Jack Short: Investments in Infrastructure Need to be More Efficient ITF Secretary General at the EIB Forum in Barcelona

PARIS and BARCELONA - “The economic crisis has put transportation at the crossroads: We
urgently need to address the prioritisation of investment serving the most
productive activities and notably international trade in goods and services”,
said Jack Short, Secretary General of the International Transport Forum
(ITF), at the EIB Forum in Barcelona on Thursday, warning that “in the
present crisis, efficiency and profitability of infrastructure investments
are crucial for the future of transportation”. Public funding is scarce and
private investments recently have become more difficult to obtain. Stricter
oversight on risk management practices may increase the price of private
funds, explained Mr. Short. “Private sector involvement is no panacea.” At
times of crisis like this there is a tendency to close in and look inwards.
“But trade and international activities have been fundamental to growth. So
stimulus packages should have an international dimension”, explained the
Secretary General.

In considering different transport modes, Mr. Short pointed out, road
transportation will remain an important mode both for passengers and goods.
“That’s why we need an efficient road system and clean vehicles”, he urged.
At the same time, the extension of high-speed and other train connections has
to be continued - even in the face of the current economic crisis. “But
railway investment needs to be selective, concentrating on key corridors and
supported by a range of policy and practical measures.”

We have observed rail share increases, the Secretary General noted,
especially in dense port-hinterland routes, but this is mainly “because of
market-push rather than policy-pull”. He called on policy-makers to create
the right conditions and acknowledged the efforts of some governments to
increase infrastructure investments within the present stimulus packages as
well as the important role the EIB plays in this. “But the infrastructure
projects need to be chosen carefully. They need to serve a long term
perspective for an efficient, safer, better funded, more interoperable and
more sustainable transport system.”

These and other topics will be the focus of the world’s leading
transportation policy and industry meeting, the upcoming International
Transport Forum in Leipzig, 26 to 29 May, where the ITF will convene the
Ministers of Transport of the 52 member nations, as well as top industry
representatives and leading researchers.

www.internationaltransportforum.org

Source: International Transport Forum

Contact: Michael Zirpel, Director of Communications International Transport Forum, Tel. +33-(0)1-45-24-95-96, Fax. +33(0)1-45-24-13-22, michael.zirpel at oecd.org