SC SERVTRANS INVEST SASC SERVTRANS INVEST SAZILELE FEROVIARE - BUCURESTI, 17-18 October 2006ZILELE FEROVIARE - BUCURESTI, 17-18 October 2006

The Priv

ate Freight

The Priv

ate Freight

Railways O

perato

rs

Railways O

perato

rs

Starting with 2000 the Railway Operators with private capital had been established. In the present, on the Romanian railway good transport market acts a number of 27 operators, from which: 22 –for goods, 2 – for passengers and 1 – for goods and passengers.

Because the OTF (Private Operators with private capital) appeared, the structure of the transport system is presenting, as follows:

Constructions, Tourism and Transport Ministry

SNTFM-CFR MARFA SA

SNTFC-CFR CALATORI SA

CNCF-CFR SA

OTF with private capital ….

SERVTRANS INVEST SA ……

Legislation + rules

AFERState InspectionsThe Traffic Circulation ControlTransport Registry Certificates and diplomasAuthorizations and degrees for transport personnel

GRAPHIC OF CERTIFICATED RAILWAYS OPERATORS

0 0 0 0

42 1

4 5

10

6

1210

23

27

35

0

5

10

15

20

25

30

35

1998 1999 2000 2001 2002 2003 2004 2005

RAILWAYTRANSPORTLICENSES

SAFETYCERTIFICATES

These 27 private companies were transported in 2005 - 22% from the total of the transported goods on the Romanian Rail Ways.

Goods transported on the Romanian Rail Ways- % -

Transported goods by OTF

22 %14.682 mil.

transported tons

Transported goods by CFR Marfa SA

78 %52.057 mil.

transported tons

GRAPHIC OF TRANSPORTED GOODS IN THE PERIOD 2000 - 2005

71461

0

72578

847

70654

2610

71411

2714

63579

10245

52057

14682

0

10000

20000

30000

40000

50000

60000

70000

80000

2000 2001 2002 2003 2004 2005

SNTFM CFR MARFA

OTF - Railway TransportOperators

The structure of the transported goods on The structure of the transported goods on Rail WaysRail Ways

1. Coal - 41%

2. Petrol products - 13%

3. Carrier products - 5%

4. Common metals and common metal articles - 10%

5. Concrete - 3%

6. Ore - 4%

7. Agriculture products - 4%

8. Chemical products - 4%

9. Other product groups -16% 0

5

10

15

20

25

30

35

40

45

123456789

Current No.

Companies %

1 GFR 33.70

2 Servtrans 22.73

3 Rompetrol 12.12

4 Unifertrans 11.63

5 Classfer 11.24

6 Other 8.58

TOTAL 100.00

33,70%

22,73%12,12%

11,63%

11,24%8,58%

GFR

Servtrans

Rompetrol

Unifertrans

Classfer

Altii

Private Transport Operators at the end Private Transport Operators at the end of 2005of 2005

THE PLUSTHE PLUS

o The structure of Romanian Railway Systems is in accordance with E.U. recommendations.

o The being and licensing procedures of the private companies are accesible and AFER has a very important role, concretized in objectivity and to promote

E.U.-C.E. Directives, in the last 4 years .o CFR SA managed all system, right behavior face off all transport operators,

and has assured equal and free access to infrastructure’s facilities .o We appreciate the open position of SNTFC to requests of private operators,

that means a right behavior on the market, allow many cooperation with private operators, i.e. free depot access, revisions. We consider that was a positive role in free market .

The MinusThe Minus

o Monopoly position of CFR Marfa demonstrates uncooperative position and to limit the access at its facilities which have to be used by the other operators .

o There are ’’ UNWRITTEN ‘’ agreements which obstruct the access of private operators at international transports trough Hungary and Bulgaria.

o The conditioning of clients to work exclusivity with national freight operator .o Discriminatory treatment of railway system than to road transport:

- double taxes, TUI ( access railway taxes) and charging fuel ;- Romania is one of the few European states where the railway system pays ‘’ road taxes ‘’, used for road transport development ;- missing of coherent system of payment for road transport similar with railway system, which, in fact, take on the goods from railway transport in advantage of road transport .

o Different vision regarding the investments in the two mode transports :- The State expenses in road transport are understanding like necessary and assumed by itself ;- in railway transports the same expenses for infrastructure development are perceptible like subventions for covering ‘’ black wholes ‘’ ;

Consequences Consequences

o The Infrastructure is in continuous degradations, closing routes, speed limitation, less capacity which are very difficult managed by CFR SA.That is going to a bad transport for clients, which many times choose the road transport.

Ex. - CET Govora, CET Turceni , CET Turnu Severin, CET Bacau - Salt Industry, Cement Industry which take on 10 million tones/ year ;o We ask Ministry of Transport to involve more than, by ‘’Regulator Body ‘’ in

railway transport market and to correlate all system for transport development in Europe.

Main words are following :‘’ Railway transports in front of road transports ‘’!!!‘’ One Euro input in roads, one Euro input in railway’’ !!!

THANK YOUTHANK YOUgburuiana@servtrans-invest.comgburuiana@servtrans-invest.com