ted in Lithuania, Southern Sweden, Denmark, of Southern Baltics and Black Sea” which was which mentioned the significance of interna- and Germany with those of Ukraine, Russia, hold on 27-28 May in Odessa. It gathered over tional transport corridors, development of in- Belarus and Asia. The International East West 70 transport players, representatives of busi- tergovernmental social cooperation, which Transport Conference featured twenty four ness and public structures from Ukraine, Rus- in its turn affects the strengthening of econo- states, whereas Ukraine was represented by sia, Belarus, Georgia, Moldova, Kazakhstan, mic links. The participants also believe, such PLASKE JSC. Lithuania, Poland, Germany, Sweden, Turkey events are able to reveal the bottlenecks of “The huge potential of cooperation and Syria. Ukrainian Railways and PLASKE JSC international transport corridors, make an between Black Sea Region states is obvious. acted as co-organizers of the Forum. analysis of them, define the results and bring EWTC aims at increase of volumes between The speakers presented over 30 reports them to the attention of the government and northern Baltics and Asia, China via Lithuania, and presentations focused on the following: customers. Belarus, Russia, Ukraine, Caucasus using the industrial and trade cooperation between Last year EWTCA actively participated in advantages of intermodal transport. Ports

uhman Baltics and Black sea region and economic Ukraine-Lithuania teleconference bridge of Big Odessa (Odessa, Illichivsk and Yuzhniy potential of such cooperation; promotion of where they discussed the latest achieve- oris B B oris ports) are ready. We are glad that East West intermodal and co-modal logistics systems ments of Viking Train Project, attraction of Transport Corridor axis allows new pilot tech- along the Baltic and Black sea regions inclu- new member states, tariff rates and pilot run “We are glad that East West Transport Corridor axis nology for border crossing at EU-CIS borders ding the allocation of strategic and transs- of Viking. It was container transportation allows new pilot technology for border crossing at based on the experience of Viking shuttle hipment points and introduction of sea and from Turkey to Lithuania using innovative EU-CIS borders based on the experience of Viking train. The Agreement between Lithuania, Re- land transport solutions; ports as intermodal e-Seals (with GPS-GSM monitoring systems) shuttle train. The Agreement between Lithuania, public of Belarus and Ukraine made it possi- transport centers; transport and logistics ser- and e-declarations. The pilot run aimed at Republic of Belarus and Ukraine made it possible to ble to cross the border in just 30 minutes. The vices between the Baltic and the Black sea re- evaluation of information and technological cross the border in just 30 minutes.” same concept may be used at the other bor- gions (VIKING Project); rail port-to-port con- facilities on a real-time basis. The comprehen- ders along East-West Transport Corridor,” Mr Mr Ivan Liptuga, PLASKE JSC Vice President said. nections; concepts and principles of the Sin- sive analysis of the route and its weak points Ivan Liptuga, PLASKE JSC Vice President said. gle Window in Baltic-Black sea directions; co- is ahead. Only after it, Viking will be able to ordination and facilitation of the border and work at its full capacity without any flaw. At customs procedures. The number of parti- the moment the key flows move from South- cipants from the whole world proves the si- Eastern Asia and China. Meanwhile Ukraine Last year EWTCA actively participated in Ukraine-Lithuania teleconference gnificance of the event. Mr Algirdas Šaka- may attract goods from Georgia, Azerbaijan, bridge where they discussed the latest achievements of Viking Train Project, lys, EWTCA President, pointed out that se- Central Asia, Turkey, Iran and Syria moving attraction of new member states, tariff rates and pilot run of Viking. It was veral years ago such an event gathered only towards Scandinavia. Cooperation with East several founding members. This year major West Transport Corridor Association and in- container transportation from Turkey to Lithuania using innovative e-Seals players are represented by Ukrainian, Belaru- troduction of innovations may bring Viking (with GPS-GSM monitoring systems) and e-declarations. sian, Moldavian and Russian Railways as well Train to the brand new level. EWTC 13

Ukraine is EWTC Association – ready to load as an innovative platform for co-operation “Vikingas” At present, the implementation of international projects requires a constant and continuous interaction between the participants of transport sector. East-West Transport Corridor Association is a kind of business cargo across platform, a meeting place for freight forwarding companies, cargo owners, port authorities and stevedoring companies, research institutes, etc. Through forums and meetings organized by the Association, companies the Black sea have an opportunity to discuss main trends in transport industry, harmonize the key areas of cooperation, exchange information, etc. BFL driaus ufarto / ufarto an driaus

Ukrainian deputy prime minister and the minister of infrastructure Boris Kolesnikov

krainian deputy prime minister Uand also the minister of infrastructure Boris Kolesnikov during his visit to Lithuania this January discussed about the opportunities to increase the cooperation in the field of transport. This includes the development of the railway project “Vikingas” and shutterstock maintenance of its regular runs. It was agreed that Ukraine and Lithuania will provide a predefined regular schedu- le on the route Klaipeda (Lithuania) – ithin the 9th transport corridor a pro- Thanks to close cooperation and inte- Ilyichevsk and Odessa (Ukraine) and Wject of a container train „Viking“ is su- raction among the participants of the pro- backward. “We will make some addi- ccessfully functioning, its operator on Be- ject „Viking“ a system of prior notification of tional investments to make this route larusian Railway is „BELINTERTRANS, trans- customs authorities was successfully intro- port and logistics center.“ The project has duced, which made customs procedures ea- daily. It could start this summer”, - says been successfully operating on the trans- sier and reduced the time used for crossing Boris Kolesnikov. In order to extend port market for over 8 years (289 356 TEU the border, and time is now one of the most the shuttle train “Vikingas” route there have been transported since 2003), the important competitive advantages. The list is a possibility of organizing the new proof of the effectiveness of the project of benefits of the project also includes en- shipping line between Ukraine and is a positive trend that persists during the vironmental security, a high degree of car- Turkey and providing the connections whole lifetime of the project. 58 582 TEU go safety, reduced and fixed rates for trans- with Georgia and Bulgaria. Current- were carried in 2011, which is 31% higher portation. Project participants do not rest on ly Azerbaijan and Syria expressed the than the volume of 2010 (44 605 TEU). their laurels, the work on improving the pro- intention to join the project and “Vi- kingas” potential also interests Nordic countries. Favorable conditions of the Today one of the operators’ of the train „Viking“

good carriage still remain the main is- TMC

sue. Ukrainian deputy prime minis- main tasks is the extension of the project to ter seeks to increase the number rail- Scandinavia and the Black Sea. Mr. Evgeny Rogachev, General Director way of stations, which will be able to of Transport-Logistics Centre Republic pre-service the train. This will increa- Forwarding Unitary Enterprise under the se the amount of goods. Currently “Vi- Belarusian Railways (BELINTERTRANS). kingas” stops in ten Ukrainian stations. The shuttle train in the port of Klaipe- da is serviced by two container termi- ject and implementation of innovative tech- nals and the cargo volume is growing nologies is continuing, so the Ukrainian train every year. In 2011 the train transpor- operator JSC „Plaske“ used GPS-GSM system ted 56 thousand TEU – 34 percent for monitoring when sending a container more than in 2010. This railway project train „Viking“. Today one of the operators’ of proves cargo transportation by the in- the train „Viking“ main tasks is the extension termodal transport route Lithuania – of the project to Scandinavia and the Black Belarus – Ukraine. The first “Vikingas” Sea. We hope that such instrument of conver- trains between the ports of Baltic and sation between the participants of the trans- Black seas began running in 2003. In port market as EWTC will help to cope with 2009 it won the European Intermodal this problem, other countries and regions will Association Award for the successful- join the project „Viking“ and we will be able ness of the project. In 2011 Georgia to develop a fully satisfactory algorithm of in-

