The head of Deutsche Bahn, Richard Lutz, has cautioned that service reductions may be necessary if a reform of track access charges doesn’t materialize. Lutz, in comments to “Welt am Sonntag” highlighted a disproportionate rise in track prices, particularly in long-distance and freight transport, noting increases of 15 to 20 percent this year alone.
He emphasized the urgent need for reform, aligning with commitments outlined in the governing coalition agreement. Lutz stated that offsetting rising costs through ticket price increases is not a viable solution, as it would likely lead to a significant reduction in passenger volume, negatively impacting both revenue and earnings. He warned that consequently, service cuts would become the primary means of achieving necessary cost savings.
Lutz underscored that, in the absence of favorable regulatory conditions, the company would be compelled to focus operations on routes that are economically self-sustaining within competitive markets.
Despite planned investments exceeding €100 billion until 2029, Deutsche Bahn still faces a funding shortfall. Lutz acknowledged that deficits are projected from 2027 onwards and expressed hope that these gaps can be addressed in the coming months and years.
He characterized the current state of German rail infrastructure as being in structural crisis, citing obsolescence, unreliability and overcapacity as key challenges. Lutz further noted that punctuality remains unsatisfactory in both passenger and freight transport, leading customers to understandably question the system’s reliability.
Addressing concerns about potential personnel changes within the management board in light of the company’s performance, Lutz confirmed that the board’s performance will be evaluated on results achieved. While acknowledging progress in vehicle availability and staffing shortages, he conceded that targets for punctuality, particularly in long-distance passenger transport, have not been met. Lutz attributed the underlying issues primarily to decades of underinvestment in infrastructure.
Regarding speculation about his own position, Lutz stated he is focused on fulfilling his responsibilities and tackling the structural problems facing the company, rather than speculating about his future. He stressed the importance of proactively addressing the inherent challenges within the rail network.
