ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(77)694
Vol.1977/0219

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(77)694final.
Brussels,20Dccerr.oer1977«
REPORTBYTHECOMMISSION "TOTHECOUNCIL
ontheprogressmadeinthepreparation ofaprogrammeof
cooperation amongrailwayundertakings
CCM(77)694final.

-2-
TABLEOFCONTENTS
I.INTRODUCTION 3
II.EARLIERCOMMUNITY MEASURES TOPROMOTECOOPERATION
AMONGRAILWAYUNDERTAKINGS 5
III.NEWCOMMISSION INITIATIVES 7
IV.SHORT-TERM PROGRAMME DRAFTEDBYTHEGROUPOFNINE 8
V.ASSESSMENT OFTHESHORT-TERM PROGRAMME 11
VI.SUPPLEMENTARY MEASURES 14
»
VII.RESPECTIVE RESPONSIBILITIES OFTHERAILWAYS,
GOVERNMENTS ANDCOMMUNITY BODIES 18
VIII.CONCLUSIONS 20
•ANNEX

-3-
I.INTRODUCTION
1.Article 11(1 )oftheCouncil Decision of20May1975 ontheimprovement
ofthesituation ofrailway undertakings andtheharmonization ofrules
governing financial relations between such undertakings andStates provides
that "Member States shall ,inconjunction with theCommission ,investigate
measures likely topromote cooperation among railway undertakings ".
AttheCouncil meeting of16December 1976 ,theCommission informed the
Council ofitsintention ,pursuant toArticle 11(1 )oftheabove Decision ,
tne
comake 'necessary arrangements toexamine with theMember States andthe
railway undertakings ,supplementary measures topromote cooperation among
theundertakings and'draw upawork programme .TheCommission undertook
topresent tothe Council aprogress report onthepreparation ofthis
programme by1January 1978 .
2.This report contains :
I.anintroduction ;
II.areview ofearlier Community measures topromote cooperation among
railway undertakings ;
III.anoutline ofnew Commission initiatives ;
IV.aresume ofthegeneral questions incorporated intheshort-term
programme drafted bytheGroup ofNine Railways oftheCommunity on
the strengthening ofinternational cooperation ;
V.anassessment ofthis programme andthequestions itraises ;
VI.supplementary measures ;

VII.commentsontherespectiveresponsibilities oftherailways/
MemberStatesandCommunitybodies;
VIII.conclusions .
TheCommissionattachesgreatimportancetothestrengthening ofcooperation
amongrailways;itwillhelp:
(a)tobringdownthecostsofcertaininternational transportoperations;
(b)toensuremoreefficientutilization ofrollingstockandequipment;
(c)topromoteabetterunderstanding oftheinternational transportmarket;
Cd)toexpandthecooperation oftherailwayswithothermodesoftransport
ininternational operations;
(e)toimprovetherailways'imageasaninternational carrier.
made
Therailwayundertakings havecertainly/progresstowardstheseobjectives
overthelastfewyears.TheCommissionbelievestheyshouldcontinueand
stepuptheirefforts:thereisavastareainwhichfurtherprogresscan
bemade,despitetheconstraints imposedbythenationalstructureof
networksandinparticularthatimposedbyeffortstoensurefinancialpro­
fitabilityatnationallevel. >
TheCommissionnotes,however,thattraditional cooperation mayhave
limitedpossibilities inotherfieldsparticularlywhereseveralunder­
takingsdecidetobasetheiractionon"thecommoninterest".Jointmeasures
takenbyundertakings mayrangefromcooperationtointegration.Thereis•
nocleardistinction betweenthesetwoconcepts;generallyspeaking,
integration wouldinvolvethecreationofcommonmanagementbodiesreplacing
theseparatemanagementofeachnetwork.UnderArticle11(2)ofthe
CouncilDecisionof20May1975,theCommissionwillsubmittotheCouncil
attheendof1978areportontheobjectivestobepursuedinthelong
termandthemeasurestobetakentopromotepartialortotalintegration
ofrailwayundertakings atCommunitylevel.