TMC and Moldova joined the project. teraction to improve the system of providing transport services. 14 EWTC Rail Baltica – Important regional Project The Lithuanian Government has decided to continue building the European track Rail Baltica and complete the work within the specified period, i.e. by the end of 2013. The project mentioned above is among the key priorities of the country’s transport sector. In addition, implementation of the Rail Baltica project is an integral part of the Trans-European Transport Network Development Programme implemented by the European Union. andriaus ufarto / bfl / ufarto andriaus

Rail Baltica Project Authority Director Zenonas Kaminskas: „It is planned that LTL 850 million will be allocated to construction of the European track from the Lithuanian-Polish border to Kaunas, which will be split among the individual working stages.“

stretch near the two Russian roads, on one of the main intermediate carriers to Kaliningrad, from Kazlų Rūda to the Kaunas Central Railway Station. The track-laying work is to be completed by 2013. andriaus ufarto / bfl / ufarto andriaus On three sections of the track The EC has agreed to fund expansion of the he Government has approved the Rail Bal- include the Rail Baltica project into the Euro- lotment of financial support from the Europe- track options: laying the second Russian track tica project immediate action plan, under pean TEN-T network, which is currently being an Union (EU). It is announced that 31,7 mlrd. T roads from Kaunas to the Latvian border. It is which the European railway track from the Pol- adjusted. This would mean that all states com- euro will be reserved for 2014–2020 period to planned to build the European track in three large ish-Lithuanian border to Kaunas is to be built mit themselves to building this route without improve commuting betweem East and West railway sections: Kaunas – Palemonas – Gaižiūnai by the end of 2013. The Rail Baltica line length delaying or protracting the work. Europe. – Jonava; next, Jonava –Šiauliai and Šiauliai – Lat- inside Lithuania (from Polish to Latvian bor- Lithuanian government has also planned vian border, and other sections where the lay- der) will be over 330 km. The estimated total investments which will follow in each phase of Useful for a number of countries ing of separate roads is required. The estimat- value of the project design costs in Lithuania is the project implementation. The project Rail Baltica is implemented by ed length of the European track is approximate- about LTL 1.9 billion. The project is funded by Last year Lithuanian transport minister Elig- the Lithuanian, Latvian, Estonian, Polish and ly 70 km, i.e. about two-thirds of the distance be- the European Union (EU), TEN-T and Cohesion ijus Masiulis has signed an agreement of the Finnish representatives. It is predicted that by tween the Polish-Lithuanian border and Kaunas. Funds, as well as by the state budget and SC transport ministers of three Baltic states in Ta- 2020, the traffic of cargo carried in the direc- According to the preliminary calculations, the Lithuanian Railways funds. lin, which will help to continue cooperation of tion of Rail Baltica will increase by 60 percent, Baltic states in this project. track from Kaunas to the Lithuanian-Latvian bor- therefore suggesting that this is one of the President of Poland Bronisław Komorowski der will cost approximately LTL 1.1 billion. Project importance most promising freightage directions. asured participants of this project, that it has The project Rail Baltica has been acknowl- The EU leaders look globally: by extending a startegic value and is very important for Po- Increase in freight edged as an economic project of national im- the F transport corridor to Kaunas, they will ap- land. He also made a clear statement on Po- ply the cargo traffic management techniques When exploring the Rail Baltica options, it portance. According to the action plan ap- land‘s readiness to modernise all needed lines has been found that the freight traffic will un- proved by the Government, by the end of unusual to date. The work in the corridor will of Rail Baltica. be carried out under the EC adopted regula- doubtedly increase. For example, 6 million 2013, the European track railway should start The European track, connecting Warsaw, tons of cargo are planned to be handled at the functioning at the Polish-Lithuanian border – tion, which describes all relations between in- Kaunas, Riga, Tallinn, and Helsinki, will be built frastructure owners and transportation carri- Mockava cargo terminal currently being built Marijampolė – Kaunas. “The granting of a spe- in accordance with the feasibility study carried on the private basis. More business represent- cial status of national importance to Rail Bal- ers. In addition, technical specifications will be out by the British company Aecom. According defined and standards of freight traffic will be atives may follow this example. The new rail- tica project will ensure its implementation as to the Rail Baltica Project Authority Director way track is peculiar in that cargos will move well as contribute to more efficient use of EU set: train length, axle loading and rolling-stock Zenonas Kaminskas, the said study revealed changes. It is planned that the freight traffic in both directions, not only to Kaunas. “I think support funds. The issues of land-forming and that it is worth building a European track to that at least the Rail Baltica’s Lithuania-Polish taking of land for public needs will also be from the Dutch ports will make approximate- the north of Kaunas. The State allocated LTL 20 ly 2.5 million tons a year. border to Kaunas section should be seen as dealt with faster”, said the Minister of Transport million to implement the track technical pro- a large logistics stretch involving all those in- and Communication Eligijus Masiulis. ject, and the EU Structural Funds will cover 53- terested in logistics, wishing to carry out ship- Currently, the Rail Baltica work is moving Funded by the Government and EU 54 per cent of the total track costs in Lithua- ments, sales and cargo sorting. And this can be fastest at the section between the Polish-Lith- At the international conference, which was nia. It is planned that LTL 850 million will be al- done by both Rail Logistics Centre Šeštokai and uanian border and Kaunas. However, Lithua- held in Vilnius in 2011, it was emphasised that located to construction of the European track those in Marijampolė and Kazlų Rūda, where from the Lithuanian-Polish border to Kaunas, nia is interested in the high-quality European “Rail Baltica” is the priority project of Trans-Eu- only private businessmen will feel they may which will be split among the individual work- track running over the whole of Poland and ropean Transport Networks. This railway has attract cargo,” said Z. Kaminskas. According ing stages. the Baltic states up to Tallinn. For that, the EU been incorporated in the European Commis- to him, it is currently expected that the same support is required as well as a single policy for sion’s (EC) Communiqué “A Budget For Europe track will be used to carry both cargo and pas- all states participating in the project. Lithuania 2020” as the transport corridor joining the Bal- From Marijampolė to Kaunas sengers. The 100 km/h speed is planned to be agrees for the European Commission (EC) to tic Sea and the Adriatic Sea and having an al- The company Kelprojektas was entrust- set for cargos and 120 km/h speed for passen- ed with the design of the project Rail Balti- gers. Such speed should be sufficient, bearing The railway “Rail Baltica”, which is to join the Baltic States, Helsinki, ca railway section Marijampolė – Kazlų Rūda in mind curves and turns, higher speed would – Kaunas. It is a difficult task because a sep- be unsafe: Designing tracks for trains rolling at and Warsaw, is one of the most important transport integration projects of arate 1,435 mm width European track is be- a speed of over 300 km/h, in Lithuania would the Baltic States. It is recognised as the trans-European