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Focus RailCom: presentation of key people

Focus RailCom: presentation of key people

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This is the issue:

  • The Commission guarantees non-discriminatory access
  • Who is behind the Commission? We would like to introduce you.

 

RailCom guarantees non-discriminatory access to Switzerland's rail network, combined transport transhipment facilities and local freight services. The Commission is actively committed to an open and fair market access policy in order to promote healthy competitiveness and increase the efficiency of the rail sector.

In this blog post, we introduce the staff who are committed to RailCom.

Chairmanship:
  • Chair: Patrizia Danioth Halter, lic. iur., attorney-at-law and notary, LL.M., Altdorf (UR)
  • Vice-Chairman: Markus Kern, Prof. Dr. iur., LL.M., Professor of Public, Administrative and European Law at the University of Berne (BE)
Members of the committee:
  • Cesare Brand, lawyer, Forel (FR)
  • Anna Ciaranfi Zanetta, Lawyer, Department of Finance and Economy of the Canton of Ticino, Dalpe (TI)
  • Barbara Furrer, Dr. iur., attorney-at-law, Head of Legal Services, DHL Express (Schweiz) AG, Hedingen (ZH)
  • Manfred Haller, EMBA, independent consultant, Unterkulm (AG)

 

The secretariat provides professional and technical support to the committee. It follows the Commission's instructions. It is administratively attached to the General Secretariat of the Federal Department of the Environment, Transport, Energy and Communications (DETEC). Its members are as follows:

Head:
  • Christof Böhler, M.A. HSG International Relations
  • Deputy: Melissa Rickli, lic. phil. hist.
Staff members:
  • Ana Dettwiler, Lawyer, Legal Affairs
  • Ursula Erb, Doctor of Economics, Market Monitoring
  • Andreas Oppliger, lic. phil. nat, Market Monitoring
  • Katrin Suter-Burri, Ph. ETH, Communication, Agenda and Research

 

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This is the issue: The Com­mis­si­on gua­ran­tees non-dis­cri­mi­na­to­ry access Who is behind the Com­mis­si­on? We would like to intro­du­ce you.   Rail­Com gua­ran­tees non-dis­cri­mi­na­to­ry access to Switzerland’s rail net­work, com­bi­ned...
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Stability as an indispensable basis for international transport cooperation

Stability as an indispensable basis for international transport cooperation

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Once again, the status quo was saved in the Joint Committee on the Land Transport Agreement, despite the gloomy outlook. In 2024, the EU will once again grant Switzerland limited access to the ERA data platform OSS for one year. How long does Switzerland want to continue working with these dithering parties?

That's the question:

  • What is the aim of the Federal Office of Transport?
  • Why is international cooperation important?
  • Switzerland must move
  • Stability is central to solving upcoming tasks
 
What is the Federal Office of Transport's goal?

Trains should be able to travel across borders with as few obstacles as possible. The Swiss standard-gauge network forms a central part of the interoperable European rail network (Single European Railway Area). To make this possible, the FOT periodically harmonises the sovereign Swiss railway regulations with the current European rules of the Interoperability Directive and the Safety Directive. Switzerland should be able to act as an equal partner to the member states in the area of responsibility of the EU Transport Commission (DG MOVE). The overland transport agreement plays a central role in this bilateral cooperation. Ratified agreements create legal certainty and predictability.

Why is international cooperation important?

The EU wants to completely overhaul the existing national railway system and develop it into the strong mode of transport of the future. In future, modern trains are to run across borders on an efficient and standardised rail network without any obstacles. For this far-reaching transformation, rail operations must be redesigned from the ground up and new standardised systems with transparent interfaces must be developed and introduced. This can only be achieved with centralised coordination and guided cross-border cooperation. The 4th Railway Package, which came into force in 2019, forms the legal basis for this: as a European agency, ERA is now responsible for the technical design of standardised procedures and rules as well as for managing European authorisation procedures. For the necessary developments, the EU created new comprehensive organisations with «Europe's Rail» as part of «Horizon» and provided them with considerable financial resources. Ministries, railway companies, associations and industry are called upon to actively participate in the ERJU's numerous working groups, consisting of the System and Innovation Pillars, and to contribute their expertise to shaping the future European railway system. The topic of «DAK» is also an integral part of this organisation.

