Hungarian rail transport in danger: MÁV struggles to serve traffic
A week ago the news broke that the Hungarian State Railways (MÁV) is closing 10 railway lines in Hungary. The lines concerned will be regional ones, not main ones. MÁV justified this step citing labour and vehicle shortage. According to Dávid Vitézy, former state secretary for transport, the Orbán government is doing something with the closure of the railway lines that it fought against in opposition.
10 lines to be closed, 8 could be saved
According to Dávid Vitézy, 8 of the 10 closed lines could be saved. Closing rail lines is hardly a way to save money anyway, Mr Vitézy told hvg.hu. He believes there is no chance of competition for passengers in the domestic rail passenger market in the next decade.
MÁV admitted that it was unable to provide the public service ordered and paid for from it.
“The closure of the 10 branch lines is sad not only because eight of them could probably be saved, because they are viable and have a vision, or because it contradicts the narrative of Minister János Lázár, who promises rural development with the slogan ‘now it’s time for the countryside’, but also because it is true for the railway network that if we only maintain the arteries, the limbs will die”, the former state secretary added.
It’s getting increasingly hard for MÁV to serve traffic
He said that the total savings planned to be achieved by the current line closures do not even reach the salary of a MÁV director per line in a month. Mr Vitézy also told hvg.hu that he believes MÁV is finding it increasingly difficult to serve traffic throughout the country.
There is no public procurement for new vehicles. The old ones have been withdrawn due to the worsening economic situation. What is more, many of the ICs are running with missing or unair-conditioned, dilapidated coaches. We wrote HERE about how much MÁV struggles with ICs and how it may not even survive this summer.
What could be the solution?
Dávid Vitézy underscored that he sees the solution to the problems in marketisation and privatisation. In his view, the state should put MÁV out to tender to private companies and gradually reduce the monopoly of the state railway company if it is unable to provide an adequate level of service.
According to him, the market is changing all over Europe. It is not the Hungarian state-socialist MÁV model that is typical. In other countries, state operators only provide the railway track and fix the tariff level for the public service, while several operators compete for the provision of services.
All over Europe, privatization is always the goal of these scammers. Everything of economic and strategic value in the hands of big international companies.
MÁV should stay a state company as a strategic company. What private companies can solve, the Hungarian state can do also.
This is probably the only country in the world going backwards in train development. Perhaps is some of our politicians had to rely on public transport there would be more attention paid. I saw in this same paper that “Hungary makes trains for Egypt” while here in Hungary the trains are decades old, from the old communist times. Another reason to vote Victor and his helpers out of office. Funny that the rural areas are being starved, and yet they buy his nationalist garbage in every election.
Obviously the state cannot! Where are all the rural voters that voted for this circus that is now cutting their rail services?
Passenger rail generally is not economically profitable on a fare basis and is always government subsidized. Fidesz simply decided not to adequately subsidize MAV. The worse train service becomes the more travellers turn to alternatives such as buses and as a business MAV goes into a negative spiral. Private management unless radically more efficient will end up being more expensive because a profit is expected on its’ investment. Government subsidies will be demanded to keep the rail system going but now a greater portion will be going into private pockets.
In the FUNCTIONALITY of Democracy, the “NEEDS” of Public Transportation, is not DESIGNED to be a REVENUE earner.
Citizens taxes paid, in great part, pay for the NEEDS of Public Transportation.
Orban and his Government, from the Investment perspective – its NEED – have DISMALLY failed – to apply off-set – the necessary funding into Rail and “other” Public Transportation, in the 14 years they have held power.
Education, Hospitals, Public Health and Public Transportation – all MARKED failure by the Orban Government, that see’s us as a country, playing a somewhat “catch up game” with other country’s, and we Hungary, functioning operating more likened to the 19th century, in large part.
Victor Orban as Prime Minister – Mihaly Varga as Finance Minister – they HAVE failed us.
Hungary -we NEED billions of forints to come up and into the “modern” world.
Investment into Education, Hospitals, Public Health and Public Transportation, are NOT all that Orban & Varga – have NEGLECTED – failed us, use of our taxes, funding from the European Union, to make investments for the betterment – the quality of our lives, and the FUTURE of Hungary.
The situation of NEEDS throughout Hungary – broadsheet of INVESTMENT, from this Orban Government, will NOT happen, as they are literally Financially and Economically – BROKE.