10 December 2021

EC APPROVES €133 MILLION SWEDISH SCHEME TO SUPPORT RAIL

On 7 December, the European Commission approved, under EU State aid rules, a €133 million (SEK 1,370 million) Swedish scheme to support the rail freight sector and the rail passenger sector in the context of the coronavirus outbreak.

Support under the scheme will take the form of a reduction of the charges due by railway companies to access rail infrastructure in both the rail freight and the rail passenger sectors. The Commission found that the scheme is beneficial for the environment and for mobility as it supports rail transport, which is less polluting than road transport, while also decreasing road congestion. The Commission also found that the measure is proportionate and necessary to achieve the objective pursued, namely, to support the modal shift from road to rail whilst not leading to undue competition distortions. Finally, the reduction of infrastructure charges is in line with Regulation (EU) 2020/1429. As a result, the Commission concluded that the measures comply with EU State aid rules, in particular the 2008 Commission Guidelines on State aid for railway undertakings.

Source: European Commission