site.btaUPDATED Railway Transport Companies Resent Increase in Infrastructure Access Fees, Minister Claims they Will Save on Costs

The Association of Railway Transport Enterprises (ARTE) resents an increase in railway infrastructure access fees. Association Chair Penko Nestorov told a news conference at the BTA National Press Club on Thursday said that as of Wednesday the fees for the use of rail infrastructure have increased 2.7- or 2.8-fold, depending on the types of trains and the conditions of carriage. "The industry cannot afford this. This decision should be justified and discussed with the industry. The impact that such an increase would have on the charges of the National Railway Infrastructure Company (NRIC) should also be assessed," Nestorov said. He added that this has not been done and a number of laws have been violated.

Earlier in the day, the NRIC governing body adopted a decision which updated the fees for some of the company's services, the NRIC said in a press release.

The ARTE Chair said that putting a train into service requires the payment of five fees, including an infrastructure fee and a timetable fee, which currently amounts to almost BGN 8 per kilometre.

"All carriers in Germany pay EUR 3.14 per kilometre. We have to pay EUR 7.85 per kilometre after Wednesday's change," Nestorov noted. "Until Wednesday, handling that same train would have cost us EUR 4.79 per kilometre," he said, specifying that this is a twofold increase in one day.

"What necessitates this drastic change? We do not know," Nestorov noted.

He said that his Association has tried several times to meet the Transport Minister and familiarize him with the problems in the industry but so far they have got no response. 

Commenting on this accusation, Transport and Communications Minister Georgi Gvozdeikov said that no industry had been denied a meeting with him. "The rail carriers are only trying to make headline news," he added, speaking at a news briefing with the NRIC management on Thursday.

Earlier in the day, ARTE representatives did not attend a scheduled meeting with the NRIC, the Minister noted.

"The change does not involve an increase in fees. It concerns services and a change in the price for last-minute timetable," Gvozdeikov added. He cited the different fees charges for the issuance of identity documents depending on the type of service: standard, fast, or express.

The Minister said that freight rail carriers will save over BGN 4.4 million from the changes made to the NRIC's charges. "As of the start of 2024, the infrastructure fee for using the railway network will be reduced by 32%,  the unused capacity fee will be reduced by 16%. Taking into account all these changes, estimates show that cumulatively, the business will save money and will not be at a loss," Gvozdeikov specified.

Gvozdeikov explained that the increase, effective November 1, concerns the charges for several additional express freight rail transport services that should be ordered up to 48 hours before a train's departure.

"The charges for extra trains and for preparing additional timetables other than the annual ones have not been changed for 15 years. During that period, rail freight transport costs have increased by 223%," he said.

The Transport Minister added that the NRIC made a decision to update the fees back in 2022, but its implementation has been put off several times by the caretaker cabinet.

NRIC Director General Maria Genova stressed that the services affected by the increase are not compulsory. She added that they are rather intended to benefit businesses and carriers. "These services enable businesses to meet their customers and shippers' demands as fast as possible by requesting express changes to the timetable," Genova added.