Sir-High speed rail links, may affect regional air services, although, the only example to date where there has been significant loss of market share is the French TGV, but it is wrong to suggest that investment funds, are not used to develop such a network, (Letters, Flight International, 19-25 July, P37).
Most high-speed lines are required to meet a specified rate of return (typically 8%). Certain projects (such as the later TGV lines) may fall below this figure where other factors, such as regional development, can be used to justify investment. It is not correct to say that, because a rail network as a whole - including commuter and rural lines - requires subsidy, investment in high-speed lines automatically equates to a subsidy.
I would dispute that the main competitor to high-speed rail links is aviation. Indeed, the two modes compete only at the margin. Empirical evidence suggests that rail has a significant market share of journeys of up to about 3h, therefore posing a threat up to about 500km (300 miles).
The reason for developing a high-speed-rail network is that, to prosper, any country requires an effective infrastructure. Many would argue that there needs to be some modal shift from road to rail, but many rail lines are saturated. If new lines must be built, it makes sense to build them to accommodate high-speed traffic. Although cost over-runs are often caused by the addition of more environmental safeguards, a high-speed rail line is less environmentally damaging than a new motorway, or a runway, in an urban area.
Major airports (such as Paris Charles de Gaulle, Frankfurt, Amsterdam, etc) are already, or have plans to be, connected to high-speed rail links. This is partly because of growing shortages of slots, with the need to give priority to longer-distance services. Such airports would not be keen on building stations if they thought that their businesses would suffer. Europe's airports are all forecasting significant growth in passenger numbers and the development of rail links will benefit the aviation business by helping to solve chronic airport ground-access problems.
PETER GORDON
Uxbridge, Middlesex, UK
Source: Flight International