-5-
;T.EARLIER COMMUNITYMEASURES TOPROMOTECOOPERATION AMONGRAILWAYUNDERTAKINGS
5.InitsResolution of7December1970oncooperation betweenrailwayundei–
takings,,theCouncilcalledontherailwaystointroduceclosertechnical,
commercial andoperational coordination andcooperation .TheCouncilalso
requestedtheMemberStates,inconjunction withtheCommission,totake
allnecessarystepstoeliminate-inthefieldsforwhichtheyare
responsible-anydifficulties whichmightimpedesuchcooperation .
IncompliancewiththisResolution,theGroupofNineRailwaysofthe
EuropeanCommunitydrewupreportsontheprogressmadeincooperation in
1971,1972and1973;inthisyearitalsolookedmorecloselyintothe
questionofcommunityofinterests.
InitslettertothePresidentoftheCouncilof7May1976,theGroupof
Ninestressedthattheproblemsofrailwaycooperation withregardtothe
nationalorCommunitypoliticalauthorities couldbedividedintotwo
categories :
(a)problemswhichcanbesolvedonlybymeasuresforwhichtherailways
areresponsible butwhichcouldperhapsnotbeimplemented without
theactivesupportofnationalandCommunityauthorities ;
<b)problemsofastructural and"strategic"naturethesolutionofwhich
isprimarilytheresponsibility ofnationalandCommunityauthorities,
theaimbeingtobringaboutasubstantial improvement inthecompetitive
positionoftherailwaysintheinternational transportmarket.
Itmaybesaidthat:
(1)theworkcarriedoutpursuanttothe
hascertainlybroughtaboutprogressCouncilResolution of7December 1970
incooperation;

-6-
(2)thelistofmeasuresintheResolutionisstillvalid;
(3)theResolutionhasnot,however,exploitedalltheCommunitypossibilities
providedbytheTreatytopromotecooperation.

-7~
III.NEWCOMMISSION INITIATIVES
6.TheCouncilLaiddownanewbasisforthepromotionofcooperation
inArticle11(1)ofitsDecisionof20May1975.Otherprovisions
ofthisDecision,inparticular 4theharmonization ofcostingprinciples
(Article8(2)),arealsointendedtofurthercooperation .
7.OnthisnewbasistheCommission heldameetingon17February1977
withtheGroupofNineoftheIURtodiscussthevariousaspectsof
cooperation andthemostsuitableproceduretoenabletheCommission
tosubmitthisreporton1cooperation amongrailwayundertakings to
theCouncilbeforetheendoftheyear.
ItwasagreedthattheGroupofNinewoulddrawupaprogrammeof
feasibleshort-term measures andwouldsendtheCommission alistof
infrastructure projectsofCommunityinterestwhichcouldbecarried
outwithinaperiodofaboutfiveyears.
TheGroupofNinecompliedwiththisrequestandforwardedtothe
Commission :
(a)inMay1977,listsofinfrastructureinvestmentprojectscompiledby
theRailwaysandconsideredtobeoftoppriority,
(b)inSeptember1977,ashort-termactionprogramme.

8
IV.SHORT-TERM PROGRAMME DRAFTEDBYTHEGROUPOFNINE
8.1.Theshort-termactionprogrammeopenswithsomegeneralremarks.
TheRailwaysdescribetheachievements andprogressmadeininternational
cooperation since1970.
Theyregretthatprogresshassometimesbeentooslow,andthisthey
attributetothefollowing :
<a)commitments associated withthenationalimperatives ofthe
managementofeachrailway;
<b)budgetconsiderations whichrestrainthedevelopment ofcertain
measuresandmaycausetherailwaystoplacetheirowneconomic
interestsfirst;
%
(c)difficulties inovercomingcertainpeculiarlynationalfactors;
(d)thealwaysdifficultproblemofchangingorganizational methods;
(e)thecomplexity andmultiplicity oftheproblems.
1
8.2.TheRailwaysalsonotethat:
"Beinganxioustoaccelerate theprocessofinternational cooperation,
theGroupofNineRailwaysisdeterminedtogivefreshimpetusto
cooperation measureswhichfallwithinthecompetenceoftheirmanagement,
bydoingalltheycantoimplement-inconcreteandlimitedareas,
particularly technical andcommercial operation-provisionstoimprove
thefinancialresultsofundertakings andtostrengthentheposition
oftherailwaysonthetransportmarket.
"TheGroup,ofcourse,remainsawarethattheshort-andmedium-term
actionitintendstotakedoesnotgofarinthewholevastareatobe
tackled,butithastoremember,asitpointedoutinitsletterof

-9-
7May1976tothePresidentoftheCouncil,thatithasnorightof
initiativewithregardtostrategic-andthereforelong-term-measures
whichmightstrengtheninternational cooperation andwhichdependprimarily
onthewillingness ofthenationalandCommunityauthoritiestogive
seriousencouragement torailtransport.
»
"WhileregrettingthatthereplyfromthePresidentoftheCouncildated
17December1976madenomentionoflong-term'action,theGroupofNine
hastakennoteoftheCouncil'srequesttocontinueandstepupinter­
nationalrailwaycooperation .
"Ithasalsowelcomedwithsatisfaction theinitiativestobetakenby
theCommissioninthisfieldunderArticle11(1)oftheDecisionof
20May1975,andhasnotedtheCommission'sundertakingtopresentto
theCouncilbefore1January'1978aprogressreportonthepreparation
ofaworkprogrammetothisend."
8.3.ThereportpreparedbytheGroupofNinethenlaysdowntheprinciples
onwhichtheworkprogrammeshouldbedrawnup:
"Asindicatedabove,theGroupofNineintendstoconcentrate on
measuresforimprovingthefinancialresultsofundertakings inconcrete
andlimitedfields,particularly technicalandcommercialoperation,
andforstrengthening thepositionoftherailwaysonthetransport
market.
"Prioritywillbegiventoactionconcerninggoodstraffic,instrict
compliancewiththepracticalobjectivesoftheInternational Union
ofRailways.
"Intheinterestsofefficiencyintheworkatinternational level,
theGroupofNineRailwayswillmakeuse,inthefirstinstance,ofthe
workcarriedoutbytheInternational UnionofRailwayswithinthe
widergeographical frameworkofEuropeasawholeandwillendeavour
topromotemorerapidimplementation ofIURdecisionsandrecommendations
withintheframeworkoftheNine.

