NATIONAL REALITY CONFLICTING WITH GENERAL EU OBJECTIVES
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1 "RELAUNCHING THE TEN-T: TOWARDS A SUSTAINABLE TRANSPORT POLICY" Warsaw, Poland 20 th July 2011 NATIONAL REALITY CONFLICTING WITH GENERAL EU OBJECTIVES Gábor ALBERT Head of Division, KTI, Hungary
2 The general EU objectives (according to the White Paper) - creation of a Single European Transport Area; - competitive, and - resource-efficient transport system All these are agreed in this level, where are the conflicts? The conflicts are in the details, e.g. in the mode of execution, financing, short term interests, etc.
3 Fields of conflicts There are several ones on different levels, now we focuse on three topics: - differences in conditions of different states - increasing road transport demand - clash of state interests
4 Fields of conflicts / 1 - differences in conditions of different states e.g. network density: motorway railway - increasing road transport demand - clash of state interests
5 Conflicts with general EU objectives Density of the motorways in the EU countries (km / 1000 km 2 )* 2004 Ireland Sweden Hungary Lithuania Slovakia Czech Republic EU25 United Kingdom EU15 France Austria Spain Italy Slovenia Cyprus Germany Luxembourg Belgium Netherlands EU15 countries New members Average data * For the not mentioned countries is no data available Poland Finland Estonia Source: Eurostat
6 Density of the railway lines in the EU countries (km / 1000 km 2 ) * Finland Greece Sweden Spain Lithuania Latvia EU15 EU25 Italy France Slovenia Poland United Kingdom Netherlands Slovakia Hungary Belgium Czech Republic EU15 countries New members Average data * For the not mentioned countries is no data available Source: Eurostat
7 Changing of investment sources Need for infrastructure services Construction of motorways Eastern-Europe - 30 Western-Europe Construction of railways Sources for financing new infrastructure (supply) 5 0 Years Source: Pálfalvi
8 Fields of conflicts / 2 There are several ones, now we focuse on two ones: - differences in conditions of different states - increasing road transport demand - clash of state interests
9 Increased road transport demand - goods structure effect: less volume, higher value - integration effect: elimination of borders cause more intensive trade - logistics effect: consumer oriented services, which prefer higher speed - technical improvement: increased economic distance
10 Fields of conflicts / 3 - differences in conditions of different states - increasing road transport demand - clash of state interests financing, state budget the balance of road vs. rail transport high costs of PPP employment innovation (R + D)
11 The balance of the Hungarian transport sector in the state budget, Source: Hungarian State Treasury
12 The state budget balance of transport in Hungary by transport mode extended by external impacts in 2006 Source: Hungarian State Treasury, KTI calculations
13 Total cost of investment depending on the financing source public financing PPP private financing Source: Pálfalvi Cost growth derived from the different evaluation of risks and from the different conditions of financing sources Cost reduction attainable by the combination of state-guarranted and commercial credits, as well as grants Public expenditure savings by drawing private capital
14 Changing of the expected shadow fees of PPP financed investments Motorway section Length (km) Opening M5 Phase 2& (total 150 km maint.) Expected Shadow Fees Contract Total (Present Values, M EUR) First year Last year year of contract 5%, %, , ,920.4 M6 Phase M6 Phase M6 Phase , ,138.1 Source: MoT, Hungarian State Treasury, KTI calculations
15 Proportion of the production value of the vehicle construction industry within the manufacturing industry Source: Eurostat
16 Proportion of added value of the vehicle construction industry R&D compared to the average of the manufacturing Source: Eurostat
17 Proportion of employees in the automotive industry within the vehicle construction industry Source: Eurostat
18 TEN-T financing, TEN-T financing (comprehensive network, EU 27), billion EUR Cost New member states (EU 12) Old member states (EU 15) Community contribution 44,47 70,93 105,01 Programme TEN-T 2,23 4,43 8,01 Cohesion Fund 8,23 16,5 34,8 ERDF (regional convergence) 7,51 8,6 9,4 EIB loans and guarantees (estim.) 26,5 41,4 52,8 National sources 63,4 231,1 285 Source:
19 Comparison of the two major funding sources to the TEN-T for TEN-T Programme budget Cohesion/Structural Funds Available amount for TEN-T (billion EUR) 8 44 Support rate Forms of support 50% for studies, up to 30% for works (in reality, usually less then 10%) various up to 85% grants, technical assitance Applicability EU 27 mainly EU 12
20
21 CONCLUSION - heavy differences between EU countries - significant dependence on road transport sector - both railway and road transport infrastructure need strong support in some countries Achieving the EU objective, the Single European Transport Area needs - abundant budget - privilage of long term interests - clever (efficient) regulation
22 Thank you for your kind attention! Gábor ALBERT
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