Publication details
Analysis of effectiveness of state funding of combined transport
| Authors | |
|---|---|
| Year of publication | 2005 |
| Type | Article in Proceedings |
| MU Faculty or unit | |
| Citation | |
| Web | European Conference of Transport Research Institutes, Young Researchers Seminar 2005 |
| Keywords | combined transport; external costs; effectiveness; subsidies |
| Description | The paper considers the effectivness of state subsidies into RO-LA line from Lovosice (Czech Republic) to Dresden (Germany). Operation of this line was canceled after widening the EU due to removal of toll-gates. During its ten years existence, RO-LA received substantial operation and capital subsidies both from Czech and Saxony governments. The expected benefit was to be decreased burden of heavy freight traffic on cross-border roads. However, Czech ministry of transport did not provide any justification of its intervention in terms of cost-benefit analysis. The benefits of decreased air pollution due to the operation of RO-LA line were calculated. It appears that the benefit/cost ratio of state subsidies was very low. Furthermore, only a small proportion of heavy trucks used the combined transport, and thus the benefits are questionable. Break-even point was calculated, when the accompanied combined transport would be competitive with road freihght transport. There would have to be introduced a road charge. |