transport corridor ing designed on already existing railway em- be too expensive due to the lack of passenger joining the Baltic States, Finland and Poland. bankment. In other words, a third railway will traffic. EWTC 15 Rail Baltica – Important regional Project An alternative to the Southern comfortably and quickly by European passen- Gauge Separate Railway Line within the Rail port to agree on a memorandum of mutual ger trains from Marijampolė railway station to Baltic Corridor through Estonia, Latvia and Lith- understanding and such a memorandum was Corridor Western European cities as well as other capi- uania. In this study it is proposed to build a rail- signed on December 7, 2011 in Tallinn. Prime Estonian, Latvian and Lithuanian feasibility tals of Baltic countries. way line through the three Baltic States, with Ministers agreed that EU financing for the pro- study on “European rail line construction from passenger train stops at Kaunas (Palemonas) ject should be allocated outside the national Kaunas to Tallinn via Riga” is now being carried Benefits of the project and Panevezys stations in Lithuania. The max- cohesion fund envelopes, and that the EU co- out. In our country, it covers the rail section imum design speed for passenger train would financing intensity should be around 85%.T he Specialists believe that “Rail Baltica” belong- Šeštokai-Marijampolė. Moreover, a new Trans- reach 240km/h, and the length of the line in Standard Gauge Separate Railway Line devel- European freight corridor Rotterdam-War- ing to the Trans-European transport network will improve the communication of the Bal- Lithuania would be 264 km. Total investments opment could be financed by the European saw-Kaunas is being established. Following needed to build the line through Lithuanian Union program “Connecting Europe Facility”. the construction of rail line between Kaunas tic region with other EU countries, will ensure the development of the North-South railway territory are planned to be 1,274 billion euros. This was reported by Vice-President of the Eu- and Tallinn, the corridor will be extended. This On November 10, 2011 Prime Ministers of ropean Commission in charge of Transport Mr means that a corridor to move goods north is transport axis. This will strengthen the country’s transit potential and international com- the three Baltic states (Lithuania, Latvia and Siim Kallas: “If everything goes to plan, funding established as an alternative to the Southern Estonia) welcomed the European Commis- 85 per cent is not impossible, but it will be de- Corridor, which Russia inteds to build. petitiveness. It is planned that “Rail Baltica” will encourage freight transport by rail and thus in- sion‘s initiative to include the Rail Baltica cor- termined by a number of factors. This will decrease the import, export and transit opportu- ridor Tallin-Parnu-Riga Kaunas -Warsaw in the pend on the project documentation and the Connecting, not dividing nities. Railway infrastructure development, lo- pre-identified project list of the core network next EU budget period. On the other hand, the The directorate of the project “Via Balti- gistic centers established and faster commu- and emphasized the importance of support European Commission, declares that the fund- ca” guided by the decisions of the govern- nication with the neighboring countries will from various financial instruments for the im- ing of 85% is possible, “- said Mr. Kallas. ment adopted in 2009-2011, aims at reno- have a positive impact on the activities of busi- plementation of the project. They also, wel- Prime Ministers of three Baltic States also vating and modernizing the railroad running ness companies and investment attractiveness comed the conclusions of the Final Report of agreed to establish a joint venture of Estonia, through Marijampolė. In Marijampolė, a Soviet of Lithuanian regions. the Feasibility Study for a Standard Gauge Sep- Latvia and Lithuania by the end of 2012 at the railway line is being renovated; city streets are In 2011 based on initiative of Ministries of arate Railway Line within the Rail Baltic Corri- latest to implement the project and invite Po- equipped with modern underground cross- transport of the three Baltic states (Lithuania, dor through Estonia, Latvia and Lithuania car- land to join in the full implementation of the ings; noise is being reduced, ecological and Latvia and Estonia) the winner of tender — an ried out by AECOM Ltd. and presented in May new Rail Baltica corridor because of the need aesthetic condition of the city is being im- international consulting company AECOM (UK) 2011, and expressed their political support for to coordinate implementation of the entire proved. The hope is that with the recovering prepared the Feasibility Study for a Standard this study. They authorised ministers of trans- line between Tallinn and Warsaw. economics, the project will help the citizens of Marijampolė develop their businesses. In Marijampolė, the project is divided in two phases – from Kaunas to Marijampolė railway station and from Marijampolė to Šeštokai. A feasibility study on the first phase – from Kau- nas to Marijampolė railway station – was prepared, an environmental impact was assessed, and Marijampolė dwellers were familiarized with its results. The second phase – from Marijampolė to Šeštokai – is also in progress. Your reliable The quality of life will be improved Specialists emphasize that train movement through Marijampolė will undergo no or slight partner! changes. This means that the current applica- ble permits on the maximum number of trains are far from being exhausted. Experts of the AB “Lietuvos geležinkeliai” (Lithuanian Rail- ways) point out that during the construction the most advanced means of reducing and compensating for the adverse effects on the environment will be employed. Long rails are to be used in the construction of “Rail Baltica”; therefore, the trains will cause less noise. The main railway crossings in Marijampolė will be constructed underground. Thus Marijampolė dwellers will no longer have to stand in traffic jams at the closed crossings. It will also reduce the noise level. Moreover, modern, sound- absorbing or breaking walls will be installed alongside the railway. Currently, as the study is being carried out, it is estimated that the city and the surrounding settlements will require approximately 10 km of these walls. According to sanitary standards, residents whose houses are close to the railway will be recommended to install plastic windows. More greenery and ecology Marijampolė dwellers living away from the track will enjoy renewed and clean environment, better lighting will also be installed. Sci- entists have long ago proven that railways are one of the cleanest modes of transport. It is estimated that the reconstruction will signifi- cantly reduce pollution: carbon monoxide pollution will be 265 times lower, volatile organ- ic compounds – 537 times lower, and particu- late matter – 47 times lower than the allowable limit. Railway bed will be cleaned or renovated, European security systems will be installed. Surroundings will be more attractive, quality of life will be improved, more amenities will be available. In addition, the researchers have estimated that during the passenger and freight transport by rail, the average emissions of CO gas are 3-10 times less than during trans- 2 JSC „Lithuanian Railways“, Mindaugo Str. 12/14, LT-03603 Vilnius, Lithuania, ph.: +370 5 2692038, e-mail: [email protected] port by road or air. It will be possible to travel 16 EWTC INTERMODAL Centres Are Rising in VILNIUS The majority of cargoes in Western Europe and in Lithuania are carried by road transport; therefore, the main trunk roads are extremely laden. It is forecast that by 2050 the volumes of cargo carriage by road transport will double and, therefore, it is necessary to look for more efficient modes of transportation. One of such is intermodal transportations, whose suitable organisation, reliability, flexibility and attractiveness can be ensured by Public Logistics Centres. bfl

