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June 2020 | Volume 60 Issue 6 www.railjournal.com | @railjournal

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IntermodalPKP Cargo eyes new strategy innovator post Covid-19

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Contact us ContentsJune 2020 Volume 60 issue 6 Editorial offices Post 46 Killigrew Street News Falmouth 4 This month Cornwall, TR11 3PP, UK 6 News - Covid-19 pandemic Tel +44 1326 313945 8 News analysis Web www.railjournal.com 10 News headlines Editor-in-Chief 14 Transit news Kevin Smith 16 Financial news [email protected] Consulting Editor/ Associate Publisher 8 David Briginshaw [email protected] News & Features Writer Poland and Czech Republic David Burroughs 18 Embracing intermodal [email protected] PKP Cargo transitions into a logistics specialist Production Manager Sue Morant 22 Reopening the Plum Railway [email protected] Upgraded line a testbed for AZD Praha technology IRJ Pro Account Manager Chloe Pickering [email protected] 18 IRJ Pro Market Analyst Oscar Sinclair High speed [email protected] 26 Momentum builds for Czech high-speed network Improving domestic and international connections Advertising sales office 30 Mumbai - Ahmedabad project takes stock Post 88 Pine Street, 23rd Floor India’s high-speed line faces complex challenges New York, NY 10005 United States Tel +1 732 887 5563 Business development manager Jerome Marullo [email protected] Train maintenance 22 Tel +1 732 887 5562 32 Digital strategy improves SNCF’s systems Subscriptions hotline Condition-based maintenance proves its worth Tel (US only) +1 800 553 8878 (Canada/International) +1 319 364 6167 Fax +1 402 346 4740

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June 2020 | Volume 60 Issue 6 COPYRIGHT © Simmons-Boardman Publishing Cor- Also in this issue www.railjournal.com | @railjournal poration 2020. All rights reserved. Contents may Front cover IRJInternational Railway Journal not be reproduced without permission. For reprint 36 Rendezvous information please contact Editor-in-Chief. For sub- PKP Cargo has taken a scriptions & address changes, please call +1 319 364 37 Full contact list hit from the 6167, Fax +1 319 364 4278, Email: internationalrail- coronavirus pandemic, [email protected] or write to: International 37 Advertisers index Railway Journal, Simmons-Boardman Publishing but remains focused Corp, PO Box 1407, Cedar 37 Fresh faces on delivering a new Rapids, IA, 52406-1407. POSTMASTER: Send address 38 The last word strategy based on changes to International Rail- intermodal rail freight Intermodal innovator way Journal, PO Box 1407, PKP Cargo eyes new strategy post Covid-19 Cedar Rapids, IA, 52406-1407. and logistics services. Coronavirus lockdowns ease = Czech HS plans advance

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This month | Kevin Smith

as in past crises, demand will creation, social inclusion, return and with it the capacity health and sustainability. The constraints which restricted signatories are also right to New normal progress in the recent past. emphasise public transport’s For this reason, it is environmental credentials. imperative that decision While SCI predicts that rail presents risk to makers continue to take the is set to benefit from the EU’s long-term view and use this Green Deal programme, the time wisely. Indeed, they sector cannot take its green would do well to note PKP status for granted, particularly Cargo’s approach (p18). if ridership remains suppressed. S Covid-19 lockdowns In this scenario, SCI assumes Instead of making The road sector is making begin to ease, a new that more people will change “impulsive” decisions to fire rapid progress with electric Anormal is emerging for rail their travel behaviour in the employees and respond to the vehicles and has a real chance transport. long-term at the expense of here and now, as CEO, Mr of ending rail’s hegemony China’s employment of rail. This situation will worsen Czeslaw Warsewicz, told me, over the argument within the social distancing at stations the longer the crisis lasts, and the freight operator is using next 10 years. In addition, and onboard trains, which we it will become harder to the Polish government’s while delivering truly automated reported last month, is steadily convince those using their cars economic relief package to buy road vehicles in congested becoming established practice to return to trains and buses. time to reflect on and tweak its cities is a monumental task, on networks around the world. While understandable given long-term strategy. long distance ‘smart’ In many countries the advice the risk, the British government’s The wider sector should also automated motorways are remains to travel only when looking feasible a lot sooner. necessary and to wear a mask. Offering the time to relax and Passengers must maintain a work as you would on a train distance ranging from 1-2m journey but within the depending on the country, and As the recession takes hold, there is sanctuary of an individual increasingly many governments a risk that politicians and decision private vehicle is a real threat and authorities are tracking to long-distance rail. movements using smartphone  makers become blind-sided by For rail to maintain the apps. short-term trends. upper hand, and to remain the While essential to safeguard sustainable mode of choice, the population’s health, this is the new normal must work for a potentially calamitous policy to advise people to use this time to adapt to the and not against public transport. situation for operators. The avoid public transport is not new normal so it works in its To do that, people must be International Association of the right message for the new long-term interest. For encouraged to travel by train. Public Transport (UITP) normal. Encouraging people to example, some infrastructure projects a É40bn hit at the use private transport heightens managers have already taken farebox for European public congestion and extenuates air the opportunity to increase transport operators in 2020 pollution. In addition, many maintenance or bring forward (p14). US transit providers are cities are simply not geared up upgrades while there are less similarly facing a $US 23.8bn for a huge influx of cars. trains running. Perhaps others [email protected] shortfall by the end of 2021 in Thankfully this negative could do the same? addition to the $US 25bn approach appears to be the Of course, with a limited pot already covered by the US exception rather than the rule. of money available, and with government’s Covid-19 relief In cities across Europe, leaders governments already package. have been actively using committing billions to keep Rail market analysts at SCI public transport services while passenger operators afloat, Verkehr (p8) do not foresee a following the new protocols to rail, as always, will have to return to pre-Covid-19 traffic emphasise that it is safe and fight to secure the investment levels before 2024 in their most inviting citizens to do the it needs. likely outcome scenario for the same. is also A letter to the EU signed by current crisis, in which more reassuring high-speed 80 public transport company localised public lockdowns passengers by providing CEOs and city representatives, return. In the most optimistic complimentary personal which was presented by the scenario, where the virus is protective equipment (PPE) UITP, urged European eradicated by the middle of kits to maintain personal institutions to include urban next year, rapid recovery is hygiene while travelling. public transport as one of expected by the end of 2021 As the recession takes hold, the strategic sectors in following a 50% reduction in there is a risk that politicians the EU’s plan for traffic in 2020. However, in the and decision makers become recovery from the most pessimistic case, where blind-sided by short-term Covid-19 pandemic. economies are hit hard and trends when deciding where This display of unemployment increases by to direct recovery funds. unity is encouraging. 30-40% in 2020, SCI says that Demand for travel might be As the letter states, rail transport performance will reduced now and in the public transport is a not reach pre-crisis levels immediate future. 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News | Covid-19 pandemic Operators cautiously relaunch services as national lockdowns ease After drastically cutting back services in response to dwindling passenger numbers in March and April, rail operators have begun the process of returning to normal, albeit with social distancing and other preventative measures in place. David Burroughs tracks how the industry responded day-by-day.

in January and February up 9%. However, measures introduced to control the spread of coronavirus saw travel “collapse,” resulting in an overall decrease of 4%. May 4

Following a decision on April 24 by Belgium’s National Security Council to ease coronavirus travel restrictions, SNCB and Infrabel restored most passenger rail services. = Regional rail services across Germany began operating at 90% of normal service, as a Network Rail has introduced policies of social distancing between employees at work sites. Photo: Network Rail number of lock-down measures across the country were lifted. April 21 traffic and anticipates transport the coronavirus pandemic, plans as far ahead as possible. which it says is having an May 5 The European Railway Industry unprecedented and Association (Unife) and the April 24 extraordinary impact on the China National Railway (CR) Community of European economy. “The economic announced a loss of Yuan Railways and Infrastructure Spanish national operator outlook, and therefore overall 611.8bn ($US 86.6bn) in the Managers (CER) called for rail Renfe deferred the launch of demand for transportation first quarter of 2020 due to a to be included in the EU’s its low-cost high-speed services, are highly correlated huge drop in passenger traffic post-Covid-19 recovery plan. service indefinitely. Avlo was with the duration of containment as a result of the coronavirus In an open letter to senior EU due to be launched on April 6, measures and the impacts on pandemic. This compares with officials, the associations called but this was initially delayed businesses and consumers, a loss of just Yuan 2.2bn for for policy to support rail as a until April 26 due to the which at this point remain the same period in 2019 and low-emission transport option. pandemic. No revised launch uncertain,” CN says. reflects a 28.1% drop in = KTZ Freight Transportation date has been set. = Air France accepted a É7bn revenue to Yuan 1883bn. waived some of its fees and coronavirus aid package, Passenger ticket revenue fell charges to support freight April 26 which imposed three conditions by 51.1% to Yuan 45.3bn, operation. on the airline, including a reflecting a 54.8% drop in = Netherlands Railways (NS) CD, working with the Czech stipulation that it was to stop passenger traffic to 378 million began production of 80 power Ministry of Transport, partially competing with TGV services journeys. Conversely, CR modules for emergency hospital resumed operation of long- where trains offer a comparable achieved a 3.1% increase in ventilators, using its rolling distance passenger services. journey time of 2h 30min or freight traffic during the first stock workshops. The power This included the Xftufso less. Only passengers using quarter and carried 8.24 supply units are produced by Fyqsftt linking Prague, Pilsen flights between Paris and million tonnes of freight. NS and developed and tested and Cheb, the Wjoepcpob!Sbjmkfu Bordeaux, Lyon, Nantes or by TU Delft. from Prague to Breclav, the Rennes to connect with flights May 7 Psf!Npvoubjot!service from to other destinations will be April 22 Prague to Ústí nad Labem, allowed to travel by air. SNCF announced that it would Karlovy Vary and Cheb, and = Swedish National operator gradually resume services French infrastructure manager the domestic section of the SJ announced that sales with a goal of reaching normal SNCF Network set up an Xbmmbdijbo!Fyqsftt from Prague plummeted during the last levels of service by the end of organisation to maintain rail to Olomouc and Horní Lidec. two weeks of the first quarter June. SNCF usually operates freight services, in particular of 2020, resulting in a loss of around 15,000 trains a day, but the transport of essential April 29 SKr 72m ($US 7.3m) despite a this was reduced to just 2650 goods. SNCF Network led the strong start to the quarter. during the height of the system, which operates seven Canadian National Railway Until mid-March, SJ recorded pandemic. From May 11, SNCF days a week and defines traffic (CN) revised its financial some of its strongest weeks planned to reintroduce 50% of priorities, day-to-day freight outlook for 2020 in the light of ever, with passenger numbers Transilien and TER services, 6 IRJ June 2020 June coronavirus_Layout 1 21/05/2020 19:42 Page 7

along with 30% of TGV services. InnoTrans to April 27-30 2021. This was due to be increased = The US OneRail Coalition on May 25 to 75% of Transilien wrote to Congress urging more and TER services. TGV services than $US 25bn in additional would increase to 50% around coronavirus emergency support May 24. for passenger operators and protection for rail workers. May 11 May 13 Following a six-week hiatus, DB relaunched ICE services Germany’s Federal Statistical from Frankfurt via Saarbrücken Office (Destatis) estimated that to Paris. DB is now running the number of passengers twice-daily services on the route using local public transport, from Karlsruhe via Strasbourg including bus and train, in the to Paris. A further increase in first quarter of 2020 decreased international ICE and TGV by around 11% compared with Operators have stepped-up their cleaning regimes to reduce the spread of services is scheduled for June. the same quarter in 2019. The the virus. Photo: Deutsche Bahn AG/Pablo Castagnola strongest decrease was across Transport (DfT) agreed to a Act. The Cares Act Funding May 12 regional rail traffic, with S- £1.6bn support package for can be used for operating Bahn numbers down around Transport for London (TfL) to expenses to prevent, prepare estimated the impact 15%, while and U- maintain rail and bus services for and respond to the Covid- of the coronavirus pandemic Bahn also saw steep declines. and plug a yawning funding 19 crisis dating back to on sales for 2019-20 at around gap. TfL said that as a result of January 20. É100m. Alstom put in place May 14 coronavirus lockdown = The New York Metropolitan crisis cells at all levels of the measures, there had been a Transportation Authority company and an operational, The European Union (EU) 95% reduction in journeys on (MTA) expanded its commercial, cost and cash published a 15-page set of London Underground, and an partnership with Northwell mitigation plan is being guidelines for the gradual and 85% drop in bus travel. “This Health-GoHealth and implemented. Alstom started safe restoration of transport has caused an overall operating BioReference Laboratories to to slowly reopen most of its services as coronavirus income loss of around 90% provide antibody testing for all sites from the end of April, but restrictions are lifted. The EU including non-passenger MTA employees throughout said a progressive alignment said that as the health of incomes, such as advertising the New York metropolitan with its supply chain was passengers and workers is the revenue,” TfL said. region at no cost. The antibody required before a partial key priority, the easing of = CD reintroduced further testing provides MTA and restart of production could travel restrictions should be Pandolino inter-city services, New York State health commence in early May. gradual so that operators have running between Prague and authorities with a better = The Association of German time to readjust to rising Ostrava and Jizní - Prague - estimate of the overall Railway Engineers (VDEI) passenger and freight demand. Ceské Budejovice. infection rate. rescheduled the International = NS announced it would = British operators increased Exhibition for Track Technology introduce a “timetable of May 18 service frequency from half to (IAF) until May 31-June 2 national interest” from June 2. two thirds of normal 2022. The 28th IAF trade fair This will provide a similar China National Railway said operation. Operators in Münster, which takes place level of service as the normal 2920 trains carrying 262,000 implemented one-way systems every four years, was timetable, but will only be TEU ran between China and at stations, floor markings, originally scheduled for May available for necessary journeys. Europe from January to April, more security staff for crowd 18-20 2021, but VDEI decided a 24% increase year-on-year. In control as well as taping off to delay IAF by one year due May 15 April alone westbound volumes some seats and introducing to the pandemic and Messe were up 58% and eastbound new cleaning measures. Berlin’s decision to postpone Britain’s Department for 29% for a total of 88,000 TEU. The figures bucked the trend May 19 seen in maritime and air freight transport which all but Danish operator DSB ceased due to the limitations announced that the pandemic caused by the coronavirus caused a pre-tax loss of DKr pandemic and were struggling 119m ($US 17.4m) in the first to catch up (p18). quarter. Passenger numbers = Moscow Metro installed 140 grew in January and February, hand sanitiser dispensers but dropped significantly in across all 31 stations on the March. Moscow Central Ring. = Swiss Federal Railways = DB began operating ICE (SBB) announced it would trains at full capacity on the waive rent for businesses in important rail link between properties that had been forced Cologne/Düsseldorf and Berlin. to close by the pandemic, and = NJ Transit was awarded $US reduce rent for those that had 1.4bn in federal aid through been able to stay open but had Facemasks are now either compulsory or recommended on many services the Coronavirus Aid, Relief still recorded a reduction in around the world. Photo: Amtrak and Economic Security (Cares) revenue. IRJ IRJ June 2020 7 June SCI_Layout 1 21/05/2020 18:20 Page 8

