€30 MILLION SPANISH SCHEME TO REMOVE BARRIERS TO INTEROPERABILITY IN RAIL FREIGHT
On 9 February, the European Commission approved, under EU State aid rules, a €30 million Spanish scheme to remove barriers to interoperability in rail freight transport in Spain. The scheme will be funded through the Recovery and Resilience Facility (‘RRF'), following the Commission's positive assessment of the Spanish Recovery and Resilience Plan and its adoption by Council.
Under the scheme, the support will take the form of direct grants to finance the upgrading of European Rail Traffic Management Systems (ERTMS) on-board equipment. The direct grants will also finance other measures to remove barriers to rail interoperability, such as the installation of noise reduction systems and variable gauge axles on rail freight wagons, as well as the adaptation of locomotives to different voltages. The aim of the scheme is to promote the modal shift of freight transport from road to rail in line with the objectives of the Spanish Recovery and Resilience Plan, the Sustainable and Smart Mobility Strategy and the European Green Deal. The Commission assessed the measure under EU State aid rules and found that the scheme is necessary and proportionate to enhance interoperability and promote the use of rail transport. Furthermore, the Commission found that the aid will have an 'incentive effect' as the beneficiaries would not carry out the investments in the absence of the public support. The Commission therefore concluded that the measure will contribute to transport coordination and facilitate the shift of freight transport from road to rail, in line with the EU policy objectives, without unduly distorting competition in the Single Market.
The non-confidential version of the decision will be made available under the case number SA.62983 in the State aid register on the Commission's competition website once any confidentiality issues have been resolved.
Source: European Commission