Specialists of AB “Lietuvos geležinkeliai”, cooperating with German and Italian companies engaged in the development of Western European logistics centres, have ascertained that the benefits of PLC are associated not only with income and creation of new work places, but also with freight transportations by more environmentally-friendly and more economical vehicles.

ith volumes of cargo carriage in contain- Public institution has been intermodal terminal with all necessary com- No analogues in Europe ers ever increasing, it is planned to es- munications infrastructure, later on – to form W According to E. Masiulis, who came to con- tablish in Lithuania four Public Logistics Cen- established land plots designated for commercial activities gratulate the signatories of the agreement, af- tres (PLC): the first will appear in Vilnius, then – According to Saulius Stasiūnas, Depu- of operators: for warehousing, loading, cus- ter the terms and conditions thereof are imple- in Kaunas, and later on in Šiauliai and Klaipėda. ty Director for Development of the Freight toms, vehicle storage, insurance and other ser- mented, we will have the container land terminal Purportedly, setting up container loading ter- Transportation Directorate of AB “Lietuvos vices. geležinkeliai” (JSC “Lithuanian Railways”), AB even before 2014 with no analogues in Eastern minals will ensure their intermodality. For set- Vilnius PLC will be set up near one of the “Lietuvos geležinkeliai” and the municipality of and Central Europe, which will make intermod- ting up thereof, the list of state projects pro- Lithuania’s largest railway stations – Vaidotai the capital is taking care of the development Railway Station. Territorial planning and en- al transportations more efficient. “Being set up vides for financing from the EU Cohesion Fund, and management of the Vilnius Logistics Cen- vironmental impact assessment documents alongside, the intermodal terminal and the Lo- as well as contracts for designing intermodal tre. The Vilnius City Municipality Council has have been prepared and have already been ap- gistics Park will enable to create the common terminals on Vilnius and Kaunas PLC territories given its approval for the establishment of the proved by the Vilnius City Municipality Coun- concept of a kind of “land port” and will decrease have been signed. Vilnius Logistics Park (VLP). By establishing the cil. Construction works are being planned to the ever growing load of the Klaipėda Seaport said institution, funding will be secured from commence in 2012. The value of construction and also will widen its service limits. In this way, the EU Cohesion Fund for the construction of works of the logistics centre is around 100 mil- the competitive positions of Lithuania as a logis- the Vilnius Logistics Park. Based on calcula- lion, of which 84 million Litas will be allocated tics state will be fortified”, – said E. Masiulis. tions made in the feasibility study, the logistics from EU Structural Funds. AB „Lietuvos gelezin- park will replenish the municipality’s budget keliai“ will allocate 470 thousand Litas for the Best specialists engaged for with more than 3 million Litas annually. Using beginning of the park’s operation. Funds for designing the EU methodology, all social and econom- operation are planned to be obtained from in- AB “Pramprojektas” and AB “Lietuvos gele- ic benefits of the VLP project have been esti- vestors, while EU is also promising to allocate žinkeliai” have signed the contract for designing mated, which during the project’s life cycle, i.e. some. during 30 years, should amount to up to 340 the Vilnius PLC’s Intermodal Terminal. Romual- million Litas. das Butkevičius, Project Manager at “Prampro- “The establishment of the logistics park is Logistics park to be set up in Vilnius jektas”, said that the Vilnius PLC’s intermodal ter- the most optimum way of allotting land plots Quite recently, at Vilnius City Municipality, minal is being designed under the said contract: to private companies, which by way of car- Mayor A. Zuokas and Stasys Dailydka, Gener- the contract has provided for preparation of de- rying out their activities would earn extra in- al Director of AB “Lietuvos geležinkeliai”, have sign solutions, purchase documents for con- come both for the budget of the municipali- signed the agreement on the establishment struction works, a technical design, as well as for ty and for the budget of Lithuania as well as for of VšĮ “Vilniaus logistikos parkas” (Public Insti- supervision of implementation thereof. Design- the company AB “Lietuvos geležinkeliai”. Be- tution “Vilnius Logistics Park”) as well as the ing works are performed by company employ- sides, by setting up such park we will create a agreement of partners (venturers) of this in- ees possessing most experience: Project Man- better environment for investors – infrastruc- stitution. The newly established enterprise will agers G. Kazlauskienė and R. Butkevičius, other ture will be made ready for companies to set be responsible for the development of territo- specialists A. Orlauskas, V. Sidaravičius, E. Railė,

andriaus ufarto / bfl / ufarto andriaus J. Stelmokienė, V. Tarnauskienė, I. Ardanavičiūtė, up on the prepared land plots”, – said Artūras ries located next to the future intermodal ter- Zuokas, Mayor of Vilnius. minal as well as for attraction of investors who as well as specialists of other project parts. are planning to engage here in activities relat- According to R. Butkevičius, for the present According to Saulius Stasiūnas, Deputy Director ed to transport and logistics. The signed agree- moment the land plot’s topographic and geo- for Development of the Freight Transportation The value of works – around ment obligates to develop alongside one of logical surveys as well as design proposals are Directorate of AB “Lietuvos geležinkeliai”, the 100 million Litas Vilnius PLC parts – the Logistics Park, which accomplished. The latter have already been dis- special and detailed plans for Vilnius PLC have According to Eligijus Masiulis, Minister of will be set up on the vacant state land plot of cussed with specialists from the working group been already prepared, whereby a modern and Transport and Communications, the estab- 31 ha in area, not far from the Pagiriai settle- of AB “Lietuvos geležinkeliai”, the Vilnius Territori- functional fit-out of the container land terminal lishment of such centre should open new opment. Responsibility for the other project part al Customs Office, the State Food and Veterinary as well as land plots for investors willing to set up portunities for business. The prepared feasibil- – the development of the intermodal (contain- Service, the Ministry of Agriculture as well as oth- on the fully prepared territory are formed. ity study puts forward proposal to develop the er) land terminal – will further lie with the spe- er specialists. Designing works are planned to be Vilnius PLC in several stages: firstly, to build an cialists of AB “Lietuvos geležinkeliai”. completed in the middle of November this year. EWTC 17 INTERMODAL Centres Are Rising in VILNIUS Plans under preparation According to S. Stasiūnas, the special and detailed plans for Vilnius PLC have been already prepared, whereby a modern and functional fit-out of the container land terminal as well as land plots for investors willing to set up on the fully prepared territory are formed. Now, purportedly, it is the most suitable time for coordinating the layout (arrangement) of the future infrastructure and for pursuing that the work of companies and institutions that will operate in PLC in the future would be as smooth and efficient as possible. Purportedly, PLC would enable to reduce the wide range of goods distribution costs by diverting the traffic of heavy duty vehicles away from the city centre. Thus their negative impact on environment would be reduced. Constructions are planned to be commenced already in the first half of next year.

Benefits of the project It is asserted that the emergence of Vilnius PLC will promote the development of urban infrastructure as well as of small and medium business, will create many new work places, and will improve business conditions in the region. The feasibility study, which was accomplished at the end of last year, has established that after the project comes into existence the state budget should collect in addition about 55 million Litas and about 1,300 new work andriaus ufarto / bfl / ufarto andriaus places should be created.

Cooperation with foreigners In Vilnius City Municipality, Mayor A. Zuokas and Stasys Dailydka, General Director of AB “Lietuvos geležinkeliai”, have signed the agreement on the establishment According to S. Stasiūnas, company special- of Public Institution “Vilnius Logistics Park” as well as the agreement of partners (venturers) of this institution. The newly established enterprise will be responsible ists, cooperating with German and Italian com- for the development of territories located next to the future intermodal terminal as well as for attraction of investors who are planning to engage here in activities panies engaged in the development of West- related to transport and logistics. ern European logistics centres, have ascertained that the benefits of PLC are associated not only with income and creation of new work Salin tivities in Lithuania. inkų g places, but also with freight transportations by . An especially great support for implement- more environmentally-friendly and more eco- l. kių p ing the project will become the Customs De- K Eišiš nomical vehicles. Purportedly, an assumption ir Salininkai partment under the Ministry of Finance, the tim or even a conclusion can be made that inter- ų State Food and Veterinary Service and the g. modal transportations are one of the most ef- State Plant Service under the Ministry of Ag- ficient freight-transportation modes, whereas riculture. Purportedly, serious intentions have Ba . Vaidotai l g the development and creation of PLC is a pre- to s ų been already expressed to concentrate the ser- i i . os l requisite for ensuring such transportations. g e V t o o . vices rendered by these agencies namely in Vil- k s k i r ė g

a Baltoji s a P ų g i nius PLC. . R č

Vokė r Investors taking interest K a B ir t In accordance with the approved detailed im The Park – a consolidation centre ų

g plan for Vilnius PLC, a state land plot for the u . p It is expected that the Logistics Park will .

construction of the intermodal terminal and V function as the logistics consolidation centre of o four land plots of the Logistics Park (ranging k P ė Vilnius City, will create a place favourable for in- ag Miškiniai from 2.5 ha to 13.6 ha in area) have been al- iri ų vestments, and will contribute to the resolution g. ready formed. The Vilnius PLC project is re- V o k of traffic issues.T his is especially important in ė ceiving attention and interest from investors: s Baltosios Vokės g. g . from the very start of its implementation it has order to achieve the goals raised by the White . g ių Paper recently approved by the European Com- rp been sought to inform the public and business u JUODŠILIAI D about new opportunities to emerge after the mission. The said paper prescribes that by 2050

no cars driven by usual fuel should be left in cit- u project has been implemented. Meetings with p . PAGIRIAI V potential Vilnius PLC customers and develop- ies. “The implementation of the intermodal ter- o kė ers of handling (loading and discharge) tech- minal, the Logistics Park and the entire PLC con-

nologies have been arranged on a continu- cept will impel to carry more freight at long- K a l n ous basis; already 7 letters of intent have been er distances by more environmentally-friend- o

g . J signed with companies seriously considering ly and more economical vehicles – trains, while .

