Mobility and Transport

Main findings

5th RMMS Report

PRIME KPI Subgroup Rome, 15-16 March, 2017

Mobility and Transport

5th Report on monitoring development of the rail market

• Adopted 8 December 2016 and consists of:

1. Report from the Commission to the European Parliament and the Council – a compact summary in the form of EC Communication to the EP and the Council, translated to all languages

2. Accompanying Staff Working Document – develops each topic in more depth, only in English

3. Data and figures – in an Excel format, accessible through EC website

Coverage

2

Mobility and Transport

http://ec.europa.eu/transport/modes/rail/market/market_monitoring_en

3

Mobility and Transport

Time coverage and sources • Developments between 2009 and 2014

• All EU MS with railways and Norway; Switzerland to some extent.

• Sources:

• RMMS (Rail Market Survey) responses

• Pocket book "EU Transport in Figures"

• Eurostat, ERA

• statistics collected by sectoral organisations

• ad hoc presentations and studies

Coverage

4

Mobility and Transport

Railway network • Increase since 2009 about

2%

• 52% electrified (+1,6 pp since 2009)

• Large sections of the network have been upgraded to enhance travel speed, but there are still wide discrepancies

• 3,4% of the network is high speed (+1400 km added since 2009):

• Ongoing projects in DK, DE, ES, FR, IT, and UK (total 1200 km) and further plans in the UK and SE

• TEN-T/CEF to address missing cross border links and bottlenecks

5

Figure 1 – Length of national rail networks (2014) and relative change since 2009 (length of lines, thousand km)

0

5

10

15

20

25

30

35

40

45

DE FR PL IT UK ES SE RO CZ HU FI AT BG NO BE SK NL

DK HR PT EL IE LV LT EE SI LU

-20% -10% 0% 10%

ESFREUBENLFI

UKDKIT

SKIELTLUHUROCZSI

LVEESEDEBGPL

HRAT

NOPTEL

Mobility and Transport

Railway network- high speed lines • Major differences between

countries in terms of travel speeds

• Freight – average speeds from 18-60 km/h

• By 2030 high speed TEN-T network should extend over 30 000 km

• ES - 2 871 km of HSL in operation and 1 200 km under construction, new lines planned in UK and SE

• The utilisation of high speed networks in Spain is 5 times lower than in in France

6

Figure 1 – Length of dedicated high speed lines (km, 2015)

Figure 2 – Long term evolution of high speed lines in Europe (km)

0

1 000

2 000

3 000

4 000

ES FR DE IT PL BE NL

UK AT

02 0004 0006 0008 000

10 000

1985

1987

1989

1991

1993

1995

1997

1999

2001

2003

2005

2007

2009

2011

2013

2015

Table-1 – Utilisation high speed lines for high speed services (2014)

BE DE ES FR IT NL UK

Traffic with high speed rolling stock (million p-km) 910 24 316 12 788 50 659 12 794 242 4 360

Length of high speed lines (km) 209 1 352 2 515 2 036 923 120 113

Proportion of high speed network compared to total network (line km) 6% 3% 16% 7% 5% 4% 1%

Utilisation rate (million high speed p-km per line km per year) 4.4 18.0 5.1 24.9 13.9 2.0 38.6

Source: Statistical pocketbook 2016, based on UIC data

Mobility and Transport

Railway network - density • CZ, BE and LU with high

population densities, have the most dense rail networks in terms of territorial coverage

• Density of rail networks per inhabitant is the highest in sparsely populated Nordic countries

• CZ and HU score high and PT and EL low both in terms of lines per surface area as well as per inhabitant

7

Figure 1 – Density of railway network in terms of surface area and population (2014)

0

200

400

600

800

1 000

1 200

1 400

CZ BE DE LU HU SK NL UK DK PL AT SI FR IT Avg HR RO BG EE ES LV PT IE LT SE FI EL NO

Line km per 10 000 km2 Line km per million people

Mobility and Transport

Rail services • Rail passenger outputs were

almost not impacted by the 2009 crisis and have continued to grow on average 1% per year

• Rail freight outputs in t-km in contrast dropped heavily in 2009 and have not yet fully recovered.

• Total train-km (including both passenger and freight train movements) have effectively not increased indicating certain productivity gains.

8

Figure 1 – Evolution of traffic volumes since 2005 and average annual change of train-km since 2009 (%)

300

320

340

360

380

400

420

440

460

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

Freight - bil tonne-km Passengers - bil passenger km

Trains - 10 mil train km -10% -5% 0% 5% 10%

IEDKEESEATLUIT

UKNL

NOBEDEHUEULTFI

LVSI

ESSKCZFRPTROBGPL

HREL

Mobility and Transport

Rail services - passengers • Slow but steady growth

overall • 6% passenger traffic

international, traffic volumes however not growing

• The largest increases in the UK, the CZ and LU, while in HR passenger traffic halved.

