Austria set to battle on in Brenner dispute

Date: 24/09/1998

By Renée Cordes

VIENNA is still refusing to back down in its battle with the European Commission over road tolls, despite mounting pressure to settle the issue before its EU presidency ends in December.

Austrian and Union officials plan to hold 'background talks' on the dispute in the margins of the meeting of EU transport ministers in Luxembourg next Thursday (1 October), but a spokesman in Vienna said it was unlikely that a compromise could be reached so soon after this weekend's German elections.

The Commission argues that tolls on a 30-kilometre stretch of the Brenner Pass highway, one of the main artery roads linking conti-nental Europe's northern and southern member states, are too high.

It has taken its case against Austria to the European Court of Justice, but the Luxembourg-based judges have yet to rule on the challenge.

Only last week, Kinnock said that a practical solution to the problem could be found. But Austrian officials have since poured cold water on press reports that a breakthrough might be in sight.

“It is not very popular to reach a compromise with the Commission,” said an Austrian spokesman. “Therefore, we will wait for the outcome of the case. As long as it is still pending, we don't have any problems.”

The battle over the Brenner Pass is a key factor holding up agreement on Kinnock's proposals for a Eurovignette scheme to harmonise road tolls for commercial vehicles.

The Commission is pressing the Austrian presidency to broker a deal on Eurovignettes during its term at the helm, arguing that this would pre-empt the need for unilateral action on Brenner Pass tolls.

“The bottom line is that a Eurovignette deal would be good for Austria,” said one official.

Austrian officials claim to be “cautiously optimistic” about reaching a political agreement on the harmonisation of charges.

“We hope to find a solution on the Eurovignettes, which will make it easier to find a solution to the Brenner dispute,” said a spokesman.

But diplomats from other member states, which are anxious to see the dispute settled, are sceptical about the chances of an early deal.

“This is something that has divided three or four presidencies, and I see no evidence that the Austrians are going to produce a trump,” said one.