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“War” between Trainose and Goldair over Greece’s privatized rail market

The first “clash” between rival rail transport providers in Greece’s post-privatization era has erupted between Trainose, owned by Italy’s Ferrovie dello Stato, and a consortium comprised of Goldair and Austrian Federal Railways.

In a lengthy letter of protest, Rail Cargo Logistics Goldair charges that Trainose’s actions aims to choke off competition in Greece’s recently liberalized rail transport sector, primarily through the latter’s dominant position the country.

Rail Cargo Logistics Goldair  also charges unfair competition.

According to daily naftemporiki, Rail Cargo Logistics Goldair has submitted a 28-page complaint lodged o the Railway Regulatory Authority in which it accuses the Italian train company TRAINOSE of shutting down the already liberalized railway market. Specifically, the complaint alleges abuse of TRAINOSE’s dominant position on the market, but also unfair competition, which in practice violates the rules of equal treatment and keeps the rail market closed. It also violates the pricing policy pursued by ESCSTY (a TRAINOSE company) in the maintenance of its rolling stock.

Goldair argues that TRAINOSE implements more expensive charges, with the effect that the maintenance of Rail Cargo Logistics engines and trains is 400% more expensive than of TRAINOSE, thus giving it a competitive advantage.

It is noted that Rail Cargo Logistics competes with TRAINOSE in rail freight transport.

End of 2019, TRAINOSE acquired ESCSTY, which provides rail rolling stock maintenance services

Given the gravity of the charges and the fact that it comes soon after a state monopoly throughout the entire rail sector in Greece was broken up, the Competition Committee has joined the Regulatory Authority for Railways in attempting to resolve the issue, notes naftemporiki.

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