What if, as a result of too high costs and prices compared to the competition, the heavy investments carried out at the airport were to prove futile, thereby depriving the country of an essential attraction factor?
Considering the size of its territory and its openness to other countries, Luxembourg is dependent on the quality of its infrastructure. The economic activity of the country rests on its capacity to manage flows of people and goods which enter and leave its territory. In order to front up to future challenges and put future growth on a good foundation, our infrastructure has to be adapted. The attractiveness of the site Luxembourg goes directly through the adequacy of its infrastructure. If we want to recruit the best talents, gather the best projects and attract investment towards our territory, we have to give ourselves the best means to reach these goals. Every obstruction, every delay and every failure can have devastating consequences for our economic development, to the detriment of the next generation. In order to avoid a catastrophe, our mindset towards infrastructure must imperatively change.
This is why it is useful to carry out a rational analysis of current infrastructure in order to highlight best practices to follow and elements that need improvement. Let us start our analysis with transport. Regarding our railway network, the TGV connection between Paris and Luxembourg is an asset and a good example to follow. The reduction of travel time has brought these two economic centers closer together. Unfortunately, railway connections with Belgium and Germany are the entire contrary. Decrepit and outdated infrastructure, failing services and missing connections are part of the sad reality. At the level of our railway connections, Luxembourg is not a major crossroads but a dead end. An improvement is all the more difficult to envisage considering the efforts that need to be carried out are outside of our territory and independent of our will. We need a transnational cooperation with European backing to reinforce railway connections and fund a grand project in order to get Luxembourg back on track.
The observation at the level of aerial connections is mixed. On one hand we dispose of a modern and attractive airport. Our national airline ensures an adequate public service, but nothing more. Connections towards capitals and large hubs are guaranteed, but other destinations are neglected. Considering the current competitive situation in Europe and the cost structure of our national airline, we are aware it does not have the weapons to enlarge its activities. However, our airport offers an absorption capacity that goes well beyond current levels of traffic. This is why we favor a greater opening of our infrastructure to foreign airlines, and to low-cost airlines. This opening will not only guarantee a better offer for our citizens, it will also allow us to attract more people to Luxembourg. The economic center and the site Luxembourg would greatly profit. Our prime position in the Greater Region would be reestablished and we would retake market share that was lost to other airports in the region. If we succeeded in creating a European hub for cargo, why are we unable to replicate this success for passenger transport?
The vast majority of cross-border flows in our country take place through the road networvk. The latter is well-developed, but saturated during rush hour. Considering the envisaged future economic evolution, we must reinforce our network in order to address current problems and preempt future challenges. If we do not manage to deviate part of the flow onto other means of transport, we will not succeed. Hence an improvement of railway connections is crucial. Moreover, a fundamental review of public transport is essential. New collection centers outside of major towns have to emerge. If we do not fundamentally change our approach, we risk suffocating our country. The attitude of the population towards public transport will change thanks to the quality of the service, not because it is virtually free of charge.
The proper functioning of our economy not only depends on transport systems. An adequate energy infrastructure and an interconnection with foreign networks is a sine qua non condition for the preservation of industrial activity in our country. The connection to other countries than Germany is a necessity and not a luxury. Building electricity lines to Belgium and France is urgent in order to save jobs in Luxembourg and make the future industrial development possible. The improved security of supply will not only benefit companies but will guarantee better service at lower costs for the entire population. For these projects to be realized we need a change in mentalities, especially from local authorities.
Energy security is also at the core of the development of telecommunications infrastructure. If we have the ambition to become an essential hub for data flows, we need to ensure a stable supply. Moreover, we need to pursue all avenues for growth, be they in broadband and satellites. Our country is in a good position, but competition lurks and we have to react. Growth opportunities are worth the effort.
Cultural and sports infrastructure are part of the business card of a country. It is laudable to develop them. However, we have to think about the next generations and invest in these projects in an intelligent manner. We have to promote synergy and avoid duplication. We have to avoid behaving like an Emirate by building opulent palaces that will never be used to capacity. Common sense and an efficient management of infrastructure are needed. The same concern for efficiency is to be applied to education infrastructure, whilst being aware that the main improvement is needed on the content rather than on the container.
Investment in optimal infrastructure is essential for the development of the country in order to attract talents to our territory and to connect it to the rest of the world. Luxembourg being founding member of the European Union and home to a number of its institutions is an asset and an opportunity. The accessibility of the country will determine its future place in the European institutional landscape.