SLOVAK TRUCKERS THREATEN BLOCKADE OVER TOLLS

UNCLAS BRATISLAVA 000535

SIPDIS

EUR/CE FOR J. MOORE AND M. LIBBY

E.O. 12958: N/A
TAGS: ECON ELTN LO
SUBJECT: SLOVAK TRUCKERS THREATEN BLOCKADE OVER TOLLS

SUMMARY
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1. Slovak truckers are threatening to block gas stations
nationwide to protest the new electronic toll system that is to
be activated on January 1. Dissident members of the national
trucking association are trying to force the government to
reduce prices for installation of dashboard tolling equipment as
well as the tolls themselves. While the truckers have won a
small concession on the installation charges, the blockade is
going forward on January 4. End summary.

Protesting High Prices
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2. After several days of threats and months of acrimonious
debate, dissident members of the Association of Road Transport
Companies (CESMAD),which represents 1,100 trucking companies,
are threatening to block gas stations on January 4, the first
working day of the new year. The immediate cause of the threats
is the price of installing a dashboard electronics unit which
measures distance traveled on motorways. The unit is required
to be in every truck and bus (over 3.5 tons) using Slovak toll
roads after January 1, though many truckers have delayed their
installation in hopes of a price reduction. The delays have
given those who delayed more to complain about, since they face
mounting time pressure to get the units installed at one of only
eight authorized outlets. As of December 28, some 50,000 trucks
and buses had been equipped and registered for the new toll
system, and the numbers are growing quickly. In a meeting on
December 30, the truckers managed to wring a concession from
Minister of Transportation Lubomir Vazny, lowering the price
from EUR 134 to EUR 112.


3. Vazny did not concede to the truckers' second demand, a reset
of the tolling rates and methodology. They complain that the
system charges too much for delivery vehicles that hop on and
off the motorways frequently, as opposed to vehicles that run up
high mileage on the highways. This issue in particular has
caused the smaller, more local firms to split from the larger
companies--overwhelmingly long-haul truckers--who are perceived
as controlling CESMAD. As part of the protest, the dissidents
are now saying they will start another association to represent
their own interests.


4. As things stand at midday December 31, the dissident members
have backed down from earlier threats to blockade the borders
and gas stations; they now plan to "meet" at gas stations
throughout the country on January 4 to "discuss the situation"
and "inform the public" about their grievances. What this means
in practice is anybody's guess, but it is certain that the
truckers will go to these discussion groups in their big trucks.
This will result in a near-blockade that will make it necessary
for motorists who can get through lines of trucks at station
entrances to deal with truckers armed at least with leaflets.
Vazny has promised to resume discussions with the truckers on
Monday.

COMMENT
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5. This protest is only the latest in the much-debated
electronic tolling system's brief history. For over a year, the
government has defended the selection of a Slovak-French
consortium, SkyToll, to build the system. SkyToll submitted the
highest of three qualified bids, with a spread of 15 percent
above the next highest bidder. Despite some interest from the
EC and protests from the losing bidders, the project has gone
ahead with little review or audit. The protests over steadily
rising toll estimates have marred the new system still further,
as has the decision to limit it for the first year or more to
heavy transport, the most lucrative segment of traffic on the
roads. Passenger cars will be on the existing vignette
(windshield sticker) system for at least another year. What
will be in effect a nationwide strike next Monday will be a
fitting launch for the project.

EDDINS