News | analysis Remainder of 2020 looks bleak for rail In their latest study of the rail market, Alexander Herbermann and Maria Leenen from German rail market analyst SCI Verkehr explain how the Covid-19 crisis is a turning point for passenger transport in Europe as the prospects for rail competition look bleak. ASSENGER rail transport Transport performance for countries have become heavily scenario, SCI Verkehr expects was one of the first sectors 2020 as a whole is 40% below indebted, rail investment is a fast return to pre-crisis traffic toP be hit by the full force of the the level of 2019. A vaccine or being cut back and infrastructure levels by the end of 2021. The coronavirus pandemic and the medication to combat Covid- projects are being cancelled. prerequisite for this is that associated lockdowns. 19 is expected in all scenarios Services operating under PSO further waves of infection and Demand plummeted by mid-2021. However, contracts will be reduced as shutdowns are prevented, and dramatically in March. While demand in this probable countries and regions also cut the pandemic is defeated in experienced a 40% lockdowns return scenario operating funds. 2021. People will therefore decline in public transport only increases slowly even In this pessimistic scenario, quickly return to their old usage with only minor after this and does not return SCI Verkehr also assumes that travel habits. With a decline of restrictions, demand in to pre-crisis levels in continental far more people will change 50%, however, passenger particularly badly affected Europe as a whole until 2024. their travel behaviour in the transport will be heavily countries, such as Italy and Although most people will France, fell by over 90%. With return to their old travel increasing easing of behaviour, there will be a shift restrictions, passengers have in the modal split in favour of Although most people will return to been returning since May, but cars and, for shorter distances, still at a low level. bicycles, which are the their old travel behaviour, there will be SCI Verkehr has produced preferred mode of transport three scenarios for the future during the crisis. Demand  a shift in the modal split in favour of development of passenger rail peaks will be lower for transport: commuter transport, as more cars and, for shorter distances, bicycles. = the lockdowns return employees will work from = disrupted markets, and home for at least a few days. long-term at the expense of affected by the crisis in 2020 = rapid recovery. Long-distance passenger rail. The longer the crisis lasts, even in this optimistic In the lockdowns return demand will be slowed down and the more people become scenario. scenario, SCI assumes a by the absence of business accustomed to driving or For the period up to 2025, second wave with renewed travellers, as meetings are cycling, the more likely this SCI Verkehr assumes that the lockdowns in autumn 2020, more often held digitally. scenario will happen. A weak European economy will with passenger numbers In the disrupted markets economy and high recover rapidly. Individual plummeting again - albeit not scenario, the pandemic takes a unemployment will further countries as well as the as sharply as at the beginning similar course, but the economy slowdown the recovery of European Union (EU) will use of this crisis, since new rules is hit harder, there are many mobility. Under these the crisis, and subsequent of behaviour, such as wearing company insolvencies and circumstances, rail transport economic stimulus packages, face masks, have been unemployment rises by 30- performance will not reach to strengthen the EU’s Green practised and lockdowns are 40% in 2020 compared with pre-crisis levels by 2025. Deal and will intensify rail more regionally pronounced. 2019. During the crisis, In the rapid recovery investment as the environmentally-friendly mode of transport. The struggling airline industry gives up market share in favour of long-distance and international rail transport. By 2025, transport performance will reach the level expected before the crisis.

Impact on operators The Covid-19 crisis hits passenger transport operators hard in all three scenarios. While demand has collapsed dramatically, many operators have reduced their services but not all to the same extent. On the one hand, passenger rail transport ensures the basic supply of mobility in many Even in SCI’s most optimistic scenario, passenger numbers would not return to pre-crisis levels before the end of regions, and on the other 2021, compared with beyond 2025 in the worst-case scenario. Photo: Deutsche Bahn AG/Oliver Lang hand, the capacity utilisation 8 IRJ June 2020 June SCI_Layout 1 21/05/2020 18:20 Page 9

20% drop in European rail freight in 2020 AIL freight transport has been increasingly affected by the coronavirus pandemic since April with operators reporting declinesR of between 20% and 35%, while the transport of new automobiles has come to a complete standstill. For the year as a whole, SCI Verkehr forecasts a 20% decline in freight traffic in continental Europe in what the analysts regard as the likely event of a renewed lock-down this autumn. In this situation, recovery to pre-crisis levels is unlikely until 2023 or 2024.

of trains needs to remain low Westbahn, RegioJet or Leo so that passengers can keep Express, have been the their distance and the spread exception in continental of the coronavirus can be Europe and are active in slowed down. As a result, providing commercial long- falling ticket revenues distance services. Since these continue to be offset by high operators are almost exclusively costs, putting a strain on dependent on ticket sale company liquidity. However, revenues, the Covid-19 crisis the consequences of the crisis threatens their existence. differ depending on the type SCI Verkehr expects that of operator. private open-access operators will be dependent on government support, especially State support if demand recovers slowly. For The largest operators in example, in order to maintain Europe are the state-owned services on the important incumbent railways, which are Vienna - Salzburg route, the also market leaders in their Austrian government promised domestic markets with high financial support in mid-April PERFORMRMANCE shares even in competitive to both Westbahn and markets such as Germany. incumbent Austrian Federal ® State railways are also active Railways (ÖBB). The train ON TRAACK in other European countries services are ordered from ÖBB via subsidiaries, such as and Westbahn as a PSO for the Arriva, owned by German Rail next three months under a Innovative System Solutions (DB), and Keolis, a subsidiary contract worth É48.3m. In the of French National Railways Czech Republic, on the other for Future-Proof Networks (SNCF). Although integrated hand, it was announced that railways such as DB or Italian state-owned Czech Railways State Railways (FS) in (CD) has started talks about an particular are generally better entry into the open-access able to absorb revenue losses operator Leo Express. in passenger transport, their SCI Verkehr expects the freight and infrastructure Covid-19 crisis to have a divisions are also reporting negative impact on the losses in these challenging development of railway Rnipltaseov Sawliae syy tte im ts ghs labole fedael sor tesyr m times. competition in Europe. Although inoitulos ts fhn oleie f rd a iawli oerutcurtsarfny nireff, g SCI Verkehr expects national the national open-access , lstcudorg pnidntastuo , lstcudorg o acitsig sns fecivred ros tsliar stuonru, , governments to support their markets will be opened in transport companies, taking 2021, many operators will anilangis mng nirotinod g a Asnoitacilpp illuf. teargteny d into account European subsidy critically review their announced cairteam aiahl vnn ulad e inidda- srtsudng bputey snoyes eted l regulations. Germany, for expansion plans. While some ena velb iplatseo ne t uo nnd atsre nd the i epedretn ndenc osei af ll example, plans to increase plans might be postponed the track components in order to optimize the performance DB’s equity capital by billions until demand has recovered, hf tt osoe clcye cfid lna cfid clcye osoe tt hf e s Wmtesy sti. dramh staigit noitulol s of euros to compensate for others will be cancelled, as the 80% of the losses of É11bn- current crisis shows the high iplatseov ne p tsedivor hee b fsisa ro mo ed rn t kcar mana eg me tn É13.5bn expected in total as a risks of the business and it to gtpecnoc tenaraus e “P ocnamrofre Te kcarn ®”. result of the crisis. However, becomes more difficult and as a consequence of the Covid- expensive to finance companies 19 crisis and government and rolling stock. IRJ support, state railways could alpine Rtoesv Sailw emstsyay ailwom/rcalpine.toesv.www ayy emstsy-s also be forced to review their SCI Verkehr’s study, Passenger rail - international activities. current developments of the Covid- Private open-access 19 crisis in Europe, is available via operators, such as NTV-Italo, the SCI website: www.sci.de/shop. IRJ June 2020 9 June News_Layout 1 22/05/2020 15:25 Page 10

News | headlines

German government considers massive aid package for DB HE German federal financial debt was É24.2bn at DB has been criticised for they should be used for.” government is considering the end of the 2019. In return, maintaining around 75% of its Mofair’s president, Mr aT huge bailout for German Rail DB would contribute an passenger services when traffic Christian Schreyer says (DB) which has been estimated É5.1bn to plug the fell to 10-15% of the pre- reimbursing infrastructure haemorrhaging money due to financial hole by cutting staff coronavirus level. DB claims manager DB Networks or the coronavirus pandemic. and materials costs, and the services were needed to station operator DB Station & According to a document delaying rather than halting transport critical workers. DB’s Service for coronavirus-crisis- entitled Efbmjoh!xjui!uif investment projects. freight business has also been related loss of revenue is gjobodjbm!dpotfrvfodft!pg!uif However, the financial hit, with a drop in traffic of “correct and important,” but it dpspobwjsvt!qboefnjd!po!EC, the package would have to be around 40% according to [fju must be ruled out for DB government estimates that the approved by the federal Pomjof. transport companies, especially financial impact of the parliament, the European Mofair, which represents DB Long Distance, while its pandemic on DB could reach Commission, and DB’s independent passenger rail competitors are not reimbursed. between É11bn and É13.5bn supervisory board. According operators in Germany, says “Otherwise there would be by 2024. to [fju!Pomjof, if the deal is DB’s request for É8-10bn in massive distortions of The government is approved, DB could receive an government funding by 2024 competition,” Schreyer says. considering funding around initial cash injection of É4.5bn, should not be used to prop up According to the government 80% of the increased costs. The with more money by the end DB’s commercial activities document, DB could face a government’s equity stake in of the year. DB had hoped to such as its long-distance drop in revenue of É5bn this DB could be increased from raise additional funds from the passenger business. It adds year - DB reported adjusted É6.9bn to É8.4bn and DB’s sale of its Arriva subsidiary. that there should be “complete sales of É44.4bn in 2019. DB current debt limit of É25bn However, this has been transparency as to why funds also faces additional costs for would be raised. DB’s net postponed indefinitely. are needed and what exactly cleaning trains and stations. Renfe gets 10-year high-speed contract after U-turn Colombia annuls PAIN’s National Market CNMC signed off 10-year May 7 that the operator had and Competition Authority contracts between infrastructure since provided additional Pacific Railway (CNMC)S has reversed a manager Adif AV and Ilsa, a evidence which satisfies these concession decision to restrict the length consortium of Italian national expectations, including necessary OLOMBIA’s National of national operator Renfe’s operator Trenitalia and Spanish fleet investment to meet the Infrastructure Agency contract to operate a package regional airline , service capacity committed to (ANI)C has terminated Pacific of high-speed services from 10 and Rielsfera, a subsidiary of Adif AV. In addition, operating Railway SAS’ (FDP) 30-year to five years. French National Railways the service was found to require concession for “serious and Renfe was one of three (SNCF), in April. special investments and Renfe direct” breach of contract and bidders selected to negotiate However, CNMC ruled on will face risks from the pending has ordered it to pay more access agreements, securing April 7 that Adif AV and Renfe amortisation of its rolling stock. than Pesos 97bn ($US 25m) in Package A to run 70% of had not proven the existence of The three operators are damages. services on - extraordinary reasons to extend permitted to enter the market ANI had earlier accused - French border (Corridor 1); the maximum permitted from December 14 provided FDP of failing to maintain the Madrid - Valencia/ contract term of five years to they request the necessary paths railway and repair a bridge (Corridor 2), and Madrid - the 10-year contract length from Adif AV by June 15 although over the El Bolo river, imposing Seville/Málaga (Corridor 3) in requested. Following a review, Ilsa has confirmed that it will a fine of Pesos 2.4bn on FDP. November 2019. the authority confirmed on enter the market in 2022. According to a report by the Railway Concession Consortium, the 380km 914mm-gauge Turkey boosts domestic rail freight connections railway linking the port of Turkish State Railways (TCDD), boarded the first Buenaventura, Cali and domestic freight train at Sögütlüçesme station , with a branch from on the Asian side of Istanbul at 22.40 on May 8 Zarzal to La Tebaida, is in very and travelled in the locomotive cab as far as poor condition with unrepaired Kazliçesme station on the European side where landslides in some locations. the train arrived at 23.04. The railway has been out of The 1200-tonne train with 16 flat wagons was service since April 7 2017. loaded with 32 containers containing plastic raw The concession contract was materials destined for Çorlu. Up to now, rail signed on December 18 1998 freight has been transported by ferry from and came into force on March Derince on the Anatolian side to Tekirdag on the 14 2000. The concession was URKEY inaugurated two key domestic European side. due to run until 2030. FDP is a freight initiatives last month. Freight services The Sivas - Samsun line closed on September subsidiary of Railroad areT now operating through the Marmaray 29 2015 to allow work to continue unimpeded. Development Corporation, tunnel under the Bosporus in Istanbul while a TCDD says 378km of trackbed and superstructure United States. five-year project to reopen the 431km line was renewed and ERTMS installed. The line is ANI says it will start the connecting Sivas with Samsun on the Black Sea electrified at 25kV ac. process to award a new coast following a É350m rebuild was completed. The first commercial freight train ran on the contract and, in parallel, will Minister of transport, Mr Adil Karaismailoglu, upgraded line on May 4. TCDD expects the line study different options to and Mr Ali Ihsan Uygun, general manager of to transport 3 million tonnes of freight annually. revive the railway. 10 IRJ June 2020 June News_Layout 1 22/05/2020 15:25 Page 11

In brief

Australia Adani Australia, the developer of the controversial Carmichael coal mine in northern Queensland, has awarded a Photo: Photo: David Gubler $A 220m ($US 140m) contract to Martinus Rail to construct a 200km 1067mm-gauge line from the mine to Abbott Point port.

Austria ÖBB Infrastructure’s Rail Equipment subsidiary has launched a tender worth up to É301m for up to 20 rescue trains. The framework agreement to design, manufacture, deliver, obtain approval and commission up to 20 trains will include a fixed call for five trains.