• Rail's modal share 7,5%, increased since 2009 0,4 pp

• Strong improvement in the NL and the UK and decline in LV, SI, BG and HR

9

Figure 1 – Evolution of rail passenger traffic volumes

370383 385 387 391

399 398 404

22

22 15 1625

28 2525

0%

1%

2%

3%

4%

5%

6%

7%

340

350

360

370

380

390

400

410

420

430

440

2007

2008

2009

2010

2011

2012

2013

2014

shar

e of

inte

rnat

iona

l

billio

n pa

ssen

ger-k

ilom

etre

s

Domestic International Share of international traffic

Figure 1 – Passenger land transport modal split (%)

6.9 6.6 7.1 7.5

83.1 83.6 83.6 83.3

10.0 9.8 9.4 9.2

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

1999

2004

2009

2014

Trains Passenger cars Coaches, buses and trolley buses

Figure 1 – Passenger land transport modal split by Member State (2014) and change since 2009 (in percentage points)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

AT DK HU NL FR SE UK CZ DE BE EU SK ES IT PL FI NO RO LU PT LV HR IE BG SI EE LT EL

Trains Passenger cars Motor coaches, buses and trolley buses -3 0 3

CZUKESATIT

SKDKNLEULTDENOBESEIE

LUEEFI

FRPTEL

HUSI

LVBGPL

ROHR

Mobility and Transport

Rail services – propensity to travel • Rail travel per inhabitant

varies by a factor of ten.

• At the high end - 1 400 km per year in AT and FR, and more than 1000 in SE, DK, DE and the NL; it keeps growing in all these countries.

• At the low end - less than 100 km in LT and EL

10

Figure 1 – Propensity to travel by rail (2014) and its average annual change since 2009 (p-km per year per inhabitant)

0

200

400

600

800

1 000

1 200

1 400

1 600

AT FR SE DK DE NL

UK BE EU IT HU LU CZ FI NO ES SK PL IE PT SI LV BG RO HR EE LT EL

-10% -5% 0% 5%

CZUKESDEATLTSKEELUEUIT

NLNODKSEFRIE

BEFI

HUSI

PTLVPL

BGEL

ROHR

Mobility and Transport

Rail services - freight • Freight volumes are still

lower than in 2007, but annual growth is 3%

• More than 50% international

• Modal share 18%, the same as 10 years ago

• Strongest increase in SI, RO and HU.

• The total tonne-kilometres in comparison to 2009 have declined only in HR, SK, EL and EE.

11

Figure 1 – Evolution of rail freight traffic volumes

218 218 187 197 221 206 203 203

231 222

178 190208

193 211 214

46%

47%

48%

49%

50%

51%

52%

0

50

100

150

200

250

300

350

400

450

500

2007

2008

2009

2010

2011

2012

2013

2014

shar

e of

inte

rnat

iona

l

billi

on to

nne-

kilo

met

res

Domestic International Share of international

Figure 1 – Freight land transport modal split (%)

19.5 18.2 16.6 18.0

74.0 75.9 77.5 75.4

6.5 5.9 5.9 6.6

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

1999

2004

2009

2014

Railways Roads Inland waterways

Figure 1 – Freight land transport modal split by Member State (2014) and change since 2009 (in percentage points)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

LV LT EE SK SI AT HU FI SE RO CZ PL HR DE EU BG NO IT UK PT DK BE FR LU ES NL EL IE

Railways Roads Inland waterways -20 0 20

SIROHU

FIIT

PTSKESDKEUATUKDEIE

BEFRBGELNLHRLUCZ

NOPLLTSELVEE

Mobility and Transport

Service facilities • The Recast Directive

introduced rules for service facilities

• Apart from stations, data availability and consistency is rather poor

• Common definitions still to be developed.

12

Figure 1 – Number of stations serving more than 10 000 travellers per day

121

4736

21 15 14 11 9 6 6 4 3 2 1 1 1 0 0 0 0 0 0

193

84 87

3119

3926

15 2012

199 6 0 0 3 1

101 0 1 0

020406080

100120140160180200

DE FR UK NL AT ES IT PL DK PT SE CZ FI LU LV NO EE HU IE LT RO SI

Stations serving over 25 000 travellers per day Stations serving 10 000-25 000 travellers per day

According to available RMMS data, in 2014 there were about: • 30 000 passenger stations; • 3600 freight terminals; • 1700 marshalling yards; • 28 500 storage sidings; • 1300 maintenance facilities; • 650 maritime and port facilities; and • 650 refuelling facilities.

