European Parliament resolution of 26 February 2014 on the European Commission’s 7th and 8th progress reports on the EU Cohesion Policy and the Strategic Report 2013 on programme implementation 2007-2013 (2013/2008(INI))

P7_TA(2014)0132 A7-0081/2014

The European Parliament,

–  having regard to the Commission’s ‘Seventh progress report on economic, social and territorial cohesion’, of 24 November 2011 (COM(2011)0776), and its accompanying staff working paper (SEC(2011)1372),

–  having regard to the Commission’s ‘Eighth progress report on economic, social and territorial cohesion – The regional and urban dimension of the crisis’, of 26 June 2013 (COM(2013)0463), and its accompanying staff working document (SWD(2013)0232),

–  having regard to the Commission’s ‘Cohesion policy strategic report 2013 on programme implementation 2007-2013’, of 18 April 2013 (COM(2013)0210), and its accompanying staff working document (SWD(2013)0129),

–  having regard to the Commission proposal of 6 October 2011 for a regulation of the European Parliament and of the Council laying down common provisions on the European Regional Development Fund, the European Social Fund, the Cohesion Fund, the European Agricultural Fund for Rural Development and the European Maritime and Fisheries Fund covered by the Common Strategic Framework and laying down general provisions on the European Regional Development Fund, the European Social Fund and the Cohesion Fund and repealing Regulation (EC) No 1083/2006 (COM(2011)0615),

–  having regard to its resolution of 11 March 2009 on Cohesion Policy: investing in the real economy(1),

–  having regard to its resolution of 7 October 2010 on EU cohesion and regional policy after 2013(2),

–  having regard to its resolution of 20 May 2010 on the contribution of the cohesion policy to the achievement of Lisbon and the EU2020 Objectives(3),

–  having regard to the Commission proposal of 6 October 2011 for a regulation of the European Parliament and of the Council on specific provisions concerning the European Regional Development Fund and the Investment for growth and jobs goal and repealing Regulation (EC) No 1080/2006 (COM(2011)0614),

–  having regard to the 4th CoR Monitoring Report on Europe 2020, Committee of the Regions, October 2013,

–  having regard to the joint paper from the Commission’s Directorates-General for Regional & Urban Policy and Employment, Social Affairs & Inclusion, entitled ‘EU Cohesion Policy Contributing to Employment and Growth in Europe’, July 2013,

–  having regard to the study published by Parliament entitled ‘Cohesion policy after 2013: a critical assessment of the legislative proposals’, June 2012,

–  having regard to Rule 48 of its Rules of Procedure,

–  having regard to the report of the Committee on Regional Development and the opinions of the Committee on Employment and Social Affairs and the Committee on Women’s Rights and Gender Equality (A7-0081/2014),

A.  whereas empirical evidence shows that the economic, financial and social crisis has brought the convergence process to a halt or has even reversed it, thus aggravating disparities between regions and bringing to an end a long period during which regional disparities in GDP per head, and unemployment within the EU, had been consistently decreasing, while at the same time affecting more severely the weaker regions in the Union;

B.  whereas public resources both at Member State and EU level have become scarcer and subject to increasing pressure, while the crisis and the ensuing recession, as well as the sovereign debt crisis in several Member States, have pushed Member States to finally implement the needed important structural reforms to contribute to the restoration of economic growth and job creation, sometimes leading to cuts in the co-financing of the Structural Funds and the Cohesion Fund;

C.  whereas the policies of fiscal consolidation have increased the role and importance of cohesion policy as a source of public investment, in particular at sub-national level, as this policy funding represents more than half of all public investment in a significant number of Member States and regions;

D.  whereas the crisis is adversely affecting all European regions and cities, thus increasing the importance of cohesion policy funding also in transition regions and in more developed regions;

E.  whereas the contribution to the aims of the Europe 2020 Strategy has a very strong regional dimension that should be taken into account in the preparation and implementation of the next generation of programmes under cohesion and other investment policies of the EU;

F.  whereas the emphasis of cohesion policy has up until now rather been on absorption than on defining and monitoring – and evaluating the achievement of – objectives, while the monitoring and evaluation systems fail to fully achieve their purpose of improving the definition of differentiated targets according to the local, regional and interregional features, specificities and needs;

G.  whereas the cohesion policy continues to be the main source of EU public funding in the context of the multiannual financial framework 2014-2020, and whereas within the new framework for the cohesion policy all the emphasis is placed on the need to concentrate investment at regional and local level in important areas such as job creation, SMEs, employment (in particular youth employment), labour mobility, training and education, research and innovation, ICT, sustainable transport and the removal of bottlenecks, sustainable energy, the environment, promotion of the institutional capacity of public authorities and efficient public administration, urban development and cities;

H.  whereas the need to achieve more with fewer resources has led to the inclusion of smart specialisation in the new cohesion policy framework (the Common Provisions Regulation(4)), in order for regions to take a strategic and less fragmented approach to economic development through targeted support for research and innovation;

I.  whereas partnership and multi-level governance constitute horizontal general principles in view of delivering the Union strategy for smart, sustainable and inclusive growth, in the context of the next legislative framework of cohesion policy;

J.  whereas the evaluations performed during the 2007-2013 programme did not look at the whole evaluation cycle including efficiency, effectiveness and impact;

K.  whereas the fund absorption rate is around 50 % within the Member States and around 30 % for the last year of the period;

L.  whereas SMEs are experiencing difficulty in accessing financing from the banking sector;

General implementation challenges for the current programming period

1.  Welcomes the seventh and eighth progress reports, as well as the strategic report 2013, and calls on the Commission – which is now launching the 2007-2013 ex-post evaluation – and the Member States to ensure that the monitoring and evaluation are based on reliable data, to look at the efficiency, effectiveness and impact of operations, and to ensure that the ex-post evaluation is completed by the end of 2015 as stipulated in the former General Regulation, in order for clear lessons to be drawn with a view to the implementation of the new programming period;

2.  Considers that policies of budgetary consolidation are in themselves insufficient to enhance growth and promote investments that generate good-quality, sustainable jobs, which require as well measures that support the economy and encourage the progress – still fragile and timid – made towards recovery;

3.  Calls on the Commission and the Member States to increase investment in the areas of entrepreneurship, business start-ups and self-employment as a means of creating more jobs, in particular since SMEs and microenterprises provide over two thirds of the EU’s private sector jobs; takes the view that special emphasis should be placed on the regional and local levels; in addition, considers that investment in social business and social entrepreneurship provides a good additional option with a view to meeting social needs that are not satisfied by public goods and services;

4.  Expresses its concern over the lack of sufficient public financial resources, in particular at sub-national level, to implement the Europe 2020 Strategy adequately, owing to the impact of the economic crisis, and over the fact that a significant number of less-developed Member States and regions depend to a great extent on cohesion policy funding; considers that before taking any decision related to potential macro-economic sanctions, the huge dependence of certain Member States’ development on cohesion funding should be carefully considered;

5.  Believes that, although the resources allocated to cohesion policy in the current multiannual financial framework are relatively small as compared to the needs on the ground, ensuring greater efficiency as well as synergies between the EU budget and the national budgets may nevertheless constitute important levers for growth-enhancing policies;

6.  Takes the view that in order to contribute to achieving the EU 2020 Strategy for smart, sustainable and inclusive growth in line with the objectives of economic, social and territorial cohesion, notwithstanding the need to focus on sectors with a long-term potential for job creation and innovation, it is important to take account of the significant needs of many less-developed regions regarding investment in infrastructure projects in basic sectors such as transport, telecommunication and sustainable energy;

7.  Believes that – notwithstanding the evidence that local and regional authorities are being involved in the preparation of Partnership Agreements – further action must be taken to reinforce the territorial dimension of the governance system of cohesion policy, the Europe 2020 strategy and the European Semester, by ensuring real dialogue and complementarity among the different levels of governance, on the one hand, and consistency of the priorities established at those levels with the needs and specificities identified at national, regional and local levels, on the other; stresses in this regard the importance of ensuring that municipalities and regions are duly involved in establishing national strategies and defining their specific problems and challenges, while avoiding any increase in the administrative burden;

8.  Considers that cohesion policy is best placed to give the Europe 2020 Strategy the territorial dimension needed to tackle the very relevant growth differentials within the Union and within Member States, to ensure that growth potential is also utilised in the Union's outermost and most sparsely populated areas, and to address the fact that differences in institutional capacity mean that the different regions cannot use the given targets as references in the same way;

Focus on employment and social inclusion

9.  Is particularly worried that, owing to the crisis, the percentage of the population at risk of poverty or social exclusion, suffering of material deprivation, environmental degradation and poor housing conditions, or having very low work intensity and threatened by exclusion and energy poverty has increased considerably, with greater prevalence in convergence regions and cities, and in particular in the regions around capital cities which, according to the indicators, are classified as developed, while also affecting more particularly women, single parent families, large families with four or more children, carers (especially carers of disabled family members), members of marginalised communities or older people close to retirement for whom access to equal opportunities is difficult;

10.  Considers it urgent to tackle these issues – which severely undermine cohesion among regions and may put at risk the competitiveness of the Union in the medium and long term – by focusing on policies that ensure access to sustainable, good-quality employment and social inclusion, and in particular by young people, promoting the vital role of SMEs in this regard, reducing fragmentation and facilitating transition between jobs, focusing on professional retraining programmes for the long-term unemployed, drawing on the experience acquired by those at the end of their careers and promoting equal economic independence for women and men; considers it essential also to promote physical accessibility and access to information and communication media, the achievement of which must be assessed using reliable, objective and comparable indicators, and considering the demographic challenges;

11.  Insists on the role that the European Social Fund (ESF) plays in reducing the disparities in human capital among regions and in helping to increase employment rates, in parallel and in combination with the European Regional Development Fund (ERDF), contributes to the fulfilment of some of the current major priorities of the Union, namely boosting youth employment and the labour market, promoting sustainable economy and growth, reducing the number of early school leavers, and combating poverty, discrimination and social exclusion; insists therefore that there is a need to reinforce the principle of sound financial management, in particular as regards the efficiency and effectiveness of ESF operations, and calls on the Commission to fully analyse the overall effect and real impact of the ESF on the unemployment rate and on job creation;

12.  Acknowledges that a large proportion of ESF expenditure is allocated with a view to promoting more and better jobs, supporting integration and participation of disadvantaged groups, including disabled people, and developing an inclusive society that is accessible to all; stresses, however, that at times of crisis, more emphasis should be placed on the ESF being efficiently targeted to combat local and regional inequalities and social exclusion, to provide access to employment for the most vulnerable groups and young people in particular, and to assist women’s re-integration into the labour market by reducing gender-based segregation;

13.  Notes that the high proportion of early school-leavers in some regions is significantly above the target of 10 % and that early school-leavers must receive an offer of education, training or work that meets their needs; refers, in this context, to the importance of the Youth Guarantee for early school-leavers; stresses that in order to reduce the number of early school-leavers it is important that the education system is inclusive, offering equal chances to all young people; stresses that a solution must therefore be found to the problem of integrating poorly-trained young people into the labour market, by providing barrier-free, accessible and quality vocational and in-work training to help them acquire skills, taking into account the fact that a lack of qualifications can increase the risk of unemployment, which in turn increases the poverty risk and involves a multitude of social challenges linked to exclusion, alienation and failed efforts to build an independent life; points out that, to this end, the ESF’s contribution is crucial in helping more young people to stay at school and acquire the appropriate qualifications needed for a job and career and in ensuring wider access to high-quality education with special projects for children from disadvantaged groups and minorities, including disabled people; calls on Member States to encourage appropriate vocational and on-the-job training for those who will benefit from it;

14.  Stresses that the employment situation of young people is highly dependent on the overall economic situation and that therefore it is very important to support, guide and monitor young people in their move from education to professional life; takes the view that the Commission could therefore align any future policy proposals in this area with the ‘Youth on the Move’ and ‘Youth Opportunities’ initiatives;

15.  Stresses that employment in some regions remains below 60 % and that some regions are missing their national targets by a factor of 20-25 %, which is having a particularly adverse effect on young people, women, older people, carers and people with disabilities; stresses that certain crisis measures have had an adverse effect on cohesion and have fundamentally increased inequalities in the EU; stresses that keeping high-risk groups in employment or creating employment options for them requires targeted measures addressing job creation, training opportunities and job retention; stresses that unemployment has been a feature of certain isolated settlements for generations, and this poses a particular threat to marginalised communities;

16.  Points out that employment rates have remained well below the Europe 2020 target of having at least 75 % of the population aged 20–64 in employment by 2020; notes that while there are no specific employment rate targets at a regional level, Member States have individually set national targets which, in most cases, have not been met as the financial and economic crisis has had a major asymmetrical impact on regional labour markets, predominantly in Southern Europe, with a marked increase in youth unemployment;

17.  Believes that all regions face the challenge of creating sustainable growth and enhancing resource efficiency; emphasises in this regard the need for policies, which include the prioritisation of spending in the areas of education, life-long learning, research, innovation and development, energy efficiency and local entrepreneurship, as well as the creation of new financial instruments for all kinds of businesses, and especially for SMEs;

18.  Recalls the potential that SMEs have for job creation and urges the Member States to develop policies that improve access to financing and financing conditions for SMEs; calls on the Commission to work with the Member States with a view to increasing the transparency and predictability of the system of invitations to tender and reducing the amount of time that elapses between the issuing of an invitation to tender and the award of a contract, in particular for SMEs, which compete in a rapidly changing environment;

19.  Urges that particular attention be given to the cultural and creative sectors, contributing to the achievement of the Europe 2020 Strategy objectives, in particular job creation; stresses the vital contribution of these sectors to the development of regions and cities; calls for sustained measures to promote continuing education for women specifically relating to these sectors in a bid to ensure that their qualifications can be effectively turned to account and new job prospects created;

Evaluation evidence

20.  Recalls that while there is strong evidence that implementation of cohesion policy has accelerated, and that the resulting programmes have made important contributions in many areas where investment is necessary for economic modernisation and competiveness (such as research and development, SME support, re-industrialisation, social inclusion, and education and training), a number of Member States are at risk of failing to implement their programmes before the end of the current programming period; urges the Commission, in this regard, to analyse in depth the causes of the low absorption rates, and urges the Member States to provide co-financing in order to accelerate the implementation of funds;

21.  Encourages the Member States to explore synergies between cohesion policy financing and other sources of EU funding (such as for TEN-T, TEN-E, CEF, Horizon 2020, COSME and other programmes) as well as with financing provided by the European Investment Bank and the European Bank for Reconstruction and Development; urges the Member States to accelerate implementation and to simplify and improve access to the funds available in order to encourage SMEs, civil society organisations, local municipalities and other interested beneficiaries to make use of them;

Monitoring and evaluation challenges

22.  Considers that evaluation has an essential role to play in the policy debate and learning, but is concerned that, although the provision of monitoring data and information on implementation is improving the quality of targets set, the uneven quality of progress reporting in many cases nevertheless makes it difficult to develop a full and accurate picture of progress towards the targets at regional and local level; emphasises that evaluation should also assess and propose measures to relieve unnecessary burdens on beneficiaries, including SMEs, local and regional authorities and NGOs; considers that any additional burdens connected with monitoring must not be imposed;

23.  Believes that the progress reports do not fully provide a clear picture of the progress made in the implementation of cohesion policy and towards the established targets, owing either to the unavailability of data at relevant level or to the insufficiently clear linkage between the statistical data provided and the extent to which the cohesion policy aims that require monitoring have been met;

24.  Asks the Commission and the Member States, in order to strengthen the transparency of reporting and the quality of programming and its implementation, to make full use of the monitoring and evaluation tools available in the context of the current legislative framework (stronger result orientation, use of common output indicators, choice of programme-specific result indicators and a clear performance framework);

25.  Considers that while the evaluations of cohesion policy programmes over the 2007-2013 period co-financed by the ERDF and the Cohesion Fund show good overall awareness in the Member States of the gender equality requirement when setting up such programmes (70 %(5)), they also indicate that gender equality is by no means effectively integrated into the programmes through clear identification of problems or quantified targets (less than 8 %); calls on the Commission to further improve Member States’ reporting systems by introducing and utilising indicators so as to make it possible to assess the support provided under cohesion policy for genuine progress on gender equality and to what extent this is being achieved;

26.  Urges the Commission to check whether Managing Authorities apply the Late Payment Directive in relation with beneficiaries of projects and take adequate measures to decrease the payments’ delays;

27.  Calls on the Commission’s Internal Audit Service and the European Court of Auditors to increase their performance audits on Cohesion and Structural Funds, and in particular on the ESF;

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28.  Instructs its President to forward this resolution to the Council, the Commission and the Member States.

(1) OJ C 87 E, 1.4.2010, p. 113. (2) OJ C 371 E, 20.12.2011, p. 39. (3) OJ C 161 E, 31.5.2011, p. 120. (4) Regulation (EU) No 1303/2013 of the European Parliament and of the Council of 17 December 2013 laying down common provisions on the European Regional Development Fund, the European Social Fund, the Cohesion Fund, the European Agricultural Fund for Rural Development and the European Maritime and Fisheries Fund and laying down general provisions on the European Regional Development Fund, the European Social Fund, the Cohesion Fund and the European Maritime and Fisheries Fund and repealing Council Regulation (EC) No 1083/2006 (OJ L 347, 20.12.2013, p. 320). (5) http://ec.europa.eu/regional_policy/sources/docgener/evaluation/pdf/2009-03-16-inception-report.pdf

European Parliament resolution of 26 February 2014 on optimising the potential of outermost regions by creating synergies between the Structural Funds and other European Union programmes (2013/2178(INI))

P7_TA(2014)0133 A7-0121/2014

The European Parliament,

–  having regard to Articles 349 and 355(1) of the Treaty on the Functioning of the European Union (TFEU), which confer a special status on the outermost regions (ORs) and provide for the adoption of 'specific measures' that enable the Treaties and common policies to be fully implemented,

–  having regard to Article 107(3)(a) of the TFEU on rules governing state aid to such regions,

–  having regard to Articles 174 et seq. of the TFEU, which establish the objective of economic, social and territorial cohesion and specify the structural financial instruments to achieve this,

–  having regard to the Commission communications on outermost regions, in particular that of 17 October 2008 entitled ‘The outermost regions: an asset for Europe’ (COM(2008)0642),

–  having regard to its resolutions on the ORs, in particular that of 20 May 2008 on the strategy for the outermost regions: achievements and future prospects(1),

–  having regard to the Commission staff working document entitled 'Regions 2020 – an assessment of future challenges for EU regions' (SEC(2008)2868),

–  having regard to the Message from Reunion Island of 7 July 2008 adopted by the participants in the Conference on 'The European Union and its Overseas Entities: Strategies to Counter Climate Change and Biodiversity Loss' and to the EU Council conclusions of 25 June 2009 on ‘A mid-term assessment of implementing the EU Biodiversity Action Plan and Towards an EU Strategy on Invasive Alien Species’,

–  having regard to the joint memorandum of the outermost regions of 14 October 2009 on 'The Outermost Regions in 2020',

–  having regard to the common platform of 6 July 2010, presented to the President of the Commission, José Manuel Durão Barroso, by the Conference of Members of the European Parliament from the outermost regions,

–  having regard to the Memorandum of Spain, France, Portugal and the Outermost Regions of 7 May 2010 entitled ‘A Renewed Vision of the European Strategy for the Outermost Regions’,

–  having regard to the joint contribution of the outermost regions of 28 January 2011 on the Fifth Report on Economic, Social and Territorial Cohesion,

–  having regard to the report of 12 October 2011 entitled ‘Europe’s outermost regions and the Single Market: The EU’s influence in the world’, submitted to Commissioner Michel Barnier by Pedro Solbes Mira,

–  having regard to its resolution of 18 April 2012 on the role of cohesion policy in the outermost regions of the European Union in the context of EU 2020(2),

–  having regard to the Commission communication of 20 June 2012 entitled ‘The outermost regions of the European Union: towards a partnership for smart, sustainable and inclusive growth’ (COM(2012)0287),

–  having regard to the report produced by Serge Letchimy, Member of the French National Assembly, for the French Prime Minister on Article 349 of the Treaty on the Functioning of the European Union: a contribution to bringing the derogation provisions to bear in support of a global development project for the outermost regions,

–  having regard to the joint contributions and technical and political documents of the Conference of Presidents of the Outermost Regions of the European Union, in particular the final declaration of the 19th conference of 17 and 18 October 2013,

–  having regard to Rule 48 of its Rules of Procedure,

–  having regard to the report of the Committee on Regional Development (A7‑0121/2014),

A.  whereas the assets, resources and potential of the ORs highlighted by the Commission in its 2008 strategy and 2012 communication, which lie in areas of key importance to EU research, innovation and growth, attract too little support and financing under EU funds and programmes;

B.  whereas the ORs consist of a number of archipelagos and islands and a region bordering on the Amazon forest and share specific constraints that set them apart from other EU geographical areas with special profiles (island, upland and sparsely populated regions);

C.  whereas the ORs are regions of excellence making a significant contribution towards meeting the objectives the EU has set as part of the Europe 2020 growth strategy, the Horizon 2020 strategy, the Energy 2020 strategy, the LIFE+ and Natura 2000 programmes and the trans-European telecommunications, transport and energy networks;

D.  whereas, in this connection, long-term investment needs to be encouraged and innovation promoted in the ORs, in order to provide a firm and sustainable basis for their economic and social development and give the various EU strategies a better chance of success;

E.  whereas, in pursuit of these strategies, the volume of structural and investment funding being provided to the ORs must be adjusted or supplemented in order to enable them to play a role commensurate with their potential and consistent with their aspirations in addressing the major challenges facing the EU;

F.  whereas the current economic and social crisis is having a particularly serious impact on the outermost regions of the European Union, particularly in terms of competitiveness and employment, and both the need for economic growth and the unemployment situation require urgent and appropriate responses in the next financial programming period;

G.  whereas Article 349 of the TFEU should be used as the legal basis enabling the ORs, by means of specific measures, to take their rightful place in the EU programmes that can properly harness the potential they are recognised as having;

H.  whereas the ORs can become pilot regions and regions of excellence, to the benefit of the EU as a whole, in areas such as biodiversity, environment, adapting to climate change, dealing with and observing extreme weather events, research, innovation, space, the aerospace industry, oceans, blue growth, maritime spatial planning and maritime governance, seismology, volcanology, emerging diseases, renewable energy, transport, telecommunications, emergency humanitarian assistance outside the EU and culture;

I.  whereas the ORs are located in the Caribbean, Indian Ocean and Atlantic Ocean maritime basins and make the EU a world maritime power; whereas their geo-strategic location helps the EU to exert influence worldwide; and whereas their exceptional natural, marine and fisheries resources account for 50% of the world’s biodiversity;

J.  whereas the ORs are a special case, forming a common entity which is both inside and outside the EU at the same time and which the Commission should promote and support, including through the implementation of common policies;

K.  whereas in order to maximise the potential of the ORs, the closest possible synergies need to be created between all EU instruments, funds and programmes;

Fresh prospects for the ORs

1.  Views the ORs' potential, assets and resources, together with the experience they have accumulated, as additional tools for the EU and the Member States to use in addressing the challenges facing it in connection with globalisation, innovation capacity, growth, social cohesion, demographic pressures, climate change, major natural disaster risk prevention, energy and sustainable management of natural resources and biodiversity conservation;

2.  Believes that improving the ORs’ access to the various EU programmes and sources of funding will be of both short-term and long-term benefit to the EU as a whole; deplores the approach advocated at European level whereby the cohesion policy alone should be used to finance virtually all OR development projects;

3.  Endorses the Commission approach of implementing policies seeking to make the ORs more self-reliant, economically robust and better able to create sustainable jobs by capitalising on their assets and taking practical, imaginative action on the basis of Article 349 of the TFEU and of ad hoc instruments, notably in the fields of energy, transport and ICT, introduced for each EU fund and programme that can help turn the ORs’ assets into sustainable development;

4.  Stresses, furthermore, that it is important and necessary for European policies to contribute, including by means of specific tax and customs instruments, to promoting and diversifying the economic base in the outermost regions and creating jobs;

5.  Takes the view that Article 349 TFEU provides an appropriate legal basis for the adoption of specific measures for the ORs but regrets the limited and scant use made of this article, which establishes the possibility of special arrangements being introduced on the basis of outermost region status;

6.  Calls on the Commission to set up a contact group made up of the relevant Commissioners, the inter-service working party that coordinates policies involving the ORs and the Members of the European Parliament representing the ORs to review the progress of programmes planned and/or introduced for the ORs;

7.  Stresses that, by virtue of the fact that they lie far away from mainland Europe, the ORs help to spread the influence of an EU that is becoming increasingly aware of its global dimension and the role it has to play in a rapidly changing world;

8.  Stresses that special attention must be paid to the ORs in the event of natural disasters, in the light of their specific characteristics and of Article 349 of the TFEU, which provides for the possibility of adopting specific measures, while also pointing out that it is important to coordinate the Structural Funds with the European Union Solidarity Fund;

9.  Calls for investment in ICT, transport, water and energy through services of general economic interest to be given priority in these regions and recommends a more consistent framework for state aid in the ORs in order to implement the Europe 2020 Strategy;

10.  Believes there to be a close correlation between the EU’s awareness of the global role it can play and the attention it pays to the ORs; believes the fact that the Union and the Member States have failed to take sufficient account of the importance and implications of its strategic investment decisions regarding the ORs and sees this situation as indicative of a more general failure to accord suitable importance to the Union's global dimension; considers improved synergies between instruments and programmes to be essential for the ORs, in order to promote international cooperation on the part of these regions;

11.  Considers it essential, with a view to encouraging synergies between the Structural Funds and the Union's other programmes, to adopt a macroregion approach and draw up strategies for macroregions that include the ORs, taking advantage of those regions’ characteristics and resources;

12.  Calls on the national and regional authorities to draw on a multi-fund approach and establish links between the Structural Funds and the financial instruments provided under the European Union’s other programmes, wherever this is possible and more efficient;

13.  Calls on the Commission to flesh out the EU’s strategy in respect of the ORs in such a way as to enable those region’s assets to be developed while taking into account their permanent structural constraints; calls on the Commission, in this connection, to act on the proposals made by the ORs, including those contained in their action plans;

Synergies with the Horizon 2020 programme

14.  Believes that the ORs have the potential to be at the forefront of research and technology in the areas covered by the Horizon 2020 objectives, such as space, the aerospace industry, biotechnology, observation of natural hazards, marine research, biodiversity, renewable energy, health, adaptation to climate change and smart transport solutions;

15.  Points out that one of the aims of cohesion policy over the period 2014-2020 is to step up research, technological development and innovation efforts;

16.  Criticises the fact that, owing to the serious difficulties which their projects face in meeting some of the requirements for securing EU funding as a result of their specific characteristics, the ORs have not received sufficient support under the 2007-2013 programme for research and development, which has resulted in low levels of participation and success and a weak OR presence in European research networks; calls therefore on the Commission to take steps to support research in the ORs and help achieve a critical mass;

17.  Believes that ERDF funding alone will not be enough to allow the ORs to meet the Europe 2020 and Horizon 2020 targets; considers, in this connection, that the Commission should make the necessary adjustments and guarantee OR access to the Horizon 2020 programme by setting up dedicated programmes that can help to foster greater OR inclusion in European and international research and innovation networks; points out in this connection that the Horizon 2020 strategy itself, in its 'Spreading Excellence and Widening Participation' section, draws attention to significant disparities, as identified in the Innovation Union Scoreboard, between research and innovation performance and the specific measures for spreading excellence and widening participation in Member States and regions that are low-performing in terms of research and innovation;

18.  Calls for OR universities to be expanded and promoted in order to help, in synergy with Horizon 2020, to raise the European and international profile of those universities, their research centres, their researchers and their students; points out that all the programmes promoting inter-university mobility – for students, teachers and administrative staff – are seriously compromised in the ORs owing to the extra costs arising from distance and isolation;

19.  Points out that research and innovation programmes should be sufficiently flexible to adapt to new frontiers and new challenges for knowledge, such as the sea-bed, which has significant potential;

20.  Highlights the growing economic interest in the immense riches of the ocean depths and the enormous biogenetic, mineral and biotechnology potential of the outermost regions, which must be included in the ‘Renewed Strategy for the ORs’ with the aim of developing a knowledge economy based on the sea and creating economic activities with a high added value in areas such as medicine, pharmaceuticals and energy, among others;

Synergies with the internal market

21.  Calls on the Commission to draw on the various conclusions set out in the Solbes report with a view to enhancing the ORs’ inclusion and development in the internal market;

22.  Points out in this connection that, in terms of competition, the circumstances are not the same as in the rest of the European area, since in the ORs a free market is not possible in most sectors of activity, the bulk of which cannot attract private investment; notes that the supply of high-quality products at competitive prices in the ORs can only be ensured if the state provides appropriate financial support, and takes the view that the Commission should accordingly conduct an urgent assessment with a view to making the EU legislative framework more flexible and better suited to these specific circumstances;

23.  Calls on the Commission to enforce the competition rules more strictly in order to guard against monopolies and cartels in the ORs;

24.  Calls on the Commission to publish a guide for small and medium-sized enterprises in the ORs and on their contribution to the internal market, taking account of the various European programmes and funds in force in the ORs;

25.  Calls on the Commission to look into the issue of the additional costs and high cost of living in the ORs and to take this issue into account when shaping European policies;

Synergies with the LIFE+ programme and the Energy 2020 strategy

26.  Believes that the ORs’ potential in the areas of biodiversity management, conservation and rehabilitation, adaptation to climate change and renewable energy development can be maximised through the establishment of synergies and cross-funding arrangements between cohesion policy, the LIFE+ programme and the Energy 2020 strategy, and that this will at the same time enable the Union to achieve its own objectives;

27.  Notes that cofinancing is to be provided for innovative environmental conservation and climate change projects under the LIFE+ programme for 2014-2020; considers it vital to create synergies with thematic objectives 5 and 6 of the cohesion policy for 2014-2020, given the need to step up OR participation in the LIFE+ programme;

28.  Deplores the failure to make the BEST preparatory action a fully-fledged programme for the ORs and OCTs, in spite of the views expressed by Parliament and the Council conclusions of 25 June 2009;

29.  Deplores the failure to include the animal and plant species requiring protection in the French ORs in Annex I to Directive 92/43/EEC (habitats, wild flora and fauna), which has, in practice, made it impossible for the directive to be implemented in the French ORs and for those ORs to take part in Natura 2000 networks and programmes;

30.  Calls on the Commission to draw up a specific Natura 2000 programme for the ORs on the basis of Article 349 of the TFEU;

31.  Calls on the Commission, drawing on the positive examples and results achieved by some outermost regions in the field of renewable energy, to encourage measures geared to achieving energy self-sufficiency and meeting the Energy 2020 targets, and reminds the Commission of its proposal that a specific programme be established in the field of energy to reduce supply, infrastructure and service costs in the ORs in order to promote renewable energy policies, based on the POSEI programmes and with the best possible synergies with other EU strands of action;

32.  Draws attention to the need to promote action to harness the renewable energy potential of islands, where fossil fuel dependency is aggravated by distance and geographical isolation; considers, accordingly, that account should be taken of the need to include instruments in European energy policy that will make it possible adequately to address the challenges posed by isolated energy systems;

Synergies with European youth programmes

33.  Points out that thematic objectives 8, 9 and 10 of the new cohesion policy cover employment, social inclusion, action against poverty, education, skills and lifelong learning;

34.  Stresses that the ORs have some of the highest unemployment rates in the EU and that youth unemployment rates are particularly high; draws attention nonetheless to the difficulties experienced in implementing Youth Guarantee funding through cofinancing; regrets, furthermore, the lack of any special provisions for the ORs in the Programme for Employment and Social Innovation and draws attention to the difficulties experienced by the ORs in taking advantage of the opportunities offered by the Progress programme; calls for further action on the employment front in the form of an urgent pilot plan to combat unemployment in the ORs; calls for special youth employment action teams to be set up in the Commission, with a view to implementing the Youth Guarantee scheme and mobilising the ESF and the YEI;

35.  Calls on the EIB to include the ORs in its Jobs for Youth initiative and its Investment in Skills programme;

36.  Voices concern at the severe skills drain from the ORs brought about by high unemployment rates and a lack of suitable training opportunities, given that a properly trained and qualified workforce is an essential prerequisite for sustainable growth, especially in fields specific or traditional to those regions, and for spurring the development of new types of activity to address global challenges;

37.  Notes that the new Erasmus programme is intended to foster the development of a knowledge society; stresses that it is essential for this goal to be met if the Europe 2020 strategy, under which knowledge is viewed as the primary driving force in Europe’s economy, is to be a success; points, accordingly, to the need for greater synergies to be achieved between the Erasmus programme and the ESF in the ORs, in order to maximise local human capital and expertise, which are powerful driving forces for growth;

38.  Supports the further development of universities in the ORs and the establishment of new centres of excellence, with a view to giving OR universities a higher profile and enhancing their drawing power in Europe; supports the development of partnerships between universities, not least as a result of the opening up of such arrangements to universities in non-EU countries with which ORs have a special relationship; calls for the additional travel costs arising as a result of the ORs’ remoteness to be under the Erasmus+ and Eures programmes, so that OR students may take advantage of European exchange and training programmes and that OR universities could seek to derive greater benefit from the Erasmus Mundus programme between the Member States and the rest of the world;

Synergies with trans-European networks (transport, telecommunications, energy)

39.  Draws attention to the Teixeira report on the role of cohesion policy in the outermost regions of the European Union in the context of EU 2020 (2011/2195(INI)), which called on the Commission to establish a specific programme in the field of energy, transport, and information and communication technologies, based on the POSEI schemes, and in particular to lay down a specific framework providing for transport subsidies in the ORs, particularly for public transport and to develop shipping services between islands;

40.  Stresses the need for synergies to be created in the ORs between the trans-European networks, the Connecting Europe Facility, the Civitas and Horizon 2020 programmes and ERDF and Cohesion Fund funding for transport, telecommunications and energy projects;

41.  Points out that accessibility plays a key role where the development of the ORs is concerned, frequently requiring a complex internal and external network of sea and air transport services and creating difficulties as regards mobility and accessibility, bearing in mind that the ORs have no alternative to air or sea transport and also have to cope with increased transport costs, a fact which in itself entails adverse economic and social effects;

42.  Welcomes the Commission’s intention to include the ORs in the trans-European networks, but deplores the fact that most of the ORs have been excluded from the priority corridors and hence also from CEF funding; calls on the Commission to look again at the exclusion of the ORs when considering its strategy for the outermost regions and to guarantee investment in transport in the ORs, so as to help them to cope with their remoteness and their island status; calls on the Commission to establish a specific sectoral framework for ORs in order to make them more accessible and improve links to mainland Europe;

43.  Deplores the fact that progress with the sea highways has been hampered by the priority given to short sea links, given that this approach discriminates against the ORs; calls on the Commission to look again at the exclusion of the ORs when considering its strategy for the outermost regions;

44.  Points to the need to review the state aid framework for sea transport in order to enable public support to be provided for links between ORs and countries outside the EU;

45.  Stresses the need to adjust the classification system for regional airports, given that, as far as the ORs are concerned, passenger flows and profitability cannot be the sole criteria;

46.  Believes that, in view of the digital economy’s importance, the digital divide between the ORs and mainland Europe is hampering the ORs’ development and competitiveness; points out that this digital divide, which is a result of delays in the roll-out and modernisation of ICT infrastructure in the ORs, is adding to the problems already faced by the ORs because of their geographical remoteness; suggests that the development of ICTs in the ORs should be stepped up by extending and modernising networks, exploiting synergies with the ERDF and granting easier access to EIB funding for projects in this area, and also points to the need to grant the ORs priority access to the GMES and Galileo programmes;

Synergies with EU maritime policy (CFP, EMFF)

47.  Points out that the ORs contribute towards the EU’s status as a world maritime power;

48.  Calls on the Commission to take greater account of Europe’s global maritime dimension, the importance of the sea, the oceans and blue growth to the EU as a whole, the strategic location of the ORs, and the role they can play in ensuring that seas, oceans and coastal areas are used in a sustainable way, as well as in global maritime governance and the development of a knowledge economy based on the sea;

49.  Draws attention to the lack of synergies between cohesion policy and the CFP, which still takes too little account of conditions in the ORs; stresses the importance of maintaining a POSEI scheme for fisheries, and proposes that research and innovation should be stepped up in the maritime economy, as they are a potential source of growth;

50.  Stresses that the ORs are dependent on the fish stocks in their EEZs, which are biologically and ecologically highly vulnerable, and believes, therefore, that biogeographically sensitive OR zones need to be properly and effectively protected, including by allowing only local fleets using environment-friendly fishing gear to enter such zones; emphasises the need to ensure that fishery resources are used in a balanced and sustainable manner while maintaining the same level of fishing activity; calls for proper account to be taken of the long-term interests of local people when EU fisheries agreements are negotiated, with OR stakeholders playing a part in those negotiations, and for a section on the ORs to be included in all impact studies;

51.  Deplores the fact that the POSEI Fisheries programme, which established a scheme to compensate for the additional costs incurred in the marketing of OR fishery products, has recently been absorbed into the European Maritime and Fisheries Fund (EMFF) and thus ceased to be governed by a self-contained regulation aimed specifically and exclusively at the ORs, a fact which reduces the importance of the positive discrimination that the ORs are entitled to enjoy under Article 349 of the TFEU;

52.  Criticises the fact that, given the situation in some ORs, that those regions will not be granted fleet renewal aid under the new CFP;

Synergies with the common agricultural policy

53.  Points out that farming is a thriving industry which provides jobs and plays a role in the development of activities with a high added value; also points out, however, that a number of specific factors – such as the small size of farm holdings and the limited market – have a major impact on farming in the ORs; draws attention to the fact that objective 3 of the new cohesion policy covers the development of SMEs in the farming sector;

54.  Points out that farming in the ORs is grappling with the challenges of diversification and competitiveness, as well as with new challenges which include globalisation, market liberalisation, food safety and sustainable development;

55.  Stresses that the POSEI programme, which has proved its worth but is hampered by chronic underfunding that needs to be dealt with as a matter of urgency, should remain in place; points to the need to ensure that POSEI has the necessary resources to help OR producers to cope with the impact of the liberalisation of a number of sectors resulting from EU policies and international agreements concluded in the milk, sugar, rum, meat and banana sectors in particular; stresses, in this connection, the economic, social and environmental importance of all OR agricultural products; maintains that the POSEI system should continue within its own self-contained framework;

56.  Believes that synergies should be created between cohesion policy and the EAFRD, with a view to modernising and extending irrigation networks and for the purposes of spatial planning, training and capitalising on the tourism potential of sustainable agriculture and rural communities;

57.  Calls on the Commission to bolster local production and marketing of agricultural products, so that high-quality local products may take the place of imports;

58.  Supports the introduction of protected designations of origin and local labels in the ORs, and hopes that the promotional policy used will be tailored to the needs of the ORs and that GIs will be safeguarded;

Synergies with EU external policy

59.  Deplores the continued lack of a proper linkage between the European funds EDF, ERDF and ETC, in particular in cross-border cooperation projects, despite the fact that this is essential if the funds’ objectives are to be met; points to the need, in this respect, to ensure that the programming methods used for the EDF and for the ERDF are compatible;

60.  Calls on the Commission to initiate discussions between the Member States, the ORs, the OCTs and the ACP countries, with a view to fostering closer dialogue and better integration of the ORs into their geographical areas; emphasises that, to this end, the EU delegations should play an even more pivotal role in facilitating dialogue between the various stakeholders involved in programming in the ORs, the OCTs and the ACP countries;

61.  Calls on the Commission to take greater account of the geo-strategic importance of the ORs, which stems from their proximity to other continents;

62.  Calls on the Commission to complete the wider neighbourhood action plan, on which it has been working since 1999, and to identify the factors that will help ORs to become more closely integrated into the geographical regions in which they are located, as well as the barriers to such integration; draws attention in this context to the particularly close historical and cultural relations that each OR has with non-EU countries and to the potential for developing economic, trade and cooperation relations with various regions of the world;

63.  Calls on the Commission to take greater account of the impact that trade agreements concluded with non-EU countries have on OR economies, with impact studies being conducted in advance of each agreement in order to ensure that any 'sensitive' products are protected and fair compensation is provided for any losses incurred in specific sectors; calls also for a procedure for consulting OR regional authorities to be introduced; recommends that the Commission should arrange for periodic studies to be carried out in respect of the international agreements currently in force, in order to assess and take proper account of the vulnerability of OR markets;

64.  Criticises the failure to take account of OR interests in the agreements concluded with Latin American and ACP countries, as well as the fact that no impact assessments were conducted prior to the negotiation of those agreements;

65.  Calls on the Commission to negotiate the inclusion in all trade agreements with ACP countries that lie close to ORs a specific section on the creation of an OR-ACP market, with a view to integrating ORs more closely into their geographical neighbourhood;

66.  Draws attention to the fact that the ORs can be a real asset for the EU in connection with building humanitarian response capacity and deploying it when natural disasters occur; recommends, in this connection, that a European civil protection force should be set up;

Synergies with programmes to combat poverty and social exclusion

67.  Draws attention to the fact that a number of fundamental problems exist in the ORs, one of them being social exclusion; points out that thematic objective 9 of the new cohesion policy covers social inclusion and action against poverty and all forms of discrimination and that support for the most deprived sections of society is an ERDF investment priority;

68.  Welcomes the adoption of the FEAD Regulation and calls for it to be fully and properly implemented in the ORs;

69.  Points out that some ORs are faced with major housing shortages stemming from, among other things, strong population growth; advocates the establishment of a social housing investment scheme and the introduction of special measures under which aid in support of investment in social housing is not considered to be State aid; points out that other ORs are facing growing desertification, which is also leading to deterioration of their characteristic built environment, and that this latter problem has to be tackled by supporting urban regeneration and stimulating economic activities suited to the areas affected, so as to encourage the population to remain there;

Synergies with the COSME programme and the Progress Microfinance Facility

70.  Points out that some ORs are located in areas in which industrial competition is fierce, in particular owing to low labour costs and an abundant supply of raw materials in neighbouring countries; draws attention to the fact that thematic objectives 3 and 8 of the 2014-2020 cohesion policy cover action to enhance SME competitiveness and promote high-quality sustainable employment;

71.  Points out that, although they show a healthy start-up rate despite the crisis, very small and small and medium-sized businesses in the ORs are finding it increasingly difficult to gain access to financing, and that this is jeopardising their development and future survival;

72.  Welcomes in this connection the objectives set for the future COSME programme, under which support will be provided to European SMEs, in particular as regards access to finance and to new markets; welcomes the development of the Progress Microfinance Facility; calls on the Commission to ensure that these programmes are implemented efficiently in the ORs as well and welcomes the possibility of dialogue with the EIB and the European Investment Fund in order to explore avenues for improving access to financing for OR SMEs with a view to setting up local investment funds in each OR and developing regional investment capital markets;

73.  Stresses that the economic development model for each OR needs to be geared to harnessing its potential; points out, for example, that the shortage of waste processing facilities provides an opportunity to make substantial headway in terms of both job creation and environmental protection;

74.  Welcomes the recent opening of the public consultation on a Green Action Plan for SMEs; calls on the Commission to take proper account of the problems and expertise of outermost‑region SMEs in this area when it draws up its conclusions on that consultation;

75.  Stresses that tourism is a key economic driver in the ORs; considers it essential therefore for joint ERDF-COSME support to be provided for efforts to expand and modernise the ORs’ hotel network, in order to help diversify and develop the sustainable tourism services on offer in the ORs;

76.  Considers that thought should be given to simplifying visa policies in respect of both EU Member States and some non-EU countries, in order to streamline formalities for tourists and foster the development of multi-destination tourism in the ORs and neighbouring countries;

Synergies with the Creative Europe programme

77.  Notes that some ORs are highly multicultural societies and points to the need for cultural interchange between the ORs and mainland Europe; calls on the Commission to allow projects from ORs to be funded under the Creative Europe programme;

78.  Calls on the Commission to draw up a strategy for the development and dissemination of the ORs' cultural heritage, using the Euromed Heritage IV programme as a model;

o
o   o

79.  Instructs its President to forward this resolution to the Council and the Commission.

(1) OJ C 279 E, 19.11.2009, p. 12. (2) OJ C 258 E, 7.9.2013, p. 1.

