The Marco Polo programme: key for sustainable mobility

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The Marco Polo programme key for sustainable
mobility
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MACO POLO - MARKET CONTEXT

• annual freight transport growth much higher than
  overall economic growth
• road 35, short sea shipping 31, inland
  waterway 9,rail 6
• short sea shipping strong, sustained dynamism
• inland waterway considerable unexploited
  potential
• rail halted relative decline since 2001, higher
  increase in states with early market opening
• environmental impacts of transport remain high
  1 of GDP, road congestion cost 1 of GDP

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MARCO POLO POLITICAL CONTEXT

• 2001 Transport White Paper intermodality as key
  concept (shifting the balance, linking the modes)
• 2003 MARCO POLO programme (2003-2006) to support
  intermodal services and alternatives to road-only
  transport until commercial viability
• 2006 Keep Europe Moving - Mid-term review of
  2001 White Paper
• co-modality promotion of optimal use and
  integration of modes (continuity of policy, no
  U-turn)
• logistics using existing capacities more
  efficiently, cutting costs, reducing
  environmental impact

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MARCO POLO I

• MARCO POLO I (2003 2006) shifting freight off
  the road to more environmental friendly transport
  modes modal shift
• Budget 102 million
• 4 Calls for proposals published
• 3 different action types Modal shift actions,
  Common learning actions and Catalyst actions

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MARCO POLO I OVERALL RESULTS
Call 2003 Call 2004 Call 2005 Call 2006
Available budget (in M) 15 20.4 30.7 35.7
Committed budget (in M) 13 20.4 21.4 18.9
Received proposals 92 62 63 48
Concluded contracts 13 12 15 15
Contracts cancelled before ending 2 2 0 n.a.
Average subvention per contract (in M) 1 1.7 1.4 1.3
Planned freight to be shifted (in billion tkm) 12.4 14.4 9.5 11.5
Environmental benefit (in M) 204 324 245 241
External costs saved per subvention 15.7 15.9 11.4 12.7
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MARCO POLO I GLOBAL OBJECTIVES
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Marco Polo I Call 2003 New modally shifted
routes SSS Mediterranean Sea, North Sea,
Atlantic East Sea Rail NL/BE to South Eastern
Europe
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Marco Polo I Call 2004 New modally shifted
routes SSS in the same geographical areas Rail
more widespread DE to IT 1 IWW
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Marco Polo I Call 2005 New modally shifted
routes SSS also Baltic Sea Rail also FR,
Scandinavia new East-west corridors
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Marco Polo I Call 2006 New modally shifted
routes 1 IWW river Elbe Rail BE, ES, RO well
presented
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MARCO POLO I TRANSPORT MODES
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MARCO POLO I ACTION TYPES
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MARCO POLO I SHIFTED TKM PER 1 GRANT
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MP I GOOD CHANCES FOR GOOD PROJECTS
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MARCO POLO II

• Continuing Marco Polo I with larger scale and
  scope
• Duration 2007-2013
• Budget 450 M ? more than twofold increase of
  annual budget
• Larger possibility to finance infrastructure if
  linked to the service
• Larger geographical scope close third countries
• 5 action types 2 new innovative ones
• Motorways of the Sea
• Traffic Avoidance Actions

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MARCO POLO II Key Features

• objective shift international increase in road
  freight off the road (road freight transport
  estimated growth of 20.5 billion tkm/year in
  EU-25 in the period 2007 to 2013)
• risk funding, business-driven
• all segments of international freight (except
  air)
• services only ltgt no research, studies or (core)
  infrastructure

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MARCO POLO II Key Features

• legal entity commercial undertakings only
  (private or public)
• eligible for participation
• EU-27 Member States
• close third countries
• eligible for EC-funding
• EU-27 Member States
• EFTA EEA States after conclusion of specific
  agreement
• Candidate and close third countries after
  Memoranda of Understanding
• European dimension
• international routes (EU Member States and close
  third countries)
• min. 2 undertakings,1 of them in EU but
  exceptionally also1 EU MS

