The Clock Is Ticking: EU Rail Leaders Call for Immediate Investment in Future Mobility

European rail CEOs push for ambitious 2025 agenda at the CER General Assembly, focusing on EU funding, digitalisation, military mobility, and high-speed rail expansion.

Europe’s top railway executives convened for the 75th General Assembly of the Community of European Railway and Infrastructure Companies (CER) to outline the sector’s priorities for 2025 and beyond. The meeting focused on securing funding for rail, advancing digitalisation, enhancing military mobility, and expanding high-speed rail networks across the European Union.

Strategic Priorities for the Future of Rail

According to the press release from CER, the members unanimously agreed on a set of core priorities that will define the sector’s growth and resilience in the coming years:

• Funding and Financing: The upcoming Multiannual Financial Framework (MFF) and the potential discontinuation of the Connecting Europe Facility (CEF) pose challenges for rail funding. CER advocates for dedicated funding envelopes to ensure investment certainty.
• Digitalisation of Rail Services: Full deployment of the European Rail Traffic Management System (ERTMS), Future Railway Mobile Communication System (FRMCS), Digital Automatic Coupling (DAC), and Digital Capacity Management (DCM) are seen as essential enablers for increasing rail efficiency.
• Military Mobility: Strengthening Europe’s defence and security strategies requires enhanced rail transport infrastructure to facilitate troop and equipment movement efficiently across borders.
• High-Speed Rail Expansion: Connecting all EU capitals by high-speed rail remains a key ambition to increase rail’s market share in long-distance travel and ensure a sustainable modal shift away from road and air transport.

Funding Challenges and Policy Recommendations

A critical discussion point was the future of rail investment amid potential shifts in EU funding structures. According to CER, the Recovery and Resilience Facility (RRF) and Trans-European Networks for Transport (TEN-T) projects have been major sources of financial support for the rail sector. However, with uncertainties surrounding the next MFF and the continuation of CEF, CER presented a position paper urging policymakers to make crucial adjustments:

• Guaranteed Funding: Ensure rail funding remains secured at both EU and national levels, providing long-term investment stability.
• Cross-Border Rail Investments: Allocate preferential co-financing rates for transnational rail projects, particularly for major infrastructure and ERTMS deployment.
• EU Competitiveness and Climate Goals: Align transport investments with the European Green Deal, focusing on energy efficiency, digitalisation, and infrastructure sustainability.
• Stronger Stakeholder Engagement: Standardise reporting mechanisms and consult key rail sector actors in the planning of national investment plans.

During the assembly, Mr Álvaro Fernández Heredia, Chairman and CEO of Renfe, was unanimously appointed as a member of the CER Management Committee for the remainder of the 2024-2025 term, further strengthening leadership representation.

Industry Leaders Call for Action

CER Chair Andreas Matthä, CEO of ÖBB Holding-AG, talked about the urgency of securing rail investments:

"The Community of European Railways sends a clear message today: substantial dedicated funding for rail infrastructure, especially cross-border projects, is critically needed. Given the complexity and long-term nature of these projects, the EU budget structure must support the full implementation of the TEN-T network. To achieve this, a minimum of 100 billion euros in EU co-financing is essential, along with the continuation of the vital Connecting Europe Facility (CEF)."

CER Executive Director Alberto Mazzola also underscored the strategic importance of rail funding:

"Rail infrastructure investment is an investment in Europe's future. By prioritising digitalisation, sustainability, and connectivity, we can ensure a resilient and efficient transport network that meets the needs of our citizens and businesses. High-speed rail, in particular, will play a crucial role in connecting all EU capitals and major cities, fostering economic growth, and promoting a sustainable modal shift. Higher rail maritime connectivity in ports will increase rail modal shift in domestic and international trade."

Next Steps for the European Rail Sector

As the rail sector prepares for the next phase of EU policymaking, CER will continue to advocate for long-term, stable funding mechanisms, policy alignment with climate objectives, and the rapid deployment of digital rail technologies. The outcomes of the General Assembly signal a clear commitment from the European rail industry to work collaboratively with EU institutions to build a modern, resilient, and high-performing railway network that will serve as the backbone of Europe’s sustainable transport system.

Source: CER Press Release