European Parliament resolution of 26 February 2014 on the evaluation of the Union’s finances based on the results achieved: a new tool for the European Commission’s improved discharge procedure (2013/2172(INI))

P7_TA(2014)0134 A7-0068/2014

The European Parliament,

–  having regard to Articles 318 and 319 of the Treaty on the Functioning of the European Union (TFEU),

–  having regard to the evaluation reports adopted by the Commission in 2012 and 2013 (COM(2012)0040, COM(2012)0675 and COM(2013)0461),

–  having regard to Rule 48 of its Rules of Procedure,

–  having regard to the report of the Committee on Budgetary Control (A7-0068/2014),

A.  whereas evaluation is a tool aimed at identifying and understanding the results and impact of a process and identifying alternatives to help in decision-making which would lead to further improvement of that process;

B.  whereas auditing is not to be confused with evaluation, evaluation being up to the management authorities while auditing is the responsibility of auditing bodies;

C.  whereas evaluation of results and performance auditing rely on the objectives laid down at the earliest stage at the programming level;

D.  whereas in his June 2011 presentation of the Commission’s draft for the new multiannual financial framework, President Barroso called for budgetary decisions to be made ‘not through traditional headings driven by bureaucracy but in terms of facts and goals […] to make the most out of every euro spent’;

E.  whereas, despite the Commission’s commitment to performance, activity-based budgeting is still the fundamental principle in drafting the Union’s budget;

F.  whereas on 3 July 2013 Parliament asked the Commission to set up a working group comprising representatives of the Commission, Parliament, the Council and the Court of Auditors to examine measures aimed at implementing a performance-based budget and developing a scheduled action plan to this end;

1.  Points out that, thanks to its focus on the Union’s finances on the basis of the results achieved, the evaluation report introduced under Article 318 TFEU complements the compliance approach developed by the Court of Auditors in Chapters 1 to 9 of its annual report and gives Parliament the opportunity to exercise more effectively its power of political scrutiny over the actions of the European public authorities;

2.  Recalls that the discharge is a political procedure which focuses on the implementation of the European Union budget by the Commission under its own responsibility and in cooperation with the Member States;

3.  Recalls that on 17 April 2013 Parliament urged the Commission to modify the structure of the Article 318 evaluation report, ‘distinguishing the internal policies from the external ones and focussing, within the section relating to internal policies, on the Europe 2020 strategy […] plac[ing] the emphasis on the progress made in the achievement of the flagship initiatives’(1);

4.  Recalls also that the Interinstitutional Agreement(2) accompanying the Multiannual Financial Framework (MFF) 2014-2020 specifies that ‘the Commission will distinguish the internal policies, focused on the Europe 2020 strategy, from the external ones and will use more performance information, including performance audit results, to evaluate the EU’s finances based on the results achieved’;

5.  Points out that activity-based budgeting is still the fundamental principle when drafting the budget of the Union; is worried by the fact that the Court of Auditors, in its 2012 annual report, concludes that for many areas of the EU budget the legislative framework is complex and that there is insufficient focus on performance, and regrets that the proposals on agriculture and cohesion for the 2014–2020 program­ming period remain fundamentally input‑based (expenditure oriented) and, therefore, still fo­cused on compliance with the rules rather than on performance;

6.  Welcomes the fact that in its last report on the evaluation of the Union’s finances based on the results achieved (COM(2013)0461) the Commission took on board several recommendations made by Parliament in its decisions to grant discharge;

7.  Deplores, nevertheless, the fact that instead of focusing on the achievement of the Union’s main objectives, and the effectiveness of its policies, the Commission provided a range of evaluation summaries covering EU programmes in all policy areas of expenditure under the current MFF, according to the current budget headings;

8.  Points out that the Court of Auditors has assessed the second and third evaluation reports and has come to the conclusion that, while there have been improvements, the reports do not yet provide evidence of what the EU’s policies have achieved that is sufficient, relevant and reliable enough to be used in the discharge procedure;

9.  Urges the Commission to use specific information on the achievements of the Member States in its evaluation on the financial achievements of the Union;

10.  Insists that the evaluation report on financial performance should not produce another set of partial evaluations, whether they be carried out at mid-term or at the end of the programming period;

11.  Points out that the budgetary authority needs, annually, a clear view of the real extent to which the Union’s main objectives have been achieved, to be provided by, in a first step, an evaluation of the main financial programmes and, in a second step, a cross-cutting evaluation, by programme statements of operational expenditures(3), assessing to what extent the programmes have contributed to achieving the objectives of the Europe 2020 strategy;

12.  Considers that the Commission evaluation should serve as a source of information and inspiration for the Court of Auditors; asks the Court to audit the Commission’s evaluation process annually, to report on it to Parliament in its annual report and to take it into account when defining its performance audit programme;

13.  Calls on the Court to report to Parliament on the progress made by the Commission in designing and operating its risk management, governance and internal control processes with a view to achieving the Union’s objectives in a transparent and accountable manner, and to formulate recommendations if any shortcomings are encountered;

14.  Welcomes the action plan for the development of the Article 318 evaluation report, as set out in the staff working document accompanying the Commission’s last evaluation report (SWD(2013)0229), and, in particular, appreciates the fact that the Article 318 evaluation report incorporates performance information from the management plans, the annual activity reports and the synthesis report, as requested by Parliament in 2013;

15.  Welcomes, also, the fact that the Commission intends to structure and base its evaluation report on the new performance framework for the next MFF;

16.  Points out that such a performance framework should encompass the following three main elements: achievement of the programme objectives (results), sound programme management by the Commission and the Member States, and how programme results and sound management contribute to the Union’s main objectives;

17.  Emphasises that this performance evaluation can only be carried out in areas where the EU exercises real political responsibility and where it can actually exert significant influence;

18.  Insists on the need to aggregate the data yielded by the evaluation process at global level and, as regards internal policies, in relation to Europe 2020 objectives;

19.  Calls on the Commission to submit to it and to the Council the evaluation report on the Union’s finances based on the results achieved, as provided for in the second paragraph of Article 318 TFEU, before 30 June of the year following the financial year which is the subject of the evaluation;

20.  Instructs its President to forward this resolution to the Commission, the Council and the Court of Auditors of the European Union.

(1) See Parliament’s decision on ‘discharge in respect of the implementation of the general budget of the European Union for the financial year 2011, Section III – Commission and executive agencies’ (OJ L 308, 16.11.2013, p. 27). (2) OJ C 373, 20.12.2013, p.1. (3) See ‘Draft General Budget of the European Commission for the financial year 2014:Working Document Part I – Programme Statements of operational expenditures’, COM(2013)0450, June 2013.

European Parliament legislative resolution of 26 February 2014 on the draft Council decision on the conclusion on behalf of the European Union of the Political Dialogue and Cooperation Agreement between the European Community and its Members States, of the one part, and the Republics of Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama, of the other part, with the exception of Article 49(3) thereof (12399/2013 – C7-0425/2013 – 2012/0219A(NLE))

P7_TA(2014)0135 A7-0463/2013

(Consent)

The European Parliament,

–  having regard to the draft Council decision (12399/2013),

–  having regard to the Political Dialogue and Cooperation Agreement between the European Community and its Members States, of the one part, and the Republics of Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama, of the other part (13368/2012),

–  having regard to the request for consent submitted by the Council in accordance with Article 209(2) and Article 218(6), second subparagraph, point (a), of the Treaty on the Functioning of the European Union (C7-0425/2013),

–  having regard to Rules 81 and 90(7) of its Rules of Procedure,

–  having regard to the recommendation of the Committee on Foreign Affairs (A7-0463/2013),

1.  Consents to conclusion of the agreement;

2.  Instructs its President to forward its position to the Council, the Commission and the governments and parliaments of the Member States and of the Republics of Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama.

European Parliament legislative resolution of 26 February 2014 on the draft Council decision on the conclusion on behalf of the European Union of the Political Dialogue and Cooperation Agreement between the European Community and its Member States, of the one part, and the Republics of Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama, of the other part, as regards Article 49(3) thereof (12400/2013 – C7-0426/2013 – 2012/0219B(NLE))

P7_TA(2014)0136 A7-0119/2014

(Consent)

The European Parliament,

–  having regard to the draft Council decision (12400/2013),

–  having regard to the Political Dialogue and Cooperation Agreement between the European Community and its Members States, of the one part, and the Republics of Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama, of the other part (13368/2012),

–  having regard to the request for consent submitted by the Council in accordance with Article 79(3) and Article 218(6), second subparagraph, point (a), of the Treaty on the Functioning of the European Union (C7-0426/2013),

–  having regard to Rules 81 and 90(7) of its Rules of Procedure,

–  having regard to the recommendation of the Committee on Civil Liberties, Justice and Home Affairs (A7-0119/2014),

1.  Consents to the conclusion of the Agreement;

2.  Instructs its President to forward its position to the Council, the Commission, and the governments and parliaments of the Member States and of the Republics of Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama.

European Parliament legislative resolution of 26 February 2014 on the proposal for a Council decision on guidelines for the employment policies of the Member States (COM(2013)0803 – C7-0417/2013 – 2013/0392(NLE))

P7_TA(2014)0137 A7-0470/2013

(Consultation)

The European Parliament,

–  having regard to the Commission proposal to the Council (COM(2013)0803),

–  having regard to Article 148(2) of the Treaty on the Functioning of the European Union, pursuant to which the Council consulted Parliament (C7‑0417/2013),

–  having regard to Rules 55 and 46(1) of its Rules of Procedure,

–  having regard to the report of the Committee on Employment and Social Affairs (A7-0470/2013),

1.  Approves the Commission proposal;

2.  Calls on the Council to notify Parliament if it intends to depart from the text approved by Parliament;

3.  Asks the Council to consult Parliament again if it intends to substantially amend the text approved by Parliament;

4.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

European Parliament legislative resolution of 26 February 2014 on the proposal for a Council directive amending Directive 2006/112/EC on the common system of value added tax as regards a standard VAT return (COM(2013)0721 – C7-0394/2013 – 2013/0343(CNS))

P7_TA(2014)0138 A7-0090/2014

(Special legislative procedure – consultation)

The European Parliament,

–  having regard to the Commission proposal to the Council (COM(2013)0721),

–  having regard to Article 113 of the Treaty on the Functioning of the European Union, pursuant to which the Council consulted Parliament (C7‑0394/2013),

–  having regard to Rule 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Economic and Monetary Affairs (A7-0090/2014),

1.  Approves the Commission proposal as amended;

2.  Calls on the Commission to alter its proposal accordingly, in accordance with Article 293(2) of the Treaty on the Functioning of the European Union;

3.  Calls on the Council to notify Parliament if it intends to depart from the text approved by Parliament;

4.  Asks the Council to consult Parliament again if it intends to substantially amend the Commission proposal;

5.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Text proposed by the Commission   Amendment Amendment 1 Proposal for a directive Recital 1 (1)  Council Directive 2006/112/EC12 requires taxable persons to submit VAT returns but allows flexibility for the Member States to determine the information needed. This gives rise to disparate rules and procedures governing the submission of VAT returns in the Union, added complexity for businesses and VAT obligations that create obstacles to Union trade. (1)  Council Directive 2006/112/EC12 requires taxable persons to submit VAT returns but allows flexibility for the Member States to determine the information needed. This gives rise to disparate rules and procedures governing the submission of VAT returns in the Union, added complexity for businesses, unnecessary administrative burden on Member State tax authorities and taxable persons, loopholes allowing VAT fraud, VAT obligations that create obstacles to Union trade, and unnecessary costs for both Member States tax authorities and taxable persons. _____________ _____________ 12 Council Directive 2006/112/EC of 28 November 2006 on the common system of value added tax (OJ L 347, 11.12.2006, p. 1).. 12 Council Directive 2006/112/EC of 28 November 2006 on the common system of value added tax (OJ L 347, 11.12.2006, p. 1).. Amendment 2 Proposal for a directive Recital 2 (2)  To reduce burdens on business and improve the functioning of the internal market a standard VAT return should be introduced for all businesses trading in the Union. The use of standardised returns should facilitate the control of VAT returns by the Member States. (2)  To reduce burdens on business and improve the functioning of the internal market a standard VAT return should be introduced for all businesses trading in the Union, and the use of standardised returns should facilitate both the collection and payment of VAT and the control of VAT returns by the Member States tax authorities. It should also contribute to helping businesses comply with VAT legislation, thus reducing the error rate, and ultimately contributing towards a reduction or even elimination of VAT fraud and the VAT gap. Amendment 3 Proposal for a directive Recital 3 (3)  It is necessary that administrative burdens are reduced to a minimum. The information required on the standard VAT return should therefore have a limited set of mandatory information. Moreover, as regards the standard VAT return and other returns, Member States should not be allowed to require other information than the one laid down in chapter 5 of Title XI of the Directive. (3)  It is necessary that administrative burdens are reduced to a minimum. The information required on the standard VAT return should therefore have a limited set of mandatory information. Moreover, as regards the standard VAT return and other returns, Member States should not be allowed to require other information than the one laid down in chapter 5 of Title XI of the Directive. The standard VAT return will only fulfil its full potential if the Member States fully transpose this Directive, in a timely manner, into their national laws, regulations and administrative provisions, without deviating from its scope. Amendment 4 Proposal for a directive Recital 9 a (new) (9a)  Member State tax authorities should provide their officials and taxable persons with online tutorials on the appropriate use of electronic filing to ensure that submission of the standard VAT return is conducted in an appropriate and secure manner. Amendment 5 Proposal for a directive Recital 14 a (new) (14a)  In order to further reduce burden on business and improve the functioning of the internal market the information requirements in the standard VAT return should become unified in all Member States, and the Commission should, within five years of the date of entry into force of this Directive, evaluate the implementation of this Directive from that point of view and make proposals if appropriate. Amendment 6 Proposal for a directive Article 2 – paragraph 2 a (new) 2a.  By ...* [OJ please insert date: 5 years after the date of entry into force of this Directive], the Commission shall review the adequacy of this Directive with a view to further reducing burden on business and improving the functioning of the internal market. The results of the review shall be communicated to the European Parliament and to the Council accompanied, where necessary, by appropriate legislative proposals. Amendment 7 Proposal for a directive Article 3 This Directive shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union. This Directive shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union. It shall be made available in consolidated form with the Directive which it amends within three months of its publication.

European Parliament legislative resolution of 26 February 2014 on the proposal for a Council decision amending Decision 2009/831/EC as regards its period of application (COM(2013)0930 – C7-0022/2014 – 2013/0446(CNS))

P7_TA(2014)0139 A7-0113/2014

(Special legislative procedure – consultation)

The European Parliament,

–  having regard to the Commission proposal to the Council (COM(2013)0930),

–  having regard to Article 349 of the Treaty on the Functioning of the European Union, pursuant to which the Council consulted Parliament (C7‑0022/2014),

–  having regard to Rules 55 and 46(1) of its Rules of Procedure,

–  having regard to the report of the Committee on Regional Development (A7-0113/2014),

1.  Approves the Commission proposal;

2.  Calls on the Council to notify Parliament if it intends to depart from the text approved by Parliament;

3.  Asks the Council to consult Parliament again if it intends to substantially amend the text approved by Parliament;

4.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

European Parliament legislative resolution of 26 February 2014 on the proposal for a Council decision amending Decision 2004/162/EC with regard to its implementation in Mayotte from 1 January 2014 (COM(2014)0024 – C7-0031/2014 – 2014/0010(CNS))

P7_TA(2014)0140 A7-0144/2014

(Special legislative procedure – consultation)

The European Parliament,

–  having regard to the Commission proposal to the Council (COM(2014)0024),

–  having regard to Article 349 of the Treaty on the Functioning of the European Union, pursuant to which the Council consulted Parliament (C7‑0031/2014),

–  having regard to Rules 55 and 46(1) of its Rules of Procedure,

–  having regard to the report of the Committee on Regional Development (A7-0144/2014),

1.  Approves the Commission proposal;

2.  Calls on the Council to notify Parliament if it intends to depart from the text approved by Parliament;

3.  Asks the Council to consult Parliament again if it intends to substantially amend the text approved by Parliament;

4.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

European Parliament resolution of 26 February 2014 on the draft Council decision on the conclusion of the Framework Agreement on Comprehensive Partnership and cooperation between the European Community and its Member States, of the one part, and the Republic of Indonesia, of the other part, with the exception of matters related to readmission (11250/2013– C7-0351/2013 – 2013/0120A(NLE))

P7_TA(2014)0141 A7-0093/2014

The European Parliament,

–  having regard to the draft Council decision (11250/2013),

–  having regard to the draft Framework Agreement on Comprehensive Partnership and cooperation between the European Community and its Member States, of the one part, and the Republic of Indonesia, of the other part (14032/2009),

–  having regard to the Cooperation Agreement of 7 March 1980 between the European Economic Community and Indonesia, Malaysia, the Philippines, Singapore and Thailand – member countries of the Association of South-East Asian Nations(1) (ASEAN) and subsequent accession protocols,

–  having regard to its resolution of 5 September 2002 on the Commission Communication on Europe and Asia: A Strategic Framework for Enhanced Partnerships(2),

–  having regard to its resolution of 5 June 2003 on the situation in Indonesia, particularly in the Aceh province(3),

–  having regard to its resolution of 20 November 2003 on Aceh(4),

–  having regard to its resolution of 13 January 2005 on the recent tsunami disaster in the Indian Ocean(5),

–  having regard to the negotiations on comprehensive partnership and cooperation between the European Community and its Member States, of the one part, and the Republic of Indonesia, of the other part, authorised by the Council on 25 November 2004, concluded in June 2007 and signed on 9 November 2009,

–  having regard to the Agreement between the European Union and the Government of the Republic of Indonesia on certain aspects of air services, signed on 29 June 2011(6),

–  having regard to its resolution of 7 July 2011 on Indonesia, including attacks on minorities(7),

–  having regard to its resolution of 2 February 2012 on the EU foreign policy towards the BRICS and other emerging powers: objectives and strategies(8),

–  having regard to Council Decision 2012/308/CFSP of 26 April 2012 on the accession of the European Union to the Treaty of Amity and Cooperation in Southeast Asia(9),

–  having regard to the European Parliament Election Observation Missions' reports on elections in Indonesia of 5 April 2004 and 20 September 2004, in East Timor of 30 August 1999, 30 August 2001, 9 April 2007, 30 June 2007 and 7 July 2012, and in Aceh province of 11 December 2006,

–  having regard to the Jakarta Statement on Principles for Anti-Corruption Agencies of 27 November 2012,

–  having regard to Article 21 of the Treaty on European Union,

–  having regard Articles 91, 100, 191(4), 207 and 209, in conjunction with Article 218(6)(a) of the Treaty on the Functioning of the European Union,

–  having regard to Rule 81(3) of its Rules of Procedure,

–  having regard to the interim report of the Committee on Foreign Affairs (A7-0093/2014),

A.  whereas relations between the European Union and the Republic of Indonesia (hereinafter referred to as "Indonesia") are to be governed by the abovementioned Framework Agreement on Comprehensive Partnership and Cooperation (hereinafter referred to as "the PCA");

B.  whereas the PCA is the first of its kind between the European Union and Indonesia and aims at strengthening political, economic and sectorial cooperation of mutual interest and at further enhancing bilateral and regional cooperation in responding to global challenges;

C.  whereas the PCA contains, as essential elements, confirmation of the values expressed in the Charter of the United Nations, the United Nations Universal Declaration on Human Rights and other international treaties applicable to both parties as well as their commitment to the principles of democracy, good governance and the rule of law, and provisions on establishing or enhancing cooperation in areas such as human rights, trade and investment, energy, tourism, transport and infrastructure, marine conservation and fisheries, industrial policy and small and medium-sized enterprises (SMEs), data protection and intellectual property rights, as well as counter-proliferation of weapons of mass destruction (WMD), the fight against organised crime, corruption, money laundering, terrorism and terrorist financing;

D.  whereas Indonesia is the world’s fourth most populous nation, the third largest democracy, the largest Muslim majority country with millions of followers of other beliefs, and a heterogeneous society comprising over 240 million citizens of various ethnicities, languages and cultures, 40 % of whom are below 25 years of age, strategically located in an archipelago of more than 17 000 islands, spanning 5 400 kilometres from east to west in the Indian and Pacific Oceans;

1.  Asks the Council to take into account the following recommendations:

2.  Instructs its President to forward this resolution to the Council and to the Commission.

(1) OJ L 144, 10.6.1980, p. 2. (2) OJ C 272 E, 13.11.2003, p. 476. (3) OJ C 68 E, 18.3.2004, p. 617. (4) OJ C 87 E, 7.4.2004, p. 528. (5) OJ C 247 E, 6.10.2005, p. 147. (6) OJ L 264, 8.10.2011, p. 2. (7) OJ C 33 E, 5.2.2013, p. 201. (8) OJ C 239 E, 20.8.2013, p. 1. (9) OJ L 154, 15.6.2012, p. 1.

European Parliament legislative resolution of 26 February 2014 on the draft Council decision on the conclusion of a Framework Agreement on Comprehensive Partnership and cooperation between the European Community and its Member States, of the one part, and the Republic of Indonesia, of the other part, with the exception of matters related to readmission (11250/2013 – C7-0351/2013 – 2013/0120A(NLE))

P7_TA(2014)0142 A7-0134/2014

(Consent)

The European Parliament,

–  having regard to the draft Council decision (11250/2013),

–  having regard to the draft Framework Agreement on Comprehensive Partnership and cooperation between the European Community and its Member States, of the one part, and the Republic of Indonesia, of the other part (14032/2009),

–  having regard to the request for consent submitted by the Council in accordance with Articles 91, 100, 191(4), 207 and 209, in conjunction with Article 218(6), second subparagraph, point (a), of the Treaty on the Functioning of the European Union (C7-0351/2013),

–  having regard to Rules 81 and 90(7) of its Rules of Procedure,

–  having regard to the recommendation of the Committee on Foreign Affairs (A7-0134/2014),

1.  Consents to the conclusion of the Agreement;

2.  Instructs its President to forward its position to the Council, the Commission and the governments and parliaments of the Member States and of the Republic of Indonesia.

European Parliament legislative resolution of 26 February 2014 on the draft Council decision on the conclusion of the Framework Agreement on Comprehensive Partnership and Cooperation between the European Community and its Member States, of the one part, and the Republic of Indonesia, of the other part, as regards matters related to readmission (11313/2013 – C7-0356/2013 – 2013/0120B(NLE))

P7_TA(2014)0143 A7-0115/2014

(Consent)

The European Parliament,

–  having regard to the draft Council decision (11313/2013),

–  having regard to the draft Framework Agreement on Comprehensive Partnership and Cooperation between the European Community and its Member States, of the one part, and the Republic of Indonesia, of the other part (14032/2009),

–  having regard to the request for consent submitted by the Council in accordance with Articles 79(3) and Article 218(6), second subparagraph, point (a), of the Treaty on the Functioning of the European Union (C7‑0356/2013),

–  having regard to Rules 81 and 90(7) of its Rules of Procedure,

–  having regard to the recommendation of the Committee on Civil Liberties, Justice and Home Affairs and the opinion of the Committee on Foreign Affairs (A7-0115/2014),

1.  Consents to the conclusion of the Agreement;

2.  Instructs its President to forward its position to the Council, the Commission and the governments and parliaments of the Member States and of the Republic of Indonesia.

European Parliament legislative resolution of 26 February 2014 on the draft Council decision on the conclusion of the Agreement between the European Union and the Republic of Turkey on the readmission of persons residing without authorisation (10697/2012 – C7-0029/2014 – 2012/0122(NLE))

P7_TA(2014)0144 A7-0097/2014

(Consent)

The European Parliament,

–  having regard to the draft Council decision (10697/2012),

–  having regard to the draft Agreement between the European Union and the Republic of Turkey on the readmission of persons residing without authorisation (10693/2012),

–  having regard to the request for consent submitted by the Council in accordance with Article 79(3) and Article 218(6), second subparagraph, point (a)(v), of the Treaty on the Functioning of the European Union (C7‑0029/2014),

–  having regard to Rules 81 and 90(7) of its Rules of Procedure,

–  having regard to the recommendation of the Committee on Civil Liberties, Justice and Home Affairs and the opinion of the Committee on Foreign Affairs (A7-0097/2014),

1.  Consents to the conclusion of the Agreement;

2.  Instructs its President to forward its position to the Council, the Commission and the governments and parliaments of the Member States and of the Republic of Turkey.

European Parliament decision of 26 February 2014 extending Rule 147 of Parliament’s Rules of Procedure until the end of the eighth parliamentary term (2014/2585(RSO))

P7_TA(2014)0145 B7-0186/2014

The European Parliament,

–  having regard to Article 342 of the Treaty on the Functioning of the European Union,

–  having regard to Council Regulation No 1 of 15 April 1958 determining the languages to be used by the European Economic Community(1), as last amended by Council Regulation (EU) No 517/2013(2),

–  having regard to the Code of Conduct on Multilingualism adopted by the Bureau on 17 November 2008,

–  having regard to its decision of 11 March 2009 extending the applicability of Rule 147 until the end of the current parliamentary term(3) and the subsequent decisions of the Bureau extending the derogation from Rule 146 until the end of this term,

–  having regard to Rules 146 and 147 of its Rules of Procedure,

A.  whereas, pursuant to Rule 146, all Parliament’s documents are to be drawn up in the official languages, and all Members have the right to speak in Parliament in the official language of their choice, with interpretation being provided into the other official languages;

B.  whereas, under Rule 147, derogations from Rule 146 are permissible until the end of the seventh parliamentary term if and to the extent that, despite adequate precautions, the linguists required for an official language are not available in sufficient numbers; whereas, with respect to each official language for which a derogation is considered necessary, the Bureau, on a proposal from the Secretary-General, is required to ascertain whether the conditions are fulfilled and to review its decision every six months;

C.  whereas Council Regulation (EC) No 920/2005(4) provides for temporary (renewable) derogation measures for a five-year period in respect of Irish until the beginning of 2017;

D.  whereas, despite all adequate precautions, capacity in Irish and Maltese is not expected to be such as to allow a full interpretation service in those languages from the beginning of the eighth parliamentary term; whereas, for certain other languages, although there will be sufficient capacity to cover the needs arising from Parliament’s usual activities, the number of interpreters may not be sufficient to allow full coverage of all the extra needs expected during the Council presidencies of the Member States concerned during the eighth parliamentary term;

E.  whereas, despite sustained and continuous interinstitutional efforts and considerable progress, the number of qualified translators and lawyer-linguists is still expected to be so limited as regards Irish that, for the foreseeable future, full coverage of that language under Rule 146 cannot be assured; whereas Council Regulation (EC) No 920/2005 does not require EU legislation adopted before 1 January 2007 (the acquis) to be translated into Irish; whereas, as a result of the derogation measures laid down in that regulation, only Commission proposals for regulations of the European Parliament and of the Council are currently being presented in Irish and, as long as this situation persists, it will not be possible for Parliament’s services to prepare Irish versions of other types of legislative acts;

F.  whereas, although capacity in Croatian is steadily increasing following Croatia’s accession to the Union on 1 July 2013, it may not be possible to ensure full coverage of that language from the beginning of the eighth parliamentary term;

G.  whereas Rule 147(4) provides that, on a reasoned recommendation from the Bureau, Parliament may decide, at the end of the parliamentary term, to extend that Rule;

H.  whereas, in the light of the foregoing, the Bureau has recommended that Rule 147 be extended until the end of the eighth parliamentary term;

1.  Decides to extend Rule 147 of Parliament’s Rules of Procedure until the end of the eighth parliamentary term;

2.  Instructs its President to forward this decision to the Council and the Commission for information.

(1) OJ 17, 6.10.1958, p. 385. (2) OJ L 158, 10.6.2013, p. 1. (3) OJ C 87 E, 1.4.2010, p. 186. (4) Council Regulation (EC) No 920/2005 of 13 June 2005 amending Regulation No 1 of 15 April 1958 determining the language to be used by the European Economic Community and Regulation No 1 of 15 April 1958 determining the language to be used by the European Atomic Energy Community and introducing temporary derogation measures from those Regulations (OJ L 156, 18.6.2005, p. 3), as extended by Council Regulation (EU) No 1257/2010 (OJ L 343, 29.12.2010, p. 5).

European Parliament decision of 26 February 2014 on amendment of Rule 166 of Parliament's Rules of Procedure concerning the final vote and Rule 195(3) concerning voting in committee (2014/2001(REG))

P7_TA(2014)0146 A7-0035/2014

The European Parliament,

–  having regard to the proposal for amendment of its Rules of Procedure (B7‑0252/2013),

–  having regard to Rules 211 and 212 of its Rules of Procedure,

–  having regard to the report of the Committee on Constitutional Affairs (A7-0035/2014),

1.  Decides to amend its Rules of Procedure as shown below;

2.  Points out that the amendments will enter into force on the first day of the next part-session;

3.  Instructs its President to forward this decision to the Council and the Commission, for information.

Present text   Amendment Amendment 3 Parliament's Rules of Procedure Rule 166 When voting on any proposal for a legislative act, whether by way of a single and/or final vote, Parliament shall vote by roll call using the electronic voting system. When deciding on the basis of a report, Parliament shall take any single and/or final vote by roll call in accordance with Rule 167(2). The vote on amendments shall be taken by roll call only pursuant to a request made pursuant to Rule 167. Amendment 4 Parliament's Rules of Procedure Rule 195 – paragraph 3 3.  Voting in committee shall be by show of hands, unless a quarter of the committee's members request a vote by roll call. In this case the vote shall be taken in accordance with Rule 167(2). 3.  Any single and/or final vote in committee on a report shall be taken by roll call in accordance with Rule 167(2). The vote on amendments and other votes shall be taken by a show of hands, unless the Chair decides to proceed to an electronic vote or a quarter of the committee members request a vote by roll call.

European Parliament legislative resolution of 26 February 2014 on the proposal for a directive of the European Parliament and of the Council amending Directive 2012/34/EU of the European Parliament and of the Council of 21 November 2012 establishing a single European railway area, as regards the opening of the market for domestic passenger transport services by rail and the governance of the railway infrastructure (COM(2013)0029 – C7-0025/2013 – 2013/0029(COD))

P7_TA(2014)0147 A7-0037/2014

(Ordinary legislative procedure: first reading)

The European Parliament,

–  having regard to the Commission proposal to Parliament and the Council (COM(2013)0029),

–  having regard to Article 294(2) and Article 91 of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7‑0025/2013),

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the reasoned opinions submitted, within the framework of Protocol No 2 on the application of the principles of subsidiarity and proportionality, by the French Senate, the Lithuanian Parliament, the Chamber of Deputies of the Grand Duchy of Luxembourg, the Netherlands Senate, the Netherlands House of Representatives and the Swedish Parliament, asserting that the draft legislative act does not comply with the principle of subsidiarity,

–  having regard to the opinion of the European Economic and Social Committee of 11 July 2013(1),

–  having regard to the opinion of the Committee of the Regions of 8 October 2013(2),

–  having regard to Rule 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Transport and Tourism and the opinions of the Committee on Employment and Social Affairs and the Committee on Regional Development (A7-0037/2014),

1.  Adopts its position at first reading hereinafter set out;

2.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Position of the European Parliament adopted at first reading on 26 February 2014 with a view to the adoption of Directive 2014/…/EU of the European Parliament and of the Council amending Directive 2012/34/EU of the European Parliament and of the Council of 21 November 2012 establishing a single European railway area, as regards the opening of the market for domestic passenger transport services by rail and the governance of the railway infrastructure

(Text with EEA relevance)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Article 91 thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national Parliaments,

Having regard to the opinion of the European Economic and Social Committee(3),

Having regard to the opinion of the Committee of the Regions(4),

Acting in accordance with the ordinary legislative procedure(5),

Whereas:

(1)  Over the past decade, the European motorway network has grown by 27 %, but the railway network in use has shrunk by 2 %. Furthermore, the growth of passenger traffic by rail has been insufficient to increase its modal share in comparison to cars and aviation. The 6 % modal share of passenger transport for rail in the European Union has remained fairly stable. and rail passenger services have not kept pace with evolving needs in terms of offer or quality. [Am. 1]

(1a)  The principal reasons for rail’s insufficient modal share in Europe include unfair competition as regards other modes of transport, a lack of political will to develop rail transport and under-investment in rail networks. [Am. 2]

(2)  The Union markets for freight and for international passenger trains have been opened to competition since 2007 and 2010 respectively through Directives 2004/51/EC(6) and 2007/58//EC(7). In addition, some Member States have opened their domestic passenger services to competition, either by introducing open access rights or competitive tendering for public service contracts or both.

(2a)  The practical effects of the provisions of those Directives need to be assessed by checking the quality of the services provided on the basis of specific facts, tendering and use rates, costs and charges. [Am. 3]

(2b)  In order to establish a single European rail area, it is vital for the relevant legislation to be effectively and fully applied in all the Member States within the prescribed time-limits. Given the deficiencies that have been identified in the sector, the Member States should keep a close eye on the implementation of Union legislation. [Am. 4]

(2c)  Several studies and questionnaires demonstrate that, in Member States that have opened their markets for domestic passenger transport, such as Sweden and the United Kingdom, the railway market has grown, including more satisfied passengers and personnel. [Am. 5]

(3)  Directive 2012/34/EU of the European Parliament and of the Council(8) establishes a single European railway area with common rules on the governance of railway undertakings and infrastructure managers, on infrastructure financing and charging, on conditions of access to railway infrastructure and services and on regulatory oversight of the rail market. With all these elements in place, it is now possible to complete the opening of the Union railway market and reform the governance of infrastructure managers with the objective of ensuring equal access to the infrastructure in order to improve the quality of rail services throughout the Unionwhile safeguarding social standards and employment conditions. [Am. 6]

(3a)  The completion of the opening of the Union railway market should be seen as essential in order to enable rail to become a credible alternative to other modes of transport in terms of price and quality. [Am. 7]

(4)  Directive 2012/34/EU requires the Commission to propose, if appropriate, legislative measures in relation of the opening of the market for domestic passenger transport services by rail and to develop appropriate conditions to ensure the most cost efficient non-discriminatory access to infrastructure including incumbent-owned sales infrastructure, building on the existing separation requirements between infrastructure management and transport operations. [Am. 8]

(4a)  The opening of the market for domestic passenger transport will have a positive impact on the working of the European railway market; this will lead to greater flexibility and more possibilities for companies and passengers. Railway personnel will also benefit from the opening, as it will improve their chances of providing their services to new players on the market. Experienced workers can give the new players added value, leading to better labour conditions. [Am. 9]

(4b)  Member States are responsible for the organisation of their labour markets for railway personnel. They should however make sure that the way in which the labour market is organised does not harm the quality of the service. Union law already provides for a clear framework for the protection of railway workers. [Am. 10]

(5)  Better coordination between infrastructure managers and railway undertakings should be ensured through the establishment of a coordination committee, in order to achieve efficient management and use of the infrastructure. In addition, in order to ensure the smooth running of operations in the daily management of the network, including the management of traffic on the network during the winter season, the infrastructure manager at traffic control level should coordinate with railway undertakings, without compromising its independence and responsibility for managing the network and complying with the existing rules. [Am. 117]

(6)  Member States should also ensure that all functions necessary to the sustainable operations, maintenance, and development of the rail infrastructure will be managed in a consistent manner by the infrastructure manager itself.

(6a)  In order to secure sufficient and fair competition within the European railway area, it is necessary not only to guarantee non-discriminatory access to infrastructure but also to integrate national rail networks and strengthen the regulatory bodies. Such strengthening should take the form of extending the powers of the competent regulatory bodies and developing a network of regulatory bodies which would in future be a key operator in the regulation of the rail transport market in the Union. [Am. 12]

(6b)  The infrastructure manager, in exercising all the relevant functions as provided for in this Directive, should be required to use its competences to constantly improve the efficiency of the management of the rail infrastructure with a view to providing high-quality services to its users. [Am. 13]

(7)  Without prejudice to Member States’ powers as regards infrastructure planning and financing, cross-border issues such as track-access charges should be addressed efficiently between infrastructure managers of the different Member States through the establishment of a European network of infrastructure managers. [Am. 14]

(8)  In order to ensure equal access to the infrastructure, any conflicts of interest resulting from integrated structures encompassing should be shaped in such a way that no conflicts of interest arise between infrastructure management and transport activities should be removed. Removing potential incentives to discriminate against competitors is the only way to guarantee equal access to the railway infrastructure. It is a requirement for the successful opening of the market for domestic passenger transport services by rail. This should also remove the potential for cross-subsidisation, which exists in such integrated structures, and which also leads to market distortions, as well as arrangements in respect of staff remuneration and other benefits which might result in preferential treatment compared to competitors. [Am. 15]

(9)  The existing requirements for the independence of infrastructure managers from railway transport undertakings, as laid down in Directive 2012/34/EU, only cover the essential functions of the infrastructure manager, which are the decision-making on train path allocation, and the decision-making on infrastructure charging. It is however necessary that all the functions are exercised in an independent way, since other functions may equally be used to discriminate against competitors. This is in particular true for decisions on access to ticketing services, stations and depots, on investments or on maintenance which may be made to favour the parts of the network which are mainly used by the transport operators of the integrated undertaking. Decisions on the planning of maintenance works may influence the availability of train paths for the competitors. [Am. 16]

(9a)  Despite the implementation of the safeguards set out in Directive 2013/34/EU guaranteeing the independence of the infrastructure manager, vertically integrated undertakings could use their structure to give railway operators belonging to such undertakings an undue competitive edge. [Am. 17]

(10)  The existing requirements of Directive 2012/34/EU only include legal, organisational and decision-making independence. This does not entirely exclude the possibility of maintaining an integrated undertaking, as long as these three categories of independence are ensured. Concerning the decision-making independence it must be ensured that the appropriate safeguards exclude control of an integrated undertaking over the decision-making of an infrastructure manager. However, even the full application of such safeguards does not completely remove all the possibilities for discriminatory behaviour towards competitors which exist in the presence of a vertically integrated undertaking. In particular, the potential for cross-subsidisation still exists in integrated structures, or at least it is very difficult for regulatory bodies to control and enforce safeguards which are established to prevent such cross-subsidisation. An institutional separation of infrastructure management and transport operation is the most effective measure to solve these problems.

(11)  Member States should therefore be required to ensure that the same legal or natural person or persons are not entitled to exercise control over an infrastructure manager and, at the same time, exercise control or any right over a railway undertaking. Conversely, control over This Directive aims to establish free and fair competition between all railway undertakings, and therefore precludes a railway undertaking should preclude the possibility of exercising control or any right over an infrastructure manager from retaining a vertically integrated model as defined in Article 3. [Am. 18]

(12)  Where Member States still maintain an infrastructure manager which is part of a vertically integrated undertaking, they should at least introduce strict safeguards to guarantee effective independence of the entire infrastructure manager in relation to the integrated undertaking. These safeguards should not only concern the corporate organisation of the infrastructure manager in relation to the integrated undertaking, but also the management structure of the infrastructure manager, and, as far as possible within an integrated structure, prevent financial transfers between the infrastructure manager and the other legal entities of the integrated undertaking. These safeguards do not only correspond to what is necessary to fulfil the existing requirements of decision-making independence of the essential functions under Directive 2012/34/EU, in terms of management independence of the infrastructure manager, but go beyond those requirements by adding clauses to exclude that incomes of the infrastructure manager may be used to fund the other entities within the vertically integrated undertaking. This should apply independently of the application of fiscal legislation of Member States and without prejudice to EU state aid rules.

(12a)  Improving railway safety should be considered seriously during the process of opening the market for domestic passenger transport services by rail, particularly when it comes to reforming the integrated structures currently in place, in order to avoid the creation of additional administrative obstacles compromising the maintenance and improvements of safety. [Am. 19]

(12b)  The possibility for an infrastructure manager to pay dividends to the ultimate owner of the vertically integrated undertaking should not prevent the infrastructure manager from constituting reserves in order to improve its financial situation and to balance its accounts over a reasonable period as required by this Directive. All dividend payments of the infrastructure manager should be earmarked to be used for investments in the renewal of the railway infrastructure in operation. [Am. 107]

(12c)  The holding company in a vertically integrated undertaking may contribute to strategic decisions necessary for the good functioning of the railway transport system as a whole in the interest of all parties active in the railway market, without prejudice to the decisions pertaining to the functions of the infrastructure manager. [Am. 108]

(12d)  It shall also be possible for the representatives of the ultimate owners of the vertically integrated undertaking in the Supervisory Board to include persons appointed by the ultimate owners but not employed by them, provided they do not have any responsibility or interest in any other entity of the vertically integrated undertaking. [Am. 109]

(12e)  The rules ensuring the independence of the infrastructure manager within the vertically integrated undertaking should be without prejudice to the Eurostat criteria on government deficit and debt, since in any case the holding, even taking into account the safeguards for the independence of the infrastructure manager, may still retain ownership of the infrastructure and in addition a sufficient number of functions in order not to be considered as a purely artificial entity having as its sole purpose the reduction of government debt within the meaning of those criteria. [Am. 110]

(13)  Despite the implementation of the safeguards guaranteeing independence vertically integrated undertakings could abuse of their structure to provide undue competitive advantages for railway operators belonging to such undertakings, For this reason, without prejudice to Art 258 of the Treaty on the Functioning of the European Union, the Commission should verify, upon request of a Member State or on its own initiative, that these safeguards are effectively implemented and that any remaining distortions of competition are removed. In case the Commission is not in a position to confirm that this has been achieved, all Member States should have the possibility to limit or revoke access rights of the integrated operators concerned.

(13a)  Taking into account the heterogeneity of networks in terms of their size and density and the variety in the organisational structures of national and local or regional authorities and their respective experiences of the process of market opening, each Member State should be given sufficient flexibility to organise its network in such a way that a mix of open-access services and services performed under public service contracts can be achieved in order to ensure a high quality of services readily accessible to all passengers. Following selection of the public service contracts to be put out to tender, each Member State should establish on a case‑by‑case basis which safeguard mechanisms are to be introduced for each service should the tender procedure not be successfully completed. Those mechanisms should not in any way generate additional charges for the railway undertakings managing those services. [Am. 20]

(14)  Granting Union railway undertakings the right of access to railway infrastructure in all Member States for the purpose of operating domestic passenger services may have implications for the organisation and financing of rail passenger services provided under a public service contract. Member States should have the option of limiting such right of access where it would compromise the economic equilibrium of those public service contracts or the quality of the service that they provide and where approval has been given by the relevant regulatory body. [Am. 21]

(15)  On its own initiative or following a request made by interested parties, regulatory bodies should assess, on the basis of an objective economic analysis, the potential economic impact of domestic passenger services provided under open access conditions on existing public service contracts following a request made by interested parties and on the basis of an objective economic analysis. [Am. 22]

(16)  The process of the assessment should take into account the need to provide all market players with sufficient legal certainty to develop their activities. The procedure should be as simple, efficient and transparent as possible and coherent with the process for the allocation of infrastructure capacity.

(17)  The assessment of whether the economic equilibrium of the public service contract would be compromised should take into account predetermined criteria. Such criteria and the details of procedure to be followed may evolve over time, in particular in the light of the experience of regulatory bodies, competent authorities and railway undertakings and may take into account the specific characteristics of domestic passenger services.

