{"id":278695,"date":"2025-09-05T20:09:20","date_gmt":"2025-09-05T10:09:20","guid":{"rendered":"https:\/\/www.railfreight.com\/?p=65664"},"modified":"2025-09-05T20:09:20","modified_gmt":"2025-09-05T10:09:20","slug":"no-extra-money-for-german-tac-subsidies-db-infrago-applies-for-higher-charges","status":"publish","type":"post","link":"https:\/\/www.vibewire.com.au\/?p=278695","title":{"rendered":"No extra money for German TAC subsidies, DB InfraGO applies for higher charges"},"content":{"rendered":"

The new German government has approved its first budget. For rail freight, the key question on the table were subsidies for track access charges (TAC). Would the government step forward and lower costs for the sector? Or would it let the opportunity slide?<\/strong>
\n<\/span>The answer to that question is spoiled by the headline of the article: Germany\u2019s budget has made no chances to TAC subsidies. Neele Wesseln, Managing Director of Germany\u2019s private rail freight association Die G\u00fcterbahnen, was quick to comment on the matter: \u201cDespite all the warnings, the federal government is refusing to increase track access charge subsidies, thereby missing an opportunity to send a clear signal about the competitiveness of rail\u201d she said.<\/p>\n

\u201cAnyone who seriously wants to shift traffic from road to rail must fundamentally reform the track access charging system.\u201d Germany\u2019s TAC system is notoriously complex and favours local passenger rail over freight and long-distance passenger traffic. The last two bear a disproportionate amount of the costs.<\/p>\n

\u201cUntil this reform is implemented, significantly higher track access subsidies would have been absolutely essential. Instead, the federal government is responsible for massive misguided incentives in the system.\u201d<\/p>\n

DB InfraGO wants higher TACs<\/h2>\n

To make matters worse for German rail freight, the country\u2019s infrastructure manager DB InfraGO has applied for a 24% TAC increase in 2026. “For our members, it is now a matter of survival\u201d, comments Wesseln. According to Die G\u00fcterbahnen, such an increase would be\u201cnot out of necessity\u201d, but rather \u201cto reap high profits from the rail network.\u201d<\/p>\n

\u201cThe industry’s last hope lies in the planned law to reduce [DB InfraGO\u2019s] profit claims, which will be debated […] next Wednesday\u201d, says Wesseln. \u201cHowever, the \u2018moderate\u2019 reduction in returns provided for in the bill is not enough. Relief will only come when DB InfraGO is finally operated consistently in the public interest and without profit. Rail is a public good \u2013 and must no longer be allowed to degenerate into a profit machine that drives transport away from rail.”<\/p>\n