-10-
"Similarly,theworkoftheGroupofNinewillbeconductedinclose
cooperation withtheAustrianandSwissRailwaystoensuretothe
networktheharmoniousexpansionofcooperation amongallWestern
.Europeanrailways."
8.4.Theproposedshort-termpracticalmeasurescomeunderthreeheadings:
(1)trafficmovement
(2)commercial,freightandpassengertraffic
(3)harmonization andstandardization .
InthisreporttheCommissionsimplyliststhemeasuresandtheir
implementation deadlines(seeAnnex);furtherdetailscanbegiven
atthediscussions betweenthegovernmentexperts.

*ASSESSMENTOFTHESHORT-TERM PROGRAMME ^
9.Theprogramme wasexaminedanddiscussedattheCommission'smeeting
withtheGroupofNineRailwayson21September 1977andatthe
meetingheldbetweentheCommission andgovernmentexpertson
24October1977.
10.Themeasuresproposedintheshort-term programmefalllargelywithin
thecompetenceoftherailwaysandtherefore-withcertainexceptions
(frontierformalities andapplication ofcertaintariffs)-canbe
launchedandcarriedoutbythedeadlineswithoutinvolvingtheMember
States.Thisappliesparticularly tomeasuresintheoperationalfield,
commercial passengercarriageandstandardization andnormalization .
TheCommission,likethegovernment experts,believesthattheproposed
measuresareofanaturetobringaboutanimprovement inrailway
servicesandintheprofitability oftherailways,andthereforedeserve
aplaceintheprogramme.TheCommissionwill,inconjunction withthe
Railways,makeacase-by-casestudyoftheimplementation deadlinesto
establishwhethertheycanbeshortened.TheCommission agreeswiththe
government expertsthatpriorityshouldbegiventotheelimination of
difficulties atfrontiers .
11.Withoneexception (costofcustomsformalities),allthemeasures
envisagedintheshort-term programme comeunderthebroaderheading
ofthecooperation programmes currentlybeingpreparedbytheIUR.
TheGroupofNineRailwaysgavetworeasonsforthis:firstly,the
factthatallEuropeanrailwaysareinterdependent and,secondly,the
natureoftheprogrammeitself,whichisdevotedtoconcreteshort-term

-12-
TheCommissionbelieves,however,thatitwouldbefeasibleanduseful
tosetupspecializedworkingpartiesforcertainsectorstostudy ■
questionsofspecifically Communityinterest.Similarworkingparties
havealreadybeencreatedtolookatthequestionoffrontiercrossing,
andtherailwayshavetakenpartintheirwork.Otherworkingparties
couldbesetuponthebasisoftheprioritiestobedecided.
12.TheCommissiontakesthefollowingpositiononthemeasuresproposed
bytheGroupofNineforthecommercialfreightsector:the
measureslistedbytheGroupofNinecannotberegardedasaproper
programme.Theyareinfactalistofmeasuresnowunderway,someof
whichhavealreadybeencompleted.
Giventheincreasinglystiffcompetition,it'is,however,doubtfulthat
thetypeofcommercialcooperation whichhasexistedbetweentherail­
waysfordecadesandtheworkingsolutionsarrivedatarestillsatis­
factoryandadequatetoday.
Withoutdepreciating theprogressmadewiththeintroduction ofcertain
bilateraltraditionaltypesoftariffsandeven"commontariffschedules",
itshouldbeadmittedthattransportrateformationpolicystillvaries
fromonerailwaytoanother.Thedifferences ineconomicsituationare
nodoubtpartlyresponsibleforthis.However,intheCommission'sopinion,
othemainobstacleisthatthefundamental approachestotariffshavenot
M..'' wv :-T|'
**ryetbeensufficientiyIfarmonizedandthefe^sons^given forthissituation '
arenotconvincing.

