24.10.2022

Official Journal of the European Union

C 408/10

(Case C-614/20) (<span class="oj-super oj-note-tag">1</span>)

(Reference for a preliminary ruling - Regulation (EC) No 1370/2007 - Public passenger transport services by rail and by road - Imposition by means of general rules of an obligation to carry certain categories of passenger free of charge - Obligation for the competent authority to grant public service compensation to operators - Calculation method)

(2022/C 408/11)

Language of the case: Estonian

Referring court

Parties to the main proceedings

Applicant: Lux Express Estonia AS

Defendant: Majandus- ja Kommunikatsiooniministeerium

Operative part of the judgment

1.Article 2(e) of Regulation (EC) No 1370/2007 of the European Parliament and of the Council of 23 October 2007 on public passenger transport services by rail and by road and repealing Council Regulations (EEC) Nos 1191/69 and 1107/70, as amended by Regulation (EU) 2016/2338 of the European Parliament and of the Council of 14 December 2016

must be interpreted as meaning that:

the concept of ‘public service obligation’, referred to in that provision, covers an obligation for undertakings providing in the territory of the Member State concerned a public transport service by road and by rail — laid down in national legislation — to carry free of charge and without receiving compensation from the State certain categories of passenger, in particular, children of pre-school age and certain categories of persons with disabilities;

2.Articles 3(2) and Article 4(1)(b)(i) of Regulation No 1370/2007, as amended by Regulation (EU) 2016/2338

must be interpreted as meaning that:

the competent authorities are required to compensate undertakings providing in the territory of the Member State concerned a public transport service by road and by rail for the net financial effect, positive or negative, on costs incurred and revenues generated in complying with the obligation for those undertakings, established through a general rule, to carry certain categories of traveller free of charge, in particular, children of pre-school age and certain categories of persons with disabilities;

3.Article 3(2) of Regulation No 1370/2007, as amended by Regulation (EU) 2016/2338, and point 2 of the annex thereto

must be interpreted as meaning that:

compensation for the net financial effect, positive or negative, on costs incurred and revenues generated in complying with the tariff obligations established through general rules, which aim at establishing maximum tariffs for certain categories of passenger, must be granted in accordance with the principles set out in Article 4 and Article 6 of that regulation and in the annex thereto, in a way that prevents overcompensation. The compensation may not exceed an amount corresponding to the net financial effect equivalent to the total of the effects, positive or negative, of compliance with the public service obligation on the costs and revenue of the public service operator, which are assessed by comparing the situation where the public service obligation is met with the situation which would have existed if the obligation had not been met.

Language of the case: Estonian

(1)

OJ C 35, 1.2.2021.