Conference on transport infrastructure in the Balkans

Transcription

1 Government of the Republic of Serbia Ministry of Infrastructure and Energy Conference on transport infrastructure in the Balkans Madrid, July 2011.

2 The legal framework for the development of railway infrastructure in Serbia AGC Agreement AGTC Agreement High performance network Agreement (SEECP Railway Agreement) European Railway network for high-speed Pan-european transport corridors

3

4 INFRASTRUCTURE 3809 km of rail network km in service 283 km double track 7.5% of network 1269 km electrified 33% of network 875 km of lines along Corridor X Maximum designed speed 120 km/h 12.6 million tons of goods transported in million passengers transported in 2010

5 ROLLING STOCK Passenger carriages 539 (214) Freight wagons 8983 (4783) Diesel traction units DMUs Electrical traction units 143 EMUs 38

6 NEW ORGANIZATIONAL STRUCTURE OF JSC SERBIAN RAILWAYS JSC SERBIAN RAILWAYS Infrastructure Managing Company Public Passenger Service Company Freight Service Company Real Estate Managing Company

7 JSC SERBIAN RAILWAYS CONSISTS OF MOTHER COMPANY AND FOUR SUBSIDIARIES: COMPANY FOR PUBLIC RAIL INFRASTRUCTURE MANAGEMENT: Responsible for managing of rail infrastructure (infrastructure maintenance and traffic regulation). PASSENGER SERVICE COMPANY: Responsible for provision of public passenger service including maintenance of rolling stock in their ownership. Electrical and diesel locomotives will be leased from the Freight Service Company which will be regulated by contract.

8 JSC SERBIAN RAILWAYS CONSISTS OF MOTHER COMPANY AND FOUR SUBSIDIARIES: FREIGHT SERVICE COMPANY: Responsible for provision of services in freight traffic, including maintenance of locomotive s and freight wagons, as well as ownership of such rolling stock. Company for real estate management: Responsible for managing of commercial real estate which is not directly used for traffic.

9 New relationship with the State Contractual relationships will exist between the Government and the companies but also mutually between the companies themselves. Two most important contractual relationships will be between the Serbian Government and the two companies, for passenger service and for infrastructure. PSO is being introduced in order to cover the gap between the actual cost of transport and the collected revenue.

10 Infrastructure company on the basis of the contract with goverment will obtain money for the rail infrastructure maintenance and covering of gap between the revenue from the infrastructure access charges (IAC) and the actual costs. Infrastructure company will also generate revenue with respect to IAC Passenger service company will also generate revenue from passenger service Freight service company will be financed with the revenue from freight services and the real estate company will be financed with the revenue from real estate commercialization

11 Clear insight into operation Account separation will enable a clear insight into operation, revenue and expenses of each of the subsidiaries and budgetary funds will have a precisely defined contractual aim and will have to be directly allocated to infrastructure maintenance and traffic regulation, i.e. subsidizing of passenger traffic. At the same time the subsidiaries will have the obligations and responsibilities specified under the contract.

12 When will the market open? Complete market exposure i.e. free access to rail infrastructure in the present conditions, when due to years of infrastructure and rolling stock investment backlog, there is no level playing field with other participants, would in our case mean losing the market and perhaps complete disqualification.

13 When will the market open? In the past year Serbian Government has adopted the required by-laws in order to make preparations for opening of Serbian rail market in the following period. Market will be opened in stages. First stage will bring domestic competition to Serbian railways Second stage will bring regional competition, and Third stage will bring opening to EU when international operators can be expected on national lines and vice-a-versa.

14 New organization by itself is not sufficient The Balkans and ZS, due to a number of years of drastic backlog in financing of infrastructure and rolling stock have become a bottle neck of European rail transport system in Europe, instead of being a factor of its expedition New ideas, initiatives such as Cargo X joint initiative, are required for provision of quality service on Corridor X. Regional example of this, showing that the cooperation is also successfully continued in passenger service, is a fact that few days ago a seasonal train Adriatic Express started to operate from Belgrade to Split thus connecting Serbia and Croatia once a week during the summer.

15 New organization by itself is not sufficient Good ideas, innovations, enthusiasm and better organization and cooperation can not fully replace the obsolete infrastructure and rolling stock. Serbian rail network is more than 100 years old In the period from 2002 to 2010 approx million Euro was invested in rail infrastructure on average, whereof 73% was financed out of the loan proceeds.

16 Launched investment cycle Budgetary funds are limited and the capacity for further credit indebtedness has reached the upper limit Reconstruction and modernization of 770 km of Corridor 10 Reconstruction and modernization of 770 km of Corridor 10 lines in Serbia, which includes construction of modern double track line for the speeds of 160 km/h alone requires approx. 4.6 billion Euro.

17 Innovative and effective schemes and sources of finance are required for infrastructure railway projects in the Western Balkans It is necessary to finally reverse the trend in which the advantage in infrastructure financing is given to road instead of rail

18 PROGRAMME OF THE MODERNIZATION Corridor X final goal: - Reconstructed in double track, electrified and equipped with modern signalization - Designed for speed of 160 km/h - Available for all technologies of combine transport Investment: 4,611 bill Euros Finished Transport Master Plan for Serbia, financed by EC. Document is adopted by the Goverment. TMP identified Developing Projects of all modes of transport, in the railway and intermodal sector - 14 projects.

19 TOTAL ESTIMATED COST OF CONSTRUCTION RAILWAY KORIDOR X (mil euros) Р. бр Railway line Length (км) constra ction expro priati on docume ntation Indirect costs 1 Belgrade - Šid 118, Belgrade - Subotica 149, Belgrade node Total 4 Belgrade - Niš 240, Niš - Preševo evo 156, Niš - Dimitrovgrad 103, Total 769,

20 Corridor X (mill. ) Belgrade Šid 318 Belgrade Subotica 885 Belgrade node 278 Belgrade Niš Niš Preševoevo Niš Dimitrovgrad SOURCES OF FINANCING government budget International financial institutions EU funds Private capital 3

21 When can we expect to see the results? A tangible improvement of rail service quality is expected in four years already, and more significant modernization of rail traffic in the 4+4 period, i.e. total of 8 years, as envisaged under the Serbian Transport Master Plan.

22

23 Route 4 (579 km): Vrsac (Romanian border) Belgrade (Serbia) Bar (Montenegro) Route 10 (252 km): Kraljevo (Serbia) Pristina (Kosovo (under UNSCR 1244/99)) Gorce Petrov (the former Yugoslav Republic of Macedonia) Route 11 (138 km): Pozega (Serbia) Stalac (Serbia).

24 DEVELOPMENT SCENARIO Estimates for the year-period EUR mil. Rehabilitation of Corridor Reconstruction and modernisation electrification construction of the second track on Corridor 10 2, ERTMS level 2 on Corridor Rehabilitation of other railways 1, New projects Total Total, Corridor 10. (without indirect costs, expropriation costs and project documentation) 5, ,

25 Railway infrastructure project ranking

26 Instead of conclusion There is no ideal theoretical or practical model that would guarantee success and that is applicable to every railway company. Service user is not interested in the company organization but they are interested in whether the company is capable of providing the expected transport service.

27 Instead of conclusion Reforms undertaken and continued by us involve success and increasing of rail share of market only if the service is quality, efficient, competitive and if everyone participating in its creation shows a high degree of competence, responsibility, dedication to their work, and preparedness for continuous innovations and continuity of striving in an increasingly open and more demanding market of transport services.

28 Thank You for Your Attention