CELEX: 51982PC0846
Language: en
Date: 1982-12-20
Title: Proposal for a COUNCIL DECISION on the commercial independence of the railways in the management of their international passenger and luggage traffic (submitted to the Council by the Commission)

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COM (82) 846
Vol. 1982/0258
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 ---pagebreak---  COMMISSION OF THE EUROPEAN COMMUNITIES
                                                    COM(82 ) 846 final
                                                    Brussels . 20 December 1982
                                   Proposal for a
                                  COUNCIL DECISION
 on the commercial independence of the railways in the management of their
                    international passenger and luggage traffic
                   ( submitted to the Council by the Commission )
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C0MC82 ) 846 final
 ---pagebreak---                                EXPLANATORY MEMORANDUM
I. GENERAL
   1.      Europe 's railways are more than ever essential to economic and social
           activity in the Community as a whole , both for freight transport and for
           passenger transport .
           Where passenger transport is concerned , in order to make better use of
           the advantages which the railways offer society in general , it is
           necessary for the railway enterprises to develop a dynamic and effective
           commercial policy designed to enable them to improve the level of service ,
           to attract new customers and to defend the position of the railways
           against competition on the markets in question .
           To enable such a commercial policy to attain these objectives , it is
           important that measures should be promoted which seek , on the one hand ,
           to remove obstacles to the commercial independence of the railways and ,
           on the other hand , to encourage the railways to continue with their
           efforts with a view to strengthening international railway cooperation .
   2.      Following its resolution of 15 December 1981 on railway policy, the
           Council took note , at its meeting of 10 June 1982 , of the Action
                                                                          (1 )
           Programme which the Commission submitted to it on 11 May 1982       , and
           asked the Commission to submit practical proposals .
    3 . Where international passenger transport is concerned , in Chapter II
           of this Programme the Commission envisaged certain measures ( some to
           be taken by the governments and others to be taken by the railways ) in
            respect of commercial management .
            The Commission proposal attached concerns the measures to be taken
            by the governments with a view to removing obstacles to the pursuit of a
            dynamic and effective commercial policy by the railways .
      ( 1 ) COM ( 82 ) 237 final .
 ---pagebreak---                                          - 2 -
      4 . The purpose of the attached proposal from the Commission is therefore to
           grant the railways commercial independence in the management of their
           international passenger and luggage traffic .
           Such independence - a corollary of which is that the governments , in their
           capacity as Supervisory Authorities , should refrain from intervention in
           the management of the railways , and that there should be commercial freedom
           for the railways , in particular in matters concerning marketing and pricing
           policy - is a pre-requisite for the strengthening of commercial cooperation
           between the railway enterprises in the Community and , in consequence , an
           improvement in their position on the passenger transport market .
           In return for this independence , the railway enterprises would have to manage
           their international passenger traffic in such a way as to obtain an optimum
           remuneration for services and to ensure that the overall financial results
           make i i. possible to cover the specific assignable costs and to contribute
           towards the coverage of joint costs .
      5 . This proposal will make it possible to extend to international passenger
           traffic the commercial independence which the railway enterprises already
                                                           (1 )
           enjoy in their international goods traffic .         In this way , the railways
           would enjoy managerial independence in all their international activities ,
           for the purpose of strengthening cooperation so as to optimize thei r financial
           results .
II . PARTICULAR CONSIDERATIONS
                                         Article 1
           The Decision is to be applied to the railway enterprises of the ten Member
           States . This Article is identical to Article 1 of the Council Decision of
           19 July 1982 .
                                         Article 2
           This Article specifies the scope of the commercial independence granted
 v *"    ' to? th-e'Tattway ^nterprises^vM tfo -regard to pricing, the - creation of ., revjenue , .„ >..s ..
           pools within the framework of communities of interests , and all-in package,
           servi ces .
                                                                                         •!mm m
1 ) Council Decision or 19 July 'i982 ( OJ N° L 234 of 9 August 1982 , p. 5 ).
 ---pagebreak---                              - 3 -
                          Article 3
In return for managerial independence , the railways will be required
to optimize the overall financial results relating to international
passenger traffic .
                           Article 4
With a view to implementing this Decision , the Member State shall eliminate
any legal , statutory or administrative obstacles in their national laws .
                           Article 5
Paragraph 1
By 31 December 19814 at the latest , the railways will state their position
 on the advisability of setting up a joint office for commercial activities
 at international  level .
                           Articles 6 and 7
 No particular observations .