L a the possibility of setting up in the Logistics short distances – for distribution to retail trade š Šiaudinė in s Park. Negotiations with three companies of in- centres inside the city – could be run by small- k Melekonys io

ternational scale are successfully closing with size vehicles”, – said Stasys Dailydka, General Di- g . regard to investments and development of ac- rector of AB “Lietuvos geležinkeliai”. Lankų g.

M Valčiūnai

ė k o V . p u

0 1 2 3 4 km 1:30000 18 EWTC Investments of JSC „LITHUA NIAN RAILWAYS“ Implementation of financed projects of 2000-2006 period, a total of 1,4 billion Litas from European Union cohesion fund was successfully used for Lithuanian infrastructure projects. During 2000- 2006 over 20 important transport infrastructure projects were implemented, amounting to 2,2 billion Litas AB „Lietuvos gelezinkeliai“ used 592,1 million Litas in 8 projects. bfl

he fact that contrary to the European com- uania) railway stations are being shortened, port and many companies would be the win- frastructure. We offered to plant new trees in Tmon 1,4 – 1,8 k t freight trains, AB „Lietu- also there will be less and shorter stops in Be- ners if Byelorussians decided to send more the would be abandoned zones of the old sta- vos gelezinkeliai“ allows for 3–6 k t and saves larus railway stations. freights and use the investments into electri- tion in exchange of the forest.“ about 30% of fuel, compared to for example, 100 k passengers travel between Vilnius fication in that way. „Latvian railroads“ is a sign of economic merit – Minskas each year. By evaluating this from Stations to be Reconstructed for our railroad company . the next year the procedures of simplified Klaipeda Railway Junction „Draugyste“ and Rimkai are the main sta- After implementing the project „Length- visa and border crossing are going to be ap- One of the priority jobs for AB „Lietuvos tions in the Southern part of Klaipeda railway ening of the IX corridor station runways“, 6 k. t plied for passengers living within 50 km dis- gelezinkeliai“ are the many projects associ- junction. By 2013 it is planned to reconstruct weighting trains can be accepted by Raudėnu, tance to the border by both Lithuania and Be- ated with Klaipeda railway junction. Klaipe- both stations and invest 140 million Litas. Duseikių, Telsiu, Tarvainiu, Sateikiu, Kulupenu, larus. After the Molodecno (Belarus) – Kena da railway junction consists Pauoscio kelynas, „Draugyste“ railway station reconstruction Kretingos, Kyviskiu, Kaisiadoriu, Gaiziunu, Rad- (Lithuania) – Naujoji Vilnia (Lithuania) electri- Klaipeda, Rimkai, „Draugystes“ railway stations started in 2009 and since then construction for viliskio, Palemono, Vilkaviskio, Kybartu, Viev- fication project is going to be implemented and roads and roundabouts connecting them. 54,7 million Litas has been completed already. io, Jonavos, Kazlu Rudos railway stations. All by the end of 2014, the trips should become Klaipeda railway station and Pauoscio kely- It is planned to start Rimkai station reconstruc- of them are located in corridors IX B and IX even shorter. We plan that the duration of a nas are to serve the Northern side of the port tion in 2011. In 2015 the capability of the route D leading through Lithuania to Klaipeda and trip between Minsk and Vilnius will be only two hours by 2015. It will become more de- and „Draugyste“ with Rimkai – the Southern Radviliskis – Pagegiai – Klaipeda should be up Kaliningrad ports. Those are priority corridors part. to 15 million t. with main freight trains activity. According to sirable not just because of speed but also because more comfortable electric trains will be „By reconstructing the Klaipeda station‘s „Draugyste“ railway station was built in the head of the Infrastructure department of Pauoscio kelynas it would make it unnecessary Soviet times. It was meant to carry military AB „Lietuvos gelezinkeliai“ Albinas Ragauskis, introduced. The implementation of electrification pro- to send so many oil trains through the city it- freights from USSR to East Germany. Since the infrastructure renewal projects are so in- self“, – said A. Ragauskis. 1990 the station provides services to sea terconnected that even if just one of them all is cess will not only be useful for passengers who expect fast and comfortable trips but also for „215 million Litas. (182,8 million Litas from freight ferries and ships from the whole World. not implemented, the damage to others may EU aid and 32,2 million Litas from the compa- During the last years the throughput of „Drau- be huge. transporters and senders of goods through Lithuanian territory. nys assets) will be invested by 2015 to recon- gyste“ railway station is 7,1 million. t of freights Virgilijus Jastremskas head of the AB „Li- struct the Klaipeda station and its supporting and the main types of freights are also estab- Electric Traction for Passengers etuvos gelezinkeliai“expansion department: tracks. After the implementation of all the pro- lished. The specifics of its services changed af- Lately more and more talk is being heard „Alone the fact that the freight train „Viking“ jects the freight transport infrastructure will be ter „Draugyste“ started providing services to about shorter railway trips between Vilnius line from Minskas to Kaunas will be electri- enhanced, train safety raised and the possibil- companies established in the Southern part and Minsk. The distance between the two cap- fied is going to be a pig plus for Lithuanian rail- ity of spilling of the fluid materials carried by of Klaipeda, mainly „Bega“, „Klaipedos Smeltė“, itals is 205 km, but it took nearly four hours to roads in the competitive fight for freights.“ He rail in the city of Klaipeda subsequently low- „Klaipedos konteineriu terminalas“, „Vakaru cover it by train. Already from June 2011 the also adds that Byelorussians have long pon- ered.“, declares A. Ragauskis. laivu gamykla“. journey by train is shortened from 3 hours 51 dered which railway line should they electrify Sometimes there are issues between the „Draugyste“ railroad station has arriv- minutes to 3 hours. The passenger control pro- – the one leading to Lithuania or Latvia. Not railroad business and inhabitants of the city al and departure as well as gathering and let cedures in Gudagojo (Belarus) and Kena (Lith- only AB „Lietuvos gelezinkeliai“, but also the because of the forest that lies on the border. out tracks. The total number of tracks is 45. It is According to M. Jastremskis, it is up to the peo- planned to reconstruct and lay down 28,47 km ple of Klaipeda to decide what will their fu- of railway track while implementing the recon- ture look like: “We offered to move most of struction of Draugyste railway station.. The implementation of electrification process will not only be useful the work from the Klaipeda station to Pauosc- While reconstructing Rimkai railway sta- io kelynas, because the city station is 130 years tion it is planned reconstruct and extend the for passengers who expect fast and comfortable trips but also for old and definitely too small for freight trains. tracks (total length of 7,7 km), lay down 19 transporters and senders of goods through Lithuanian territory. There are not enough tracks and means of in- new switches, reconstruct two passenger plat- EWTC 19 Investments of JSC „LITHUA NIAN RAILWAYS“ forms, build 149 meter length of noise reduction wall, 8 searchlight towers, reconstruct rain and drainage system, reform the department of automatics, communication, electricity pro- vision and construct automatic switch heating systems. Reconstructing the Klaipeda railway junction by 2015 should raise the annual throughput of the port to 50 million t. Gold Medal for GSM-R By the end of 2010 the earlier means of communication that were uncertified and deemed out dated by both EU demands and Lithuanian Communications Regulation Au- thority, were changed by radio communication GSM-R, which received a gold medal in the competition „Lithuanian Product of the Year 2010“. „I am happy that our efforts to work more effectively and lower the service expenses did not remain unnoticed“, said the general manager of AB „Lietuvos gelezinkeliai“ S. Daily- dka after receiving the award from Chairman of the Lithuanian Parliament, Mrs Irena De- gutiene. Virgilijus Jastremskas head of the AB„Lietuvos gelezinkeliai“ expansion department: „Alone the fact that the freight train „Viking“ line from Minskas to Kaunas will be electrified is going to be a big plus for Lithuanian railroads in the com- algio palionio algio petitive fight for freights.“ New railway infrastructure and technologies Albinas Ragauskis Deputy General Direc- has been replaced, signalling equipment has tor and Head of the Railway Infrastructure Di- been modified, radio connection as well as rectorate at AB “Lietuvos geležinkeliai” other equipment has been modernised). In order to ensure the competitiveness of JSC „Lithuanian Railways“ from the very Lithuanian railways in the East-West trans- moment of its establishment has been con- portation market as well as to ensure the pos- ducting a directional development based on sibility of admitting heavy goods trains, the long-term and short-term railway infrastruc- roads on the 17th station of Corridor IX have ture renovation programs. Each project un- been extended up to 1050 metres. dertaken by „Lithuanian Railways“ is first of With the purpose of continuing the mod- all built on traffic safety assurance, on com- ernisation of the railway infrastructure, 33 pliance with the Long-Term Development projects are planned to be implemented in Strategy of the Lithuanian Transport Sys- 2007-2013, with over 70 contracts having tem, as well as on the principles of equality been concluded. The total value of all pro- in rights. From 1996 until 2011, 2.8 billion LTL jects is planned to be 1,732.9 million LTL, had already been invested by AB “Lietuvos of which 1,468.5 million LTL are EU support geležinkeliai” into infrastructure renovation. funds, which is three times more than intend- By making use of EU support, telecom- ed for the projects of 2004-2006. By 2015 it munication lines have been modernised, rail- is planned to modernise the line Kaišiadorys- roads (around 800 km) have been renovated, Kybartai (to renovate the railroads of the sta- the power supply, signalling and telecom- tions by reconstructing 1 bridge and by ren- munication systems of Corridors IXB and IXD ovating the signalling system), to renovate have been modernised, 42 automatic roll- the power supply system in the section Vilni- ing-stock control devices have been installed us-Kaunas, to modernise road structures and for assuring traffic safety, the Kaunas Railway infrastructure on the line Klaipėda –Pagėgiai, Tunnel has been renovated, the Radviliškis bfl to build the Vilnius Bypass (a secondary road, and Vaidotai Railway Marshalling Yards have which will considerably increase the through- been modernised, the Lithuanian Railway Ra- put and will allow freight trains to bypass dio Communication System has been mod- tem will also enable to arrange the transmis- on’s idle-time. In 2000, the wagon’s idle-time the city of Vilnius) Kyviškės–Valčiūnai and ernised by introduction of GSM-R, the tracks sion of data from a running train, which, it is used to be 10.8 hours, whereas after the pro- Pušynas–Paneriai, to modernise the Klaipėda of 17 stations have been extended. expected, will prompt the emergence of new ject has been implemented the idle-time of node: to renovate railroads, viaducts, bridg- Lithuanian railway infrastructure modern- railway technological processes, as well as wagons has been reduced to 6.0 hours per es, to increase its throughput, to set up sec- isation projects stand not only for renova- will contribute to the reduction of passenger day (per 24 hours). tion of physical tracks, their structures or fa- and freight transportation cost, by way of en- After a contemporary microprocessor- ondary roads – 5 segments of the section cilities, but also for introduction of new ad- hancing traffic safety and ensuring the prop- based rail-brake and hump-route manage- Šiauliai-Klaipėda, to reconstruct the currently vanced railway transport technologies. Lith- er comfort of people travelling by railways. ment system and a new fully-automated demounted section Mažeikiai-v.s. (steading). uania is one of the first 20 countries of the Enormous influence not only over the speed control system have been introduced In addition to the projects referred above, world that have introduced GSM-R. The GSM- Lithuanian railway transport system, but also and adopted, the Vaidotai Station has a ful- it is planned to update Traffic Management R system is a mobile-communication system over the neighbouring countries using 1520 ly-automated wagon marshalling process, i.e. Systems as well as Railway Automation and based on GSM standards, but is adapted to mm gauge railways, will be exerted by the dangerous and inefficient manual work has Power Supply Systems. To set up one of the railways. It is one of the parts of the Europe- modernisation of the Vaidotai Railway Sta- been abandoned; four new reception and re- most advanced automation equipment sys- an Rail Traffic Management System (ERTMS), tion. The Vaidotai Station is one of the two lease roads have been constructed; the roads tems – centralisation of traffic control (CTC able to function independently as a means railway marshalling yards in Lithuania. Via on the reception railroad as well as four re- – centralised traffic control). CTC enables to of communication, intended first of all for the Vaidotai Station, cargoes are transport- ception and release roads have been extend- connect individual section stations’ power- the engine-driver of a running train to con- ed from Belarus (Molodechno, Baranovichi) ed in order to enable the reception of trains plant centralising- and automatic track inter- tact rail traffic control staff. It will also be used in the directions of Kaliningrad and Klaipėda. of 6,000 tons in weight; environmental works locking equipment of into one system, which when carrying out wagon marshalling/distri- Up to 70 percent of all the cargoes carried by have been implemented (an oil product trap are managed and controlled from one centre, bution-, shunting, railway road maintenance- Lithuanian railways are transported via the system has been installed) as well as oth- which allows discarding railway traffic con- and other works, which are performed in the Vaidotai Station. One of the station’s most im- er infrastructural components of this station trol operators in every station and according- ordinary course of railway business. This sys- portant performance indicators is the wag- have been modernised (equipment of points ly to reduce traffic management costs. 20 EWTC setting up a single European railway area Independence of rail service facilities (Article 13 of Proposal for a directive of the European Parliament and of the Council establishing a single European railway area (Recast)