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MARCO POLO II Key Features

• Eligible costs only costs incurred after
  submission date of the application even if the
  action starts earlier
• No profit allowed during the (accumulated) years
  for funding does not exclude the possibility to
  show profit sometime in the period
• Viability - the project should show profit and
  continue after MP funding
• No state aid allowed maximum combined public
  grant allowed maximum subsidy rate of eligible
  costs of each action type (35 - 50)

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MARCO POLO II Key Features

• No unacceptable distortion of competition - a
  detailed justification must be given!
• Credibility essential proven by letters of
  intent/commitment, good business plan, market
  study etc. presently the main reason for
  failing the evaluations!
• Financial capacity last annual financial
  statement
• Technical capacity track records and experience
  of all partners, CVs etc.

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MARCO POLO II Key Features

• Modal shift actions
• New or significantly enhanced existing transport
  services
• Robust, not necessarily innovative just shift
  freight off the road
• Maximum subsidy of 1 per 500 tkm shifted
• Minimum grant threshold 500 000 or 250 M tkm
  shifted
• Subsidy rate up to 35
• Maximum duration 3 years

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MARCO POLO II Key Features

• Catalyst actions
• Overcoming structural market barriers
• Highly innovative causing a real breakthrough
• Subsidy rate up to 35
• Minimum grant threshold 2 M
• Maximum duration 5 years

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MARCO POLO II Key Features

• Common learning actions
• Improve co-operation and sharing of know-how
• Mutual training coping with an increasingly
  complex transport logistics market
• Subsidy rate up to 50
• Minimum subsidy threshold 250 000
• Duration up to 2 years

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MARCO POLO II Key Features

• Motorways of the Sea
• frequent, large volume intermodal services based
  on SSS
• Subsidy rate up to 35
• Maximum subsidy of 1 per 500 tkm shifted
• Minimum subsidy threshold 2,5 M - at least 1.25
  billion tkm to be shifted per contract
• Duration up to 5 years

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MARCO POLO II Key Features
Motorways of the Sea

• same general objective of sustainable efficient
  transport but different approach
• funding is fully complementary

MARCO POLO II TEN-T
Transport services Infrastructure
Ancillary infrastructure Strategic infrastructure
Modal shift objective Creation of transport network
Private sector driven Public sector driven
Bottom-up (undertakings) Top-down (Member States)
Short-term Long-term
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MARCO POLO II Key Features

• Traffic avoidance actions - innovative
  integration of production and transport logistics
  less empty runs, reduction of volume/weight
  etc.
• Subsidy rate up to 35
• Actual, measurable and sustainable traffic
  avoidance of at least 10 of the freight volume
• Maximum subsidy of 1 per 500 tkm (or 25
  vehicle- km)
• Minimum subsidy threshold 1 M - at least 500 M
  tkm (25 M vehicle-km) to be avoided per contract
• Duration up to 5 years

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MARCO POLO II Key Features
Ancillary infrastructure Funding rules

• Infrastructure required for timely completion
  ofnew modally shifted transport service
• Works are completed within 24 months after start
  of action
• Transport service starts within 3 months after
  the completion of the works
• Other EU funding, especially TEN-T funding, is
  excluded
• Total aid (state aid and EC funding) not more
  than 50 of eligible costs
• For all action types except MOD and CLA actions

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MARCO POLO II Results of Call 2007
Very good chances for good proposals!
2007
Received Proposals 55
Subvention requested 93 M
Selected proposals 27 (49)
Subvention requested by selected projects 58 M
Budget available 56 M
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MARCO POLO II Results of Call 2007
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MARCO POLO II Results of Call 2007
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Marco Polo I Call 2007 New modally shifted
routes Very evenly distributed map except for
the East Mediterranean area which is not covered
? Almeria
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MARCO POLO II Whats next?

• Next Call for proposals beginning 2008 deadline
  March/April almost no changes compared to Call
  2007
• 1st quarter of 2008 transfer of Marco Polo
  project management to EACI Executive Agency of
  Competitiveness Innovation

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Thank you for your attention! MARCO POLO Help
Desk http//ec.europa.eu/transport/marcopolo/index
_en.htm Email tren-marco-polo_at_ec.europa.eu Phone
32 (02) 29-96448 Fax [phone]