Lateness, cancellations, deteriorating infrastructure — Germany can no longer pride itself on its railways, and significant funds and an extended period will be required to address this issue.
The CEO of Deutsche Bahn, Richard Lutz, exudes an overall atmosphere of positivity and tranquility, which might be essential qualities for his role. During the unveiling of the 2024 annual report in Berlin, he stated, "Deutsche Bahn is currently facing one of its most significant crises over the past three decades." Since taking charge of the publicly owned firm in 2017, Lutz noted that they still have considerable ground to cover in critical sectors compared to customer expectations.
{getToc} $title={Table of Contents} $count={Boolean}
In the long history of Germany's national rail operator, it has never been as unpunctual as it was last year. Only 62.5% of long-distance trains arrived without Delays of at least six minutes or longer And even this figure is higher than it should be since it doesn’t account for trains that were cancelled or those that ended their routes early, essentially failing to arrive at their intended destinations.
Adjusting your watch according to German trains? No longer possible.
In 2024, Deutsche Bahn continued to include the term "anticipated" when providing arrival times. The company was forced to compensate its customers nearly €200 million ($215 million) for delays and canceled trains , nearly €70 million higher than the amount in the preceding year.
However, the delays are not the sole issue. In 2023, Deutsche Bahn experienced a deficit of €2.7 billion. Although the previous year’s financial statement showed a much smaller loss of merely €330 million, this was due to the federal government providing €1.8 billion for upkeep activities. All things considered, Deutsche Bahn has accumulated debts totaling €32.6 billion.
Who is accountable for this? Is it the head of Deutsche Bahn? For years, Lutz has been promising a turnaround In 2019, he introduced the "Strong Rail" initiative aimed at "helping meet the transportation and environmental policy objectives" in Germany, as stated. The objective still stands today. However, he also noted, "We must recognize that we are considerably behind the standards and expansion goals we established previously."
The recovery has been hindered by rising inflation, the significant decrease in passenger numbers due to the coronavirus pandemic, and most importantly, the deteriorating infrastructure.
Deutsche Bahn stated that the extent of the operator's infrastructure issues had been underpredicted, a point Lutz highlighted as DB’s primary “Achilles' heel.” This is the fundamental reason behind numerous delays. "Maintaining consistent service on unreliable and obsolete infrastructure is unachievable for us," he added.
19th century infrastructure
The railway age in Germany started in 1835, and some segments of tracks, turnouts, and signaling equipment from the 1800s are still in use today. The rail system covers approximately 33,500 kilometers, with portions being so deteriorated that interruptions and failures frequently occur.
In 2023, DB committed a record-breaking €7.6 billion to maintenance efforts; however, much of the infrastructure remains antiquated such that the digitized railway technologies set to be commonplace in coming years are ineffective.
New construction is imperative. Concrete plans are in place to enhance 40 key routes crucial for managing the high-capacity network. This initiative aims to reach approximately 4,200 kilometers of tracks by 2030. One significant section has already been finished: known as the Riedbahn, a 70-kilometer corridor connecting Frankfurt am Main with Mannheim.
The expenses amounted to approximately €1.5 billion, which is about 15% higher than initially projected. This included removing and replacing 152 turnouts as well as 140 kilometers of overhead wiring, alongside rail tracks and track ballast. Furthermore, all 20 stations along the route underwent upgrades, together with improvements to signaling systems and noise reduction measures, leading to a total shutdown of the line for five months.
Travelers will need to remain patient.
This year, the roughly 280-kilometer stretch from Hamburg to Berlin will also experience changes. Serving about 30,000 travelers daily, this route stands as the busiest intercity direct link within Germany’s extensive rail system; an average of 230 regional, long-distance, and cargo trains traverse this track each day.
The construction project, with an estimated cost of €2.2 billion, is set to start in August, and the line will likely remain out of service for around nine months. As a result, travelers can expect their trip from Berlin to Hamburg to be approximately one hour longer due to the required rerouting.
The CEO of Deutsche Bahn is optimistic about the major renovation project set to conclude by 2030, despite it focusing primarily on fixing key high-traffic lines. "We at Deutsche Bahn are tackling our tasks head-on," stated Lutz.
{getCard} $type={post} $title={You might like}
However, this is insufficient on its own. Politicians are now expected to establish appropriate frameworks: Streamlining planning and approval processes is necessary, yet the crucial factor remains funding—specifically, as Lutz pointed out, ensuring consistent long-term finance for infrastructure renewal along with reliable planning conditions.
The CEO stated that the recent declaration of €500 billion in additional infrastructure funds had lifted a significant burden from him. The Christian Democrats (CDU/CSU) and Social Democrats (SPD), who are presently negotiating to establish a new governing alliance alongside the Greens, have recently proposed this initiative. massive debt-financed financial package For both protection and structural investment expenditures.
Renovation of railways—also for military purposes
Deutsche Bahn aims to extensively utilize the financial aid package. An overall sum of €150 billion is required to overhaul, extend, and digitalize the railway system; however, this figure comes on top of the over €50 billion already allocated for ongoing renovation projects up to the year 2030.
"The societal significance of a well-functioning infrastructure cannot be overstated," stressed Lutz.
"Their dependability and toughness are crucial for Germany’s position as a central transit hub within Europe, particularly considering the current state of European security," he further stated, implying that his firm significantly contributes to the transport of military gear across the nation.