115 E T ECONOMIC RESEARCH CENTRE C R O M P T S ROAD FREIGHT N ROAD FREIGHT TRANSPORT A FOR OWN ACCOUNT IN EUROPE R R TRANSPORT O A T Road freight transport for own account represents D F a major share of inland transport in Europe and, R F E FOR OWN ACCOUNT depending on the country concerned,accounts IG O H for two to five times the tonnage carried by rail. T T R Despite its importance,however,own account A S N IN EUROPE transport tends to be overlooked since it is not S R P O regarded as a logistics activity,whereas it is,in fact, E R T a vital transport function that is changing radically F T O as firms increasingly outsource their distribution R S O I activities to commercial hauliers. W N N A The scale of road freight transport for own account, C I C the impact of regulatory changes and the future O M U N of the sector are the themes addressed in T the introductory reports and the experts’ discussions IN F E O outlined in this publication. U R O P E E ROUND C 115 N T A B L E R E O R U N E D F T A N 115 B L O E C N A E P O -:HSTCSC=VVX[VZ: R U (75 2001 08 1 P) ISBN 92-821-1361-2 2001 E ECONOMIC RESEARCH CENTRE REPORT OF THE HUNDRED AND FIFTH ROUND TABLE ON TRANSPORT ECONOMICS held in Paris on 4th-5th November 1999 on the following topic: ROAD FREIGHT TRANSPORT FOR OWN ACCOUNT IN EUROPE EUROPEAN CONFERENCE OF MINISTERS OF TRANSPORT EUROPEAN CONFERENCE OF MINISTERS OF TRANSPORT (ECMT) The European Conference of Ministers of Transport (ECMT) is an inter-governmental organisation established by a Protocol signed in Brussels on 17 October 1953. It is a forum in which Ministers responsible for transport, and more specifically the inland transport sector, can co-operate on policy. Within this forum, Ministers can openly discuss current problems and agree upon joint approaches aimed at improving the utilisation and at ensuring the rational development of European transport systems of international importance. At present, the ECMT’s role primarily consists of: – helping to create an integrated transport system throughout the enlarged Europe that is economically and technically efficient, meets the highest possible safety and environmental standards and takes full account of the social dimension; – helping also to build a bridge between the European Union and the rest of the continent at a political level. The Council of the Conference comprises the Ministers of Transport of 40 full Member countries: Albania, Austria, Azerbaijan, Belarus, Belgium, Bosnia-Herzegovina, Bulgaria, Croatia, the Czech Republic, Denmark, Estonia, Finland, France, FYR Macedonia, Georgia, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Moldova, Netherlands, Norway, Poland, Portugal, Romania, the Russian Federation, the Slovak Republic, Slovenia, Spain, Sweden, Switzerland, Turkey, Ukraine and the United Kingdom. There are six Associate member countries (Australia, Canada, Japan, New Zealand, Republic of Korea and the United States) and two Observer countries (Armenia and Morocco). A Committee of Deputies, composed of senior civil servants representing Ministers, prepares proposals for consideration by the Council of Ministers. The Committee is assisted by working groups, each of which has a specific mandate. The issues currently being studied – on which policy decisions by Ministers will be required – include the development and implementation of a pan-European transport policy; the integration of Central and Eastern European Countries into the European transport market; specific issues relating to transport by rail, road and waterway; combined transport; transport and the environment; the social costs of transport; trends in international transport and infrastructure needs; transport for people with mobility handicaps; road safety; traffic management; road traffic information and new communications technologies. Statistical analyses of trends in traffic and investment are published regularly by the ECMT and provide a clear indication of the situation, on a trimestrial or annual basis, in the transport sector in different European countries. As part of its research activities, the ECMT holds regular Symposia, Seminars and Round Tables on transport economics issues. Their conclusions are considered by the competent organs of the Conference under the authority of the Committee of Deputies and serve as a basis for formulating proposals for policy decisions to be submitted to Ministers. The ECMT’s Documentation Service has extensive information available concerning the transport sector. This information is accessible on the ECMT Internet site. For administrative purposes the ECMT’s Secretariat is attached to the Organisation for Economic Co-operation and Development (OECD). Publié en français sous le titre : LE TRANSPORT ROUTIER DE MARCHANDISES POUR COMPTE PROPRE EN EUROPE Further information about the ECMT is available on Internet at the following address: www.oecd.org/cem © ECMT 2001 – ECMT Publications are distributed by: OECD Publications Service, 2, rue André Pascal, 75775 PARIS CEDEX 16, France. TABLE OF CONTENTS INTRODUCTORY REPORTS SMOLDERS, W. (Belgium).....................................................................................................5 CROWLEY, J. (Ireland).........................................................................................................35 