Switzerland must move forward

Over the past 25 years, Switzerland has adopted many elements from the newly organised EU railway world. Thanks to the proven equivalence, important steps towards integration into the European railway system have been achieved. The Federal Council's decision to break off negotiations on an institutional agreement (InstA) has also meant that no substantial further development of the land transport agreement has been possible in the transport sector since 2021. Switzerland must now choose between isolation and cooperation.

Stability is key to solving upcoming tasks

The comprehensive transformation of the existing European railways, which are strongly national in character, into a modern, efficient overall transport system requires a joint, coordinated effort - going it alone could have serious consequences. Those who are part of it can participate and play an active role in shaping it.

Switzerland must now do its homework:

  • Settle political differences with the EU
  • Ensure permanent participation in the «Horizon 2020» research programme
  • Update the EU-CH land transport agreement
    • Implement the railway package market part (market liberalisation at least in international passenger transport)
    • Complete rail package (adapt EBV, ERA membership, recognise ERA authorisations, regulate ERA competences)
  • Reactivate bilateral agreements on cross-border routes

Transport and logistics are transnational. The planned migration to digitalisation and automation of the railways requires a willingness to make far-reaching changes on the one hand and major investments on the other. Both will only be possible in an efficient and sustainable manner if there is sufficient clarity about future cooperation.

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Once again, the sta­tus quo was saved in the Joint Com­mit­tee on the Land Trans­port Agree­ment, despi­te the gloo­my out­look. In 2024, the EU will once again grant Switz­er­land limi­t­ed access to the ERA data plat­form OSS for one year. How long does...
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Ready for the next level of digitalisation

Ready for the next level of digitalisation

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Without digital automatic coupling (DAC) there is no digitalisation and without digitalisation there is no competitiveness. This is how the modernisation of the rail freight sector could be described. However, it's not quite that simple. Here is an overview of the status quo and the next steps to be taken.

This is what it's all about:

  • Combining hardware and software in a targeted manner
  • Financing must provide the initial spark
  • «Management Deployment DAK-CH» coordinates the migration
  • Test phase: Switzerland at the forefront
 
Combining hardware and software in a targeted manner

The DAK gets the comprehensive digitalisation of the railway rolling. This is because it offers more than just fully automatic coupling or various tracking functions for individual wagons. It enables a leap forward in Swiss rail freight transport by supplying power and data to the entire train. But that's not all. Data ecosystems are also required for digitally inspired business models in rail freight transport. The state mobility data infrastructure «MODI» is setting a good example here (see blog post «Data ecosystems: Sharing data to double its added value»). In order to combine hardware and software in such a way that the rail freight sector becomes competitive in multimodal logistics, high initial investments are required. Private companies in the freight transport sector will not be able to bear this alone.

Funding must provide the initial impetus

In Switzerland, the Federal Council adopts its dispatch on freight transport in January 2024 and forwards it to Parliament. A central component of this bill is the funding for migration to the DAK. The Federal Council envisages a funding contribution of CHF 180 million. The calculated investment volume for nationwide DAC migration in Switzerland amounts to CHF 500 million. We at the VAP are taking a leading role in the planning of financial resources. The federal government wants to finance the MODI data ecosystem for the first 10 years and then charge user fees. The European Union (EU) has also yet to fund DAC migration. The EU Commission intends to provide around EUR 200 million for the planned field tests from 2026.

«Management Deployment DAK-CH» coordinates the migration

The cross-industry committee «Management Deployment DAK-CH» will be responsible for coordinating the migration implementation in Switzerland. Among other things, this committee is responsible for the active exchange with Europe's Rail, the planning of workshop capacities, the material disposition and the verification of the conversions. It must schedule the conversion of the vehicles in advance together with the keepers, as well as with the railway companies and other logistics players. In the meantime, the rail freight companies should determine their requirements for converted wagons according to the volume of traffic.