Britain Translink, which operates the Prasa recovery plan starts to make progress 1600mm-gauge rail network in HE administrator of the tariffs, and the South African was set up to operate Northern Ireland, has extended troubled Passenger Rail Police Service to improve commuter and long-distance its maintenance contract with AgencyT of South Africa (Prasa), protection of stations and rail passenger services in 2009. The CAF for the class 3000 DMU Mr Bongisizwe Mpondo, says infrastructure. Mpondo says a administrator plans to streamline fleet. CAF will maintain the “steady progress” has been number of arrests have been functions and was due to put fleet of 69 cars, which it achieved since his appointment made. forward final recommendations supplied in 2002-04, for four months ago, although at the end of May. another 15 years at a cost of some initiatives are being However, Prasa estimates a more than É60m. hampered by the coronavirus Corruption Rand 199m ($US 10.8m) loss in pandemic. As part of the administrator’s revenue in April and May due Czech Republic Speaking via Twitter on May plan to root out corruption to the coronavirus lockdown, Infrastructure manager SZ has 7, Mpondo outlined how he is within Prasa, 12 senior members and a revenue loss for the whole republished a tender to prepare trying to “bring a semblance of face disciplinary action and year of Rand 757m. documentation on the order” to what he describes as instances of possible corruption The operator has reviewed its alignment for the initial 23km a “broken business” due to the will be handed over to the programme to recover commuter section of the country’s first “systemic erosion of value the National Prosecuting Authority. rail services on the Central high-speed line (p26). The business has experienced over Prasa will conduct lifestyle Line corridor in Cape Town tender includes an environmental a number of years.” Mpondo audits of all finance and and the Mabopane corridor in impact study (EIS), and an says that “there remains a lot supply chain employees and Johannesburg due to the option to undertake the work of work to do.” the top 300 managers, and so coronavirus lockdown, the required to receive approval Since January, an Exco far the names of 186 senior fencing programme and for the alignment and EIS. structure has been established employees have been put increased theft and vandalism, supported by five sub- forward to South Africa’s State while the Central Line has Germany committees all of which meet Security Agency for vetting. been severely impacted by Bavarian Railway Company every two weeks. Mpondo has “Over the past 10 years we illegal settlements. Buses were (BEG) has awarded DB Regio also appointed a team of five have seen a steady and a sharp due to provide an interim the Franconia and South technical advisers recruited decline in fare revenue which service from August but this Thuringia contract to operate from government departments, has necessitated an increase in has now been pushed back to services from Nuremberg and a state research institute and the operating subsidy,” Mpondo November. This means a limited Bamberg to Würzburg, industry. says. “On the other hand, our train service will now resume Saalfeld, Sonneberg and Erfurt. Mpondo says most executive expenses have increased in February or March 2021 with The concession includes 5.1 vacancies have been filled and unabated. Furthermore, it has full services in August 2021. million train-km within the following appointments been an accepted practice at Mpondo adds that Prasa has Bavaria, with the remaining were due to be made last Prasa to budget for a deficit. not delivered on its own 0.6 million train-km in month: Prasa Rail CEO, Prasa This is the dire situation we are capital investment programme Thüringen. Tech CEO, Autopax (bus) CEO, earnestly seeking to reverse.” during the last two years chief information officer and Mpondo says initiatives are which has had a detrimental Italy company secretary. underway to increase revenue effect on operations and the Bombardier and national Partnerships have been over time, and there is particular supply industry resulting in a operator Trenitalia have formed with national freight attention on reducing costs. “lose-lose situation.” Prasa is signed a six-year logistics operator Transnet, traction A review of Prasa’s planning to go out to tender services contract to support power supplier Eskom to operating model confirms that for a range of projects worth the fleet of ETR 500 300km/h tackle cable theft and monitor structural impediments have Rand 7bn during the 2020-21 trains, with an option for a substations and renegotiate worsened since the company financial year. IRJ June 2020 11 June News_Layout 1 22/05/2020 15:25 Page 12

News | headlines

Parliamentary committee issues scathing HS2 report Three Swiss HE British parliament’s earliest, three years later than recommendations by the Public Accounts Committee originally planned. Oakervee Review of HS2 operators launch (PAC)T published a scathing The PAC has made seven = the DfT and HS2 Ltd’s joint EMU tender report on the HS2 high-speed observations: failure to understand the WISS Federal Railways rail project on May 17, accusing = a lack of transparency by the consequences of changes to the (SBB), Thurbo and Region the Department for Transport DfT and HS2 Ltd, which hybrid bill for Phase 1 as it AlpsS have launched a joint (DfT) of withholding undermined public confidence passed through parliament, tender for 194 single-deck S- information regarding the in the project which led to cost increases Bahn EMUs to replace life- project’s cost and schedule. = a failure by the DfT to = the DfT is not giving enough expired trains. “The HS2 programme has provide parliament with a attention to the integration of The three operators plan to gone badly off-course and is clear warning that the project HS2 with the existing network pre-qualify bidders by the end now estimated to cost up to was going off-course and value and the government’s decision of 2020. The three best bids £88bn, significantly more than for money was at risk to pause Phase 2b to Manchester will then be selected for the original budget of £55.7bn = the PAC says that despite and Leeds and to try to integrate evaluation, and the first train (both figures are 2015 prices),” raising concerns, it is still it with Northern Powerhouse should enter service in the House of Commons PAC unconvinced that the DfT and Rail will increase complexity December 2025. The value of says. “We are unconvinced that HS2 Ltd have the skills and and make the need for the contract is estimated at SFr there will not be further cost capability to implement the integration even greater, and 1.5bn ($US 1.54bn). increases… especially given project, and HS2 Ltd lacks the = the DfT is failing to make SBB will have 106 trains, that the route and forecast cost commercial skills to manage sufficient and meaningful Thurbo 70 and Region Alps 18. of the northern sections of the the main construction contracts changes to its management of The contract will include proposed railway is still very = despite being seven years infrastructure projects despite options to supply up to 316 uncertain and will remain so into the project, “huge the problems with past projects. trains, as well as maintenance for years to come.” uncertainties” remain with the The PAC has given the DfT and the installation of ETCS. The PAC also notes the design and delivery of the and HS2 Ltd between three The trains will need to be delays to the project, with the expansion of London Euston and six months to respond, designed to operate in first phase from London to station – DfT, HS2 Ltd and and says it will regularly Germany and Austria. Birmingham and Lichfield now Network Rail are currently examine how the project is SBB hopes to rationalise its expected to open in 2029 at the revising the plans following progressing. fleet and intends to have just two types of single-deck EMU: this train and a new design to enter service in the period 2037-2048. Iran signs MoU with Mapna for 510km line RAN’s Ministry of Roads and Urban Development has signedI a memorandum of understanding with Mapna to construct an electrified 510km line between Ahwaz and An artist’s impression of the conventional platforms at Old Oak Common. Isfahan. The line will link the HS2 begins track and systems procurement as Old Oak Common station site approved southwestern Khuzestan S2 Ltd launched tender where HS2 trains will join the are expected to be announced Province with Isfahan, through processes last month for West Coast Main Line. towards the end of the year, mountainous terrain. Mapna theH signalling and train HS2 plans to announce a with contracts awarded in will construct the railway control system and 280km of shortlist of bidders next year 2022. under an engineering- high-speed track while Old to award the contracts in 2022. Old Oak Common will be procurement-construction Oak Common station has The track systems contract the temporary London (EPC) scheme, and will be received planning permission. specifies the use of slab track terminus of the line when it responsible for financing the The Control, Command, and covers design and build opens in 2029 and project, which will cost an Signalling (CCS) and Traffic between London, Birmingham construction of the station was estimated É3bn. Management systems and Crewe. The winners will approved by Old Oak and The line is expected to halve contracts will have a also take a lead role in Park Royal Development the number of passenger and combined value of £540m. The managing and coordinating Corporation on May 20. freight vehicles on the Ahwaz systems will use ETCS the interfaces between the HS2 Ltd awarded a contract - Isfahan road. The line will signalling and the latest traffic track and other elements of to a joint venture of Balfour also improve access to a management technology to the rail systems with the Beatty, Vinci and Systra to cheaper supply of iron-ore in control trains travelling at up procurement split into four build the station in September central Iran for the steel to 360km/h between London, packages. 2019 and construction will industry in Khuzestan Birmingham and Crewe, Shortlists for the contracts begin in June. Province. 12 IRJ June 2020 June News_Layout 1 22/05/2020 15:25 Page 13

In brief

further six years. Bombardier ERTMS testing will ensure continuous availability of spare parts and starts on new repairable components. Spanish HS line DIF High Speed (Adif AV) New Zealand started test running under The government has allocated ERTMSA Level 2 on the 110.7km $NZ 1.2bn ($US 718m) to rail Zamora - Pedralba de la Pradería in its 2020 budget. The funding section of the Madrid - Galicia includes $NZ 421m for new high-speed line on May 15. freight wagons and locomotives, The tests ran until May 19 at $NZ 246m to support 200km/h using a series S-112 investment in track and AVE train as well as two series supporting infrastructure, and S-730 AVE trains. Testing was $NZ 400m to help replace conducted in both nominal national railway KiwiRail’s and degraded ERTMS conditions ageing road/rail ferries and India’s most powerful locomotive enters service in order to verify the safe associated portside infrastructure. NDIAN Railways (IR) has designed for regenerative operation of the system. The put into service the first of braking. line is also equipped with Sweden Greater Traffic 800I WAG-12 or Prima T8 Each locomotive is 38.4m ’s conventional Asfa Commission has awarded electric two-section locomotives long, 3058mm wide, and 4245m signalling system as a backup. Transdev a concession to supplied by Alstom. high. The units have a double Trains operated successively operate the Roslags commuter This follows certification for Bo-Bo wheel arrangement and and in opposite directions to rail network on behalf of operation by the Ministry of weigh 200 tonnes with a 25- test train passing. Stockholm Transport (SL). The Railways and Commissioner of tonne axleload, and 180 tonnes Once the test results have 12-year concession will come Railway Safety/RDSO. with a 22.5-tonne axleload. been verified, reliability test into force on April 2 2021 and The locomotives will be They can operate between running and driver training is valued at around SKr 4bn deployed on India’s new -10oC and 50oC. will start. Testing of ERTMS ($US 405m). Dedicated Freight Corridors. The locomotives are being Level 2 has already been Commissioning of the first supplied under a É3.5bn completed on the Olmedo - sections of the Eastern and contract awarded by a joint Switzerland Zamora section of the line, An ICE-S measuring train on Western corridors is underway, venture of India’s Ministry of which opened in December loan to AlpTransit Gotthard and both lines should be Railways and Alstom in 2015. 2015 and Adif AV hopes to has reached 275km/h in the completed by the end of 2021. The contract includes 11 years start driver training for new 15.4km Ceneri Base Alstom says the 9MW maintenance and construction operation under ERTMS soon. Tunnel under the Swiss Alps, locomotives are the most of a manufacturing plant at The remaining 101km operating with ETCS Level 2. powerful to operate in India. Madhepura in Bihar state, which Pedralba de la Pradería - Testing started in the tunnel The units will be able to haul has a production capacity of 120 Taboadela section is under on March 1 after AlpTransit 6000-tonne freight trains and locomotives per year, and two construction. Track laying is received approval from Swiss have a maximum speed of depots. The depot at Saharanpur due to be completed this Federal Office of Transport on 100km/h, which can be has already opened while the month, followed by electrification February 17. upgraded to 120km/h. Nagpur facility is still under in July. This section will Stadler’s IT system was The WAG-12s use an Insulated construction. The locomotives = connect with the broad-gauge targeted with a cyber-attack, Gate Bipolar Transistor (IGBT) were designed at Alstom’s high-speed line from Ourense the company announced on traction system and are Engineering Centre in Bengaluru. to Santiago de Compostella. May 7, with malware used to steal information. The company says it immediately Mayan Train construction contracts awarded initiated the required security EXICO’s National and includes upgrading the Azvi, Spain, which submitted measures and involved the Tourism Promotion Fund existing Chiapas - Mayab line. the winning bid of Pesos responsible authorities. A (Fonatur)M has announced the The consortium, which includes 10,192.9bn ($US 438.4m). The detailed investigation is now winners of construction China Communications 172km section will run from underway. contracts to build the Mayan Construction Company, Cosh Calkiní via Campeche to Izamal. Train project, which aims to Group, Eyasa and Gavil Construction started on May 25. United States boost tourist services around Engineering, submitted a bid The Mexican government is The Thirteenth Court of the Yucatan peninsula through of Pesos 15.5bn ($US 622.7m). expected to award a contract Appeals of Texas ruled on a combination of new line The contract for the 235km directly to Ingenieros Civiles May 7 that Texas Central is a construction and upgrades section 2 of the project, which Asociados (ICA) to build the railroad company and inter- between Palenque, Izamal, will run from Escárcega to 196km section four, which will urban electric railway, Cancun and Escárcega. Calkiní, was awarded to run from Izamal to Tulum, as effectively ending a four-year The project is divided into Operadora Cicsa and FCC the company is already court battle with landowners. seven sections totalling 1452km. Construcción with a bid worth working on a road project. The landowners argued that A consortium led by Mota- Pesos 18,553.7bn on April 30. Section five will run from the project was not a railway Engil México is the winner of The section 3 contract was Cancun - Tulum (117km); and did not have the the tender to construct the 227km awarded to a Mexican-Spanish section six from Tulum to associated rights, including first section, which consists of consortium comprising Bacalar (223km); and section eminent domain and access to the Palenque, Chiapas - Construcciones Urales, Gami seven from Bacalar to property for surveyors. IRJ Escárcega, Campeche section, Ingeniería e Instalaciones and Escárcega (277km). IRJ June 2020 13 June News_Layout 1 22/05/2020 15:26 Page 14

