Open AccessJUSTIFICATION OF THE NEED FOR CAPITALIZATION OF RAILWAY TRANSPORT
Author(s) -
Maryna Potetiuieva
Publication year - 2021
Publication title -
problemi sistemnogo pìdhodu v ekonomìcì
Language(s) - English
Resource type - Journals
ISSN - 2520-2200
DOI - 10.32782/2520-2200/2021-3-7
Subject(s) - natural monopoly , capitalization , restructuring , business , liberalization , industrial organization , monopoly , public transport , deregulation , productivity , economics , finance , market economy , transport engineering , economic growth , engineering , linguistics , philosophy
The article examines the need for capitalization of railway transport and notes that a stable railway transport is a guarantee of development of all sectors of the economy, and its effectiveness is determined by the dynamics of recovery of fixed assets, growth of demand for rail transport, structural reform, efficiency of tariff policy, state-regulated natural monopoly sectors, the intensity of use of international transport corridors. The contribution of railway transport to the economic development of the country is determined, which is manifested in the effect of the network, improvement of results, reliability, market size and productivity. The main factors that prompted railway transport to capitalize are identified, which include: restructuring (involves market introduction and competition in areas that are not a natural monopoly), market liberalization and the creation of joint ventures or public-private partnerships. These factors were considered on the example of railway transport in European countries, in particular, the restructuring was considered on the basis of the experience of Polish Railways, market liberalization - Lithuanian Railways, and public-private partnership - French National Railways. Consideration of the capitalization of railway transport took into account its attribution to the critical infrastructure and the commitment to perform socially important tasks. The analysis allowed to identify a number of advantages (relative efficiency, the possibility of using different types of packaging and forms of transportation, flexibility of delivery, independence from climatic conditions and seasonality) and disadvantages (large infrastructure, increased costs in case of increasing transportation distance, transshipment in case of intercontinental transportation etc.). It is substantiated that the formation of a systematic approach to the capitalization of railway transport will increase the efficiency of equity use, maximum satisfaction of demand in the market of transport services, the formation of economically sound management structure and maximize the efficiency of financial investments.