Test phase: Switzerland at the forefront

The functions and processes of the DAK must be harmonised throughout Europe. One milestone is the definition of the «Starter Package». This defines which functions the DAK migration will start with in Europe. Switzerland is currently actively involved in operational tests of new systems and is contributing pioneering results to the European working groups. Here is an overview of the current tests and projects with Swiss participation:

  • The EU is having the rail technology specifications drawn up for the implementation of the «Greening Freight Traffic Package» of the European DAC Delivery Programme (EDDP). Switzerland is actively involved here.
  • With «Power-Line-Plus», data is sent via the power supply lines. The Lucerne University of Applied Sciences and Arts is conducting operational tests together with SBB Cargo and providing key insights into data transmission quality. From 2024, proof of operational suitability is to be provided with all the functions of the «Starter Package» and transmission via «Power-Line-Plus», making commercial journeys possible. The FOT is supporting this development financially.
  • From 2026, extensive field tests for the operational suitability and reliability of the DAK are planned in Europe with around 100 trains. After that, the aim is to migrate DAK efficiently, including in Switzerland.
  • MODI consists of two main elements: The National Data Networking Infrastructure Mobility (NADIM) enables the standardised exchange of mobility data. The national geodata infrastructure «Transport Network CH» can ensure a standardised, digital representation of Switzerland's entire transport system. MODI is currently only intended for passenger transport. However, freight transport could also benefit from this, for example through the digital networking of public authorities, transport and spatial planning authorities and all stakeholders involved. For this reason, the VAP is in close contact with the responsible offices of the federal administration in order to quickly integrate freight transport into the project.
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Wit­hout digi­tal auto­ma­tic cou­pling (DAC) there is no digi­ta­li­sa­ti­on and wit­hout digi­ta­li­sa­ti­on there is no com­pe­ti­ti­ve­ness. This is how the moder­ni­sa­ti­on of the rail freight sec­tor could be descri­bed. Howe­ver, it’s not quite that simp­le....
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Gotthard Base Tunnel (#9): Avoid shifting traffic back to the road

Gotthard Base Tunnel (#9): Avoid shifting traffic back to the road

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The freight train derailment on 10 August 2023 caused serious damage to the Gotthard Base Tunnel. SBB therefore intends to massively reduce the capacity of sustainable rail freight transport in favour of leisure traffic at weekends with the timetable change on 10 December 2023. This could lead to a shift of up to 15% of rail freight back onto the road.

This is the issue:

  • New timetable concept cancels rail freight train paths
  • Statutory modal shift target jeopardised
  • Alternative for passenger transport available
  • NEAT gradually misused for other purposes
  • No dialogue at eye level
  • Avoiding a shift back to road transport together

 

New train path concept cancels rail freight train paths

According to the media update of 2 November 2023, SBB assumes that the Gotthard Base Tunnel will not be fully operable for passenger and freight trains again until September 2024. The repair work is likely to take far longer than originally expected. SBB officials have announced that with the December timetable change, significantly more and faster passenger trains will be travelling through the Gotthard Base Tunnel at weekends. Among other things, they are cancelling a time slot for rail freight traffic from 7.30 to 9.00 a.m. on Friday mornings and allocating it to passenger traffic.

Statutory modal shift target jeopardised

The unauthorised train path concept has serious consequences for the national modal split. One of our members assumes that 10% to 15% of combined freight transport consignments will be shifted back to the roads and that supplies to Ticino can no longer be fully guaranteed at weekends. Construction work can also not be carried out in the aforementioned time window.

This development contradicts Switzerland's policy for modal shift. According to this policy, the Federal Council wants to shift transalpine freight transport from road to rail. The statutory target of 650,000 lorry journeys was already clearly missed in 2022: 880,000 lorries were still travelling through the Swiss Alps.

Alternative for passenger transport available

For representatives of the shipping industry, SBB's new train path concept is all the more absurd as there is a sensible alternative for passenger transport: from an ecological perspective in particular, leisure travellers should use the mountain route at weekends and leave the Gotthard Base Tunnel to the freight trains. After all, due to their heavy loads, they consume much more electricity over the mountain route than passenger trains. Shippers depend on a reliable transport infrastructure seven days a week to supply goods to Switzerland.

NEAT gradually misappropriated

The Gotthard Base Tunnel is part of the New Rail Link through the Alps (NEAT "Neue Eisenbahn-Alpentransversale"). It was designed for rail freight transport. The common goal of the European Union and Switzerland with the NEAT was and is to promote freight transport by rail. The project was realised at a cost of CHF 23 billion and 55% of it was financed by the performance-related heavy vehicle charge (LSVA). By restricting the urgently needed train paths for freight transport, the NEAT is once again being misused.

