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30 Jun 2020, 13:44
David Reay

Germany to invest 3 billion euros annually in railway expansion

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The German government is doubling its annual investment in rail infrastructure in a bid to make its entire network greener, more efficient and more reliable. The , announced by Federal Transport Minister Andreas Scheuer today, will see yearly spending on track expansion and new construction increased to three billion euros a year, starting with immediate effect.

Scheuer said the main drivers behind the 鈥淩ail Pact鈥 were climate change and digitalisation: 鈥淭he railway is the first form of transport that we can make climate neutral, we therefore have to move traffic from the roads to the rails.鈥 Key goals are to double passenger numbers by 2030 (currently around 2.6 billion per year) and significantly increase freight transport, with the aim to eat into air travel and road haulage capacities. Around 100,000 jobs are expected to be created at state rail operator Deutsche Bahn alone.

Critics are sceptical of the plan's importance, however. , Green Party leader Anton Hofreiter called the minister's announcement 鈥渁 show event鈥 that lacked any new plans and said real modernisation would cost 鈥渁n additional several billion euros鈥.

Germany鈥檚 largely state-owned rail network is a primary focus of the country鈥檚 transport sector transition plans, with a reduction in less climate-friendly passenger and freight transport modes seen as key to cutting emissions. Deutsche Bahn reportedly wants to use 100% renewable power by 2038, for example. However, rail freight figures remain stubbornly stagnant and the use of planes and trucks was steadily on the rise before the coronavirus crisis struck.

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