In the midst of tensions between France and Spain over the liberalization of the railway sector and the price battle unleashed by Ouigo, the Minister of Transport, Óscar Puente, met this Thursday in Brussels with his French counterpart, Patrice Vergriete, and whose meeting he described as positive.
“A positive meeting to advance the pending issues regarding mobility between both countries,” the Spanish minister published on his Brussels. Diplomatic sources add that the meeting has allowed “progress” on “all issues” on the agenda.
On the eve of the meeting, Puente had assured that he would ask France for “reciprocity” in the entry of Renfe into the neighboring country, just as operators can enter the Spanish market. The minister assured that, at the same time that “the entry of a French company is taking place” in Spain, the same should be allowed for Renfe in France “without obstacles” and “with facilities.” A meeting that the Bridge had requested to take place in three parties, also in the presence of the European Commission, but that France refused and asked that it only be bilateral.
The Government considers that there are bureaucratic obstacles on the part of the neighboring country that prevent Renfe from reaching the French capital. Despite the fact that the Barcelona-Paris line is currently only covered by the French public company, SNCF, because Spain does not pose impediments. Likewise, the Ministry of Transport has not liked the problems – published by La Vanguardia last Sunday – that various European companies have encountered that were planning to extend their night railway lines to Barcelona, ??which have been very popular in recent years.
Likewise, the Spanish minister assured that he will ask for “responsibilities” regarding Ouigo’s “business model approach” in Spain and that it has led to a price war in the high-speed train service. “It is evident that a business model that is not sustainable in the end has to be paid for by citizens, and that is what we have to value,” he added.
The minister has harshly criticized the strategy of the French company, which he has described as “dumping” with a downward price battle. The Ministry of Transport believes that Ouigo’s plan to maintain such low prices leads to competition that is no longer healthy, with a level that is difficult for competitors to sustain. Therefore, this week, Puente announced that his department is studying reporting the French operator to the National Markets and Competition Commission for dumping.