Mobility and Transport

Infrastructure charging • Different charging

approaches – comparison is not straightforward

• In most countries charges for freight trains are higher than for passenger trains

• Freight charges in the Baltics are particularly high

• The intercity charges in BE, DE, ES and FR are relatively higher because these include HSL charges.

• Suburban charges are most volatile (between EUR 0.17 in the UK and 11.50 in FR) - their levels depend on national approaches to PSO contracts and rail financing

• NO did not apply charges to the major part of its network.

13

Figure 1 – Track access charges for different categories of trains (EUR per train-km, applicable 2016)

0

2

4

6

8

10

12

14

EE LV LT CZ NL

RO PL SK UK

HU HR BG FI SE SI DE ES BE FR AT IT LU PT DK NO

Freight Intercity Suburban

Freight charges higher Passenger charges higher, mixed or equal

Mobility and Transport

Capacity allocation and congestion • NB! Line km used instead

of track km, because there is no good data on tracks

• The NL has by far the most saturated network (70% of Dutch railway lines consist of multiple tracks).

• The next group is the UK, LU, DK, AT, BE and DE, being still much higher than the EU average.

• In all these Member States rail demand continues to increase

• Over the last five years, the utilisation rates have increased significantly also in IE, DK, EE, SE, and declining in EL, HR, PL, RO and BG.

14

Figure 1 – Network utilisation rates (thousand train-km per line-km, 2014) and relative change since 2009

0

5

10

15

20

25

30

35

40

45

50

NL UK DK LU AT BE DE IT Avg CZ FR SI SE PT ES HU NO SK PL IE LV FI LT HR RO BG EE EL -10% 0% 10%

IEDKEESEAT

NOLUIT

UKNLDEBE

HUAvg

LTLVFISI

PTCZSKESFRBGROPL

HREL

Mobility and Transport

Congested Sections • In 2014 ten Member States

had declared part of their network congested - more than 2000 km of tracks and 6 big passenger stations.

• In SE, the whole area of Stockholm has been declared congested.

• In addition to the sections which have been officially declared congested, there are many sections with highly saturated traffic levels

15

Member State AT CZ DE DK HU IT NL RO SE UK NO

2014

Tracks (km) 12 0 507 84 89 355 175 193 XXX* 652 71

thereof high-speed lines (km) 2

thereof lines for passenger transport (km)

12 507 89 175 193 71

Stations serving over 25 000 travellers per day (number)

1 2 1 XXX 2

Freight terminals (number) 1 XXX

Marshalling yards and train formation facilities (number)

3 1 XXX

Mobility and Transport

Infrastructure expenditure • Infrastructure expenditure

has constantly increased over the last four years

• The maintenance expenditure has fluctuated, while investment into renewal and enhancements has continuously increased.

• In 2014 25% of infrastructure expenditure went on maintenance, 29% on renewals and 45% on enhancements

16

Figure 1 – Evolution of infrastructure expenditure ( billion EUR) and

proportion of maintenance and renewal expenditure

8.8 8.812.1 10.6

10.7 10.39.3 13.4

9.716.8

17.0

20.4

0%

10%

20%

30%

40%

50%

60%

70%

80%

0

5

10

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50

2011 2012 2013 2014

Shar

e of

mai

nten

ance

and

rene

wal

s

Expe

nditu

re

Maintenance Renewal

Enhancements Share of maintenance and renewals

Mobility and Transport

Infrastructure expenditure • The total infrastructure

expenditure was highest in the UK and in FR – much higher than in DE, even if the DE network is by far the largest in the EU.

• In DE the infrastructure expenditure in 2014 also increased rapidly (+57% compared to 2013)

• In 2014 EUR 24 billion was spent on maintenance and renewal of lines, a median proportion was 52%. The extremes varied between 4% in ES and 100% in HR.

17

Figure 1 – Total infrastructure expenditure in Member States (million EUR) and proportion of

maintenance and renewal expenditure

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

UK FR DE IT ES PL SE AT NL NO BE HU CZ DK FI LT RO LV SK LU SI HR PT BG

Shar

e of

mai

nten

ance

and

rene

wal

s

Expe

nditu

re

Maintenance Renewal Enhancements Share of maintenance and renewals

Mobility and Transport

EU funding • In total more than

EUR 33 billion in grants under the current financial framework (2014-2020) has been allocated to rail investment.

• Almost three quarters of the CEF funding and 37% of total EU transport funding has been dedicated to rail.