No dialogue at eye level

According to SBB, "... careful consideration was given to the allocation of train paths through the Gotthard Base Tunnel during the repair work in collaboration with representatives of the freight transport sector and passenger railway undertakings as well as the independent train path allocation body." However, the new train path concept was developed without the freight transport industry and its customers. The subsequent dialogue also proved to be tough. In addition, the voice of SBB Cargo was missing at the media conference on 2 November 2023. It is unclear whether and how the concerns of the freight transport sector were taken into account within the company. The shipping industry is alarmed by this one-sided approach and sees the previously constructive cooperation with SBB being jeopardised.

Working together to avoid a shift back to the road

We at the VAP strongly urge SBB to involve all those involved in rail freight transport in the planning of train path allocation and to refrain from making one-sided statements about the smooth handling of freight traffic through the Gotthard Base Tunnel. These favour a premature migration of freight transport to the road, which must be avoided at all costs. After all, it is generally difficult to reverse such a move. SBB should not play freight and passenger transport off against each other and favour road transport in the process.

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The freight train derailm­ent on 10 August 2023 cau­sed serious dama­ge to the Gott­hard Base Tun­nel. SBB the­r­e­fo­re intends to mas­si­ve­ly redu­ce the capa­ci­ty of sus­tainable rail freight trans­port in favour of lei­su­re traf­fic at weekends with the...
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Partial revision of SBBG: responsibility and market liberalisation further delayed

Partial revision of SBBG: responsibility and market liberalisation further delayed

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The Committee for Transport and Telecommunications of the National Council (KVF-N) unanimously supports the proposal for the financial stabilisation of the Swiss Federal Railways (SBBG). In contrast to the Federal Council, it is of the opinion that there is no need to change the system for granting vault loans to SBB. In doing so, the KVF-N also disregards all of the VAP's recommendations.

This is the issue:

  • 3 billion financial injection for SBB
  • SBBG partial revision referred to the National Council
  • The industry's voice remains unheard
  • Still no market liberalisation in sight

 

3 billion financial injection for SBB

In its report of 16 December 2022 on motion 22.3008 «Supporting the implementation of SBB investments and a long-term vision in Covid-19 times», the federal government proposes to cover SBB's deficits in long-distance transport with a one-off capital injection of an estimated CHF 1.25 billion. It also wants to ease the track access charges for long-distance transport with a further CHF 1.7 billion. It is also proposing a revision of the financing instruments.

SBBG partial revision referred to the National Council

The KVF-N has unanimously referred the bill to amend the SBBG to the National Council. The majority of the committee also rejects a change in the system of financing instruments, as budget loans, unlike treasury loans, are subject to the debt brake. It is of the opinion that the resulting competitive situation with other federal expenditure is not desirable with regard to public transport services. The National Council will decide on the KVF-N proposal in the 2023 winter session.

Voice of the industry remains unheard

As published in our media release of 30 March 2023, we at the VAP reject the proposed extraordinary restructuring of long-distance transport with around 3 billion taxpayers' money. On the other hand, we welcome the proposed correction of the financing instruments, i.e. the waiver of the granting of vault loans to SBB bypassing the federal debt brake. In the blog posts «SBB should take responsibility instead of a CHF 3 billion financial package» and «No stabilisation of SBB despite CHF 3 billion in additional federal funds», we summarise the industry's position and our corresponding arguments.

Still no market liberalisation in sight

If the bill is accepted, the National Council would further consolidate the SBB monopoly in long-distance transport. This is problematic in terms of European policy, as the EU is demanding that Switzerland open up the long-distance transport market. This unfulfilled demand overshadows the negotiations with the EU on the extension of the temporary cooperation with the European Railway Agency ERA for one-stop-shop authorisations and more interoperability between Switzerland and the EU. Compared to EU member states, Switzerland does not yet have full market access; the Swiss railway network is currently not an integrated part of the European interop network. For this reason, the freight transport-related associations Astag, CFS and we at the VAP are calling for a national migration strategy to open up the market in line with the EU. If the National Council votes in favour of the KVF-N motion, it will push this issue even further away.

Addendum 20.12.2023, update from the winter session:
In the winter session, a majority of the National Council agreed to grant the Swiss Federal Railways (SBB) a one-off capital subsidy of CHF 1.15 billion to reduce debt. This amount was already included in the 2024 budget. In contrast, the National Council rejected the Federal Council's proposal to switch from treasury loans to federal budget loans when a certain level of debt is reached. This was based on the argument that applying the debt brake to budget loans could delay the expansion. The chamber also decided to set the appropriate reserve for the railway infrastructure fund (BIF) at a minimum of CHF 300 million, with a maximum of two thirds of the net revenue from the performance-related heavy vehicle charge (LSVA) flowing into the fund. The National Council has thus ignored all of the VAP's recommendations. The bill now goes to the Council of States, which will hopefully take corrective action.