BROWNE, M. (United Kingdom)..........................................................................................59 OTHER CONTRIBUTIONS..............................................................................................................93 SUMMARY OF DISCUSSIONS (Round Table debate on reports)..................................................................................................115 LIST OF PARTICIPANTS...............................................................................................................127 3 BELGIUM Wim SMOLDERS International Road Transport Union (IRU) Brussels Belgium 5 OWN ACCOUNT TRANSPORT OF GOODS BY ROAD IN THE EUROPEAN UNION SUMMARY 1. INTRODUCTION...........................................................................................................................9 1.1. Own-account transport, a little-known road user category.......................................................9 1.2. Purpose of this report................................................................................................................9 1.3. Issues addressed in the report.................................................................................................10 2. THE FIELD OF ACTION OF OWN-ACCOUNT ROAD FREIGHT TRANSPORT..................10 2.1. Own-account transport, total volumes and development 1985-1995.....................................10 2.2. Own-account shares per group of commodities.....................................................................13 2.3. An inquiry with some 750 own-account transport operators..................................................15 3. LEGAL CONDITIONS FOR OWN-ACCOUNT TRANSPORT.................................................19 3.1. Summary of national legal systems........................................................................................19 3.2. Summary of national administrative systems.........................................................................20 3.3. Specific provisions relating to international transport............................................................23 4. RESTRICTIONS THAT MIGHT BE RECONSIDERED............................................................24 4.1. The vehicle and the driver......................................................................................................24 4.2. Own-account transport in the framework of an economic entity, Konzernverkehr................26 4.3. Accompanying measures to safeguard the functioning of the road transport markets...........30 5. CONCLUSIONS AND RECOMMENDATIONS........................................................................31 Brussels, May 1999 7 1. INTRODUCTION 1.1. Own-account transport, a little-known road user category Own-account transport is transport operated by manufacturing industry, agriculture, trade and service industry, as an ancillary part of their business, for moving goods that relate to their main activity. Own-account vehicles are the second category of vehicles on the road. Private cars are by far the most important group of road users. Own-account vehicles outnumber all other categories of motor vehicles, however, including the goods vehicles operated in road transport for hire or reward. Nevertheless, own-account transport is relatively unknown. It is not uncommon for laymen to confuse own-account operators and owner-drivers. In addition, transport legislation in an important number of European countries does not explicitly deal with this category of goods transport. In such legislation, rules are given for road haulage for hire or reward only. Other goods transport operations are not subject to any specific legislative provisions, even though the vehicle (e.g. maximum length, road worthiness test) and the driver (e.g. driving and rest times) generally are. In other European countries, however, and in EU legislation, there are specific conditions to own-account carriage of goods. These conditions originate from the time when the road haulage markets where strictly regulated. 1.2. Purpose of this report This report questions the need for such restrictive conditions. They have been relaxed or even abolished in a number of countries, without a negative effect on the road transport industry. Less restrictive conditions enable own-account carriers to organise transport more efficiently. Fewer vehicles and fewer journeys not only reduce the cost of own-account transport and hence the cost of the final product: it also implies less road use and fewer emissions, thus reducing congestion and negative external costs. Clearly, changes in the legal provisions concerning own-account transport cannot render legislation concerning road haulage for hire or reward inoperative. Particular attention must be paid to the situation in central and eastern European countries, not only because quota systems still exist for international transport. In domestic transport also, structures for the organisation of road haulage which were established as part of planned economies have partly determined the way in which road haulage services develop at present, and need to be taken into account when considering how road transport legislation can best serve the interests of society at large and of road transport. 9