Germany plans to invest 86 billion euros for upgrading its railway infrastructure. Germany signed an agreement with Deutsche Bahn (railway operator) on Tuesday to upgrade the railway network of the country, what is considered to be the “biggest modernization project ever”.
The federal government plans to contribute 62 billion euros to the budget of the project and the remaining 24.2 billion euros will be provided by the Deutsche Bahn, Germany’s private, joint-stock company. The scheduled period for this project is 10 years with annual spend of 8.6 billion euros to upgrade rails, stations, signaling control and power supply.
This project is a part of Germany’s efforts for fight against climate change to reduce carbon dioxide emissions. International Monetary Fund (IMF) as well as its euro zone partners had already urged Germany to join economy in such a way.
Germany’s reputation for running an effective and punctual rail network has taken a knock in the last few years and bridges off major routes dating back to the era of the last German Emperor more than 100 years ago are urgently in need of renovation and upgrade. In the first half of last year one-fifth of trains ran late.
Minister of Transportation Andreas Scheuer stated that, “We will replace outdated facilities, ensure accessibility, improve construction management and the condition of railway bridges.”
The deal revealed on Friday its plans for the upgrade of 2,000 bridges. Moreover, the project aims to double the number of train drivers and train passengers by the year 2030. The scheme that was agreed represents a 54% increase from the 2015-2019 period, the government said.
“The 20s will be a golden era for the railway,” Scheuer positively stated in a statement.