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Passenger railway reform in the last 20 years - European experience reconsidered

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  • Nash, Chris
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    Abstract

    It is about 20 years since the rail reform process in Europe began with the separation of infrastructure from operations in Sweden. This paper reviews the entire process, examining the objectives of reform, the different models adopted, and the key elements of separation of infrastructure from operations, competition both through open access and franchising and regulation and infrastructure charging. It is concluded that separation of infrastructure from operations involves costs, but is the most effective way of achieving within mode competition. Where operations do not greatly overlap and open access passenger and freight are unimportant, leasing infrastructure to passenger franchisees may be effective, but the model of vertical integration as separate subsidiaries within a holding company structure makes it difficult to ensure a level playing field for new entrants and is only effective where the vertically integrated operator remains dominant.

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    Bibliographic Info

    Article provided by Elsevier in its journal Research in Transportation Economics.

    Volume (Year): 22 (2008)
    Issue (Month): 1 (January)
    Pages: 61-70

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    Handle: RePEc:eee:retrec:v:22:y:2008:i:1:p:61-70

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    1. Pollitt, M. & Smith, A.S.J., 2001. "The Restructuring and Privatisation of British Rail: Was it really that bad?," Cambridge Working Papers in Economics 0118, Faculty of Economics, University of Cambridge.
    2. Gathon, H.-J. & Pestieau, P., . "Decomposing efficiency into its managerial and its regulatory components: The case of European railways," CORE Discussion Papers RP -1133, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    3. Williamson, Oliver E, 1999. "Public and Private Bureaucracies: A Transaction Cost Economics Perspective," Journal of Law, Economics and Organization, Oxford University Press, vol. 15(1), pages 306-42, April.
    4. Cantos Sánchez, P., 2001. "Vertical relationships for the European railway industry," Transport Policy, Elsevier, vol. 8(2), pages 77-83, April.
    5. Pedro Cantos & José Pastor & Lorenzo Serrano, 1999. "Productivity, efficiency and technical change in the European railways: A non-parametric approach," Transportation, Springer, vol. 26(4), pages 337-357, November.
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    Cited by:
    1. Thomas Pettersson, 2011. "Procurement and new regional interest groups," ERSA conference papers ersa10p1641, European Regional Science Association.
    2. Markus Lang & Marc Laperrouza & Matthias Finger, 2010. "Competition Effects in a Liberalized Railway Market," Working Papers 0131, University of Zurich, Institute for Strategy and Business Economics (ISU), revised Apr 2011.
    3. Dederke, Julian, 2014. "Bahnliberalisierung in der Europäischen Union: Die Rolle des EuGH als politischer und politisch restringierter Akteur bei der Transformation staatsnaher Sektoren," PIPE - Papers on International Political Economy 20/2014, Free University Berlin, Center for International Political Economy.
    4. Rafael Lalive & Simon Luechinger & Armin Schmutzler, 2013. "Does Supporting Passenger Railways Reduce Road Traffic Externalities?," ECON - Working Papers 110, Department of Economics - University of Zurich.
    5. Rowangould, Gregory, 2013. "Public financing of private freight rail infrastructure to reduce highway congestion: A case study of public policy and decision making in the United States," Transportation Research Part A: Policy and Practice, Elsevier, vol. 57(C), pages 25-36.
    6. Pellegrini, Paola & Rodriguez, Joaquin, 2013. "Single European Sky and Single European Railway Area: A system level analysis of air and rail transportation," Transportation Research Part A: Policy and Practice, Elsevier, vol. 57(C), pages 64-86.
    7. Beria, Paolo & Quinet, Emile & de Rus, Gines & Schulz, Carola, 2010. "A comparison of rail liberalisation levels across four European countries," MPRA Paper 29142, University Library of Munich, Germany.

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