Reforms of the 1990s Nederlandse Spoorwegen



current headquarters, utrecht


in 1990s, government started question subsidies given ns. not there questions regarding way ns spent subsidies, but, after neo-liberal reforms of 1980s, considered not done award generic subsidies companies. government decided on verzelfstandiging of ns. (although technically, not case, instead refers here withdrawal of subsidies.) idea not rail transport economically viable, there competition well.


there 2 external circumstances allowed happen. firstly, european union passed directive 91/440, prescribed, among other things, (formal) separation of national railways 2 separate companies, 1 deals infrastructure, , other deals transport activities. secondly, old ceo of ns, leo ploeger, retired, allowed government name new ceo execute government s plans. new ceo rob den besten.


the plans entailed government remain responsible rail infrastructure, while ns provide (passenger) transport on commercial basis. services prove economically inviable, government subsidize route. division responsible infrastructure later turned ns railinfratrust.


to facilitate government plans commercial operation of ns, den besten planned split ns many smaller independent divisions. idea these smaller divisions better able respond market. plans, however, received massive opposition unions, meant divisions created ns reizigers, , locomotive maintenance company nedtrain. there other internal changes in company. route managers got de facto control on operation, dependent of different organ in company.


the freight sector ns cargo became part of deutsche bahn after merger railion in 2000.


these reforms never of success , left company in uncontrollable state. result company started decline rapidly, , employees started many unorganized strikes. following this, complete board of directors felt necessary resign in late 2001.


in 2002 karel noordzij named new ceo of ns mission restore confidence in company. in essence, did reversing reforms of late 90s , restoring company old state. meanwhile, government had changed opinion of railways, no longer considered competition on (passenger) transport viable goal. thus, government started commission railway operators run routes on network. ns granted (by national government) concession run on main lines, whereas other companies received number of concessions on secondary lines. goal give individual concessions individual lines, (at least) until 2025 ns holds concessions main lines.








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