Brussels 08/06/2006 (Agence Europe) - The European Commission on 7 June approved Dutch aid to promote railway freight transport by supporting the implementation of the new European Train Control System (ETCS). The system, which is part of the broader European Rail Traffic Management System (ERTMS), will be implemented on a new Betuwe railway line for freight trains which will be opened between Rotterdam and German in January 2007. The Dutch authorities intend to partially cover the costs of installing the ETCS on board the locomotives used on this line, as its implementation requires considerable investment on the part of rail companies. The budget for the scheme is 15 million euros for 2006 and 2007, and a subsidy can be granted to any owner of a freight locomotive. The Commission believes that optimal operation of the Betuwe line will contribute to developing railway activities, which is in line with European transport policy, and that in this context, aid is indispensable in order to avoid the line not being used to full capacity. It also believes that the aid will have a limited impact on competition between freight operators on the Dutch rail network, and that it will help avoid the investment costs disproportionately disadvantaging small operators in relation to the formerly public enterprises.