• PL is the main beneficiary, both in absolute and relative terms

18

Figure 1 – Total allocated EU rail funding in Member States in relation to their network length (2014-2020, thousand EUR per line-km)

0

100

200

300

400

500

600

PL EL PT LV SK LT HR CZ LU SI HU RO DK BG EE ES Avg IT AT DE NL FR BE UK IE SE FI

In total more than EUR 33 billion in grants under the current financial framework (2014-2020) has been allocated to rail investment. As s

Mobility and Transport

Quality and reliability • Note: definition of “on

time” varies!

• The best performing Member States have small passenger rail networks, ES is the only large network recording punctuality over 95%.

• The punctuality of long-distance services tends to be worse than regional and local services.

• DE and IT, two of the largest networks have some of the lowest long-distance punctuality scores.

19

Figure 1 – Punctuality of regional and local passenger services, percentage of services on time

75%

80%

85%

90%

95%

100%

EE LV PT FI LT DK AT IE ES BG NL SK DE PL NO CZ SE SI LU UK FR RO IT HR BE HU

2012 2013 2014

Figure 1 – Punctuality of long distance passenger services, percentage of services on time

60%

65%

70%

75%

80%

85%

90%

95%

100%

EE LV IE LT FI RO NL ES DK IT NO SE UK CZ FR SI PT HU AT SK BG EL PL BE DE HR

2012 2013 2014

Mobility and Transport

Safety • There were about 1 000 rail

fatalities in 2014.

• Railway safety continued to improve between 2009 and 2014, with fatalities, serious injuries and significant accidents all decreasing.

• Excluding suicides, more than two thirds were accidents to persons caused by rolling stock in motion and level crossing accidents

20

Figure 1 – Significant accidents and resulting causalities

1517 1478 1383 1270 1206 1135 1129 1054

1367 13801104 1249

1050 1015 911 819

2292 2224 20691980 2076

0

500

1 000

1 500

2 000

2 500

3 000

3 500

4 000

4 500

2007 2008 2009 2010 2011 2012 2013 2014

Fatalities Serious injuries Significant accidents

Mobility and Transport

Services under Public Service Obligation • 68% of the p-km in 2014

were PSO services, +4 pp compared to 2012

• In DK, IE, HR, EL and LU all passenger services are under PSO.

• In general, the larger Western-Europeans countries have relatively less PSO services.

• In most countries the PSO compensation per train-km is higher than EUR 5, the total support provided was around EUR 20 billion.

21

Figure 1 – PSO Services as % of total passenger services (2014)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

DK IE HR EL LU SI FI UK HU RO NL EE CZ BG SK BE LV PL NO AT LT IT PT DE ES SE FR

PSO non PSO

Figure 1 – PSO compensation per train-km (EUR/train-km, 2014)

-

5

10

15

20

25

30

RO FR LU BE NO IT DK AT DE IE LV SK HU ES BG EE HR CZ PL EL SI FI PT LT UK

RO EUR 113

Mobility and Transport

Freight market opening • In the majority of States the

market share of competitors is higher than 20%

• In SE, the UK, BG, NO, RO, IT and the NL it is more than 40%.

• In 2014 rail freight transport was 100 % in the hands of national incumbent in FI, EL, IE, LT and LU

22

Figure 1 – Market share of competitors in the freight market (2014, % of t-km) and evolution 2011-2014 (in percentage points)

0%

10%

20%

30%

40%

50%

60%

SE UK

BG NO RO IT NL

HU FR PL DE EE CZ BE DK LV AT ES PT SK SI HR IE EL LT LU FI -20% 0% 20%

ROEELVIEELLTLUFI

PTSI

HRESDKSKUKNLPLATDEIT

FRHUNOBECZSE

BG

Mobility and Transport

Passenger market opening • Market shares of

competitors in the rail passenger market are lower than in the freight market

• In most countries incumbents keep a market share over 80%, with exceptions of PL and the UK.

• At least in 15 countries competing operators have entered the rail passenger markets

• The number of active RUs (freight and passenger) was increasing in PL, FR, DE, and HU and decreasing in BU and NL (2013 to 2014)

23

Figure 1 – Market share of competitors in the passenger market (2014, % of p-km)

and evolution 2011-2014 (in percentage points)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

UK PL IT DE AT LV NO RO PT DK CZ EE FR SK HU BE BG IE EL ES HR LT LU SI FI

-10% 0% 10%

EENOBEDKUKBGIEELESHRLTLUSIFI

LVPT

HUDEIT

ROSKFRCZATPL

EE -52 pp

Mobility and Transport

Employment • About 900 000 people were

employed either by railway undertakings (549 000) or infrastructure managers (357 000) at the end of 2014.

