Local transport: 'Deutschlandticket light' is not coming for the time being

German transport ministers gathered at Hohenschwangau Castle in Bavaria on Wednesday for their annual conference, facing urgent financial crises regarding rail infrastructure costs and regional passenger services. The meeting, scheduled to continue through Thursday, centers on the escalating burden of track access charges, which have rendered current funding models unsustainable for local transit operators. State officials warned that without immediate reform, widespread service cuts across Germany become unavoidable. The core of the dispute stems from a recent court ruling declaring previous caps on track charge increases for regional rail illegal under European law. Previously, steep cost hikes were borne primarily by long-distance and freight traffic, protecting commuter trains. Now, regional operators must absorb the full share of rising infrastructure fees. According to calculations by the Association of German Transport Companies, this shift has forced these operators to shoulder an additional 400 million euros since the decision. Local governments stated that federal subsidies for public transport, known as regionalization funds, are insufficient to cover this gap. State Transport Minister Claus Ruhe Madsen of Schleswig-Holstein declared that service reductions are already underway in his region and Saxony during off-peak hours. He cautioned that other transport associations may soon follow suit. The federal government’s contribution to regional transport stands at 11.9 billion euros this year, with a planned annual increase of three percent. However, track charges are projected to rise by 7.7 percent in 2027 and by another high percentage in 2028. Consequently, states are demanding that regionalization funds be raised to 14 billion euros by the end of the decade. Freight railway companies also called for a structural overhaul of the pricing system. Current prices are calculated based on total infrastructure costs approved by the Federal Network Agency, including interest on equity capital provided by the federal government to the network operator InfraGo. Industry representatives argued that this formula guarantees continued price increases. Madsen proposed removing investment-related costs, for which the federal government holds primary responsibility, from the calculation formula. He further suggested that the federal state should compensate for all cost increases exceeding the growth rate of regionalization funds. Federal Transport Minister Steffen Bilger attended the conference, but observers did not expect him to announce new financing commitments. Signs pointed toward a lack of consensus on resolving the funding shortfall. While the states pushed for higher federal contributions, the federal position remained cautious. In a separate development, plans for a nationwide low-cost ticket for occasional bus and train riders, dubbed "Germany Ticket Light," were abruptly removed from the agenda. The proposal, originally submitted by the transport ministers of North Rhine-Westphalia and Hamburg, aimed to create a digital fare option for infrequent travelers. Under the draft concept, users would register trip start and end times via smartphone, with the system automatically calculating the lowest possible fare, capped at the monthly cost of the standard Germany Ticket. North Rhine-Westphalian Transport Minister Oliver Krischer expressed disappointment over the withdrawal, stating that the application had been submitted within the deadline. He criticized the refusal by Social Democratic and Christian Democrat parties to engage in discussions, calling it a missed opportunity for digitalization, cost reduction, and improved comfort for passengers. Krischer indicated that the topic would be placed on the agenda for the next ministerial conference. Bavarian Transport Minister Christian Bernreiter, who currently chairs the conference, noted before the session that there was no available budget for such a scheme, citing existing multi-billion euro deficits in ordering regional trains. The Association of German Transport Companies opposed the initiative, while social welfare groups supported it as a means to make mobility more affordable for lower-income citizens. Other topics on the conference agenda included the impact of low water levels on German rivers and the future of autonomous driving. The ministers concluded their sessions on Thursday, leaving the critical issue of track charge reform unresolved pending further negotiations between the federal government and the states.