News | headlines

UIC SJ to expand domestic night train offer as safety project Sweden eyes continental connections releases results European project has released a toolbox of sAolutions intended to improve the management and design of level crossings. The Safer Level Crossing by Integrating and Optimising Road-Rail Infrastructure Management and Design project (Safer-LC), coordinated by the International Union of Railways (UIC), was one of three safety improvement projects that received funding in 2016 through the European Union’s Horizon 2020 research SJ will once again offer overnight services and innovation programme. from to Jämtland, including Åre. The toolbox is designed as a WEDISH passenger overnight rail offer to preclude reasonable departure web-based platform that will operator SJ has announced continental Europe would be and arrival times, although the be updated by the UIC. UIC pSlans to restore overnight to procure a service to Germany opening of the Fehmarn fixed senior research advisor, Mr service between Gothenburg and Belgium via Denmark. belt, currently scheduled for Grigore Havarneanu, says the and Duved in Jämtland, which The report says that services 2028, could reduce journey toolbox can be used as a it will now run on a commercia l on the route could start as times by 2 hours. decision support tool, which basis, from December 13. early as 2022-2023, particularly Other possible hurdles include groups several assessment National transport if a direct award contract is procuring rolling stock, with methodologies as well as a administrator Trafikverket offered. Trafikverket recommends supplies currently limited. wide-range of cost-effective awarded SJ a public service that this initial contract should Trafikverket says coaches could safety measures. obligation contract for the run for four years with an be leased or bought directly by The measures can be sorted Stockholm - Duved portion of optional two-year extension. the authority or supplied by the by criteria including type or the route on February 10. The report investigates the operator under the contract terms. users and level crossing costs, However, SJ will now offer necessary conditions to procure The report adds that it is which can help end-users select commercially-run overnight regular overnight services from currently not possible to combine the most appropriate solution. services between Gothenburg Sweden to continental Europe a PSO contract with an open- Each measure is presented and Duved as well as Stockholm and was commissioned by the access arrangement required with a short description, study - Umeå and Gothenburg - Umeå. Swedish government in 2019. when operating in Germany, results, the potential benefits, Trains from Gothenburg will The report says that capacity is which regards long-distance recommendations, main follow the existing route via limited in Hamburg, Cologne rail travel as a commercial psychological functions the Western Main Line and and Brussels during the business. However, the report involved, documents, related Örebro. morning and early evening notes that a compromise might measures, a gallery of examples, Meanwhile a report issued peak, so it may be necessary to be reached by combining PSO and a comments section. by Trafikverket on April 27 be flexible with timetables. contracts in Sweden and Nearly 300 people die each found that an “appropriate However, the end-to-end Denmark with a commercial year in accidents at level first step” to expand Sweden’s journey time of 17 hours might contract in Germany. crossings across the EU. Chile approves $US 1.9bn 2020-22 rail investment plan HE Chilean government to award contracts in August. south, southwest and northwest, serving the cities of Concepción has approved Chilean State EFE plans to partially finance serving new housing and Valparaíso, including RTailways’ (EFE) $US 1.9bn the works through a $US 130m developments. expanding the Valparaíso 2020-22 investment plan. bond issue. The bulk of the money will service to Quillota and La Work on the $US 1.3bn The 2020-22 plan is part of a finance the new Calera. Other projects include project to introduce a commuter long-term $US 5.57bn investment service from Santiago Alameda the renovation of the Talca - rail service between Santiago plan intended to raise the to Malloco and Melipilla. The Constitución line, rolling stock and Melipilla will start in June, annual number of passengers project was tendered in 2002 purchases for the Santiago - CO!Bnfsjdbt reports, while carried from around 50 million but received no valid bids. The Nos - Rancagua commuter line construction of the $US 650m at present to 174 million in new project will be implemented and upgrading the freight link Santiago - Batuco line and the 2027, and annual freight solely by EFE and, with annual to San Antonio. $US 220m Biobío rail bridge in tonnage from 11.5 million to ridership estimated at between A further 20% is aimed at Concepción will begin next year. 21 million over the same period. 30 and 50 million passengers, facilitating freight movement EFE is also planning to EFE says 42% of the planned would be EFE’s most heavily by rail, especially between modernise the Santiago - investment would be for used service. Santiago and a new megaport Chillan inter-city service at a suburban services over existing Around 20% of the investment in San Antonio, on the coast to cost of $US 115m and expects lines from Santiago to the would be for suburban services the west of Santiago. 13a IRJ June 2020 June News_Layout 1 22/05/2020 15:26 Page 15

In brief

Britain Franchising back on the agenda in South Australia Infrastructure manager NFRASTRUCTURE South 75.3% jump in trips Adelaide station will need to Network Rail (NR) has begun Australia (ISA) recommends between 2013-14 and 2017-18 be reviewed with the potential removing sections of a 1960s rIail and tram franchising as compared with a 21.8% rise in to create a city centre rail loop. viaduct at Bletchley for the part of its new 20-year bus patronage. As a result, the ISA also calls for a programme East-West Rail project. NR infrastructure strategy. proportion of bus trips compared to remove level crossings along started to dismantle 14 spans ISA, which provides advice with rail has fallen from 79% to key corridors to provide of the 37-span viaduct which to the South Australian state 68% over the same period. maximum benefit to road users. crosses the West Coast Main government, says franchising ISA says “Adelaide is ISA notes that road freight Line (WCML) so that they can is “a model which has shown reaching a tipping point due to accounts for 88.3% of domestic be rebuilt to modern standards. to provide efficiency savings increasing congestion” and freight compared with 5.9% for that could be reinvested in the that it wants public transport rail. It says much of the current Estonia network, provided appropriate to play a greater role. road network is in poor RB Estonia, responsible for contractual incentives and Nevertheless, ISA says it condition, which limits efficiency implementing the Rail Baltica controls are put in place.” ISA favours building bus lanes and and productivity. To capture project in Estonia, has issued a has drawn this conclusion eventually bus rapid transit potential growth opportunities call for tenders for the design despite the fact that rather than expanding the tram from its iron-ore resources, ISA of Muuga multimodal freight franchising of the Melbourne and commuter rail networks. says the government should terminal. Muuga is the largest commuter rail and light ISA says options to increase work with industry and local freight port in Estonia and is networks in neighbouring commuter train frequencies councils to identify potential located 17km northeast of the Victoria was abandoned as it should be explored by running efficiency and safety capital Tallinn. failed to produce any benefits. longer trains and improving improvements to supply ISA says there was a 42.8% signalling. In the long term, chains, including investments Germany increase in rail journeys and a ISA says the terminus nature of in additional rail spurs. German Rail (DB) spent É118.6m on noise abatement in 2019, up from É97.8m in Czech government increases rail investment budget 2018, with 53km of soundproof HE Czech Republic April 30, which is 28% of the station buildings. The largest walls installed along existing government has increased annual budget. By comparison, allocation of funds comprise: lines, taking the total to more tThe investment budget for SZ had only invested 22.5% of = Koruna 280m to repair both than 600km. Since DB infrastructure manager SZ by the total budget during the tracks between Decín-Prost rední launched its noise reduction Koruna 3.5bn to Koruna 46.9bn first four months of 2019. Zleb and Dolní Zleb from mid- programme in 1999, É1.9bn ($US 1.9bn) for 2020. “Regardless of the current July to the end of October has been invested in noise SZ has prepared investment situation, we continue without = Koruna 200m for a Koruna abatement measures along projects worth more than interruption in the preparation 500m project to repair unstable more than 1800km of track. Koruna 24.2bn this year, which of other planned investment embankments between Hájek - is Koruna 4.6bn more than in projects,” says SZ director Dalovice, and 2019. SZ says despite the general, Mr Jirí Svoboda. = Koruna 151m for a Koruna The government has allocated effects of the coronavirus The additional funding will 242m scheme to repair the an additional NKr 826m ($US pandemic, it has invested be used for track repairs and Mostek - Horka u Staré Paky 75m), of which NKr 548m is almost Koruna 6.9bn up to maintenance and work on line. new funding, to infrastructure manager Bane Nor to support Precision Scheduled Railroading helps NS to cut loco fleet ongoing rail projects in the S Class 1 railway Norfolk train speed increasing by 10% the impact of the coronavirus revised state budget announced Southern (NS) says the from 34.9km/h a year ago to pandemic. First quarter on May 12. The additional sUuccessful introduction of 38.3km/h and a 16% reduction operating revenue fell by 8% to funds will support the Precision Scheduled Railroading in terminal dwell time from $US 2.6bn compared with the development of track- (PSR) is allowing it to dispose 22.2 hours to 18.6 hours. first quarter of 2019, driven by doubling projects on the Follo, of 703 excess locomotives. NS has already witnessed an 11% drop in total volume. Østfold and lines. NS has cut its locomotive However, track doubling of fleet by 22% since the the Kleverud - Sørli section of beginning of 2019 from 3515 the Line between active and 606 inactive units to and has been 2801 active and 402 inactive/ delayed until 2022, reducing surge locomotives at the end of expenditure by NKr 180m in the first quarter of 2020. It has 2020 and NKr 510m in 2021. also reduced the number of locomotive types from 19 to 10. Russia This has cut operating and Knorr-Bremse has signed a maintenance costs and reduced contract with Siemens to the average age of the fleet. supply equipment for 13 high- The announcement was speed trains for included as part of NS’ 2020 Russian Railways (RZD). The first-quarter financial results, systems supplied by Knorr- in which it achieved record Bremse designed to operate quarterly operating reliably at temperatures of performance in the first -50°C. IRJ quarter of 2020, with average IRJ June 2020 13b June TN_Layout 1 21/05/2020 19:28 Page 14

News | transit

UITP projects €40bn hit for European public transport in 2020 HE International Association loss of É5-7bn, including around É320m with ridership = Norway: ticket income is of Public Transport (UITP) É150m by BVG in Berlin. In dropping by 95%. expected to fall by É400m this saysT initial data on the possible France, outside of Paris, local Among the other data received: year, with additional costs impact of the Covid-19 pandemic transport farebox revenue is = Netherlands: urban and increasing this lose to É625m on public transport in Europe expected to fall by more than regional operators are projected = Italy: a É1.5bn shortfall in shows that operators are set to É1bn with losses relating to to lose É0.8-1bn in 2020 ticket revenue is forecast in suffer a É40bn shortfall in accessing public transport = Spain: operators are losing 2020 with a 50% reduction in farebox revenue by the end of estimated at É2bn. In Paris, É250m per month in fare revenue passenger numbers, and 2020. Ile-de-France Mobility has = Portugal: operators are losing = Austria: Wiener Linien has In the data submitted by already reported losses of É80m per month in fare revenue experienced an 80% drop in UITP members up to May 7 É2bn since the beginning of = Sweden: operators are losing passenger numbers since mid- and released on May 13, lockdown restrictions in mid- around É100m per month March and is expecting Germany’s public transport March. Paris Transport = Finland: Helsinki is expected revenue losses of around sector is expected to report a Authority (RATP) has lost to lose É150m É150m by the end of the year. São Paulo pledges $US 10.8bn to expand urban networks Contractor pulls HE governor of São Paulo, Mr João Doria, Varginha which will increase ridership from has approved investment of Reais 58.8bn 171.3 million passengers/year to 206.4 million out of Maryland’s ($UST 10.8bn) to expand the city’s rail and bus by 2023, Line 13/Jade to Bonsucesso in rapid transit networks by 2023. Guarulhos and the central region of São Paulo, Purple Line PPP Some projects in the Pluriannual Plan (PPA) and Line 11/Coral to Barra Funda. URPLE Line Transit will be funded through public-private partnerships In addition, the plans include modernising Constructors (PLTC), the (PPP) and the objective is to increase the number Line 7/Ruby, Line 8/Diamond, Line design-buildP team implementing of annual journeys by metro, commuter rail and 10/Turquoise, Line 11/Coral and Line the 25.7km Purple Line light bus to 3.39 billion by 2023. 12/Sapphire. Upgrading Line 11/Coral should rail project in Maryland, United On the commuter rail network, the following increase ridership from 221.5 million States, will abandon the project. extensions are planned: Line 9/Emerald to passengers/year to 229.7 million by 2023. The consortium cites continuing delays out of its control for compromising the delivery of GoAhead and Abellio in trouble over German concessions the $US 2bn construction scheme. WO operators of German The line from Bethedsa to passenger concessions - New Carrollton, which broke GoAheadT and Abellio - are ground in 2017, is being built being sanctioned due to poor for Maryland Department of performance, mainly caused by Transportation (MDOT) and the national shortage of drivers. Maryland Transit Administration The Baden-Württemberg (MTA) under a $US 5.6bn 36- Ministry of Transport and year public-private partnership GoAhead have agreed to allow (PPP) deal agreed with Purple another operator to temporarily Line Transit Partners (PLTP) in take over part of the Stuttgart spring 2016. Network rail concession. A PLTC notified PLTP of its tender has been published to intent to exit the PPP on May 1. appoint a new operator for the Abellio warned VRR in May that it was stuggling to meet contract Project manager, Mr Scott RE8 Stuttgart - Heilbronn - obligations under the contract. Risley, said delays caused by a Würzburg ‘Frankenbahn’ EMUs, which it has introduced Abellio on May 12 requiring lawsuit, problems obtaining service. It is hoped to award leading to cancellations and significant improvement to land for the right-of-way, last- the contract, which will probably delays. service reliability. minute changes in design be for two years, later this year. “Since last December, we VRR told Abellio that the requirements and difficulties in According to the Ministry of have doubled the offer on the “bad and unacceptable level of obtaining state environmental Transport, GoAhead has not Frankenbahn to an hourly service, especially for the approvals had added 2.5 years been able to ensure reliable frequency in order to attract as S-Bahn lines S3 and S9 plus and $US 519m to the cost of operation since it started to many passengers as possible,” regional line RE49” needed to the project. operate three services under the Mr Winfried Hermann, Baden- be remedied by specific dates “Without financial Stuttgart Network concession Württemberg transport minister in June and July at the latest. compensation by the state, the in December 2019: semi-fast explains. “But this only works Introduction of new S9 services construction firms would be Regional Express services on if the reliability is right. That is using the 14km previously forced to absorb hundreds of the RE8 Stuttgart - Würzburg why we have developed a new freight only Gelsenkirchen- millions of dollars in additional and RE90 Stuttgart - Nuremberg solution for a longer transition Buer Nord - Recklinghausen costs that are [the state’s] routes, plus slower Regional (to the new operator).” line, originally scheduled for responsibility. This is neither Bahn trains on the RB16 May 1, must now be introduced reasonable nor sustainable for Stuttgart - Ulm route. by September 15. PLTC,” Risley said, adding in GoAhead has suffered from Abellio Abellio warned VRR earlier a later statement that PLTC a shortage of drivers and Rhine-Ruhr Transport in May that it was unable to was unable to obtain the time experienced technical problems Authority (VRR) issued a provide sufficient resources to and cost relief to which it is with some of the formal warning to concessionaire operate the contracted timetable. entitled from MDOT/MTA. 14 IRJ June 2020 June TN_Layout 1 21/05/2020 19:28 Page 15