• similarly, the competition with road transport in the local market concerning local freight which constitutes about 30 % of railway transport services; • integrated model of railway management creates the conditions of direct- ing the freight carrier, departments of service facilities and the infrastructure manager to a common goal, i.e. increasing the volume of freight transportation and reducing the service expenses. The impact of these principal conditions on the results of the Lithuanian railways activity is proved not only by the achieved volume of transportation and profit, but also by the effective use of the traction rolling stock. Recast provides substantial modification of two railway management models - the integrated and separated model, currently applied in the EU countries, by separating service facilities into an independent company or companies. The goal of European Commis- sion on restructuring the railway management is to increase the number of carriers, which competing with each other would reduce tariffs and thereby the competitiveness of the railway freight transportation would increase. After separation of service facilities from the carrier, its ability to influence tariffs of the transport will be reduced to a min- imum. The carrier’s controlled expenses at its service net cost constitute less than 10 percent. Even fuel expenses, amounting to about 12 percent of the freight transportation net tmc arvchyvo tmc cost, would be more influenced by the decisions of the service operator, not by the transporter. The dominant role in the formation of frastructure management, passenger trans- stated that the EU strategic objective has al- the net cost of freight transportation servic- Objective of the Recast is to increase es would come for two monopoly structures portation and freight transportation activ- ready been fulfilled in the Lithuania. – the infrastructure manager and operator of freight transportation volume by ities. Freight transportation by railways has service facilities, to whom the conditions of railways about 46 % share of the whole freight trans- 2. Lithuanian railways are operating incomes assuring would be established with- European Union strategic objective is to portation market. The activity of the Lithuani- out increasing volume and quality of servic- increase the rail transport’s market share. Ac- under the following conditions: an railways is profitable, even though in comes, but setting higher tariffs for their services. cording to European Commission nation- parison to the other EU Member States, the • there is a great competition with the rail- Predictable competition will not significant- al dominant rail carriers are not able to com- freight transportation tariffs are among the ways of other countries (Latvia, Estonia, ly influence on freight tariffs reducing, due to pete with the road transport and at the same lowest, whereas the railway infrastructure ac- Russia, Ukraine, Belarussia and Poland) limited opportunities to influence net costs time to fulfil EU strategic objective due to the cess charge is among the highest due to a regarding the freight of the third coun- of the services for carriers. Therefore, with the insufficient motivation to increase efficiency. very low financial support of the state.T aking tries which comprises about 70 % of rail- implementation of the Recast’s requirements In order to reduce the prices of freight trans- into consideration the given tariffs, it can be way transport services; its main goal - to reduce tariffs of the transpor- portation and to increase its quality the EC is planning to develop a competitive environment among the railway undertakings (car- Essential elements of rail freight transportation system riers) in the whole EU. New carriers are pre- vented from entering the market since they Freight rolling Rolling stock Loading/ un- do not possess the service facilities necessary Customer loading, train Train traffic Railway service system stock, locomo- technical for transportation, such as rolling stock main- tives crew maintenance formation management infrastructure tenance and other technical facilities, freight system terminals and train formation facilities etc. Magistral Locomatives Freight terminals: Traffic manage- Railway lines, The development of new alternative service Marketing locomotices workshops and loading equi- ment center station tracks facilities would require substantial carriers’ in- depos pment, storage vestments and in many cases the capacity of Freight Signalization/au- Documentation places, station these facilities would not be effectively used. wagons Freight wagons tracks Stations (state tomatic systems For this reason, the EU is aiming at finding the repair depot watchers, Locomativves Communication means to provide equal conditions for the Payments stewards) crew Rolling stock Switching systems carriers to use the existing service facilities. washing locomatives According to the EC, the separation of ser- station staff Electricity suply vice facilities from the dominant rail carriers Wagons technical system is one of the essential means that will elimi- maitenance nate the possibility to discriminate new carri- Fuel base Station buildings ers and will create conditions for the competition in the railway transport market. Integrated railwy management system The Recast provisions provide for the legal, organizational and decision-making in- Carriers „Service facilities“ objects Railway infrastructure dependence of the service facility operator šarūno mažeikos / BFL / mažeikos šarūno from the dominant rail carrier. Furthermore, dominant rail carriers shall not possess any Railway management model after separation of railway infrastructure service facilities. Albertas Šimėnas, director deputy JSC “Lithuanian railways”: In order to reduce the Carriers „Service facilities“ objects Infrastructure manager 1. Peculiarities of Recast prices of freight transportation and to increase its quality the EC is planning to develop a competitive Railway management model proposed by European Commission implementation in Lithuania environment among the railway undertakings In Lithuania there is an integrated rail- (carriers) in the whole EU. Carriers „Service facilities“ operators Infrastructure manager way model with separate accounts for in- EWTC 21 setting up a single European railway area tation services and thus to take from road car- In this case, the activity of the dominant carri- riers part of freight in Lithuanian conditions ers may be paralyzed, and its position would would not be met. It is more likely the oppo- be taken over by another carriers. In addition, site result - the increase of transportation tar- the dominant carrier without any of service iffs, and the decrease of the disposable part facilities, will not have equal opportunities to of transportation market. The state, due to the compete with other carriers which are free lack of funds, will be interested and will seek of such restrictions and at least for this rea- that the infrastructure manager increases to son will not have any possibilities to keep the the maximum level railway infrastructure dominant position. Pursuant to Recast, new charges. Operator of service facilities occu- dominant transporter should liquidate all of pying a monopoly position will increase tar- its existing service facilities, and the carrier iffs for their services. T he profit-seeking car- which lost the dominant position will get the riers, will compete only for profitable lines of opportunity to organize its own service facili- the railway. The Government, seeking to en- ties. With replacement of the dominant carri- sure transportation of the freight in non-prof- er compulsory procedures of service facilities itable lines will be forced to increase fund- liquidation and establishment not only re- ing for railway infrastructure. It can be argued quire additional costs, but will be legally very that the reductions of the freight railway tar- complicated. iffs will be achieved not due to the implemen- The requirement to separate service facil- tation of the Recast provisions, but only due ities is provided to apply only for dominant to the state funding increase for railway infra- carriers in the market. Other carriers could ndriaus ufarto / bfl / ufarto A ndriaus

