Delayed Stuttgart rail project to cost nearly €15bn

The troubled redevelopment of the underground railway station in the south-western German city of Stuttgart, which has already faced delays and cost overruns, will now cost an extra €3 billion ($3.42 billion), rail operator Deutsche Bahn has said.

The new costs bring the total cost of the Stuttgart 21 project to approximately €14.5 billion, dpa learnt on Friday, confirming several media reports.

The price tag for the new underground station in the capital of the state of Baden-Württemberg and the reorganization of the rail hub has been revised upwards repeatedly. 

A financing agreement dating from 2009 only sets out the allocation of costs up to a total of just over €4.5 billion. At the time, construction costs were estimated at around €3 billion, with a buffer of €1.5 billion factored in.

Deutsche Bahn must bear all additional costs itself

For rail operator Deutsche Bahn, the delay in commissioning and the associated cost increase also represent a financial disaster. This is because a court has ruled that the company must bear all additional costs exceeding the scope of the financing agreement on its own.

Deutsche Bahn had failed in its attempt before the Stuttgart Administrative Court to bring a case that would have forced the project partners - the state of Baden-Württemberg, the city of Stuttgart, the Stuttgart Regional Association and Stuttgart Airport - to contribute towards the additional costs. 

The Baden-Württemberg Higher Administrative Court later rejected an application for an appeal.

It was only on Wednesday that Deutsche Bahn representatives announced, at a meeting of the Transport Committee in the lower house of parliament, or Bundestag, that the opening of Stuttgart 21 would be postponed by five years.

According to those present, the underground station is now due to come into operation at the end of 2031, a full 10 years after the initial plan so confidently included in the project's name. The deadline had already been postponed several times.

Problems with planning, digitalization and emergency power

According to participants in the Transport Committee, Deutsche Bahn cited the digitalization of the Stuttgart rail hub - which is proving significantly more difficult than initially thought - as one of the main reasons for the latest postponement.

Furthermore, planning processes were said not to have reached the necessary level of maturity. The media had previously reported that some cables would have to be relaid as a result.

Furthermore, there are problems with a technical building that is no longer suitable for current requirements.

According to members of the Transport Committee, Deutsche Bahn must also make improvements to the control systems and the power supply.

German media had reported that a new emergency power supply plan was required.