In brief

Bogota trains is expected within six The president of Colombia, Mr months, with another eight Iván Duque Márquez, presided trains following 11 months over the signing of a studies, after the contract is signed. design and supervision contract for the $US 1.5bn Kraków Regiotram del Norte rail MPK Kraków has increased its project. Regiotram del Norte order for Tango LRVs under a involves rebuilding the existing framework agreement worth 39.5km Bogota - Zipaquirá line about SFr 120m ($US 123.5m). for both freight and light rail Under the new agreement, passenger operation. Stadler will supply 60 Tango Kraków Lajkonik II low-floor Sha Tin - Central Link safe to complete Delhi LRVs. India’s National Capital report from a Hong Kong given the green light for Region Transport Corporation government-appointed completion. The Sha Tin - Lisbon (NCRTC) has awarded L&T Lisbon Metro has signed a inquiryA released on May 12 has Central Link (SCL) is 93% Construction’s Heavy Civil É48.6m contract with Zagope heavily criticised MTR and complete and the eastern Infrastructure subsidiary two Construction and Engineering, contractor Leighton Asia for Hung Hom - Admiralty section contracts to construct part of Portugal, for Lot 1 of the “serious deficiencies” in their is scheduled to open in the the 82km Delhi - Gaziabad - Yellow and Green line supervision of the Sha Tin - first quarter of 2021. The initial Meerut Regional Rapid Transit extension project, which will Central Link metro project but 6.8km Tuen Ma Line from Tai System (RRTS) line in Uttar connect Rato station, the concluded that structures at Wai to Hung Hom opened in Pradesh. The contracts include southern terminus of the and near Hung Hom station, February. 32km of viaduct and seven Yellow Line, with Santos the status of which prompted “The commission is fully elevated stations along the station on the existing the review, are safe and fit for satisfied that, with suitable Duhai - Modi Nagar and Modi commuter line to Cascais. purpose. measures in place, the station Nagar - Shatabdi Nagar sections. Reports of poor construction box structure will be safe and Sacramento and a cover-up of mismanaged also fit for purpose,” the report Sacramento Regional Transit work on additional platforms says. “However, the commission Hangzou Hangzou Metro opened the District has awarded a at Hung Hom emerged in May recognised that in a number of 35.1km Line 16 on April 23, contract to Siemens for 20 low- 2018. MTR told IRJ at the time respects, in the course of along with two extensions to floor LRVs. The contract, that a number of construction construction of the station box Line 5. Line 16 has 12 stations, which includes spare parts changes had been made to structure, there were with services operated with and maintenance, is worth works on the platform slab at unacceptable incidents of poor four-car 120km/h type B $US 100m and includes an the Hung Hom station workmanship on site metro trains. Line 5 is now option for up to 72 vehicles. extension by the contractor compounded by lax 56.21km with 39 stations. without full documentation supervision, and that in a Shenyang and formal submissions to number of respects also, The first phase of Shenyang MTR’s project management management of the endeavour Helsinki Helsinki Regional Transport Metro Line 10, which runs team. The government was fell below the standards of (HSL) has awarded VR Group from Dingxianghu to also not informed of the reasonable competence.” a 10-year contract to operate Zhangshabu, opened on April changes. As well as MTR and the commuter services around the 29. The 27.2km metro line has The $HK 90.7bn ($US contractor, the report says the Finnish capital, the first time 21 stations. 11.7bn) project is the costliest government should be held the contract has been put out in the history of MTR and was partly responsible as it had to competitive tender. originally scheduled to open in been “the ultimate approver Singapore SMRT Trains has awarded mid-2019. and accepter” of the completed Alstom a 16-year contract to The project has now been works. International The governments of Austria guarantee the reliability of the and Liechtenstein together Circle Line driverless train Berlin and Brandenburg confirm start with Austrian Federal control system. Alstom, which Railways (ÖBB) have signed originally supplied the CBTC of S-Bahn tendering process an agreement to finance an system in 2009, will guarantee HE Berlin Senate and the and S3) sub-networks, and a international S-Bahn service. its reliability and availability state of Brandenburg have 30-year vehicle delivery and The new service will connect and supply spare parts, carry confirmedT details of the maintenance contract. Feldkirch, Austria, with out repairs, and provide tendering procedure for two Bidders can either bid to Nendeln, Liechtenstein, and obsolescence management and Berlin S-Bahn operating become the operator of each of Buchs in Switzerland. technical support until 2035. concessions and an associated these concessions or combine fleet maintenance contract, operation with delivery and Istanbul Tianshui City which is set to commence “as maintenance of a new fleet of CRRC Zhuzhou has won a The first phase of Tram Line 1 soon as possible.” trains. Lira 1.55bn ($US 221.8m) opened on May 1, running The tender will be split Alternatively, bidders can contract to supply 176 metro from Tianshui railway station between 15-year operating offer to run the entire system cars for the under construction to Wulipu. The 12.9km east- concessions on North-South S- and deliver and maintain the Line M11 to Istanbul’s new west route runs alongside the Bahn (lines S8, S85, S86, S2, complete fleet. airport, which opened in April northern bank of the Wei S25, S1 and S15) and east-west The contracts are due to 2019. Delivery of the first two River, with 12 stations. IRJ Stadtbahn (lines S9, S75, S5, S7, commence at the end of 2027. IRJ June 2020 15 June FN_Layout 1 22/05/2020 12:42 Page 16

News | financial Record quarter for four Class 1s despite Covid-19 OUR North American Class CSX set a Class 1 railway 1 railways have reported first-quarter operating ratio record recordF quarters for the start of of 58.7%, improving 80 basis 2020, despite the coronavirus. points from its 59.5% operating Canadian Pacific Railway (CP) ratio in the first quarter of 2019. set records for operating ratio CSX achieved this milestone and revenue in Q1, and will despite a drop in revenues, but continue to invest in anticipation with a corresponding drop in of an economic recovery, rather operating costs. The railway than increase its shareholder withdrew its guidance for the dividend and buy back shares. remainder of the year. CP’s first quarter 2020 CSX net earnings were $US operating revenues increased 770m compared with $US 834m by 16% to a first quarter record in the same period last year. Canadian National was forced to deal with lower commodity volumes of $C 2.04bn ($US 1.44bn), from Revenue for the first quarter mostly due to the impact of the illegal blockades in February. $C 1.77bn last year. CP’s decreased 5% over the first the impact of coronavirus. of 59% for the quarter, and an operating ratio improved by quarter of 2019 to $US 2.86bn. While revenue remained flat at increase in net income from 1010 basis points to a first- Canadian National Railway $C 3.55bn, CN managed to $US 1.4bn in 2018 to $US 1.5bn. quarter record of 59.2%. (CN) achieved a 13% increase reduce operating expenses by The railway’s 59% operating Operating income increased by in operating income to $C 1.22bn 5% to $C 2.23bn. ratio is a quarterly record and 54% to $C 834m from $C 543m for the quarter despite Union Pacific (UP) achieved the fourth consecutive quarter last year. blockades of its network and an all-time best operating ratio below 60%.

Revised tendering plan confirmed for northeast Germany Alstom increases HE northeast German state of = Baltic Coast Network II (RE9 tenders covering regional rail Mecklenburg-Vorpommern and RE10 Rostock - Stralsund - services on non-electrified yearly sales hasT announced changes to Binz/Sassnitz/Züssow) from routes centred on Kaiserslautern despite order drop upcoming tenders for December 2021 to December and Saarbrücken. LSTOM achieved a 2% concessions to operate the 2034, which represents 1.8 Lot 1, which runs from increase in sales to É8.2bn Baltic Coast regional network. million train-km. December 2024 to December inA 2019-20 and a 4% rise in Mecklenburg-Vorpommern From December 2029, at the 2039, covers the operation of adjusted Ebit to É630m Transport (VMV) intends to earliest, the concession will 4.6 million train-km annually despite an 18% fall in orders to award contracts to operate incorporate an additional 1 using a new fleet of battery É9.9bn. regional services on the routes million train-km. electric multiple units (BEMUs) Alstom also managed to connecting the island of Rügen on several routes. increase its order backlog by with Stralsund, Rostock and Lot 2 covers 1.3 million 1% to É40.9bn, its Ebit margin Hamburg as follows: Southwest tenders train-km annually and will run from 7.5% to 7.7%, and net Baltic Coast Network I (RE 1 Transport authorities from from December 2023 to June = income from É433m to Hamburg - Schwerin - the southwestern states of 2037, primarily on the largely É446m. Rostock), which will initially Rhineland-Palatinate, Saarland non-electrified route between Alstom says the sharp drop be let as a ‘bridge contract’ and Baden-Württemberg led Mainz/Bingen and in orders in the 2019-20 from December 2021 to by Rhineland-Palatinate South Kaiserslautern, currently financial year, which ended on December 2025 and represents Local Transport also operated by both DB Regio March 31, was due to its 2.3 million train-km, and announced details of two and Vlexx. exceptional order intake in 2018-19. Nevertheless, Alstom says its book-to-bill ratio remains strong at 1.2. Rolling stock sales increased by 14% organically to É3.94bn, signalling sales rose by 13% organically to reach É1.49bn, but services sales fell by 6% organically to É1.47bn. Signalling and services accounted for 51% of orders in 2019-20. Alstom estimates the impact of the coronavirus pandemic on sales for 2019-20 at around É100m, and says it expects its objective of a 5% average annual growth rate up to 2022- 23 to be “slightly impacted” The tender from Rhineland-Palatinate South Local Transport includes the operation of RE 6/RB 51 Kaiserslautern – by the temporary slowdown of Neustadt/Weinstrasse – Landau – Karlsruhe services from December 2024. Photo: Deutsche Bahn AG/Uwe Miethe tender activity. 16 IRJ June 2020 June FN_Layout 1 22/05/2020 12:42 Page 17

In brief

Bulgaria surpassed É6bn. Ebitda also MAV-Start invites bids for BEMUs Bulgarian State Railways increased by 6.6% from É392m weighting: 50 UNGARY’s national (BDZ) has awarded Siemens a in 2018 to É418m. long battery range 80-120km passenger operator, MAV- = Lev 55.5m ($US 31m) contract H at 100km/h - weighting: 50 Start, has issued a call for to supply 10 electric Smartron Germany low floor (less than or equal tender for a framework = passenger locomotives. Siemens The Federal Cartel Office has to 750 mm) passenger contract to supply up to 50 submitted a bid that was Lev approved CRRC Zhuzhou compartment ratio 40-75% - battery-electric trains. 2m cheaper than the expected Locomotive’s acquisition of weighting: 50 The tender calls for 30 150- value of the contract. Vossloh Locomotives saying seat and 20 200-seat low-floor = synchronous operation its concerns do not justify trains designed to operate on insurance with 415-series rejecting the merger. traction motor trains - Czech Republic lines electrified at 25kV 50Hz Czech Railways (CD) recorded weighting: 25 as well as under battery power. a profit of Koruna 1.3bn ($US International maximum capacity on a 200- MAV-Start intends to purchase = 51.5m) in 2019, with all sectors Voith, Germany, and PCS seat EMU 200-220 seats - the 20 200-seat trains first. of the group contributing to Holding, Switzerland, are to weighting: 25, and Bids will be evaluated the positive result. The acquire 59% of the shares in maximum capacity on a 150- according to the following = passenger division remained Traktionssysteme Austria seat EMU 150-165 seats - quality criteria with a maximum profitable, and retains 90% of (TSA) for an undisclosed sum. weighting: 25 weighting of 1200 points: the Czech market, despite a TSA produces electric motors, The deadline for submission = general warranty period 24- difficult year due to “ongoing generators and transmissions of bids is June 22. The 36 months - weighting: 50 liberalisation of the rail for rail and road vehicles. framework contract is expected = traction battery warranty transport market.” period 120-144 months - to run for nine years. Norway France Six train builders have been Keolis recorded a 10.9% pre-qualified by Norwegian Bane Nor announces increase in revenue last year, rolling stock company Norske tenders worth NKr 2bn up from É5.93m in 2018 to Tog to bid for a contract to É6.58bn in 2019. This is the supply up to 200 EMUs. The second consecutive year that initial contract will be for 30 revenue growth has exceeded trains with an option for up to 10%, and the first time it has 170 additional trains. IRJ

ORWEGIAN infrastructure This batch of work includes manager Bane Nor has rebuilding station, announcedN three tenders with the construction of tracks and a combined value of more than overhead electrification, and NKr 2bn ($US 195.6m) as it the installation of electrical and looks to support the telecommunications construction industry through infrastructure between Drammen the coronavirus pandemic. and Kobbervikdalen. The tenders are part of the Bane Nor is planning to sign track-doubling project on the the contracts for the tenders in Vestfold line between the first quarter of 2021, with Drammen and Kobbervikdalen. work starting in spring 2021. Loan for Budapest - Belgrade upgrade HE Hungarian government for the contract signed in June signed a loan agreement 2019 with the Chinese-Hungarian withT the Chinese Exim Bank CRE Consortium, which is System solutions on May 4 to finance 85% of the rebuilding the main line. from one source Forints 578bn ($US 1.78bn) cost Work on upgrading the Serbian Highest quality standards of upgrading the Budapest - section is already underway Belgrade main line, with the with this expected to be Fast construction concepts remaining 15% to be financed completed in 2022, while the Intelligent delivery logistics by the Hungarian government. Hungarian section is expected The loan has a fixed interest to be completed in 2025. DOORS rate and the Hungarian has the The project includes track- option to repay instalments doubling between Soroksár in GANGWAYS ahead of schedule if needed. Budapest, and the Serbian www.ultimate-eur.com INTERIORS The signing of the loan border between Kelebia and agreement was a precondition Subotica. IRJ June 2020 17 June PKP Cargo_Layout 1 21/05/2020 18:00 Page 18

Poland | freight

Embracing intermodal PKP Cargo develops new strategy PKP Cargo, like all operators, has suffered a hit as a result of the coronavirus shutdowns. However, the company remains committed to a strategy of increasing intermodal volumes as it transitions from a railway operator into a logistics specialist, as CEO Czeslaw Warsewicz reveals in an exclusive interview with Kevin Smith. S the source of the coronavirus before heading to destinations across the Cape of Good Hope rather than via pandemic, China was also the the continent. the Suez Canal, adding weeks to the first country to begin the The scene is in stark contrast with the journey. economicA recovery. Factories and Covid-19 shutdowns, which have “Obviously we are in a difficult businesses began reopening in ground much of the continent to a halt time,” says Mr Czeslaw Warsewicz, February, and many enterprises have in recent months and are set to plunge PKP Cargo president. “For the whole since turned to trans-Eurasian rail Europe’s economy into one of the time we have been operating as normal freight services to speed up the deepest recessions ever known. Indeed, both domestically and internationally, shipment of products and to receive for Polish rail freight operator PKP but demand from the economy was essential components and goods. Cargo, while the increase in demand for lower, especially for power. Our China National Railway reports that east-west intermodal rail freight is economy and electricity is based on 2920 trains carrying 262,000 TEU ran welcome, it does not mask the reality of coal, and 50% of our turnover is based between China and Europe from losses elsewhere. on the transport of coal. General power January to April, a 24% increase year- PKP Cargo serves Poland’s three production in Poland dropped by 10% on-year. In April alone westbound seaports, which have experienced a 50% and this has slowed demand for volumes were up 58% and eastbound decline in shipments from China since transport of coal. 29% for a total of 88,000 TEU. the start of the pandemic. While rail “There was also a fall in intermodal In Europe, rail freight loadings at the freight from China is reaching the transport, especially between seaports port of Duisburg, Europe’s largest continent within 12-14 days, the two to and destinations in Poland and inland port, increased from the usual three-month journey for ships, which elsewhere in Europe. The number of 35-40 trains per week to 50 in April. The carry the majority of Europe’s goods, ships from China fell by 50% and the Polish border has similarly witnessed means the recovery will be much traffic for transfers from ports was extensive congestion as freight waits to slower. The situation is compounded by much lower as a result.” transfer to the 1435mm-gauge network many of the ships now passing around The situation might have been much 18 June PKP Cargo_Layout 1 21/05/2020 18:00 Page 19

worse for PKP Cargo if the operator did not act to keep its business operational. A Crisis Management Team was established in the early days of the crisis to develop and implement the necessary safety procedures IN THE END for dispatch employees, traction teams and other people directly responsible for handling trains and loads. The operator also benefitted from the European IT‘S RAWIE. Union’s Green Lanes policy, which maintained seamless border crossings on TEN-T corridors for all freight. Like many businesses, PKP Cargo has received state Franz Rawie developed the shock-absorbing support to cover key costs during the crisis. In Poland friction buffer stop in 1906 and patented it. the government is reimbursing the salary costs of employees at firms which have reported a 15% or Today, customized and handmade RAWIE more reduction in activity as a result of Covid-19. PKP Cargo employee working hours have been cut by buffer stops ensure high safety standards in 10% overall as a cost saving measure and Warsewicz rail transport across the world. says this move has stabilised the business and will mostly compensate the anticipated 20-25% reduction in turnover. He says volumes are expected to begin a slow recovery from this month. The Covid-19 downturn comes off the back of a successful 2019 for PKP Cargo. Despite difficult economic conditions and an overall decrease in the transport of goods, which the company says is consistent with rail freight operators across Europe, the operator reported revenues of Zlotys 4.87bn ($US 1.18bn), its second best annual result since RAWIE.DE listing on the Warsaw Stock Exchange in 2013. However, this was down 7.1% from the Zlotys 5.24bn reported in 2018, the company’s best ever result. Ebidta was also down 5.2% year-on-year to Zlotys 860m. In total, the group transported 108.6 million tonnes 19