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The Com­mit­tee for Trans­port and Tele­com­mu­ni­ca­ti­ons of the Natio­nal Coun­cil (KVF‑N) unani­mously sup­ports the pro­po­sal for the finan­cial sta­bi­li­sa­ti­on of the Swiss Fede­ral Rail­ways (SBBG). In con­trast to the Fede­ral Coun­cil, it is of the...
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Gotthard Base Tunnel (#8): Safety and control tasks clearly distributed

Gotthard Base Tunnel (#8): Safety and control tasks clearly distributed

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The Swiss Safety Investigation Authority (Sust) names a broken wheel disc as the cause of the freight train accident in the Gotthard Base Tunnel. In the news report from 19 October 2023, Swiss television SRF took a close look at the maintenance of freight wagon wheels. VAP expert Jürg Lütscher comments on the safety and control tasks of the players involved - and explains them further in this blog post.

This is what it's all about:

  • Harmonised safety in the European rail freight system
  • Maintenance work monitored by independent bodies
  • Wheelset inspections in operation and maintenance
  • Two inspection procedures established
  • Responsibilities and regulations clarified

 

Harmonised safety in the European rail freight system

Safety in the European rail freight system is based on a triangle of responsibility consisting of infrastructure managers, railway undertakings (RUs) and wagon keepers with their responsible entities in charge of maintenance (ECMs). The specifications and regulations are now largely harmonised throughout Europe. The industry has developed the internationally recognised VPI European Maintenance Guide (VPI-EMG) based on the provisions of the sovereign directives, the applicable technical standards and practical experience. The VPI Germany, VPI Austria and VAP (Switzerland) associations have been pioneering this work since 2007. In 2019, AFWP (France) and UIP (International Union of Wagon Keepers, representing the smaller national associations) were added to the group of editors of the VPI-EMG. This set of rules defines both deadlines and the scope of work and standards in a user-friendly manner. It provides maintenance recommendations that each user must check for applicability to their freight wagons, supplement if necessary and approve for their wagon fleet. More than 550 companies, including wagon keepers, ECMs, repair workshops, authorities and universities, currently use the VPI-EMG. More than 260 repair workshops and mobile service teams from 19 European countries use the VPI-EMG on behalf of the relevant ECM.

Maintenance work monitored by independent bodies

The EU safety directive defines two independent procedures. This is to ensure that the specialised work is carried out everywhere with the required level of quality and knowledge:

  • Certification: The companies involved must be certified by independent bodies for security-related activities within the scope of their ECM. They must regularly renew these certificates and allow their customers to view their validity and scope.
  • Auditing: Supervisory authorities carry out risk-based audits of safety-critical processes and quality inspections in railway operations. If they uncover weaknesses, they also monitor their rectification.
Wheelset inspections in operation and maintenance

Wheelsets are considered safety-critical components of a rail vehicle. They are subject to continuous wear during operation and can also be damaged by external influences. When maintaining wagons, the ECM ensures that fully functional wheelsets are used.

During operation, the RUs and the train control systems of the infrastructure managers (see blog post «Gotthard Base Tunnel (#2): Automatic train control systems») specifically ensure that no recognisable damage or deviations on wagons jeopardise operational safety. To ensure safe railway operations, the wheelsets must comply with all relevant limit values during the entire operating time. Wheelsets that have been replaced due to deviations or damage are sent to a certified specialist workshop for reconditioning in accordance with the regulations.

Two test procedures established

The SRF news report shows two test procedures for systematic wheelset maintenance. A certified specialist workshop can thus ensure that the wheelsets it repairs do not show any relevant damage in the form of material cracks on delivery. This involves two non-destructive testing methods in accordance with DIN 27201-7, which have become established throughout the industry:

  • Ultrasonic testing: Detection of cracks in the wheel face and flange back area
  • Magnetic testing: Detection of cracks in the wheel centre and wheelset shaft including wheel seat
Responsibilities and regulations clarified

As many goods are transported across borders, internationally harmonised rules and procedures are important in Europe. In recent years, the regulations have been comprehensively updated and improved. Current versions of the EU Safety and Interoperability Directive apply both in all EU states and - via the overland transport agreement - to the Swiss standard gauge network. Based on this, the Swiss railway sector has developed practical standards and maintenance procedures for the main players. Europe-wide common reporting processes and assessment procedures (see blog post «Gotthard Base Tunnel (#7): Sust report provides clarity») ensure that industry players learn their lessons from an operational incident such as that of 10 August 2023 and implement effective improvements in maintenance.

