IMPLEMENTING PRICING POLICIES IN INTERURBAN ROAD TRANSPORT IN NAS COUNTRIES IN THE LIGHT OF PRESENT TRANSPORT POLICY - THE EXAMPLE OF POLAND Monika Bak.

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IMPLEMENTING PRICING POLICIES IN INTERURBAN ROAD TRANSPORT IN NAS COUNTRIES IN THE LIGHT OF PRESENT TRANSPORT POLICY - THE EXAMPLE OF POLAND Monika Bak University of Gdansk, Poland

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 STRUCTURE OF THE PRESENTATION What have been the major changes in road transport in NAS during transformation? How historical background influences implementing pricing policies in NAS? What kind of changes have to occurred during transformation in order to implement pricing system in transport? How transport policies in NAS have changed during transformation (case of Poland)? What are the barriers of implementing pricing system and how to overcome them?

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 IDEA OF PRICING SYSTEM IN NAS Specific approach and constraints of implementing pricing policies in NAS or problems similar as in the EU; Economic growth and transformation as phenomena promoting development of road transport.

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 INTERURBAN ROAD TRANSPORT IN NAS - EVOLUTION DURING TRANSITION quantitative changes - increase of external costs of transport qualitative changes + decrease of external costs of transport activity; - under-investment of transport infrastructure

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 GENERAL CHANGES IN ROAD TRANSPORT DURING TRANSFORMATION PASSENGER MODE FREIGHT MODE TECHNICAL STRUCTURAL SOCIAL INFRASTRUCTURE

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 EVOLUTION OF NUMBER OF PASSENGER CARS IN POLAND

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 Evolution of passenger interurban buses and coaches and rail transport in Poland in the years

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 Evolution of freight road and rail transport in Poland in the years

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 ECONOMIC PRIORITIES IN CENTRALLY PLANNED ECONOMY - BACKGROUND OF PRICING Centrally planned economyMacro economic priorities Command and quota system support for heavy industries (preferences for rail transport ) Inefficiency of the system Lack of financial resources for infrastructure investments and environment protection Evidence of socialism power - “political” investments (e.g. In Poland by using foreign credits)

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 PURPOSES OF TARIFF POLICY IN TRANSPORT IN CENTRALLY PLANNED ECONOMY YES collecting resources to state budget, impact on localisation of production, stimulating export, support for anti-import production, improvement of balance of payments, co-ordination of transport tariffs with general policy of the country NO internalisation of external costs, management of traffic, promoting fair competition.

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 SCHEME OF THE MODEL OF TRANSFORMATION Centrally planned economy Market economy Changes of patterns of behaviour: ! law, !tradition, informal patterns Changes of system of decision-making Changes of organisations: ! enterprise, ! state, ! international organisations ! local authorities, ! non-governmental organisations. Effects of transformation Technical effects Structural effects Social effects Infrastructure effects Internal factors External factors Economic transformation

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 PRICING POLICY IN TRANSPORT DURING TRANSFORMATION - PATTERNS OF BEHAVIOUR Necessary changes: Law: removal of old tariff system, introducing new legal order, Customs, tradition: social acceptance of pricing system changes in transport sector, taking care of natural environment Constraints : Law: unclear statement of the EU, lack of good practical examples, incompatibility of old and new regulations and incompatibility of regulations in different sectors; Customs, tradition: acceptability problems in political sphere, objection against intervention in young market economy, social objections

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 PRICING POLICY IN TRANSPORT DURING TRANSFORMATION - SYSTEM OF DECISION MAKING Necessary changes: Changing role of the state, but allowing some spheres (including pricing policy) in state competencies, Free and independent decisions of enterprises Constraints : Confusing of state institutions – organisational defects, blocking efficient decision making in new economic conditions, Limitation of enterprises’ decision making in new pricing system

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 PRICING POLICY IN TRANSPORT DURING TRANSFORMATION - ORGANISATIONS Necessary changes:Constraints :

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 IMPACT OF INTERNAL AND EXTERNAL FACTORS INFLUENCING TRANSFORMATION ON IMPLEMENTING PRICING POLICIES Internal factors: political: determination of reforming pricing system and reducing external costs of transport economic: consideration purposes different from only achieving budget revenues. External factors : integration processes in Europe: pressure on adjustment to harmonised EU rules.

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 HOW EFFECTS OF TRANSFORMATION CAN BE CHANGED IF PRICING POLICIES ARE IMPLEMENTED? IMPACT ON FOLLOWING CHANGES: modernisation of the fleet, technical improvements, rationalisation of modal structure of transport, competition in transport markets, efficiency of transport activity, reduction of external costs, better living standard.

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 POLISH TRANSPORT POLICY VERSUS PRICING POLICY - BASIC DOCUMENTS Transport policy of 1995; “National strategy of transport development for the years ”; “Transport policy of the state for for sustainable development”; “Economic strategy of the government Entrepreneurship – Development – Labour” - Infrastructure – key to development “Polish national plan of development ”; “Operational programme – transport – maritime economy”; “Strategy of development of the transport sector in the years for use of Cohesion Fund of the EU”

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 CALCULATION OF COSTS AND INTERNALISATION IN THE NAS different / incompatible systems of collecting data; problems with infrastructure cost evidence; methodological problems with cost calculation; political and social acceptance for internalisation; insufficient results of studies on internalisation policies.

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 BARRIERS OF IMPLEMENTING PRICING POLICIES - SUMMARY Lack of information; Mentality and social acceptance; Transitional ideological chaos; Transitional chaos in transport policy; Financial resources.

M.Bak. Essay prepared for the fourth IMPRINT seminar, BUDAPEST, October 2003 HOW TO OVERCOME BARRIERS - CONCLUSIONS Completion of transformation process ; High economic growth ; Good example of the EU.