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CoR backs EC proposal on competition in public transport
23-02-2006

The Committee of the Regions (CoR) has backed the European Commission’s revised proposal regulating the organisation of public passenger transport services. The proposal outlines the rules for the award of public service contracts in the transport sector. In this context it directly concerns local and regional authorities. It is a sensitive topic since it touches on the opening of public transport to competition. The Commission’s proposal leaves local authorities latitude in organising their transport systems. This enables them to, under certain conditions, provide transport services in-house or through an internal operator.
According to the CoR, with its revised proposal the Commission draws a line under the legal insecurity that has reigned until now in the local public transport sector. As mentioned, the European Commission's revised proposal (COM(2005) 319) leaves local and regional authority considerable latitude in organising their transport systems. This was not the case in a previous version of the text. The text provides for public service contracts being awarded through tendering procedures, whilst at the same time leaving local and regional authorities scope, to organise transport services themselves.
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Source: European Information Service

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