Background for and objectives of the introduction of competition

Norwegian Ministry of Transport and Communications

Background for and objectives of the introduction of competitionMinister of Transport and Communications Torild Skogsholm


The goals of competition contribute to increased attention to railservices

• It exists a potential for more effective use of resources provided for the public transport, and increased service quality

• Introduction of competition is part of the development of a more cost effective railservice to the passengers

• The goal is not competition in itself, but to achieve increased use of public transport


Public money spent on purchase - 30 % increase over the last four years

Statlig kjøp av persontransporttjenester fra NSB AS 1997-2004

0

200

400

600

800

1 000

1 200

1 400

1 600

I m

ill.

kr

984 930 980 987 1 215 1 302 1 386 1 416

Regnskap 1997 Regnskap 1998 Regnskap 1999 Regnskap 2000 Regnskap 2001 Regnskap 2002 Regnskap 2003Saldert budsjett

2004


Why introduce competition to the Norwegian market?

• Incentive to a more innovative railway

• Creates diversity in the rail transport service

• Contributes to identify the costs

• Experience from other countries shows that competition gives more and better rail services in return for the public money spent


Why set up in the Norwegian market?

• The Government has made a long-term plan to establish a lasting and stable market for competition in Norway

• The competition regime will include all passenger traffic

• Rail services is a high priority area. During the next ten years, 60 billions Norwegian kroner will be spent on the railways

• The regime will be neutral, non-discriminatory and dynamic

• Basis for traffic growth

Background for and objectives of the introduction of competition

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