EC allows subsidies for rail container moves in Britain

EC allows subsidies for rail container moves in Britain    The European Commission has approved subsidies to encourage the movement of intermodal containers by rail in Great Britain.
   The scheme, called the Company Neutral Revenue Scheme, provides fixed grant rates which are payable in arrears for each container moved. The subsidy will not exceed 30 percent of the total door-to-door rail-based costs.
   “Any company, whether or not owned or controlled by U.K. nationals, can apply for revenue support under the scheme if it is acting as the operator or contractor of an eligible rail service,” the EC said.
   The budget for the subsidy scheme is '22 million ($39 million) a year in 2004/05, '23 million ($40 million) in 2005/06, and '24 million ($34 million) in 2006/07.
   The EC said that the new aid scheme promotes the transfer of traffic flows from road to rail. It is in line with the objectives of the Commission’s white paper on transport policy of 2001, which encourages the development of rail and other environmentally friendly modes of transport as competitive alternatives to trucking.