Germany's Deutsche Bahn ordered to ease rail access for competitors

Germany's Deutsche Bahn rail operator must make at least 25% of capacity on heavily used long-distance rail routes available for competitors, following a decision by the Federal Network Agency.

According to the decision, DB InfraGo, the subsidiary responsible for rail infrastructure, must in future allocate between 25% and 40% of capacity on such routes to companies other than Deutsche Bahn's long-distance division.

Passengers are set to benefit from the move, as the Federal Network Agency expects greater competition in long-distance rail services to lead to lower ticket prices.

The decision also paves the way for the Italian operator Italo to enter the German market in 2028. Italo plans to run services on the Munich-Frankfurt-Cologne-Dortmund route every hour and on the Munich-Berlin-Hamburg route every two hours - both highly lucrative routes connecting key transport hubs.

The Italian company intends to deploy 30 high-speed trains for 56 daily services from early 2028.

To ensure its investment pays off, Italo had appealed to the Federal Network Agency, which oversees the allocation of train routes, to change the competitive conditions.

Klaus Müller, head of the Federal Network Agency, said Deutsche Bahn competitors have to invest large amounts in new rolling stock without being able to reliably assess whether they will be granted sufficient access rights to the rail network.

He said the competition clause is intended to change this. "It guarantees a minimum level of access for competitors in scheduled long-distance rail services, without blocking capacity for other modes of transport."

Anyone wishing to operate a train in Germany requires what is known as a train path on a specific route at a specific time. However, space on the network is limited, with trains often backing up at major hubs - one of the reasons for the many delays on Germany's rail network.

To date, 95% of Germany's long-distance rail services are dominated by the state-owned company. Its biggest competitor so far has been the Munich-based company Flix, which alongside its green-coloured buses also operates green trains on the German network.

Deutsche Bahn has repeatedly issued warnings against interventions in the long-distance rail market, arguing that it earns money on the competitive high-speed routes that it uses to finance long-distance services in regions with lower demand.

The company has warned that if it has to surrender lucrative train paths, it will need to cut connections across the country, which will be not be otherwise served by competitors.