-13-
Ifprogressistobemadeinthissphere,therailwaysmustbeprompted
tocooperatemoreactively;theyshouldbeaskodtodrawupajointlist
oftheproblemsencounteredandtoworktogetherwiththeCommissionto
determinefeasiblemeasuresgoingbeyondthepresentstageofcommercial
cooperation.
Obviously,suchstudiescannotbeundertakenunderthebroaderumbrella
oftheIUR,whererateformationpoliciesarenowmorewidelydifferent
thaninthesmallerCommunityframework.Itisthereforeessentialthat
workbestartedwiththeIURGroupofNineRailways^
13.TheGroupofNinereportdoesnotcontainanyspecificshort-termmeasures
forcombinedtransport.Itisgenerallyrecognizedthatcombinedtransport,
beitcontainerorroad/railtransport(piggy-back ),aremethodsof
operationwhichenabletherailwaystoprovideuserswithabetterservice-
alongsideconventional formsoftransport-overlongdistancesandspecific
routesbycombiningtheadvantagesoftwomodesoftransport,railandroad.
Topromotetheharmoniousdevelopmentofthesetypesoftransport,which
areintrinsically ofparticularvaluetointernationaltraffic,itises­
sentialthattherailwaysworktogethertocreatethenecessaryconditions :
(1)seektostandardizeinstallations andrailwaystock;
(2)improvetheorganization oftransportandtranshipmentoperations;
(3)furtherimprovethenetworkofroutes(particularlyforcompletetrains)
(4)establishanadequatepricesystemwhichmakesallowanceforthe
interestsoftheparticipants .
TheCommissionwillsubmitproposalsoncombinedtransportin1978.The
railwaysshouldnevertheless beencouragedtocontinuetheirownefforts
tofindwaysandmeansofdevelopingthistypeoftransport.

-14
VI.SUPPLEMENTARY MEASURES ' .
14.TheCommission agreeswiththeGroupofNineandthegovernment
expertsthattheshort-andmedium-term measureslistedintheGroup's
reportdonotgoveryfarintothewholevastfieldtobetackledand
shouldbesupplemented byothermeasureswhichwill,generallyspeaking,
requiremoreactiveassistance bynationalandCommunityauthorities ..
Althoughthesemeasurescouldbespreadoveralongerperiod,this
doesnotmeanthattheyshouldnotbelaunchedstraightaway.
Measuresshouldtherefore betakeninthefollowingfields:
14.1.crossingoffrontiers
14.2.infrastructure investment
14.3.studyoftheconceptofcommoncommercialinterest
14.4.technicalstandardization andnormalization
14.5.supplypolicy.
14.1.Crossingoffrontiers
Themeasurestobetakeninthisfieldwouldensure:
(a)moreefficient useoftheCommunitytransitsystemunder
whichcustomsclearance canbecarriedoutinsidethe
countryandnotatthefrontier;
(b)modernization ofthetechnicalinfrastructure ofcertain
frontierpoststofacilitatethemovementoftraffic;
(c)mutualrecognition ofcertificates forhealth,plantand
veterinarycontroltoavoiddoublecheckingofgoods,
i.e.byboththeexporting andtheimportingcountries.
Pendingmutualrecognition ofsuchcertificate 's,efforts
shouldbemadetoensurethatchecksarecarriedoutin

theimportingcourtryduringcustomsclearancewhich,under
theCommunitytransitsystem,,shouldinprinciplebeeffected
insidethecountry.
14„2.Infrastructureinvestment
Railwaycooperationshouldbeincreasedoninfrastructure questions
sothatforeseeablebottlenecks onraillinksofconcerntothe
Communityintheshort-andmediumtermcanbedetected.Thelist
ofpriorityinfrastructure investmentprojectssenttotheCommission
bytheGroupofNinecouldserveasabasisforwork.Infrastructure
cooperationshouldalsoenabletherailways-withtheassistance
ofnationalandCommunitybodies-toadaptthefuturemanagement
policyoftheEuropeanrailwaystochangesineconomicpatternsand
tospecificCommunityrequirements.Acloserstudyofthecommercial
implications shouldalsobemade.
ActualinvestmentislargelyamatterfortheMemberStates.Invest­
mentprogrammescouldbemoreefficientlycoordinated andeven
expandediftheCouncilapprovesthetwoCommissionproposals,one
foraDecisionandtheotherforaRegulation,ontransportinfra-
1structure .
TheDecisionproposedbytheCommissionisintendedtobringabout
asubstantial improvementintheprocedureforconsultation with
theMemberStatesonprojectsofCommunityinterest.Thisprocedure
shouldbeofassistanceinassessingthevaluetotheCommunity'of
projectsfortheimprovementofmajorraillinksandindetermining
howurgenttheyare.
ProposalforaCouncilDecisionestablishing aconsultationprocedureand
creatingacommitteefortransportinfrastructure COJNoC207,
2September *1976).
ProposalforaCouncilRegulationonsupportforprojectsofCommunity
interestintransoortinfrastructure (O.JNoC207,2September1976),

