Europe was on the brink of a night train revolution. Here’s what actually happened
Nick Brooks, secretary general of ALLRAIL, a pressure group representing non-state train operators, told CNN that national rail companies have an unfair advantage over new entrants.
“Politicians must be clear: the night train market will be effectively closed for a very long time,” he says. “This runs contrary to the goals of the single EU rail market – which is madness when a clear and efficient alternative model already exists.”
The Connecting Europe Facility (CEF) Will Only Be Optimised If There Is Modern, Interoperable Rolling Stock
The proposed strategic investment in rail infrastructure in the recently announced Connecting Europe Facility (CEF) grants will only be optimised if there are modern, interoperable trains that can use it. However, modern, interoperable trains come with very high acquisition and upgrading costs. Therefore, it is crucial that the EU enables sufficient non-discriminatory funding to support the implementation of the latest interoperability technologies.
Open Access is Now – Private Investment is Proven to Grow the Rail Sector IF Certain Barriers to Entry Are Broken Down
Now, just 2 and a half years after its launch, Lumo is already profitable and significantly boosting the profits of its parent company, First Group.
What is the difference to the EU?
▶ In the UK, there is impartial retail – All Rail Tickets Sold At All Rail Ticket Vendors – e.g. it is regulated that LNER sells Lumo (and vice-versa). The priority is Full Transparency for passengers.
▶ There is a vibrant rolling stock market. Despite being entirely Open Access, Lumo has a brand-new fleet, funded by a leasing company.
▶ Track Access Charges are much lower, especially for new Open Access services - unlike the 17.7% increase that is foreseen in Germany next year.
Conclusion: Open Access works – but sadly, we are still a long way from achieving Lumo-style newcomers in the EU.
Sweet dreams vs rail nightmares
“While the lop-sided nature of the financing market persists, there must be correctional action,” says Mr Nick Brooks, secretary general of the Alliance of Passenger Rail New Entrants (AllRail).
“All rolling stock operators should receive the same financing terms as state-owned rail incumbents, if necessary, with a similar type of state-backed guarantee. This should remain the case until the rail financing market achieves a similar level of maturity as, say, the aviation or bus sector.”