THE FREIGHT RAILWAYS with a Call to the Future Federal Government

Germany has voted: The Union and SPD should quickly begin exploratory talks and coalition negotiations. THE FREIGHT RAILWAYS outline the three most important levers for a rail-friendly coalition agreement: the separation of infrastructure from the DB Group, a rail infrastructure fund, and the resolution of the track pricing crisis. The “GroKo” must start with an opening balance sheet.

THE FREIGHT RAILWAYS remain committed to increasing the rail share in freight transport to 25 percent by 2030. The task package for the new government is well-filled, especially since the traffic light coalition has only decided on isolated and often contradictory measures in the transport sector until the end. Instead of leaving it at general wishes in a short coalition agreement, THE FREIGHT RAILWAYS suggest clearing up points of contention beforehand. Subsequently, the coalition should start the legislative period with a ruthless opening balance sheet and then pursue a coherent overall concept for the coming years. “Germany should one day be proud of its rail transport again. This is also what the majority of the population and the industry wish,” says Ludolf Kerkeling, Chairman of the Board of THE FREIGHT RAILWAYS. “This includes shaping the framework conditions so that the market can make a free decision regarding the modes of transport. Politics must stop making a pre-determination about which mode of transport should carry goods through environmentally harmful subsidies for truck transport – especially since it is simultaneously allowed for freight railways to be crushed by costs. It is absurd to claim that the increase in truck tolls at the end of 2023 has not shifted any traffic. During the same period, track prices rose by 111 percent, while the truck toll increased by 80 percent.”

Starting with Three Top Topics

For THE FREIGHT RAILWAYS, a coalition should start with three top topics that must be regulated in the coalition agreement and that exhibit high pressure for action in parallel to an opening balance sheet and an overall concept for railways in Germany:

The “construction site” Deutsche Bahn is likely to become a sticking point with significant losses for one side, as the Union and SPD are far apart. “The arguments are on the side of those advocating for the separation of infrastructure from the group“, says Kerkeling. Quality and productivity in rail infrastructure can only be improved, and the accountability of DB AG to the legislature can only be ensured if this step is taken. This also includes the development of an ownership strategy and clear legal mandates for the expansion and operational quality of the network. The steering and control functions of the federal government should then be carried out by a Federal Office for Rail Infrastructure (BaSchi) modeled after the Swiss Federal Office of Transport – this can be done in a neutral manner.

Planning and Financing Security for Rail Infrastructure

Furthermore, planning and financing security for rail infrastructure must be established. Kerkeling: “The industry fears every year anew for the funds for infrastructure. The traffic light coalition has not ended this despite some good intentions.” A multi-year financing architecture is needed with funds for renovation and maintenance as well as for the new construction and expansion of the rail network. Established financing sources must ensure an allocation of 20 billion euros annually. “Moreover, we warn the Union: The principle of ‘transport finances transport’, which was introduced in December 2023, must remain. The alternative of freight trains instead of even more trucks on Germany’s roads cannot unfold if funds are hastily accelerated for road construction while funds for rail are again lacking.”

Exploding Track Prices Demand Quick Solutions

The exploded track prices demand quick solutions and a long-term reform. Another price jump of 50 percent or more is threatened from the end of 2025 if the profit demanded by DB InfraGO is not legally capped. The two parties must ensure that DB InfraGO calculates the track fees in a socially responsible manner, as provided for in its statutes since 2024. A fundamental reform of the track pricing system must be decided by 2026 at the latest.

Photo: © THE FREIGHT RAILWAYS