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Image header Agence Europe
Europe Daily Bulletin No. 8803
Contents Publication in full By article 26 / 38
GENERAL NEWS / (eu) eu/state aid

Commission authorises German aid to support its railway infrastructure for freight transport

Brussels, 08/10/2004 (Agence Europe) - The European Commission has decided to authorise a German aid package to support its railway infrastructure. The scheme consists in funding support for the construction, extension and reactivation of private railway sidings that are used for freight transport. EUR 8 million is earmarked for aid in 2004 and EUR 32 million annually for 2005 - 2009. A private siding is a railway track owned by a business undertaking and used to dispatch and/or receive freight as part of its commercial activities. This railway track must connect directly or indirectly with the network of a public railway infrastructure undertaking. The objective of the aid scheme is to grant funding for investments in the construction, extension and reactivation of private sidings in order to increase rail freight traffic with the aim to shift a proportion of freight traffic from road to rail. Since competing modes of transport, notably road transport, do not have similar infrastructure costs, the Commission considers that the aid is compatible with the proper functioning of the common market.

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