FULLY ON TRACK České dráhy, a.s. (Czech Railways), was established in 2003, integrating the activities related to passenger and goods transport and railway infrastructure management under a single umbrella, covering the operation of nation- and region-wide railway lines. Romana Moares spoke to Pavel Krtek, the chairman of the board, about the latest developments at this railway giant, and its plans for the future in light of market liberalisation.
RM
: Mr Chairman, in the past few years, České dráhy (CD) has invested billions in its vehicle park. These funds have significantly supported the development of the Czech railway sector, as most of the modernisation as well as deliveries of new vehicles have been completed by Czech companies. What is the short-term outlook?
PK: It is true that we are a key customer for a large number of Czech companies and as such contribute to employment in the Czech Republic. Of course we will continue to invest in our assets, albeit to a slightly smaller extent for the time being. However, as a contracting authority, we must follow the rules set in the Public Procurement Act defining equal conditions for both local and foreign suppliers. RM: Are you going to announce any new contracts soon? PK: At the moment we are focusing on the long-distance transport sector. For example, we are putting out to tender the purchase of electric and motor units as part of the Ministry of Transport tenders; we plan
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to buy 50 new carriages for the Prague-Budapest line and 12 small shunting engines. Furthermore, we have announced contracts for the modernisation of dining and sleeping cars and for providing wi-fi technology in carriages. There will be further contracts announced as and when required, depending on the progress of railway market liberalisation. RM: In this context, the Ministry of Transport is just introducing a new service – train rental. Why does CD object to this model? PK: We regard state-owned train rental as an attempt to ease the way for competitors into the subsidised transport system. In the event that the government buys vehicles and provides for their maintenance at public expense, tendering will be open to anyone who just hires a couple of train drivers and stewardesses. We perceive the ownership of vehicles and of facilities related to their operation and maintenance as a high entry barrier, which would be eliminated in the case of vehicle rentals. But the main reason is that so far no one has said clearly how the Ministry would define the character of these units and how they would secure their subsequent maintenance.