(18)  When assessing whether the economic equilibrium of the public service contract would be compromised, regulatory bodies should consider the economic and social impact of the intended service on existing public service contracts, taking into account its impact on the profitability of any services included in such public service contracts and, the consequences for enhancing cohesion policy in the area concerned and the net cost to the competent public authority that awarded the contracts. To make this assessment, factors such as passenger demand, ticket pricing, ticketing arrangements, location and number of stops and the timing and frequency of the proposed new service should be examined. [Am. 23]

(18a)  In order to determine whether the quality of the service provided under a public service contract is affected by a free-access service on the same network, the regulatory bodies should take into account, in particular, network effects, the maintenance of connections and the punctuality of the services provided under the public service contract. [Am. 24]

(19)  In order to increase the attractiveness of railway services for passengers, Member States should be in a position to require railway undertakings operating domestic passenger services to participate in a common information and integrated ticketing scheme for the supply of tickets, through-tickets and reservations. If Such a scheme is established, it should be ensured ensure that it does not create market distortion or discriminate between railway undertakings. [Am. 25]

(19a)  It is important that railway undertakings engage in the development of integrated ticketing schemes, in particular as regards local and regional transport, in order to increase the attractiveness of rail transport for passengers. Such schemes should not create market distortion or discriminate between railway undertakings. [Am. 26]

(19b)  Since the new package seeks to strengthen passenger rights, and as freedom of movement is one of the basic pillars of the Union, greater efforts should be made to also safeguard that right for disabled persons and for persons with reduced mobility. This makes improving accessibility to means of transport and infrastructure a priority. In order to achieve that objective, cross‑border contacts should be encouraged. This also applies to the assistance provided for that specific category of passengers, which should be harmonised within a broader system. A consultation process should be launched in this respect, involving the social partners, the public and organisations for the protection of the rights of disabled persons. [Am. 27]

(19c)  In the light of the experience acquired through the network of regulatory bodies provided for in Article 57 of Directive 2012/34/EU, the Commission should, by no later than 31 December 2016, draw up a legislative proposal strengthening the network of regulatory bodies, formalising its procedures and giving it legal personality. That body should have a supervisory and arbitration function enabling it to deal with cross-border and international problems and to hear appeals against decisions taken by national regulatory bodies. [Am. 28]

(19d)  With a view to completion of the Single European Railway Area, and given the competition in the railway sector, the Commission is committed to actively supporting and encouraging social dialogue at Union level in order to ensure that railway workers are protected in the long term against unwanted effects of market opening, such as social dumping. [Am. 29]

(19e)  Passengers should have access to functioning through-ticketing schemes and integrated ticketing schemes. Such schemes would also make railways a more attractive means of transport for people. Through-ticketing schemes developed by the sector within Member States should be interoperable with each other in order to enable a Union-wide scheme to be created that encompasses all rail passenger operators. [Am. 30]

(19f)  In light of the experience acquired through the network of regulatory bodies established pursuant to Article 57 of Directive 2012/34/EU, the Commission should draw up a legislative proposal to replace the network with a European Regulatory Body, formalising its procedures and giving it legal personality, by no later than 31 December 2019, in time for the opening of domestic passenger transport services by rail. That body should have a supervisory and arbitration function enabling it to deal with cross-border and international problems and to hear appeals against decisions taken by national regulatory bodies. [Am. 31]

(19g)  In order to avoid social dumping, a railway undertaking should only be able to provide rail transport services if it complies with collective agreements or national laws laying down standards within the Member State in which it intends to act. Provision should therefore be made for equal pay in the same place. The competent regulatory body should monitor compliance with this requirement. [Am. 32]

(19h)  The national regulatory body should approve or request changes to the arrangements for the transfer of staff. This may include the application of a cooling-off period for staff who are to be transferred. The regulatory body, when taking its decision, should aim at avoiding the transfer of sensitive information from the infrastructure manager to another entity within the integrated undertaking. [Am. 33]

(19i)  The opening of the market should not have any adverse repercussions on the working and social conditions of railway workers. The relevant social clauses should be respected in order to avoid any social dumping or unfair competition by new entrants that fails to respect minimum social standards in the railway sector. [Am. 34]

(19j)  Railway undertakings and infrastructure managers should establish within their safety culture a just culture' in order to actively encourage personnel to report safety related accidents, incidents and near misses without being subject to punishment or discrimination. A just culture enables the railway industry to learn lessons from accidents, incidents and near misses and thereby improve safety on the railway for workers and passengers. [Am. 35]

(19k)  The Commission should ensure the full and correct enforcement by Member States of the provisions of Council Directive 2005/47/EC(9). [Am. 36]

(19l)  In the light of the development of the single European railway area and the further opening of the rail transport market, Member States should make use of collective agreements in order to avoid social dumping and unfair competition. [Am. 37]

(19m)  The Commission should assess the impact of this Directive on the development of the labour market for railway on-board staff and, if appropriate, propose new legislative measures on the certification of such staff. [Am. 38]

(19n)  On-board personnel are a professional group within the railway sector that performs safety-relevant tasks. It traditionally performs operational safety tasks within the railway system and is responsible for the comfort and safety of passengers on board trains. A certification similar to the certification of locomotive drivers is useful in order to guarantee a high level of qualifications and competences, to recognise the relevance of that professional group for the safety of rail services but also to facilitate mobility of workers. [Am. 39]

(19o)  The national regulatory body should approve or request changes to the arrangements for the transfer of staff. This may include the application of a cooling-off period for staff who are to be transferred. The regulatory body, when taking its decision, should aim at avoiding the transfer of sensitive information from the infrastructure manager to another entity within the integrated undertaking. [Am. 40]

(20)  In accordance with the Joint Political Declaration of Member States and the Commission of 28 September 2011 on explanatory documents(10), Member States have undertaken to accompany the notification of their transposition measures with one or more documents explaining the relationship between the components of a directive and the corresponding parts of national transposition instruments in justified cases. With regard to this Directive, the legislator considers the transmission of such documents to be justified

(20a)  Infrastructure managers should cooperate in cases concerning incidents or accidents with an impact on cross-border traffic, with a view to sharing any relevant information and thereby avoiding negative spill-over effects. [Am. 41]

(20b)  The regulatory body should be competent to monitor infrastructure maintenance works so as to ensure that they are not undertaken in a way that leads to discrimination between railway undertakings. [Am. 42]

(20c)  The infrastructure manager within a vertically integrated undertaking should be able to offer its staff certain social services in premises that are used by other entities of the vertically integrated undertaking. [Am. 43]

(20d)  The infrastructure manager within a vertically integrated undertaking should be allowed to cooperate with other entities of the vertically integrated undertaking as regards the development of IT systems, subject to the approval of the regulatory body. [Am. 44]

(20e)  The conditions for offering tickets, through tickets and reservations throughout the Union, as provided for in Article 9 of Regulation (EC) No 1371/2007 of the European Parliament and of the Council(11), should be considered fulfilled once the common travel information and ticketing scheme is set up by 12 December 2019, in line with the provisions of this Directive. [Am. 45]

(20f)  The regulatory body may produce guidelines on the enhancement of the independence of the staff and management of the infrastructure manager within a vertically integrated undertaking with respect to train path allocation and infrastructure charging. [Am. 118]

(20g)  Under this Directive, Member States are free at any time to choose between different types of structures for infrastructure managers that co-exist within the single European railway area, namely separated and vertically integrated undertakings, even if they have already introduced a separated type of structure. This Directive lays down various rules and principles governing the internal organisation of those structures. [Am. 47]

(20h)  For the purpose of this Directive, the concepts of supervisory board, administrative board, management board or bodies legally representing the undertaking should be applied to existing corporate structures in the Member States, while avoiding the creation of additional bodies, [Am. 119]

HAVE ADOPTED THIS DIRECTIVE:

Article 1

Directive 2012/34/EU is amended as follows:

-1. In Article 1, the following paragraphs are added:"

‘2a. This Directive aims to make rail transport a more attractive means of transport for the European public. It is designed to help to create workable information and integrated ticketing schemes. The through-ticketing schemes developed by the railway sector within Member States should be interoperable with each other in order to enable a Union‑wide scheme to be created encompassing all rail passenger operators. [Am. 49]

2b.  The objective of this Directive, which is to complete the single European railway area, will be pursued on the basis of social dialogue at Union level in order to ensure that railway workers are appropriately protected against the unwanted effects of the opening of the market.’. [Am. 50]

-1b. In Article 2, the following paragraph is inserted:"

‘3a. Articles 7, 7a, 7b, 7c, 7d and 7e shall not apply to networks of less than 500 km where:

(a)  those networks do not have any strategic importance for the functioning of the European railway market; or

(b)  they are technically and organisationally isolated from the main domestic railway network.’. [Am. 87]

1.  Article 3 is amended as follows:

(a)  Point 2 is replaced by the following:"

‘(2) ‘infrastructure manager’ means any body or firm ensuring the development, operation and maintenance of railway infrastructure on a network; development includes network planning, financial and investment planning as well as building and upgrades of the infrastructure; operation of the infrastructure includes all elements of the process of train path allocation, including both the definition and the assessment of availability and the allocation of individual paths, traffic management and infrastructure charging, including determination and collection of the charges; maintenance includes infrastructure renewals and the other asset management activities.’;

(b)  Point 5 is deleted;

(c)  the following new point is added:"

‘(31) 'vertically integrated undertaking' means an undertaking where:

–  one or several railway undertakings are owned or partly owned by the same undertaking as an infrastructure manager (holding company), or

–  an infrastructure manager is owned or partly owned by one or several railway undertakings or

–  one or several railway undertakings are owned or partly owned by an infrastructure manager.’;

(ca)  The following point is added:"

‘(32) 'integrated ticketing scheme' means a ticketing system which allows a person to make a journey that involves transfers within or between different transport modes, such as trains, buses, trams, metros, ferries or airplanes;’;

(cb)  The following point is added:"

‘(33) 'through ticket' means a ticket or tickets representing a transport contract for successive railway services operated by one or more railway undertakings;’; [Am. 52]

(cc)  The following points are added: "

‘(34) 'supervisory board' means any group of individuals nominated by the owners of the company to promote their interests, monitor and control the work of the executives and approve the major business management decisions;

(35)  'management board' means any group of individuals in charge of executive functions for the day-to-day management of the company;’; [Am. 53]

(cd)  The following point is added:"

‘(36) 'high speed passenger services' means passenger services operated on specially built high-speed lines equipped for speeds generally equal to or greater than 250 km/h and running at those speeds for most of the journey.’; [Am. 54]

2.  In Article 6, paragraph 2 is deleted.

2a.  The following Article is inserted:"

‘Article 6a

Provided that no conflict of interest arises and that the confidentiality of commercially sensitive information is guaranteed, nothing in this Directive shall prevent Member States from authorising the infrastructure manager to engage in cooperation agreements, in a transparent, non-exclusive and non-discriminatory way, with one or more applicants as regards a specific line or a local or regional part of the network, in such a way as to give financial incentives to increase the efficiency of its cooperation in relation to the part of the network concerned. Such incentives may consist in reductions or increases of track access charges corresponding to possible cost savings or revenue increases for the railway undertaking or for the infrastructure manager as a result of that cooperation. Such cooperation shall be aimed at delivering more efficient management of disruptions, maintenance works or congested infrastructure, or of a line or a part of the network prone to delays, or at improving safety.

Its duration shall be limited to a maximum of five years and shall be renewable. The infrastructure manager shall inform the regulatory body referred to in Article 55 of the planned cooperation. The regulatory body shall give its prior approval to the cooperation agreement, demand its modification or reject it if the above conditions are not fulfilled. It may require the agreement to be modified at any stage throughout the duration of the agreement. The infrastructure manager shall inform the coordination committee referred to in Article 7d about the cooperation agreement. This paragraph shall not apply to cooperation allowed under Articles 7a and 7b between the infrastructure manager and railway undertakings that are parts of the same vertically integrated undertaking.’. [Am. 120]

3.  Article 7 is replaced by the following:"

‘Article 7

Institutional separation of the infrastructure manager

1.  Member States shall ensure that the infrastructure manager performs all the functions referred to in Article 3(2) and is independent from any railway undertaking.

Where, on the date of entry into force of this Directive, some items of railway infrastructure as defined in Annex I are owned and managed by undertakings other than the infrastructure manager, Member States may decide that such arrangements are to continue, provided that those undertakings are legally distinct and independent from any railway undertaking. [Am. 121]

To guarantee the independence of the infrastructure manager, Member States shall ensure that infrastructure managers are organised in an entity that is legally distinct from any railway undertaking.

2.  Member States shall also ensure the same legal or natural person or persons are not allowed:

(a)  to directly or indirectly exercise control in the sense of Council Regulation (EC) No 139/2004*, hold any financial interest in or exercise any right over a railway undertaking and over an infrastructure manager at the same time;

(b)  to appoint members of the supervisory board, the administrative board or bodies legally representing an infrastructure manager, and at the same time to directly or indirectly exercise control, hold any financial interest in or exercise any right over a railway undertaking;

(c)  to be a member of the supervisory board, the administrative board or bodies legally representing the undertaking, of both a railway undertaking and an infrastructure manager;

(d)  to manage the rail infrastructure or be part of the management of the infrastructure manager, and at the same time to directly or indirectly exercise control, hold any financial interest in or exercise any right over a railway undertaking, or to manage the railway undertaking or be part of its management, and at the same time to directly or indirectly exercise control, hold any interest in or exercise any right over an infrastructure manager.

3.  For the implementation of this Article, where the person referred to in paragraph 2 is a Member State or another public body, two public authorities which are separate and legally distinct from each other and which are exercising control or other rights mentioned in paragraph 2 over the infrastructure manager, on the one hand, and the railway undertaking, on the other hand, shall be deemed not to be the same person or persons.

4.  Provided that no conflict of interest arises and that confidentiality of commercially sensitive information is guaranteed, the infrastructure manager may subcontract specific development, renewal and maintenance works, over which it shall keep the decision-making power, to railway undertakings or to any other body acting under the supervision of the infrastructure manager.

4a.  Provided that the provisions concerning the institutional separation of the infrastructure manager, as laid down in paragraphs 1 to 3, are respected, that no conflict of interest arises and that the confidentiality of commercially sensitive information is guaranteed, Member States may authorise the infrastructure manager to engage in cooperation agreements, in a transparent, non-exclusive and non-discriminatory way, with one or more applicants as regards a specific line or a local or regional part of the network, in such a way as to give such applicant an incentive to increase the efficiency of its cooperation in relation to the part of the network concerned. Such incentives shall consist in reductions of track access charges corresponding to possible cost savings for the infrastructure manager as a result of that cooperation. Such cooperation shall be aimed at delivering more efficient management of disruptions, maintenance works or congested infrastructure, or of a line or a part of the network prone to delays, or at improving safety. Its duration shall be limited to a maximum of five years and shall be renewable. The infrastructure manager shall inform the regulatory body referred to in Article 55 of the planned cooperation. The regulatory body shall give its prior approval to the cooperation agreement, demand its modification or reject it if the above conditions are not fulfilled. It may require the agreement to be modified at any stage throughout the duration of the agreement. The infrastructure manager shall inform the coordination committee referred to in Article 7d about the cooperation agreement. [Am. 56]

5.  Where on the date of entry into force of this Directive, the infrastructure manager belongs to a vertically integrated undertaking, Member States may decide not to apply paragraphs 2 to 4 of this Article. In such case, the Member State concerned shall ensure that the infrastructure manager performs all the functions referred to in Article 3(2) and has effective organisational and decision-making independence from any railway undertaking in accordance with the requirements set out in Articles 7a to 7c and 7b.

______________________________

* Council Regulation (EC) No 139/2004 of 20 January 2004 on the control of concentrations between undertakings (the EC Merger Regulation) (OJ L 24, 29.1.2004, p. 1)." [Am. 122]

4.  The following Articles are inserted:"

‘Article 7a

Effective independence of the infrastructure manager within a vertically integrated undertaking

1.  Member States shall ensure that the infrastructure manager shall be organised in a body which is legally distinct from any railway undertaking or holding company controlling such undertakings and from any other legal entities within a vertically integrated undertaking.

2.  Legal entities within the vertically integrated undertaking that are active in railway transport services markets shall not have any direct or indirect shareholding in the infrastructure manager, either directly, indirectly or through subsidiaries. Nor shall the infrastructure manager have any direct or indirect shareholding in any legal entities within the vertically integrated undertaking active in railway transport services markets, either directly, indirectly or through subsidiaries.

This provision shall not, however, preclude the existence of a vertically integrated undertaking where one or more railway undertakings are owned or partly owned by the same undertaking as an infrastructure manager (holding company).

3.  The infrastructure manager's incomes may not be used in order to finance other legal entities within the vertically integrated undertaking but only in order to finance the business of the infrastructure manager and to pay dividends. Dividend payments to the ultimate owner of the vertically integrated company shall be possible. Those dividend payments by the infrastructure manager shall be earmarked to be used for investment in the renewal of the infrastructure in operation and shall not prevent the infrastructure manager from constituting reserves in order to manage its profits and losses over the business cycle.

These provisions shall not apply to payments to private investors in the case of public-private partnerships.

The infrastructure manager may not grant loans to any other legal entities only to its own subsidiaries. Within the vertically integrated undertaking, and no other legal entity within the vertically integrated undertaking may grant loans to the infrastructure manager loans to the infrastructure manager may only be granted by the holding company and shall be subject to monitoring by the regulatory body referred to in Article 55. The holding company shall demonstrate to the satisfaction of the regulatory body that the loan is granted at market price and that it complies with Article 6.

Any services offered by other legal entities to the infrastructure manager shall be based on contracts and be paid at market prices. The debt attributed to the infrastructure manager shall be clearly separated from the debt attributed to other legal entities within the vertically integrated undertaking, and these debts shall be serviced separately.

The accounts of the infrastructure manager and of the other legal entities within the vertically integrated undertaking shall be kept in a way that ensures the fulfilment of these provisions and allows for separate financial circuits for the infrastructure manager and for the other legal entities within the vertically integrated undertaking.

4.  Without prejudice to Article 8(4), the infrastructure manager shall raise funds on the capital markets independently and not via other legal entities within the vertically integrated undertaking. Other legal entities within the vertically integrated undertaking shall not raise funds via the infrastructure manager. [Am. 123]

5.  The infrastructure manager shall keep detailed records of any commercial and financial relations with the other legal entities within the vertically integrated undertaking and make them available to the regulatory body upon request, in accordance with Article 56(12).

Article 7b

Effective independence of the staff and management of the infrastructure manager within a vertically integrated undertaking

1.  Without prejudice to the decisions of the regulatory body under Article 56, the infrastructure manager shall have effective decision-making powers, independent from the other legal entities within the vertically integrated undertaking, with respect to all the functions referred to in Article 3(2) train path allocation and infrastructure charging.

The overall management structure and the corporate statutes of the infrastructure manager shall ensure that none of the other legal entities within the vertically integrated undertaking shall determine, directly or indirectly, the behaviour of the infrastructure manager in relation to these functions train path allocation and infrastructure charging.

The members of the supervisory board and of the management board of the infrastructure manager and the managers directly reporting to them shall act according to these principles.

2.  The members of the management board and senior staff members of the infrastructure manager shall not be in the supervisory or management boards or be senior staff members of any other legal entities within the vertically integrated undertaking.

The members of the supervisory or management boards and senior staff members of the other legal entities within the vertically integrated undertaking shall not be in the management board or be senior staff members of the infrastructure manager.

3.  The infrastructure manager shall have a Supervisory Board which is composed of representatives of the ultimate owners of the vertically integrated undertaking.

The Supervisory Board may consult the Coordination Committee referred to under Article 7d on issues under its competence.

Decisions regarding the appointment and renewal, working conditions including remuneration, and termination of the office of the management board members of the infrastructure manager shall be taken by the Supervisory Board. The identity and the conditions governing the duration and the termination of office of the persons nominated by the Supervisory Board for appointment or renewal as members of the management board of the infrastructure manager, and the reasons for any proposed decision terminating the office, shall be notified to the regulatory body referred to in Article 55. Those conditions and the decisions referred to in this paragraph shall become binding only if the regulatory body has expressly approved them. The regulatory body may object to such decisions where doubts arise as to the professional independence of a person nominated for the management board or in the case of premature termination of office of a member of the management board of the infrastructure manager.

Effective rights of appeal to the regulatory body shall be granted for members of the management board who wish to enter complaints against the premature termination of the office.

4.  For a period of three years after leaving the infrastructure manager, members of the Supervisory Board or management board and senior staff members of the infrastructure manager shall not be entitled to hold any senior position with any other legal entities within the vertically integrated undertaking. For a period of three years after leaving those other legal entities within the vertically integrated undertaking, their supervisory or management boards' members and senior staff members shall not be entitled to hold any senior position with the infrastructure manager.

5.  The infrastructure manager shall have its own management staff and be located in separate premises from the other legal entities within the vertically integrated undertaking. Access to information systems shall be protected to ensure the independence of the infrastructure manager. Internal rules or staff contracts shall clearly limit contacts with. Sensitive information held by the infrastructure manager shall be duly protected and shall not be passed on to other entities.

The infrastructure manager may offer to its staff social services, such as those provided in schools, kindergartens, sport centres and restaurants, in premises used by the other legal entities within the vertically integrated undertaking to official communications connected with the exercise of the functions of the infrastructure manager which are also exercised in relation to other railway undertakings outside the vertically integrated undertaking. Transfers of staff other than those referred to under point (c) between. The infrastructure manager may cooperate with other entities of the vertically integrated undertaking as regards the development of their information systems.

The regulatory body shall approve or request changes to the arrangements concerning the implementation of this paragraph with the aim of ensuring the independence of the infrastructure manager and the other legal entities within the vertically. The regulatory body may request the integrated undertaking shall only be possible if it can be ensured that sensitive to provide it with any information will not be passed on between them that may be necessary.

6.  The infrastructure manager shall have the necessary organisational capacity to perform all of its functions independently from the other legal entities within the vertically integrated undertaking and shall not be allowed to delegate to these legal entities the operation of these functions or any activities related to them.

Provided that no conflict of interest, market distortion or discrimination arises and that confidentiality of commercially sensitive information is guaranteed, the infrastructure manager may subcontract specific development, renewal and maintenance works, over which it shall keep the decision-making power, to railway undertakings or to any other body acting under the supervision of the infrastructure manager.

7.  The members of the supervisory or management boards and senior staff of the infrastructure manager shall hold no interest in or receive any financial benefit, directly or indirectly, from any other legal entities within the vertically integrated undertaking. Performance-based elements of their remuneration shall not depend on the business results of any other legal entities within the vertically integrated undertaking or any legal entities under its control, but exclusively on those of the infrastructure manager. [Am. 124/rev]

Article 7c

Procedure of verification of compliance

1.  Upon request of a Member State or on its own initiative, the Commission shall decide whether infrastructure managers which are part of a vertically integrated undertaking fulfil the requirements of Article 7a and Article 7b and whether the implementation of these requirements is appropriate to ensure a level playing field for all railway undertakings and the absence of distortion of competition in the relevant market.

2.  The Commission shall be entitled to require all necessary information within a reasonable deadline from the Member State where the vertically integrated undertaking is established. The Commission shall consult the regulatory body or bodies concerned and, if appropriate, the network of regulatory bodies referred to in Article 57.

3.  Member States may limit the rights of access provided for in Article 10 to railway undertakings which are part of the vertically integrated undertaking to which the infrastructure manager concerned belongs, if the Commission informs Member States that no request has been made in accordance with paragraph 1 or pending the examination of the request by the Commission or if it decides, in accordance with the procedure referred to in Article 62(2), that:

(a)  no adequate replies to the Commission information requests in accordance with paragraph 2 have been made, or

(b)  the infrastructure manager concerned does not fulfil the requirements set out in Articles 7a and 7b, or

(c)  the implementation of requirements set out in Articles 7a and 7b is not sufficient to ensure a level playing field for all railway undertakings and the absence of distortion of competition in the Member State where the infrastructure manager concerned is established.

The Commission shall decide within a reasonable period of time.

4.  The Member State concerned may request the Commission to repeal its decision referred to in paragraph 3, in accordance with the procedure referred to in Article 62(2), when that Member State demonstrates to the satisfaction of the Commission that the reasons for the decision do not exist any longer. The Commission shall decide within a reasonable period of time.

5.  Without prejudice to paragraphs 1 to 4, the on-going compliance with the requirements set out in Articles 7a and 7b shall be monitored by the regulatory body referred to in Article 55. Any applicant shall have the right to appeal to the regulatory body if it believes that these requirements are not complied with. Upon such an appeal, the regulatory body shall decide, within the time-limits indicated in Article 56(9), on all the necessary measures to remedy the situation. [Ams 101 and 125/rev]

Article 7c

Coordination Committee

1.  Member States shall ensure that infrastructure managers set up and organise Coordination Committees for each network. Membership of this committee shall be open at least to the infrastructure manager, known applicants in the sense of Article 8(3) and, upon their request, potential applicants, their representative organisations, representatives of users of the rail freight and passenger transport services and, where relevant, regional and local authorities including the competent authorities. Member State representatives and the regulatory body concerned shall be invited to the meetings of the Coordination Committee as observers. [Am. 59]

2.  The Coordination Committee shall make proposals concerning or advising the infrastructure manager and, where appropriate, the Member State on:

(a)  the needs of applicants related to the maintenance and development of the infrastructure capacity;

(b)  the content of the user-oriented performance targets contained in the contractual agreements referred to in Article 30 and of the incentives referred to in Article 30(1) and their implementation;

(c)  the content and implementation of the network statement referred to in Article 27;

(d)  the charging framework and rules set by the State and the charging scheme established by the infrastructure manager in accordance with Article 29 and the level and structure of infrastructure charges;

(e)  the process for allocation of infrastructure capacity, including priority rules for the allocation of capacity between different categories of infrastructure users; the principles of coordination in the event of conflicting requests to operate a rail service shall be governed by Article 46(4); [Am. 60]

(f)  issues of intermodality;

(g)  any other issue related to the conditions for access and use of the infrastructure and the quality of the services of the infrastructure manager;

(ga)  issues faced by the users of the rail freight and passenger transport services, including the quality of the service provided, the infrastructure charges, and the level and transparency of the rail service prices. [Am. 61]

The Coordination Committee shall have the power to request relevant information from the infrastructure manager on points (a) to (g) (ga) in order to be able to carry out these tasks, without prejudice to commercial confidentiality. [Am. 62]

3.  The Coordination Committee shall draw up rules of procedure that include, in particular, rules on participation in and frequency of meetings which shall be at least quarterly. The rules of procedure shall provide inter alia for regular consultation, at least once a year, of the users of the rail freight and passenger transport services and of railway sector workers' representatives. A report of the Coordination Committee's discussions shall be submitted annually to the infrastructure manager, the Member State, the regulatory body concerned, users of the rail freight and passenger transport services and the railway sector workers' representatives concerned and the Commission with an indication of the respective positions taken by the Committee members. [Am. 63]

Article 7d

European Network of Infrastructure Managers

1.  Member States shall ensure that infrastructure managers participate and cooperate in a network to develop the Union rail infrastructure, and in particular to ensure:

(i)  timely and efficient implementation of the trans-European transport network, including the core network corridors, rail freight corridors according to Regulation (EU) No 913/2010* and the European Rail Traffic Management System (ERTMS) deployment plan laid down in Decision 2012/88/EU** and

(ii)  the facilitation of efficient and effective cross-border passenger services within the Union, including through cross-border cooperation to overcome bottlenecks.

1a.  The network shall also develop common framework principles in respect of charging for cross-border passenger services operating on more than one network as defined in Article 37 and allocation of capacity as provided for in Article 40. Those common principles shall be subject to the opinion of the network of regulatory bodies as referred to in Article 57. [Am. 64]

The Commission shall be a member of the Network. It shall coordinate and support the work of the Network and make recommendations to the Network, as appropriate. It shall ensure the active cooperation of the appropriate infrastructure managers.

2.  The Network shall participate in the market monitoring activities referred to in Article 15 and benchmark the efficiency and effectiveness of infrastructure managers on the basis of common indicators and quality criteria, such as the reliability, capacity, availability, punctuality and safety of their networks, asset quality and utilisation, maintenance, renewals, enhancements, investments, and financial efficiency and transparency of the charging framework and charging rules. [Am. 65]

3.  The Commission may, taking into account the views expressed by the Network, shall adopt measures setting out the common principles and practices of the Network, in particular to ensure consistency in benchmarking, and the procedures to be followed for cooperation in the Network. Those measures shall be adopted by means of an implementing a delegated act in accordance with the procedure referred to in Article 62(3) 60.

________________________

* Regulation (EU) No 913/2010 of the European Parliament and of the Council of 22 September 2010 concerning a European rail network for competitive freight (OJ L 276, 20.10.2010, p. 22).

** Commission Decision of 25 January 2012 on the technical specification for interoperability relating to the control-command and signalling subsystems of the trans-European rail system (OJ L 51, 23.2.2012, p. 51).". [Am. 66]

5.  Article 10 is amended as follows:

(a)  paragraph 2 is replaced by the following:"

‘2. Railway undertakings shall be granted, under equitable, non-discriminatory and transparent conditions, the right of access to railway infrastructure in all Member States for the purpose of operating all types of rail passenger services. Railway undertakings shall have the right to pick up passengers at any station and set them down at another. That right shall include access to infrastructure connecting service facilities referred to in point 2 of Annex II.’;

(aa)  the following paragraph is inserted:"

‘2a. A Member State shall not be required to grant any right of access to infrastructure for the purpose of operating any type of services to a railway undertaking where that undertaking is controlled directly or indirectly by a person or persons from a third country or third countries in which rights of access to infrastructure and service facilities are not granted to Union undertakings on conditions similar to those specified in this Directive. For the purposes of this paragraph, control shall be constituted by rights, contracts or any other means which, either separately or in combination and having regard to the considerations of fact or law involved, confer the possibility of exercising decisive influence on an undertaking, in particular by:

(a)  ownership or the right to use all or part of the assets of the undertaking concerned;

(b)  rights or contracts which confer decisive influence on the composition, voting or decisions of the organs of an undertaking.’; [Am. 67]

(b)  paragraphs 3 and 4 are deleted.

6.  Article 11 is amended as follows:

(a)  paragraph 1 is replaced by the following:"

‘1. Member States may limit the right of access provided for in Article 10(2) to passenger services between a given place of departure and a given destination when one or more public service contracts cover the same route or an alternative route if the exercise of this right would compromise the economic equilibrium of the public service contract or contracts in question. High-speed passenger services shall not be limited in their right of access provided for in Article 10(2).

Competent authorities and infrastructure managers shall give advance notice to all interested parties of capacity requests pursuant to Regulation (EC) No 1370/2007 of the European Parliament and of the Council* that may conflict with the rights of access pursuant to Article 10 of this Directive.

All passenger services that are not part of a public service contract shall be referred to as open access services.

If a competent authority creates a new public service contract, or extends the scope of an existing one, in the sense of using more infrastructure capacity than was previously used, the rights of access of undertakings that provide existing open access services which may be affected by the decision of the competent authority shall not be subject to any limitations.

________________________________

* 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).’; [Am. 68]

(b)  the first subparagraph of paragraph 2 is replaced by the following:"

'In order to determine whether the economic equilibrium of a public service contract would be compromised, the relevant regulatory body or bodies referred to in Article 55 shall make an objective economic analysis and base its decision on pre-determined criteria. They shall determine this

Those criteria shall cover, inter alia, the impact of the exercise of the right of access on the profitability of any services comprised in the public service contract, including the resulting impacts on the net cost to the competent public authority that awarded the contract, passenger demand, ticket pricing, ticketing arrangements, the location and number of stops and timing and the frequency of the proposed new service, and shall be established by the regulatory body referred to in Article 55 in compliance with the measures provided for in paragraph 4 of this Article. The analysis shall assess whether the viability of the services operated under the public service contract would be compromised by a new open access service.

The economic equilibrium of the public service contract shall not be deemed to be compromised if the regulatory body predicts that the prospective new service would be mainly revenue-generating rather than revenue-abstracting for the rail sector, and that the revenue loss for the set of services under the public service contract or contracts, if any, would not be substantial. In accordance with such analysis and the decision of the relevant regulatory body, Member States shall be empowered to authorise, modify or deny the right of access for the passenger service sought."

(c)  the following paragraphs are inserted:"

"2a. Where a public service contract is awarded through a competitive public tendering procedure in accordance with Union law, Member States may, in accordance with Regulation (EC) No 1370/2007, limit the right of access provided for in Article 10(2) of this Directive for the duration of that public service contract on services between a place of departure and a destination which are covered by that public service contract. The information that the right of access is limited shall be made public when the tendering procedure for that public service contract is launched. Any additional new service within the meaning of Article 10(2) which is predicted by the regulatory body to be mainly revenue-generating rather than revenue-abstracting for the rail sector and in respect of which the revenue loss for the set of services under the public service contract, if any, is predicted not to be substantial shall not be limited in its access.

The limitations referred to in this paragraph shall not have the effect of restricting the right to pick up passengers at any station located along the route of an international service and to set them down at another, including at stations located in the same Member State.

2b.  The regulatory body or bodies performing the analyses referred to in paragraphs 2 and 2a make its or their determination after a request from any of the following, submitted within one month from receipt of the information on the intended passenger service referred to in Article 38(4):

(a)  the competent authority or competent authorities that awarded the public service contract;

(b)  any other interested competent authority with the right to limit access under this Article;

(c)  the infrastructure manager;

(d)  the railway undertaking performing the public service contract;

(da)  the railway undertaking that has requested capacity in accordance with Article 38(4).’; [Ams 69 and 114]

(d)  paragraph paragraphs 3 and 4 is are replaced by the following:"

‘3. The regulatory body shall give the grounds for its decision and the conditions under which a reconsideration of the decision within one month of its notification may be requested by one of the following:,

(a)  the relevant competent authority or competent authorities;

(b)  the infrastructure manager;

(c)  the railway undertaking performing the public service contract;

(d)  the railway undertaking seeking access.’;

In case Where the regulatory body decides in accordance with paragraph 2 that the economic equilibrium of a public contract would be compromised by the intended passenger service referred to in Article 38(4), it shall indicate possible changes to such service which would ensure that the conditions to grant the right of access provided for in Article 10(2) are met.

4.  Based on the experience of regulatory bodies, competent authorities and railway undertakings and based on the activities of the network referred to in Article 57(1), the Commission shall adopt by 16 December 2016 measures setting out the details of the procedure and criteria to be followed for the application of paragraphs 1, 2 and 3 of this Article. Those implementing delegated acts shall be adopted in accordance with the examination procedure referred to in Article 62(3) 60.’; [Am. 70]

(e)  paragraph 5 is deleted.

7.  The following Article 13a is inserted:"

‘Article 13a

Common information and integrated ticketing schemes [Am. 71]

1.  Without prejudice to Regulation (EC) No 1371/2007(12) and Directive 2010/40/EU(13), All timetabling data shall be deemed to constitute public data and shall be made available accordingly.

Notwithstanding Regulation (EC) No 1371/2007 and Directive 2010/40/EU, Member States shall require all rail stakeholders such as railway undertakings, infrastructure managers and ticket vendors to use by 12 December 2019 an interoperable through-ticketing and information system that fulfils the objective of enabling passengers to access all data needed to plan a journey and to reserve and buy their tickets within the Union.

Member States shall require railway undertakings to cooperate in setting up, by 12 December 2019, a common travel information and ticketing scheme for the supply of tickets, through-tickets and reservations for all public passenger transport by rail provided under a public service contract pursuant to Regulation (EC) No 1370/2007 or shall decide to empower relevant authorities to set up such a scheme. The scheme shall not create market distortion or discriminate between railway undertakings. It shall be managed by a public or private legal entity or by an association of all railway undertakings operating passenger services.

Railway undertakings operating commercial public passenger services shall have non-discriminatory access to the scheme for the purpose of providing information on, and selling tickets for, public passenger transport by rail as an add-on to their own transport services.

Any system shall be devised in such a way as to be interoperable in accordance with Directive 2008/57/CE and the basic technical specifications on telematic applications. It shall apply those technical requirements in order to ensure, in particular, consistency in charging and clearing, confidentiality of commercial information, protection of personal data and compliance with competition rules. Any system or application offering additional services to passengers shall be interoperable with those technical specifications.

Member States shall ensure that access to the basic technical specifications on telematic applications is open and non-discriminatory.

Any commercial agreement between participants shall be in conformity with competition rules.

The costs of such a system shall be divided fairly among the participants, in a manner which reflects their respective contributions.

The regulatory body shall ensure that any such through-ticketing system does not create market distortion or discriminate between railway undertakings.

Member States may also require railway undertakings operating domestic passenger services and providers of passenger transport by other modes of transport to participate in a common interoperable travel information and integrated ticketing scheme for the supply of tickets, through-tickets and reservations or decide to give the power to competent relevant authorities to establish such a scheme. If such a scheme is established, Member States shall ensure that it does not create market distortion or discriminate between railway undertakings and other providers of passenger transport and that it is managed by a public or private legal entity or an association of all railway undertakings operating passenger services. [Am. 72]

2.  Member States shall require railway undertakings operating passenger services to put in place and coordinate set up, and coordinate, including with respect to major routes within the Union, national contingency plans to provide assistance to passengers, in the sense of Article 18 of Regulation (EC) No 1371/2007, taking account of Commission Decision 2008/164/EC*, in the event of a major disruption to services triggered by a natural or man-made disaster. Each railway undertaking operating passenger services and each station manager shall put in place its own contingency plan in accordance with national contingency plans.

__________________________________

* Commission Decision 2008/164/EC of 21 December 2007 concerning the technical specification of interoperability relating to persons with reduced mobility in the trans-European conventional and high-speed rail system (OJ L 64, 7.3.2008, p. 72)’. [Am. 73]

7a.  In Article 19, the following point is added:"

‘(da) have undertaken to apply the respective collective agreements of the Member States in which the undertaking wishes to operate.’. [Am. 74]

8.  In Article 38, paragraph 4 is replaced by the following:"

‘4. Where an applicant intends to request infrastructure capacity with a view to operating a passenger service, it shall inform the infrastructure managers and the regulatory bodies concerned no less than 18 months before the entry into force of the working timetable to which the request for capacity relates. In order to enable regulatory bodies concerned to assess the potential economic impact on existing public service contracts, regulatory bodies shall ensure that any competent authority that has awarded a rail passenger service on that route defined in a public service contract, any other interested competent authority with the right to limit access under Article 11 and any railway undertaking performing the public service contract on the route of that passenger service is informed without undue delay and at the latest within five days.’.

8a.  In Article 42, the following paragraph 1a is inserted:"

‘1a. With a view to preventing discrimination against applicants, the regulatory body referred to in Article 55 of this Directive shall give prior approval to such a framework agreement and shall oversee a framework agreement in force on its own initiative. An applicant shall have the right to appeal to the regulatory body if it believes that it has been unfairly treated or discriminated against, or if it is in any other way aggrieved by a framework agreement. In the event of an appeal against a framework agreement, the regulatory body shall either confirm that no modification of the framework agreement is required or shall require modification of that framework agreement in accordance with directions specified by the regulatory body, not later than two months after the appeal is received by the regulatory body. The infrastructure manager and the railway undertaking shall comply with the regulatory body's decision as soon as is materially feasible, and in any case not later than one month after receiving notification of that decision from the regulatory body. Whilst performing the functions described in this paragraph, the regulatory body shall pay particular attention to the protection of business secrets.’. [Am. 75]

8b.  In Article 46, paragraph 4 is replaced by the following:"

‘4. The principles governing the coordination process shall be set out in the network statement. These shall, in particular, reflect the difficulty of arranging international train paths and the effect that modification may have on other infrastructure managers. In the event of conflicting requests to operate a rail service in the same market segment, the infrastructure manager, when allocating capacity, shall take into consideration only the infrastructure disputed and not the overall volume of capacity requested by the competing applicants.’. [Am. 76]

8c.  In Article 54, paragraph 1 is replaced by the following:"

‘1. In the event of disturbance to train movements caused by technical failure or accident, the infrastructure manager shall take all necessary steps to restore the situation to normal. To that end, it shall draw up a contingency plan listing the various bodies to be informed in the event of serious incidents or serious disturbance to train movements. In the event of disturbance which has a potential impact on cross-border traffic, the infrastructure manager shall share any relevant information with other infrastructure managers whose network and traffic may be affected by that disturbance. The infrastructure managers concerned shall cooperate to restore the cross-border traffic to normal.’. [Am. 77]

8d.  In Article 55, the following paragraph is added:"

‘3a. Member States shall ensure that the regulatory bodies have the necessary organisational and operational resources referred to in Article 56 of this Directive and shall, where necessary, adopt an action plan for the purpose of providing them with those resources.’. [Am. 78]

8e.  Article 56 is replaced by the following:"

‘Article 56

Functions of the regulatory body

1.  Without prejudice to Article 46(6), an applicant shall have the right to appeal to the regulatory body if it believes that it has been unfairly treated, discriminated against or is in any other way aggrieved, and in particular against decisions adopted by the infrastructure manager or where appropriate the railway undertaking or the operator of a service facility concerning:

(a)  the network statement in its provisional and final versions;

(b)  the criteria set out in it;

(c)  the allocation process and its result;

(d)  the charging scheme;

(e)  the level or structure of infrastructure charges which it is, or may be, required to pay;

(f)  arrangements for access in accordance with Articles 10 to 13;

(g)  access to and charging for services in accordance with Article 13;

(ga)  scheduled and unscheduled infrastructure maintenance work.

2.  Without prejudice to the powers of the national competition authorities for securing competition in the rail services markets, the regulatory body shall have the power to monitor the competitive situation in the rail services markets and shall, in particular, control points (a) to (ga) of paragraph 1 on its own initiative and with a view to preventing discrimination against applicants. It shall, in particular, check whether the network statement contains discriminatory clauses or creates discretionary powers for the infrastructure manager that may be used to discriminate against applicants.

3.   The regulatory body shall also cooperate closely with the national safety authority within the meaning of Directive 2008/57/EC of the European Parliament and of the Council of 17 June 2008 on the interoperability of the rail system within the Community*, and the licensing authority within the meaning of this Directive.

Member States shall ensure that these authorities jointly develop a framework for information-sharing and cooperation aimed at preventing adverse effects on competition or safety in the railway market. This framework shall include a mechanism for the regulatory body to provide the national safety and licensing authorities with recommendations on issues that may affect competition in the railway market and for the national safety authority to provide the regulatory body and licensing authority with recommendations on issues that may affect safety. Without prejudice to the independence of each authority within the field of their respective competences, the relevant authority shall examine any such recommendation before adopting its decisions. If the relevant authority decides to deviate from these recommendations, it shall give reasons in its decisions.

4.  Member States may decide that the regulatory body is given the task to adopt non-binding opinions on the provisional versions of the business plan referred to in Article 8(3), the contractual agreement and the capacity-enhancement plan to indicate in particular whether these instruments are consistent with the competitive situation in the rail services markets.

5.  The regulatory body shall have the necessary organisational capacity in terms of human and material resources, which shall be proportionate to the importance of the rail sector in the Member State.

6.  The regulatory body shall ensure that charges set by the infrastructure manager comply with Section 2 of Chapter IV and are non-discriminatory. The regulatory body shall ensure that the access charges set by the infrastructure manager, operators of service facilities or railway undertakings – including for access to tracks and access to stations, their buildings and other facilities, including facilities for the display of travel information – are not discriminatory. In that connection, proposed changes to the level or structure of the charges referred to in this paragraph shall be notified to the regulatory body at the latest two months prior to their scheduled entry into force. Until one month prior to their entry into force, the regulatory body may insist on a reduction or an increase in the proposed changes, on their postponement or on their cancellation. Negotiations between applicants and an infrastructure manager concerning the level of infrastructure charges shall only be permitted if these are carried out under the supervision of the regulatory body. The regulatory body shall intervene if negotiations are likely to contravene the requirements of this Chapter.

7.  The regulatory body shall, regularly and, in any case, at least every two years, consult representatives of users of the rail freight and passenger transport services, to take into account their views on the rail market.

8.  The regulatory body shall have the power to request relevant information from the infrastructure manager, applicants and any third party involved within the Member State concerned.

Information requested shall be supplied within a reasonable period set by the regulatory body that shall not exceed one month, unless, in exceptional circumstances, the regulatory body agrees to, and authorises, a time-limited extension, which shall not exceed two additional weeks. The regulatory body shall be able to enforce such requests with appropriate penalties, including fines. Information to be supplied to the regulatory body includes all data which the regulatory body requires in the framework of its appeal function and in its function of monitoring the competition in the rail services markets in accordance with paragraph 2. This includes data which are necessary for statistical and market observation purposes.

9.  The regulatory body shall consider any complaints and, as appropriate, shall ask for relevant information and initiate consultations with all relevant parties, within one month from the receipt of the complaint. It shall decide on any complaints, take action to remedy the situation and inform the relevant parties of its reasoned decision within a pre-determined, reasonable time, and, in any case, within six weeks from receipt of all relevant information. Without prejudice to the powers of the national competition authorities for securing competition in the rail service markets, the regulatory body shall, where appropriate, decide on its own initiative on appropriate measures to correct discrimination against applicants, market distortion and any other undesirable developments in these markets, in particular with reference to points (a) to (ga) of paragraph 1.

A decision of the regulatory body shall be binding on all parties covered by that decision, and shall not be subject to the control of another administrative instance. The regulatory body shall be able to enforce its decisions with the appropriate penalties, including fines.

In the event of a complaint against a refusal to grant infrastructure capacity, or against the terms of an offer of capacity, the regulatory body shall either confirm that no modification of the infrastructure manager's decision is required, or it shall require modification of that decision in accordance with its instructions. The infrastructure manager shall comply with the decision of the regulatory body at the latest one month after receiving notification of that decision.

10.  Member States shall ensure that decisions taken by the regulatory body are subject to judicial review. The appeal may have suspensive effect on the decision of the regulatory body only when the immediate effect of the regulatory body's decision may cause irretrievable or manifestly excessive damages for the appellant. This provision is without prejudice to the powers of the court hearing the appeal as conferred by constitutional law, where applicable.

11.  Member States shall ensure that decisions taken by the regulatory body are published.

12.  The regulatory body shall have the power to carry out audits or initiate external audits with infrastructure managers, operators of service facilities and, where relevant, railway undertakings, to verify compliance with accounting separation provisions laid down in Article 6. In this respect, the regulatory body shall be entitled to request any relevant information. In particular the regulatory body shall have the power to request infrastructure manager, operators of service facilities and all undertakings or other entities performing or integrating different types of rail transport or infrastructure management as referred to in Article 6(1) and (2) and Article 13 to provide all or part of the accounting information listed in Annex VIII with a sufficient level of detail as deemed necessary and proportionate.

Without prejudice to the powers of the national authorities responsible for State aid issues, the regulatory body may also draw conclusions from the accounts concerning State aid issues which it shall report to those authorities.

13.  The Commission shall be empowered to adopt delegated acts in accordance with Article 60 concerning certain amendments to Annex VIII. Thus, Annex VIII may be amended to adapt it to the evolution of accounting and control practices and/or to supplement it with additional elements necessary to verify separation of accounts.

________________________________

* Directive 2008/57/EC of the European Parliament and of the Council of 17 June 2008 on the interoperability of the rail system within the Community (OJ L 191, 18.7.2008, p. 1).’. [Am. 79]

8f.  In Article 57 the following paragraph is added:"

‘9a. Where an applicant considers that a decision of an infrastructure manager is obstructing the development of an international service, it may refer the matter to the network of regulatory bodies for an opinion. The national regulatory body concerned shall be informed of that referral at the same time. The network shall, where necessary, seek explanations from the infrastructure manager and, in any case, from the national regulatory body concerned. The network shall adopt and publish its opinion and communicate it to the national regulatory body concerned.

The network of regulatory bodies shall submit an annual activity report to the Commission. The Commission shall report to the European Parliament and Council.

