Answer given by Ms Vălean on behalf of the European Commission
24.11.2021
The applicable EU legislation[1] stipulates that, apart from exceptional and strictly defined cases, public service contracts (PSC) for rail passenger transport by rail, including regional services, have to be awarded on a competitive basis.
As a transition arrangement and except where prohibited by national law, until 24 December 2023 competent authorities can still directly award a PSC for rail services. Competent authorities for the award of such PSC have to specify public service obligations (PSO), according to the provisions of Regulation (EC) No 1370/2007[2].
Member States and their competent authorities can take certain measures in the case of a change of operator as regards staff protection in line with EC law, national law or collective agreement such as, for instance, require a transfer of staff, require public service operators to comply with certain quality and social standards, or establish social and qualitative award criteria[3].
Regional competent authorities can directly award a PSC to an internal operator, i.e. a public transport operator that they effectively control[4]. They could also directly award a PSC whose size does not exceed certain limits[5] and under other specific conditions where such contract would result in an improvement in the quality of services and/or cost-efficiency[6].
The EU provides co-funding[7] for investment projects in transport under certain conditions. However, such EU funding cannot cover the provision of transport services.
- [1] Regulation (EC) No 1370/2007 of the European Parliament and of the Council of 23 October 2007 on public passenger transport services by rail and by road and repealing Council Regulations (EEC) Nos 1191/69 and 1107/70, OJ L 315 3.12.2007, p. 1.
- [2] In particular, its Articles 2(e) and 2a.
- [3] Articles 4(5) and 4(6) of Regulation (EC) No 1370/2007.
- [4] Article 5(2) of Regulation (EC) No 1370/2007.
- [5] Article 5(4) of Regulation (EC) No 1370/2007.
- [6] Article 5(4a) of Regulation (EC) No 1370/2007.
- [7] For instance, funding under the Connecting Europe Facility, the European Regional Development Fund/Cohesion Fund or the Recovery and Resilience Facility.