Praha hl n station

EUROPE: The European Commission has fined the Czech and Austrian national train operators a total of €48·7m for colluding to prevent new entrant RegioJet from acquiring second-hand rolling stock to support its growth in the Czech Republic and on the Praha – Wien route.

ÖBB said ‘a line can now be drawn under the proceedings’. However, ČD said it disagreed with the decision, and claimed there had been unjustified delays, violations of its procedural rights and ‘a clear desire to punish someone after a very lengthy investigation’.

The Commission found that in 2012-16 the incumbents had colluded to enable coaches being sold by ÖBB to be bought by ČD instead of RegioJet, and to agree a buyer other than RegioJet for vehicles that ČD was not interested in. ÖBB and ČD also exchanged confidential information about interest from other bidders.

RegioJet told Railway Gazette International it had purchased approximately 70 coaches from ÖBB, but from a certain point all further purchases of around 200 vehicles were made by ČD.

A company affected by anticompetitive behaviour can seek damages in the national courts, and RegioJet said ‘we have the right to compensation, which we will also apply for’.

ČD issued a statement denying any interference, saying ÖBB coaches were sold to various companies ‘always on a market principle at the highest price offered’, and ČD ‘did not actually enjoy any preferential treatment in the purchase of used vehicles’. The Czech operator said it would continue to defend itself before the EU judicial authorities, although a financial reserve has been created to pay the fine.

ÖBB co-operated with the investigation, and said it had established an antitrust training programme for all relevant employees.

The fines will be paid into the general EU budget. ‘Attractive rail passenger services are key for reducing our carbon footprint and we do not tolerate any restriction of competition’, said Margrethe Vestager, Executive Vice-President in charge of competition policy on October 23.

The AllRail alliance of new entrants to he passenger market said the case highlights one of the barriers independent operators face. It hoped that the Commission’s decision would ‘pave the way towards a more and competitive market, which will attract more passengers and help Europe advance its climate goals.’