The agreement reached by transport ministers on new EU rules setting out how competition on the rail market must work in practice has been welcomed by the Commission. According to the Commission Vice-President and responsible for transport Siim Kallas, the new rules will ensure that opportunities to compete exist not just in theory but in practice and passengers and companies will get more choice and better quality services.

The proposed directive aims to increase competition on the rail market through more transparent market access conditions and providing easier access, for example by requiring improved access (and in certain cases guaranteed access) to rail-related services; establishing explicit rules on conflicts of interest and discriminatory practices in the rail sector; requiring more detailed "network statements" – i.e. documents published annually so that potential newcomers can see clearly the characteristics of available infrastructure and conditions for its use.

In addition, the proposal strengthens the power of national rail regulators so they can enforce the law, including proposals for measures such as extending the competence of national regulators to rail-related services, requiring the independence of national rail regulators from any other public authority, strengthening the powers of the national rail regulators (in terms of sanctions, audit, appeals procedures and ex-officio investigating powers) and establishing the obligation imposed on these bodies to cooperate with their counterparts on cross-border issues.

The new rules on infrastructure financing and charging aim to develop a harmonised "financial architecture" to encourage investment. Measures proposed include requiring national long-term strategies and multi-annual arrangements between the state and infrastructure managers (linking funding to performance, and business plans) and requiring more precise and smarter infrastructure charging rules. The new charging rules (with the introduction of noise-related modulation as the rail equivalent of external cost charging for road transport, discounts for interoperability) should also stimulate private investments in greener and interoperable technologies.

In resume, the new rules will establish a more competitive rail market by ensuring fair access to rail infrastructure and rail-related services; strengthening the power of national regulators; and improving the framework for investment in rail. Now, the proposals must be voted by the European Parliament at first reading before becoming law. A vote by the European Parliament is foreseen for early Autumn 2011. With strong political will, the final text could be adopted in the first half of 2012.