-16-
TheproposedRegulationshouldmakeitpossibleforCommunity
aidtobeprovidedundercertainconditionsforprojectsto
whichtheMemberStatescannotgivetheprioritytheydeserveat
Communitylevel.
14.3.Studyoftheconceptofcommoncommercialinterest
Progressonthispointwouldmarkarealbreakthrough from
cooperation asithasbeenpursuedsofartojointrailway
market(inthewidestsenseoftheword)research.
Asthingsstandatthemoment,however,therailwaysarenot
abletomakethisstepaloneandontheirownresponsibility .
ThedemandmadeontheRailwaystoachievethebestpossible
financialresultsatnationallevelisanobstacletothe
pursuitof"commoninterests"insofarasitmeanseachrailway
mustmakefinancialsacrificeswithoutanydirectcompensation .
TheCommissionfeels,however,thatthepresentsituationand
possiblemeasures,includingthepoolingofrevenue,shouldbe
studiedingreaterdepthinordertoascertaintheactualextent
oftheproblemsinquestion.Thedisadvantages described may
provetobemuchlessseriousandmayevenbeoffsetcompletely
bycommercialadvantages.
Nevertheless,politicalactionbynationalgovernments andthe
Communityisessentialiftherailwaysaretoadvanceinthis
direction.Thesequestionswillalsobediscussedinthereport
onintegration whichtheCommissionintendstopresenttothe
Councilattheendof1978.

-17-
TheCommissionalsointendsinduecoursetosendtothe
Councilproposalsformeasureswhichwillenabletherailways
togobeyondtraditionalcooperationandpursuecommoninterests.
.1
14,4.Technicalstandardization andnormalization
Apriorityprogrammeshouldbedrawnuptofacilitatetradein
railwaystockandequipmentwithintheCommunityinanticipationof
opentenderingforcontracts.
TheCommunityrailwaysshouldexaminetheindustry'sproposals
regardingsub-assemblies whosedifferingstandardsareagenuine
obstacletoopentendering,particularly forpassengertransport
stock.
114.5.Supplypolicy
TheraiIwaysshouldcollaborateinthepreparationoftheir
rollingstockinvestmentprogrammestopromotetheconstruction
ofamorehomogeneousfleetandtoensurethattheindustrys
productionplansmatchtherailways'needs.
1Comment:Thesetwopointswererecentlydiscussedwiththe
Directors-General oftheRailwaysatameeting(chaired
byMrDavignon)onmeasuresfortheintroductionof
opentenderingrailwayequipment;theywillalsobe
discussedbyaWorkingPartyonpubliccontractswhich
isbeingsetup.

-18
VII.RESPECTIVE RESPONSIBILITIES OFTHERAILWAYS,GOVERNMENTS AND
COMMUNITY BODIES
15.Itissometimesdifficulttomakeastrictdistinction betweenthe
respectiveresponsibilities ofthevariousbodiesinvolvedin
railwaycooperation,particularly asregardsrelationsbetween
railwaysandgovernments .Thisshouldnot,however,meanthatthe
fieldsinwhichtheyhavetherightofinitiative cannotbemore
clearlydemarcated .
15.1.Ithasalreadybeenseenthat,inthefieldslistedinthe
GroupofNine'sshort-term programme,therailwayshavebroad
scopeforactionwithouthavingtocallupontheactive
assistanceoftheMemberStates.Othermeasures(inparticular
thoseundertheheadof'Supplementary measures"),thoughthey
dependonpreparatory workbytherailways,requiremoreactive
assistance fromtheMemberStates.Thelattersometimes have
toactintheircapacityasgovernmentauthority andsometimes
inthatofownerormajorityshareholder .oftherailwaynetwork;
itisnotalwayspossibletomakeacleardistinction between
thesetwofunctions.
15.2.ThefieldsinwhichtheMemberStatesmusttakeactionare:
(a)theelimination ofadministrative orcustomsbarriersat
frontiers;
(b)infrastructure investments ;
(c)certaininvestments inequipment,particularly large-scale
programmes concerningcentralized orintegratedtraffic
management,automation,etc.;
(d)inplementation ofcommercial measuresbasedontheconcept
ofcommoninterest.

-19-
TheCommissionbelievesitstaskistodefinetheCommunitys
requirements inthisareabydrawingupprogrammes,sending
themtotheCouncilforjointdiscussionandmonitoringtheir
implementation .Ifnecessary,itwillsendOpinionsor
RecommendationstotheMemberStates•TheCommissionwillaIso
proposetotheCouncilanymeasureswhicharenecessaryto
achievegreaterprogress,withdueregardforthepreservation
ofacorrectdegreeofautonomyinrailwaymanagement.The
Commissionintendstoworkinclosecooperationwiththe
RailwaysandtheMemberStates.

