ZSR was established in 1993 as a consequence of the split of the former Czechoslovakia and is today undergoing a complete restructuring. Can you enlighten us about the way ZSR is being restructured?
On January the 1st 2002, ZSR is going to be devided into two separate companies: the transporter and the owner of the rail tracks.
What is ZSR´s market share in the slovak transport market today?
Our market share in the public transport is about 8 %, and in the transport of goods it´s about 60%. We provide 3,600 kilometers of railways, including local and regional transport. We yearly transport about 55 million tons of goods and up to 80 million of passangers. Our main services and projects concern Slovakia, and they require financial support from the state. But developing the transport of people is our main priority as it is directly linked to the image of the Railways. We are planning investments in order to raise our trains' speed up to 160 kilometers per hour in the main areas. Also, we intend to invest in the modernisation of rolling stocks.
Is this a part of programme discussed with the Government last October?
We have already discussed more documents with the Government concerning ZSR- the first one in the year 1999 about the economical transformation and stabilisation of ZSR. Last year we discussed a document about transformation and restructuraling, and finally, in July 2001 the Government passed a law about dividing of ZSR into a Railway Company and a Traffic Road Company. The Railway Company is going to be created as a 100% joint-stock company of the state, and will provide business in public transport and cargo, using state rolling stocks. The Traffic Road Company is going to work as an infrastructure operator, so while providing state-owned property it will be established as a state organisation with specific rules. The law about dividing ZSR is legal since the first of August 2001 with duty to start the transformation on January the 1st 2002.
We heard that the Railway Company will be later privatized. Can you give us more details about this prospective privatisation?
The project of transformation has in mind some developments. It is not only a simple act, but years-lasting process. The European Commission has already taken major steps in the field of transport companies politics and our laws are completely comparable with laws and advices of the EU. According to this development, since the 1st January 2003, access to the transport market will be completely liberalized. This creates competition to other forms of transport, not only railways, but to national and international companies. Consequently, the internal structure of the Railway Company will be divisional. We plan to divide regional transport from long-distance public transport and cargo. All this process needs some structural changes of higher public areas, moving competences, which are now centralized in the hands of the Government, into regional parliaments. Afterwards they can support and finance the kind of transport they choose according to their needs and conditions. We suppose this system is more transparent and more qualified.
A development programme discussed with the Government includes the building of international railway corridors with neighbouring countries such as the Czech Republic, Poland etc. When should this programme start?
We have already started, actually very modestly. We are in the process of modernising the line between Bratislava and Trnava, which is a part of 5th Paneuropean corridor. And we are also electrifying lines between Cadca and the Polish town Zwardon- part of the 6th corridor. The total cost for modernisation of all corridors is roughly about 90 mld?? Billion? SKK. | Are these investments coming from the state, or from foreign investors?
Unfortunately, the state is not able to finance all this modernisation process. We use direct transfer from the state budget, we also have bank loans with covering of the state, and we also use cohesive sources from PHARE and ISPA. For example this year we received 38 million Euro from ISPA for the modernisation of the 5th corridor. And we also participate in Eurofima, the financial organisation of the European railways, of which we became 23rd member this year. They also provide sources to modernize rolling stocks. The investment programme that was discussed with the Government expects the raising of speed and modernisation of Paneuropean corridors.
And what is the timeframe for these projects ?
We have already started, with a view to finish this modernization untill the year 2010.
Do you have any foreign expertise for these projects ?
When we get sources from ISPA, all these projects are under the charge of experts from ISPA, while getting the bank loans it is under expertise of their own specialists. A new organizational unit named Zeleznicne Telekomunikacie was created in August 2000 as the company is getting prepared to its restructuring and also to enter the telecommunications market after its liberalization.
Why choosing the telecommunication sector to diversify your services ?
Our projets of modernization also include the modernization of telecommunication systems. We are planning to invest in the next 3 years about 3 billions Slovak Crowns into this project. We are doing it for the needs of the railways, but the capacity will be large enough to be used commercially. This way we can work also for other customers and get financial sources our own way. That's why we asked to be given the licence from Slovak Telecommunications and we are interested in being an operator in the public telecommunications network. We plan to work in the field of data transfer, either within Slovakia or through Slovakia, because corridors provide us with optic cable connection with all neighbouring countries.
On the 5th November you signed a framework contract with Alcatel for the modernising of the teleinformation network of ZSR. What is the exact objective of that contract ?
As a provider of telecommunications information system, Alcatel was the World Investment News Ltdr of the international tender. Its main goal is to modernize the current system to be able to offer commercial services.
Are you looking also for other new partnerships in the telecommunications sector?
We expect that the new company will need strategic partners, especially in the field of business know-how, but also on the field of financing the next modernization.
What is your final message to our readers?
Most of all to come and visit Slovakia, so they can see that what we are talking about is going to be realized.
Note: World Investment News Ltd cannot be held responsible for the content of unedited transcriptions. |