Within one year from the entry into force of this Directive and by no later than 31 December 2019, the Commission shall adopt a legislative proposal establishing a European regulatory body and shall confer on it legal personality together with a supervisory and arbitration function empowering it to deal with cross-border issues and to hear appeals against decisions taken by national regulatory bodies. That new body shall replace the European Network of Regulatory Bodies.’. [Am. 80]

9.  In Article 63, paragraph 1 is replaced by the following:"

‘1. By 31 December 2024, the Commission shall evaluate the impact of this Directive on the rail sector and shall submit to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions a report on its implementation. That evaluation shall take into account the views expressed by the European regulatory body on whether discriminatory practices or other types of distortion of competition persist and the views expressed by social partners in the relevant Union social dialogue committee. [Am. 81]

By the same date, the Commission European Regulatory Body shall assess whether discriminatory practices or other types of distortion of competition persist in relation to infrastructure managers which are part of a vertically integrated undertaking and shall publish recommendations for further policy measures. The Commission shall, if appropriate, propose new legislative measures based on those recommendations. [Am. 82]

The Commission shall, no later than 18 months after the entry into force of this Directive, assess its impact on the development of the labour market for railway on-board staff and shall, if appropriate, propose new legislative measures on the certification of such on-board railway staff.’. [Am. 83]

Article 1a

Regulation (EC) 1371/2007 is amended as follows:

Article 2, paragraph 3 is replaced by the following:"

‘3. On the entry into force of this Regulation, Articles 9, 10, 11, 12, 19, 20(1) and 26 shall apply to all rail passenger services throughout the Union.’. [Am. 84]

Article 2

1.  Member States shall adopt and publish, by ...(14) at the latest, the laws, regulations and administrative provisions necessary to comply with this Directive. They shall communicate to the Commission the text of those provisions immediately.

When Member States adopt those provisions, they shall contain a reference to this Directive or be accompanied by such a reference on the occasion of their official publication. Member States shall determine how such reference is to be made.

2.  Member States shall communicate to the Commission the text of the main provisions of national law which they adopt in the field covered by this Directive.

Article 3

1.  This Directive shall enter into force on the day following that of its publication in the Official Journal of the European Union. It shall be made available in consolidated form, together with Directive 2012/34/EU as amended by it, within three months of its publication. [Am. 85]

2.  Points 5 to 8 of Article 1 shall apply from 1 January 2018 [in time for the working timetable starting on 14 December 2019].

Until the date of application of point 5 and without prejudice to international passenger services, Member States shall not be required to grant the right of access to railway undertakings and their directly or indirectly controlled subsidiaries, licensed in a Member State where access rights of a similar nature are not granted. [Am. 86]

Article 4

This Directive is addressed to the Member States.

Done at

For the European Parliament For the Council

The President The President

(1) OJ C 327, 12.11.2013, p. 122. (2) OJ C 356, 5.12.2013, p. 92. (3) OJ C 327, 12.11.2013, p. 122. (4) OJ C 356, 5.12.2013, p. 92. (5) Position of the European Parliament of 26 February 2014. (6) Directive 2004/51/EC of the European Parliament and of the Council of 29 April 2004 amending Council Directive 91/440/EEC on the development of the Community's railways (OJ L 164, 30.4.2004, p. 164). (7) Directive 2007/58/EC of the European Parliament and of the Council of 23 October 2007 amending Council Directive 91/440/EEC on the development of the Community’s railways and Directive 2001/14/EC on the allocation of railway infrastructure capacity and the levying of charges for the use of railway infrastructure (OJ L 315, 3.12.2007, p. 44). (8) Directive 2012/34/EU of the European Parliament and of the Council of 21 November 2012 establishing a single European railway area (OJ L 343, 14.12.2012, p. 32). (9) Council Directive 2005/47/EC of 18 July 2005 on the Agreement between the Community of European Railways (CER) and the European Transport Workers' Federation (ETF) on certain aspects of the working conditions of mobile workers engaged in interoperable cross-border services in the railway sector (OJ L 195, 27.7.2005, p. 15). (10) OJ C 369, 17.12.2011, p. 14. (11) Regulation (EC) No 1371/2007 of the European Parliament and of the Council of 23 October 2007 on rail passengers’ rights and obligations (OJ L 315, 3.12.2007, p. 14). (12) OJ L315, 3.12.2007, p. 14. (13) OJ L207, 6.8.2010, p. 1. (14) 18 months after entry into force of this Directive.

European Parliament legislative resolution of 26 February 2014 on the proposal for a regulation of the European Parliament and of the Council amending Regulation (EC) No 1370/2007 concerning the opening of the market for domestic passenger transport services by rail (COM(2013)0028 – C7-0024/2013 – 2013/0028(COD))

P7_TA(2014)0148 A7-0034/2014

(Ordinary legislative procedure: first reading)

The European Parliament,

–  having regard to the Commission proposal to Parliament and the Council (COM(2013)0028),

–  having regard to Article 294(2) and Article 91 of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7-0024/2013),

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the reasoned opinions submitted, within the framework of Protocol No 2 on the application of the principles of subsidiarity and proportionality, by the Seimas of the Republic of Lithuania, the Luxembourg Chamber of Deputies, the Netherlands Senate and the Netherlands House of Representatives, the Austrian Federal Council and the Swedish Parliament, asserting that the draft legislative act does not comply with the principle of subsidiarity,

–  having regard to the opinion of the European Economic and Social Committee(1),

–  having regard to the opinion of the Committee of the Regions(2)

–  having regard to Rule 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Transport and Tourism and the opinions of the Committee on Employment and Social Affairs and the Committee on Regional Development (A7-0034/2014),

1.  Adopts its position at first reading hereinafter set out;

2.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Position of the European Parliament adopted at first reading on 26 February 2014 with a view to the adoption of Regulation (EU) No .../2014 of the European Parliament and of the Council amending Regulation (EC) No 1370/2007 concerning the opening of the market for domestic passenger transport services by rail

(Text with EEA relevance)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Article 91 thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national parliaments,

Having regard to the opinion of the European Economic and Social Committee(3),

Having regard to the opinion of the Committee of the Regions(4),

Acting in accordance with the ordinary legislative procedure(5),

Whereas:

(1)  Over the past decade, the growth of passenger traffic by rail has been insufficient to increase its modal share in comparison to cars and aviation. The 6% modal share of passenger transport for rail in the European Union has remained fairly stable. Rail passenger services have not kept pace with evolving needs the evolution of other modes of transport in terms of availability, price and quality. Bearing that in mind, all relevant lessons need to be learnt from the approach adopted by the Union in the course of the last three railway reforms. [Am. 1]

(1a)  Rail transport plays a major role socially and environmentally, and in terms of mobility planning, and can significantly increase its overall share of European passenger transport. In this regard, investment in research as well as in infrastructure and rolling stock can make a significant contribution to new growth, thereby boosting employment directly in the railway sector and indirectly by increasing the mobility of employees of other sectors. Rail transport has the potential to develop into an important modern branch of Union industry, provided that Member States agree on greater cooperation. [Am. 2]

(2)  The Union market for international passenger transport services by rail has been opened to competition since 2010. In addition, some Member States have opened their domestic passenger services to competition, by introducing open access rights or tendering for public service contracts or both.

(3)  In its White Paper on transport policy of 28 March 2011(6) the Commission announced its intention to complete the internal railway market, allowing railway undertakings of the Union to provide all types of rail transport services without unnecessary technical and administrative barriers. In order to better achieve that objective, the current reform needs to be conceived in the light of the railway models which have proved to be effective in the Union. [Am. 5]

(3a)  The quality of public services for rail passenger transport should be improved and their efficiency increased, whilst existing public passenger transport services that function efficiently are maintained. [Am. 6]

(3b)  The completion of the opening of the Union railway market should be considered to be essential in order for the railway to become a credible alternative to other modes of transport, in terms of price and quality. [Am. 7]

(3c)  It is essential for the competent authorities to play a key role in the organisation of public passenger transport services. Such authorities have responsibility for planning public passenger transport services, including for indentifying the routes to be designated for open access or awarded under public service contracts and for determining the award procedure. Furthermore, they should justify that viability, efficiency and quality targets can only be achieved by using the award procedure that they have chosen, and should publish this justification. [Am. 8]

(4)  When competent authorities organise their public passenger transport services they need to ensure that public service obligations and the geographical scope of public service contracts are appropriate, necessary and proportionate to achieve the objectives of the public passenger transport policy in their territory. This policy should be set out in sustainable public transport plans leaving scope for market based transport solutions. The process of defining public transport plans and public service obligations should be made transparent to relevant stakeholders including potential market entrants.[Am. 9]

(5)  To ensure sound financing to meet the objectives of sustainable public transport plans, competent authorities need to design public service obligations to attain public transport objectives both in a high-quality and in a cost-effective manner taking account of the compensation for the net financial effect of those obligations and they need to ensure long-term financial sustainability of public transport provided under public service contracts. That includes avoiding both over- and under-compensation, caused by the substance of the public service obligations, or the failure of the competent authority to meet its financial commitments. Public service obligations may refer to networks in which some services can be operated with a fair profit without financial compensation; the inclusion of such services within the scope of the public service obligations should not result in compensation payments exceeding the amount necessary for providing the whole range of network services.[Am. 10]

(6)  It is particularly important that competent authorities comply with these criteria for public service obligations and the scope of public service contracts if the market for public passenger transport by rail is to run smoothly, because open access transport operations need to be well coordinated with those under public service contract. For this reason, the independent rail regulatory body should ensure that this process is correctly applied and transparent.

(7)  A maximum annualThe volume of a public service contract for passenger transport by rail which will be awarded on the basis of a competitive tendering procedure needs to be set to facilitatein a way that facilitates competition between small bidders, new entrants and the incumbent operator for such contracts while allowing competent authorities some flexibility to optimise the volume according to economic and operational considerations. [Am. 64]

(8)  To facilitate the preparation of tenders, and hence enhance competition competent authorities need to ensure that, whilst protecting business secrets, all public service operators interested in making such a submission receive certain information on the transport services and infrastructure covered by the public service contract that prevents them from being deemed to have been discriminated against by the contracting authority with regard to other competitors. [Am. 12]

(9)  Certain upper limits for the direct award of public service contracts need to be adapted for rail transport to the specific economic conditions under which tender procedures take place in this sector.

(9a)  The principle of reciprocity should be applied in order to ensure fair competition and to prevent the misuse of compensation. That principle should apply not only to Member States and companies established in the Union but also to companies from third countries that wish to participate in procurement procedures within the Union. [Am. 65]

(10)  The establishment of an Internal Market for passenger transport services by rail requires common rules on competitive tendering for public service contracts in this sector to be applied which are applicable in a harmonised manner in all Member States, whilst taking into account the specific circumstances of each Member States.[Am. 14]

(11)  In With a view of to creating framework conditions for enabling society to fully reap the benefits of effective opening of the market for domestic passenger transport services by rail it is important that Member States ensure an adequate level of social protection for the staff of public service operators. [Am. 16]

(12)  Where the market does not ensure it under suitable economic and non-discriminatory conditions, public service operators' access to rail rolling stock needs to be facilitated by competent authorities through adequate and effective measures.

(13)  Certain key features of upcoming tender procedures for public service contracts need to be fully transparent to enable a better organised market response.

(14)  Consistent with the internal logic of Regulation (EC) No 1370/2007, it should be made clear that the transitional period until 2 December 2019 refers only to the obligation to organise competitive tendering procedures for public service contracts.[Am. 66]

(15)  Preparing railway undertakings for mandatory competitive tendering for public service contracts requires some extra time to allow effective and sustainable internal restructuring of companies to which such contracts were directly awarded in the past. Transitional measures are therefore necessary for contracts directly awarded between the date of entry into force of this Regulation and 3 December 2019.[Am. 67]

(16)  Once opening of the market for domestic passenger transport services by rail is achieved, as competent authorities may need to take measures to ensure a high level of competition by limiting the number of contracts that it awards to one railway undertaking, adequate provisions should be provided for.

(17)  In order to ensure uniform conditions for the implementation of this Regulation, implementing powers should be conferred on the Commission. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council(7).

(18)  In the context of amendments to the Council Regulation (EC) No 994/98 ('Enabling Regulation')(8), the Commission proposed also an amendment to Regulation (EC) No 1370/2007 of the European Parliament and of the Council (COM(2012)0730/3). In order to harmonize the approach to block exemption regulations in the field of State aid and, in accordance with the procedures foreseen in Articles 108(4) and 109 of the Treaty, aid for the coordination of transport or reimbursement for the discharge of certain obligations inherent in the concept of a public service as referred to in Article 93 of the Treaty should be brought under the scope of the Enabling Regulation.

(19)  Regulation (EC) No 1370/2007 should therefore be amended accordingly,

HAVE ADOPTED THIS REGULATION:

Article 1

Without prejudice to Directive 2014/25/EU of the European Parliament and of the Council(9) , Regulation (EC) No 1370/2007 is hereby amended as follows: [Am. 17]

1.  Article 2 is hereby amended as follows:

(-a) The following point is inserted:"

"(aa) "public rail passenger transport" means public passenger transport by rail, excluding passenger transport on other track-based modes, such as metros, tramways or, if Member States so decide, tram-train systems;";[Am. 18]

(a)  Point (c) is replaced by the following:"

"(c) "competent local authority" means any competent authority whose geographical area of competence is not national and which covers the transport needs of, inter alia, an urban agglomeration and/or a rural district;"area, or a region, including at cross-border level;";[Am. 19]

(b)  In point (e) the following subparagraph is added:"

"The scope of public service obligations shall exclude all cover public transport services that go beyond of what is are necessaryto reap, inter alia, for the benefits of economic, technical or geographical network effects to be reaped at local, regional or sub-national network effectslevel. Such network effects arise through the integration of transport services, which makes public transport more attractive for passengers and more efficient for the public transport sector. Network effects may be generated both by services which attain break- even and by services which do not, as well as at various geographical-, train schedule- or tariff- levels.". [Am. 20]

2.  The following is inserted:"

"Article 2a

Multimodal and sustainable public transport plans and public service obligations [Am. 21]

1.  Competent authorities shall establish and regularly update multimodal public passenger transport plans covering all relevant transport modes for the territory for which they are responsible. These public transport plans shall define the objectives of public transport policy and the means to implement them covering all relevant transport modes for the territory for which they are responsible, thereby promoting social and territorial cohesion. It shall be possible for those plans to consist of information on public transport plans that already exists in the public domain. Where interregional services already exist, they shall be taken into account. TheyThose plans shall at least include: [Am. 22]

In establishing public transport plans, competent authorities shall have regard in particular to applicable rules regarding passenger rights, social, employment and environmental protection. [Am. 28]

The competent authorities shall adopt the public transport plans after consultation of relevant stakeholders and publish them. For the purpose of this Regulation, relevant stakeholders to be taken into consideration are, including at least transport operators, infrastructure managers if appropriate, and representative passenger and employee organisations, and shall publish those plans. [Am. 29]

2.  The establishment of public service obligations and the award of public service contracts shall be consistent with the applicable public transport plans.

3.  The specifications of public service obligations for public passenger transport and the scope of their application shall be established as follows:

The assessment of appropriateness referred to in point (b) shall take into account whether a public intervention in the provision of passenger transport is a suitable means of achieving the objectives of the public transport plans. [Am. 32]

For public passenger transport by rail the assessment of necessity and proportionality referred to in point (c) shall take into account the transport services provided under Article 10(2) of Directive 2012/34/EU of the European Parliament and of the Council of 21 November 2012 establishing a single European railway area (recast)(10) and consider all information given to the infrastructure managers and regulatory bodies pursuant to the first sentence of Article 38(4) of that Directive. [Am. 33]

4.  The specifications of public service obligations and the related compensation of the net financial effect of public service obligations shall:(a) achieve the objectives of the public transport plan in the most a cost-effective manner and shall(b) financially sustain the provision of public passenger transport in accordance to the requirements laid down in the public transport plan in the long term. [Am. 34]

5.  When preparing the specifications, the competent authority shall set out the draft specifications of public service obligations and their scope, the basic steps of the assessment of their compliance with the requirements laid down in paragraphs 2, 3 and 4, and the results of the assessment.

The competent authority shall in an appropriate manner consult relevant stakeholders such as a minimum, transport operators, infrastructure managers if appropriate and representative passenger and employee organisations on these specifications and take their positions into consideration. [Am. 35]

6.  For public passenger transport by rail:

__________________

* Directive 2012/34/EU of the European Parliament and of the Council of 21 November 2012 establishing a single European railway area (OJ L 343, 14.12.2012, p. 32). "

3.  Article 4 is amended as follows:

(a)  In paragraph 1, point (a) is replaced by the following:"

"(a) clearly define the public service obligations laid down in Article 2(e) and Article 2a with which the public service operator is to comply, and the geographical areastransport networks concerned, and require the operator to provide the competent authority with all the information essential for the award of public service contracts, whilst protecting business secrets;";" [Am. 39]

(b)  The last sentence of paragraph 1, point (b) is replaced by the following:"

"In the case of public service contracts not awarded according to Article 5(3), these parameters shall be determined in such a way that no compensation payment may shall neither exceed nor fall below the amount required to cover the net financial effect on costs incurred and revenues generated in discharging the public service obligations, taking account of revenue relating thereto kept by the public service operator and a reasonable profit;"; [Am. 40]

(ba)  Paragraph 5 is replaced by the following:"

"5. Without prejudice to national and Union law, including representative collective agreements between social partners, competent authorities shall require the selected public service operator to grant staff working conditions on the basis of binding national, regional or local social standards and/or to implement the compulsory transfer of staff in case of change of operator. When such transfer occurs, the staff previously taken on by the previous operator to provide services shall be granted the same rights to which they would have been entitled if there had been a transfer within the meaning of Directive 2001/23/EC. Where competent authorities require public service operators to comply with certain social standards, tender documents and public service contracts shall list the staff concerned and give transparently details of their contractual rights and the conditions under which employees are deemed to be linked to the services."; [Am. 41]

(c)  Paragraph 6 is replaced by the following:"

"6. Where In accordance with national law, the competent authorities, in accordance with national law, require public service operators to comply with certain shall set binding quality and social standards or establish, lay down appropriate social and qualitative criteria, these standards and criteria shall be included including the obligation of public service operators to comply with the applicable representative collective agreements and ensure decent employment and working conditions, including them or make reference thereto in the tender documents and in the public service contracts, regardless of the award procedure."; [Am. 42]

(d)  The following paragraph is added:"

"8. Competent authorities shall make available to all interested parties relevant information for the preparation of an offer under a competitive tender procedure, whilst protecting business secrets. This shall include information on passenger demand, fares, costs and revenues related to the public passenger transport covered by the tender and details of the infrastructure specifications relevant for the operation of the required vehicles or rolling stock to enable them to draft well informed business plans. Rail infrastructure managers shall support competent authorities in providing all relevant infrastructure specifications. Non-compliance with the provisions set out above shall be subject to the legal review provided for in Article 5(7).". [Am. 43]

4.  Article 5 is amended as follows:

(-a) The following paragraph is inserted:"

"1a. Any competent authority, whether it is an individual authority or a group of authorities, including from more than one Member State, shall be entitled to award public service contracts in accordance with the rules laid down in this Regulation."; [Am. 44]

(-aa) The following paragraphs are inserted:"

3b.  Member States and, if permitted by national law, competent authorities may exclude from the competitive tendering procedures any operator or undertaking that is directly or indirectly controlled by a legal or natural person or by persons registered in a third country or third countries, save where that country or those countries have taken measures that allow public service contracts to be awarded through competitive tendering to railway undertakings licensed in a Member State."; [Am. 68]

(a)  Paragraph 4 is replaced by the following:"

In the case of a public service contract directly awarded to a small or medium-sized enterprise operating not more than 23 road vehicles, these thresholds may be increased to either an average annual value estimated at less than EUR 2 000 000 or to an annual provision of less than 600 000 kilometres vehicle-km of public passenger transport services."; [Am. 48]

(aa)  Paragraph 5 is replaced by the following:"

"5. In the event of a disruption of services or the immediate risk of such a situation, the competent authority may take an emergency measure. A situation of emergency may include the inability of the competent authority to launch in good time a tender procedure for a public service contract and/or to award that contract in good time to an operator. This emergency measure shall take the form of a direct award or a formal agreement to extend a public service contract or a requirement to provide certain public service obligations. The public service operator shall have the right to appeal against the decision to impose the provision of certain public service obligations. The award or extension of a public service contract by emergency measure or the imposition of such a contract shall not exceed two years."; [Am. 63]

(b)  Paragraph 6 is replaced by the following:"

Where the regulatory body concludes that the requirements set out in point (a) of this paragraph have not been complied with, it shall without delay oblige the competent authority to award any new public service contract in accordance with paragraph 3 of this Article.

The decision of the independent regulatory authority shall be binding and immediately applicable.

By way of derogation to Article 4(3), the duration of such contracts shall not exceed nine years.

The Commission shall adopt delegated acts detailing the requirements set out in point (a) of this paragraph.". [Am. 50]

5.  The following Article is inserted:"

"Article 5a

Rolling stock

1.  Member StatesThe competent authorities shall, in compliance with State aid rules, take the necessary measures to ensure effective and non-discriminatory access conditions to suitable rolling stock for public passenger transport by rail for operators wishing to provide public passenger transport services by rail under public service contract. [Am. 51]

2.  Where rolling stock leasing companies which provide for the leasing of rolling stock referred to in paragraph 1 under non-discriminatory and commercially viable conditions to all of the public rail passenger transport operators concerned do not exist in the relevant market, Member States shall ensure that the residual value risk of the rolling stock is borne by the competent authority in compliance with State aid rules, when operators intending and able to participate in tendering procedures for public service contracts so request in order to be able to participate in tendering procedures.

3.  In the cases referred to in points (b) and (c) of the second subparagraph of paragraph 2, the competent authority shall have the right to require the public service operator to transfer the rolling stock after the expiry of the public service contract to the new operator to whom a contract is awarded. The competent authority may oblige the new public transport operator to take the rolling stock over. The transfer shall be done at market rates. [Am. 55]

3 4. If the rolling stock is transferred to a new public transport operator the competent authority shall make available in the tender documents detailed information about the cost of maintenance of the rolling stock and about its physical condition.". [Am. 56]

4.  By [18 months after the date of entry into force of this Regulation] the Commission shall adopt measures setting out the details of the procedure to be followed for the application of paragraphs 2 and 3 of this Article. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 9a(2)." [Ams. 57 and 82]

6.  In Article 6, paragraph 1 is replaced by the following:"

"1. All compensation connected with a general rule or a public service contract shall comply with Article 4, irrespective of how the contract was awarded. All compensation of whatever nature connected with a public service contract not awarded according to Article 5(3) or connected with a general rule shall also comply with the provisions laid down in the Annex.".

7.  Article 7 is amended as follows:

(a)  Paragraph 1 is replaced by the following:"

"1. Each competent authority shall make public once a year an aggregated report on the public service obligations for which it is responsible, the starting date and duration of the public service contracts, the selected public service operators and the compensation payments and exclusive rights granted to the said public service operators by way of reimbursement. The report shall assess performance in terms of compliance and specify all transport service indicators, including punctuality, reliability, cleanness, user satisfaction as measured by public opinion polls, and the minimum capacity utilisation rate. The report shall distinguish between bus transport and rail transport, allow the performance, quality and financing of the public transport network to be monitored and assessed and, if appropriate, provide information on the nature and extent of any exclusive rights granted. Member States shall facilitate central access to these reports, for instance through a common web portal. The Commission shall prepare a summary of these reports and submit it, in all working languages, to the European Parliament and the Council."; [Am. 58]

(b)  In paragraph 2, the following point is added:"

"(d) the envisaged starting date and duration of the public service contract.".

8.  Article 8 is amended as follows:

(a)  The first subparagraph of paragraph 2 is replaced by the following:"

"2. Without prejudice to paragraph 3, the award of public service contracts by rail with the exception ofconcerning transport by road and other track-based modes such as metro or tramways or tram-train systems shall comply with Article 5(3) as from 3 December 2019. All public Public service contracts by other track-based modes and by road must have beenconcerning public passenger transport by rail shall be awarded from 3 December 2022 in compliance with Article 5(3) by 3 December 2019 at the latest. By 3 December 2022 the competent authorities responsible for establishing the public transport plans referred to in Article 2a shall be entrusted with all powers necessary for awarding public service contracts in accordance with Article 5. During the transitional period running until 3 December 2019periods, Member States shall take measures to gradually comply with Article 5(3) in order to avoid serious structural problems in particular relating to transport capacity."; [Am. 59]

(aa)  In paragraph 2, the following subparagraph is added:"

"Within six months after the first half of the transitional periods, Member States shall provide the Commission with a progress report, highlighting the implementation of any gradual award of public service contracts that comply with Article 5. On the basis of the Member States’ progress reports, the Commission may propose appropriate measures addressed to Member States."; [Am. 60]

(b)  The following paragraph is inserted:"

"2a. Public service contracts for public passenger transport by rail that do not comply with Article 5, directly awarded between 1 January 2013 and 2before 3 December 20192022, may continue until their expiry date. However they shall, in any event, not continue after 31 December 2022."expire at the latest on ...(11)."; [Am. 61]

(c)  In paragraph 3, the last sentence of the second subparagraph is replaced by the following:"

"The contracts referred to in (d) may continue until they expire, provided they are of limited duration similar to the durations specified in Article 4.".

9.  The following Article is inserted:"

"Article 9a

Committee procedure

1.  The Commission shall be assisted by the Single European Railway Area Committee established by Article 62 of Directive 2012/34/EU. That committee shall be a committee within the meaning of Regulation (EU) No 182/2011 of the European Parliament and of the Council*.

2.  Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.

--------------------

* Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by the Member States of the Commission's exercise of implementing powers (OJ L 55, 28.2.2011, p. 13).".

Article 2

This Regulation shall enter into force on the day following that of its publication in the Official Journal of the European Union. It shall be made available in the form of a text consolidated with Regulation (EC) No 1370/2007, which it shall amend within three months of its publication. [Am. 62]

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at ...,

For the European Parliament For the Council

The President The President

(1) OJ C 327, 12.11.2013, p. 122. (2) OJ C 356, 5.12.2013, p. 92. (3) OJ C 327, 12.11.2013, p. 122. (4) OJ C 356, 5.12.2013, p. 92. (5) Position of the European Parliament of 26 February 2014. (6) White Paper: Roadmap to a Single European Transport Area – Towards a competitive and resource efficient transport system; COM(2011)0144. (7) Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by the Member States of the Commission's exercise of implementing powers (OJ L 55, 28.2.2011, p. 13). (8) Council Regulation (EU) No .../... amending Council Regulation (EC) No 994/98 of 7 May 1998 on the application of Articles 92 and 93 of the Treaty establishing the European Community to certain categories of horizontal State aid and 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, COM(2012)0730 of 5.12.2012 (9) Directive 2014/25/EU of the European Parliament and of the Council of 26 February 2014 on procurement by entities operating in the water, energy, transport and postal services sectors and repealing Directive 2004/17/EC (OJ L 94, 28.3.2014, p. 243). (10) OJ L 343, 14.12.2012, p. 32 (11) 10 years after the entry into force of this Regulation (i.e. of the amending act - 2013/0028(COD))

European Parliament legislative resolution of 26 February 2014 on the proposal for a directive of the European Parliament and of the Council on the interoperability of the rail system within the European Union (recast) (COM(2013)0030 – C7-0027/2013 – 2013/0015(COD))

P7_TA(2014)0149 A7-0033/2014

(Ordinary legislative procedure – recast)

The European Parliament,

–  having regard to the Commission proposal to Parliament and the Council (COM(2013)0030),

–  having regard to Article 294(2) and Articles 91(1), 170 and 171 of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7‑0027/2013),

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the reasoned opinions submitted, within the framework of Protocol No 2 on the application of the principles of subsidiarity and proportionality, by the Seimas of the Republic of Lithuania and the Swedish Parliament, asserting that the draft legislative act does not comply with the principle of subsidiarity,

–  having regard to the opinion of the European Economic and Social Committee of 11 July 2013(1),

–  having regard to the opinion of the Committee of the Regions of 7 October 2013(2),

–  having regard to the Interinstitutional Agreement of 28 November 2001 on a more structured use of the recasting technique for legal acts(3),

–  having regard to the letter of 16 December 2013 from the Committee on Legal Affairs to the Committee on Transport and Tourism in accordance with Rule 87(3) of its Rules of Procedure,

–  having regard to Rules 87 and 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Transport and Tourism and the opinion of the Committee on Regional Development (A7-0033/2014),

A.  whereas, according to the Consultative Working Party of the legal services of the European Parliament, the Council and the Commission, the proposal in question does not include any substantive amendments other than those identified as such in the proposal and whereas, as regards the codification of the unchanged provisions of the earlier acts together with those amendments, the proposal contains a straightforward codification of the existing texts, without any change in their substance;

1.  Adopts its position at first reading hereinafter set out, taking into account the recommendations of the Consultative Working Party of the legal services of the European Parliament, the Council and the Commission;

2.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Position of the European Parliament adopted at first reading on 26 February 2014 with a view to the adoption of Directive 2014/.../EU of the European Parliament and of the Council on the interoperability of the rail system within the European Union (Recast)

(Text with EEA relevance)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Articles 91(1), 170 and 171 thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national parliaments,

Having regard to the opinion of the European Economic and Social Committee(4),

Having regard to the opinion of the Committee of the Regions(5),

Acting in accordance with the ordinary legislative procedure(6),

Whereas:

(1)  Directive 2008/57/EC of the European Parliament and of the Council(7) has been substantially amended several times. Since further amendments are to be made, that Directive should be recast in the interests of clarity.

(2)  In order to enable citizens of the Union, economic operators and regional and local authorities to benefit to the full from the advantages deriving from the establishing of an area without internal frontiers and to attain the objective of territorial cohesion, it is appropriate, in particular, to improve the interlinking and interoperability of the national rail networks as well as access thereto, including for passengers with disabilities, implementing any measures that may prove necessary in the field of technical standardisation. [Am. 1]

(3)  The pursuit of interoperability within the Union's rail system should lead to the definition of an optimal level of technical harmonisation and make it possible to facilitate, improve and develop international rail transport services within the Union and with third countries and contribute to the progressive creation of the internal market in equipment and services for the construction, renewal, upgrading and operation of the rail system within the Union. [Am. 2]

(4)  The commercial operation of trains throughout the rail network requires in particular excellent compatibility between the characteristics of the infrastructure and those of the vehicles, as well as efficient interconnection of the information and, communication and ticketing systems of the different infrastructure managers and railway undertakings. Performance levels, safety, quality of service and cost depend upon such compatibility and interconnection, as does, in particular, the interoperability of the rail system. [Am. 3]

(5)  The railway regulatory framework should set clear responsibilities for ensuring compliance with the safety, health, social and consumer protection rules applying to the railway networks. [Am. 4]

(6)  There are major differences between national regulations, internal rules and technical specifications applicable to rail systems, subsystems and components, since they incorporate techniques that are specific to the national industries and prescribe specific dimensions and devices and special characteristics. This situation prevents trains from being able to run without hindrance throughout the Union and from reaping the benefits of standardisation and economies of scale in the single market. [Am. 5]

(7)  Over the years, this situation has created very close links between the national railway industries and the national railways, to the detriment of a genuine opening-up of markets allowing new entrants to emerge. In order to enhance their competitiveness at world level, these industries require an open, competitive European market.

(8)  It is therefore appropriate to define essential requirements related to rail interoperability for the whole of the Union which should apply to its rail system.

(9)  The development of technical specifications for interoperability (TSIs) has shown the need to clarify the relationship between the essential requirements and the TSIs on the one hand, and the European standards and other documents of a normative nature on the other. In particular, a clear distinction should be drawn between the standards or parts of standards which should be made mandatory in order to achieve the objectives of this Directive, and the 'harmonised standards' that have been developed in accordance with Regulation (EU) No 1025/2012 of the European Parliament and of the Council(8). Where strictly necessary, the TSIs may make an explicit reference to European standards or specifications, which become mandatory from the moment the TSI is applicable.

(10)  In order to genuinely increase the competitiveness of the Union railway sector without distorting competition between key actors of the rail system, the TSIs, should be drafted by respecting the principles of openness, consensus and transparency as defined in Annex II to Regulation (EU) No 1025/2012.

(11)  The quality of rail services in the Union depends, inter alia, on excellent compatibility between the characteristics of the network in the broadest sense, including the fixed parts of all the subsystems concerned and those of the vehicles including the onboard components of all the subsystems concerned. Performance levels, safety, quality of service and cost depend upon that compatibility.

(12)  A TSI sets all the conditions with which an interoperability constituent should conform, and the procedure to be followed in assessing conformity. In addition, it is necessary to specify that every constituent should undergo the procedure for assessing conformity and suitability for the use indicated in the TSIs, and have the corresponding certificate.

(13)  When developing new TSIs the aim should always be to ensure compatibility with the existing system. This will help to promote the competitiveness of rail transport and prevent unnecessary additional costs through the requirement of upgrading or renewal of existing subsystems to ensure backward compatibility. In those exceptional cases where it will not be possible to ensure compatibility, TSIs may establish the framework necessary to decide whether the existing subsystem needs a new decision or authorisation for placing in service, and the corresponding deadlines.

(14)  It is necessary for safety reasons to assign an identification code to each vehicle placed in service. The vehicle should then be entered in a national vehicle register. The registers should be open to consultation by all Member States and by certain economic players within the Union. The national vehicle registers should be consistent as regards the data format. They should therefore be covered by common operational and technical specifications.

(15)  If certain technical aspects corresponding to the essential requirements cannot be explicitly covered in a TSI, such aspects which need still to be addressed are identified in an annex to the TSI as open points. For these open points, pending the completion of the TSI, national rules apply.

(16)  The procedure to be followed in the case of essential requirements applicable to a subsystem which have not yet been covered in the corresponding TSI should be specified. In such case, the bodies responsible for the conformity assessment and verification procedures should be the notified bodies referred to in Article 17 of Directive 2008/57/EC.

(17)  Directive 2008/57/EC applies to the entire rail system within the Union and the scope of the TSIs is being extended to cover also the vehicles and networks not included in the trans-European rail system. Therefore, Annex I should be simplified by removing specific references to the trans-European rail system.

(18)  The functional and technical specifications to be met by the subsystems and their interfaces may vary according to the use of subsystems, for example according to the categories of lines and vehicles.

(19)  In order to ensure the progressive implementation of rail interoperability within the whole Union and gradually reduce the diversity of legacy systems, the TSIs should specify the provisions to be applied in the event of renewal or upgrading of existing subsystems and may specify deadlines for achieving the target system.

(20)  In view of the gradual approach to eliminating obstacles to the interoperability of the rail system and of the time consequently required for the adoption of TSIs, steps should be taken to avoid a situation where Member States adopt new national rules or undertake projects that increase the diversity of the present system.

(21)  In order to eliminate the obstacles to interoperability, and as a consequence of extending the scope of the TSIs to the whole Union's rail system, the amount of national rules should progressively be reduced. National rules should be differentiated between rules strictly related to local requirements and rules needed to cover open points in TSIs. The second type of rules should progressively be removed as a result of closure of open points in the TSIs.

(22)  The adoption of a gradual approach satisfies the special needs of the objective of the interoperability of the rail system, which is characterised by old national infrastructure and vehicles requiring heavy investment for adaptation or renewal, and particular care should be taken not to penalise rail economically vis-à-vis other modes of transport.

(23)  In view of the extent and complexity of the rail system, it has proved necessary, for practical reasons, to break it down into the following subsystems: infrastructure, trackside control-command and signalling, on-board control-command and signalling, energy, rolling stock, operation and traffic management, maintenance and telematics applications for passenger and freight services. For each of these subsystems the essential requirements must be specified and the technical specifications determined, particularly in respect of constituents and interfaces, in order to meet these essential requirements. The same system is broken down into fixed and mobile elements comprising, on the one hand, the network, composed of the lines, stations, terminals, and all kinds of fixed equipment needed to ensure safe and continuous operation of the system and, on the other hand, all vehicles travelling on this network. Therefore, for the purposes of this Directive, a vehicle is composed of one subsystem (rolling stock) and where applicable other subsystems (mainly the on-board control-command and signalling subsystem). Although the system is divided into several elements, the European Union Agency for Railways ('the Agency') should retain an overview of the system, in order to guarantee safety and interoperability. [Am. 6]

(24)  The United Nations Convention on the Rights of Persons with Disabilities to which the Union is a party establishes accessibility as one of its general principles and requires States Parties to take appropriate measures to ensure to persons with disabilities access on an equal basis with others, including by developing, promulgating and monitoring the implementation of minimum standards and guidelines for accessibility. Accessibility for persons with disabilities and persons with reduced mobility is therefore an important requirement for the interoperability of the rail system, in line with Union legislation on passengers with reduced mobility. [Am. 7]

(25)  Implementation of the provisions on the interoperability of the rail system should not create unjustified barriers in cost-benefit terms to the preservation of the existing rail network of each Member State, but should endeavour to retain the objective of interoperability.

(26)  TSIs also have an impact on the conditions of use of rail transport by users, and it is therefore necessary to consult these users on aspects concerning them, including organisations of persons with disabilities. [Am. 8]

(27)  Each Member State concerned should be allowed not to apply certain TSIs in a limited number of duly substantiated situations. These situations and the procedures to be followed in case of non-application of the TSI should be clearly defined.

(28)  The drawing up of TSIs and their application to the rail system should not impede technological innovation, which should be directed towards improving economic performance.

(29)  To comply with the appropriate provisions on procurement procedures in the rail sector and in particular Directive 2004/17/EC of the European Parliament and of the Council(9), the contracting entities should include technical specifications in the general documents or in the terms and conditions for each contract. To this end it is necessary to build up a set of rules in order to serve as references for these technical specifications.

(30)  An international system of standardisation capable of generating standards which are actually used by those involved in international trade and which meet the requirements of the Union policy would be in the Union’s interest. The European standardisation organisations should therefore continue their cooperation with the international standardisation bodies.

(31)  The contracting entities are to define the further requirements needed to complete European specifications or other standards. These specifications should meet the essential requirements that have been harmonised at Union level and which the rail system must satisfy.

(32)  The procedures governing the assessment of conformity or of suitability of use of constituents should be based on the use of the modules covered by Commission Decision 2010/713/EU(10). As far as possible and in order to promote industrial development, it is appropriate to draw up the procedures involving a system of quality assurance.

(33)  Conformity of constituents is mainly linked to their area of use in order to guarantee the interoperability of the system and not only their free movement on the Union market. The suitability for use of the most critical constituents as regards safety, availability or system economy should be assessed. It is therefore not necessary for a manufacturer to affix the CE marking to constituents that are subject to the provisions of this Directive. On the basis of the assessment of conformity and/or suitability for use, the manufacturer’s declaration of conformity should be sufficient.

(34)  Manufacturers are nonetheless obliged to affix the CE marking to certain components in order to certify their compliance with other Union provisions relating to them.

(35)  When a TSI enters into force, a number of interoperability constituents are already on the market. A transitional period should be provided for so that these constituents can be integrated into a subsystem, even if they do not strictly conform to that TSI.

(36)  The subsystems constituting the rail system should be subject to a verification procedure. This verification should enable the entities responsible for their placing in service to be certain that, at the design, construction and putting into service stages, the result is in line with the regulations and technical and operational provisions in force. It should also enable manufacturers to be able to count upon equality of treatment whatever the Member State.

(37)  After a subsystem is placed in service, care should be taken to ensure that it is operated and maintained in accordance with the essential requirements relating to it. Under Directive …/…/EU of the European Parliament and of the Council [Railway Safety Directive](11), responsibility for meeting these requirements lies, for their respective subsystems, with the infrastructure manager or the railway undertaking.

(38)  The procedure for placing in service of vehicles and fixed installations should be clarified taking into account the responsibilities of infrastructure managers and railway undertakings.

(39)  In order to facilitate the placing in service of vehicles and reduce administrative burdens, the notion of a vehicle authorisation for placing on the market valid throughout the Union should be introduced as a precondition to enable railway undertakings to place in service a vehicle. In addition, this notion is more in line with Decision No 768/2008/EC of the European Parliament and of the Council(12).

(39a)  In order to create the single European railway area, reduce the costs and duration of authorisation procedures and improve railway safety, authorisation procedures need to be streamlined and harmonised at Union level. This requires a clear distribution of tasks and responsibilities between the Agency and the national safety authorities during the transitional period.

The Agency should use the valuable expertise, local knowledge and experience of national safety authorities. It should delegate specific tasks and responsibilities to national safety authorities on the basis of contractual agreements as referred to in Article 22a but should take the final decision in all authorisation procedures. [Am. 9]

(40)  To ensure traceability of the vehicles and their history, the references of the vehicle authorisations for placing on the market should be recorded together with the other vehicle data. [Am. 10]

(41)  The TSIs should specify the procedures for checking the compatibility between vehicles and network after the delivery of the vehicle authorisation for placing on the market and before the decision to place into service start of a new operation. [Am. 11]

(42)  To help railway undertakings decide on the placing into service of a vehicle and to avoid redundant verifications and unnecessary administrative burden, national rules should also be classified to establish the equivalence between national rules of different Member States covering the same topics.

(43)  The notified bodies responsible for examining the procedures for conformity assessment and suitability for the use of constituents, together with the procedure for the assessment of subsystems should, in particular in the absence of any European specification, coordinate their decisions as closely as possible.

(44)  Transparent accreditation as provided for in Regulation (EC) No 765/2008 of the European Parliament and of the Council(13), ensuring the necessary level of confidence in conformity certificates, should be considered by the national public authorities throughout the Union the preferred means of demonstrating the technical competence of notified and, mutatis mutandis, the bodies designated to check the compliance with national rules. However, national authorities may consider that they possess the appropriate means of carrying out this evaluation themselves. In such cases, in order to ensure the appropriate level of credibility of evaluations carried out by other national authorities, they should provide the Commission and the other Member States with the necessary documentary evidence demonstrating the compliance of the conformity assessment bodies evaluated with the relevant regulatory requirements.

(45)  This Directive should be limited to establishing the interoperability requirements for interoperability constituents and subsystems. In order to facilitate compliance with those requirements it is necessary to provide for presumption of conformity for interoperability constituents and subsystems which are in conformity with harmonised standards that are adopted in accordance with Regulation (EU) No 1025/2012 for the purpose of expressing detailed technical specifications of those requirements.

(46)  The TSIs should be revised at regular intervals. When deficiencies are discovered in the TSIs, the Agency should be asked to issue an opinion which, under certain conditions, might be published and used by all stakeholders (including industry and notified bodies) as an acceptable means of compliance pending the revision of the TSIs concerned.

(46a)  Regulatory measures should be complemented by initiatives aimed at providing financial support to innovative and interoperable technologies in the rail sector, such as the 'Shift2Rail' project. [Am. 12]

(47)  Since the objective of this Directive, namely interoperability within the rail system on a Union -wide scale, cannot be sufficiently achieved by the Member States acting alone, since no individual Member State is in a position to take the action needed in order to achieve such interoperability and can therefore be better achieved at Union level, the Union may adopt measures, in accordance with the principle of subsidiarity as set out in Article 5 of the Treaty on European Union. In accordance with the principle of proportionality, as set out in that Article, this Directive does not go beyond what is necessary in order to achieve that objective.

(48)  In order to amend non-essential elements of this Directive, the power to adopt acts in accordance with Article 290 of the Treaty on the Functioning of the European Union should be delegated to the Commission in respect of the adaptation to technical progress of Annex II regarding the breakdown of the rail system into subsystems and to the description of these subsystems, the content of the TSIs and the amendments to TSIs, including those amendments needed to remedy TSIs deficiencies, the scope and the content of the 'EC' declaration of conformity and suitability for use of interoperability constituents, the verification procedures for subsystems, including the general principles, the content, procedure and documents related to the 'EC' verification procedure, and to the verification procedure in the case of national rules. It is of particular importance that the Commission carry out appropriate consultations during its preparatory work, including at expert level. The Commission, when preparing and drawing-up delegated acts, should ensure a simultaneous, timely and appropriate transmission of relevant documents to the European Parliament and Council. [Am. 13]

(49)  In order to address the deficiencies discovered in TSIs, the Commission should adopt delegated acts amending those TSIs under the urgency procedure.

(50)  In order to ensure the implementation of Article 6(1) of this Directive concerning the mandate to the Agency to draft TSIs and their amendments and to make the relevant recommendations to the Commission, implementing powers should be conferred on the Commission.

(51)  In order to ensure uniform conditions for the implementation of this Directive, implementing powers should be conferred on the Commission relating to: the content of the file which shall accompany the request of non-application of one or more TSIs or parts of them, the details, the format and the transmission modalities of that file; the scope and the content of the format and the details of the information included in the EC declaration of conformity and suitability for use of interoperability constituents, its format and the details of the information included in it; the classification of the notified national rules in different groups with the aim of facilitating the compatibility checks between fixed and mobile equipment; the verification procedures for subsystems, including the general principles, the content, procedure and documents related to the ‘EC’ verification procedure, and to the verification procedure in the case of national rules; the templates for the 'EC' declaration of verification and for the declaration of verification in the case of national rules and templates for documents of the technical file that has to accompany the declaration of verification; the common specifications relating to content, data format, functional and technical architecture, operating mode and rules for data input and consultation for the register of infrastructure. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council(14). [Am. 14]

(52)  In accordance with the Joint Political Declaration of Member States and the Commission on explanatory documents of 28 September 2011, Member States have undertaken to accompany, in justified cases, the notification of their transposition measures with one or more documents explaining the relationship between the components of a directive and the corresponding parts of national transposition instruments. With regard to this Directive, the legislator considers the transmission of such documents to be justified.

(53)  The obligation to transpose this Directive into national law should be confined to those provisions which represent a substantive change as compared with the earlier Directive. The obligation to transpose the provisions which are unchanged arises under the earlier Directive.

