Cargo, Estonia, Legislation, Railways, Transport

"We have been carrying freight on the infrastructure of Estonian Railways under valid agreements for almost ten years. Invoices have always been paid by means of advance payments. The claim lodged against us today is incomprehensible and we consider it to be fully ungrounded," Operail CEO Raul Toomsalu said in a press release, adding that the dispute has to do with an agreement on the use of railway infrastructure concluded six years ago.

Toomsalu said the company cannot offer additional comments at this time as the court has accepted the action. 

Estonian Railways announced on its part that the action concerns the railway infrastructure fee for the past three years that Estonian Railways has partially not received.

"An audit of accounts revealed that Operail has not paid in recent years the fee for the use of the railway for all the services used," Estonian Railways CEO Erik Laidvee said.

He explained that the portion not paid by Operail is the standing cost portion of the fee for unladen journeys of locomotives, which is set forth in the law and has been endorsed by the Technical Regulatory Authority. He said that other carriers have paid the standing cost portion in full.

According to the railway infrastructure company, the filing of the lawsuit was preceded by negotiations lasting several months and the amount due but not paid is 6.1 mln euros.

Operail is an Estonian state-owned railway company whose primary business areas are freight transport, locomotive and wagon maintenance and construction, and rolling stock rental. The company employs 680 people.

EVR Cargo has been operating as a standalone company following its separation from the state-owned Estonian Railways in 2012.

Both companies are fully state-owned entities in the area of government of the Ministry of Economic Affairs and Communications.