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Public service rail transport in the European Union: An overview November 2005 The Voice of European Railways COMMUNITY OF EUROPEAN RAILWAY AND INFRASTRUCTURE COMPANIES COMMUNAUTÉ EUROPÉENNE DU RAIL ET DES COMPAGNIES D’INFRASTRUCTURE GEMEINSCHAFT DER EUROPÄISCHEN BAHNEN UND INFRASTRUKTURGESELLSCHAFTEN Table of Contents FOREWORD . 3 OVERVIEW . 5 PART 1: EU LEGISLATION ON PUBLIC SERVICES . 9 1. Introduction . 11 2. Regulation 1191/69: the current legal framework . 12 3. Revision of the public service Regulation . 15 PART 2: PUBLIC SERVICE MANAGEMENT IN 25 COUNTRIES (EU AND EEA) . 19 1. Introduction . 21 2. General framework for the organisation of public service operations . 23 3. Operators on the market . 25 4. Definition of public service requirements . 27 5. Importance of public service passenger transport . 28 Public service rail in transport the European Union: An overview 6. Conclusion of a contract . 30 7. Contract payment . 32 8. Granting of public service contracts . 33 9. Calculation of level of compensation . 36 10. General payment conditions . 37 11. Duration of public service contracts . 38 12. Conclusion . 39 3 Contents Foreword PART 3: COUNTRY REPORTS . 41 Public service transport plays a crucial role in passenger transport in the European Austria . 43 Union both from a political and an economic point of view. It is estimated that Belgium . 48 approximately 90% of domestic passenger transport is currently provided in the EU within the context of public service arrangements, which in many cases represents Czech Republic . 52 substantial revenues for railway undertakings. Moreover, public service transport Denmark . 56 undeniably constitutes a tool in public authorities’ welfare policies. Estonia . 60 The operation and organisation of public service transport differs greatly throughout the Union due to the great variety of needs and traditions. Furthermore, Finland . 65 while the provision of public service transport in the EU 15 takes place to date within a France . 69 certain legal framework providing some protection for railway undertakings, the same Germany . 74 does not apply to railway operators from the new EU Member States. In other words, conditions under which public service transport is provided are complex. Harmonised, Greece . 80 rules cannot be applied without taking into account the specific political and economic Hungary . 84 context in each Member State. Ireland . 88 Against this background, the Community of European Railway and Infrastructure Companies (CER) is publishing this brochure which describes the state of the art in the Italy . 91 European Union as well as in Norway and Switzerland. A general commentary is also Latvia . 94 included, guiding the reader through the various elements taken into account when providing public service transport. With this brochure, CER hopes to provide some Lithuania . 98 LITHUANIA useful guidance to stakeholders in their assessment of the new legal framework for Luxemburg . 102 public service transport as proposed by the European Commission in July 2005. Public Public service rail in transport the European Union: An overview The Netherlands . 105 The Netherlands Norway . 109 Poland . 113 Portugal . 118 Slovakia ..