(54)  This Directive should be without prejudice to the obligations of the Member States relating to the time-limits for transposition into national law of the Directives set out in Annex IV, part B,

HAVE ADOPTED THIS DIRECTIVE:

CHAPTER I

GENERAL PROVISIONS

Article 1

Subject matter and scope

1.  This Directive establishes the conditions to be met to achieve interoperability within the Union’s rail system in a manner compatible with the provisions of Directive …/…/EU [Railway Safety Directive]. These conditions concern the design, construction, placing in service, upgrading, renewal, operation and maintenance of the parts of this system as well as the professional qualifications and health and safety conditions of the staff who contribute to its operation and maintenance. The pursuit of that objective necessarily entails the determination of an optimum level of technical harmonisation, making it possible to contribute to the progressive creation of the internal market in equipment and services for the construction, renewal, upgrading and operation of the rail system in the Union. [Am. 15]

2.  This Directive lays down the provisions relating to, for each subsystem, the interoperability constituents, the interfaces and procedures as well as the conditions of overall compatibility of the rail system required to achieve its interoperability.

3.  The following systems are excluded Member States may exclude from the scope of the measures implementing this Directive: [Am. 16]

(a)  metros, trams, tram-trains and light rail systems; [Am. 17]

(b)  networks that are functionally separate from the rest of the rail system and intended only for the operation of local, urban or suburban passenger services, as well as railway undertakings operating solely on these networks;

(ba)  privately owned railway infrastructure and vehicles exclusively used on such infrastructure where this exists solely for use by the owner for its own freight operations; [Am. 19]

(bb)  infrastructure and vehicles reserved for a strictly local, historical or touristic use. [Am. 20]

4.  Member States may exclude from the scope of the measures implementing this Directive: 

(a)  privately owned railway infrastructure and vehicles exclusively used on such infrastructure where this exists solely for use by the owner for its own freight operations;

(b)  infrastructure and vehicles reserved for a strictly local, historical or touristic use. [Am. 21]

Article 2

Definitions

For the purposes of this Directive:

(1)  ‘Union rail system’ means the elements of the conventional and high-speed rail systems listed in points 1 and 2 of Annex I; [Am. 22]

(2)  ‘interoperability’ means the ability of a rail system to allow the safe and uninterrupted movement of trains which accomplish the required levels of performance for these lines. This ability depends on all regulatory, technical and operational conditions that need to be applied in order to meet essential requirements; [Am. 23]

(3)  ‘vehicle’ means a railway vehicle suitable for circulation on its own wheels on railway lines, with or without traction, in a fixed or variable composition. A vehicle is composed of one or more structural and functional subsystems; [Am. 24]

(4)  ‘network’ means the lines, stations, terminals, and all kinds of fixed equipment needed to ensure safe and continuous operation of the rail system;

(5)  ‘subsystems’ means the structural or functional parts of the rail system, as set out in Annex II;

(5a)  ‘mobile subsystem’ means the rolling stock subsystem, the on-board control-command and signalling subsystem and the vehicle, when it is composed of one subsystem; [Am. 25]

(6)  ‘interoperability constituents’ means any elementary component, group of components, subassembly or complete assembly of equipment incorporated or intended to be incorporated into a subsystem, upon which the interoperability of the rail system depends directly or indirectly, including both tangible objects and intangible objects;

(7)  ‘essential requirements’ means all the conditions set out in Annex III which must be met by the rail system, the subsystems, and the interoperability constituents, including interfaces;

(8)  ‘European specification’ means a common technical specification, a European technical approval as defined in Annex XXI to Directive 2004/17/EC or a European standard as defined in Article 2(1)(b) of Regulation (EU) No 1025/2012;

(9)  ‘technical specification for interoperability’ (TSI) means a specification adopted in accordance with this Directive by which each subsystem or part of a subsystem is covered in order to meet the essential requirements and ensure the interoperability of the rail system;

(9a)  ‘conformity assessment body’ means a body that has been notified or designated to be responsible for conformity assessment activities, including calibration, testing, certification and inspection. A conformity assessment body is classified as a 'notified body' following notification of its existence by a Member State. A conformity assessment body is classified as a 'designated body' following its designation by a Member State; [Am. 27]

(10)  ‘basic parameter’ means any regulatory, technical or operational condition which is critical to interoperability and is specified in the relevant TSIs;

(11)  ‘specific case’ means any part of the rail system which needs special provisions in the TSIs, either temporary or definitive, because of geographical, topographical or urban environment constraints or those affecting compatibility with the existing system, in particular railway lines and networks isolated from the rest of the Union, the loading gauge, the track gauge or space between the tracks and vehicles strictly intended for local, regional or historical use, as well as vehicles originating from or destined for third countries;

(12)  ‘upgrading’ means any major modification work on a subsystem or part of it which results in a change in the technical file accompanying the ‘EC’ declaration of verification, if this technical file exists, and which improves the overall performance of the subsystem. Where modification work is to be carried out in respect of a subsystem or vehicle, the relevant TSI shall specify whether or not the work in question is to be classified as major and, if it is, the reasons for such classification; [Am. 28]

(13)  ‘renewal’ means any major substitution work on a subsystem or part of it which does not change the overall performance of the subsystem. Where substitution work is to be carried out in respect of a subsystem or vehicle, the relevant TSI shall specify whether or not the work in question is to be classified as major and, if it is, the reasons for such classification; [Am. 29]

(14)  ‘existing rail system’ means the structure composed of lines and fixed installations of the existing rail system as well as the vehicles of all categories and origin travelling on that infrastructure;

(15)  ‘substitution in the framework of maintenance’ means any replacement of components by parts of identical function and performance in the framework of preventive or corrective maintenance;

(16)  ‘placing in service’ means all the operations by which a subsystem or a vehicle is put into its operational service;

(17)  ‘contracting entity’ means public or private entity which orders the design and/or construction or the renewal or upgrading of a subsystem. This entity may be a railway undertaking, an infrastructure manager or a keeper, an entity in charge of maintenance or a concession holder responsible for carrying out a project; [Am. 30]

(18)  ‘keeper’ means the person or entity that, being the owner of a vehicle or having the right to use it, the vehicle, exploits the vehicle it as a means of transport and is registered as such in the national vehicle register registers referred to in Article 43 Articles 43 and 43a; [Am. 31]

(18a)  ‘owner’ means the person or entity that is the owner of a vehicle and is registered as such in the vehicle registers referred to in Articles 43 and 43a; [Am. 32]

(19)  ‘project at an advanced stage of development’ means any project whose planning/construction stage has reached a point where a change in the technical specifications may compromise the viability of the project as planned;

(20)  ‘harmonised standard’ means a European standard as defined in Article 2(1)(c) of Regulation (EU) No 1025/2012;

(21)  ‘national safety authority’ means a safety authority as defined in Article 3 of Directive …/…/EU [Railway Safety Directive];

(22)  ‘type’ means a vehicle type defining the basic design characteristics of the vehicle as covered by a type or design examination certificate described in the relevant verification module;

(23)  ‘series’ means a number of identical vehicles of a design type;

(24)  ‘entity in charge of maintenance’ means an entity in charge of maintenance as defined in Article 3 of Directive …/…/EU [Railway Safety Directive];

(25)  ‘light rail’ means an urban and/or sub-urban rail transport system with lower capacity and lower speeds than heavy rail and metro systems, but higher capacity and higher speeds than tram systems. Light rail systems may have their own right-of-way or share it with road traffic and usually do not exchange vehicles with long-distance passenger or freight traffic;

(26)  ‘national rules’ means all binding rules notified by a Member State containing railway safety or technical requirements imposed at Member State level and applicable to railway undertakings actors, irrespective of the body issuing them; [Am. 33]

(27)  ‘design operating state’ means the normal operating mode and the foreseeable degraded conditions (including wear) within the range and the conditions of use specified in the technical and maintenance files;

(27a)  ‘area of use’ means a network or networks in the Union, whether within a Member State or a group of Member States, on which a vehicle is technically compatible according to its technical file; [Am. 34]

(27b)  ‘isolated rail network’ means the rail network of a Member State, or a part thereof, with a track gauge of 1 520 mm, which is geographically or technically detached from the European network with standard nominal track gauge (1 435mm – hereafter 'standard gauge') and well integrated in the rail network of 1 520 mm track gauge together with third countries, but isolated from the Union's standard network; [Am. 35]

(28)  ‘acceptable means of compliance’ means non-binding opinions issued by the Agency to define ways of establishing compliance with the essential requirements, so as to offset temporarily shortcomings in a TSI until such time as that TSI has been amended; [Am. 36]

(28a)  ‘acceptable national means of compliance’ means other means of compliance laid down in a Member State which give rise to a presumption of compliance with the relevant section of the national rules. Those acceptable national means of compliance shall be notified to the Agency; [Am. 37]

(29)  ‘placing on the market’ means the first making available on the Union’s market of an interoperability constituent, subsystem or vehicle ready to function in its design operating state;

(30)  ‘manufacturer’ means any natural or legal person who manufactures an interoperability constituent or subsystem or has it designed or manufactured, and markets it under his name or trademark;

(31)  ‘authorised representative’ means any natural or legal person established within the Union who has received a written mandate from a manufacturer or a contracting entity to act on his or its behalf in relation to specified tasks; [Am. 38]

(32)  ‘technical specification’ means a document that prescribes technical requirements to be fulfilled by a product, subsystem, process or service; [Am. 39]

(33)  ‘accreditation’ has the meaning assigned to it by Regulation (EC) No 765/2008;

(34)  ‘national accreditation body’ has the meaning assigned to it by Regulation (EC) No 765/2008;

(35)  ‘conformity assessment’ means the process demonstrating whether specified requirements relating to a product, process, service, system, person or body have been fulfilled;

(36)  ‘conformity assessment body’ means a body that performs conformity assessment activities including calibration, testing, certification and inspection;

(37)  ‘disabled person with disabilities and person with reduced mobility’ shall include any person who has a permanent or temporary physical, mental, intellectual or sensory impairment which, in interaction with various barriers, may hinder their full and effective use of transport on an equal basis with other passengers or whose mobility when using transport is reduced due to age and who thus requires special services; [Am. 40]

(38)  ‘infrastructure manager’ means infrastructure manager as defined in Article 3 of Directive …/…/EU of the European Parliament and of the Council(15) [establishing a single European railway area];

(39)  ‘railway undertaking’ means railway undertaking as defined in Article 3 of Directive …/…/EU [establishing a single European railway area], and any other public or private undertaking, the activity of which is to provide transport of goods and/or passengers by rail on the basis that the undertaking must ensure traction; this also includes undertakings which provide traction only.

Article 3

Essential requirements

1.  The rail system, subsystems and interoperability constituents including interfaces shall meet the relevant essential requirements.

2.  The technical specifications referred to in Article 34 of Directive 2004/17/EC which are necessary to complete European specifications or other standards in use within the Union shall not conflict with the essential requirements.

2a.  No person shall be discriminated against, either directly or indirectly, on the basis of a disability. In order to ensure that all Union citizens can enjoy the benefits resulting from the establishment of an area without internal borders, Member States shall ensure that the railway system is barrier-free. [Am. 41]

CHAPTER II

TECHNICAL SPECIFICATIONS FOR INTEROPERABILITY

Article 4

Content of Technical Specifications for Interoperability

1.  Each of the subsystems defined in Annex II shall be covered by one TSI. Where necessary, a subsystem may be covered by several TSIs and one TSI may cover several subsystems.

2.  The Commission shall be empowered to adopt delegated acts in accordance with Article 46 concerning adaptation to technical progress of Annex II regarding the breakdown of the rail system into subsystems and to the description of these subsystems.

3.  Fixed subsystems shall comply with the TSIs in force at the time of their placing in service, upgrading or renewal, in accordance with this Directive; this first appointment of a notified body and at the latest at the time of the granting of building permits. Vehicles shall be in conformity with the TSIs and shall comply with national rules in force at the time of the first appointment of a notified body. Such conformity and compliance shall be permanently maintained while each subsystem is in use. [Am. 42]

4.  Each TSI shall:

(a)  indicate its intended scope (part of network or vehicles referred to in Annex I; subsystem or part of subsystem referred to in Annex II);

(b)  lay down essential requirements for each subsystem concerned and its interfaces in relation to other subsystems;

(c)  establish the functional and technical specifications to be met by the subsystem and its interfaces in relation to other subsystems. If need be, these specifications may vary according to the use of the subsystem;

(d)  determine the interoperability constituents and interfaces which must be covered by European specifications, including European standards, which are necessary to achieve interoperability within the rail system. This shall include the identification of the rail spare parts to be standardised in accordance with Article 41 of Regulation (EU) No .../… of the European Parliament and of the Council(16). The list of spare parts to be standardised, including existing parts, shall be included in each TSI; [Am. 43]

(e)  state, in each case under consideration, which procedures are to be used in order to assess the conformity or the suitability for use of the interoperability constituents, on the one hand, or the 'EC' verification of the subsystems, on the other hand. These procedures shall be based on the modules defined in Decision 2010/713/EU;

(f)  indicate the strategy for the application of the TSIs. In particular, it is necessary to specify the stages to be completed in order to make a gradual transition from the existing situation to the final situation in which compliance with the TSIs shall be the norm including setting deadlines for completion of those stages where necessary. The timetable fixing the stages shall be linked to an assessment analysing the estimated costs and benefits of its implementation and the expected repercussions on the operators and economic agents affected; [Am. 44]

(g)  indicate, for the staff concerned, the professional qualifications and health and safety conditions at work required for the operation and maintenance of the above subsystem, as well as for the application of the TSIs;

(h)  indicate the provisions applicable to the existing subsystems and types of vehicles, in particular in the event of upgrading and renewal, with and without a new authorisation or decision for placing in service;

(i)  indicate the parameters to be checked by the railway undertaking and the procedures to be applied to check those parameters after the delivery of the vehicle authorisation for placing on the market and before the decision for placing in service to ensure the compatibility between vehicles and routes on which they are intended to be operated; [Am. 45]

(ia)  indicate the specific parameters to be verified and provide descriptions for the renewal, improvement or replacement of spare parts or interoperability constituents to be dealt with in conjunction with Article 21(3). [Am. 46]

5.  Each TSI shall be drawn up on the basis of an examination of an existing subsystem and indicate a target subsystem that may be obtained gradually within a reasonable time-scale. Accordingly, the gradual adoption of the TSIs and compliance with them shall facilitate gradually within that time-scale to achieve the interoperability of the rail system.

6.  TSIs shall retain, in an appropriate manner, the compatibility of the existing rail system of each Member State. With this objective, provision may be made for specific cases for each TSI, with regard to both network and vehicles, and in particular for the loading gauge, the track gauge or space between the tracks and vehicles originating from or destined for third countries. For each specific case, the TSIs shall stipulate the implementing rules of the elements of the TSIs provided for in paragraph 4(c) to (g).

7.  If certain technical aspects corresponding to the essential requirements cannot be explicitly covered in a TSI, they shall be clearly identified in an annex to the TSI as open points.

8.  TSIs shall not prevent the Member States from deciding on the use of infrastructures for the movement of vehicles not covered by the TSIs.

9.  TSIs may make an explicit, clearly identified reference to European or international standards or specifications or technical documents published by the Agency where this is strictly necessary in order to achieve the objective of this Directive. In such case, these standards or specifications (or their relevant parts) or technical documents shall be regarded as annexes to the TSI concerned and shall become mandatory from the moment the TSI is applicable. In the absence of such standards or specifications or technical documents and pending their development, reference may be made to other clearly identified normative documents that are easily accessible and in the public domain.

Article 5

Drafting, adoption and review of TSIs

1.  The Commission shall issue a mandate to the Agency to draft TSIs and their amendments and to make the relevant recommendations to the Commission.

1a.  The drafting, adoption and review of each TSI, including the basic parameters, shall take account of the estimated costs and benefits of all the technical solutions considered, together with the interfaces between them, so as to establish and implement the most viable solutions. [Am. 47]

2.  Each draft TSI shall be drawn up in the following stages:

(a)  the Agency shall identify the basic parameters for the TSI as well as the interfaces with the other subsystems and any other specific cases that may be necessary. The most viable alternative solutions accompanied by technical and economic justification shall be put forward for each of these parameters and interfaces;

(b)  the Agency shall draw up the draft TSI on the basis of these basic parameters. Where appropriate, the Agency shall take account of technical progress, of standardisation work already carried out, of working parties already in place and of acknowledged research work.

An overall assessment of the estimated costs and benefits of the implementation of the TSIs shall be attached to the draft TSI. This assessment shall indicate the likely impact for all the operators and economic agents involved, and shall take due account of the requirements of Directive .../.../EU [Railway Safety Directive]. The Member States shall participate in that assessment by providing, where appropriate, the requisite data. [Am. 48]

3.  The Agency, in order to take account of developments in technology or social requirements, shall draft the TSIs and their amendments under the mandate referred to in paragraph 1, in accordance with Articles 4 and 15 of Regulation (EU) No …/… [Agency Regulation] and by respecting the principles of openness, consensus and transparency as defined in Annex II to Regulation (EU) No 1025/2012.

4.  During The committee referred to in Article 48 shall be kept regularly informed of the preparatory work on the TSIs. During that work, the Commission may, at the request of the committee, formulate any terms of reference or useful recommendations concerning the design of the TSIs and the cost-benefit analysis. In particular, the Commission may, at the request of a Member State, require that alternative solutions be examined and that the assessment of the cost and benefits of these alternative solutions be set out in the report annexed to the draft TSI. [Am. 49]

5.  Where different subsystems have to be placed in service simultaneously for reasons of technical compatibility, the dates of entry into force of the corresponding TSIs shall be the same.

6.  The drafting, adoption and review of the TSIs shall take account of the opinion of users, as regards the characteristics which have a direct impact on the conditions in which they use the subsystems. To that end the Agency shall consult associations and bodies representing users during the drafting and review phases of the TSIs. It shall enclose with the draft TSI a report on the results of this consultation.

7.  In accordance with Article 6 of Regulation (EU) No …/… [Agency Regulation], the Agency shall draw up and regularly update the list of users' associations and bodies to be consulted. This list shall necessarily include representative associations and bodies from all the Member States and may be re-examined and updated at the request of a Member State or upon the initiative of the Commission. [Am. 50]

8.  The drafting, adoption and review of the TSIs shall take account of the opinion of the representative social partners in all the Member States as regards the conditions referred to in Article 4(4)(g), and in any other TSI that directly or indirectly affects the staff involved. To this end, the Agency shall consult the social partners before submitting to the Commission recommendations on TSIs and their amendments. The social partners shall be consulted in the context of the Sectoral Dialogue Committee set up in accordance with Commission Decision 98/500/EC(17). The social partners shall issue their opinion within three months. [Am. 51]

9.  When revision of a TSI leads to a change of requirements, the new TSI version shall ensure compatibility with subsystems placed in service in accordance with former TSI versions.

10.  The Commission shall be empowered to adopt delegated acts in accordance with Article 46 concerning the TSIs and their amendments.

Where, in the case of deficiencies discovered in TSIs in accordance with Article 6, imperative grounds of urgency so require, the procedure provided for in Article 47 shall apply to delegated acts adopted pursuant to this Article.

Article 6

Deficiencies in TSIs

1.  If, after its adoption, it appears that a TSI has a deficiency, that TSI shall be amended in accordance with Article 5(3).

2.  Pending the review of the TSI, the Commission may request an opinion from the Agency. The Commission shall analyse the Agency opinion and inform the Member States of its conclusions.

3.  At the request of the Commission, the Agency opinions referred to in paragraph 2 shall constitute acceptable means of compliance to meet the essential requirements and may therefore be used for the assessment of projects.

3a.  A member of the network of representative bodies can act as applicant to request opinions about deficiencies in TSIs via the Commission. The applicant shall be informed of the decision taken. The Commission shall duly provide a statement of reasons for any refusal. [Am. 52]

Article 7

Non-application of the TSIs

1.  Member States are allowed not to apply one or more TSIs or parts of them in the following cases:

(a)  for a proposed new subsystem or part of it, for the renewal or upgrading of an existing subsystem or part of it, or for any element referred to in Article 1(1) at an advanced stage of development or the subject of a contract in the course of performance at the date of application of these TSIs;

(b)  where, following an accident or a natural disaster, the conditions for the rapid restoration of the network do not economically or technically allow for partial or total application of the relevant TSIs; in this case, the non-application of the TSIs shall be limited in time;

(c)  for any proposed renewal, extension or upgrading of an existing subsystem or part of it, when the application of these TSIs would seriously compromise the economic viability of the project. [Am. 53]

2.  In the case referred to in paragraph 1, point (a), each Member State shall communicate to the Commission, within one year of entry into force of each TSI, a list of projects that are taking place within its territory and which are at an advanced stage of development.

3.  In all cases referred to in paragraph 1, the Member State concerned shall submit to the Commission the request for non-application of the TSI, also specifying the alternative provisions that the Member State intends to apply instead of the TSIs. The Commission shall by means of implementing acts establish the content of the file which shall accompany the request of non-application of one or more TSIs or parts of them, the details, the format and the transmission modalities of that file. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 48(3). The Commission shall check that file, analyse the alternative provisions that the Member State intends to apply instead of the TSIs, decide whether to accept or not the request of non-application of the TSI and inform the Member State of this decision.

4.  Pending the decision of the Commission, the Member State may apply the alternative provisions as referred to in paragraph 3 without delay.

5.  The Commission shall give its decision within four months of the submission of the request supported by the complete file. In the absence of such a decision, the request shall be deemed to have been accepted.

6.  All Member States shall be informed of the results of the analyses and of the outcome of the procedure set out in paragraph 3.

CHAPTER III

INTEROPERABILITY CONSTITUENTS

Article 8

Placing on the market of interoperability constituents

1.  Member States shall take all necessary steps to ensure that interoperability constituents:

(a)  are placed on the market only if they enable interoperability to be achieved within the rail system while at the same time meeting the essential requirements;

(b)  are used in their area of use as intended in accordance with the area of use as defined in point (27a) of Article 2 and are suitably installed and maintained. [Am. 54]

These provisions shall not obstruct the placing on the market of these constituents for other applications.

2.  Member States may not, in their territory and on the basis of this Directive, prohibit, restrict or hinder the placing on the market of interoperability constituents for use in the rail system where they comply with this Directive. In particular, they may not require checks which have already been carried out as part of the procedure of 'EC' declaration of conformity or suitability for use.

A Member State may not prohibit, restrict or hinder the placing in service of interoperability constituents that have been recognised for an area for which they are intended, if that area is situated within its territory. [Am. 55]

The Commission shall establish, by means of implementing acts, be empowered to adopt delegated acts in accordance with Article 46 concerning the scope and the content of the EC declaration of conformity and suitability for use of interoperability constituents, its format and the details of the information included in it. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 48(3). [Am. 56]

2a.  The Commission shall establish, by means of implementing acts, the format and the details of the information included in the EC declaration of conformity and suitability for use of interoperability constituents. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 48(3). [Am. 57]

Article 9

Conformity or suitability for use

1.  Member States and the Agency shall consider as being interoperable and meeting the essential requirements, those interoperability constituents which are covered by the 'EC' declaration of conformity or suitability for use.

2.  All interoperability constituents shall be subject to the procedure for assessing conformity and suitability for the use indicated in the relevant TSI and shall be accompanied by the corresponding certificate.

3.  Member States and the Agency shall consider that an interoperability constituent meets the essential requirements if it complies with the conditions laid down by the corresponding TSI or the corresponding European specifications developed to comply with these conditions.

4.  Spare parts for subsystems that are already placed in service when the corresponding TSI enters into force may be installed in these subsystems without being subject to the procedure referred to in paragraph 2.

5.  TSIs may provide for a period of transition for rail products identified by those TSIs as interoperability constituents which have already been placed on the market when the TSIs enter into force. Such constituents shall satisfy the requirements of Article 8(1).

Article 10

Procedure for 'EC' declaration of conformity or suitability for use

1.  In order to establish the 'EC' declaration of conformity or suitability for use of an interoperability constituent, the manufacturer or his authorised representative established in the Union shall apply the provisions laid down by the relevant TSIs.

2.  Where the corresponding TSI so requires, assessment of the conformity or suitability for use of an interoperability constituent shall be carried out by the notified conformity assessment body with which the manufacturer or his authorised representative established in the Union has lodged the application.

3.  Where interoperability constituents are the subject of other Union directives covering other aspects, the 'EC' declaration of conformity or suitability for use shall, in such cases, state that the interoperability constituents also meet the requirements of those other directives.

4.  Where neither the manufacturer nor his authorised representative has met the obligations laid down in paragraphs 1 and 3, those obligations shall be incumbent on any person who places interoperability constituents on the market. The same obligations shall apply to any person who assembles interoperability constituents or parts of interoperability constituents having diverse origins or manufactures interoperability constituents for his own use, for the purposes of this Directive.

5.  In order to avoid that interoperability constituents non complying with essential requirements are being placed on the market, and without prejudice to the provisions of Article 11:

(a)  in each instance where the Member State finds that the 'EC' declaration of conformity has been drawn up improperly, the manufacturer or his authorised representative established in the Union shall be required, if necessary, to restore the interoperability constituent to a state of conformity and to terminate the infringement under the conditions laid down by that Member State;

(b)  where non-conformity persists, the Member State shall take all appropriate steps to restrict or prohibit the placing on the market of the interoperability constituent in question, or to ensure that it is withdrawn from the market in accordance with the procedures provided for in Article 11.

Article 11

Non-compliance of interoperability constituents with essential requirements

1.  Where a Member State finds that an interoperability constituent covered by the 'EC' declaration of conformity or suitability for use and placed on the market is unlikely, when used as intended, to meet the essential requirements, it shall take all necessary steps to restrict its field of application, prohibit its use, withdraw it from the market or recall it. The Member State shall forthwith inform the Commission and the other Member States of the measures taken and give the reasons for its decision, stating in particular whether failure to conform is due to:

(a)  failure to meet the essential requirements;

(b)  incorrect application of European specifications where application of such specifications is relied upon;

(c)  inadequacy of European specifications.

2.  The Commission shall consult the parties concerned as quickly as possible. Where, following that consultation, the Commission establishes that the measure is justified it shall forthwith inform the Member State that has taken the initiative thereof. Where, after Agency, on a mandate from the Commission, shall start the consultation process with the parties concerned without delay, and in any case within 20 days. Following that consultation, the Commission establishes that Agency shall establish whether the measure is unjustified it justified. The Agency shall forthwith inform the Commission, the Member State that has taken the initiative in that regard and the manufacturer or his authorised representative established within the Union thereof. [Am. 58]

3.  Where an interoperability constituent bearing the 'EC' declaration of conformity fails to comply, the competent Member State shall take appropriate measures against any person who has drawn up the declaration and shall inform the Commission and the other Member States thereof.

4.  The Commission shall ensure that the Member States are kept informed of the course and results of that procedure. [Am. 59]

CHAPTER IV

SUBSYSTEMS

Article 12

Free movement of subsystems

Without prejudice to the provisions of Chapter V, Member States may not, in their territory and on grounds relating to this Directive, prohibit, restrict or hinder the construction, placing in service and operation of structural subsystems constituting the rail system which meet the essential requirements. In particular, they may not require checks which have already been carried out:

(a)  either as part of the procedure leading to the 'EC' declaration of verification,

(b)  or in other Member States, before or after the entry into force of this Directive, with a view to verifying compliance with identical requirements under identical operational conditions.

Article 13

Conformity with TSIs and national rules

1.  Member States and the Agency shall consider as being interoperable, and as meeting the essential requirements, those structural subsystems constituting the rail system which are covered, as appropriate, by the 'EC' declaration of verification established by reference to TSIs in accordance with Article 15 or by the declaration of verification established by reference to notified national rules in accordance with Article 15a, or both. [Am. 60]

2.  Verification of the interoperability, in accordance with the essential requirements, of a structural subsystem constituting the rail system shall be established by reference to TSIs, and national rules notified in accordance with paragraph 3. [Am. 61]

2a.  Decisions on granting authorisation shall be based on TSIs and on notified national rules applicable when the application was made. [Am. 62]

3.  Member States shall draw up, for each subsystem, a list of the national rules in use for implementing the essential requirements and/or acceptable national means of compliance in the following cases: [Am. 63]

(a)  when the TSIs do not fully cover certain aspects corresponding to the essential requirements (open points);

(b)  when a non-application of one or more TSIs or parts of them has been notified under Article 7;

(c)  when specific case requires the application of technical rules not included in the relevant TSI;

(d)  in case of national rules used to describe existing systems;

(da)  in the case of networks and vehicles not covered by TSIs; [Am. 64]

(db)  for safety reasons specific to one or more Member States, provided that they have been substantiated and without prejudice to the prerogatives of the Agency. [Am. 65]

4.  Member States shall designate the bodies responsible for establishing, in the case of these technical regulations, the EC declaration of verification referred to in Article 15.

Article 14

National rules

1.  Member States shall notify to the Commission and to the Agency the list of national rules in use, as referred to in Article 13(3) either, in the following cases: [Am. 66]

(a)  each time the list of rules is changed, or [Am. 67]

(b)  after when a request for non-application of the TSI has been submitted in accordance with Article 7, or [Am. 68]

(c)  after publication of the TSI concerned or its revision, in view of the removal of national rules made redundant by the closure of open points in the TSIs,

(ca)  where the national rule(s) has/have not yet been notified by the date of entry into force of this Directive. [Am. 69]

1a.  Within one month after the entry into force of this Directive, Member States shall notify to the Commission any existing national rule which has not been notified by that date. [Am. 70]

2.  Member States shall notify the full text of existing national rules to the Agency and the Commission through the appropriate IT system in accordance with Article 23 of Regulation (EU) No …/… [Agency Regulation]. [Am. 71]

3.  Member States may lay down new national rules only in the following cases:

(a)  when a TSI does not fully meet the essential requirements;

(b)  as an urgent preventive measure, in particular following an accident.

4.  If a Member State intends to introduce a new national rule, it shall notify submit the draft to the Agency and the Commission for consideration at least three months before the scheduled entry into force of the proposed new rule, giving the reason for its introduction, in accordance with Article 21 of Regulation (EU) No .../... [Agency Regulation], through the appropriate IT system in accordance with Article 23 of that Regulation. [Am. 72]

4a.  When notifying an existing or new national rule, Member States shall provide proof of the need for that rule in order to fulfil an essential requirement not already covered by the relevant TSI. Member States shall not be permitted to notify any national rule without substantiating that need.

The Agency shall have two months in which to consider the draft rule and to make a recommendation to the Commission. The Commission shall approve or reject the draft rule. Only in the case of emergency preventive measures, Member States may adopt and apply a new rule immediately and that rule shall be valid for two months. If such a rule affects several Member States, the Commission, working in cooperation with the Agency and the national safety authorities, shall harmonise the rule at Union level. [Am. 73]

5.  Member States shall ensure that national rules, including those covering the interfaces between vehicles and network, are made available free of charge and in a language that can be understood by all parties concerned.

6.  Member States may decide not to notify rules and restrictions of a strictly local nature. In such cases, Member States shall mention these rules and restrictions in the infrastructure registers referred to in Article 45.

7.  National rules notified under this Article are not subject to the notification procedure set out in Directive 98/34/EC of the European Parliament and of the Council(18).

8.  The Commission shall establish, by means of implementing acts, the classification of the notified national rules in different groups with the aim of facilitating cross-acceptance in different Member States and the compatibility checks between fixed and mobile equipment. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 48(3). The Agency shall classify, in accordance with those implementing acts, the national rules notified pursuant to this Article, and shall publish the corresponding register. That register shall also list any acceptable national means of compliance. [Am. 74]

The Agency shall classify in accordance with the implementing acts referred to in the first subparagraph the national rules which are notified in accordance with this Article.

9.  Draft national rules and national rules in force shall be examined by the Agency in accordance with the procedures laid down in Articles 21 and 22 of Regulation (EU) No …/… [Agency Regulation].

Article 15

Procedure for establishing the 'EC' declaration of verification

1.  In order to establish the 'EC' declaration of verification, the applicant shall ask the notified conformity assessment body that it has selected for that purpose to apply the 'EC' verification procedure. The applicant may be the contracting entity or the manufacturer, or their authorised representative within the Union.

2.  The task of the notified conformity assessment body responsible for the 'EC' verification of a subsystem shall begin at the design stage and cover the entire manufacturing period through to the acceptance stage before the subsystem is placed in service. It may shall also cover verification of the interfaces of the subsystem in question with the system into which it is incorporated, based on the information available in the relevant TSI and in the registers provided for in Articles 44 and 45. [Am. 75]

3.  The notified conformity assessment body shall be responsible for compiling the technical file that has to accompany the 'EC' declaration of verification. This technical file shall contain all the necessary documents relating to the characteristics of the subsystem and, where appropriate, all the documents certifying conformity of the interoperability constituents. It shall also contain all the elements relating to the conditions and limits of use and to the instructions concerning servicing, constant or routine monitoring, adjustment and maintenance.

4.  Any amendment of the technical file referred to in paragraph 3 that has an impact on the verifications carried out implies upgrading shall entail the need to establish a new 'EC' declaration of verification. [Am. 76]

5.  The notified conformity assessment body may issue intermediate statement verifications to cover certain stages of the verification procedure or certain parts of the subsystem. In such a case, the verification procedures established in accordance with paragraph 7(a) shall apply.

6.  If the relevant TSIs allow, the notified conformity assessment body may issue certificates of conformity for a series of subsystems or certain parts of those subsystems.

7.  The Commission shall establish, by means of implementing acts:

(a)  the verification procedures for subsystems, including the general principles, the content, procedure and documents related to the 'EC' verification procedure, and to the verification procedure in the case of national rules.

(b)  the templates for the 'EC' declaration of verification and for the declaration of verification in the case of national rules and templates for documents of the technical file that has to accompany the declaration of verification.

Those implementing acts shall be adopted in accordance with the examination procedure referred to Article 48(3). [Am. 78]

7a.  The Commission shall be empowered to adopt delegated acts in accordance with Article 46 in order to establish the verification procedures for subsystems, including the general principles, the content, procedure and documents related to the 'EC' verification procedure, and the verification procedure in the case of national rules. [Am. 79]

7b.  The Commission shall establish, by means of implementing acts, the templates for the 'EC' declaration of verification and for the declaration of verification in the case of national rules and templates for documents to be contained in the technical file that has to accompany the declaration of verification.

Those implementing acts shall be adopted in accordance with the examination procedure referred to Article 48(3). [Am. 80]

Article 15a

Procedure for establishing the declaration of verification in the case of national rules

The procedures for establishing the 'EC' declaration of verification referred to in Article 15 shall also apply, where appropriate, for the establishment of the declaration of verification in respect of national rules.

Member States shall designate the bodies responsible for carrying out the verification procedure in respect of national rules in accordance with Chapter VI. [Am. 77]

Article 16

Non-compliance of subsystems with essential requirements

1.  Where a Member State finds that a structural subsystem covered by the 'EC' declaration of verification accompanied by the technical file does not fully comply with this Directive and in particular does not meet the essential requirements, it may request that additional checks be carried out.

2.  The Member State making the request shall forthwith inform the Commission of any additional checks requested and set out the reasons therefor. The Commission shall consult the interested parties.

3.  The Member State making the request shall state whether the failure to fully comply with this Directive is due to:

(a)  non-compliance with the essential requirements or with a TSI, or incorrect application of a TSI; in that case, the Commission shall forthwith inform the Member State where the person who drew up the 'EC' declaration of verification in error resides and shall request that Member State to take the appropriate measures;

(b)  inadequacy of a TSI; in that case, the procedure for amending the TSI as referred to in Article 6 shall apply.

Article 17

Presumption of conformity

Interoperability constituents and subsystems which are in conformity with harmonised standards or parts thereof the references of which have been published in the Official Journal of the European Union shall be presumed to be in conformity with the essential requirements covered by those standards or parts thereof set out in Annex III.

CHAPTER V

PLACING ON THE MARKET AND PLACING IN SERVICE

Article 18

Placing in service of fixed installations

1.  The trackside control-command and signalling, energy and infrastructure subsystems shall be placed in service only if they are designed, constructed and installed in such a way as to meet the essential requirements as set out in Annex III, and the relevant authorisation is received in accordance with paragraph 2.

2.  Each national safety authority shall authorise the placing in service of the energy and infrastructure subsystems and the trackside control-command and signalling which are is not ERTMS located or operated in the territory of its Member State. National safety authorities shall take into account the opinion of the Agency when TEN-T corridors or cross borders sections are involved.

The Agency shall authorise cross-border infrastructures with one single infrastructure manager. [Am. 81]

The Agency shall grant decisions authorising the placing in service of the trackside control-command and signalling subsystems located or operated throughout authorise the ERTMS in close cooperation with the national safety authorities. Before the Agency authorises the ERTMS, the national safety authority shall be competent for verifying the operational compatibility with the national networks. The Agency shall ensure the uniform application of the ERTMS in the Union. [Am. 82]

In the case of the ERTMS, the Agency shall consult the national safety authority concerned within one month of receipt of the complete application in order to ensure a coherent development of the ERTMS within the Union. The national safety authority shall issue an opinion to the Agency regarding the technical and operational compatibility of the subsystem with the vehicles intended to operate on the relevant part of the network within two months. The Agency shall, to the extent possible, take that opinion into account before issuing the authorisation and, in the event of disagreement, shall inform the national safety authority, stating the reasons therefor. This Article is without prejudice to the Agency's obligations as a system authority under Chapter 6 of Regulation (EU) No .../... [Agency Regulation].

When the Agency disagrees with a negative assessment carried out by a national safety authority, it shall inform the authority in question to that effect, giving reasons for the disagreement. The Agency and the national safety authority shall cooperate with a view to reaching a mutually acceptable assessment. Where necessary, as decided by the Agency and the national safety authority, this process shall also involve the applicant. If no mutually acceptable assessment can be found within one month after the Agency has informed the national safety authority of its disagreement, the Agency shall take its final decision unless the national safety authority has referred the matter for arbitration to the Board of Appeal established under Article 51 of Regulation (EU) No .../... [Agency Regulation]. The Board of Appeal shall decide whether to confirm the Agency's draft decision within one month of the request of the national safety authority.

Any decision refusing the request for an authorisation for placing in service of fixed installations shall be duly substantiated by the Agency. The applicant may, within one month of receipt of the negative decision, submit a request that the Agency review its decision. That request shall be accompanied by a statement of grounds. The Agency shall have two months from the date of receipt of the request for review in which to confirm or reverse its decision. If the negative decision of the Agency is confirmed, the applicant may bring an appeal before the Board of Appeal established under Article 51 of Regulation (EU) No .../... [Agency Regulation]. [Am. 83]

The Agency and the national safety authorities shall provide detailed guidance on how to obtain the authorisations referred to in the first and second subparagraph. An application guidance document describing and explaining the requirements for those authorisations and listing the required documents shall be made available to applicants free of charge. The Agency and the national safety authorities shall cooperate in disseminating such information.

3.  In order to authorise the placing in service of the subsystems referred to in paragraph 1, the national safety authority or the Agency, depending on which is the competent authority as set out in paragraph 2, shall obtain proof of:

(a)  the EC declaration of verification;

(b)  the technical compatibility of these subsystems with the system into which they are being integrated, established on the basis of the relevant TSIs, national rules and registers;

(c)  the safe integration of these subsystems, established on the basis of the relevant TSIs, national rules, registers, and the common safety methods set out in Article 6 of Directive…/…/EU [Railway Safety Directive];

(ca)  the declaration of verification in the case of national rules. [Am. 84]

Within one month of receipt of the request of the applicant, the Agency or the national safety authority, depending on which is the competent authority, shall inform the applicant that the file is complete or ask for relevant supplementary information, setting a reasonable deadline for the provision of that information. [Am. 85]

4.  In the event of renewal or upgrading of existing subsystems, the applicant shall send a file describing the project to the national safety authority (for energy and infrastructure subsystems and for trackside control-command and signalling subsystems which are not ERTMS) or the Agency (for trackside control-command and signalling subsystems ERTMS and for cross-border infrastructures with one single infrastructure manager), a file describing the project. The national safety authority or the Agency shall examine this file and shall decide, on the basis of the criteria set out in paragraph 5, whether a new authorisation for placing in service is needed. The national safety authority and the Agency shall take their decisions within a pre-determined, reasonable time, and, in any case, within four three months from receipt of all relevant information. [Am. 86]

5.  In the event of renewal or upgrading of existing subsystems, a new 'EC' declaration of verification shall be needed as set out in Article 15(4). In addition, a new authorisation for placing in service shall be required when:

(a)  the overall safety level of the subsystem concerned may be adversely affected by the works envisaged; or

(b)  it is required by the relevant TSIs; or

(c)  it is required by the national implementation plans established by the Member States.

Article 19

Placing on the market of mobile subsystems

1.  The rolling stock subsystem and the on-board control-command and signalling subsystem Mobile subsystems shall be placed on the market by the applicant only if they are designed, constructed and installed in such a way as to meet the essential requirements as set out in Annex III. [Am. 87]

2.  In particular, the applicant shall ensure that the EC declaration of verification has been provided.

3.  In the event of renewal or upgrading of existing subsystems, a new 'EC' declaration of verification shall be needed as set out in Article 15(4).

Article 20

Vehicle authorisation for placing on the market

1.  A vehicle shall be placed on the market only after having received the a vehicle authorisation for placing on the market issued by the Agency in accordance with paragraph 5 this Article. [Am. 88]

The vehicle authorisation shall state:

(a)  the area of use;

(b)  the values of the parameters set out in the TSIs and, where applicable, in the national rules, as relevant for checking the technical compatibility between the vehicle and the area of use;

(c)  the vehicle's compliance with the relevant TSIs and sets of national rules, in relation to the parameters referred to in point (b);

(d)  the conditions for the use of the vehicle and any other restrictions. [Am. 89]

2.  The Agency shall issue decisions granting vehicle authorisations for placing on the market. Those authorisations attest the values of the parameters relevant for checking the technical compatibility between the vehicle and the fixed installations as set out in the TSIs. The vehicle authorisation for placing on the market shall also provide information about the vehicle’s compliance with the relevant TSIs and sets of national rules, related to these parameters. The vehicle authorisation shall be issued on the basis of a file in respect of the vehicle or type of vehicle produced by the applicant and including documentary evidence of the following:

–  in relation to the mobile subsystems composing the vehicle:

(a)  the appropriate declaration of verification in accordance with Article 19;

(b)  the technical compatibility within the vehicle;

(c)  the safe integration within the vehicle;

–  in relation to the vehicle:

the technical compatibility of the vehicle with the networks in the area of use. [Am. 90]

The technical compatibility shall be established on the basis of the relevant TSIs and, where applicable, national rules and registers. Whenever tests are necessary in order to obtain documentary evidence of the technical compatibility, the national safety authorities involved may issue temporary authorisations to the applicant to use the vehicle for practical verifications on the network. The infrastructure manager, in consultation with the applicant, shall make every effort to ensure that any tests take place within one month of receipt of the applicant's request. Where appropriate, the national safety authority shall take measures to ensure that tests take place.

The safe integration of the subsystems within the vehicle shall be established on the basis of the relevant TSIs, the common safety methods set out in Article 6 of Directive .../.../EU [Railway Safety Directive] and, where applicable, national rules. [Am. 91]

3.  The Agency shall grant a vehicle authorisation for placing on the market may stipulate conditions for the use of the vehicle and other restrictions after having assessed the elements of the file referred to in paragraph 2 within a pre-determined, reasonable time, and, in any case, within four months from receipt of all relevant information from the applicant. Within one month, the Agency shall indicate to the applicant whether or not the file is complete. Any negative decision made in relation to an application shall be duly substantiated.

Authorisations shall be recognised in all Member States.

The Agency shall assume full responsibility for the authorisations it issues. [Am. 92]

3a.  During the transitional period referred to in Article 50a, the applicant may choose to submit its application for vehicle authorisation to the Agency or to the relevant national safety authority. [Am. 94]

4.  The vehicle authorisation for placing on the market shall be issued on the basis of a file of the vehicle or type of vehicle produced by the applicant and including the documentary evidence of:

(a)  the placing on the market of the mobile subsystems composing the vehicle according to Article 19;

(b)  the technical compatibility of the subsystems referred to in point (a) within the vehicle, established on the basis of the relevant TSIs, national rules and registers;

(c)  the safe integration of the subsystems referred to in point (a) within the vehicle, established on the basis of the relevant TSIs, national rules, and the common safety methods set out in Article 6 of Directive …/… [on the safety of the rail system within the Union]. [Am. 93]

5.  The Agency Any decision refusing the authorisation of a vehicle shall take the decisions referred to in paragraph 2 within a pre-determined, reasonable time, and, in any case, within four be duly substantiated. The applicant may, within a period of one month from receipt of the negative decision, request that the Agency or the national safety authority, as appropriate, review the decision. The Agency or the national safety authority shall have two months from the date of receipt of all relevant information. These authorisations shall be valid in all Member States. the request for review in which to confirm or reverse its decision. [Am. 95]

If a negative decision is confirmed by the Agency, the applicant may bring an appeal before the Board of Appeal designated under Article 51 of Regulation (EU) No .../... [Agency Regulation]. [Am. 96]

If the negative decision of a national safety authority is confirmed, the applicant may bring an appeal before the appeal body designated by the competent Member State under Article 17(3) of Directive .../... [Railway Safety Directive]. Member States may designate the regulatory body set out in Article 56 of Directive 2012/34/EU of the European Parliament and of the Council(19) for the purposes of that appeal procedure. [Am. 97]

The Agency shall provide detailed guidance on how to obtain the vehicle authorisation for placing on the market. An application guidance document describing and explaining the requirements for the vehicle authorisation for placing on the market and listing the required documents shall be made available to applicants free of charge. The national safety authorities shall cooperate with the Agency in disseminating such information.

