Renfe already calculates how much it will cost to leave its workshops to Iryo
Renfe will have to give up part of its workshops so that Iryo can carry out its heavy maintenance. It is the decision that the CNMC has imposed on the Spanish company and that it will have to comply with until, at the earliest, the National Court rules. But it will have its consequences. What has happened? When Ouigo and Iryo entered to compete in our country, Renfe already knew that it would have to give up part of its workshops so that both companies could carry out maintenance work. In exchange, both the French and Italian companies have to pay the company to be able to operate in their facilities. These maintenance tasks were “level 1”, the name used to define “light maintenance” operations. However, Renfe reported a few months ago that Ouigo was performing heavy maintenance workwhich is outside the agreement. And a few months ago it closed the door on Iryo, because the company planned to do the same. However, the CNMC has forced Renfe to open its doors to the Italian company. According to Competition, failure to do so puts Iryo’s business strategy at risk, which would give Renfe an unfair advantage. The company has filed an appeal against this decision but the National Court has concluded that it will study the case but that, as a precautionary measure, Renfe must open the door to its facilities. What does each one defend? From the Spanish company they assure that Iryo had a project to build its own workshops in our country and thus not having to take their trains to Italy. However, these workshops have not seen the light and Renfe believes that they should not pay the consequences of one of their rivals not complying with its roadmap. For its part, the CNMC assures that forcing Iryo to undergo maintenance in Italy would leave them with less rolling stock available for weeks and, therefore, at a disadvantage in the market. And keeping that rolling stock in operation is a bad decision because the deadlines are met and it would lead the company to have vehicles on Spanish roads that could be unsafe. Iryo’s parent company, Trenitalia, has already experienced this same thing. in France when they had to suspend their services for a month because SNCF prevented access to its workshops to carry out maintenance work. Consequences. Knowing the situation, Renfe has put on the table the consequences that opening its facilities to Iryo may have to carry out heavy maintenance work. And, without that space for their own work, the entry of the Italian company into their space forces them to reduce the number of jobs they can carry out on their own material. That is to say: they would have to reduce the number of trains that are currently in operation. According to the company, in words collected by elDiario.es“the immediate consequence would be fewer trains available each day and, therefore, the suppression of public services in the usual schedule. The lower capacity for heavy maintenance would also have a chain effect and could lead to a progressive paralysis of the fleet in a few weeks.” And in numbers? In total, the company believes that it would affect around thirty daily circulations distributed in different corridors depending on the trains used, which would be the affected by giving space to Ouigo and Iryo in the workshops. They assure that the Madrid-Barcelona (Serie 103), the most profitable corridor today, would have two fewer daily circulations per direction. In total, they would have to reduce 10% of the seats offered and they estimate the impact at 650,000 kilometers per year that would no longer be traveled, some 1,100 circulations eliminated and 450,000 fewer seats on offer. As for the Galician corridor, the trains to Huelva and the Basque Country (Series 120 and 121), together they would add a reduction of 1.5 million fewer kilometers per year, more than 3,300 circulations eliminated and some 800,000 fewer seats available. In total, each day it is estimated that there would be 16 trains inoperative on these lines. And in the Avant of Valladolid they calculate a suppression of six daily trains or the reduction of the double trains that are currently operational during rush hour. In total, Renfe estimates that there are 1.2 million of its own seats at stake. Of them, more than a million are part of what is known as Public Service Obligation (OSP) and they believe that it can impact with a decrease in income of up to 60 million euros. Aggrieved? The feeling of grievance is not new within the company and the Ministry of Transportation. In April 2024 they already made it clear that they considered that the rules were not fair because while Ouigo and Iryo only have to serve where they consider it beneficial to their interests, Renfe is obliged in going to brokers where economic viability is not guaranteed. Added to this is that the company feels doubly harmed. And Renfe has been trying to expand its business in France for some time but Many obstacles have been found in the neighboring country to reach Paris, the most economically juicy link in the neighboring country. And from the Ministry of Transportation they have repeated on several occasions that Ouigo is a company supported by the French State and that it would not be able to operate if it had to face its debts on its own. Diffuse. The problem, explained in Chain Being is that the Directive 2012/34/EU (RECAST) on the single railway space and the standard EN 15380-4:2021 They do not clearly specify what is considered light or heavy maintenance. In the first it is pointed out that heavy maintenance is all those tasks that are not routine and in the second it is defined as the works in which the train has to be dismantled. However, these definitions do not seem to be sufficient for competitors as they have different perspectives of what is and is … Read more