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The Swiss Safe­ty Inves­ti­ga­ti­on Aut­ho­ri­ty (Sust) names a bro­ken wheel disc as the cause of the freight train acci­dent in the Gott­hard Base Tun­nel. In the news report from 19 Octo­ber 2023, Swiss tele­vi­si­on SRF took a close look at the main­ten­an­ce of...
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Revision of the noise limits

Revision of the noise limits

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That's what it's all about:

  • Silence is a precious commodity in densely populated and industrialised areas
  • Federal government has issued regulations on noise abatement
  • FOEN mandated to review existing regulations

The Confederation has issued regulations on noise abatement that lay down framework conditions for industry and transport in particular. The Federal Office for the Environment (FOEN) was mandated by Parliament to review the existing regulations. In the current year, the FOEN is conducting a comprehensive economic assessment (VOBU) of nine possible measures, analysing their noise-reducing effect and economic consequences in connection with traffic noise. The regulations for the construction and licensing of vehicles and aircraft are to continue to be coordinated internationally. The FOEN aims to present the findings transparently to important representatives from industry and the cantons and to discuss implications with them.

The Association of the Freight Industry (VAP) will be actively involved and contribute the industry's perspective. The FOEN will complete the VOBU by the end of 2023 and the Federal Department of the Environment, Transport, Energy and Communications (DETEC) will decide on the further procedure and publish this at the beginning of 2024. We will report on new findings here.

The following focal points are considered:

  • Adjustment of the limit values for road, rail and air traffic noise
  • Adjustment of the assessment period (rest period)
  • Standardisation of the sensitivity levels
  • Simplification of the noise classification regime (restriction of the protection of existing buildings)
  • Dynamisation of noise protection (temporary relief)
  • Clarification of measures (definition of test criteria)
  • Strengthening transparency (disclosure of relief)
  • Strengthening of the polluter-pays principle (compensation for advance payments)
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That’s what it’s all about: Silence is a pre­cious com­mo­di­ty in den­se­ly popu­la­ted and indus­tria­li­sed areas Fede­ral govern­ment has issued regu­la­ti­ons on noise abatement FOEN man­da­ted to review exis­ting regulations The Con­fe­de­ra­ti­on has...
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Gotthard Base Tunnel (#7): Sust report provides clarity

Gotthard Base Tunnel (#7): Sust report provides clarity

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On 28 September 2023, the Swiss Safety Investigation Authority (Sust) published its interim report on the derailment of the freight train in the Gotthard Base Tunnel. It documents the course of the accident and makes initial safety recommendations. The event is now being processed by the responsible international committees. Both the European railway industry and Switzerland are represented here. The report should not be misused for a national solo action.

This is what it's all about:

  • Fatigue cracks caused wheel breakage
  • Further investigation is well coordinated
  • Consequential initial safety recommendations
  • Accident clarified - but not yet completely solved

 

Fatigue cracks caused wheel breakage

Fortunately, Sust submitted its interim report very quickly. In it, it identifies the broken wheel disc of the eleventh freight wagon as the cause of the derailment in the Gotthard Base Tunnel. The wagon is registered in Sweden. The damaged wheel is wheel type BA 390 with LL brake pads. All the fractured surfaces show fatigue cracks originating from the tread. They are now the subject of in-depth metallographic examinations by Sust. The Sust report contains no evidence of pre-existing operational defects that could have caused derailment.

Further investigation is well coordinated

The incident is now being dealt with by the Joint Network Secretariat (JNS). The aim of this body is an EU-wide harmonisation of all measures taken after an accident or incident in European rail transport. The JNS supports the European Railway Agency (ERA) in organising the exchange of experience between national supervisory and investigative authorities and the industry organisations accredited by ERA. The latter also include the three players in the triangle of responsibility for rail transport: the infrastructure manager (responsible for the infrastructure), the wagon keeper (responsible for the maintenance of the wagons) and the freight railway undertaking (responsible for the operation of the wagons). At the same time, Sust triggers a so-called Safety Alert in the SIS information system, which is used by the national supervisory and investigative authorities. And finally, the Swedish wagon keeper deposits a warning message in ERA's Safety Alert IT Tool (SAIT).