20-
VIII.CONCLUSIONS
TheCouncilisrequested :
(1)todiscussthisreport;
(2)toapprovetheshort-term ,programmedraftedbytheGroupofNine
RailwaysoftheEuropeanCommunity;and
(3)totakeadecisiononthesupplementary measuresdescribedin
thisreport.
TheCommissionwillmonitortheimplementation ofthisshort-term
programmebytheGroupofNine;makeacase-by-casestudywiththe
railwaysofthepossibilities ofbringingforwardthedeadlines
fixedintheprogramme;andprepareamoreextensiveprogrammeof
supplementary measuresinconjunction withtherailwayundertakings
andtheMemberStates.
TheCommissionwillreportagaintotheCouncilontheresults
achievedincooperation assoonasanynoteworthyprogresshasbeen
made.

GroupOTNme
oftheEuro;>eanRaiLways
CommunitiesANNEX
September 1977
STRENGTHENING INTERNATIONAL RAILWAYCOOPERATION
Short-term actionprogramme
1.programmeonmovementoftraffic
Thisprogrammeaimsatreducingthetransittimesforinternationalfreight
trafficby
(a)facilitating thecrossingoffrontiers;
(b)improvingtherunningofindividualwagons;
(c)coordinatingthesupervisionoftherunningoftrains;and
Cd)encouraging moreintensiveuseofrailwayequipment.
1.1.Crossingoffrontiers
TheIURhascarriedoutan"exhaustivestudyofthisaspect.Themeasures
tobetakeninthisfieldaretheresponsibility ofvariousbodies,
insideandoutsidetherailways;someofthemwilltakearelatively
longtimetoimplementordemandsometimesheavyinvestment.There
are,however,somechancesofimprovementintheshortterminafew
specificfields:
11.1.RIVrecordofwagonexchange -
Theexchangeofwagonsatfrontiersinvolvesinteraliathe
preparationof"hirechargeaccounts"bytherailwayswhich
necessitates thecollectionatfrontierstationsofvarious
detailsaboutthewagonsexchanged.Underthepresentsystem
thesameinformationiscollectedtwiceandthismeansalong
stopfortrains.Itisdifficulttodrawupcommonrulesfor
allrailwaysowingtotheirdifferentsituations.TheGroup
ofNineisworkingonlyonbilateralagreements.Theseare.
alreadyusedin65%of'wagonexchangesbetweentherailways
oftheNine.Specialeffortswillbemadein1978tocoverthe
remaining cases.

2
1.1.2.Technicalinspections ofrollingstock
TheRIVdefinestheconditions whichmustbemetbywagonsin
ordertobeacceptedforexchange.Wagonsarerequiredtocom­
plywiththeloading,maintenance andconstruction regulations
laiddownbytheRIV.Thesamewagonwouldusuallyhavetobe
inspectedtwiceatthefrontiertoensureitscompliance with
theseprovisions .Therailwaysareawareofthedrawbacksof
thissystemandaremakingincreasing useofasystemof"mutual
confidence"underbilateral agreements .Atotalof60%ofex­
changesaremadeunderthissystem.Bilateraldiscussionswill
becontinuedin1978and1979onthepossibility ofextending
thissystem.
1.1.3Improvingtheforwardingofdocuments
Thedocumentsreferredtoherearetheconsignment notesand
accompanying customs,commercial andadministrative documents.
Despitetheimprovements whichtheRailwayshavealreadymade,
therearestillproblemsintheforwarding ofdocumentstobe
ironedout,andthemajorityoftheRailwaysintendtoalter
themethodsused.Studiesbytherailwaysarealreadyinhand
andtheinitialconclusions areexpectedbytheendof1978.
1.2.Organization oftherunningofindividual wagons
TheGroupofNinehasdecidedtoapplythefollowing IURmeasuresas
fromnextyear:
(a)theinternational sort(LeafletNo.428-1)
(b)international labelling (LeafletNo.428-2)
(c)theformationofinternational trainsandsorts(LeafletNo.428-3)
Itwillcontinueitsstudyofthebilateralormultilateral harmoni­
zationoftrafficschedules in1978and1979.
1.3.Supervision oftherunningofinternational trains
Afterstudyingthemethodsusedbyeachrailwayundertaking,theGroup
ofNinehasdrawnupthefollowingprogrammetoimprovesupervision
andservices :