 ---pagebreak---                        Proposal for a
         Council Decision on the commercial independence of the
         railways in the management of their international
               passenger and luggage traffic
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community /
and in particular Article 75 thereof .
Having regard to th« proposal from the Commission ,
Having regard to the opinion of the European Parliament ,
Having regard to the opinion of the Economic and Social Committee ,
Whereas in its resolution of 15 December 1981 the Council set out the
broad lines of railway policy within the framework of the common transport
policy and in particular expressed its interest in greater cooperation
between railways undertakings where international traffic is concerned ;
Whereas the railways have an important role to play where international
passenger traffic is concerned , and in particular should make better use
 of their capacity ;
 Whereas the attainment of this objective presupposes that the Member
 States remove all obstacles to sufficient managerial independence of
 railway undertakings , so as to enable them to focus their joint efforts
 on improving international passenger services with a view to optimizing
 their financial results ;
                                                                  •/ • • •
 ---pagebreak---                             - 2 -
     Whereas such cooperation in the commercial management of such
     traffic , taking into account joint interests , entails in particular
     a flexible , dynamic and attractive pricing policy reflecting the specific
     structure of the international markets in question ,
     HAS ADOPTED THIS DECISION :
                              Article   1
1 . Member States shall take the necessary steps to ensure that this
     Decision is applied to the following railway undertakings :
     - Société nationale des chemins de fer beiges ( SNCB) / Nationale Maatschappij
       der Belgische Spoorwegen ( NMBS ),
     - Danske Statsbaner ( DSB ),
     - Deutsche Bundesbahn ( DB ),
     -" Οργανισμός Σ ι δηροδρόμον " Ελλάδος Α . Ε . ( ΟΣΕ ),
     - Société nationale des chemins de fer français ( SNCF ),
     - Coras Iompair Eireann ( CIE ),
     - Azienda autonoma delle ferrovie dello Stato ( FS ),
   - - Société nationale des chemins de fer luxembourgeois ( CFL ),
     - Naamloze Vennootschap Nederlandse Spoorwegen ( NS ),
     - British Railways Board ( BRB) ,
     - Northern Ireland Railways Company Ltd ( NIR ).
2 . As regards the Societe nationale des chemins de fer luxembourgeoi s ( CFL ),
     Belgium and France shall , in conjunction with Luxembourg , make any amend­
     ments to the basic texts which may prove necessary to permit the application
     of this Decision . This Decision shall be applied without prejudice to
     Article 5 of the Belgo- Franco-Luxemburg Convention of 17 April 1946 .
 ---pagebreak---                               - 3 -
                             Article 2
1 . The railway undertakings shall enjoy commercial independence in the
    management of their international passenger and luggage traffic .
2 . Independence within the meaning of paragraph 1 shall include in particular
    the freedom for the railway undertakings to determine transport rates and
    conditions in accordance with the market situation and their own interests ,
    including the choice of instruments , the establishment of international
    transport rates independent of domestic transport rates and the creation
    of revenue pools within the framework of communities of interest .
3 . The railway undertakings shall be allowed to offer , on their own or
     in cooperation with other transport undertakings or the tourist
    industry , all-in package services .
                               Article 3
    The railways shall manage the commercial international passenger and
     luggage traffic in such a way as to obtain an optimum remuneration for ser­
     vices and to ensure that the overall financial results ensure the coverage
     of specific assignable costs and a contribution to the coverage of joint
     costs .
                               Article 4
     Member States shall remove , within the framework of their railway legislation ,
     any lega I , regulatory or administrative obstacles to the strengthening of
      commercial cooperation between the railway undertakings as regards inter­
      national passenger and luggage traffic .
 ---pagebreak---                                - A -
                            Article 5
1 . By 31 December 1984 at the latest , the railway undertakings shall submit
    to the Commission and to the Council a report on the advisability of
    establishing , for international passenger traffic , a joint office with
    sufficient staff and equipment to implement commercial measures .
2 . Five years after the entry into force of this Decision , the Commission
    shall report to the Council on the results of its implementation . The
    Council shall review the situation in the light of this report and ,
    on a proposal from the Commission , shall take the appropriate decision
    acting by a qualified majority .
                            Article 6
    Before 1 January 1984 , and after consultation with the Commission ,
    Member States shall adopt the provisions necessary for the implementation
    of this Decision . At the request of a Member State or   if the Commission
    considers it advisable , the latter shall consult the Member States on
    the draft provisions in question .
                            Article 7
    This Decision is addressed to the Member States and the railway
    undertakings referred to in Article 1 .