09:46 June PKP Cargo_Layout 1 21/05/2020 18:16 Page 20

Poland | freight

For these three months we have the opportunity to  update the strategy for a changing situation and the possible impact on the economy of Covid-19. Czeslaw Warsewicz

of goods in 2019, a 10.9% decrease year- providing the company with time to is to deliver on its ambitions and on-year. Coal accounted for 47.9 million reflect on what its longer-term objectives become a complete logistics provider, it of this figure, a reduction of 6.3% are, and how it can achieve them while must increase the attractiveness of compared with 2018. Aggregates remaining relevant in the short-term. intermodal rail services, which are the accounted for 20.4 million tonnes (-21.6%), “No-one knows what will happen in backbone of its offer. and metals and ores 9.3 million tonnes the next two, three or four months,” To address these fundamental flaws, (-26.2%). Warsewicz says. “My feeling is that the improvements to Poland’s railway Intermodal was the only segment situation will return to something infrastructure are essential. Warsewicz where volumes increased - from 9.2 resembling normal, but you don’t know says he is encouraged by progress with million to 9.5 million tonnes, or 2.7%. for certain. We don’t want to make any the National Railway Programme, the Intermodal is also where PKP Cargo is impulsive decisions to fire employees or largest infrastructure investment in the pinning its future hopes. to decrease the scale of the business. For history of Poland’s railway. Infrastructure As Poland begins to move away from these three months we have the manager PKP PLP is investing Zlotys fossil fuels to cleaner sources of energy, opportunity to update the strategy for a 70bn up to 2023 on upgrades across coal shipments are expected to decrease changing situation and the possible 9000km of track as well as improving in the medium-term. Equally, a boom in impact on the economy of Covid-19.” passenger infrastructure and signalling infrastructure development and and telecommunications systems. upgrades across the country fuelled by The importance of these investments EU funds helped to establish PKP Ambition is emphasised by the fact that rail Cargo as the country’s leading shipper As part of this process, Warsewicz freight only accounts for 20-25% of all of aggregates. Yet this segment is not says PKP Cargo will engage with clients transport from Poland’s ports, likely to sustain growth in the long-term. to try and estimate how the business compared with 40-45% elsewhere in “We have no choice but to take into will develop for the remainder of the Europe. Improving access to terminals consideration the changes that will take year and for the next two or three years and rail infrastructure capacity so there place in Poland and in Europe, which so it might respond accordingly. “Our are more freight paths will help to will demand greater specialisation,” main ambition is to balance cost with increase this figure. Equally it will help Warsewicz says. “Increasingly logistics turnover in this short period so we can to increase the average speed from will become a factor in every success of prepare ourselves to make a net profit 20km/h for freight services at present. the business, and this is why in the in the near future,” he says. “If we can get this to 45-50km/h after long-term we will focus more and more Warsewicz adds that he is heartened modernisation, we can double the on this element.” by the importance of the railway to speed of our service, which is very Warsewicz recognises that this keep the economy moving during the important when competing with road transfer process will not happen rapidly pandemic. This along with strong transport,” Warsewicz says. and says that in the more immediate environmental credentials should hold “To truly be a logistics operator we term the emphasis is on improving the sector in good stead for the future. must have a door-to-door service,” service efficiency and reliability. He Yet rail freight’s Achilles heel - Warsewicz continues. “We need a says the three-month window offered predictability and reliability of delivery network of terminals. We already have by the state’s support package is - remains. For Warsewicz, if PKP Cargo some, but the state is investing in more. 20 IRJ June 2020 June PKP Cargo_Layout 1 21/05/2020 18:00 Page 21

Compared with the EU average, we why we need to prepare individual intermodal capability was emphasised have two to three times fewer per 100 offers for each client.” in the operation of a pilot intermodal network-km, and that is why we have a Harnessing new digital technologies train between Germany and Lithuania big gap between us and the rest of is considered crucial to improving the in partnership with Lithuanian Europe. The state is investing a huge reliability of this tailored service. Railways’ subsidiary LG Cargo and amount in infrastructure and this is Warsewicz says PKP Cargo is close to German intermodal technology critical to help us to become more agreeing a contract to install a Transport provider CargoBeamer last month. competitive and efficient compared Management System, which he says The train was the first such service to with other modes of transport.” will track all of the company’s assets in reach the Baltic States. The 22-wagon real-time, improving the visibility of train arrived at the Sestokai terminal in goods and assets moving throughout southwest Lithuania following a two- Restructuring the network and aiding service day 1500km journey from With PKP Cargo transitioning from a reliability. Clients will have access to an Kaldenkirchen intermodal terminal railway operator to a logistics company, application which enables them to track close to the Dutch border in Germany and an infrastructure owner to a service their service. Equally the application via Poland and the standard gauge line provider, a major restructuring of the will improve monitoring of PKP to Sestokai. The outbound train was business is necessary. Cargo’s own activities and assets, loaded with trailers from eight This process will involve combining enhancing operational efficiency and transport and logistics companies. It existing domestic subsidiaries as well as informing maintenance activities. carried 23 trailers on the return leg. its international arm, PKP International, “This is a critical process that we will The companies touted the which the company bought outright finalise this year,” Warsewicz says. environmental friendliness of the

from Czech operator Advanced World One service that will ultimately service - it was estimated to reduce CO2 Cargo (AWT) in 2017, into a single harness this tracking capability is consumption by 100 tonnes compared logistics company. subsidiary PKP Cargo Connect’s with an equivalent journey by road. Warsewicz does not rule out Connect Operator intermodal service, Warsewicz says that the partners are acquisitions if, following a review of which was due to launch as IRJ went to working on developing a competitive internal processes, the company is press. transport offer for the route in the found to be lacking in a specific area. These trains will operate several future. Indeed, as PKP Cargo embraces He is also quick to emphasise that the times per week from the port at Gdansk intermodal, further innovations are company is ready and willing to use to Warsaw Praga and Poznan Franowo, expected as the company seeks to grow services offered by others - such as offering a transit time of eight hours, and enhance this area of the business as planes, ships or specific logistics processes and to Gliwice B Kontenerowa for a 15- others begin to decline. - if it improves the offer to the customer. hour journey. Crucially, they will run to Rather than using the Covid-19 “We want to maximise our efforts for fixed timetables and will offer epidemic to firefight, the company is the client and to do this we want to be a customers a complete picture of where embracing the breathing space offered logistics partner that will deliver at the shipments are and when they are due to by the government funds to reassess right time, at the right place, and at the arrive at their destination. PKP Cargo and improve its offer. Whatever happens right price,” Warsewicz says. “Different Connect will also offer an onward road in the next few months, PKP Cargo clients have different priorities; for transhipment service to support last seems well placed to respond accordingly some it is all about price, and for others mile operation. and strengthen its position in the it is all about time of delivery. This is Another step to improve cross-border market. IRJ

IRJ June 2020 21 June Plum Railway_Layout 1 21/05/2020 15:14 Page 22

Czech Republic | Plum Railway

Reopening the Plum Railway Railway industry suppliers are always looking for new ways to develop and test their products before introducing them to market. AŽD Praha has taken this to the next level by buying and operating its own line. Zdenek Chrdle and Vladimír Kampík tell David Burroughs how the company is benefiting from this novel approach. HE railway industry has always (formerly SZDC) was looking to successful, AZD began upgrading them rightly been known for its high safety consolidate its network by selling to an operational standard, including standards, but meeting such high under-used lines. AZD was initially enhancing drainage along the entire standardsT can slow the introduction of interested in the 22km Dolní Bousov - trackbed of the Plum Railway, replacing new technologies as they go through Kopidlno line, says AZD European rails and sleepers, modifying track the stringent testing and development affairs director, Mr Vladimír Kampík. geometry and installing ERTMS to phases required. However, after preparing the bid increase the maximum speed along the This can result in difficulties testing documents for the line, the company line to 100km/h. new technologies on operational decided it would also bid for the 38km Following this, AZD began operating railways, as operators can be reluctant Cízkovice - Obrnice line in the Ústí a weekend tourist service between to allow the introduction of new region. Lovosice and Most, working with the innovative components. In order to Dubbed the “Plum Railway” due to Ústí nad Labem region. The popularity remove this barrier, Czech signalling the fruit trees that used to grow of this service, along with the improved developer and supplier AZD Praha alongside its tracks, the line was put out journey times provided by the came up with a novel solution: to buy of commission due to its slow speeds upgraded line and the new signalling its own railway. and state of disrepair, with the last technology, sparked discussions around The opportunity presented itself in passenger services running in 2007. the resumption of daily services, which 2016, when infrastructure manager SZ After the bids for both lines were eventually began at the end of 2019. 22 IRJ June 2020 June Plum Railway_Layout 1 21/05/2020 15:14 Page 23

+++ New Date +++

AZD is now operating 11 daily round trips along the 51km line between Litomerice and Most, which includes the Plum Railway, with another seven daily trains along the shorter Litomerice - Trebívlice section of the line. Services are operated using three low-floor RegioSprinter units and one backup unit, which were purchased from Germany before being upgraded to meet Czech standards. This included the installation of an onboard vacuum toilet, along with air-conditioning, Wi-Fi, power sockets, and space for pushchairs, bicycles and skis. Each two-car train has capacity for 165 passengers, including 65 seated. “We use it as a showroom and we are still continuously installing the newest technology, not only from AZD but also from our related companies,” says AZD general manager, Mr Zdenek Chrdle. “We have the advantage that the train is operating every day so all the new installations are immediately proven during operation.” The line has three stations, at Trebenice, Trebívlice and Libceves, along with five ‘intelligent’ stops. Developed by AZD, these feature a small shelter with a signal light on top that turns off when a button is pressed by the passenger. The driver in turn looks for the light when approaching the station, stopping to pick up the passengers if the light CONTACT OTSA Ltd is turned off. The stops also feature e-paper displays 9 Manchester Square similar to the kind used in Kindle e-readers to display W1U 3PL London timetable information, intelligent lighting that dims when T +44 (0)207 886 3107 no passengers are present, and connected-fibre CCTV. [email protected] Services are controlled from a dispatch centre in Lovosice, using a fully electronic StationSWing ESA-44 IRJ June 2020 23 1 18.05.2020 15:31:16 June Plum Railway_Layout 1 21/05/2020 16:09 Page 24

Czech Republic | Plum Railway

interlocking. AZD has installed GSM-R including modern electronic GateSWing designed for lines with operating along the entire line, together with PZZ-J level crossings with LED warning speeds of more than 160km/h and ETCS Level 2 along two-thirds of the lights and new telescopic barrier beams alternative point machines. line. The remaining third will be made of composite materials or aluminium. Maintenance along the line will be covered with ETCS Level 1 by the end As part of its level crossing streamlined through the use of fibre- of the year as a demonstration. While development, AZD is involved in the C- optic cables and drones. A global the company has installed ETCS Level 2 Roads project, a Europe-wide diagnostic system, based at Trebívlice along hundreds of kilometres of track, it programme to develop Cooperative station, will continuously monitor and is yet to build up a similar portfolio for Intelligent Transport Systems (C-ITS) to evaluate key parameters and all ETCS Level 1, a gap filled with its improve road safety. The system uses technical installations along the line. installation on the Plum Railway. data from road vehicles to allow them Using a system supplied by Frauscher, a

Automatic Train Operation AZD is also involved in Shift2Rail’s development of Automatic Train We have the advantage that the train is operating every Operation (ATO). The line was due to host a test of ATO at Grade of day so all the new installations are immediately proven Automation 2 (GoA2) this month,  ahead of a presentation of the project at during operation. Zdenek Chrdle InnoTrans in September. However, this has since been delayed due to the Covid-19 pandemic, with the demonstration now expected to take to communicate with each other and the fibre-optic cable is laid along the line, place ahead of InnoTrans’ revised dates surrounding infrastructure. which uses rail defectoscopy to detect on April 27-30 2021. Nevertheless, the The C-ITS systems will provide cracks or breaks in the rail by picking technology is installed and ready on the drivers with information on upcoming up the vibrations produced by the train line, Kampík says, and work is ongoing traffic and road conditions, helping to passing by. with a goal of developing GoA3. improve flow and prevent traffic jams The goal is to create a system whereby The ATO system aligns with the and serious accidents. The technology the detection of a fault would trigger a standards developed by the Unisig will also be able to communicate with drone, which would autonomously fly to industrial consortium, which comprises level crossings, alerting the driver that the location to observe and photograph AZD, Alstom, Bombardier, CAF, Hitachi the barriers may be closing or that a the affected rail. Rail, MerMec, Siemens, and Thales as train may be approaching. The system has been tested successfully full members, while CM and Sirti are AZD is also installing and testing a using pilots who fly the drone using associate members. number of new developments not usually GPS localisation. Autonomous flight is New features were installed along the seen along a small rural railway, including not yet possible due to legal restrictions. Cízkovice - Obrnice section of the line, FieldSWing SNA-100 prototype signals AZD is seeking a change in legislation to allow it to operate the drone autonomously over roads, but this process has been put on hold during the Covid-19 pandemic. The system will also monitor level crossings, ETCS, public information systems, station lighting and other elements, along with the technical condition of culverts and bridges after smart sensors are installed. The coronavirus pandemic has not affected the operation of the line itself, Kampík says, and the line continues to provide the full services proscribed under the contract with the Ústí nad Labem region. Reopening of the line has helped to increase awareness of AZD’s brand among the general public. The company is also continuing the line’s heritage. The plum trees which gave the line its name have been replanted and their fruit is now used to produce AZD- branded Slivovice brandy. “We welcome all visitors who would like to see the line in operation and see the AZD is trialling the use of autonomous drones to respond to faults and record photos and videos installations,” Chrdle says. “It is open to to advise engineers of possible infrastructure faults. all.” IRJ 24 IRJ June 2020 IRJ webinar ad_Layout 1 24/04/2020 15:11 Page 20

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High speed | Czech Republic Momentum builds for Cze Facing growing passenger and freight traffic with limited options to increase capacity, the Czech Republic is turning to the development of new high-speed lines as a way to improve connectivity across the country. David Burroughs meets SŽ director of international affairs, Radek Cech, and head of department, high-speed preparation, Martin Švehlík, to hear how plans for the network are progressing.