3
(a)improvinganddevelopingtelephonelinksbetweenthesupervision
centresbycreatingdirectlinksandavoidingpassingthroughmanual
switchboards ;
(5)concludingbilateralagreementsonastandardmodelwhichdefinethe
informationtobeexchangedandwhichwillsubsequentlyfacilitate
theconclusionofmultilateral agreements.
Theseagreementsshouldbeconcludedin1978.
1.4.Improvingtheuseofrollingstock
International railwayoperationsinvolvetheuseoftheequipmentof
oneRailwayonthelinesofneighbouring orevenmoredistantRailways.
Suchuseisgovernedbyinternational regulations (RICandRIV)which
definetherightsandobligationsoftheRailwaysconcerned.
Ithasbecomenecessarytorevisethejointoperatingprinciplesfor
freightstock,becausegreateruseisbeingmadeofspecializedstock
ofwhichthefleetissmaller.Thisrevisionwilltakesometime.
Exchangeagreementshavebeenconcludedinrespectofpassengerstock,
andalltheRailwaysbelievethatthereisnoreasonwhytheyshould
notbeextendedastheneedarises.
In1978theRailwayswillalsolookintothepossibilities ofcloser
cooperationaffordedbyEurofirmacoachesinthelightoftheexperience
gainedandthemoredetailedinformationwhichwillbeobtainedabout
theservicestheywillprovide.
Asfarastractivestockisconcerned,technicalconstraintsveryoften
reducethepracticalpossibilities ofinterrunninglocomotivesonneigh­
bouringnetworks;andthepossibilitiesofincreasing_the_jnterrunning^
alreadyachievedcanonlybelimited.

4
2.Commercialfreightprogramme
2.1.Marketresearch
Aprogrammecoveringtheyears1977,1978and1979hasbeenprepared
andcommercial measuresarebeingworkedouttoimplementtheconclu­
sions.
2.2.Tariffpolicy
Substantial progresshasalreadybeenmadeinthissector:
(a)theintroduction ofinternational tariffsindependent ofdomestic
tariffs;
(b)theintroduction of"conventional "international tariffs.
Asingleinternational tariffindependent ofdomestictariffsistobe
introduced bytheSNCBandtheNSin1978.
2.3.Intervention oftransportauxiliaries atfrontiers
SincethisquestionwasnotincludedintheIUR'sworkprogrammeuntil
June1977,itcannotbediscussed bytheGroupof.Nineuntillater.
2.4.Introduction ofatariffpercompletetrainandperheavytonnagerafts
forbulkygoods(ironandsteelproducts,scrapiron,coal,petroleum
products,cement,etc.)
ThedifferingviewsheldbytheNineRailwaysinthecommercial sector
havesofarruledoutanyharmonization ofthetariffmeasuresinquestion.
2.5.Preparation ofgeneralconditionsfortheuniformapplication ofinter­
nationalfreighttariffs
Theseconditions areextremely complex.TheGroupofNinehasselected
thefollowing :

5
,a).f-:xinqoftonnageconditionsandtariff.classes;
i• ■#/•»>»f'n-i"?eofboqiewagonsandprivately
<b>establishment ofapolicyfortn*u.-»eoroogie
ownedwagors;
(c)thecostsofcarryingoutcustomsformalities;•
(d)fixingofguaranteeperiods.
Withregardtothe-fixingoftonnageconditions,theIURiscurrently
examiningdomestictariffs.ThedecisiontobetakenbytheIUR
matterwillveryprobablyhaverepercussionsforinternationaltraffic.
TherearestiUdifferencesintheclarificationofgoods,andte
Railwaysfeelthatanyattemptsatharmonizationareboundtofail
becausetheireconomicandsocialstructuresaresodifferent.There
are,however,twoobligatorythroughinternationaltariffswhichhave
thesamegoodsclassification .
Thereisnoclearpolicyonpromotingtheuseofbogiewagonsorprivate
ly-ownedwagons.Hostoftherailwaysdonotyethavelargeenoughfleets
ofbogiewagons.Thetimeisthereforenotyetripeforharmonization
atCommunitylevel.
Policyontheuseofprivately-ownedwagonsandtherebatesappliedis
atpresentbeingstudiedbyaspecialIURgroup.
Thecostofcarryingoutcustomsformalitiesisnotaniter,inthe
jUR'sworkprogramme.Itseemspreferableforthissubjecttobedealt
withbythecommunity.Theproblemoffixingguaranteeperiodshaslong
beenu-.derdiscussionintheIURandtheCEM(EuropeanFreightTrain
TimetableConference).Customersdonot,however,makeuseofthistype
of.tariff.TheIURhasalsolookedatthequestionofexpressingrates
inasinglecurrency(E.G.IURfranc);however,thetimeisnotyet
ripeforadecisiononthismatterforvariouslegal,economicandprac­
ticalreasons(1).
CDcomment:TheCommissionbelievesthesereasonsshouldbeexplained.

