Session II.
The Era of Public Railway Operations: An International Assessment.
Editors: Miguel Muñoz Rubio (FFE) and Pedro Pablo Ortúñez (UVA).
Domingo Cuéllar (King Juan Carlos University)
An Approach to the Study of Passenger Rail Fares at RENFE (1941–2005)
The railway fare system has been characterized by a series of peculiarities related to its complexity, the uncertainty surrounding its efficiency, and the habitual social rejection it often faces. Furthermore, it must be taken into account that railway operations have developed within a monopoly framework, whether private or public. This uncertainty regarding outcomes is an inherent characteristic of all fare systems in transportation.
This paper focuses its study on RENFE’s passenger fares between 1941 and 2005, with the aim of conducting, on the one hand, an analysis of the organization of the fare system, including the changes and developments that occurred. On the other hand, we aim to calculate the average fare collected—a parameter commonly used by railway companies—which served to gauge the evolution of revenue per passenger-kilometer and the average distance traveled by these passengers. Finally, we are interested in relating these fares to the evolution of Spaniards’ purchasing power during this period. The aim is, in addition to obtaining the data indicated here, to provide a long-term perspective on the evolution of the cost of rail travel in Spain.
The bibliography and sources of reference range from previously published works on RENFE and the analysis of railway fares in general to RENFE’s annual reports, statistics, and yearbooks, which contain data and information relevant to the subject of this research.
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Manuel E. Contreras (independent researcher, Bolivia)
Origin, Development, and Demise of the National Railway Company (ENFE) in Bolivia, 1965–1995
The ENFE was created in 1965 at the suggestion of the World Bank as part of the Bolivian government’s effort to reorganize the railway sector following the nationalization of the British railways. Thirty years later, it was privatized, in cooperation with the World Bank, due to its low productivity and persistent deficits. This paper will analyze its creation and how it became the administrator of a railway network previously managed by four private and five state-owned railway companies. It will examine the structure, growth, and modernization of ENFE within the context of the state capitalism model in Bolivia until the market-driven model prevailed in the neoliberal privatization of 1995. The paper will analyze the importance of railways and ENFE in various national development plans, the ongoing competition from road transport, and efforts to modernize ENFE through three World Bank loans and supplier credit. ENFE was privatized in 1995, and the paper will explain the rationale behind this process. The experience of ENFE will, where possible, be compared with that of other state-owned railway companies in Latin America. The paper is based on the author’s previous studies on railway development in Bolivia. The main sources will be ENFE annual reports, World Bank loan documents and correspondence from the World Bank Archives, transportation studies, and a review of the press. The document aims to be the first major piece of research on this important state-owned enterprise and will contribute to assessing its impact on Bolivian economic and social development.
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Michèle Merger (Honorary President of the International Association of Railway History)
The Early and Inevitable Nationalization of the Italian Railways and Its Economic Effects (1905–1914)
The nationalization of the Italian railways, passed in April 1905 under the Fortis government and finalized in 1906 under the Giolitti government, put an end to the 1885 Agreements responsible for the deterioration of relations between the State, owner of the lines, and the three major companies responsible for their operation (Compagnie de la Méditerranée; Compagnie des Chemins de fer Méridionaux Réseau Adriatique; Compagnie des chemins de fer siciliens).
We propose to analyze not only the conditions under which this nationalization took place—occurring a few years after that of the Swiss railways (adopted in 1899), but also the organization of the Ferrovie dello Stato and the first measures adopted by the new management led by Riccardo Bianchi—measures aimed at improving the network and rolling stock, which, by the end of the 19th century, were no longer measured solely in economic terms.
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Guillermo Guajardo Soto (UNAM, Mexico)
The State Railways of Chile: Formation, Expansion, and Demise of a Public Enterprise and Infrastructure, ca. 1850–1990
This presentation outlines the long and difficult process of establishing the State Railways in Chile, which, until the mid-20th century, exhibited the common and international characteristics of the rise and decline of this mode of transportation, but which, in the Chilean case, was characterized by early and continuous state involvement until a public longitudinal network was established across much of the country, operated by the State Railways Company (EFE), founded in 1884, with significant economic, institutional, and social ramifications. However, another defining feature was the deliberate decision taken in 1973 by the civil-military dictatorship to dismantle EFE and much of the national railway infrastructure through a sustained neoliberal policy of privatization and asset sales that undid more than a century of railway integration. The result has been a return to the origins of the railway’s implementation, with existing networks being redefined to serve passengersEFE in certain population centers, while freight is handled by private companies, resulting in the loss of the rail connection between the center and the north of the country, where a small, specialized private operator remains, dedicated solely to the transport of export minerals and imported goods. This is a case that requires further reflection and comparison regarding the role of the state, since in cases such as Mexico, the privatization of the nationalized railways in 1937 did not result in a loss of territorial continuity, as occurred with the state-run railways in Chile.
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Laurent Tissot (University of Neuchâtel, Switzerland)
The Swiss Federal Railways (SBB): Pioneers of a New Era of Mobility, as Exemplified by Their Electrification (1920–1950)
Created in 1902 through the nationalization of various private companies, the Swiss Federal Railways (SBB) established themselves as a pioneer in electrification starting in 1920 with the Gotthard line. By 1936, more than 70% of the Swiss network had been electrified, while the average in other European countries was 5%. Faced with a lack of coal, the search for alternative energy sources led to the electrification movement becoming a true national symbol, the economic and social consequences of which are evident at various levels: the emergence and consolidation of expertise linked to the development of specialized training programs in engineering schools; the creation of electric utility companies providing services; the introduction and widespread adoption of metered electricity in numerous companies that rely on transportation via grid connections. Secured by a near-monopoly, they are reshaping domestic mobility through the positive experiences they are gaining in terms of passenger transit.
Our presentation aims to demonstrate how the modernity of Swiss public railways has shaped that of the Swiss landscape. It will take as an example the 1935 launch of the Red Arrows, new light electric railcars that became iconic symbols of the SBB. As they travel across Switzerland’s entire network, these railcars embody what the SBB wants to showcase about the country: modernity, cleanliness, speed, flexibility, comfort, and accessibility—in short, the qualities of a technology that, for many, seems revolutionary.
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Miguel Muñoz Rubio (FFE) and Pedro Pablo Ortúñez (UVA)
The contribution of Spanish public railway companies to the economy and society
This paper will analyze the contribution of Spanish public railway companies—Renfe, Feve, and regional companies—to the economy and society between 1941 and 2021. First, it will analyze the evolution of the railway policies implemented, which evolved from the most rigid interventionism to liberalization, as well as the institutional organization of these companies. Second, the study will address productive activity and economic performance, focusing primarily on technological development and operational and financial results. Finally, an analysis will be conducted on the role these companies have played in Spain’s economic and social history over the past eighty years.
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Stefano Maggi (University of Siena)
Italian State Railways
In Italy, the railways were nationalized earlier than in other European countries, in 1905. The role of the state-owned company was even more significant, as the state railways played a part in World War I. This document will focus on the history of FS starting in 1905—as an organization, its impact on the country’s life, technological progress, and social modernization.
The State Railways were a public enterprise until 1985; having endured two world wars, they long served as the nation’s primary employer, and railway workers were the most unionized and politically active workforce.
During the public management of the Italian railways, at least four periods can be distinguished: the first from 1905 to 1920, during which the company was built up and faced the difficulties of war; the second during the Fascist period, marked by technological progress and the “myth” of trains running on time; the third with postwar reconstruction and the social role of the train in south-to-north migration; the fourth with the launch of high-speed trains and reform projects, which led to the transition to the private sector in 1985–1992.
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