Romanian ministry ‘receptive’ to rail freight concerns

OPSFPR, the Romanian rail freight association, says that a recent meeting with the transport ministry has yielded some positive results. Rail freight parties took the opportunity to raise various pressing issues, among which is the need to explain to customers why freight trains “take a week to travel 200 kilometres”. The ministry seems at least somewhat receptive to the sector’s concerns.
“The meeting with the Ministry of Transport and other relevant authorities was positive”, explains Simona Istrate, president of OPSFPR, to RailFreight.com. “The acceptance of proposals from railway carriers for minor legislative changes shows that there is a recognition of the importance of improving traffic management in railway yards.”

Istrate points to an interface risk assessment by infrastructure manager CFR and the railway safety authority as an example of such recognition. “It is encouraging to hear that there is hope for visible improvements in rail freight traffic in the near future”, she says. “The collaborative efforts and ongoing discussions between the government and private entities in the railway sector are important for driving the development and efficiency of rail freight transport in Romania.”

A week to travel 200 kilometres

According to Istrate, the rail network in Romania is in poor condition, leading to longer travel times for all types of trains. “This not only inconveniences passengers but also hampers the efficiency of freight transportation, potentially affecting trade and economic growth”, she says. Earlier, the sector complained that they needed to explains to customers why their trains “take a week to travel 200 kilometres.”

The state of the rail network also compromises the safety of transportation via rail, the OPSFPR president says. “A neglected infrastructure can increase the risk of accidents and derailments. To address these issues, it is crucial for Romania to prioritise investment in rail infrastructure maintenance and upgrades. This would not only improve travel times and safety but also enhance the overall efficiency and attractiveness of rail transportation in the country.”

High costs, but no financial support for rail freight

Moreover, Romanian rail freight struggles with high electricity costs and a lack of state support. It does not operate on a level playing field, says Istrate. She calls for a fairer and more transparent market for traction electricity.

“This can be done by allowing multiple suppliers to enter the market and giving railway operators the power to negotiate better prices. By increasing competition, it is possible to reduce the cost of traction electricity and make rail transport more financially viable. So, it would not only lower operational costs but also align with the EU’s commitment to reducing greenhouse gas emissions,” Istrate explains.

Lastly, Romanian rail freight cannot count on state support at the moment. “The absence of state aid measures puts rail freight transport at a disadvantage compared to road transport. State aid measures, such as subsidies or tax incentives, can help reduce the operational costs of rail freight transport and make it more financially viable. Without such support, rail freight transport faces challenges in remaining competitive and attracting customers”.

Dialogue with the government

To resolve this, Istrate calls upon the government to support the sector. “The government should consider implementing state aid measures to support rail freight transport, similar to what is practised in other European countries. These measures could help level the playing field and make rail freight transport more attractive and competitive”, she says.

It looks like there is a window of opportunity for Romanian rail freight to address these issues. The government and rail freight sector will now be holding monthly meetings, reported Romanian publication Club Feroviar earlier.

“The emphasis on a permanent, constructive, and honest dialogue between the authorities and the private railway association in Romania is essential for resolving problems and ensuring the development of railway transport in the country”, Istrate comments to RailFreight.com. “By maintaining this partnership approach, both the railway infrastructure manager and the railway carriers can work together towards achieving their common objective.

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