Based on these notifications and as part of the coordinated process, all European stakeholders should have access to the published information. It is now up to them to draw the right conclusions in the exchange between national authorities, industry representatives and ERA. Thanks to the Land Transport Agreement, Sust is recognised by ERA as an investigative body, as is the Federal Office of Transport (FOT) as a safety authority. The matter is now being dealt with by the competent international bodies. We consider this fact to be entirely correct and necessary in view of the cross-border use of freight wagons throughout Europe. The responsible bodies will next establish a reference to similar wheel breakages from the past.

Consequent first safety recommendations

The Sust report makes two short-term safety recommendations, which the VAP supports without reservation. In Recommendation No. 183, it advocates that the FOT extend the 2017 "JNS Urgent Procedure Broken Wheels" to the BA 390 series wheelsets. The "JNS Task Force Broken Wheels" set up at that time had reacted to several wheel fractures on the BA 314 and BA 004 wheel types and called for more intensive inspections in operation and maintenance to limit the risks for these wheel types. We also welcome Safety Recommendation No. 184, in which Sust urges the FOT to apply for a new "JNS Procedure" at European level to deal with the wheel breakage on the BA 390 series. This should prevent further similar wheel breakages from occurring.

Accident clarified - but not yet completely solved

The interim report corrects the misleading media coverage of the accident, according to which the derailed wagon 11 also damaged the safety gate to the east tunnel, which weighed about 100 tonnes. According to Sust, it was not until carriage 14 hit the switch track at the Faido multifunction station switch that it struck the safety gate. Further investigations are necessary to fully clarify the accident in detail. This includes, for example, analyses of the wagon 14 and the switch. Sust will only provide a complete clarification of the course of events and causes of the accident in its final report. Once this has been published, it is the responsibility of all actors involved in the JNS procedures to draw the right conclusions from it for competitive and safe European rail transport. The recommendations of the Sust final report will be implemented by the entire industry.

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On 28 Sep­tem­ber 2023, the Swiss Safe­ty Inves­ti­ga­ti­on Aut­ho­ri­ty (Sust) published its inte­rim report on the derailm­ent of the freight train in the Gott­hard Base Tun­nel. It docu­ments the cour­se of the acci­dent and makes initi­al safe­ty...
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Marco Rosso: «Collaborative innovation can contribute to the quality of life and function profitably at the same time.»

Marco Rosso: «Collaborative innovation can contribute to the quality of life and function profitably at the same time.»

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Marco Rosso is Chairman of the Board of Directors of Cargo sous terrain AG (CST). In an interview with the VAP, he talks about interoperability, non-discrimination on the last mile and the logistics of the future. And about how collaborative innovation can contribute to the quality of life of people in Switzerland and function profitably at the same time.

VAP: Mr Rosso, how do you see the relationship between rail freight and CST in the future?

Marco Rosso: Rail and CST are two systems that complement each other. CST cooperates with all modes of transport to jointly absorb the predicted freight traffic growth of over 30% by 2050 in an innovative, sustainable way. Because CST is not suitable for all transports, the company supports the business models of rail, road hauliers and other logistics players with new technology and digitalisation. Only with cooperation (within the framework of competition rules) can interoperability be guaranteed among the most diverse modes of transport and transport companies. Therefore, CST plans to connect to rail, road, ship, air freight and other systems. At the CST hubs, there will be multimodal connections, in particular also a rail connection. In the construction phase, starting as early as 2026 and continuing until 2045, CST will use rail transport to the tune of 2,000 goods trains per year and thus become an important rail customer.

Shouldn't the state create the infrastructure and the operation in the tunnels, as well as the operation of the terminals and the last/first mile would then be free and subject to competition?

CST is a system that only works as a whole because all processes are controlled end-to-end. This is the only way to ensure that the general cargo reaches its destination on time and reliably. For this reason, the system must be managed from a single source and at the same time be connectable to all partner platforms. CST has been planned and conceived as a private-sector project from the very beginning. With this financing concept, it is possible and important to move forward quickly without straining the funds in the federal budget. The investors also include important future customers. They help to develop the system in line with the market. The Confederation has recognised that it would not be expedient to act as a creator itself, but to limit itself to the legal framework. With carefully prepared business plans, competitive prices and the broad investor base that supports the project, CST shows that innovation in freight transport contributes to the quality of life in cities and rural areas and can function profitably at the same time.

