FINANCING THE EU TRANSPORT POLICY AND TRANS-EUROPEAN NETWORKS.

1. FINANCING THE EU TRANSPORT POLICY AND TRANS-EUROPEAN NETWORKS. Hugh Rees. BELGRADE APRIL 2012.

2. SLIDE 2 FUNDING QUESTIONS FOR THE CTP • TRANS-EUROPEAN NETWORKS. • MARCO-POLO • USER AND SOCIAL CHARGES.

3. SLIDE 3 • GOVERNMENTS SUPPORT LARGE SECTIONS OF TRANSPORT INFRASTRUCTURE. • NOTABLY ROADS, RAILWAYS SOME PORTS AND AIRPORTS AND TRAFFIC CONTROL SYSTERMS. • THE EU IS NOT DIRECTLY INVOLVED IN THE PROVISION OF OPERATING COSTS BUT MAKES A CONTRIBUTION TO FINANCING INFRASTRUCTURE OF COMMON INTEREST AND TO SUPPORT NEW MEASURES TO CHANGE MODAL SPLIT ( THE MARCO POLO PROGRAMME) PLUS TECHNICAL STANDARDS

4. Slide 4 TRANS EUROPEAN NETWORKS; • TEN-T originated in the Maastricht treaty . • IMPLEMENTED BY THE TEN-T GUIDELINES DECISION OF 1996. • THIS DECISION ESTABLISHED OBJECTIVES PRIORITIES AND ESPECIALLY A TEN-T NETWORK. • INCLUDED ITS , ERTMS, GALILEO .

5. SLIDE 5 • THE AIM OF THE GUIDELINES WAS TO PROMOTE THE DEVELOPMENT OF MAJOR ROUTES OF EUROPEAN INTEREST. BENEFITS TO EXTERNAL USERS. • UNFORTUNATELY THE NETWORK WAS ENLARGED TO INCLUDE MANY ROUTES OF VERY LITTTLE REAL INTEREST TO THE COMMUNITY. • THIS IMPLIED THAT THE EFFECTIVE SUPPORT WAS VERY LIMITED.

6. SLIDE 6 • TO OVERCOME THE PROBLEM OF LACK OF FOCUS DUE TO THE LARGE NETWORK THE CONCEPT OF PRIORITY PROJECTS WAS DEVELOPED. • THESE PROJECTS NOW NUMBERING 30 ABSORB THE MAJORITY OF THE BUDGET. • THE PRIORITY IS GIVEN TO NON-ROAD MODES

7. SLIDE 7 • ALTHOUGH TRAFFIC IS GROWING INVESTMENT IS NOT. • IN THE 1980s THE MS INVESTED AN AVERAGE OF 1.5% OF GDP ON TRANSPORT INFRASTRCUTURE. • IN 2004-5 INVESTMENT IN TEN-T IN EU 27 WAS DOWN TO 0.45% OF GDP. • CURRENT CRISIS IN PUBLIC SECTOR EXPENDITURE CREATES FURTHER PROBLEMS.

8. SLIDE 8 TEN-T BUDGET

9. SLIDE 9 TEN-T BUDGET

10. SLIDE 9 • NEW COMMISSION PROPOSALS 2011- STILL UNDER DISCUSSION. • CREATE A CORE NETWORK OF REALLY KEY INTERNATIONAL ROUTES. • THIS WILL BE BASED ON 10 IMPLEMENTING CORRIDORS –AT LEAST 3 MODES 3 COUNTRIES AND 2 BORDER COSSINGS. • PLUS A COMPREHENSIVE NETWORK. • CORE NETWORK TO BE COMPLETED BY 2030. • COMREHENSIVE 2050

11. SLIDE 10 • NEXT PROPOSAL FOR THE MULTIANNUAL FINANCE FRAMEWORK (2014-2020) INCLUDES 31.6 b € FOR THE CORE NETWORK-10B € FROM THE COHESION FUND –EARMARKED FOR THEM. • EU MONEY IS INTENDED TO BE SEEDCORN-PRACTICE HAS SHOWN THAT 1€ OF eu MONEY CAN ATTRACT UP TO 5€ FROM OTHER SOURCES.

12. SLIDE 11 INFRASTRUCTURE CHARGING. • THE EU PROPOSES INFRASTRUCTURE CHARGES THAT REFLECT EXTERNAL COSTS LIKE POLLUTION AND ACCIDENTS. • DIFFICULT POLITICALLY BUT SOME PROGRESS HAS BEEN MADE IN RELATION TO HEAVY VEHICLE CHARGES. RECALL THAT MANY COUNTRIES ALREADY HAVE TOLL ROADS. • CONSIDER RINGFENCING MONEY FROM CHARGES TO SUPPORT INVESTMENT.

13. SLIDE 12 MARCO POLO PROGRAMME • Marco Polo aims to free Europe's roads of an annual volume of 20 billion tonne-kilometres of freight. • co-funds direct modal-shift or traffic avoidance projects and projects providing supporting services which enable freight to switch from road to other modes. • The current programme runs until 2013 with an annual grant budget of about €60 million.