The government is commissioning an investigation into whether NS needs financial assistance to be able to properly operate the most important rail links, the so-called core rail network, in the coming years. The company may not have to pay any compensation in the new concession, which will take effect in 2025. A subsidy is also on the table. In addition, the railway company may impose a supplement for travelers traveling during peak hours.
The Secretary of State Vivianne Heijnen of Infrastructure reports this to the House of Representatives. Since the coronavirus pandemic, fewer people are still traveling by train than before. Furthermore, NS is particularly affected by the increase in energy costs, but also in personnel, equipment and maintenance costs.
The railway company itself will have to continue to save costs by employing staff and equipment as efficiently as possible. In addition, the cabinet will give Dutch railways the opportunity to raise fares even further. Heijnen mentions, for example, that this may involve a peak-hour surcharge, which travelers have to pay extra if they take the train during peak hours. In addition to the weather, it can also be price differences based on location.
External investigation
An external investigation must demonstrate whether the measures are sufficient to cover the costs or whether more help from the government may be needed. Heijnen does not mention concrete amounts yet.
In the current concession for the main rail network, which expires at the end of 2024, NS pays compensation of around 80 million euros per year. Heijnen says he may be willing to waive that fee in the new concession. It is not yet clear how this setback for the Treasury will be absorbed.
A spokesman for Heijnen points out that NS only receives aid in years in which it incurs a loss. “We will not sponsor companies that write black numbers.” In recent years, NS has already received hundreds of millions from the national government to ensure that trains could continue to run during and in the aftermath of the coronavirus crisis.
Source: BNR
Fernando Dowling is an author and political journalist who writes for 24 News Globe. He has a deep understanding of the political landscape and a passion for analyzing the latest political trends and news.