6.  The Agency may issue amend or revoke a vehicle authorisation for placing on the market for a series of vehicles. Those authorisations shall be valid in all Member States if it no longer satisfies the conditions according to which it was issued, giving reasons for its decision in that regard. The Agency shall immediately update the European vehicle register defined in Article 43a.

If a national safety authority finds that an authorised vehicle does not comply with essential requirements, it shall immediately inform the Agency and all other relevant national safety authorities. The Agency shall decide on the necessary measures within one month. In cases necessitating urgent preventive measures, the Agency may immediately restrict or suspend the authorisation before taking its decision. [Am. 98]

7.  The applicant may bring an appeal before the Board of Appeal designated under Article 51 of Regulation (EU) No …/… [establishing a European railway agency] against decisions of the Agency or its failure to act within the time limits referred to in paragraph 5. The Commission shall be empowered to adopt, not later than six months after the adoption of this Directive, delegated acts in accordance with Article 46, concerning detailed rules on the authorisation procedure, including:

(a)   detailed guidance describing and explaining the requirements for the vehicle authorisation and the documents required;

(b)  procedural arrangements for the authorisation process, such as content and timeframes for each stage of the process;

(c)  criteria for assessment of the applicants' files. [Am. 99]

8.  In the event of renewal or upgrading of existing vehicles which already have a vehicle authorisation for placing on the market:

(a)  a new 'EC' declaration of verification shall be needed as set out in Article 15(4), and

(b)  a new vehicle authorisation for placing on the market shall be required if any major changes are made to the values of the parameters included in the vehicle authorisation already granted. [Am. 100]

9.  At the request of the applicant, the vehicle authorisation for placing on the market may include a clear indication of the networks or lines or groups of networks or lines where the railway undertaking may place such a vehicle in service without further verifications, checks or tests concerning the technical compatibility between the vehicle and these networks or lines. In that case, the applicant shall include in its request the proof of the technical compatibility of the vehicle with the networks or lines concerned.

This indication may be also added, at the request of the original or another applicant, after the relevant authorisation for placing on the market has been issued. [Am. 101]

9a.  Authorisation for vehicles operated or intended to be operated on railway infrastructure of isolated rail networks may also be granted by national safety authorities of the Member States in which the network in question is located. In such cases, the applicant may choose between applying to the Agency or to the national safety authorities of those Member States.

Within the transitional period referred to in Article 50a, the national safety authorities of the Member States in which an isolated rail network is located shall establish common vehicle authorisation procedures and ensure mutual recognition of vehicle authorisations issued by them. In the case of conflicting decisions of the national safety authorities and in the absence of any mutually acceptable decision, the Agency shall take a decision in accordance with Article 16 of Regulation (EU) No .../... [Agency Regulation] accordingly.

If by the end of the transitional period referred to in Article 50a, those national safety authorities have not established arrangements for common authorisation procedures and mutual recognition of vehicle authorisations, the authorisations referred to in this Article shall be granted only by the Agency.

If the arrangements for common authorisation procedures and mutual recognition of vehicle authorisations are established, the national safety authorities of the Member States having isolated rail networks may continue to issue vehicle authorisations and the applicant may choose to apply for vehicle authorisation to the Agency or to the relevant national safety authorities after the end of the transitional period referred in Article 50a.

Ten years after the entry into force of this Directive, the Commission shall present to the European Parliament and the Council a report on the progress achieved towards interoperability on the isolated rail network and shall, if necessary, submit the appropriate legislative proposal. [Am. 102]

Article 20a

Registration of authorised vehicles

Before a vehicle is used for the first time, after authorisation in respect of it has been granted in accordance with Article 20, it shall be registered at the request of the keeper.

When the authorisation has been granted by the Agency, the vehicle shall be registered in the European Register in accordance with Article 43a.

When the area of use of the vehicle is restricted to the territory of one Member State and the authorisation has been granted by a national safety authority, it shall be registered in the national vehicle register of that Member State in accordance with Article 43. [Am. 103]

Article 21

Placing in service Use of vehicles [Am. 104]

1.  Railway undertakings shall place in service Before a railway undertaking uses a vehicle only after having checked, , in consultation with the infrastructure manager, the technical compatibility between the vehicle and the route and the safe integration of the vehicle into the system in which it is intended to operate, established on the basis of the relevant TSIs, national rules, registers, and the common in the area of use specified in the vehicle authorisation, it shall ensure, using its safety methods set out in Article 6 of Directive. management system: [Am. 105]

To this aim, vehicles shall first receive

(a)  that the vehicle authorisation for placing on the market has been authorised in accordance with Article 20 and is duly registered; [Am. 106]

(aa)  the technical compatibility between the vehicle and the route on the basis of the infrastructure register, the relevant TSIs and any other information to be provided by the infrastructure manager free of charge and within a reasonable period of time, where the infrastructure register does not exist or is incomplete; and [Am. 107]

(ab)  the integration of the vehicle into the composition of the train in which it is intended to operate, on the basis of safety management systems as set out in Article 9 of the Safety directive and the TSI on operation and management. [Am. 108]

1a.   In order to help the railway undertakings to check the technical compatibility and safe integration as between the vehicle and the route(s), the infrastructure manager shall, upon request, provide the railway undertakings with additional information relating to the characteristics of the route(s). [Am. 109]

2.  The railway undertaking shall communicate its decisions with respect to the placing in service operation of vehicles to the Agency, the infrastructure manager and the national safety authority concerned. These decisions shall be recorded in the national vehicle registers register referred to in Article 43 and in the European Register referred to in Article 43a. [Am. 110]

3.  In the event of renewal or upgrading of existing vehicles, a new 'EC' declaration of verification shall be needed as set out in Article 15(4). In addition, a new decision taken by the railway undertaking for placing in service of these vehicles shall be required when:

(a)  the overall safety level of the subsystem concerned may be adversely affected by the works envisaged, or

(b)  it is required by the relevant TSIs. [Am. 111]

Article 22

Authorisation to place vehicle types on the market Vehicle type authorisation [Am. 112]

1.  The Agency shall grant authorisations to place, or the national safety authorities during the transitional period referred to in Article 50a, shall grant vehicle types on the market type authorisations. [Am. 113]

The Agency and the national safety authorities shall provide detailed guidance on how to obtain the authorisation to place vehicle types on the market type authorisation. An application guidance document describing and explaining the requirements for the authorisation to place vehicle types on the market and listing the required documents shall be made available to applicants free of charge. The national safety authorities shall cooperate with the Agency in disseminating such information. [Am. 114]

2.  However, if a vehicle authorisation is issued by the Agency issues a or by the national safety authorities, the vehicle type authorisation for placing on the market, it shall shall be issued at the same time issue the authorisation to place the corresponding vehicle type on the market. [Am. 115]

3.  A vehicle which is in conformity with a vehicle type for which an authorisation to place the corresponding vehicle type on the market has been already issued shall, without further checks, receive a vehicle authorisation for placing on the market on the basis of a declaration of conformity to this type submitted by the applicant. [Am. 116]

4.  In the event of changes to any relevant provisions in TSIs or national rules, on the basis of which an a vehicle type authorisation to place a vehicle type on the market has been issued, the TSI or national rule shall determine whether the vehicle type authorisation to place that vehicle type on the market already granted remains valid or needs to be renewed. If that authorisation needs to be renewed, the checks performed by the Agency may only concern the changed rules. The renewal of the vehicle type authorisation to place a vehicle type on the market does not affect the vehicle authorisations for placing on the market already issued on the basis of the previous vehicle type authorisation to place that vehicle type on the market. [Am. 117]

5.  The declaration of conformity to type shall be established in accordance with Decision 2010/713/EU.

6.  The declaration of conformity to type shall be established in accordance with:

(a)  for TSI-conform vehicles, the verification procedures of the relevant TSIs;

(b)  for non-TSI-conform vehicles, the conformity assessment procedures as defined in modules B+D and B+F of Decision 768/2008/EC. Where appropriate, the Commission may adopt implementing acts establishing ad hoc modules for conformity assessment. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 48(3).

7.  The authorisation to place vehicle types on the market shall be registered in the European register of authorisations to place a vehicle types on the market referred to in Article 44.

Article 22a

Cooperation between the Agency and the national safety authorities

For the purposes of Articles 18, 20 and 22, the Agency may conclude cooperation agreements with national safety authorities in accordance with Article 69 of Regulation (EU) No .../... [Agency Regulation].

Such agreements may be specific or framework agreements, and may involve one or more national safety authorities. They shall contain a detailed description of tasks and conditions for deliverables and shall specify the time-limits applying to their delivery, as well as details of the apportionment of the fees paid by the applicant.

They may also include specific cooperation arrangements in the case of networks requiring specific expertise due to geographical, advanced ERTMS deployment or a different gauge, or for historical reasons, with a view to reducing the administrative burden and the costs to be borne by the applicant. Such agreements shall be in place before the Agency is entitled to receive applications in accordance with this Directive, and in any case by six months following the date of entry into force of this Directive.

The Commission shall be empowered to adopt delegated acts in accordance with Article 46 concerning such cooperation agreements. Those delegated acts shall be adopted at the latest six months following the date of entry into force of this Directive.

Five years after the conclusion of the first cooperation agreement, and every three years thereafter, the Commission shall present to the European Parliament and to the Council a report assessing the cooperation agreements concluded by the Agency. [Am. 118]

CHAPTER VI

NOTIFICATION OF CONFORMITY ASSESMENT BODIES

Article 23

Notification

Member States shall notify the Commission and the other Member States of bodies authorised to carry out third-party conformity assessment tasks under this Directive.

Article 24

Notifying authorities

1.  Member States shall designate a notifying authority that shall be responsible for setting up and carrying out the necessary procedures for the assessment and notification of conformity assessment bodies and the monitoring of notified conformity assessment bodies, including compliance with the provisions of Articles 27 to 29.

2.  Member States may decide that the assessment and monitoring referred to in paragraph 1 shall be carried out by a national accreditation body within the meaning of and in accordance with Regulation (EC) No 765/2008.

3.  Where the notifying authority delegates or otherwise entrusts the assessment, notification or monitoring referred to in paragraph 1 to a body which is not a governmental entity, that body shall be a legal entity and shall comply with the requirements laid down in Article 25. It shall put in place arrangements to cover liabilities arising out of its activities.

4.  The notifying authority shall take full responsibility for the tasks performed by the body referred to in paragraph 3.

Article 25

Requirements relating to notifying authorities

1.  A notifying authority shall be established in such a way that no conflict of interest with conformity assessment bodies occurs.

2.  A notifying authority shall be organised and operated so as to safeguard the objectivity and impartiality of its activities.

3.  A notifying authority shall be organised in such a way that each decision relating to notification of a conformity assessment body is taken by competent persons different from those who carried out the assessment.

4.  A notifying authority shall not offer or provide any activities that are performed by conformity assessment bodies or consultancy services on a commercial or competitive basis.

5.  A notifying authority shall safeguard the confidentiality of the information it obtains.

6.  A notifying authority shall have a sufficient number of competent personnel at its disposal for the proper performance of its tasks.

Article 26

Information obligation on notifying authorities

Member States shall inform the Commission of their procedures for the assessment and notification of conformity assessment bodies and the monitoring of notified bodies, and of any changes thereto.

The Commission shall make that information publicly available.

Article 27

Requirements relating to conformity assessment bodies

1.  For the purposes of notification, a conformity assessment body shall meet the requirements laid down in paragraphs 2 to 7 and in Articles 28 and 29. These requirements are also applicable to bodies designated by Member States pursuant to Article 13(4).

2.  A conformity assessment body shall be established under national law and have legal personality.

3.  A conformity assessment body shall be capable of carrying out all the conformity assessment tasks assigned to it by the relevant TSI and in relation to which it has been notified, whether those tasks are carried out by the conformity assessment body itself or on its behalf and under its responsibility.

At all times and for each conformity assessment procedure and each kind or category of products in relation to which it has been notified, a conformity assessment body shall have at its disposal:

(a)  the necessary personnel with technical knowledge and sufficient and appropriate experience to perform the conformity assessment tasks;

(b)  the relevant descriptions of procedures in accordance with which conformity assessment is carried out, ensuring the transparency and the ability of reproduction of those procedures. It shall have appropriate policies and procedures in place that distinguish between tasks it carries out as a notified conformity assessment body and other activities;

(c)  the proper procedures for the performance of activities which take due account of the size of an undertaking, the sector in which it operates, its structure, the degree of complexity of the product technology in question and the mass or serial nature of the production process.

It shall have the means necessary to perform the technical and administrative tasks connected with the conformity assessment activities in an appropriate manner and shall have access to all necessary equipment or facilities.

4.  Conformity assessment bodies shall take out liability insurance unless liability is assumed by the State in accordance with national law, or the Member State itself is directly responsible for the conformity assessment.

5.  The personnel of a conformity assessment body shall observe professional secrecy with regard to all information obtained in carrying out their tasks under the relevant TSI or any provision of national law giving effect to it, except in relation to the competent authorities of the Member State in which its activities are carried out. Proprietary rights shall be protected.

6.  Conformity assessment bodies shall participate in, or ensure that their assessment personnel are informed of, the relevant standardisation activities and the activities of the notified conformity assessment bodies coordination group established under the relevant Union's legislation and apply as general guidance the administrative decisions and documents produced as a result of the work of that group.

7.  Conformity assessment bodies shall participate in, or shall ensure that their assessment personnel are informed of, the activities of the ERTMS ad hoc working group set out in Article 25 of Regulation (EU) No …/… [Agency Regulation]. They shall follow the guidelines produced as a result of the work of that group. In case they consider it inappropriate or impossible to apply them, the conformity assessment bodies concerned shall submit their observations for discussion to the ERTMS ad hoc working group for the continuous improvement of the guidelines.

Article 28

Impartiality of conformity assessment bodies

1.  A conformity assessment body shall be a third-party body independent from the organisation or from the manufacturer of the product it assesses.

A body belonging to a business association or professional federation representing undertakings involved in the design, manufacturing, provision, assembly, use or maintenance of products which it assesses, may, on condition that its independence and the absence of any conflict of interest are demonstrated, be considered such a body.

2.  The impartiality of the conformity assessment bodies, their top level management and of the assessment personnel shall be guaranteed.

3.  A conformity assessment body, its top level management and the personnel responsible for carrying out the conformity assessment tasks shall not be the designer, manufacturer, supplier, installer, purchaser, owner, user or maintainer of the products which they assess, nor the authorised representative of any of those parties. This shall not preclude the use of assessed products that are necessary for the operations of the conformity assessment body or the use of such products for personal purposes.

4.  A conformity assessment body, its top level management and the personnel responsible for carrying out the conformity assessment tasks shall not be directly involved in the design, manufacture or construction, the marketing, installation, use or maintenance of those products, or represent the parties engaged in those activities. They shall not engage in any activity that may conflict with their independence of judgement or integrity in relation to conformity assessment activities for which they are notified. This shall in particular apply to consultancy services.

5.  Conformity assessment bodies shall ensure that the activities of their subsidiaries or subcontractors do not affect the confidentiality, objectivity or impartiality of their conformity assessment activities.

6.  Conformity assessment bodies and their personnel shall carry out the conformity assessment activities with the highest degree of professional integrity and the requisite technical competence in the specific field and shall be free from all pressures and inducements, particularly financial, which might influence their judgement or the results of their conformity assessment activities, especially as regards persons or groups of persons with an interest in the results of those activities.

Article 29

Personnel of conformity assessment bodies

1.  The personnel responsible for carrying out conformity assessment activities shall have the following skills:

(a)  sound technical and vocational training covering all the conformity assessment activities in relation to which the conformity assessment body has been notified, as well as training concerning accessibility issues; [Am. 119]

(b)  satisfactory knowledge of the requirements of the assessments they carry out and adequate authority to carry out those assessments;

(c)  appropriate knowledge and understanding of the essential requirements, of the applicable harmonised standards and of the relevant provisions of Union's legislation and of its implementing regulations;

(d)  the ability to draw up certificates, records and reports demonstrating that assessments have been carried out.

2.  The remuneration of the top level management and assessment personnel of a conformity assessment body shall not depend on the number of assessments carried out or on the results of those assessments.

Article 30

Presumption of conformity of a conformity assesment body

Where a conformity assessment body demonstrates its conformity with the criteria laid down in the relevant harmonised standards or parts thereof the references of which have been published in the Official Journal of the European Union, it shall be presumed to comply with the requirements set out in Articles 27 to 29, in so far as the applicable harmonised standards cover those requirements.

Article 31

Subsidiaries of and subcontracting by conformity asssessment bodies

1.  Where a notified conformity assessment body subcontracts specific tasks connected with conformity assessment or has recourse to a subsidiary, it shall ensure that the subcontractor or the subsidiary meets the requirements set out in Articles 27 to 29 and shall inform the notifying authority accordingly.

2.  Notified bodies shall take full responsibility for the tasks performed by subcontractors or subsidiaries wherever these are established.

3.  Activities of notified bodies may be subcontracted or carried out by a subsidiary only with the agreement of the client.

4.  Notified bodies shall keep at the disposal of the notifying authority the relevant documents concerning the assessment of the qualifications of the subcontractor or the subsidiary and the work carried out by them under the relevant TSI.

Article 32

Accredited in-house bodies

1.  The applicant undertaking may use an accredited in-house body to carry out conformity assessment activities for the purpose of implementing the procedures set out in modules A1, A2, C1 or C2 defined in Annex II to Decision 768/2008/EC and modules CA1 and CA2 defined in Annex I to Decision 2010/713/EC. That body shall constitute a separate and distinct part of the applicant undertaking and shall not participate in the design, production, supply, installation, use or maintenance of the products it assesses.

2.  An accredited in-house body shall meet the following requirements:

(a)  it shall be accredited in accordance with Regulation (EC) No 765/2008;

(b)  the body and its personnel shall be organisationally identifiable and have reporting methods within the undertaking of which they form a part which ensure their impartiality and demonstrate it to the relevant national accreditation body;

(c)  neither the body nor its personnel shall be responsible for the design, manufacture, supply, installation, operation or maintenance of the products they assess nor shall they engage in any activity that might conflict with their independence of judgment or integrity in relation to their assessment activities;

(d)  the body shall supply its services exclusively to the undertaking of which it forms a part.

3.  An accredited in-house body shall not be notified to the Member States or the Commission, but information concerning its accreditation shall be given by the undertaking of which it forms a part or by the national accreditation body to the notifying authority at the request of that authority.

Article 33

Application for notification

1.  A conformity assessment body shall submit an application for notification to the notifying authority of the Member State in which it is established.

2.  That application shall be accompanied by a description of the conformity assessment activities, the conformity assessment module or modules and the product or products for which that body claims to be competent, as well as by an accreditation certificate, where one exists, issued by a national accreditation body attesting that the conformity assessment body fulfils the requirements laid down in Articles 27 to 29.

3.  Where the conformity assessment body concerned cannot provide an accreditation certificate, it shall provide the notifying authority with all the documentary evidence necessary for the verification, recognition and regular monitoring of its compliance with the requirements laid down in Articles 27 to 29.

Article 34

Notification procedure

1.  Notifying authorities may notify only conformity assessment bodies which comply with the requirements laid down in Articles 27 to 29.

2.  They shall notify the Commission and the other Member States using the electronic notification tool developed and managed by the Commission.

3.  The notification shall include full details of the conformity assessment activities, the conformity assessment module or modules and product or products concerned and the relevant attestation of competence.

4.  Where a notification is not based on an accreditation certificate as referred to in Article 33(2), the notifying authority shall provide the Commission and the other Member States with documentary evidence which attests to the conformity assessment body’s competence and the arrangements in place to ensure that that body will be monitored regularly and will continue to satisfy the requirements laid down in Articles 27 to 29.

5.  The body concerned may perform the activities of a notified conformity assessment body only where no objections are raised by the Commission or the other Member States within two weeks of a notification where an accreditation certificate is used or within two months of a notification where accreditation is not used.

6.  The Commission and the other Member States shall be notified of any subsequent relevant changes to the notification.

Article 35

Identification numbers and lists of notified conformity assessment bodies

1.  The Commission shall assign an identification number to a notified conformity assessment body.

A notified conformity assessment body shall be assigned a single identification number even where it is notified under several Union acts.

2.  The Commission shall make publicly available the list of the bodies notified under this Directive, including the identification numbers that have been allocated to them and the activities for which they have been notified.

The Commission shall ensure that that list is kept up to date.

Article 36

Changes to notifications

1.  Where a notifying authority has ascertained or has been informed that a notified conformity assessment body no longer meets the requirements laid down in Articles 27 to 29, or that it is failing to fulfil its obligations, the notifying authority shall restrict, suspend or withdraw notification as appropriate, depending on the seriousness of the failure to meet those requirements or fulfil those obligations. It shall immediately inform the Commission and the other Member States accordingly.

2.  In the event of restriction, suspension or withdrawal of notification, or where the notified conformity assessment body has ceased its activity, the notifying Member State shall take appropriate steps to ensure that the files of that body are either processed by another notified conformity assessment body or kept available for the responsible notifying and market surveillance authorities at their request.

Article 37

Challenge of the competence of notified bodies

1.  The Commission shall investigate all cases where it doubts, or doubt is brought to its attention, regarding the competence of a notified conformity assessment body or the continued fulfilment by a notified conformity assessment body of the requirements and responsibilities to which it is subject.

2.  The notifying Member State shall provide the Commission, on request, with all information relating to the basis for the notification or the maintenance of the competence of the body concerned.

3.  The Commission shall ensure that all sensitive information obtained in the course of its investigations is treated confidentially.

4.  Where the Commission ascertains that a notified conformity assessment body does not meet or no longer meets the requirements for its notification, it shall inform the notifying Member State accordingly and request it to take the necessary corrective measures, including withdrawal of notification if necessary.

Article 38

Operational obligations of notified bodies

1.  Notified bodies shall carry out conformity assessments in accordance with the conformity assessment procedures provided for in the relevant TSI.

2.  Conformity assessments shall be carried out in a proportionate manner, avoiding unnecessary burdens for economic operators. Conformity assessment bodies shall perform their activities taking due account of the size of an undertaking, the sector in which it operates, its structure, the degree of complexity of the product technology in question and the mass or serial nature of the production process.

In so doing they shall nevertheless operate with the aim of assessing the compliance of the product with the provisions of this Directive.

3.  Where a notified conformity assessment body finds that requirements laid down in the relevant TSI or corresponding harmonised standards or technical specifications have not been met by a manufacturer, it shall require that manufacturer to take appropriate corrective measures and shall not issue a conformity certificate.

4.  Where, in the course of the monitoring of conformity following the issue of a certificate, a notified conformity assessment body finds that a product no longer complies with the relevant TSI or corresponding harmonised standards or technical specifications, it shall require the manufacturer to take appropriate corrective measures and shall suspend or withdraw the certificate if necessary.

5.  Where corrective measures are not taken or do not have the required effect, the notified conformity assessment body shall restrict, suspend or withdraw any certificates, as appropriate.

Article 39

Information obligation on notified bodies

1.  Notified bodies shall inform the notifying authority of the following:

(a)  any refusal, restriction, suspension or withdrawal of a certificate;

(b)  any circumstances affecting the scope of and conditions for notification;

(c)  any request for information which they have received from market surveillance authorities regarding conformity assessment activities;

(d)  on request, conformity assessment activities performed within the scope of their notification and any other activity performed, including cross-border activities and subcontracting.

2.  Notified bodies shall provide the other bodies notified under this Directive carrying out similar conformity assessment activities covering the same products with relevant information on issues relating to negative and, on request, positive conformity assessment results.

3.  Notified bodies shall provide to the Agency the EC certificates of verification of subsystems, the EC certificates of conformity of interoperability constituents and the EC certificates of suitability of use of interoperability constituents.

Article 40

Exchange of experience

The Commission shall provide for the organisation of exchange of experience between the Member States’ national authorities responsible for notification policy.

Article 41

Coordination of notified bodies

The Commission shall ensure that appropriate coordination and cooperation between bodies notified under this Directive are put in place and properly operated in the form of a sectoral group of notified bodies. The Agency shall support the activities of notified bodies in accordance with Article 20 of Regulation (EU) No …/… [Agency Regulation].

Member States shall ensure that the bodies notified by them participate in the work of that group, directly or by means of designated representatives.

CHAPTER VII

REGISTERS

Article 42

Vehicle numbering system

1.  Any vehicle placed in service in the Union's rail system shall carry a European vehicle number (EVN) assigned by the national safety authority competent for the relevant territory before the first placing in service Agency at the time of issuing the vehicle authorisation. [Am. 120]

2.  The railway undertaking operating a vehicle shall ensure the vehicle is marked with the assigned EVN and shall be responsible for ensuring that the vehicle is properly registered. [Am. 121]

3.  The EVN is specified in Commission Decision 2007/756/EC(20).

4.  A vehicle shall be assigned an EVN only once, unless otherwise specified in Decision 2007/756/EC.

5.  Notwithstanding paragraph 1, in the case of vehicles operated or intended to be operated from or to third countries the track gauge of which is different from that of the main rail network within the Union, Member States may accept vehicles clearly identified according to a different coding system.

Article 43

National vehicle registers

1.  Each Member State shall keep a register of the vehicles placed in service in its territory. This register shall meet the following criteria:

(a)  it shall comply with the common specifications referred to in paragraph 2;

(b)  it shall be kept updated by a body independent of any railway undertaking;

(c)  it shall be accessible to the national safety authorities and investigating bodies designated in Articles 16 and 21 of Directive […/… on the safety of the rail system within the Union]; it shall also be made accessible, in response to any legitimate request, to the regulatory bodies designated in Articles 55 and 56 of Directive 2012/34/EU of the European Parliament and of the Council of 21 November 2012 establishing a single European railway area(21) and to the Agency, the railway undertakings and the infrastructure managers, as well as those persons or organisations registering vehicles or identified in the register public. [Am. 122]

2.  The Commission shall adopt common specifications on content, data format, functional and technical architecture, operating mode, including arrangements for the exchange of data, and rules for data input and consultation for the national vehicle registers by means of implementing acts. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 48(3).

2a.  For each vehicle, the register shall contain at least the following information:

(a)  the EVN;

(b)  references to the declaration of verification and the issuing body;

(c)  identification of the keeper and the owner of the vehicle;

(d)  restrictions on how the vehicle may be used;

(e)  the entity in charge of maintenance. [Am. 123]

3.  The registration holder shall immediately declare any modification to the data entered in the national vehicle register, the destruction of a vehicle or its decision to no longer register a vehicle, to the national safety authority of any Member State where the vehicle has been placed in service used. [Am. 124]

4.  As long as Member States’ national vehicle registers are not linked, Each Member State shall update its register with the modifications made by another Member State in its own register, as regards the data with which it is concerned. [Am. 125]

5.  In the case of vehicles placed in service for the first time in a third country and subsequently placed in service used in a Member State, that Member State shall ensure that the vehicle data can be retrieved through the national vehicle register or through provisions of an international agreement. [Am. 126]

5a.  The national vehicle registers shall be incorporated in the European vehicle register after the end of the transitional period referred to in Article 50a, except in cases referred to in Article 20(9a) under the conditions laid down in that Article. The Commission shall establish, by means of implementing acts, the format type document. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 48(3). [Am. 127]

Article 43a

European vehicle register

1.  The Agency shall keep a register of the vehicles placed in service in the Union. That register shall meet the following criteria:

(a)  it shall comply with the common specifications referred to in paragraph 2.

(b)  it shall be kept updated by the Agency;

(c)  it shall be public.

2.  The Commission shall adopt common specifications on content, data format, functional and technical architecture, operating mode, including arrangements for the exchange of data, and rules for data input and consultation for the European vehicle registers by means of implementing acts. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 48(3).

3.  The registration holder shall immediately declare to the Agency any modification to the data entered in the European vehicle register, the destruction of a vehicle or its decision to no longer register a vehicle.

4.  For each vehicle, the register shall contain at least the following information:

(a)  the EVN;

(b)  references to the 'EC' declaration of verification and the issuing body;

(c)  references to the European register of authorised types of vehicles referred to in Article 44;

(d)  identification of the keeper and the owner of the vehicle;

(e)  restrictions on how the vehicle may be used;

(f)  the entity in charge of maintenance.

Whenever the Agency issues, renews, amends, suspends or revokes a vehicle authorisation, it shall update the register without delay.

5.  In the case of vehicles used for the first time in a third country and subsequently used in a Member State, that Member State shall ensure that the vehicle data, including, as a minimum, data relating to the vehicle keeper, the entity in charge of maintenance and the restrictions on how the vehicle may be used, can be retrieved through the European vehicle register or through provisions of an international agreement. [Am. 128]

Article 44

European register of authorisation to place vehicle types on the market

1.  The Agency shall set up and keep a register of authorisations to place vehicle types on the market issued in accordance with Article 22. This register shall meet the following criteria:

(a)  it shall be public and electronically accessible;

(b)  it shall comply with the common specifications referred to in paragraph 3.

(c)  it shall be linked with all national vehicle registers. [Am. 129]

2.  The Commission shall adopt common specifications relating to content, data format, functional and technical architecture, operating mode and rules for data input and consultation for the register of authorisations to place vehicle types on the market by means of implementing acts. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 48(3).

2a.  That register shall include at least the following details for each type of vehicle:

(a)  the technical characteristics of the type of vehicle, as defined in the relevant TSI;

(b)  the manufacturer's name;

(c)  the dates and references of the successive authorisations for that type of vehicle, including any restrictions or withdrawals;

(d)  design features intended for persons with reduced mobility and persons with disabilities;

(e)  identification of the owner and the keeper of the vehicle;

When the Agency issues, renews, amends, suspends or revokes an authorisation to place vehicle types in service, it shall update the register without delay. [Am. 130]

Article 45

Register of infrastructure

1.  Each Member State shall publish ensure that a register of infrastructure is published stating the values of the network parameters of each subsystem or part of subsystem concerned. [Am. 131]

2.  The values of the parameters recorded in the register of infrastructure shall be used in combination with the values of the parameters recorded in the vehicle authorisation for placing on the market to check the technical compatibility between vehicle and network.

3.  The register of infrastructure may stipulate conditions for the use of fixed installations and other restrictions, including temporary restrictions which are to apply for longer than six months. [Am. 132]

4.  Each Member State shall update ensure that the register of infrastructure is updated in accordance with Commission Implementing Decision 2011/633/EU(22). [Am. 133]

5.  Other registers, such as a register on accessibility, may for persons with disabilities and persons with reduced mobility, shall also be associated to the register of infrastructure. [Am. 134]

6.  The Commissionshall adopt common specifications relating to content, data format, functional and technical architecture, operating mode and rules for data input and consultation for the register of infrastructure by means of implementing acts. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 48(3)

CHAPTER VIII

TRANSITIONAL AND FINAL PROVISIONS

Article 46

Exercise of delegation

1.  The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article.

2.  The power to adopt delegated acts referred to in Articles 4(2), 5(10), 8(2), 15(7a), 20(7) and 22a(4) shall be conferred on the Commission for an indeterminate a period of time five years from the date of entry into force of this Directive.

The Commission shall draw up a report in respect of the delegation of power not later than nine months before the end of the five-year period. The delegation of power shall be tacitly extended for periods of an identical duration, unless the European Parliament or the Council opposes such extension not later than three months before the end of each period. [Am. 135]

3.  The delegation of power referred to in Articles 4(2), 5(10), 8(2), 15(7a), 20(7) and 22a(4) may be revoked at any time by the European Parliament or by the Council. A decision of revocation shall put an end to the delegation of the power specified in that decision. It shall take effect the day following the publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.

4.  As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council.

5.  A delegated act adopted pursuant to Articles 4(2), 5(10), 8(2), 15(7a), 20(7) and 22a(4) shall enter into force only if no objection has been expressed either by the European Parliament or the Council within a period of two months of notification of that act to the European Parliament and the Council or if, before the expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. That period shall be extended by two months at the initiative of the European Parliament or of the Council.

Article 47

Urgency procedure

1.  Delegated acts adopted under this Article shall enter into force without delay and shall apply as long as no objection is expressed in accordance with paragraph 2. The notification of a delegated act to the European Parliament and to the Council shall state the reasons for the use of the urgency procedure.

2.  Either the European Parliament or the Council may object to a delegated act in accordance with the procedure referred to in Article 46(5). In such a case, the Commission shall repeal the act without delay following the notification of the decision to object by the European Parliament or the Council.

Article 48

Committee procedure

1.  The Commission shall be assisted by the committee established by Article 21 of Council Directive 96/48/EC(23). That committee shall be a committee within the meaning of Regulation (EU) No 182/2011.

2.  Where reference is made to this paragraph, Article 4 of Regulation (EU) No 182/2011 shall apply.

3.  Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.

4.  Where reference is made to this paragraph, Article 8 of Regulation (EU) No 182/2011 shall apply.

Article 49

Motivation

Any decision taken pursuant to this Directive concerning the assessment of conformity or suitability for use of interoperability constituents, the checking of subsystems constituting the rail system or any decision taken pursuant to Articles 6, 11 and 16 shall set out in detail the reasons on which it is based. It shall be notified as soon as possible to the party concerned, together with an indication of the remedies available under the law in force in the Member State concerned and of the time limits allowed for the exercise of such remedies.

Article 49a

Penalties

The Commission shall be empowered to adopt delegated acts in accordance with Article 46 in order to establish rules on penalties for failure to comply with the deadlines set in this Regulation for the adoption of decisions by the Agency. It shall also establish a compensation scheme for cases in which the Board of Appeal provided for in Regulation (EU) No …/… [Agency Regulation] finds in favour of the addressee of an Agency decision. The penalties and the compensation scheme must be effective, proportionate, non-discriminatory and dissuasive. [Am. 136]

Article 50

Reports and information

1.  Every three years and for the first time three two years after the publication of this Directive, the Commission shall report to the European Parliament and the Council on the progress made towards achieving interoperability of the rail system. That report shall also include an analysis of the cases set out in Article 7 and of the application of Chapter V. On the basis of the findings of the report, the Commission shall propose improvements and measures to strengthen the Agency’s role in implementing interoperability. [Am. 137]

1a.  Two years after the publication of this Directive and after consultation with the various agents involved, the Commission shall submit to the European Parliament and the Council a report on the functioning of the Agency and the progress made by it in carrying out its new responsibilities. [Am. 138]

2.  The Agency shall develop and regularly update a tool capable of providing, at the request of a Member State, the European Parliament or the Commission, an overview of the interoperability level of the rail system. That tool shall use the information included in the registers provided for in Chapter VII. [Am. 139]

Article 50a

Transitional regime

Without prejudice to Article 20(9a), as from four years after the entry into force of this Directive, the vehicle authorisations referred to in Articles 20 and 22 shall be granted by the Agency. During that transitional period, a vehicle authorisation may be granted by the Agency or by the national safety authority, at the option of the applicant.

The Agency shall have the necessary organisational capacity and expertise to perform all of its functions pursuant to Articles 18, 20 and 22 at the latest four years after the entry into force of this Directive.

In order to fulfil its obligations, the Agency may conclude cooperation agreements with national safety authorities in accordance with Article 22a. [Am. 140]

Article 51

Transitional regime for placing in service of vehicles

1.  Member States may continue to apply the provisions set out in Chapter V of Directive 2008/57/EC until [two years one year after the date of entry into force] [Am. 141]

2.  Authorisations for placing in service of vehicles which have been granted pursuant to paragraph 1, including authorisations delivered under international agreements, in particular RIC (Regolamento Internazionale Carrozze) and RIV (Regolamento Internazionale Veicoli), shall remain valid in accordance with the conditions under which the authorisations have been granted.

3.  Vehicles authorised for placing in service pursuant to paragraphs 1 and 2, have to receive a vehicle authorisation for placing on the market in order to operate on one or more networks not covered by their authorisation. The placing in service on these additional networks is subject to the provisions of Article 21.

Article 52

Other transitional provisions

Annexes IV, V, VI, VII and IX to Directive 2008/57/EC shall apply until the date of application of the corresponding delegated acts referred to in Articles 8(2) and 15(7a), and of the implementing acts referred to in Articles 8(2), 14(8), 15(7) and 7(3), of this Directive. [Am. 142]

Article 53

Recommendations and opinions and of the Agency

The Agency shall provide recommendations and opinions in accordance with Article 15 of Regulation (EU) No …/… [Agency Regulation] for the purpose of application of this Directive. These recommendations and opinions will serve as basis for any Union measure adopted pursuant this Directive.

Article 54

Transposition

1.  Member States shall bring into force the laws, regulations and administrative provisions necessary to comply with Article 1, Article 2, Article 7(1) to (4), Article 11(1), Article 13, Article 14(1) to (7), Article 15(1) to (6), Articles 17 to 21, Article 22(3) to (7), Articles 23 to 36, Article 37(2), Article 38, Article 39, Articles 41 to 43, Article 45(1) to (5), Article 51, and Annexes I to III by [two years one year after the date of entry into force] at the latest. They shall forthwith communicate to the Commission the text of those measures and a correlation table between those measures and this Directive. The correlation tables are needed to enable all actors concerned to clearly identify the relevant provisions applicable at national level for the implementation of this Directive. [Am. 143]

When Member States adopt those measures, they shall contain a reference to this Directive or be accompanied by such a reference at the time of their official publication. They shall also include a statement that references in existing laws, regulations and administrative provisions to the Directives repealed by this Directive shall be construed as references to this Directive. Member States shall determine how such reference is to be made and how that statement is to be formulated.

2.  Member States shall communicate to the Commission the text of the main provisions of national law which they adopt in the field covered by this Directive.

3.  The obligation to transpose and implement Article 13, Article 14(1) to (7), Article 15(1) to (6), Articles 17 to 21, Article 42, Article 43, Article 45(1) to (5) and Article 51 of this Directive shall not apply to the Republic of Cyprus and the Republic of Malta for as long as no rail system is established within their territory.

However, as soon as a public or private entity submits an official application to build a railway line in view of its operation by one or more railway undertakings, the Member States concerned shall put in place legislation to implement the Articles referred to in the first subparagraph within one year from the receipt of the application.

Article 55

Repeal

Directive 2008/57/EC, as amended by the Directives listed in Annex IV, Part A, is repealed with effect from [two years one year after the date of entry into force], without prejudice to the obligations of the Member States relating to the time limits for the transposition into national law of the Directives set out in Annex IV, Part B. [Am. 144]

References to the repealed Directive shall be construed as references to this Directive and shall be read in accordance with the correlation table in Annex V.

Article 56

Entry into force

This Directive shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.

Articles 3 to 10, Article 11(2), (3) and (4), Article 12, Article 16, shall apply from [two years after the date of entry into force].

Article 57

Addressees

This Directive is addressed to the Member States.

Done at ...

For the European Parliament For the Council

The President The President

ANNEX I

Elements of Union rail system

1.  Network

For the purposes of this Directive, the Union's Union network shall include the following elements of the high-speed network as defined in points (a), (b) and (c) and the conventional network as defined in points (d) to (i):

(a)   specially built high-speed lines equipped for speeds generally equal to or greater than 250 km/h, while enabling speeds of over 300 km/h to be reached in appropriate circumstances,

(b)   specially upgraded high-speed lines equipped for speeds of the order of 200 km/h,

(c)   specially upgraded high-speed lines which have special features as a result of topographical, relief or town-planning constraints, to which the speed must be adapted in each case. This category includes interconnecting lines between high-speed and conventional networks, lines through stations, accesses to terminals, depots, etc. travelled at conventional speed by ‘high-speed’ rolling stock,

(d)   conventional lines intended for passenger services,

(e)   conventional lines intended for mixed traffic (passengers and freight),

(f)   conventional lines intended for freight services,

(g)   passenger hubs,

(h)   freight hubs, including intermodal terminals,

(i)   lines connecting the abovementioned elements. [Am. 145]

This network includes traffic management, tracking and navigation systems, technical installations for data processing and telecommunications intended for long-distance passenger services and freight services on the network in order to guarantee the safe and harmonious operation of the network and efficient traffic management.

2.  Vehicles

For the purposes of this Directive, Union vehicles shall comprise all vehicles likely to travel on all or part of the Union’s network, including:

–  locomotives and passenger rolling stock, including thermal or electric traction units, self-propelling thermal or electric passenger trains, passenger coaches;

–  vehicles designed to travel at speeds of at least 250 km/h on lines specially built for high speeds, while enabling speeds exceeding 300 km/h to be reached in appropriate circumstances;

–  vehicles designed to travel at speeds of the order of 200 km/h on high-speed lines or on lines specially built or specially upgraded for high speeds, where they are compatible with the possibilities offered by those lines.

In addition, vehicles designed to operate with a maximum speed lower than 200 km/h which are likely to travel on all or part of the trans-European high-speed network, where compatible with the performance levels of that network, shall fulfil the requirements ensuring safe operation on that network. To that end, the TSIs for conventional vehicles shall also specify requirements for safe operation of conventional vehicles on high-speed networks. [Am. 146]

–  freight wagons, including low-deck vehicles designed for the entire network and vehicles designed to carry lorries; [Am. 147]

–  special vehicles, such as on track machines.

Each of the above categories may be subdivided into:

–  vehicles for international use;

–  vehicles for national use.

The TSIs shall specify the requirements to ensure the safe operation of these vehicles on different categories of line.

ANNEX II

SUBSYSTEMS

1.  List of subsystems

For the purposes of this Directive, the system constituting the rail system may be broken down into the following subsystems, either:

(a)  structural areas:

–  infrastructure,

–  energy,

–  trackside control-command and signalling,

–  on-board control-command and signalling,

–  rolling stock;

(b)  functional areas:

–  operation and traffic management,

–  maintenance,

–  telematics applications for passenger and freight services.

2.  Description of the subsystems

For each subsystem or part of a subsystem, the list of constituents and aspects relating to interoperability is proposed by the Agency at the time of drawing up the relevant draft TSI. Without prejudging the choice of aspects and constituents relating to interoperability or the order in which they will be made subject to TSIs, the subsystems include the following:

2.1.  Infrastructure

The track, points, engineering structures (bridges, tunnels, etc.), rail-related station components (including entrances, platforms, zones of access, service venues, toilets and information systems, as well as their accessibility features for persons with reduced mobility and persons with disabilities), safety and protective equipment.

2.2.  Energy

The electrification system, including overhead lines and the trackside of the electricity consumption measuring system.

2.3.  Trackside control-command and signalling

All the trackside equipment required to ensure safety and to command and control movements of trains authorised to travel on the network.

2.4.  On-board control-command and signalling

All the on-board equipment required to ensure safety and to command and control movements of trains authorised to travel on the network.

2.5.  Operation and traffic management

The procedures and related equipment enabling coherent operation of the various structural subsystems, during both normal and degraded operation, including in particular train composition and train driving, traffic planning and management.

The professional qualifications which may be required for carrying out any type of railway service.

2.6.  Telematics applications

In accordance with Annex I, this subsystem comprises two elements:

(a)  applications for passenger services, including systems which provide passengers with information before and during the journey, reservation and payment systems, luggage management and management of connections between trains and with other modes of transport;

(b)  applications for freight services, including information systems (real-time monitoring of freight and trains), marshalling and allocation systems, reservation, payment and invoicing systems, management of connections with other modes of transport and production of electronic accompanying documents.

2.7.  Rolling stock

Structure, command and control system for all train equipment, electric current collection devices, traction and energy conversion units, on-board equipment for electricity consumption measuring, braking, coupling and running gear (bogies, axles, etc.) and suspension, doors, man/machine interfaces (driver, on-board staff and passengers, including accessibility features for persons with reduced mobility and persons with disabilities ), passive or active safety devices and requisites for the health of passengers and on-board staff.

2.8.  Maintenance

The procedures, associated equipment, logistics centres for maintenance work and reserves providing the mandatory corrective and preventive maintenance to ensure the interoperability of the rail system and guarantee the performance required.

ANNEX III

ESSENTIAL REQUIREMENTS

1.  General requirements

1.1.  Safety

1.1.1.  The design, construction or assembly, maintenance and monitoring of safety-critical components, and more particularly of the components involved in train movements must be such as to guarantee safety at the level corresponding to the aims laid down for the network, including those for specific degraded situations.

1.1.2.  The parameters involved in the wheel/rail contact must meet the stability requirements needed in order to guarantee safe movement at the maximum authorised speed. The parameters of brake equipment must guarantee that it is possible to stop within a given brake distance at the maximum authorised speed.

1.1.3.  The components used must withstand any normal or exceptional stresses that have been specified during their period in service. The safety repercussions of any accidental failures must be limited by appropriate means.

1.1.4.  The design of fixed installations and rolling stock and the choice of the materials used must be aimed at limiting the generation, propagation and effects of fire and smoke in the event of a fire.

1.1.5.  Any devices intended to be handled by users must be so designed as not to impair the safe operation of the devices or the health and safety of users if used in a foreseeable manner, albeit not in accordance with the posted instructions.

