Latvia, Legislation, Railways, Transport

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Pasazieru vilciens may become subsidiary of Latvijas Dzelzcels again

BC, Riga, 29.08.2014.Print version
Pasazieru vilciens could undergo property restructuring an become a subsidiary of Latvijas Dzelzcels before the end of the year 2014, Latvijas Dzelzcels president Ugis Magonis said in an interview with the Latvian Radio show "Krustpunkta" yesterday, cites LETA/Nozare.lv.

According to Magonis, despite the fact that Pasazieru vilciens was privatized by the state, "it is clear now that it would be much easier to work together again if Pasazieru vilciens became a subsidiary of Latvijas Dzelzcels, as the current situation does not look very good. The board makeup was changed four times during the past five years, and it is clear now that the company's board must consist of representatives of the rail industry."

 

At the same time Magonis said that the state should cover the costs of the fixed volume of passenger transport services, as well as participate in co-funding of infrastructure.


Commenting on the procurement of new trains, Magonis said that "it would be great if we could attract funds from the European Union, as Latvia is currently incapable of buying new modern trains. If the European Union refuses to allot any money, trains will have to be replaced gradually." Magonis believes that it is important that the new trains are partially manufactured in Latvia.

 

He believes that railroad cars could be manufactured by Daugavpils Locomotive Repair Plant and Riga Railcar Factory. He said that the best variant would be to acquire new trains already in 2016, however, he was unable to clarify how feasible this intention is.






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