26 June Czech HS_Layout 1 21/05/2020 15:01 Page 27 zech high-speed project ITTING in the centre of Europe This strain on capacity is compounded high-speed lines. The initial emphasis is and surrounded by five major by the nature of the network under the on bypassing the most congested countries including Germany, control of infrastructure manager SZ, sections of the network, before developing PolandS and Austria, the Czech Republic formerly SZDC, which continues to these connections into a three-line holds an important position when it carry mixed traffic on the same lines. network. The new network will serve comes to facilitating transport across the “We have a different situation from only long-distance passenger trains, continent. But this also poses challenges Germany or Austria, where they have freeing up space on the conventional for a network that still has a maximum segregated lines for different types of network for local and regional operating speed of 160km/h and is traffic,” SZ director of international passenger services and freight trains. facing increasing demand. affairs, Mr Radek Cech, explains. “We On the back of growing passenger don’t have this - we use the same tracks and freight traffic, the country’s rail for all types of trains. On the line to the Government approval network was coming under increasing east (of Prague) we have trains every The plan has been in the pipeline for strain, at least until the coronavirus two minutes, but it’s also about the type years, but the programme for pandemic struck. In 2019, national of train, fast, regional or freight trains, developing the high-speed rail network operator Czech Railways (CD), which which makes it very difficult.” took a major step forward after has 90% of the market, carried 182 This tight headway means that any receiving approval from the Czech million passengers, with average delay can have a domino effect, causing government in May 2017. The journey distance and train occupancy significant disruption to other services. government resolution called for a both increasing by about 10% compared To solve this capacity challenge, the network with a speed of between 300- with 2018. country is looking to build a series of 350km/h, where feasible, that would

The new high-speed network will improve capacity across the conventional network, which is currently struggling to meet demand. Photo: Shutterstock/Olga Oggi 27 June Czech HS_Layout 1 21/05/2020 15:01 Page 28

High speed | Czech Republic

improve access to affordable transport services, strengthen the Czech Republic’s international competitiveness, reduce the environmental impact of transport, and improve accessibility to regional centres and international cities. Decreasing the travel time between city centres has the additional benefit of improving economic activity by bringing workers residing outside of cities within commuting distance of more jobs. The highlight of the project is the Prague - Brno - Ostrava high-speed line, which will include the Brno - Breclav branch to the south. The V-shaped line will bring Jihlava and Brno within less than 30 minutes of Prague. A second segment of the project, which is being developed in cooperation with German Rail (DB), will see the construction of a line south from Dresden to Prague. This project, which is still in the development stage, will include a tunnel beneath the Ore Mountains near the village of Stradov. The country’s fastest services are currently offered by the Alstom-built class 681 The line is expected to run south tilting trains operated by ČD. partially underground, with an While these studies are ongoing, the line. This will run from Prague- underground station at Ústí nad Labem early results show a strong need to Bechovice, a suburb on the eastern and in tunnel to Litomerice from where construct key sections of the network as outskirts of Prague and will increase the line will continue on a dedicated soon as possible. The Czech Ministry of capacity from the east. alignment to Prague, where its entry Transport subsequently gave approval In January, SZ published a tender to point is yet to be decided. for the next phase of these sections’ prepare documentation to apply for Last year, SZ launched three development process to take place planning permission for the section, feasibility studies: one covering the line concurrently with the feasibility studies. which was followed in April with a north from Prague towards Dresden, “This project has benefits without the repeat tender that reflected the questions due to be completed in the spring of full system,” Cech says. “It will be built and objections raised by the industry this year, a second covering the Prague section by section, and for every section during the process launched in January. - Brno line and on to Austria and it will be possible for the trains to leave The tender includes an environmental Slovakia, due to be completed in the the new line to re-join the existing impact study, as well as an option to autumn, and a third studying the Brno - network.” undertake the work required to receive Ostrava section of the network, which is The first section which is set to move approval for both studies. The 14-month due to be completed by the end of the forward is the 23km Prague - Porícany contract, which is worth around Koruna year. section of the Prague - Brno high-speed 240.5m ($US 9.6m), will be awarded under the best value approach/best value procurement (BVA/BVP) model, Czech Republic and not necessarily according to the cheapest bid. Planned HS lines Űstí nad Labem POLAND Proposed HS lines Construction of the network is Other lines expected to begin in 2025, beginning GERMANY Liberec Most with the Prague - Porícany section, with work on subsequent sections predicted Karlovy Vary to begin in 2027 and 2029. Construction Poříčany POLAND Kladno Hradec Králove is expected to take around five years for Cheb Pardubice each section, although the tunnel between Beroun Prague Kolín the Czech Republic and Germany could Pilsen Űstí n Ori Ostrava Benešov take up to 10 years to complete. Světlá nad Sázavou Havličkův Brod Olomouc Jihlava Domažlice Přerov International cooperation GERMANY On May 11, SZ and German infrastructure manager DB Network Ceské Budějovice Brno released a tender to undertake the N SLOVAKIA project management for the Dresden - AUSTRIA Prague line during the pre-project Břeclav IRJ preparation phase from 2020 to 2024. 28 IRJ June 2020 June Czech HS_Layout 1 21/05/2020 15:01 Page 29

The Czech government has budgeted to support the development of a with great support from our French É10m in 2020 for the planning and planning framework for high-speed colleagues.” development stage, and SZ is planning lines in the Czech Republic. SNCF was For the Prague - Dresden line, SZ is to apply for funding through the selected as a partner based on the working with DB to develop a common European Union’s Connecting Europe outputs of SZ’s High-Speed Rail standard which matches German Facility (CEF) to construct the lines, as Technical and Operational Study, which standards and enables cross-border they will form part of the TEN-T network. found the French network, designed interoperability. “The CEF fund is logical because it’s solely for passenger services, was closer All lines will be equipped with ETCS not only a national project, it’s also to the needs of the Czech network than Level 2, which is expected to be rolled- out across 461km of the conventional mainline network by the end of this year. Under the Czech national ETCS implementation plan, trains without ETCS will not be allowed to operate on ETCS- Our French colleagues came here and together we equipped routes from January 1 2025. prepared special standards for Czech needs that are The contracts to build the lines will be  let through European-wide tenders, with based on French experience. Radek Cech SZ looking to the major players in high- speed civil engineering to take part in the construction phase. The project could also be an opportunity for local businesses to increase their expertise. “It may be a connecting Vienna, and other parts of others such as Germany, which carries good chance for them to participate, but Europe and southern Europe including both passenger and freight. they may need to partner with other Italy, Austria and Hungary,” Cech says. “Our French colleagues came here European companies,” Cech says. “On all of these lines you can run and together we prepared special Through the development and international trains between the standards for Czech needs that are construction phase and on to its European capitals.” based on French experience,” Cech eventual opening, the high-speed In April 2019, SZ signed an agreement says. ”These are not French standards, project looks set to change the Czech with French National Railways (SNCF) they are Czech standards developed rail landscape forever. IRJ

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IRJ June 2020 29 June India HS_Layout 1 21/05/2020 16:51 Page 30

High speed | India

Mumbai - Ahmedabad high-speed projec

India’s first high-speed project - a 508km new line linking Mumbai with Ahmedabad - faces major challenges to meet the December 2023 opening date.

R Achal Khare, managing Maharashtra regarding land acquisition? widening gap between the Indian rupee director of India’s National How will the project re-start in and the Japanese yen. When the High-Speed Rail Corporation Maharashtra following the decision by contract was signed in 2014, the value (NHSRCL),M which is responsible for Mr Uddhav Thackeray, the state’s new of the Jica loan component was implementing the Mumbai - chief minister, to halt execution work on estimated at Rs 880bn, but the fall in the Ahmedabad high-speed project, has a scheme he describes as a “white value of the rupee against the yen is been facing uncomfortable questions elephant”? estimated to have increased the cost of the recently. Khare faces other challenges too. In project by Rs 430bn. “The Memorandum These include how real are fears that the wake of the coronavirus pandemic, of Understanding between the two the project - India’s first high-speed the Indian government has banned all countries covers depreciation costs, but railway - is likely to miss its December foreign nationals from entering the not currency fluctuations,” Khare 2023 completion deadline and suffer country, which is likely to adversely admits. higher costs. With execution work on impact project implementation. Indeed, If the rupee does not stabilise, the the line at a standstill for the last three 80% of the Rs 1 trillion ($US 14.6bn) Indian government could well end up years, what is the justification to invite needed to fund the project will come paying substantially more to repay the tenders to prepare Detailed Project from a 20-year Japan International loan in addition to the interest Reports (DPRs) on six other lines? What Cooperation Agency (Jica) loan of Rs payments to the Japanese government. are the reasons for the variance in 880bn with a 1% interest rate and a 15- “The Delhi Metro had a Jica loan of figures furnished by NHSRCL and the year moratorium on repayment. approximately Rs 10bn in 2002 but ended state governments of Gujarat and Another problem concerns the ever- up paying back Rs 17bn, an increase of 30 IRJ June 2020 June India HS_Layout 1 21/05/2020 16:51 Page 31

“Some changes in project costs are achievements so far: likely because of certain alignment = tendering of civil works for 345km changes and engineering modifications,” out of a total length of 508km Khare says. “For example, instead of the = relocating 916 of the 1638 public ect takes stock earlier plan to use drilling and blasting utilities involving state governments for tunnelling, it has been decided to = completion of joint measurement use 13.2m-diameter tunnel boring surveys in 291 of the 297 villages machines to bore tunnels beneath Thane identified for purchase Creek near Mumbai where there is a = acquisition of 810 hectares of the total of flamingo sanctuary. Design changes 1396 hectares needed for the project, and have also been made to the construction = finalisation of a system to pay of Vadodara’s high-speed station because compensation to farmers for land the height of the station and overhead surrender. wires in the original plan would have In addition, an agreement on moving interfered with the guidelines of the utilities to build the high-speed station on Airport Restrictions Zone.” a 76 hectare site at Sabarmati in Gujarat Project costs are also likely to escalate has also been reached, while a high- because of the growing demand from speed training institute has been

These are time-consuming and complex issues, but it is  difficult to proceed without resolving them first. Achal Khare

farmers for a bigger compensation constructed at Vadodara and will open package in exchange for surrendering in December. land for the project. Farmers in “These are time-consuming and Maharashtra and Gujarat have refused complex issues, but it is difficult to to part with their farmland for the project. proceed without resolving them first,” Khare says. However, major tasks remain. A joint Growing criticism venture for rolling stock assembly or Services on the line are due to begin in NHSRCL has faced growing criticism manufacture has yet to be agreed. December 2023, but it is yet to be seen whether this goal will be met. regarding the slow progress in executing “Japanese companies such as Kawasaki Photo: Shutterstock/Hitman H the project. Early last year, the corporation and Hitachi have been in talks with floated nine civil work tenders out of Indian public sector undertakings, such 70%, after the end of the 10-year the total of 14, but the opening date of as Bharat Heavy Electricals Limited moratorium in 2011-12. A similar the financial bids was continuously (BHEL) and Bharat Earth Movers Limited situation cannot be ruled out in respect pushed back from November last year (BEML), and an agreement is expected of the loan for the high-speed project,” to January and then March this year. to be firmed up soon,” Khare says. former Railway Board member, Mr Now, the latest projections are that the A bigger challenge will be resolving Subodh Jain, warns. bids will not be opened until November. issues concerning project finance at Additionally, the trend of spiralling “Unless the monetary issues are sorted upcoming meetings of the Indo-Japan project costs does not appear to have out between India and Japan, it will not Technical Committee and the Project been halted. From the initial estimate of be possible for NHSRCL to open and Joint Committee, co-chaired by Mr Rajiv Rs 970bn, the project cost climbed to Rs award the tenders,” an official earlier Kumar, vice-chairman of the Indian 1080bn after the Indian government opted associated with NHSRCL says. government policy think tank Niti for an almost entirely elevated line, and Unofficial estimates are that the Aayog. there have been indications lately that Japanese component of the project has But the biggest challenge will be the project cost could rise still further. nearly doubled and that NHSRCL has meeting the December 2023 completion been under pressure to revise its date, when 10-car trains each carrying Mumbai - Ahmadabad high-speed line financial estimates. Khare, however, 750 passengers are due to start maintains that the exercise to formulate operating on the new line. As traffic Total length 508km the project estimates will be undertaken builds up, 16-car trains carrying 1250 Elevated 471km after the bids are opened. Regarding the passengers will be introduced. The line Tunnels 25km decision to push back the tender is expected to operate 35 trains per day Embankments and cuttings 12km opening date, he said that this had been per direction, carrying 17,900 Stations 10 done on account of the corporation’s passengers. Traffic on the new line is Design speed 350km/h other preoccupations. eventually expected to reach 92,900 Journey time 2h 10min Nevertheless, Khare lists the passengers/day. IRJ IRJ June 2020 31 June SNCF TM_Layout 1 21/05/2020 15:21 Page 32

Train maintenance | France Digital transformation improves SNCF’s maintenance systems

French National Railways (SNCF) has adopted a new approach to train maintenance based on incorporating remote diagnosis and condition based maintenance. Cyril Verdun and Pierre Audier from SNCF and Fabien Turgis from Ikos explain how this has improved performance and reduced costs. HE French National Railways electronics, informatics, data networks SNCF rolling stock engineering is (SNCF) train maintenance system and onboard computers need highly- currently using remote diagnosis to was characterised by a skilled people to maintain the fleet in optimise maintenance. Fault or status combinationT of several maintenance operational condition. codes, counters and associated parameters types and strategies ranging from This was the first project to fully such as GPS position, date, time, or preventive systematic maintenance to implement functional analysis, failure operating diagram are used to optimise: corrective maintenance. However, the modes and effects analysis (FMEA) and = availability and corrective emergence of new information logistic support. The introduction of maintenance - by setting specific technologies such as the internet of onboard/wayside diagnostics systems equations and filters, it is possible to things (IoTs) coupled with the entry made it possible to introduce condition capture failure alerts and health status into service in Paris of Bombardier based maintenance (CBM) into the and to plan appropriate corrective Spacium commuter EMUs equipped maintenance monitoring process. maintenance; for example, if an obstacle with sensors have driven changes to the It is interesting to note that even if is detected during a door closing cycle, way SNCF maintains its trains. The remote diagnosis and CBM were perceived it could be due to an action by a introduction of onboard/wayside as modern gadgets at the beginning of passenger, but if an obstacle is detected diagnostic systems presented a the project, they became increasingly on consecutive occasions when a door significant opportunity to cut valuable over time and are now considered closes, this could be a specific door maintenance costs while at the same as a major change in train maintenance. failure significantly improving reliability, Indeed, they change the way to = systematic preventive maintenance - availability and service quality. conceive, schedule and industrialise direct information provided by counters When the trains were introduced 10 maintenance. Today’s processes are no leads to a change in preventive years ago, Ile de France transport longer the same. Moreover, they present maintenance steps, while all the captured authority and Bombardier did not a significant opportunity to reduce codes and their parameters will provide foresee all the challenges and maintenance costs, while also having a a huge amount of data for maintenance possibilities offered by this project. positive impact on reliability, availability feedback and calculating the remaining These highly complex trains with and service quality. useful life (RUL), and 32 IRJ June 2020 June SNCF TM_Layout 1 21/05/2020 16:54 Page 33