1.2.  Reliability and availability

The monitoring and maintenance of fixed or movable components that are involved in train movements must be organised, carried out and quantified in such a manner as to maintain their operation under the intended conditions.

1.3.  Health

1.3.1.  Materials likely, by virtue of the way they are used, to constitute a health hazard to those having access to them must not be used in trains and railway infrastructures.

1.3.2.  Those materials must be selected, deployed and used in such a way as to restrict the emission of harmful and dangerous fumes or gases, particularly in the event of fire.

1.4.  Environmental protection

1.4.1.  The environmental impact of establishment and operation of the rail system must be assessed and taken into account at the design stage of the system in accordance with the Union provisions in force.

1.4.2.  The materials used in the trains and infrastructures must prevent the emission of fumes or gases which are harmful and dangerous to the environment, particularly in the event of fire.

1.4.3.  The rolling stock and energy-supply systems must be designed and manufactured in such a way as to be electromagnetically compatible with the installations, equipment and public or private networks with which they might interfere.

1.4.4.  Operation of the rail system must respect existing regulations on noise pollution.

1.4.5.  Operation of the rail system must not give rise to an inadmissible level of ground vibrations for the activities and areas close to the infrastructure and in a normal state of maintenance.

1.5.  Technical compatibility

The technical characteristics of the infrastructure and fixed installations must be compatible with each other and with those of the trains to be used on the rail system.

If compliance with these characteristics proves difficult on certain sections of the network, temporary solutions, which ensure compatibility in the future, may be implemented.

2.  Requirements specific to each subsystem

2.1.  Infrastructure

2.1.1.  Safety

Appropriate steps must be taken to prevent access to or undesirable intrusions into installations.

Steps must be taken to limit the dangers to which persons are exposed, particularly when trains pass through stations.

Infrastructure to which the public has access must be designed and made in such a way as to limit any human safety hazards (stability, fire, access, evacuation, platforms, etc.).

Appropriate provisions must be laid down to take account of the particular safety conditions in very long tunnels and viaducts.

2.2.  Energy

2.2.1.  Safety

Operation of the energy-supply systems must not impair the safety either of trains or of persons (users, operating staff, trackside dwellers and third parties).

2.2.2.  Environmental protection

The functioning of the electrical or thermal energy-supply systems must not interfere with the environment beyond the specified limits.

2.2.3.  Technical compatibility

The electricity/thermal energy supply systems used must:

–  enable trains to achieve the specified performance levels,

–  in the case of electricity energy supply systems, be compatible with the collection devices fitted to the trains.

2.3.  Control-command and signalling

2.3.1.  Safety

The control-command and signalling installations and procedures used must enable trains to travel with a level of safety which corresponds to the objectives set for the network. The control-command and signalling systems should continue to provide for safe passage of trains permitted to run under degraded conditions.

2.3.2.  Technical compatibility

All new infrastructure and all new rolling stock manufactured or developed after adoption of compatible control-command and signalling systems must be tailored to the use of those systems.

The control-command and signalling equipment installed in the train drivers’ cabs must permit normal operation, under the specified conditions, throughout the rail system.

2.4.  Rolling stock

2.4.1.  Safety

The rolling-stock structures and those of the links between vehicles must be designed in such a way as to protect the passenger and driving compartments in the event of collision or derailment.

The electrical equipment must not impair the safety and functioning of the control-command and signalling installations.

The braking techniques and the stresses exerted must be compatible with the design of the tracks, engineering structures and signalling systems.

Steps must be taken to prevent access to electrically-live constituents in order not to endanger the safety of persons.

In the event of danger devices must enable passengers to inform the driver and/or conductor and to request accompanying staff to contact him or them. [Am. 148]

It must be possible to board and alight from trains safely. The access doors must incorporate an opening and closing system which guarantees mechanisms for the doors, the platform gap width and the arrangements for making trains ready for departure must guarantee passenger safety. Trains must be designed in such a way that passengers cannot be trapped. [Am. 149]

Emergency exits must be provided and indicated.

Appropriate provisions must be laid down to take account of the particular safety conditions in very long tunnels.

An emergency lighting system having a sufficient intensity and duration is an absolute requirement on board trains.

Trains must be equipped with a public address system which provides a means of communication to the public from on-board staff and/or drivers. [Am. 150]

Passengers must be given easily understandable, comprehensive information about rules applicable both in railway stations and in trains (no-entry points, entrances and exits, instructions concerning conduct, access for persons with reduced mobility, what markings mean, hazard areas, etc.). [Am. 151]

2.4.2.  Reliability and availability

The design of the vital equipment and the running, traction and braking equipment and also the control and command system must, in a specific degraded situation, be such as to enable the train to continue without adverse consequences for the equipment remaining in service.

2.4.3.  Technical compatibility

The electrical equipment must be compatible with the operation of the control-command and signalling installations.

In the case of electric traction, the characteristics of the current-collection devices must be such as to enable trains to travel under the energy-supply systems for the rail system.

The characteristics of the rolling stock must be such as to allow it to travel on any line on which it is expected to operate, taking account of relevant climatic conditions and topography. [Am. 152]

2.4.4.  Controls

Trains must be equipped with a recording device. The data collected by this device and the processing of the information must be harmonised.

2.5.  Maintenance

2.5.1.  Health and safety

The technical installations and the procedures used in the centres must ensure the safe operation of the subsystem and not constitute a danger to health and safety.

2.5.2.  Environmental protection

The technical installations and the procedures used in the maintenance centres must not exceed the permissible levels of nuisance with regard to the surrounding environment.

2.5.3.  Technical compatibility

The maintenance installations for rolling stock must be such as to enable safety, health and comfort operations to be carried out on all stock for which they have been designed.

2.6.  Operation and traffic management

2.6.1.  Safety

Alignment of the network operating rules and the qualifications of drivers, rolling-stock inspectors, movement controllers and on-board staff and of the staff in the control centres must be such as to ensure safe operation, bearing in mind the different requirements of cross-border and domestic services. Efforts must be made to ensure, across the Union, a high level of training with advanced qualifications. [Am. 153]

The maintenance operations and intervals, the training and qualifications of the maintenance and control centre staff and the quality assurance system set up by the operators concerned in the control and maintenance centres must be such as to ensure a high level of safety.

2.6.2.  Reliability and availability

The maintenance operations and periods, the training and qualifications of the maintenance and control centre staff and the quality assurance system set up by the operators concerned in the control and maintenance centres must be such as to ensure a high level of system reliability and availability.

2.6.3.  Technical compatibility

Alignment of the network operating rules and the qualifications of drivers, on-board staff and traffic managers must be such as to ensure operating efficiency on the rail system, bearing in mind the different requirements of cross-border and domestic services.

2.7.  Telematics applications for freight and passengers

2.7.1.  Technical compatibility

The essential requirements for telematics applications guarantee a minimum quality of service for passengers and carriers of goods, particularly in terms of technical compatibility.

Steps must be taken to ensure:

–  that the databases, software and data communication protocols are developed in a manner allowing maximum data interchange between different applications and operators, excluding confidential commercial data,

–  easy access to the information for users.

2.7.2.  Reliability and availability

The methods of use, management, updating and maintenance of these databases, software and data communication protocols must guarantee the efficiency of these systems and the quality of the service.

2.7.3.  Health

The interfaces between these systems and users must comply with the minimum rules on ergonomics and health protection.

2.7.4.  Safety

Suitable levels of integrity and dependability must be provided for the storage or transmission of safety-related information.

ANNEX IV

PART A

Repealed Directives

with list of the successive amendments thereto

(referred to in Article 55)

PART B

Time limits for transposition into national law

(referred to in Article 55)

ANNEX V

CORRELATION TABLE

(1) OJ C 327, 12.11.2013, p. 122. (2) OJ C 356, 5.12.2013, p. 92. (3) OJ C 77, 28.3.2002, p. 1. (4) OJ C 327, 12.11.2013, p. 122. (5) OJ C 356, 5.12.2013, p. 92. (6) Position of the European Parliament of 26 February 2014. (7) Directive 2008/57/EC of the European Parliament and of the Council of 17 June 2008 on the interoperability of the rail system within the Community (OJ L 191, 18.7.2008, p. 1). (8) Regulation (EU) No 1025/2012 of the European Parliament and of the Council of 25 October 2012 on European standardisation, amending Council Directives 89/686/EEC and 93/15/EEC and Directives 94/9/EC, 94/25/EC, 95/16/EC, 97/23/EC, 98/34/EC, 2004/22/EC, 2007/23/EC, 2009/23/EC and 2009/105/EC of the European Parliament and of the Council and repealing Council Decision 87/95/EEC and Decision No 1673/2006/EC of the European Parliament and of the Council (OJ L 316, 14.11.2012, p. 12). (9) Directive 2004/17/EC of the European Parliament and of the Council of 31 March 2004 coordinating the procurement procedures of entities operating in the water, energy, transport and postal services sectors (OJ L 134, 30.4.2004, p. 1). (10) Commission Decision 2010/713/EU of 9 November 2010 on modules for the procedures for assessment of conformity, suitability for use and EC verification to be used in the technical specifications for interoperability adopted under Directive 2008/57/EC of the European Parliament and of the Council (OJ L 319, 4.12.2010, p. 1). (11) Directive …/…/EU of the European Parliament and of the Council of … (OJ L ...). (12) Decision No 768/2008/EC of the European Parliament and of the Council of 9 July 2008 on a common framework for the marketing of products, and repealing Council Decision 93/465/EEC (OJ L 218, 13.8.2008, p. 82). (13) Regulation (EC) No 765/2008 of the European Parliament and of the Council of 9 July 2008 setting out the requirements for accreditation and market surveillance relating to the marketing of products and repealing Regulation (EEC) No 339/93 (OJ L 218, 13.8.2008, p. 30). (14) Regulation (EU) No 182/2011 of the European Parliament and of the Council of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by Member States of the Commission's exercise of implementing powers (OJ L 55, 28.2.2011, p. 13). (15) Directive …/…/EU of the European Parliament and of the Council of … [establishing a single European railway area] (OJ L …). (16) Regulation (EU) No .../… of the European Parliament and of the Council of ... on the European Union Agency for Railways and repealing Regulation (EC) No 881/2004 (OJ L ...). (17) Commission Decision 98/500/EC of 20 May 1998 on the establishment of Sectoral Dialogue Committees promoting the Dialogue between the social partners at European level (OJ L 225, 12.8.1998, p. 27). (18) Directive 98/34/EC of the European Parliament and of the Council of 22 June 1998 laying down a procedure for the provision of information in the field of technical standards and regulations (OJ L 204, 21.7.1998, p. 37). (19) Directive 2012/34/EU of the European Parliament and of the Council of 21 November 2012 establishing a single European railway area (OJ L 343, 14.12.2012, p. 32). (20) Commission Decision 2007/756/EC of 9 November 2007 adopting a common specification of the national vehicle register provided for under Articles 14(4) and (5) of Directives 96/48/EC and 2001/16/EC (OJ L 305, 23.11.2007, p. 30). (21) OJ L 343, 14.12.2012, p. 32. (22) Commission Implementing Decision 2011/633/EU of 15 September 2011 on the common specifications of the register of railway infrastructure (OJ L 256, 1.10.2011, p. 1). (23) Council Directive 96/48/EC of 23 July 1996 on the interoperability of the trans-European high-speed rail system (OJ L 235, 17.9.1996, p. 6).

European Parliament legislative resolution of 26 February 2014 on the proposal for a directive of the European Parliament and of the Council on railway safety (recast) (COM(2013)0031 – C7-0028/2013 – 2013/0016(COD))

P7_TA(2014)0150 A7-0015/2014

(Ordinary legislative procedure – recast)

The European Parliament,

–  having regard to the Commission proposal to Parliament and the Council (COM(2013)0031),

–  having regard to Article 294(2) and Article 91(1) of the Treaty on the Functioning of the European Union, pursuant to which the Commission submitted the proposal to Parliament (C7‑0028/2013),

–  having regard to Article 294(3) of the Treaty on the Functioning of the European Union,

–  having regard to the reasoned opinions submitted, within the framework of Protocol No 2 on the application of the principles of subsidiarity and proportionality, by the Lithuanian Parliament, the Romanian Senate and the Swedish Parliament, asserting that the draft legislative act does not comply with the principle of subsidiarity,

–  having regard to the opinion of the European Economic and Social Committee of 11 July 2013(1),

–  having regard to the opinion of the Committee of the Regions of 8 October 2013(2),

–  having regard to the Interinstitutional Agreement of 28 November 2001 on a more structured use of the recasting technique for legal acts(3),

–  having regard to the letter from the Committee on Legal Affairs to the Committee on Transport and Tourism in accordance with Rule 87(3) of its Rules of Procedure,

–  having regard to Rules 87 and 55 of its Rules of Procedure,

–  having regard to the report of the Committee on Transport and Tourism (A7-0015/2014),

A.  whereas, according to the Consultative Working Party of the legal services of the European Parliament, the Council and the Commission, the proposal in question does not include any substantive amendments other than those identified as such in the proposal and whereas, as regards the codification of the unchanged provisions of the earlier acts together with those amendments, the proposal contains a straightforward codification of the existing texts, without any change in their substance;

1.  Adopts its position at first reading hereinafter set out, taking into account the recommendations of the Consultative Working Party of the legal services of the European Parliament, the Council and the Commission;

2.  Calls on the Commission to refer the matter to Parliament again if it intends to amend its proposal substantially or replace it with another text;

3.  Instructs its President to forward its position to the Council, the Commission and the national parliaments.

Position of the European Parliament adopted at first reading on 26 February 2014 with a view to the adoption of Directive 2014/.../EU of the European Parliament and of the Council on railway safety (recast)

(Text with EEA relevance)

THE EUROPEAN PARLIAMENT AND THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty on the Functioning of the European Union, and in particular Article 91 (1) thereof,

Having regard to the proposal from the European Commission,

After transmission of the draft legislative act to the national parliaments,

Having regard to the opinion of the European Economic and Social Committee(4),

Having regard to the opinion of the Committee of the Regions(5),

Acting in accordance with the ordinary legislative procedure(6),

Whereas:

(1)  Directive 2004/49/EC of the European Parliament and of the Council(7) have been substantially amended. Since further amendments are to be made, it should be recast in the interests of clarity.

(1a)  Rail is already the safest mode of transport in the Union and has further improved its safety performance over the past decades. Whilst its transport performance has increased from about 200 billion passenger kilometres in 1970 to over 300 billion now, the mean annual number of train passenger deaths has been reduced from about 400 in the early 1970s to below 100 now. [Am. 1]

(1b)  Safety should be ensured not only for passengers and employees, including the staff of contractors, but also for users of level crossings and persons residing near railway lines. [Am. 2]

(1c)  In line with technical and scientific progress, railway safety should be further improved, taking into account the expected improvement in the competitiveness of rail transport. [Am. 3]

(1d)  The railway environment in the Union has been undergoing profound changes, triggered inter alia by the three Union Railway Packages adopted since the early 1990s. The gradual creation of the single European railway area is characterised by a multiplication of actors, increased recourse to subcontractors and more frequent market entries. In this context of higher complexity, rail safety is critically dependent on the interaction between all players, namely railway undertakings, infrastructure managers, the railway industry and safety authorities. Safety legislation should take account of these developments and put in place appropriate information, management and emergency procedures and tools. [Am. 4]

(2)  Directive 2004/49 2004/49/EC established a common regulatory framework for railway safety, through harmonisation of the content of safety rules, the safety certification of railway undertakings, the tasks and roles of the national safety authorities and the investigation of accidents. Nevertheless, to pursue efforts to establish The ongoing establishment of a single market for rail transport services results in a multiplication of different actors and communication interfaces. In order to guarantee railway safety within this environment, that Directive needs thorough revision. [Am. 5]

(2a)  Given the subsisting differences between safety requirements, which affect the optimal functioning of rail transport in the Union, it is of particular importance to continue the process of harmonising operational and safety rules as well as the rules on the investigation of accidents. [Am. 6]

(2b)  Harmonisation should not, however, jeopardise any Member State’s present safety level. [Am. 7]

(2c)  Proper enforcement and further improvement of Council Directive 96/49/EC(8) and Directive 2008/68/EC of the European Parliament and of the Council(9) are of the highest importance for rail safety and the protection of human lives, public health and the environment.[Am. 8]

(3)  Metros, trams, tram-trains and other light rail systems are subject in many Member States to local or regional safety rules and are often supervised by local or regional authorities and not covered by the requirements for interoperability or licensing within the Union. Trams are furthermore often subject to road safety legislation and could therefore not be fully covered by railway safety rules. For these reasons such local rail systems should be excluded from the scope of this Directive. This does not prevent Member States from applying the provisions of this Directive to local rail systems on a voluntary basis if they deem this appropriate. [Am. 9]

(4)  Safety levels in the Union’s rail system are generally high, in particular compared to road transport. In line with technical and scientific progress, safety should be further improved, when so far as is reasonably practicable and taking into account the expected improvement in the competitiveness of rail transport. [Am. 10]

(4a)  Safety is critically dependent on the interaction between rail infrastructure, operations, manufacturers and safety authorities. Appropriate tools should be used and developed in order to ensure and develop safety. [Am. 11]

(5)  The main All the actors in the rail system, infrastructure managers and railway undertakings, should bear full responsibility for the safety of the system, each for their own part. Whenever appropriate, they should cooperate in implementing risk control measures. Member States should make a clear distinction between this immediate responsibility for safety and the national safety authorities’ task of providing a national regulatory framework and supervising the performance of all operators. [Am. 12]

(6)  The responsibility of infrastructure managers and railway undertakings for operating the rail system does not preclude other actors such as manufacturers, carriers, consignors, fillers, loaders, unloaders, consignees, entities in charge of maintenance, maintenance suppliers, wagon vehicle owners, vehicle keepers, service providers and procurement entities from assuming responsibility for their products or services and for implanting risk control measures. To avoid the risk that the responsibilities are not properly assumed, each relevant actor should be made responsible for its particular process through contractual agreements. Each actor in the rail system should be responsible in respect to the other actors, including relevant authorities, for complete and truthful communication of all relevant information to check if the vehicles are fit to run. In needed to ensure the safe operation of a vehicle, in particular that concerns information on the status and history of the vehicle, maintenance files, traceability of loading operations, and consignment notes. [Am. 13]

(6a)  The occurrence of heavy accidents involving freight wagons has shown that mandatory rules, harmonised at Union level, on frequency and intervals of maintenance of rail freight wagons, passenger rolling stock and locomotives are necessary. [Am. 14]

(7)  Each railway undertaking, infrastructure manager and entity in charge of maintenance should ensure that its contractors and other parties implement risk control measures. To this end, they should apply the methods for monitoring set out in the common safety methods (CSMs). Their contractors should apply this process through contractual arrangements. Because such arrangements are an essential part of the safety management system of railway undertakings and infrastructure managers, railway undertakings and infrastructure managers should disclose their contractual arrangements on request of the European Union Agency for Railways (hereafter "the Agency") or the national safety authority in the context of supervision activities.

(7a)  The intensity of cooperation between manufacturers, maintenance suppliers and railway undertakings has decreased over past decades. This necessitates the harmonisation of minimum maintenance intervals and quality requirements to ensure the safety of the entire rail system. [Am. 15]

(8)  Common safety targets (CSTs) and CSMs have been gradually introduced to ensure that safety is maintained at a high level and, when necessary and where reasonably practicable, improved. They should provide tools for assessment of the safety and performance of operators at Union level as well as in the Member States. Common safety indicators (CSIs) have been established in order to assess whether systems comply with the CSTs and to facilitate the monitoring of railway safety performance. [Am. 16]

(9)  National rules, which are often based on national technical standards, have been are gradually being replaced by rules based on common standards, established by CSTs, CSMs and technical specifications for interoperability (TSIs). In order to eliminate the obstacles to interoperability, the amount of national rules should be reduced as a consequence of extending the scope of the TSIs to the whole Union’s rail system and of closing open points in the TSIs. For this purpose the Member States should must keep their system of national rules updated, delete obsolete rules and thereof inform the Commission and the the Agency thereof without delay. [Am. 17]

(10)  In view of the gradual approach to eliminating obstacles to the interoperability of the rail system while maintaining a high level of railway safety, and of the time consequently required for the adoption of TSIs, steps should be taken to avoid a situation where Member States adopt new national rules or undertake projects that increase the diversity of the present system. The safety management system is the a recognised tool for preventing accidents. Member States, the Agency and railway undertakings are responsible for taking immediate corrective action to prevent re-occurrence of accidents. Member States should not decrease the responsibility of the railway undertakings by establishing new national rules immediately after an accident. [Am. 18]

(10a)  Train control and signalling systems play a critical role in ensuring railway safety. The harmonised development and deployment of the 'European Rail Traffic Management System' (ERTMS) on the Union railway network constitutes an important contribution to improving safety levels. [Am. 19]

(11)  In carrying out their duties and fulfilling their responsibilities, infrastructure managers and railway undertakings should implement a safety management system meeting Union requirements and containing common elements. Information on safety and the implementation of the safety management system should be submitted to the Agency and to the national safety authority in the Member State concerned.

(11a)  Railway undertakings and infrastructure managers should establish, within their safety culture, a 'just culture' in order to actively encourage personnel to report safety-related accidents, incidents and near misses without being subject to punishment or discrimination. A fair culture enables the railway industry to learn lessons from accidents, incidents and near misses and thereby improve safety on the railway for workers and for passengers. [Am. 20]

(12)  To ensure a high level of railway safety and equal conditions for all railway undertakings, the latter should be subject to the same safety requirements. A licensed railway undertaking should hold a safety certificate in order to obtain access to the railway infrastructure. The safety certificate should provide evidence that the railway undertaking has established its safety management system and is able to comply with the relevant safety standards and rules in all Member States in which the undertaking operates. For international transport services, it should be enough to approve the safety management system only once at Union level or for the territory the rail infrastructure of which the railway undertaking will use. [Am. 21]

(13)  Minimum harmonised methods based on Directive 2004/49/EC have been established to be applied to the railway undertakings and the national safety authorities on monitoring, conformity assessment, supervision and on risk evaluation and assessment. This regulatory framework is sufficiently mature to move progressively towards a ‘single safety certificate’, valid throughout the Union within the specified areas of operation. The move to a single safety certificate should make the rail system more effective and efficient by reducing admistrative burdens for the railway undertakings, thereby making railway transport more competitive in intermodal competition. [Am. 22]

(14)  The single safety certificate should be issued on the basis of the evidence that the railway undertaking has established its safety management system. Establishing this evidence may require not only on-site inspections to the railway undertaking but also the supervision aimed to assess that the railway undertaking continues to apply duly its safety management system after having been granted the single safety certificate.

(15)  Infrastructure manager should have a key responsibility for the safe design, maintenance and operation of its rail network. The infrastructure manager should be subject to safety authorisation by the national safety authority concerning its safety management system and other provisions to meet safety requirements.

(16)  Training and qualification of train staff is a critical factor for railway safety. Railway undertakings should ensure that their staff are adequately qualified, certified and trained, including when operating on the network of another Member State. National safety authorities should monitor and enforce the requirements in this regard. The certification of train staff is often an insurmountable can be a barrier to new entrants. Member States should ensure that facilities for the training and certification of train staff necessary to meet requirements under national rules are available to railway undertakings intending to operate on the relevant network. [Am. 23]

(17)  The entity in charge of maintenance should be certified for freight wagons. Where the entity in charge of maintenance is an infrastructure manager, this certification should be included in the procedure for safety authorisation. The certificate issued to such an entity should guarantee that the maintenance requirements of this Directive are met for any freight wagon for which the entity is in charge. This certificate should be valid in the whole Union and should be issued by a body able to audit the maintenance system set up by the entity. As freight wagons are frequently used in international traffic and as the entity in charge of maintenance may want to use workshops established in more than one Member State, the certification body should be able to implement its controls throughout the Union.

(17a)  The Agency should develop with the sector experts a common safety method for identifying the critical safety components, taking into account the experience of the aviation sector. [Am. 24]

(18)  The national safety authorities should be fully independent in their organisation, legal structure and decision making from any railway undertaking, infrastructure manager, applicant and or procurement entity. They should carry out their tasks in an open and non-discriminatory way and cooperate with the Agency to create a single rail area with a high level of railway safety and coordinate their decision-making criteria. In order to fulfil their tasks, the national safety authorities must have sufficient budgetary resources and a sufficient number of well-trained staff. To increase efficiency, two or more Member States may decide to merge the staff and resources of the respective national safety authorities. [Am. 25]

(18a)  In order to create a Single European Railway Area and to improve railway safety, the introduction of a single safety certificate is essential. This requires a clear distribution of tasks and responsibilities between the Agency and the national safety authorities. The Agency should become a one-stop shop for safety certificates in the Union, using the valuable expertise, local knowledge and experience of national safety authorities. It should delegate specific tasks and responsibilities to national safety authorities on the basis of contractual agreements as referred to in Regulation ... [Regulation on the European Railway Agency], but should have exclusive competence to issue, renew, amend or revoke safety certificates for both railway undertakings and infrastructure managers. [Am. 26]

(19)  When a national safety authority is requested to supervise a railway undertaking established in different Member States, the other relevant national safety authorities should be informed by the Agency and the latter should ensure the necessary coordination of supervision activities.

(19a)  Adherence to working, driving and rest time rules for train drivers and train staff performing safety tasks is crucial for railway safety and fair competition. The national safety authorities should be responsible for enforcing and checking the application of those rules, as well as for cross-border operations. The Agency should develop an on-board device for registering the driving and rest times of train drivers. National safety authorities should have competence to monitor driving and rest times across borders. [Am. 27]

(20)  Serious accidents on the railways are rare. However, they can have disastrous consequences and raise concern among the public about the safety performance of the rail system. All such accidents should, therefore, be investigated from a safety perspective to avoid recurrence and the results of the investigations should be made public and included in regular reports. Other accidents and incidents should also be subject to safety investigations when they could be significant precursors to serious accidents. In order to identify such precursors, railway undertakings and infrastructure managers shall establish a 'just culture' as defined in Article 3. [Am. 28]

(20a)  The rail safety system is based on feedback and lessons learned from accidents and incidents which require the strict application of rules on confidentiality in order to ensure the future availability of valuable sources of information. In this context, sensitive safety information should be afforded appropriate protection. [Am. 29]

(20b)  Accidents involve a number of different public interests such as the need to prevent future accidents and the proper administration of justice. Those interests go beyond the individual interests of the parties involved and beyond the specific event in question. The right balance among all interests is necessary in order to guarantee the overall public interest. [Am. 30]

(21)  A safety investigation should be kept separate from the judicial inquiry into the same incident and should be granted access to evidence and witnesses. It should be carried out by a permanent body that is independent of the actors of the rail sector. The body should function in a way which avoids any conflict of interest and any possible involvement in the causes of the occurrences that are investigated; in particular, its functional independence should not be affected if it is closely linked to the national safety authority or regulator of railways for organisational and legal structure purposes. Its investigations should be carried out under as much openness as possible. For each occurrence the investigation body should establish the relevant investigation group with necessary expertise to find the immediate causes and underlying causes.

(21a)  The rail sector should likewise promote a non-punitive environment facilitating the spontaneous reporting of occurrences and thereby advancing the principle of a 'just culture'. [Am. 31]

(21b)  It is important for the prevention of accidents and incidents that relevant information, including in particular reports and safety recommendations resulting from safety investigations, be communicated as rapidly as possible. [Am. 32]

(21c)  In the rail sector, it is difficult to identify victims and contact persons and/or family members following an accident, since in general the operator does not know the victims' identities. Nevertheless, in some of the Union's rail services where advance reservation is compulsory or security checks are carried out on passengers before they board the train, it would be appropriate if the operator could have a list of the passengers and crew on board for the sole purpose of being able to communicate quickly with family members and/or contact persons. The Agency should therefore be mandated to develop systems to integrate such information in passenger reservation systems. National agencies also need to draw up emergency plans providing for emergency services, access plans and assistance at the site of the accident, and also including a plan for the provision of care for victims. The Agency will be able to cooperate and assist in the drawing-up of such plans, taking account of best practice. The operator should also have a plan for the provision of assistance to victims. [Am. 33]

(22)  In order to improve the efficiency of activities of an investigation body and to help it in discharging its duties, the investigation, as well as the Agency if it so requests, body should have timely access to the site of an accident, where necessary in good cooperation with the judicial authority. All parties involved, including the Agency, should provide all relevant information necessary in order to enable the investigation body to carry out its activities. The reports on investigations and any findings and recommendations provide crucial information for the further improvement of railway safety and should be made publicly available at Union level. Safety recommendations should be acted upon by the addressees and actions reported back to the investigating body. [Am. 34]

(23)  The Member States should lay down rules on penalties applicable to infringements of the provisions of this Directive and ensure that they are implemented. Those penalties should be effective, proportionate and dissuasive.

(24)  Since the objectives of the actions proposed in this Directive, namely coordinating activities in the Member States in order to regulate and supervise safety, investigating accidents and establishing common safety targets, common safety methods, common safety indicators and common requirements for single safety certificates cannot be sufficiently achieved by the Member States and can be better achieved at Union level, the Union may adopt measures in accordance with the principle of subsidiarity as set out in Article 5 of the Treaty on European Union. In accordance with the principle of proportionality, as set out in that Article, this Directive does not go beyond what is necessary in order to achieve those objectives.

(25)  In order to supplement and amend certain non-essential elements of this Directive, the power to adopt acts in accordance with Article 290 of the Treaty should be delegated to the Commission in respect of common safety methods and their revision, and revision of common safety indicators and common safety targets. It is of particular importance that the Commission carry out appropriate consultations during its preparatory work, including at expert level, with social partners and especially with national safety authorities. The Commission, when preparing and drawing up delegated acts, should ensure a simultaneous, timely and appropriate transmission of relevant documents to the European Parliament and to the Council. [Am. 35]

(26)  In order to ensure uniform conditions for the implementation of this Directive, the implementing powers should be conferred on the Commission relating to the requirements for the safety management system and its elements, review of the system for certification of the entities in charge of maintenance for freight wagons and extension to other rolling stocks and the principal content of the accident and incident investigation report. Those powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council(10).

(27)  The obligation to transpose this Directive into national law should be confined to those provisions representing a substantive change as compared with the earlier Directive. The obligation to transpose the provisions that are unchanged arises under the earlier Directive.

(28)  This Directive should be without prejudice to the obligation of the Member States relating to the time-limits for transposition into national law of the Directives set out in Annex IV, part B,

HAVE ADOPTED THIS DIRECTIVE:

CHAPTER I

GENERAL PROVISIONS

Article 1

Subject matter

This Directive lays down minimum provisions, beyond which Member States may legislate only in accordance with Article 8, to ensure the development and further improvement of safety of the Union’s railways and improved access to the market for rail transport services by: [Am. 36]

(a)  harmonising the regulatory structure in the Member States;

(b)  defining responsibilities between the actors of the rail system ;

(c)  developing common safety targets and common safety methods with a view to gradually removing the need for greater harmonisation of national rules at a high safety level; [Am. 37]

(d)  requiring the establishment, for each Member State, of a national safety authority and an accident and incident investigating body;

(e)  defining common principles for the management, regulation and supervision of railway safety;

(ea)  introducing a single safety certificate that is valid and recognised in all Member States within the specified areas of operation.[Am. 38]

(eb)  requiring the Agency to publish guidelines on railway safety and safety certification, including lists of examples of good practice, in particular for cross-border transport. [Am. 39]

Article 2

Scope

1.  This Directive applies to the rail system in the Member States, which may be broken down into subsystems for structural and functional areas. It covers safety requirements on the system as a whole, including the safe management of infrastructure and of traffic operation and the interaction between railway undertakings, infrastructure managers and other actors of the rail system .

2.  The following systems are excluded Member States may exclude from the scope measures they adopt in implementation of this Directive: [Am. 103]

(a)  metros, trams, tram-trains and light rail systems; [Am. 40]

(b)  networks that are functionally separate from the rest of the railway system and intended only for the operation of local, urban or suburban passenger services, as well as railway undertakings operating solely on these networks;

3.  Member States may exclude from the scope of the measures implementing this Directive:

(a)  privately owned railway infrastructure and vehicles exclusively used on such infrastructure where this exists solely for use by the owner for its own freight operations;

(b)  infrastructure and vehicles reserved for strictly local, historical or tourist use;

(ba)  light rail infrastructure occasionally used by heavy rail vehicles under the operational conditions of the light-rail systems, where such use by such vehicles is necessary for connectivity purposes only; [Am. 41]

(bb)  rolling stock which has lost its authorisation and is being moved to a terminal or site to allow it to be reauthorised. [Am. 42]

Article 3

Definitions

For the purpose of this Directive, the following definitions apply:

(a)  ‘Union rail system’ means the conventional and high-speed Union rail system as defined in Article 2 of Directive ... [Railway Interoperability Directive]; [Am. 43]

(b)  ‘infrastructure manager’ means an infrastructure manager as defined in Article 2 3 of Directive 2001/14/EC 2012/34/EU of the European Parliament and of the Council(11); [Am. 44]

(c)  ‘'railway undertaking’' means railway undertaking as defined in Article 2 of Article 3 of Directive 2001/14/EC 2012/34/EU, and any other public or private undertaking, the activity of which is to provide transport of goods and/or passengers by rail on the basis that the undertaking must ensure traction,including undertakings which provide traction only; [Am. 45]

(ca)  'area of operation ' means a network or networks within a Member State, or a group of Member States, on which a railway undertaking intends to operate;

(cb)  'isolated rail network' means the rail network of a Member State, or a part thereof, with a track gauge of 1 520 mm, which is geographically or technically detached from the European network with the standard nominal track gauge (1 435mm – hereafter 'standard gauge') and well integrated in the rail network of 1 520 mm track gauge together with third countries, but isolated from the Union's standard network. [Am. 46]

(d)  ‘technical specification for interoperability (TSI)’ means a specification by which each subsystem or part of a subsystem is covered in order to meet the essential requirements and ensure the interoperability of the rail system as defined in Article 2 of Directive ... [Railway Interoperability Directive];

(e)  ‘common safety targets (CSTs)’ means the safety levels that must at least be reached by different parts of the rail system (such as the conventional rail system, the high speed rail system, long railway tunnels or lines solely used for freight transport) and by the system as a whole, expressed in risk acceptance criteria;

(f)  ‘common safety methods (CSMs)’ means the methods describing the assessment of safety levels and achievement of safety targets and compliance with other safety requirements;

(fa)  'Common Safety Indicators (CSIs)' means a common set of rail safety data, gathered to facilitate the monitoring of railway safety performance as well as the achievement of Common Safety Targets (CSTs); [Am. 48]

(g)  ‘national safety authority’ means the national body entrusted with the tasks regarding railway safety in accordance with this Directive or any body entrusted by several Member States with these tasks in order to ensure a unified safety regime ;

(h)  ‘national rules’ means all binding rules containing that have been notified by a Member State and that contain railway safety, operational or technical requirements imposed at Member State level and applicable to railway undertakings actors, irrespective of the body issuing them; [Am. 49]

(i)  ‘safety management system’ means the organisation and arrangements procedures established by an infrastructure manager or a railway undertaking to ensure the safe management of its operations; [Am. 50]

(j)  ‘investigator-in-charge’ means a person responsible for the organisation, conduct and control of an investigation;

(k)  ‘accident’ means an unwanted or unintended sudden event or a specific chain of such events which have has harmful consequences; accidents are divided into the following categories: collisions, derailments, level-crossing accidents, accidents to persons, including those not falling within the definition of passengers, caused by rolling stock in motion, including in shunting yards and during track maintenance works, fires and others;

(l)  ‘serious accident’ means any train collision or derailment of trains, resulting in the death of at least one person or serious injuries to five or more persons or extensive damage to rolling stock, the infrastructure or the environment, and any other similar accident with an obvious impact on railway safety regulation or the management of safety; ‘extensive damage’ above means damage that can immediately be assessed by the investigating body to cost at least EUR 2 million in total;

(m)  ‘incident’ means any occurrence, other than accident or serious accident, associated with the operation of trains and affecting the safety of operations ;

(n)  ‘investigation’ means a process conducted for the purpose of accident and incident prevention which includes the gathering and analysis of information, the drawing of conclusions, including the determination of causes and, when appropriate, the making of safety recommendations;

(na)  'reasonably practicable', when applied to any activity, means that, following a cost-benefit analysis, the activity in question does not lead to a disproportionate contribution in terms of cost and/or implementation timing, in relation to the safety target to be achieved; [Am. 52]

(nb)  'other parties' means any party that performs external activities at the interfaces with the rail system which may introduce risks that have a direct impact on operations and that have to be controlled by infrastructure managers and railway undertakings; [Am. 53]

(o)  ‘causes’ means actions, omissions, events or conditions, or a combination thereof, which led to the accident or incident;

(p)  ‘light rail’ means an urban and/or sub-urban rail transport system with lower capacity and lower speeds than heavy rail and metro systems, but higher capacity and higher speeds than tram systems. Light rail systems may have their own right-of-way or share it with road traffic and usually do not exchange vehicles with long-distance passenger or freight traffic;

(pa)  'cross-border rail systems' means rail systems that provide transport services between the nearest urban nodes on each side of a border; [Am. 54]

(q)  ‘notified bodies’ means the bodies which are responsible for assessing the conformity or suitability for use of the interoperability constituents or for appraising the ‘EC’ procedure for verification of the subsystems;

(r)  ‘interoperability constituents’ means any elementary component, group of components, subassembly or complete assembly of equipment incorporated or intended to be incorporated into a subsystem upon which the interoperability of the rail system depends directly or indirectly, as defined in Article 2 of Directive ... [Railway Interoperability Directive];

(s)  ‘keeper’ 'owner' means the person or entity that, being the owner of a vehicle or having the right to use it, exploits the vehicle as a means of transport and is registered as such in the national vehicle register registers referred to in Article 43 and Article 43a of Directive ... [Railway Interoperability Directive]; [Am. 55]

(t)  ‘entity in charge of maintenance’ means an entity in charge of maintenance of a vehicle, and registered as such in the national vehicle register ;

(u)  ‘'vehicle’' means a railway vehicle suitable for circulation on its own wheels on railway lines, with or without traction in a fixed or variable composition . A vehicle is composed of one or more structural and functional subsystems; [Am. 56]

(v)  ‘manufacturer’ means any natural or legal person who manufactures an interoperability constituent, component or subsystem or has it designed or manufactured, and markets it under his name or trademark; [Am. 57]

(w)  ‘consignor’ means the enterprise which consigns goods either on its own behalf or for a third party;

(x)  ‘loader’ means any enterprise that loads packaged goods, including dangerous goods, small containers or portable tanks onto a wagon or a container or which loads a container, bulk-container, multiple-element gas container, tank-container or portable tank onto a wagon;

(xa)  'unloader' means the enterprise which removes a container from a wagon, or unloads packaged goods out of or from a wagon or a container, or discharges goods from a tank, a wagon or a container; [Am. 58]

(y)  ‘filler’ means any enterprise that loads goods, including dangerous goods, into a tank (tank-wagon, wagon with demountable tank, portable tank or tank-container) into a wagon, large container or small container for carriage in bulk, or into a battery-wagon or multiple-element gas container.

(ya)  'just culture' means a procedure to be established to actively encourage personnel to report safety-related accidents, incidents and near misses while still being accountable for wilful violations and gross negligence. Such individuals should not be subject to punishment or discrimination for unintended errors or for disclosure of such information. A just culture enables the railway industry to learn lessons from accidents, incidents and near misses and thereby improve safety on the railway for workers and passengers; [Am. 59]

(yb)  'consignee' means any natural or legal person who is identified as such in the consignment note and who receives the goods and the consignment note; [Am. 60]

(yc)  'carrier' means any enterprise with whom the consignor or the passenger has concluded the contract of carriage or a successive carrier who is liable on the basis of that contract; [Am. 61]

CHAPTER II

DEVELOPMENT AND MANAGEMENT OF SAFETY

Article 4

Role of the actors of the rail system in developing and improving railway safety

1.  Member States and the Agency shall ensure, each within their respective fields of responsibility, that railway safety is generally maintained and, where reasonably practicable, continuously improved, taking into consideration the impact of human factors, the development of Union and international legislation and technical and scientific progress and giving priority to the prevention of serious accidents.

Member States and the Agency shall ensure that measures to develop and improve railway safety take account of the need to follow a system-based approach.

2.  Member States and the Agency shall ensure that the responsibility for the safe operation of the rail system and the control of risks associated with it is laid upon the infrastructure managers and railway undertakings, obliging them:

(a)  to implement necessary risk control measures, where appropriate in cooperation with each other,

(b)  to apply Union and national rules ,

(c)  to establish safety management systems in accordance with this Directive.

Without prejudice to civil liability in accordance with the legal requirements of the Member States, each infrastructure manager and railway undertaking shall be made responsible for its part of the system and its safe operation, including supply of material and contracting of services, vis-à-vis users, customers, the workers concerned and third parties. The risks associated with the activities of third parties shall also be taken into account in the safety management systems of infrastructure managers and railway undertakings.

3.  Each manufacturer, maintenance supplier, 1 keeper , service provider and procurement entity shall ensure that rolling stock, facilities, installations, accessories and equipment and services supplied by them comply with the specified requirements and conditions for use , so that they can be safely put into operation by the railway undertaking and/or infrastructure manager.

4.  All actors having a relevant role in safety operations shall, each within their respective fields of responsibility, implement the necessary risk control measures, where appropriate in cooperation with the others, and shall bear the responsibility for the performance of their own duties. In addition to railway undertakings and infrastructure managers those actors include:

(a)  the keepers and their entity or entities in charge of the maintenance of vehicles;

(b)  the consignors, the loaders, the unloaders and the fillers, which have a role in safe loading operations,

(c)  the manufacturers, which are responsible for the design and manufacturing of safe railway vehicles, parts, components or sub-assemblies of vehicle, railway infrastructure, energy and track side control command, as well as issuing of the preliminary maintenance documentation associated to with the vehicle.

5.  Each railway undertaking, infrastructure manager and entity in charge of maintenance shall ensure that its contractors implement risk control measures. To this end, each railway undertaking, infrastructure manager and entity in charge of maintenance shall apply the common methods for monitoring processes set out in the Commission Regulation (EU) 1078/2012(12). Their contractors shall apply this process through contractual arrangements agreements. Railway undertakings, infrastructure managers and entities in charge of maintenance shall disclose their contractual arrangements agreements on request of the Agency or the national safety authority.

6.  Any actor of the rail system who identifies a systemic safety risk related to defects and construction non-conformities or malfunctions of technical equipment, including those of structural sub-systems, shall report those risks, under a procedure that is harmonised throughout the Union, to the other parties involved and to the Agency in order to enable them to take any necessary corrective actions to ensure continuous achievement of the safety performance of the rail system.

6a.  Member States, the Agency and all actors of the rail system shall establish a 'just culture' that ensures the consistent reporting of accidents, incidents and potential safety risks. In order to encourage such reporting, Member States shall set up a mechanism enabling such reporting to be done on a confidential basis.

7.  In case the event of exchange of vehicles between railways railway undertakings, all actors shall exchange all information relevant to safe operation using the registers of vehicles referred to in Articles 43 and 43a of Directive... [Railway Interoperability Directive]. Such information shall include information on the status and history of the vehicle, elements of the maintenance files, traceability of loading operations, and safety-critical components as well as consignment notes. It shall be sufficiently detailed to allow an assessment of the risks of operating the vehicle by the railway undertaking. [Am. 62]

Article 5

Common safety indicators

1.  In order to facilitate the assessment of the achievement of the CST and to provide for the monitoring of the general development of railway safety Member States shall collect information on common safety indicators (CSIs) through the annual reports of the national safety authorities as referred to in Article 18.

The CSIs shall be established as set out in Annex I.

1a.  Member States shall support the Agency in its work of monitoring the development of railway safety on a Union level. [Am. 63]

2.  The Commission shall be empowered to adopt delegated acts in accordance with Article 26 concerning the revision of Annex I, in particular to update the CSIs taking into account of the technical progress and to adapt the common methods for calculating accident costs.

Article 6

Common safety methods

1.  The CSMs shall describe how the safety levels, the achievement of safety targets and compliance with other safety requirements are assessed, by elaborating and defining:

(a)  risk evaluation and assessment methods,

(b)  methods for assessing conformity with requirements in safety certificates and safety authorisations issued in accordance with Articles 10 and 11,

(c)  methods for supervision to be applied by national safety authorities and methods for monitoring to be applied by railway undertakings, infrastructure managers and entities in charge of maintenance;

(ca)  methods for monitoring the development of safety at national and Union level; [Am. 64]

(d)  any other methods covering a process of the safety management system which need to be harmonised at Union level.

2.  The Commission shall issue mandates to the Agency to draft the new CSMs referred in point 1(d), to review and update all CSMs to take account of developments in technology or social requirements and to make the relevant recommendations to the Commission as quickly as possible. [Am. 65]

When drafting the recommandations recommendations, the Agency shall take account of the opinion of the users, national safety authorities, the social partners and of the other stakeholders. The recommendations shall enclose a report on the results of this consultation and a report assessing the impact of the new CSM to be adopted. [Am. 66]

3.  The CSMs shall be revised at regular intervals, taking into account the experience gained from their application and the global development of railway safety and in view of generally maintaining and where , so far as is reasonably practicable, continuously improving safety. [Am. 67]

4.  The Commission shall be empowered to adopt delegated acts laying down CSMs and revised CSMs in accordance with Article 26.

