EU green light for combined transport projects
The European Commission yesterday approved state subsidies to three combined transport (CT) projects designed to shift freight from road to rail in Austria, Germany and Italy. Vienna received clearance for a euros 35m state low-interest CT loan fund; Bavaria got permission to subsidise a new rail service from Munich to Verona via the Brenner pass; and Italy will subsidise a rail link from Bolzano to the Brenner. Rome will compensate the operator for the reduced external costs generated by CT, allowing it to lower prices. See press releases on Austria, Germany and Italy.