Passenger cor^me r'Cial.workprocrarmj?
3.1 .Harmonization ofreduction rate "forparties -3'idcelegation of
authority between Railways fortheappligation ofspecial tariff
measures .
Five Railways (CFL,D8^DSB,SNC6 andSNCF <1)>have agreed toapp'.y
common provisions tointernational operations effected solely ontheir
own lines .There isalso every hope ofsubstantial agreement byBR (1)
and the FSand NS(*>aregiving sympathetic consideration totne
matter :they mayagree tocompromises -onacas^ -by-case basis -on
the rules applying ontheir respective networks .
3.2 .Mutual recognition ofreduc?d-fare railpasses forelderly persons
Atpresent BT,CFL,CIE,DB,DS3,NSandSNCF (1)grant reduced fares
forelderly people ontheir domestic services .Some railways recognize
each other 'sreduced fare passes ,and theGroup ofNine hasdeclared
itself firmly infavour ofextending these agreements toether Commu­
nity Railways .
3.3 .Harmonization ofnational rules for fixing fast train supplements
The study made bytheGroup ofNine revealed that only BR/DB,FS,NS
and the SNCF (1)currently apply supplements oncertain trains intheir
domestic services .However ,there does not appear tobeanypoint in
laying down common rules forfixing these supplements ,given the snail
number ofsupplement trains ,and theGroup ofNine therefore feels it
should simply take note ofthe situation .
3„4 .Other questions connected with passenger commercial cooperation
3.4.1 .fiurailpass formula
AllCommunity RaiUjiiys have applied this tar'ffsince 1959 with
theexception of8Rar.d CIE (1).Their particif-jt*:"n ■-;ulcbe
<•'•"-mlywelcomed andthey have been -r!'-dtor<3c–'-ci--r •:
position
(1)The full cities of':he .a* yuru_3 !•akir»os e.'--? on 9

7
Tntrr-ra iformula
A,tti,eRailways intheGroup ofNineoffer thisinternational
.facility ..
3•4»--&i1–inclusive tariff formul a
Inclusive prices arealready offered toindividual passengers
oncertain links (e.g.Brussels -London ,Paris-London night ferry ).
Thisformula could beextended toother services ifmarket con­
ditions sorequired .
Asregards accompanied cartraffic ,theEuropean Passenger Tariff
Conference (CEV)isbeing asked toconsider aproposed new^rate
.formation method based onaninclusive "carpluspassenger "
amount plustheprice ofaccommodation ofeachadditional pas­
senger .Ifthisisaccepted ,itshould bring about substantial
-andwelcome -simplifications .
3*4.4 .Reductions forchildren
Thetwelve -yearagelimit isapplied byallCommunity railways
withtheexception ofBRandtheCIE,which setthelimit at
fourteen years .Itishoped thatthese tworailways willchange
their position ontins (natter .
4.Harmonization andstand ardization
Th»Rail-ays havebeencarrying outavastprogramme ofnormalization and
standardization oftheir technical equipment formanyyears .Therailway
authorities andtheTUStakeaccount ofexisting international norms asfar
aspossible intheir workonspecific railway standards .Thisworkiscarried
outinclose conjuration withtherailway industries ,andtherailway net­
works haveundertaker ,tobuyonlystandard equipnent (1).
Comment :TheCommission wonders ifthisundertaking should notperhaps
bemade abinding provision .

8
Theshort-termprogrammenowunderwaydealswith:
(1)thestandardization ofcoacheswithseatsandcentralcorridor
forlong-distance travel;
(2)thestandardization oftwo-axlebogiesforcoaches;
(3)thestandardization ofentrancedoorstocoachesandtheir
closingandimmobilizing devices;
(4)thestandardization ofwagonbrakegear;
(5)thestandardization ofcartransporter wagons;
(6)thestandardization ofwagonends.
Thefollowingstudiesonthestandardization ofassemblies and
sub-assemblies arealsoinprogressorplannedforthenearfuture
(1)wagonwithtelescopichoods(four-axle),Shis;
(2)wagonwithopeningroof,Taes;
(3)wagonwithbulkunloadingbygravityonbothsides-Fads;
(4)ISOIC20"container;
(5)handbrakeforbogiewagons;
(6)loadprotectiondevices;
(7)interconnecting gangway;
(8)wagonswithtelescopichoods(six-axlei;
(9)wagonswithslidingwalls(two-axle),Hbis.

9
Ptitlesofthenationaj._raiJ.way_undertakings_of_the_Member <_States
Sociéténationaledeschemlnsdeferbeiges(SNCB)/NationaleMaatschappij
derBelgischeSpoorwegen (NMBS),
DanskeStatsbaner (DSB),
DeutscheBundesbahn (DB),
Sociéténationaledescheminsdeferfrançais(SNCF),
CorasIompairEireann(CIE),
AziendaautonomadelleferroviedelloStato(FS),
Sociéténationaledescheminsdeferluxembourgeois (CFl),
NaamlozeVennootschap NederlandseSpoorwegen (NS),
BritishRailwaysBoard(8RB)..