The Swiss Federal Council wants to make funds available to improve the country’s rail freight sector and keep single wagonload transport financially viable. If approved by the Swiss Parliament, the initiative will see hundreds of millions of euros deployed. The money would come from a portion of the tax on Heavy Good Vehicles, “which would otherwise flow into the Railway Infrastructure Fund (RIF)”, as the Council explained.
To safeguard single wagonload traffic, which is currently being carried out by the national rail freight company SBB Cargo, the Swiss Federal Council proposed an eight-year plan. For the first four years, they are willing to allocate about 260 million euros so that the sector can gain financial autonomy. The proposal includes an additional yearly injection, set for an indefinite period, of roughly 60 million euros to cover other costs, including transshipment and loading/unloading procedures.
Other than single wagonload transport, the Council said it is ready to make 180 million euros available as a one-time payment for the implementation of the Digital Automatic Coupling (DAC). The plan also involves promoting the use of greener fuels for shunting locomotives as well as barges to boost the synergy between the rail and inland waterways, namely the Rhine river.
Single wagonload in Switzerland
The debate concerning the future of single wagonload in Switzerland has been ongoing since at least August 2022. Back then, this type of service was deemed no longer economically viable and two variants were proposed in November 2022. The first one would entail no financial support and encourage competition, while the second one concerns extensive financial support from the Swiss government for single wagonload traffic. Many agree that the former might favour road transport over rail freight, which is what the Swiss government wants to avoid. It seems that the Swiss Federal Council made its decision to support the second variant with significant investments. It now remains to be seen whether the Parliament and the rest of the government are of the same mind.
Also read: