THE PORTUGUESE THE PORTUGUESE EXPERIENCE WITH “EU” EXPERIENCE WITH “EU” FUNDING MECHANISMSFUNDING MECHANISMS

I.I. – – BENEFITS AND RESULTS OF THE “EU” FUNDING BENEFITS AND RESULTS OF THE “EU” FUNDING (mostly Cohesion Fund) (mostly Cohesion Fund)

FOR THE RAIL NETWORK IN PORTUGALFOR THE RAIL NETWORK IN PORTUGAL

●● Amount of support for the period 1993 / 2006Amount of support for the period 1993 / 2006

1993 / 2000: 800 Million Euros1993 / 2000: 800 Million Euros ( 40 % CF)( 40 % CF)2000 / 2006: 980 Million Euros2000 / 2006: 980 Million Euros ( 90 ( 90 % CF)% CF)

● ● Taxes of supportTaxes of support

- CF: 80 %- CF: 80 %- ERDF: 50%- ERDF: 50%- TEN-T: Studies: 50% ; Works: maximum 10 %- TEN-T: Studies: 50% ; Works: maximum 10 %

●● Main lines upgradedMain lines upgraded

- Beira Alta Line: 200 Kms from West (near Coimbra) to - Beira Alta Line: 200 Kms from West (near Coimbra) to East East (border with Spain and then through to Paris) (border with Spain and then through to Paris)

- North Line: 330 Kms from Lisbon to Oporto (renewal still - North Line: 330 Kms from Lisbon to Oporto (renewal still underway) underway)

- South Line to the Algarve: around 300 Kms from Lisbon to - South Line to the Algarve: around 300 Kms from Lisbon to the the Algarve Algarve

- Douro Line (near Oporto): a section of 40 Kms- Douro Line (near Oporto): a section of 40 Kms

- Minho Line (near Oporto): a section of 30 Kms- Minho Line (near Oporto): a section of 30 Kms

- Beira Baixa Line (central connection to Beira- Beira Baixa Line (central connection to Beira Alta): Alta): a a section section of 150 Kms (Works still underway) of 150 Kms (Works still underway)

●● Kms of line upgradedKms of line upgraded

Nearly 1 000 KmsNearly 1 000 Kms

●● Kms of new line constructedKms of new line constructed

30 Kms30 Kms

●● Nature of the investments and improvementsNature of the investments and improvements- Renewal of the track for higher speeds - Renewal of the track for higher speeds - Doubling and quadruplicating some sections - Doubling and quadruplicating some sections - Strengthening and construction of new bridges and - Strengthening and construction of new bridges and

viaducts viaducts - Electrification - Electrification - Electronic signalling, automatic speed control and - Electronic signalling, automatic speed control and telecommunications telecommunications - Elimination of level crossings - Elimination of level crossings - Freight terminals- Freight terminals

●● Main objectivesMain objectives

- Better transport supply with greater quality and comfort - Better transport supply with greater quality and comfort - Decrease in travel times - Decrease in travel times - Increase in speed - Increase in speed - Increase in capacity and liability - Increase in capacity and liability - Increase in safety- Increase in safety- Operational costs reduction and increase in productivity- Operational costs reduction and increase in productivity

●● Increases in speed, safety and capacityIncreases in speed, safety and capacity

- Increases in speed to 120/140 Kms /H and up to 220 - Increases in speed to 120/140 Kms /H and up to 220 Kms /H in Kms /H in the main itineraries the main itineraries

- Reductions in travel times of around 20~30 %- Reductions in travel times of around 20~30 %- Increase in safety by the closure of level crossings, - Increase in safety by the closure of level crossings,

construction construction of viaducts, new signalling and automatic speed of viaducts, new signalling and automatic speed controlcontrol

- Increase in capacity by duplicating and quadruplicating - Increase in capacity by duplicating and quadruplicating some some sections and installing new electronic signalling sections and installing new electronic signalling

II. – CONDITIONS REQUIRED AND MAIN RESTRICTIONSII. – CONDITIONS REQUIRED AND MAIN RESTRICTIONS

▪ ▪ Lines must be included in the “Trans European Network” ( for CF and Lines must be included in the “Trans European Network” ( for CF and DG TREN)DG TREN)

▪ ▪ Environmental evaluation concluded and approved by the Environmental evaluation concluded and approved by the environment Authoritiesenvironment Authorities

▪ ▪ Some of the works must have been already commitedSome of the works must have been already commited

▪ ▪ Compatibility with EU politicsCompatibility with EU politics

▪ ▪ EIB approval, if it is the caseEIB approval, if it is the case

▪ ▪ Consistent Cost/Benefit analysisConsistent Cost/Benefit analysis

▪ ▪ Complete description of the works, credible calendar and accurate Complete description of the works, credible calendar and accurate estimation and discrimination of costs per nature (components) and estimation and discrimination of costs per nature (components) and categorycategory

▪ ▪ Definition of physical indicatorsDefinition of physical indicators

▪ ▪ Availability of funding in the fraction attributed to the Member StateAvailability of funding in the fraction attributed to the Member State

III. – DIFFICULTIES WITHIII. – DIFFICULTIES WITH

● ● Approval of the applicationsApproval of the applications

- - addicional information and documentsaddicional information and documents- questions about the cost/benefit analysis- questions about the cost/benefit analysis- calendars- calendars- cost estimates- cost estimates- period of eligibility- period of eligibility

● ● Monitoring and reportingMonitoring and reporting- claims- claims- biannual reports- biannual reports

- specific reports- specific reports

● ● Closure of the processesClosure of the processes- formal acceptance of the works - formal acceptance of the works

- complete portrait of the project life - complete portrait of the project life

- consistency and coherence of all the information - consistency and coherence of all the information provided provided

- definition of the final costs and evaluation- definition of the final costs and evaluation

- final costs of the contracts- final costs of the contracts

IV. – MAIN PROBLEMS AT PRESENTIV. – MAIN PROBLEMS AT PRESENT

● ● Public procurement and tenderingPublic procurement and tendering

- international advertisement in the JOCE and - international advertisement in the JOCE and previous previous announcement, stating the financing fund announcement, stating the financing fund

- enough publicity- enough publicity

- obedience to the principles of “transparency” of - obedience to the principles of “transparency” of the the procedures, procedures, “free market” rules and “non “free market” rules and “non

discrimination” discrimination”

- non acceptance of procedures by “direct - non acceptance of procedures by “direct negociation”negociation”

- amount of addicional works - amount of addicional works

● ● EnvironmentEnvironment

- fulfilement of all the phases of the evaluation of - fulfilement of all the phases of the evaluation of impacts and approval by the environment impacts and approval by the environment authorities authorities- implementation of the minimization measures of - implementation of the minimization measures of

the the impacts impacts

● ● CalendarsCalendars - progress of the works- progress of the works- claims- claims- reports- reports- final claim- final claim- final report- final report

● ● AuditsAudits- several types- several types- several entities- several entities