structure and department of service facilities, have their rolling-stock repair workshops, which can only be ensured by economically freight terminals and other service facilities. strong EU members. Forced separation of the dominant carriers Currently any economic body can estab- in respect of other carriers, is an evident dis- Locomotive usage efficiency lish and manage service facilities and supply crimination that is incompatible with the EC Rail operator Number of freight and Freight turnover Locomotive efficiency services in these facilities. The EC, requiring declared striving to ensure free competition shunting locomotives 1 (mill.tkm) 2 (mill.tkm/loc.) to separate service facilities from the domi- in the railway sector. nant carriers, essentially acknowledges that The decentralization of railways manage- ZSSK Cargo (Slovak) 643 6485 10,1 the facilities market is developing and new ment according to the requirements of the PKP Cargo (Poland) 2854 29941 10,5 carriers have no opportunities to use ser- Recast establishing an independent operator vice facilities they need. However if the par- of service facilities would eliminate the es- SNCF (France) 2257 26482 11,7 ticular service facility market has developed sential security condition of Lithuanian Rail- CD (Czech) 867 11253 13 and alternative operators exist, there are no ways efficiency and would reduce their work any reasons to separate service facility from stability, efficiency and also competitiveness RENFE (Spain) 491 6973 14,2 dominant railway undertaking. On the other in international freight transportation and hand, if there is no alternative, establishment domestic market. The final result of the Re- CP (Portugal) 140 2549 18,2 of an independent service facilities operator cast provisions on the separation of service VR (Finland) 385 8872 23 means creation of new monopoly having the facilities system in Lithuanian Railways would right to dictate its own conditions to the rail- not be the increase in the efficiency of rail- DB AG (Germany) 3696 93948 25,4 way undertakings. ways work. It would be the elimination of a LG (Lithuania) 264* (174) 11888 45,0* (68,3) The carriers disposing service facilities in dominating national carrier from the service integral railway structures, and railway infra- market of freight transportation. * incl.90 non-operational old LG locomotives structure managers, in assessing the needs of A timeworn and old park of freight wag- Source: 1. www.railfaneurope.net 2. UIC, International Railway Statistics 2009 clients and traffic situation in the market, to- ons is one of the main problems in a 1520 gether decide not only how better organize mm gauge network. Only some Russian and • LG locomotives used 3-5 times more efficient than in other EU member states the business and minimize the expenses of Ukraine companies manufacture new freight • Rolling stock volumes directly affect staff numbers, work efficiency, services cost and tariffs the railway sector, but also develop and im- wagons. If fact, these companies are monop- plement a long-term entire technological olies in the market; therefore they fixed high • Essential condition of efficient rail transportation system of LG – an integral Railway operations management chain, including the program of railway in- prices for wagons. A freight carrier JSC Lithu- vestment, which goal is to increase efficien- anian Railways used their own finances to es- plied to the traction vehicle maintenance. If a EU competition law. cy and competitiveness of the railway activ- tablish and get a certificate for a new wagon freight transporter of JSC Lithuanian Railways The EU competition law (including case- ity in the freight transportation market. In workshop where the company’s wagons are did not have a possibility to get the mainte- law) establishes this principle: The company contrast, after separation independent infra- renewed, their exploitation term is extended nance service for traction vehicles, it would dominating on the market has to give a com- structure manager, carrier and service facili- and in this way the problem of a wagon park be forced to abandon the transportation petitor a right to use the essential facilities for ties operator will plan their investments sep- deprivation is resolved. According to the pro- market. If a new transporter dominated on a reasonable price. These facilities are neces- arately in a non-coordinated way. Ensuring visions of the Recast, this workshop should the Lithuanian market, the increase in freight sary for a small company in executing their of compatibility of the investment programs be separated and its service should be pro- transportation, the reduction in transporta- business. It is unreasonable for a small com- will be complicated. For example, if the carri- vided for all railway companies under equal tion tariffs would not be guaranteed.W hat is pany to invest in them, because investments er acquires a new type of rolling stock and it conditions. Therefore, other concerned coun- more, a new transporter could be eliminated would be inadequately high. would require appropriate restructuring and try’s company which is established in Lithu- from the transportation market in the same The Recast must define the term “ser- investment in both operator of service facil- ania and has a transporter license, for exam- way. vice facilities” and determine that dominant ities and infrastructure manager. The carrier ple the company of the Belarusian Railways, company on the railways market should pro- will not influence the decisions of these enti- would have the right to purchase the service vide an access to its essential facilities of in- ties, if the Recast is adopted. to renew wagons. After assessing the size 3. Proposed Solution frastructure to small railway companies for The operator of service facilities in order and state of Belarusian Railways wagon park It is proposed to abstain from compulso- reasonable price. Consequently new railway to maximize incomes could reserve all ser- , it is clear that their orders could fully com- ry to separate the infrastructure of service fa- companies would have a chance to go into vice facilities capacities (rolling stock mainte- plete the whole workshop capacities for the cilities from a railway undertaking (a carrier) the market and the efficiency of functional nance etc.) for third countries (non EU) orders. next ten years. The same scenario can be ap- and to apply the common principles of the railway companies would not be reduced.

