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Rail undertakings concerned about market developments

Freight rail undertakings and passenger rail undertakings have concerns about the affordability and availability of rail capacity. In their view, the infrastructure charge (the fee they have to pay for using the rail infrastructure) is too high. They also believe that too little capacity is available. This capacity has particularly come under pressure since Dutch network infrastructure manager ProRail is carrying out maintenance works at numerous locations.

These concerns about the affordability and availability of rail capacity have been revealed by the Rail Monitor of the Netherlands Authority for Consumers and Markets (ACM). In it, ACM discusses recent trends and developments in the Dutch rail sector, and presents the results of a survey held among stakeholders, in which rail undertakings and passenger organizations have given their opinions on the rail transport sector.

A more detailed study in 2017

Henk Don, Member of the Board of ACM, explains: ‘As the rail regulator, we want to find out whether the concerns that have been expressed are valid concerns. That is why we will conduct a more detailed study  in 2017 into the way ProRail handles available rail capacity. ACM will also assess in 2017 whether ProRail calculates the infrastructure charge correctly.’

Pressure on rail capacity is rising

Freight rail transport and passenger rail transport continue to grow. Passenger rail transport has risen from 144.8 million train kilometers in 2014 to 145.6 million train kilometers in 2015, and to 147 million in 2016. Freight rail transport has risen from 10 million train kilometers in 2014 to 10.6 million in 2015, and to 11 million in 2016.

About the infrastructure charge

Rail undertakings each pay an infrastructure charge to ProRail for using the rail infrastructure. In the stakeholder survey, they have indicated that they believe this charge is too high. As part of the 2012 coalition agreement of the Dutch cabinet, the infrastructure charge saw an increase of EUR 50 million. The freight rail undertakings are of the opinion that the current price structure makes it more difficult to compete with road transport and water transport.

Equal opportunities for passenger rail undertakings

Passenger rail undertakings that wish to enter the Dutch rail market have concerns about the opportunities that they have to compete for rail transport concessions. The Dutch cabinet has charged an independent commission with the development of various scenarios for organizing the Dutch rail market after 2024. In that year, the current concession for passenger rail transport on the main railway network expires. At the request of the Dutch House of Representatives, ACM will give advice to this commission.