30th IRU World Congress Dubai, UAE 14-16 March 2006

Congress Highlights - 2nd Round Table - Ralf Jahnke

Ralf Jahnke
President and CEO, TransCare, Germany

Influence of truck tolls on the modal split in cargo traffic

The existing survey pays very close attention to appeal of the state railways to increase the costs of the road by increasing tolls. According to the railways´ opinion the modal split could be improved in favour for the rail. The increase of the toll in Europe demanded by the European railway companies comes to 0.60 €.
This unique study shows, pragmatically as well as statistically documented, that a toll increase as demanded will have no measurable transfer effects!

1. The modal shift potential created by pricing and without increasing quality of rail transport is limited to 1.22% of the current volume transported by truck.

2. This modal shift potential (1.22% and 58.8 million t) could only be achieved through an increase of the toll to a value of 1 € per truck-km on all roads.

3. It is still uncertain, if the improvement of the competitive environment has been used by the railways. However price increases in road transport were used to increase the prices in rail transport in parallel in the past, without using the possible competitive advantage to the generation of more traffic.

4. The effects of a toll increase of this magnitude on the national and business economies are severe. The operational incosts will cause an increase of 1.6% with a concerning pressure of inflation. As if the global competition avoids fiscal-cost-increases, this causes a bisection of the margins of the commercial economy in the biggest European economies. This effects insolvencies, reduces growth of economies and increases the unemployment.

5. Drastically increased road tolls would be create a location disadvantage with the accompanying weakening of the European position in global competition. A high price to pay for a small increase in rail transport.

6. A modal shift from road to rail will not be achieved by weakening road traffic through high pricing.

7. Contrary to this a shift from road to rail of up to 4.1% could be achieved by improving the quality and structures in rail freight transport. And this would be an increase of rail freight of approx. 196 million t or 32.3%!

Transfer of traceable quantities to rail can only be achieved by target oriented improvements in the offers of rail freight transport. The management of the railways should be concerned about their essentially available chances and potentials, instead of stressing the efficient competition of the road as a disadvantage for the economy. Private railway companies already show on some examples, e.g. inland waterways, how efficient the rail can be.
Road transport carriers proved over decades, that they were willing to use the rail, as far as the services are competitive. The politics should be beware of following the incorrect claims of the state railways.
Which sports regulatory commission puts a lead belt on the best contestant to give everyone an equal chance?

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