CFR Calatori and the Finance Ministry will work on a scheme to reduce the railway operator’s arrears by 300 million lei (EUR69 million) by the end of June 2012.
These measures are included in the Government’s letter of intent to the International Monetary Fund, following the latest review.
CFR Calatori will also hire an adviser tasked with determining by the end of May the minimum social package ensured to people considering expenses.
MEDIAFAX reported last summer the Government will consider closing railway lines used by subsidized passenger trains, if their revenue is lower than 50% of the forecast level.
An appendix to the state’s contract with each passenger railway operator will allow the Transport Ministry to compare the collected revenue to the forecast earnings, every quarter. Should the actual collections be lower than 50% of the forecast revenue, the government will evaluate whether the line should be kept in service.
This rule will apply to the “minimum social package,” which includes passenger trains and lines kept operational despite their losses. Some of these lines are used by private firms, with subsidies from the state. The package is set each year by the minister of transport.
CFR Calatori is on the list of state companies monitored by the IMF, and will also have a private manager.
The railway operator registers debts of RON484 million. It estimates revenues in 2011 stand at RON2.5 billion and losses at the same level. (EUR1=RON4.355)