The EU has the Public Service Obligation law. So it’s an agreement to keep the rail routes that went private under obligation to be a public good, where, yes they do give private companies a monopoly on a certain route, but often the lines and sometimes even cars are owned by the government. But they impose regulations and price caps.
So, again, it’s the state shoveling off the cost of running the day to day operations, while empowering a company to take the reins under pretty strict guidelines because the service is public. They’re given subsidies to operate and it still saves the government money, as well as assuring the lines that aren’t profitable enough for the state to run on their own are still running under government contract with private companies.
That’s…not a very good example.
The EU has the Public Service Obligation law. So it’s an agreement to keep the rail routes that went private under obligation to be a public good, where, yes they do give private companies a monopoly on a certain route, but often the lines and sometimes even cars are owned by the government. But they impose regulations and price caps.
So, again, it’s the state shoveling off the cost of running the day to day operations, while empowering a company to take the reins under pretty strict guidelines because the service is public. They’re given subsidies to operate and it still saves the government money, as well as assuring the lines that aren’t profitable enough for the state to run on their own are still running under government contract with private companies.
So…not the same at all.