In a recent statement, the head of the railway supervisory board advocated for an ambitious 150 billion euro investment in rail infrastructure renovations.
In a recent statement, the head of the railway supervisory board advocated for an ambitious 150 billion euro investment in rail infrastructure renovations.
The railway system in Germany is facing a plethora of challenges, from delayed trains to worn-out tracks, and outdated stations and technology. The Supervisory Board Chairman of Deutsche Bahn, Werner Gatzer, has publicly acknowledged the need for an infrastructure fund, estimated to be around 150 billion euros, to tackle these issues over the next decade.
Gatzer argues that the rail network is riddled with problems, including its advanced age, overcrowding, and propensity to fail. He believes that this substantial investment is crucial to improve the railway's condition and promote its development.
The financial burden of implementing this fund would reportedly be manageable, considering the falling debt ratio. Moreover, Gatzer emphasizes the importance of creating conditions that enable Deutsche Bahn to invest more rapidly and effectively.
Early last year, Independent Federal Transport Minister Volker Wissing proposed a similar infrastructure fund, with private investors invited to contribute. However, the specifics of the fund design remain uncertain.
Industry associations acknowledge the sensibility of this financing solution given the rail infrastructure's problems. They argue that a long-term financial solution would provide industry with much-needed security to develop capacities and reduce construction costs.
In terms of broader rail infrastructure demands, German rail unions have put forth several proposals, including a multi-year financial framework, reduced track access charges, and an updated digitalization and ETCS strategy. While these demands highlight the need for significant investment, the precise amount being proposed is not clearly outlined.
Gatzer, the Supervisory Board Chairman of German Railways (Deutsche Bahn), is advocating for a massive investment of approximately 150 billion euros to improve the railway's infrastructure over the next decade. This investment, aimed at addressing issues such as aging networks, overcrowding, and outdated technology, is seen as crucial by Gatzer for promoting the development of German Railways.