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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