Swiss Federal Council Announces USD 211 Million Funding for DAC Project

Switzerland’s Federal Council has announced a significant investment in the future of rail freight with a one-off payment of USD 211 million (CHF 180 million) to support the development of Digital Automatic Coupling (DAC).

The investment was announced by Albert Rösti, Minister and Head of the Department of Environment, Transport, Energy, and Communications (UVEK), during a speech at the general assembly of the Swiss rail freight shippers' association VAP in Bern on August 27.

Rösti mentioned the need for international coordination to successfully implement DAC across Europe, noting that Switzerland, along with Germany and Austria, is leading the effort. "The rail industry is required to bring a simple, affordable technical solution to series production. And the EU must find ways and means to enable migration to the DAC in less wealthy countries, too. I am convinced that this will succeed. The DAC will change rail freight transport in the long term," Rösti said.

It's not news however that the European initiative to introduce DAC is facing financial obstacles. The EU-Rail Joint Undertaking, responsible for pushing the DAC project forward, recently informed rail operators that only 50% of the necessary upgrades will be subsidized. This has raised concerns among operators, particularly in the Czech Republic, Slovakia, and Poland, who argue that the 50% subsidy is insufficient. These operators, including those with advanced fleets like Innofreight's ultralight wagons, will need to retrofit or replace many of their railcars to accommodate the new DAC technology, leading to significant additional costs.

In addition to the DAC initiative, Rösti addressed the need for improved rail safety following the Gotthard Base Tunnel accident last year, which disrupted services for over a year. While the tunnel has reopened, the final investigation report is still pending. Rösti mentioned that new safety measures have been developed at the European level to prevent incidents like the Gotthard accident. "Even if they cost shippers and wagon owners something, I am fundamentally convinced that they must be implemented," commented Rösti.

Source: IRJ; EU-Rail Joint Undertaking; RAILTARGET