5.  Member States shall promptly make any necessary amendments to their national rules in the light of the adoption of CSMs and revisions to them. [Am. 68]

Article 7

Common safety targets

1.  The CSTs shall define the minimum safety levels that shall be reached by different parts of the rail system and by the system as a whole in each Member State, expressed in risk acceptance criteria for:

(a)  individual risks relating to passengers, staff including the staff of contractors, level crossing users and others, and, without prejudice to existing national and international liability rules, individual risks relating to unauthorised persons on railway premises;

(b)  societal risks.

2.  The Commission shall issue a mandate to the Agency to draft revised CSTs as soon as possible and to make the relevant recommendations to the Commission. [Am. 69]

3.  The CSTs shall be revised at regular intervals, taking into account the global development of railway safety. The revised CSTs shall reflect any priority areas where safety needs to be further improved.

4.  The Commission shall be empowered to adopt delegated acts laying down revised CSTs in accordance with Article 26.

5.  Member States shall make any necessary amendments to their national rules in order to achieve at least the CSTs, and any revised CSTs, in accordance with the implementation timetables attached to them. They shall notify these rules to the Commission in accordance with Article 8.

Article 8

National rules

1.  Member States may lay down draft new national rules after the entry into force of this Directive only in the following cases:

(a)  where rules concerning existing safety methods are not covered by a CSM;

(b)  as an urgent preventive measure, in particular following an accident.

Member States shall ensure that national rules are non-discriminatory and that they take account of the need for a system-based approach.

Member States may decide to achieve a higher safety level than that defined in the relevant CST provided that such higher safety level is fully compatible with the existing CST.

2.  If a Member State intends to introduce a new national rule, it shall promptly notify the draft of that rule to the Agency and the Commission using the appropriate IT system in accordance with article Article 23 of Regulation … [Regulation on Agency for Railways ] and enclosing a report assessing the impact of the new rule to be adopted. Save in the cases described in point (b) of paragraph 1, such notification shall be made at least three months before the planned adoption of the rule.

After receipt of the draft national rule, the Agency shall initiate a coordination process involving all national safety authorities in order to ensure the highest possible degree of harmonisation across the Union.

The new national rule may not remain in force or enter into force if the Commission, upon a recommendation of the Agency, objects to it, providing a statement of reasons for its objection.

3.  If the Agency becomes aware of any national rule notified or not which that has become redundant or is in conflict with the CSMs or any other Union legislation adopted after the application of the national rule the procedure established in article Article 22 of Regulation … [Regulation on Agency for Railways] shall apply.

In relation to matters concerning training, occupational health and safety for rail professionals responsible for safety critical tasks, the Agency may only apply this paragraph if the national rule in question is discriminatory and a higher safety level is ensured by the CSMs or by any other Union legislation.

4.  Member States shall ensure that national rules, including those covering the interfaces between vehicles and the network, are made available free of charge and in a language that can be understood by all parties concerned at least two official languages of the Union.

5.  National rules notified in accordance with this Article are not subject to the notification procedure set out in Directive 98/34/EC of the European Parliament and of the Council(13).

5a.  The Agency shall establish and publish common guidelines for the adoption of new, or the amendment of existing, national rules. [Am. 70]

Article 9

Safety management systems

1.  Infrastructure managers and railway undertakings shall establish their safety management systems to ensure that the rail system can achieve at least the CSTs, is in conformity with safety requirements laid down in the TSIs, and that the relevant parts of CSMs and rules notified under Article 8 are applied.

2.  The safety management system shall meet the requirements , adapted to the character, extent and other conditions of the activity pursued. It shall ensure the control of all risks associated with the activity of the infrastructure manager or railway undertaking, including proper qualification and training of staff as well as the supply of maintenance and material and the use of contractors. Without prejudice to existing national and international liability rules, the safety management system shall also take into account, where appropriate and reasonable, the risks arising as a result of activities by other parties. Consequently, infrastructure managers and railway undertakings shall have procedures to identify those potential risks which arise from external activities at the interfaces with the rail system and which have a direct impact on operations. [Am. 71]

The Commission shall establish, by means of implementing delegated acts, elements of the safety management system, including an internally approved and communicated safety policy; qualitative and quantitative safety targets and procedures to reach those targets; procedures to meet technical and operational standards; risk evaluation procedures and implementing risk control measures; staff training and information measures; procedures ensuring communication and documentation of safety-related information; procedures for reporting and analysing incidents and accidents and other safety occurrences and for developing preventive measures; provisions in respect of emergency plans which are agreed with public authorities; and provisions for the internal auditing of the safety management system. Those implementing delegated acts shall be adopted in accordance with the examination procedure referred to in Article 27(2) 26. [Am. 72]

2a.  As far as railway personnel are concerned, the safety management system shall include measures for the provision of programmes for the training of staff and systems to ensure that the competence of staff is maintained and that tasks are carried out accordingly. [Am. 73]

2b.  The safety management system shall include provisions for a 'just culture' as defined in Article 3. [Am. 74]

3.  The safety management system of any infrastructure manager shall take into account the effects of operations by different railway undertakings on the network and make provisions to allow all railway undertakings to operate in accordance with TSIs and national rules and with the conditions laid down in their safety certificate. The safety management systems shall be developed with the aim of coordinating the emergency procedures of the infrastructure manager with all railway undertakings that operate on its infrastructure, with the emergency services, so as to guarantee the rapid intervention of rescue services, and with any other party that could be involved in an emergency situation. For cross-border infrastructure, and in particular for cross-border tunnels, specific safety management systems shall be developed and improved in order to ensure the necessary coordination and preparedness of the competent emergency services on both sides of the border. [Am. 75]

3a.  Infrastructure managers shall also establish a system for coordination with managers in neighbouring countries with which the network is linked. That system shall include mechanisms for the provision of information in the event of incidents or accidents on the network or delays that could disrupt cross-border traffic, and cooperation procedures to restore traffic between the two infrastructures whilst guaranteeing network safety at all times. Infrastructure managers in both countries shall notify operators, stakeholders and the corresponding national authorities of any relevant information that could affect traffic between the two States. [Am. 76]

4.  Each year all infrastructure managers and railway undertakings shall submit to the national safety authority before 30 June an annual safety report concerning the preceding calendar year. The safety report shall contain:

(a)  information on how the organisation’s corporate safety targets are met and the results of safety plans;

(b)  the development of national safety indicators, and of the CSIs laid down in Annex I, as far as it is relevant to the reporting organisation;

(c)  the results of internal safety auditing;

(d)  observations on deficiencies and malfunctions of railway operations and infrastructure management that might be relevant for the national safety authority.

CHAPTER III

SAFETY CERTIFICATION AND AUTHORISATION

Article 10

Single safety certificate

1.  Access to the railway infrastructure shall be granted only to railway undertakings which hold the single safety certificate.

2.  The single safety certificate shall be granted by the Agency, save in the cases referred to in paragraph 2a, on the basis of the evidence that the railway undertaking has established its safety management system in accordance with Article 9 and meets the requirements laid down in TSIs, and in other relevant legislation and in any specific operational rules relevant for the service operated by the railway undertaking in order to control risks and provide transport services safely on the network.

2a.  Safety certificates for railway undertakings operating exclusively on an isolated network may also be granted by a national safety authority of those Member States which possess such a network. In such cases, the applicant may choose between applying to the Agency or to the national safety authorities of the Member States concerned.

Within the transition period provided for in Article 30, the national safety authorities of those Member States that possess an isolated network shall establish common safety certification procedures and ensure mutual recognition of safety certificates issued by them. In the case of conflicting decisions of the national safety authorities or in the absence of a mutually acceptable decision, the Agency shall take a decision in accordance with Article 12 of Regulation... [Regulation on Agency for Railways ].

If by the end of the transitional period provided for in Article 30 those national safety authorities have not established arrangements for common procedures and mutual recognition of safety certificates, the authorisations referred to in this Article shall be granted only by the Agency.

If by the end of the transitional period provided for in Article 30 the arrangements for common certification procedures and mutual recognition of safety certificates are established, the national safety authorities of those Member States that possess isolated networks may continue to issue safety certificates and the applicant may choose to apply for a safety certificate to the Agency or to the relevant national safety authorities after the end of the transition period provided for in Article 30.

Ten years after the entry into force of this Directive, the Commission shall present to the European Parliament and the Council a report on the progress achieved towards the establishment of common procedures and the mutual recognition of safety certificates on the isolated rail network and shall, if necessary, make appropriate legislative proposals.

3.  The single safety certificate shall specify the type and, extent and area of operation of the railway operations covered. It shall be valid and recognised throughout or in parts of the Union for equivalent operations in conformity with the conditions laid down by the Agency.

4.  Three months before Before the start of operation of any new service that is not covered by its single safety certificate, the railway undertaking shall notify send to the Agency or, in the cases referred to in paragraph 2a, to the relevant national safety authority authorities, the additional documentation confirming necessary to confirm that:

(a)  the railway undertaking will follow the operating rules, including national rules made available to them in accordance with Article 8(4), and assess the safety of their operation, taking into account the requirements in Commission Regulation (EC) No 352/2009(14) and ensuring that they are managing all risks through their safety management system and that they are making all necessary arrangements to operate safely;

(b)  the railway undertaking has made the arrangements necessary for cooperation and coordination with the infrastructure manager(s) of the network(s) where it proposes to operate;

(c)  the railway undertaking has taken any action necessary to ensure the safe operation of the service;

(d)  the railway undertaking has a licence issued in accordance with Council Directive 95/18/EC(15);

(e)  the type and, extent and area of operation of its intended operation corresponds to that specified in its single safety certificate.

If the Agency or, in the cases referred to in paragraph 2a, the national safety authority has doubts concerning the fulfilment of one or more conditions it shall request more information from the railway undertaking. However, this exchange may not have any suspensive or delaying effect on the start of operation. If the in accordance with the time limits laid down in Article 11(1). If the Agency or, in the cases referred to in paragraph 2a, the national safety authority finds evidence that one or more conditions are not met, it shall refer the matter to the Agency, which shall take the appropriate measures, including the amendment, suspension or revocation of the certificate.

5.  The single safety certificate shall be renewed upon application by the railway undertaking at intervals not exceeding five years. It shall be wholly or partly updated whenever before the type or extent or area of the operation is substantially altered modified.

The holder of the single safety certificate shall inform the Agency or, in the cases referred to in paragraph 2a, the national safety authority, without delay of any major changes in the conditions of the single safety certificate. It shall furthermore notify the Agency or, in the cases referred to in paragraph 2a, the national safety authority, whenever new categories of safety-critical staff or new types of rolling stock are introduced. The time limits laid down in Article 11(1) shall likewise apply in such cases.

The Agency may require that the single safety certificate be revised following substantial changes to the safety regulatory framework.

6.  If a national safety authority finds that a holder of a single safety certificate no longer satisfies the conditions for certification, it shall ask the Agency to revoke it. The Agency or, in the cases referred to in paragraph 2a, the national safety authority may revoke the single safety certificate, giving reasons for its decision. The Agency or, in the cases referred to in paragraph 2a, the national safety authority shall immediately inform all the national safety authorities of the networks on which the railway undertaking operates.

7.  The Agency or, in the cases referred to in paragraph 2a, the national safety authority, shall inform the national safety authorities within one month of the issue, renewal, amendment or revocation of a single safety certificate . It shall state the name and address of the railway undertaking, the issue date, the scope and validity of the certificate and, in the case of revocation, the reasons for its decision.

8.  The Agency shall continuously monitor the effectiveness of the measures for the issuing of single safety certificates and the supervision by national safety authorities and, where appropriate, shall make recommendations to the Commission for improvement. These may include a recommandation recommendation for a CSM covering a process of the safety management system which needs to be harmonised at Union level, as referred to in point (d) of Article 6(1)(d) 6(1).

8a.  Any natural or legal person may appeal against a decision addressed to that person by the Agency pursuant to Articles 12, 16, 17 and 18 of Regulation … [Regulation on Agency for Railways ] or against a failure by the Agency to respond within the prescribed time limits. These rights shall also apply to bodies representing persons referred to in Article 34(2) of Regulation … [Regulation on Agency for Railways ], as duly authorised in accordance with their statutes. [Am. 77]

Article 11

Applications for single safety certificates

1.  Applications for single safety certificates shall be submitted to the Agency. The Agency shall take a decision on an application without delay and in any event not more than four three months after all required information and any supplementary information requested by the Agency has been submitted receipt of the application. If the applicant is requested to submit supplementary information, such information shall be submitted promptly supplied within a reasonable period set by the Agency that shall not exceed one month unless, in exceptional circumstances, the Agency agrees to, and authorises, a time-limited extension. Negative decisions shall be duly supported by a statement of reasons.

In the case of an application for an extension, to operate in an additional Member State, the Agency shall likewise take its decision within three months from receipt of the application.

2.  The Agency shall provide detailed guidance on how to obtain the single safety certificate. It shall list all requirements that have been laid down for the purpose of Article 10(2) and shall publish all relevant documents.

3.  An application guidance document describing and explaining the requirements for the single safety certificates and listing the required documents shall be made available to applicants free of charge and in all official languages of the Union. The national safety authorities shall cooperate with the Agency in disseminating such information. [Am. 78]

Article 12

Safety authorisation of infrastructure managers

1.  In order to be allowed to manage and operate a rail infrastructure, the infrastructure manager shall obtain a safety authorisation from the national safety authority in the Member State where it is established. In the case of cross-border infrastructures with a single infrastructure manager, the Agency shall be in charge of the tasks laid down in this Article.

2.  The safety authorisation shall comprise authorisation confirming acceptance of the infrastructure manager’s safety management system laid down in Article 9, which shall include the procedures and provisions for meeting the requirements necessary for the safe design, maintenance and operation of the railway infrastructure, including, where appropriate, the maintenance and operation of the traffic control and signalling system, as well as procedures for action in the event of a serious accident in order to guarantee emergency assistance and restore infrastructure safety.

The safety authorisation shall be renewed upon application by the infrastructure manager at intervals of five years. It shall be wholly or partly updated whenever substantial changes are made to the infrastructure, signalling or energy supply or to the principles of its operation and maintenance. The holder of the safety authorisation shall without delay promptly inform the national safety authority and the Agency of all such changes.

The national safety authority, or for cross-border infrastructures as referred to in paragraph 1 the Agency, may require that the safety authorisation be revised following substantial changes to the safety regulatory framework.

If the national safety authority, or for cross-border infrastructures as referred to in paragraph 1 the Agency, finds that an authorised infrastructure manager no longer satisfies the conditions for a safety authorisation it shall revoke the authorisation, giving reasons for its decisions.

3.  The national safety authority shall take a decision on an application for safety authorisation without delay and in any event not more than four three months after all the information required and any receipt of the application. If the applicant is requested to submit supplementary information requested has been submitted, such information shall be supplied within a reasonable period set by the national safety authority or the Agency that shall not exceed one month unless, in exceptional circumstances, the national safety authority or the Agency agrees to, and authorises, a time-limited extension. Negative decisions shall be duly justified.

An application guidance document shall be made available, describing and explaining the requirements for the safety authorisations and listing the documents required. [Am. 79]

4.  The national safety authority shall inform the Agency within one month of the safety authorisations that have been issued, renewed, amended or revoked. It shall state the name and address of the infrastructure manager, the issue date, the scope and validity of the safety authorisation and, in case of revocation, the reasons for its decision.

Article 13

Access to training facilities

1.  Member States shall ensure that railway undertakings have fair and non-discriminatory access to training facilities for train drivers and staff accompanying the trains, whenever such training is necessary for operating services on their network or, for fulfilling requirements to obtain the safety certificate and requirements to obtain licences and certificates under Directive 2007/59/EC of the European Parliament and of the Council(16).

The services offered shall include training on necessary route knowledge, assistance to persons with disabilities, operating rules and procedures, the signalling and control command system and emergency procedures applied on the routes operated. [Am. 80]

Member States shall also ensure that infrastructure managers and their staff performing vital safety tasks have fair and non-discriminatory access to training facilities.

If the training services do not include examinations and granting of certificates, Member States shall ensure that railway undertakings have access to such certification.

The national safety authority shall ensure that the provision of training services or, where appropriate, the granting of certificates meets the requirements laid down in Directive 2007/59/EC, in TSIs or national rules referred to in Article 8 .

2.  If the training facilities are available only through the services of one single railway undertaking or the infrastructure manager, Member States shall ensure that they are made available to other railway undertakings at a reasonable and non-discriminatory price, which is cost-related and may include a profit margin.

3.  When recruiting new train drivers, staff on board trains and staff performing vital safety tasks, railway undertakings shall be able to take into account any training, qualifications and experience acquired previously from other railway undertakings. For this purpose, such members of staff shall be entitled to have access to, obtain copies and communicate all documents attesting to their training, qualifications and experience.

4.  Railway undertakings and infrastructure managers shall be responsible for the level of training and qualifications of its staff carrying out safety-related work, including on-board staff.

Article 14

Maintenance of vehicles

1.  Each vehicle, before it is placed in service or used on the network, shall have an entity in charge of maintenance assigned to it and this that entity shall be registered in the national vehicle register registers in accordance with Article 43 of Directive ... [Railway Interoperability Directive].

2.  A railway undertaking, an infrastructure manager or a keeper may be an entity in charge of maintenance.

3.  Without prejudice to the responsibility of the railway undertakings and infrastructure managers for the safe operation of a train as provided for in Article 4, the entity shall ensure that the vehicles for which it is in charge of maintenance are in a safe state of running by means of a system of maintenance. To this end, the entity in charge of maintenance shall ensure that vehicles are maintained in accordance with:

(a)  the maintenance file of each vehicle;

(b)  the requirements in force including maintenance rules and TSI provisions.

The entity in charge of maintenance shall carry out the maintenance itself or make use of contracted maintenance workshops.

4.  In the case of freight wagons, each entity in charge of maintenance shall be certified by a body accredited or recognised in accordance with Commission Regulation (EU) No 445/2011(17) , or by a national safety authority. The recognition process shall also be based on criteria of independence, competence and impartiality.

Where the entity in charge of maintenance is an infrastructure manager, compliance with Regulation (EU) No 445/2011 shall be checked by the relevant national safety authority pursuant to the procedures referred to in Article 12 of this Directive and shall be confirmed on the certificates specified in those procedures.

5.  The certificates granted in accordance with paragraph 4 shall be valid and automatically recognised throughout the Union.

The Agency shall set up and make public, and subsequently update without delay, a register of certified entities in charge of maintenance. It shall be linked with the national vehicle registers or the vehicle registers in accordance with Article 43(1) and (4) and Article 43a(1) and (4) of Directive… [Railway Interoperability Directive].

The Commission shall adopt implementing acts laying down common specifications for those registers relating to content, data format, functional and technical architecture, operating mode and rules for data input and consultation. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 27(3).

5a.  When drafting or amending TSIs, the Agency shall harmonise rules on minimum maintenance requirements in order to ensure the safety of the entire rail system. In so doing, it shall take account of the various parameters (use, age, material, mileage, weather conditions, type of track, etc.) that affect wear and tear. Companies may continue to use their own maintenance system, provided that the Agency considers that that system provides an equivalent or higher safety level.

6.  By 31 May 2014 No later than two years after this Directive comes into force, the Agency shall evaluate the system of certification of the entity in charge of maintenance for freight wagons and shall consider the opportunity for an extension of that system to all vehicles and shall submit a report to the Commission. That report shall contain a recommendation on whether that system of certification should be extended to other types of vehicles. The Commission shall then take appropriate measures on the basis of that recommendation.

6a.  No later than six months after this Directive comes into force, the Agency shall identify railway components that are critical for railway safety and shall develop a system that enables those components to be traced.

7.  On the basis of the Agency's recommendation and no later than 36 months after this Directive enters into force, the Commission shall, by means of implementing acts delegated acts in accordance with Article 26, adopt common conditions for certification of the entity in charge of maintenance for all vehicles by 24 December 2016.

Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 27 (2).

The certification system applicable to freight wagons adopted by Regulation (EU) No 445/2011 shall continue to apply until the implementing delegated acts referred to in the first subparagraph are adopted. [Am. 82]

Article 15

Derogations from the system of certification of the entities in charge of maintenance

1.  Member States may decide to fulfil the obligations to identify the entity in charge of maintenance and to certify it through alternative measures respect to the system of certification established in article 14 , in the following cases:

(a)  vehicles registered in a third country and maintained according to the law of that country;

(b)  vehicles which are used on networks or lines the track gauge of which is different from that of the main rail network within the Union and for which fulfilment of the requirements referred to in Article 14(3) is ensured by international agreements with third countries;

(c)  vehicles covered by Article 2, and military equipment and special transport requiring an ad hoc national safety authority permit to be delivered prior to the service. In this case derogations shall be granted for periods not longer than five years.

2.  Alternative measures referred to in paragraph 1 shall be implemented through derogations to be granted by the relevant national safety authority or the Agency:

(a)  when registering vehicles pursuant to Article 43 of Directive ... [Railway Interoperability Directive] , as far as the identification of the entity in charge of maintenance is concerned;

(b)  when delivering safety certificates and authorisations to railway undertakings and infrastructure managers pursuant to Articles 10 and 12 of this Directive, as far as the identification or certification of the entity in charge of maintenance is concerned.

3.  Such derogations shall be identified and justified in the annual safety report referred to in Article 18. Where it appears that undue safety risks are being taken on the Union rail system, the Agency shall immediately inform the Commission thereof. The Commission shall make contact with the parties involved and, where appropriate, request the Member State to withdraw its derogation decision.

CHAPTER IV

NATIONAL SAFETY AUTHORITIES

Article 16

Tasks

1.  Each Member State shall establish a safety authority. Member States may also decide to jointly establish a safety authority competent for their territories. This authority shall be independent in its organisation, legal structure and decision making from any railway undertaking, infrastructure manager, applicant and or procurement entity. The authority shall have the necessary expertise and the necessary staff resources in order to discharge its duties. It may be the Ministry responsible for transport matters, provided it meets the independence requirements laid down in this paragraph.

2.  The national safety authority shall be entrusted with at least the following tasks:

(a)  authorising the placing in service of the energy and infrastructure subsystems constituting the rail system in accordance with Article 18(2) of Directive ... [Railway Interoperability Directive], with the exception of cross-border infrastructures with a single infrastructure manager, for which the Agency shall be in charge of the tasks laid down in this subparagraph;

(b)  supervising ensuring that the interoperability constituents are in compliance with the essential requirements as required laid down by Article [x] of Directive ... [Railway Interoperability Directive];

(c)  assigning a European national vehicle numbering in accordance with Article 42 Articles 20a and 43 of Directive ... [Railway Interoperability Directive];

(d)  on request of by the Agency and on the basis of contractual agreements as referred to in Regulation... [Regulation on Agency for Railways], supporting it in the issue, renewal, amendment and revocation of single safety certificates granted in accordance with Article 10 and checking that the conditions and requirements laid down in them are met and that railway undertakings are operating in accordance with the requirements of Union or national law;

(e)  issuing, renewing, amending and revoking safety authorisations granted in accordance with Article 12 and checking that the conditions and requirements laid down in them are met and that infrastructure managers are operating in accordance with the requirements of Union or national law;

(f)  monitoring, promoting, and, where appropriate, enforcing and updating the safety regulatory framework including the system of national rules;

(g)  supervising the railway undertakings in accordance with Annex IV to Commission Regulation (EU) No 1158/2010(18) and with Commission Regulation (EU) No 1077/2012(19);

(h)  supervising ensuring that vehicles are duly registered in the European and national vehicle register registers and that safety‑related information contained in it those registers is accurate and up to date;

(ha)  monitoring compliance with working, driving and rest time rules for locomotive drivers in the railway companies and on the track;

(hb)  monitoring compliance with applicable rules on the safe maintenance and operation of rail freight wagons and other rolling stock;

(hc)  drawing up a general emergency plan for the rail network which shall be mandatory for all rail system actors and which shall detail the measures to be taken in the event of a serious accident or emergency, and forwarding it to the Agency. That plan shall include:

(i)  mechanisms and procedures guaranteeing effective communication between the actors involved, chiefly between infrastructure managers, rail operators and emergency services;

(ii)  mechanisms for coordination with national agencies of neighbouring countries;

(iii)  channels for communicating with victims' families following a serious accident, in order to interact with staff who have been trained for the various tasks;

(iv)  a system for providing care for victims following an accident, which will guide them in the complaints procedures under Union legislation, and in particular Regulation (EC) No. 1371/2007 of the European Parliament and of the Council(20), without prejudice to the obligations of rail operators. Such care shall include psychological support for accident victims and their families.

The Commission shall, as a matter of urgency, draw up measures aimed at harmonising the content and format of emergency plans by means of implementing acts as provided for in Article 27. The Agency shall assist and supervise the national safety authorities in drawing up those plans, paying particular attention to rail accidents affecting two or more national networks.

3.  The national safety authority of the Member State where the railway undertaking operates shall make necessary arrangements to coordinate with the Agency and other safety authorities to ensure that any key information on the specific railway undertaking is shared, particularly on known risks and its safety performance. The national safety authority shall also share information with other relevant national safety authorities if it finds that the railway undertaking is not taking the necessary risk control measures.

It shall inform the Agency immediately of any concerns about the safety performance of the railway undertakings under supervision. The Agency shall take appropriate action provided for in Article 10(6).

4.  The tasks referred to in paragraph 2 may not be transferred or subcontracted to any infrastructure manager, railway undertaking or procurement entity.

4a.  National safety authorities shall, with the help of the Agency, establish mechanisms for the exchange of examples of good and best practice.

5a.  National safety authorities may, on a voluntary basis, request the Agency to audit their work. The Agency may also audit national safety authorities on its own initiative. [Am. 83]

Article 17

Decision-making principles

1.  The national safety authorities shall carry out their tasks in an open, non-discriminatory and transparent way. In particular they shall allow all parties to be heard and give reasons for their decisions.

They shall promptly respond to requests and applications and communicate their requests for information without delay and adopt all their decisions within four months after all requested information has been provided. They may at any time request the technical assistance of infrastructure managers and railway undertakings or other qualified bodies when they are carrying out the tasks referred to in Article 16, respecting the time-limits laid down in Article 11(1) and any obligations laid down in contractual agreements concluded with the Agency.

In the process of developing the national regulatory framework, the national safety authority shall consult and consider all persons involved and interested parties, including infrastructure managers, railway undertakings, manufacturers and maintenance providers, users and staff representatives.

2.  The Agency and the national safety authorities shall be free to carry out all inspections, audits and investigations that are needed for accomplishment of their tasks and they shall be granted access to all relevant documents and to premises, installations and equipment of infrastructure managers and railway undertakings.

3.  Member States shall take the measures necessary to ensure that decisions taken by the national safety authority are subject to judicial review.

4.  The national safety authorities shall conduct an active exchange of views and experience within the network established by the Agency in order to harmonise their decision-making criteria across the Union.

4a.  The national safety authorities shall support the Agency in its work of monitoring the development of railway safety on a Union level.

5.  The scope of cooperation between the Agency and the national safety authorities in all matters relating to inspections on site related to issuing the single safety certificate and supervision of the railway undertakings after issuing the single safety certificate shall be set out in contractual or other arrangements agreements between the Agency and the national safety authorities no later than one year after the entry into force of this Directive.

Those agreements may include contracting out certain tasks and responsibilities of the Agency to the national authorities, such as checking and preparing files, verifying technical compatibility, performing visits and drafting technical studies, in accordance with Article 69 of Regulation ... [Regulation on Agency for Railways].

Those agreements shall provide for a sharing of revenues commensurate with the share in the workload of each actor. [Am. 84]

Article 18

Annual report

Each year the national safety authority shall publish an annual report concerning its activities in the preceding year and send it to the Agency by 30 September at the latest. The report shall contain information on:

(a)  the development of railway safety, including an aggregation at Member State level of the CSIs laid down in Annex I;

(b)  important changes in legislation and regulation concerning railway safety;

(c)  the development of safety certification and safety authorisation;

(d)  results of and experience relating to the supervision of infrastructure managers and railway undertakings;

(e)  the derogations decided in accordance with Article 14 (8);

(f)  all inspections or audits of railway undertakings operating in the Member State in the course of supervision activities;

(fa)  all technical inspections of rail freight wagons on the track. [Am. 85]

CHAPTER V

ACCIDENT AND INCIDENT INVESTIGATION

Article 19

Obligation to investigate

1.  Member States shall ensure that an investigation is carried out by the investigating body referred to in Article 21 after serious accidents on the rail system, the objective of which is possible improvement of railway safety and the prevention of accidents.

2.  In addition to serious accidents, the investigating body referred to in Article 21 may investigate those accidents and incidents which under slightly different conditions might have led to serious accidents, including technical failures of the structural subsystems or of interoperability constituents of the European rail system.

The investigating body shall, at its discretion, decide whether or not an investigation of such an accident or incident shall be undertaken. In its decision it shall take into account:

(a)  the seriousness of the accident or incident;

(b)  whether it forms part of a series of accidents or incidents relevant to the system as a whole;

(c)  its impact on railway safety on a Union level,

(d)  requests from infrastructure managers, railway undertakings, the national safety authority or the Member States.

3.  The extent of investigations and the procedure to be followed in carrying out such investigations shall be determined by the investigating body, taking into account Articles 20 and 22 and depending on the lessons it expects to draw from the accident or incident for the improvement of safety.

4.  The investigation shall in no case be concerned with apportioning blame or liability.

Article 20

Status of investigation

1.  Member States shall define, in the framework of their respective legal system, the legal status of the investigation that shall enable the investigators-in-charge to carry out their task in the most efficient way and within the shortest time.

2.  In accordance with the legislation in force, Member States shall ensure full cooperation by the authorities responsible for the judicial inquiry, and shall ensure that the investigators, as well as the Agency if it so requests, are given, as soon as possible, given: [Am. 86]

(a)  access to the site of the accident or incident as well as to the rolling stock involved, the related infrastructure and traffic control and signalling installations;

(b)  the right to an immediate listing of evidence and controlled removal of wreckage, infrastructure installations or components for examination or analysis purposes;

(c)  access to and use of the contents of on-board recorders and equipment for recording of verbal messages and registration of the operation of the signalling and traffic control system;

(d)  access to the results of examination of the bodies of victims;

(e)  access to the results of examinations of the train staff and other railway staff involved in the accident or incident;

(f)  the opportunity to question the railway staff involved and other witnesses;

(g)  access to any relevant information or records held by the infrastructure manager, the railway undertakings involved and the national safety authority.

3.  The investigation shall be accomplished independently of any judicial inquiry.

Article 21

Investigating body

1.  Each Member State shall ensure that investigations of accidents and incidents referred to in Article 19 are conducted by a permanent body, which shall comprise at least one investigator able to perform the function of investigator-in-charge in the event of an accident or incident. This body shall be independent in its organisation, legal structure and decision-making from any infrastructure manager, railway undertaking, charging body, allocation body and notified body, and from any party whose interests could conflict with the tasks entrusted to the investigating body. It shall furthermore be functionally independent from the national safety authority and from any regulator of railways.

2.  The investigating body shall perform its tasks independently of the organisations referred to in paragraph 1, without discriminating against any party, and shall be able to obtain sufficient resources to do so. Its investigators shall be afforded status giving them the necessary guarantees of independence. [Am. 87]

3.  Member States shall make provision that railway undertakings, infrastructure managers and, where appropriate, the national safety authority, are obliged immediately to report accidents and incidents referred to in Article 19 to the investigating body. The investigating body shall be able to respond to such reports and make the necessary arrangements to start the investigation no later than one week after receipt of the report concerning the accident or incident.

4.  The investigating body may combine its tasks under this Directive with the work of investigating occurrences other than railway accidents and incidents as long as such investigations do not endanger its independence.

5.  If necessary the investigating body may request the assistance of investigating bodies from other Member States or from the Agency to supply expertise or to carry out technical inspections, analyses or evaluations.

5a.  Investigating bodies may, on a voluntary basis, request the Agency to audit their work. [Am. 88]

6.  Member States may entrust the investigating body with the task of carrying out investigations of railway accidents and incidents other than those referred to in Article 19.

7.  The investigating bodies shall conduct an active exchange of views and experience for the purpose of developing common investigation methods, drawing up common principles for follow-up of safety recommendations and adaptation to the development of technical and scientific progress.

The Agency shall support the investigating bodies in this task. In addition, investigating bodies shall support the Agency in its work of monitoring the development of railway safety on a Union level. [Am. 89]

Article 22

Investigation procedure

1.  An accident or incident referred to in Article 19 shall be investigated by the investigation body of the Member State in which it occurred. If it is not possible to establish in which Member State it occurred or if it occurred on or close to a border installation between two Member States the relevant bodies shall agree which one of them shall carry out the investigation or shall agree to carry it out in cooperation. The other body shall in the first case be allowed to participate in the investigation and fully share its results.

Investigation bodies from another Member State and the Agency shall be invited to participate in an investigation whenever a railway undertaking established and licensed in that Member State is involved in the accident or incident. [Am. 90]

This paragraph shall not preclude Member States from agreeing that the relevant bodies shall carry out investigations in cooperation in other circumstances.

2.  For each accident or incident the body responsible for the investigation shall arrange for the appropriate means, comprising the necessary operational and technical expertise and sufficient resources to carry out the investigation. The expertise may be obtained from inside or outside the body, depending on the character of the accident or incident to be investigated. [Am. 91]

3.  The investigation shall be carried out with as much openness as possible, so that all parties can be heard and can share the results. The relevant infrastructure manager and railway undertakings, the national safety authority, victims and their relatives, owners of damaged property, manufacturers, the emergency services involved and representatives of staff and users shall be regularly informed of the investigation and its progress and, as far as practicable, shall be given an opportunity to submit their opinions and views to the investigation and be allowed to comment on the information in draft reports.

4.  The investigating body shall conclude its examinations at the accident site in the shortest possible time in order to enable the infrastructure manager to restore the infrastructure and open it to rail transport services as soon as possible.

Article 23

Reports

1.  An investigation of an accident or incident referred to in Article 19 shall be the subject of reports in a form appropriate to the type and seriousness of the accident or incident and the relevance of the investigation findings. The reports shall state the objectives of the investigations as referred to in Article 19(1) and contain, where appropriate, safety recommendations.

2.  The investigating body shall make public the final report, including the safety recommendations, in the shortest possible time and normally not later than 12 six months after the date of the occurrence. . The report, including the safety recommendations, shall be communicated to the relevant parties referred to in Article 22(3) and to bodies and parties concerned in other Member States. [Am. 92]

The Commission shall establish, by means of implementing delegated acts, the content of accident and incident investigation reports, which shall include the following elements: a summary; the immediate facts of the occurrence; the record of investigations and inquiries; analysis and conclusions. Those implementing delegated acts shall be adopted in accordance with the examination procedure referred to in Article 27(2) 26. [Am. 93]

3.  Each year the investigating body shall publish by 30 September at the latest an annual report accounting for the investigations carried out in the preceding year, the safety recommendations that were issued and actions taken in accordance with recommendations issued previously.

Article 24

Information to be sent to the Agency

1.  Within one week after the decision to open an investigation the investigating body shall inform the Agency thereof. The information shall indicate the date, time and place of the occurrence, as well as its type and its consequences as regards fatalities, injuries and material damage.

2.  The investigating body shall send the Agency a copy of the final report referred to in Article 23(2) and of the annual report referred to in Article 23(3).

2a.  The Agency shall set up and manage a centralised database containing all information submitted in relation to incidents and accidents. That database shall be established by no later than 31 December 2015. [Am. 94]

Article 25

Safety recommendations

1.  A safety recommendation issued by an investigating body shall in no case create a presumption of blame or liability for an accident or incident.

2.  Recommendations shall be addressed to the Agency, to the national safety authority and, where needed by reason of the character of the recommendation, to other bodies or authorities in the Member State or to other Member States. Member States and their national safety authorities shall take the necessary measures to ensure that the safety recommendations issued by the investigating bodies are duly taken into consideration, and, where appropriate, acted upon.

3.  The national safety authority and other authorities or bodies or, when appropriate, other Member States to which recommendations have been addressed, shall report back at least annually to the investigating body on measures that are taken or planned as a consequence of the recommendation.

CHAPTER VI

FINAL PROVISIONS

Article 26

Exercise of delegation

1.  The power to adopt delegated acts is conferred on the Commission subject to the conditions laid down in this Article.

2.  The power to adopt delegated acts referred to in Articles 5(2) and, 7(2), 9(2), 14(7) and 23(2) shall be conferred on the Commission for an indeterminate a period of time five years from [the date of entry into force of this Directive]. The Commission shall draw up a report in respect of the delegation of power not later than nine months before the end of the five-year period. The delegation of power shall be tacitly extended for periods of an identical duration, unless the European Parliament or the Council opposes such extension not later than three months before the end of each period. [Am. 95]

3.  The delegation of power referred to in Article 5(2) and 7(2) may be revoked at any time by the European Parliament or by the Council. A decision to revoke shall put an end to the delegation of the power specified in that decision. It shall take effect the day following the publication of the decision in the Official Journal of the European Union or at a later date specified therein. It shall not affect the validity of any delegated acts already in force.

4.  As soon as it adopts a delegated act, the Commission shall notify it simultaneously to the European Parliament and to the Council.

5.  A delegated act adopted pursuant to Articles 5(2) and 7(2) shall enter into force only if no objection has been expressed by either the European Parliament or the Council within a period of two months of notification of that act to the European Parliament and the Council, or if, before expiry of that period, the European Parliament and the Council have both informed the Commission that they will not object. The period shall be extended by two months at the initiative of the European Parliament or the Council.

Article 27

Committee procedure

1.  The Commission shall be assisted by a committee. That committee shall be a committee within the meaning of Regulation (EU) No 182/2011.

2.  Where reference is made to this paragraph, Article 5 of Regulation (EU) No 182/2011 shall apply.

Article 28

Report and further Union action

On the basis of relevant information provided by the Agency, the Commission shall submit to the European Parliament and to the Council before...(21) and every five three years thereafter a report on the implementation of this Directive.

The report shall be accompanied where necessary by proposals for further Union action. [Am. 96]

Article 29

Penalties

The Member States shall lay down the rules on penalties applicable to infringements of the national provisions adopted pursuant to this Directive and shall take all measures necessary to ensure that they are implemented. The penalties provided for must be effective, proportionate, non-discriminatory and dissuasive.

The Member States shall notify those rules to the Commission by the date specified in Article 32(1) and shall notify it without delay of any subsequent amendment affecting them.

Article 30

Transitional provisions

Annexes III and V to Directive 2004/49/EC shall apply until the date of application of the implementing acts referred to in Articles 6(2) and (3), 9(2), 14(7) and 23(2) of this Directive.

Until... (22) , the national safety authorities shall may continue to grant safety certificates in accordance with the provisions of Directive 2004/49/EC, without prejudice to Article 10(2a). Such safety certificates shall be valid until their date of expiry.

For an additional period of three years after the one-year transposition period laid down in Article 32, applicants may apply either to the Agency or the national safety authority. During that period, national safety authorities may continue to issue safety certificates in accordance with Directive 2004/49/EC. [Am. 97]

Article 31

Recommendations and opinions and of the Agency

The Agency shall provide recommendations and opinions in accordance with Article 15 of Regulation … [Regulation on Agency for Railways] for the purpose of application of this Directive. These recommendations and opinions will serve as basis for any Union measure adopted pursuant this Directive.

Article 32

Transposition

1.  Member States shall bring into force the laws, regulations and administrative provisions necessary to comply with Articles 2, 3, 4, 8, 10, 16, 18, 20 and Annex I the provisions of this Directive by....(23) at the latest. They shall forthwith communicate to the Commission the text of those provisions. [Am. 98]

2.  When Member States adopt those measures, they shall contain a reference to this Directive or shall be accompanied by such reference on the occasion of their official publication. They shall also include a statement that references in existing laws, regulations and administrative provisions to the directives repealed by this Directive shall be construed as references to this Directive. Member States shall determine how such reference is to be made and how that statement is to be formulated.

Member States shall communicate to the Commission the text of the main provisions of national law which they adopt in the field covered by this Directive.

3.  The obligation to transpose and implement this Directive shall not apply to the Republic of Cyprus and the Republic of Malta for as long as no rail system is established within their territory.

However, as soon as a public or private entity submits an official application to build a railway line with a view to its operation by one or more railway undertakings, the Member States concerned shall put in place legislation to implement this Directive within one year from receipt of the application.

Article 33

Repeal

Directive 2004/49/EC, as amended by the Directives listed in Annex II, Part A, is repealed with effect from....(24) , without prejudice to the obligations of the Member States concerning the time limits for transposition into national law and application of the Directives set out in Annex II, Part B. [Am. 99]

References to the repealed Directive shall be construed as references to this Directive and shall be read in accordance with the correlation table in Annex III.

Article 34

Entry into force

This Directive shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union.

Articles 10 and 11 shall apply from... (25) , without prejudice to the transitional provisions set out in Article 30. [Am. 100]

Article 35

Addressees

This Directive is addressed to the Member States.

Done at …,

For the European Parliament For the Council

The President The President

ANNEX I

COMMON SAFETY INDICATORS

Common safety indicators are to be reported annually by the national safety authorities.

If new facts or errors are discovered after the submission of the report the indicators for one particular year are to be amended or corrected by the national safety authority at the first convenient opportunity and at the latest in the next annual report.

For indicators relating to accidents under point 1, Regulation (EC) No 91/2003 of the European Parliament and of the Council(26) is to be applied as far as the information is available.

1.  Indicators relating to accidents

1.1.  Total and relative (to train-kilometres) number of significant accidents and a break-down on the following types of accident :

(i)  collision of trains with rail vehicles ,

(ii)  collision of trains, with obstacle within the clearance gauge,

(iii)  derailment of trains,

(iv)  level crossing accidents, including accidents involving pedestrians at level crossings,

(v)  accidents to persons involving rolling stock in motion, with the exception of suicides,

(vi)  fires in rolling stock,

(vii)  other.

Each significant accident is to be reported under the type of the primary accident, even if the consequences of the secondary accident are more severe, for example a fire following a derailment.

1.2.  Total and relative (to train-kilometres) number of persons seriously injured and killed by type of accident divided into the following categories:

(i)  passenger (also in relation to total number of passenger-kilometres and passenger train-kilometres),

(ii)  employee including the staff of contractors,

(iii)  level crossing users,

(iv)  trespassers,

(v)  other.

2.  Indicators relating to dangerous goods

Total and relative (to train-kilometres) number of accidents and incidents involving the transport of dangerous goods divided into the following categories: [Am. 101]

(i)  accidents involving at least one railway vehicle transporting dangerous goods, as defined by the Appendix,

(ii)  number of such accidents in which dangerous goods are released.

3.  Indicators relating to suicides

Total and relative (to train-kilometres) number of suicides.

4.  Indicators relating to precursors of accidents

Total and relative (to train-kilometres) number of:

(i)  broken rails,

(ii)  track buckles and track misalignments,

(iii)  wrong-side signalling failures,

(iv)  signals passed at danger,

(v)  broken wheels on rolling stock in service,

(vi)  broken axles on rolling stock in service.

All precursors are to be reported, both resulting and not resulting in accidents. Precursors resulting in an accident are to be reported under the CSIs on precursors; the accidents that occurred, if significant, are to be reported under the CSIs on accidents referred to in heading 1.

5.  Indicators to calculate the economic impact of accidents

The Agency shall define unit costs on the basis of data collected until the entry into force of this Directive.

6.  Indicators relating to technical safety of infrastructure and its implementation

6.1.  Percentage of tracks with Automatic Train Protection (ATP) in operation, percentage of train-kilometres using operational ATP systems.

6.2.  Number of level crossings (total, per line kilometre and track kilometre) by the following eight types:

(a)  active level crossings with:

(i)  automatic user-side warning,

(ii)  automatic user-side protection,

(iii)  automatic user-side protection and warning,

(iv)  automatic user-side protection and warning, and interlocked rail-side protection,

(v)  manual user-side warning,

(vi)  manual user-side protection,

(vii)  manual user-side protection and warning;

(b)  passive level crossings.

7.  Indicators relating to the management of safety

Internal audits accomplished by infrastructure managers and railway undertakings as set out in the documentation of the safety management system. Total number of audits accomplished and the number as a percentage of audits required (and/or planned).

8.  Definitions

Common definitions for the CSIs and methods to calculate the economic impact of accidents are laid down in the Appendix.

Appendix

Common definitions for the CSIs and methods to calculate the economic impact of accidents

1.  Indicators relating to accidents

1.1.  ‘significant accident’ means any accident involving at least one rail vehicle in motion, resulting in at least one killed or seriously injured person, or in significant damage to stock, track, other installations or environment, or extensive disruptions to traffic. Accidents in workshops, warehouses and depots are excluded.

1.2.  ‘significant damage to stock, track, other installations or environment’ means damage that is equivalent to EUR 150 000 or more.

1.3.  ‘extensive disruptions to traffic’ means that train services on a main railway line are suspended for six hours or more.

1.4.  ‘train’ means one or more railway vehicles hauled by one or more locomotives or railcars, or one railcar travelling alone, running under a given number or specific designation from an initial fixed point to a terminal fixed point. A light engine, such as a locomotive travelling on its own, is considered to be a train.