FTA is supporting a call for Eurotunnel, the UK Government and European Commission to reduce the cost of using the Channel Tunnel for international rail freight services.

The Government has subsidised freight charges (Currently to the tune of around £26 million per year) since the tunnel opened in 1994.

Payment of these charges are due to end this November. FTA believes there is pent up demand for through rail freight services to continental Europe, but this will only be released if the price is right and the quality of service can be improved. As a consequence, Eurotunnel should set access charges for rail freight that are competitive and attractive to existing and new customers. This needs to be complemented by France’s efforts to open up its railways to competition in order to improve performance.

A parallel concern of FTA is the level of charges for freight services being considered for high speed freight services using the Channel Tunnel Rail Link. The route operator for CTRL is obliged to make the link available for rail freight services when it is fully opened in Autumn 2007, but some observers suggest a reluctance of the company to do this, as it would increase track maintenance costs.

FTA believes that if the cost and service level for rail users are attractive and can be sustained, the case for the proposed rail terminal facility to assist the regeneration development in Barking / Dagenham will become more compelling.

Source:  www.fta.co.uk