• In many Member States railway undertakings are among the largest national employers

• Railway undertakings generally employ a higher proportion of labour force compared to infrastructure managers.

• The overall percentage of staff in infrastructure managers is higher in South and Eastern Europe and lower in Northern Europe

24

Figure 1 – Proportion of labour force between infrastructure managers and railway undertakings (2014)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

FI NL EE DK LU BE DE FR IE LT SI SE IT UK CZ PT PL ES HU NO BG RO AT SK HR LV

Railway undertakings Infrastructure managers

Mobility and Transport

Employment • Total employment has

decreased between 2014 and 2011 by 4% being relatively more significant among infrastructure managers

• There is a gradual move, especially by new entrants, towards multifunctional positions (except in the case of drivers) leading to new types of jobs, requiring relatively higher qualifications and continuous in-job training

25

Figure 1 – Staff employed in infrastructure managers (2014, thousand)

-120%

-100%

-80%

-60%

-40%

-20%

0%

20%

0

10

20

30

40

50

60

FR PL DE UK IT RO CZ HU SK AT BG ES BE LV NL SE LT NO PT EL SI DK IE LU FI HR EE

2011 2014 Variation (%)

Mobility and Transport

Employment – gender and age • Women are

underrepresented in the railway sector

• The proportion of women is higher (but still less than 50%) in SE, EE and AT

• Workforce is ageing, with proportion of workers older than 40 years typically higher than 50%.

• The proportion of workers older than 50 years was in 2012 particularly high in Spain, Greece, Finland and Italy

26

Figure 1 – Gender structure of railway staff (2012)

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

ELLU ES U

KIT PT FI SI FR DE BG HU RO NL SK CZ DK PL N

O LV LT EE SE AT

Active population MEN Active population WOMEN

Railway MEN Railway WOMEN Figure 1 – Age pyramid of workers in rail

(thousand employees, 2012)

0

50

100

150

200

250

300

350

Railway staff<30

Railway staff30-39

Railway staff40-49

Railway staff50-59

Railway staff>60

Mobility and Transport

Finances and performance • The overall cost of rail

system in 2012 was about EUR 110 billion

• The split between infrastructure and operator cost was 30%:70%

• 30% of this was covered by public subsidies, 60% by service fees and the reminder by other sources

• Passenger revenue has increased, while operating costs have remained broadly static

27

Figure 1 – Cost and contribution of rail sector (billion EUR, 2012 in 2010 prices)

75.7

36.4

46.4

20.0

35.0

10.7

0

20

40

60

80

100

120

Costs Income

Operator cost

IM cost

Passenger revenue

Freight revenue

Subsidy

Other

Mobility and Transport

Finances and performance • The spread of operating

costs lies broadly in the range of 20 – 40 EUR per train-km.

• Few notable outliers – EL and HR

• Towards the upper end of this range lie high-income Western European Member States including BE, the NL and AT with FR and LU even higher.

• A number of Central European Member States lie towards the lower end of the range including CZ, HU and PL.

28

Figure 1 – Operating costs per train-km by Member State (EUR per train-km, 2012)

Source: Study on the Cost and Contribution of the Rail Sector

0

20

40

60

80

100

120

BE BG CZ DK DE EE IE EL ES FR HR IT LV LT LUHUNL AT PL PT RO SI SK FI SE UK

Railway undertaking(s) Infrastructure manager(s)

Mobility and Transport

Where we stand

Conclusions

29

Increasing passenger volumes Increasing investment Markets gradually opening…

… but unevenly Rail freight recovery slow Modal share stagnant Efficiency gaps

The European railways have still issues with cost, quality of services and market share

Mobility and Transport

Ongoing work: Conclusions

30

•Implementing act on access to service facilities •Scheduling rules

The Recast Directive (2012/34/EU)

•Passenger rights Regulation •Combined transport Directive Revisions

•Rail freight corridor Regulation •Train Drivers Directive Evaluations

•Revised TSI (Technical Specifications for Interoperability) Noise Environment

•TEN-T Guidelines, CEF, European Fund for Strategic Investments •ERTMS deployment plan Infrastructure

•Implementation of the Technical Pillar ongoing •Implementation of the Market Pillar launched 4th Package

Mobility and Transport

Accommodating future challenges:

Conclusions

31

Innovation Shift2Rail

Financing CEF blending call

Efficiency RFC,

PRIME, RU dialogue Multimodality

2018 – year of Multimodality

Level playing field across modes

analysis ongoing

Security analysis ongoing