Average freight transportation tariffs EUR/1000tkm (2010) Track Access Charges for freight in Lithuania amongst the highest in Europe (in EUR/train-km) 12 60 Typical 2000 Gross Ton Freight Train 55 11 50 45 10 40 9 35 30 8 25 20 7 15 6 10 5 5 0 Latvia Lithuania Estonia Belorussia Russia Italy Poland France Germany 4 3 Latvian Railways only operates at lower than Lithuanian Railways tariffs: 2 • 1/3 of freight consists of coal which is transported at exceptionally low rates in the whole 1520 area; 1 • freight operator does not subsidize passenger service. Latvian government covers 100 % expenses; 0 • passenger rolling stock is purchased using EU funds HR DK SP SE PT SI FR BE HU DE AT RO NL SF NO CH PL UK LV CZ BG EE SK LT 22 EWTC “VPA Logistics” established logistics center Klaipėda public logistics center is leaning towards private ownership. Klaipėda State Seaport Authority assumes that “VPA Logistics”, investing in its logistics center, has submitted the plans and suggestions how public private partnership could become a reality establishing a public logistics center. VPA

ecently, at the conference of East and West hectares territory reserved for a public logistics Port Authority, this company has bought in al- Rtransport corridor association, representa- center: by emergency procedure private owners- most 300 hectares of land. If the Opportunities tives of the Seaport Authority introducing Klai- hip rights was restored, besides that environ- Study is favorable, it is likely that this company pėda port indicated, that the plans to develop a mentalists are against forest lumbering. There is will be a happy one to receive tens of millions of logistics center in the southern part of the port no more free land for such an object close to the litas of EU and state money. Tomas Pilukas, Head relate to “VPA Logistics”. Though, it is emphasi- port, even though it was stated more than once of Transit and Logistics department at the Minis- zed officially, that there would be a tender an- that a public logistics center must be construc- try of Transportation is affirming that the Govern- nounced for a private partner selection. “Bu- ted close to the port. “VPA Logistics” is develo- ment has approved a preference of PPP (public siness News” more than once wrote that some ping its logistics center beside the southern part private partnership) for Klaipėda public logistics problems appeared because of more than 300 of the port, alongside railway. According to the center. According to T. Pilukas, a private partner would be chosen organizing a tender, otherwi- se „EC established procedures could be violated“. VPA

Good example Artūras Drungilas, Marketing and Admi- Darius Beinortas, CEO VPA Logistics: nistration Director of Klaipėda State Seaport Authority considers that a public logistics cen- VPA Logistics a 3PL company was established in 2008 ter, if it were decided to choose a combined in Klaipėda. An innovative and a professional busi- model, could be established by port principle, ness approach helped the company to grow from a when the port develops infrastructure, and ope- single cold storage facility to a major multi task lo- rators construct terminals or warehouses. “Let’s gistics center. not make conclusions in advance, but I don’t think that the sate could do business. It should Currently VPA Logistics operates two 3PL terminals: create conditions for a successful business de- one in KLASCO (Klaipeda port stevedoring compa- velopment. If that logistics center is public, the- ny) and another own - Baltic Logistics Center (BLC), re will be quite a few operators and a difficul- which is located near Klaipeda Draugyste train sta- ty to coordinate: the Opportunities Study will tion. show if the Port Authority does it or some operating company.” Mr. Drungilas does not doubt VPA Logistic staff is a committed and professional that the developer of the Opportunities Studies team who work hard and ensure that company’s cli- will bring some clarity in this process. ents receive the highest standard warehousing and „Maybe we have a unique case, when part of logistics services available in the market today. The the work is done and the project is partially im- company is expandingits operations and facilities not plemented. But that is possible if such an alter- only in the Baltic States, but also on a global scale. native and partnership with private business is acceptable and appears to be economically be- All the state-of-the-art facilities in the BLC are built neficial to the State.“ – said Mr. Drungilas. and equipped following the top standards of the construction industry as well as the requirements of clients. The BLC warehouses are of more than 10 meters height with installed computerised tempe- rature and moisture control. 67 truck loading docks and rail loading ramps link VPA Logistics to the global markets. In line with its partners and its subsidiaries VPA Logis- tics provides a full-package of door-to-door logistics, warehousing, expediting, ship agency and intermodal transportation services. Customs and veterinary Cold storage: boarder inspection posts (BIP) enable the company • -25°C storage regime operate fast and efficiently. • 12 m high ceiling Cooperating with local and international container • 57,000 PP lines and other logistics companies, VPA Logistics WAREHOUSE. Ambient storage: offers a combined complex of time and price service • Climate controlled areas solutions to its customers. Ship agency, customs and • Modern racking system veterinary clearance, plant inspection services are • 33,000 PP provided by the company on a daily basis as well. EWTC 23 24 EWTC

EAST-WEST TRANSPORT CORRIDOR – GUARANTEE OF SUSTAINABLE TRANSPORT DEVELOPMENT

Members OF the East-West Transport Association (EWTCA)

Company Country EIAEIA Belgium Universities VilniausGedimino Technical University Lithuania JSC ViltedaVilteda Lithuania Wismar University of Technology Germany Terminal of Mockava Lithuania Railways Companies Lithuanian Railways Lithuania Lithuanian Intermodal Transport Technology Lithuania Platform UkraineRailways Ukraine Belarusian Association of International Belarus National Company Kazakhstan TemyrZholy Kazakhstan Forwarders (BEMA) Forwarders, Logistics, Transport Asia Continental Landbridge Logistics China Maritime, ports, Companies DFDS Sea ways Denmark Associations (Companies) Association Council and Associations Port of Karshamn Sweden Lithuanian Stevedoring Companies Associa- Lithuania tion Lithuanian Shipowners Association Lithuania Berlin-Brandebur Logistic Network Germany Limarko JSC Lithuania VPA Logistics Lithuania Regional Administrators, RRegionegion BBlekingelekinge Sweden Municipalities JSC Plaske Plaske Ukraine Karlshamn city Municipality Sweden Tuuchin Co. Ltd. Mongolia Baltijsk Municipal District Russia JSC Rubicon Russia Others Hohhot Export Processing Zone China BelintertransBelintertrans JSC Belarus LohrindustrieLohrindustrie France LinavaLinava Lithuania Institute of Spatial Planning, Development Russia and ForeignForeign RelationsRelations LinekaLineka Lithuania

January 2012, № 1/12 (special edition) Publisher pc „Transport Media Center“ Contacts +370 5 2481629 Director Аlgirdas Aushra E–mail [email protected]

EWTC Editor in Chief Gytis Vincevicius Website www.etransporter.lt Layout editor Kestutis Jonaitis Editorial Office Kalvariju str. 143, Vilnius