= maintain in operating conditions - dynamic dashboards fed by data are used for decision help support. This allows key performance indicators (KPI) and main train systems to be monitored in real-time to aid management. Besides remote diagnosis, CBM is also used to prevent failures and to reduce the amount of maintenance required. In addition to the data used for remote diagnosis, analogue data sent by the train are captured and analysed. As each subsystem is characterised by specific properties during its nominal operating cycle, comparisons can be made to detect deviations, abnormal behaviour or remarkable observations using expert Figure 1: remote diagnosis and CBM presented as a data value chain. systems. For each system or subsystem, system are captured, they are transmitted brought by data scientists to create one indicators can be computed and classified to the wayside via a physical or cloud expert system for each system to be at several levels of criticality to determine server. maintained. To date, CBM is applied the degree of system degradation. In Raw data are then filtered and fully to compressors, passenger access, addition, each indicator is associated processed to transform analogue and toilets, and heating ventilation and air conditioning (HVAC). This digital transformation has changed the way SNCF operates its maintenance system, from the manager Digitalisation has changed the way we conceive, down to the maintenance technician. schedule and industrialise maintenance. Before preventive scheduled maintenance was introduced (Figure 2), train  inspection frequency was determined by the number of operating days and/or with parameters such as the train logical data into health indicators. the distance travelled. Each inspection number, date, time, operating diagram, These indicators are processed to define consisted of several maintenance tasks and GPS position stored in a database. prognostics based on expert systems. scheduled by the fleet technical Using these indicators and parameters, Prognostics results are converted into supervision unit which assigned specific system health status can be computed maintenance orders which can be infrastructure, tools, time windows and and used to delay or eliminate a understood by maintenance staff and technicians to a train for each operation. preventive maintenance step. train schedulers. The maintenance Under this system, the supply of Moreover, when the health status is orders are dispatched via the informatics replacement parts and train downtime considered too bad, alerts can be created systems and can be visualised using must be anticipated, as the need for for corrective maintenance. For example, specific tools. corrective maintenance is known only the repetition of a deviation observed in One of the keys to success is to after all tasks have been checked. traction motor current can be attributed combine skills from data scientists and The new maintenance strategy to an abnormal behaviour. rolling stock experts to create relevant combines both preventive scheduled From the data acquisition step to the prognostics. It was decided to prioritise maintenance and condition based creation of a maintenance order, remote such a system as an alternative method maintenance (Figure 3), with the diagnosis and CBM can be presented as rather than using machine learning or objective of increasing safety, availability, a data value chain (Figure 1). First, all artificial intelligence turnkey solutions. reliability and reducing the frequency of the available system data are recorded Indeed, SNCF has several experts for scheduled maintenance. However, some directly from the train network or each train system, and it made more preventive scheduled maintenance connected sensors (IoT) either onboard sense to use their precious technical tasks, such as lubrication or visual or on the wayside. Once data from each skills by combining them with the data inspections, cannot be eliminated as

Figure 2: preventive scheduled maintenance system. Figure 3: condition based maintenance process. IRJ June 2020 33 June SNCF TM_Layout 1 21/05/2020 15:21 Page 34

Train maintenance | France

they require human intervention. This also concerns components, functions and failure modes which are not affected by the monitoring system. To develop the maintenance system based on data analysis, existing maintenance plans were analysed and broken down for each specific system according to opportunities highlighted by data analysis. First, the maintenance tasks that can be realised, delayed or eliminated using real-time monitoring and data analysis were identified, while reliability centred maintenance (RCM) is carried out for the other tasks. The maintenance plan was then reshaped to separate those maintenance tasks which can be realised using real-time monitoring and CBM from those which cannot. Digital maintenance tools have allowed SNCF to halve the number of breakdowns, while After data analysis, a “connected” improving the speed at which maintenance work is undertaken. traceability with pre-validated maintenance operations is edited and incorporated each square refers to the criticality level there is no point. into the preventive scheduled of a system and the size of the square Today, about 250 Bombardier Spacium maintenance process. For example, four relates to the time needed to fulfil a EMUs are operating on Paris suburban tasks related to door maintenance specific maintenance visit. services and performance measured covered by connected traceability meant Digitalisation has changed the way over the last five years has resulted in: that only 13 interventions were needed we conceive, schedule and industrialise = the number of breakdowns being on a six-car train instead of 48 maintenance. This is such a long and reduced by half, while the efficiency of systematic inspections and interventions. complex procedure that it requires strict troubleshooting agents has been Connected traceability has several control and the correct formalisation of strongly reinforced by data analysis benefits: every process. In the beginning, some tools = preventive maintenance steps can be workshops were appointed as pilot = a 30% improvement on entrances/exits delayed or replaced by CBM - for locations and have now totally switched at maintenance depots, representing a example, if all systems are found to be to the digital era. gain of two trains per site working normally just before a depot However, one of the biggest challenges = a 20% cut in the number of trains taken visit, the visit can be postponed was to provide change management out of service for maintenance, and = preventive maintenance steps can be support and training for people. While = a 20% reduction in maintenance costs. maintained, but the maintenance time the younger generation is familiar with This new maintenance strategy also will be reduced as only non-validated data and computer-based work tools, represents a huge potential for operations need to be carried out, and older employees may be unwilling to infrastructure maintenance by using all = corrective maintenance can be done change the way they work and often the data available in the train to while other maintenance is being need support. monitor infrastructure. For example, carried out. SNCF has built a global framework to trains are used to identify areas where To aid the management process, all control and support this digital catenary voltage dips or to spot track processed information is collated and transformation at every level of the adhesion problems. presented in a visualisation tool to company. Indeed, change management The emergence of onboard/wayside support decision making. For example, is a key element of the whole data value diagnostics system and trains equipped a train fleet is shown with specific chain. You can have the best algorithms with sensors offers a significant patterns and colour codes using squares and the best prognosis, but if maintenance opportunity to reduce maintenance to represent each train. The colour in staff do not change the way they work, costs, while also having a strong positive impact on reliability, availability and service quality. This has enabled SNCF to develop a new maintenance strategy, combining remote diagnosis, preventive scheduled maintenance and condition based maintenance. SNCF has also built a global framework to control and support this digital transformation at every level of the company, to face the deep change in its whole maintenance system.This strategy is now fully operational on one of the most important mass transit fleets SNCF has combined both reliability centred maintenance (RCM) and condition based in Europe and the results can already be maintenance (CBM) into its maintenance strategy. seen. IRJ 34 IRJ June 2020 IRJ Pro New Ad_Layout 1 21/08/2019 15:59 Page 1 IRJ P R O

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Contacts | editorial Fresh faces

Ms Eva Kreienkamp has been appointed as the new 46 Killigrew Street, Falmouth, Cornwall TR11 3PP, UK CEO of Berlin Transport Authority (BVG), taking up Tel +44 1326 313945 the role on October 1. Kreienkamp is currently the Editor-in-Chief Kevin Smith MA [email protected] managing director of Mainz Transport Authority Consulting Editor/Associate Publisher (MVG), where she has promoted the digitisation of David Briginshaw CMILT [email protected] municipal transport and major infrastructure projects. News & Features Writer David Burroughs [email protected] Sales Executive Chloe Pickering [email protected] Market Analyst Oscar Sinclair [email protected] Production Manager Sue Morant [email protected] Mr Magnus von Bahr has been appointed as new CEO of Swedish rolling stock leasing company Transitio, and will take up the position on July 1. The 48-year-old has Regional editors been Transitio’s technical director for the past nine years. Australia Mark Carter Tel +61 8 8367 8572 [email protected] Prior to this, von Bahr was responsible for technical Chile Ian Thomson Newman [email protected] and traffic projects at Greater Stockholm Local Traffic. Germany Keith Fender [email protected] Italy Marco Chiandoni [email protected] Japan Yoshihiko Sato Tel +81 3 5721 6616 [email protected] Mr Ben Ackroyd has been named as managing director New Zealand Richard Worrall [email protected] Spain Ferran Torga [email protected] of British operator Trenitalia c2c, replacing Mr Julian Switzerland Anitra Green Tel +41 61 461 4536 Drury, who will retire in September after 40 years in USA/Canada William C Vantuono Tel +1 212 620 7240 the industry. Ackroyd is currently engineering director [email protected] at Northern, a role he previously held at c2c between Correspondents 2011 and 2015. Argentina Jorge Waddell Israel Jeremaya Goldberg Austria Erwin Reidinger Korea Andy Tebay Brazil Renata Passos Netherlands Quintus Vosman Mr Eric Alix has been appointed president of RATP Denmark Denis Bowers Pakistan Naeem Qureshi/Rashid Ali Smart Systems. The 49-year-old, who holds a degree Hungary Ferenc Joo Poland Mykola Zasiadko in engineering from the Higher School of Public India Srinand Jha Ukraine Alexander Kava Works, Building and Industry in Paris, began his career as a consultant at Orgaconseil in 1996.

Executive offices Simmons-Boardman Publishing Corp Mr Leopoldo Maestu has been appointed as managing 88 Pine Street, 23rd Floor, New York, NY 10005, USA director for Alstom in Spain, and will also join the Tel +1 212 620 7200 Fax +1 212 633 1165 company’s Europe management committee. Mr Antonio President & Chairman A J McGinnis Moreno, who has served as managing director for Publisher, Rail Group Jonathan Chalon Alstom in Spain since 2010, has been confirmed as Circulation Director Maureen Cooney [email protected] managing director for Central and Eastern Europe.

Mr Daniel Hentschel has been named as the new railway Contacts | advertising operations manager for DB Regional subsidiary Start Regional Transport Germany. Hentschel will take charge of operations and driver management in the company, For all areas except those listed below contact: while also being responsible for operational safety and working with the Federal Railway Authority (EBA). Jerome Marullo, Business Development Manager Tel +1 732 887 5562 [email protected] 88 Pine Street, 23rd Floor, New York, NY 10005, USA

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The last word | Sweden Covid-19 checks Snälltåget’s progress Swedish private operator Snälltåget is counting the cost of the Covid-19 pandemic as it continues to run a reduced service. But as Marco Andersson , Snälltåget’s marketing manager, reveals to Kevin Smith , the operator is hopeful of riding out the storm.

TENA Line’s announcement couchette coaches in 2019 to off, limiting the number of shutdown some of their that it was suspending facilitate the Malmö - Berlin people able to ride. contracts with us. Reducing fSerry services between service increase. The coaches “It will make everything the cost is an ongoing process Trelleborg and Sassnitz on have six berths per compartment more complicated,” Andersson and it is not simple, but we try April 8 due to coronavirus and capacity for 60 passengers. says. “If we need to keep our best.” travel restrictions was a blow The operator was also social distancing for a long Andersson says that in such for Swedish private rail reporting a steady increase in time, then maybe the ridership a climate the operator has to operator Snälltåget. ridership on its domestic will increase but we will still be creative and potentially The operator uses the ferry trains as more Swedes sought need to get paid for the empty tweak its business model to for its seasonal overnight train alternatives to flying. Andersson seats in some way. It will be remain viable. However, with service from Malmö to Berlin reports that Snälltåget had very hard to make a profit current measures only set to and had already suspended sold out many of its trains and based on these conditions.” cover 50-60% of losses, operation until June 15 was looking forward to a busy Snälltåget is eligible for the commercial operation would following the Swedish state summer season. Swedish government’s general only be restored through department’s recommendations support package for businesses major dispensations, such as against all international travel. where the government is subsidised infrastructure The operator planned to offer Resumption picking up 50% of the cost of access charges, a temporary a daily service from June 22 Covid-19 is a major shock, wages if employees are working public service obligation and was eagerly awaiting an but Andersson says the less than 40% of their usual contract like Westbahn has announcement from the operator is staying optimistic. hours. The operator could also secured in Austria, or offering Swedish government at the Snälltåget is targeting the apply for a new programme credit to help operators with end of May of what it might, resumption of its Malmo - which is subsidising costs for fixed costs. or might not, be able to offer Stockholm - Jämtand mountain businesses that have lost more “If we are to take these big and from when. area night trains on two days a than 30% of revenue. steps to favour sustainable Speaking to IRJ, Mr Marco week from July 29 until But while the Swedish travel, then it will require Andersson, Snälltåget’s September 27, potentially government has been quick to some help from the marketing manager, said the carrying passengers going on act to offer the aviation sector government or from the EU, operator was carrying just 15% domestic holidays. In addition, and the 22 airlines that use that is clear,” Andersson says. of its usual passengers at the while legacy equipment used Swedish airports financial In a Facebook post to end of April but was still to operate the Malmo - Berlin support to the tune of a É465m passengers on April 9, operating around 30% of its service was limited to only the loan package, similar support Snälltåget said it was certain usual traffic, a level which will Trelleborg - Sassnitz crossing, for the country’s rail operators the appetite for using its trains not sustain the business. the operator is exploring how is not yet forthcoming. will return, and with a major Owned by Transdev, it might use the new equipment “In April our staff have been company like Transdev behind Snälltåget operated its first on the ferry from Trelleborg to working around 20%,” it, it has the resources to focus train between Malmö and Rostock, or via the Öresund Andersson says. “But we still on the long-term. Stockholm way back in 2007. It rail link to Denmark. have 50% of these costs to But like any business it can has since grown to offer two Whatever the operator is cover, and to be honest, this only sustain losses for so long. trains per day between the able to offer, capacity is very only accounts for a small Until there is a vaccine for the cities as well as a winter likely to be restricted by social proportion of our overall costs. virus, or higher levels of service to Åre, and a thrice- distancing measures. Already We have the financial costs of compensation, the future for weekly overnight service to a significant proportion of the leasing the locomotives and Snälltåget looks a little less Berlin, which launched in seats on the trains which we still have to negotiate with rosy than it did before the 2012. Indeed, Snälltåget is the continue to run are blocked suppliers that want to crisis. IRJ only operator to offer overnight services between Sweden and continental Europe. “It is possible to survive with some reductions, but we need to return to about 75% of our operation to be profitable again,” Andersson says. “We don’t know when that is going to be possible and that is the big question that everyone is seeking the answer to.” Before the crisis hit, the future was looking positive for Snälltåget. The operator invested in 10 former Nightliner Snälltåget is planning to restore services to the Jämtland region in July to meet demand from domestic holidaymakers. 38 IRJ June 2020 CRRC_Layout 1 20/05/2020 12:08 Page 1 Pandrol_Layout 1 19/05/2020 13:04 Page 1

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