Frankfurt am Main/Bonn – IG Metall and Germanwatch are calling on the federal government to allocate more funds to rail transportation and to reallocate resources accordingly. “We see an urgent need to prioritize investments in rail within the transportation budget,” states a joint letter from the two organizations to representatives of the federal government and policymakers. The rail network needs sufficient and predictable funding—free from pressure to generate returns—for renovation, modernization, and expansion. The Bundestag’s Budget Committee is currently negotiating the details of the 2025 budget and is expected to amend the draft legislation accordingly.
“During the European Championship, the whole world saw that Germany has a problem with its infrastructure. The rail network has been run into the ground for too long. Higher prices for passenger and freight rail transport are putting a strain on the roads. What we need is the rapid expansion and renovation of the rail network, not new highways and expressways,” says Christoph Bals, Political Director of Germanwatch. “The federal government must allocate investments in the federal budget accordingly.”
Jürgen Kerner, Vice President of IG Metall, emphasizes the importance of rail for the economy, employment, and climate protection: “Rail is an industry of the future, accounting for half a million jobs in Germany alone, around 55,000 of which are in the rail and supplier industries. It is the backbone of mobility in Germany. Without a modern rail network and a strong rail industry, the mobility transition will not succeed. Rail network operators, the rail industry, and the construction industry now need a clear signal from policymakers.”
IG Metall and Germanwatch are calling for the rail network to be managed in the public interest going forward. An equity increase at Deutsche Bahn could only be a temporary budgetary solution. This is because it would trigger pressure to generate returns, which could lead to a competition-distorting increase in the cost of rail transport and thus run counter to the goals of shifting traffic to rail. Therefore, improvements should now be made to the track access charge compensation system. Otherwise, Germany could face congested roads as early as 2025.
The organizations emphasize that investment funds are needed not only for the rapid, barrier-free expansion of the rail network but also for the renovation and maintenance of the entire transportation infrastructure. Crumbling railways, federal and state highways, as well as dilapidated highway and railway bridges, require urgent action. The construction and expansion of highways and federal roads, on the other hand, would tie up urgently needed funds. In addition, they propose establishing a multi-year infrastructure fund modeled after the Swiss system. This fund is intended to overcome dependence on annual budget decisions and thus ensure planning certainty. Transportation Minister Wissing had also previously spoken out in favor of such a fund.
Another reason for the letter is the long-overdue review of the road and rail needs assessments. The federal government should use this opportunity to reprioritize the eight-year-old plans using current methodology. In doing so, the following must apply: Infrastructure planning—and thus the needs assessments—must be guided by the modal shift targets.
“The rail sector demonstrates that industry and climate protection are not mutually exclusive,” IG Metall and Germanwatch emphasize in their open letter. In it, they call on the responsible politicians: “Use the federal budget and the review of the demand plans to provide further impetus for the German and European rail sectors following the world’s leading trade fair, Innotrans, in Berlin.”