Where do you see the biggest challenges in your project?

Such a comprehensive project presents many challenges, for example in planning, legal, environmental, financial and political terms. What distinguishes CST is the model of collaborative innovation - with the inclusion of all stakeholders. The project approaches the challenges pragmatically in stages.

How do you design a non-discriminatory first/last mile?

Our system is planned to be non-discriminatory from the start anyway, without the law requiring it. The following applies throughout: everyone has access to the system with the same price for the same service. But we go even further, for example, by developing CST's city logistics in a collaborative partnership and are open to any cooperation with smaller as well as larger partners, including the railways and the post office. Here, too, our principle is collaborative innovation, which we live by every day.

What is the greatest benefit or motivation of CST for the Swiss population?

The most important effect of CST will be to increase the quality of life for all inhabitants of Switzerland. By showing a way how the logistics of the future can look sustainable, how heavy traffic on the road can be moved away by bundling and pre-sorting in tunnels for all shippers, or how a traffic jam can be avoided for the supply of goods, how to get the best out of the available resources in terms of CO2 emissions, noise, etc. The precious space on the surface should primarily belong to the population. CST favours the expansion of infrastructure as well as renewable energies in Switzerland. CST is a privately financed driver of innovation for the benefit of the Swiss economy and for quality of life in cities and villages by guaranteeing security of supply and thus increasing prosperity in Switzerland.

Are there any points that you think we should still let our members know about?

There are decisive decisions and discussions ahead, especially against the background of the political debates on freight transport. We are firmly convinced that with an entrepreneurial attitude we can make an effective contribution to maintaining Switzerland in the 21st century as an excellent business location with a high quality of life, also for future generations. We participate in this work with enthusiasm and commitment.

Mr Rosso, thank you very much for the interview.

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Marco Rosso is Chair­man of the Board of Direc­tors of Cargo sous ter­rain AG (CST). In an inter­view with the VAP, he talks about inter­ope­ra­bi­li­ty, non-dis­cri­mi­na­ti­on on the last mile and the logi­stics of the future. And about how col­la­bo­ra­ti­ve...
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Strengthen fair competition between federal and private companies

Strengthen fair competition between federal and private companies

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On 15 September 2023, the Federal Council instructed the Federal Department of Economic Affairs, Education and Research (EAER) to submit an amendment to the Corporate Governance Guidelines by the third quarter of 2024. In doing so, it wants to strengthen fair competition between state-owned enterprises and private-sector companies.

This is what it's all about:

  • Owner's strategy and corporate governance guidelines as a steering instrument
  • Parliament has called for fair competition
  • Worrying monopolisation of local delivery services
  • Further cross-financing tendencies evident
  • A fight with unequal stakes
Ownership strategy and corporate governance guidelines as a management tool

Federal companies are created through the independence of administrative units of the Confederation which, according to the Federal Constitution, carry out monopolised activities. For example, the special-law joint-stock company of the Swiss Federal Railways (SBB) was created in the course of the railway reform in 1999. As the wholly-owned owner, the Confederation steers its numerous federal companies by defining and implementing an owner's strategy and corporate governance guidelines. It also elects the members of the Board of Directors. In addition to its role as owner, the federal government also has other roles: as a regulator, it regulates the market conditions and occasionally even orders public services, for example in regional passenger transport. This inevitably results in certain conflicts of interest. It would be appropriate to examine whether this interweaving of functions is still in keeping with the times and appropriate for single wagonload traffic, and which supervisory body is keeping an eye on how this is handled.

Parliament has demanded fair competition

The private sector's increasing criticism of the behaviour of federal companies, which, on the basis of a constitutional mandate that is often kept very general, continue to expand their original core business and even buy up private companies, was heard in parliament. Thus, the Councils adopted motion 20.3531 "Fairer competition vis-à-vis state-owned enterprises" by FDP Councillor of States Andrea Caroni and the identically worded motion 20.3532 by Die-Mitte Councillor of States Beat Rieder. With the EAER report, the Federal Council now wants to meet the demand of these two motions. It expects proposals on how the departments can more systematically organise and more comprehensively ensure fair competition between federal and private companies in the management of federal enterprises.

Worrying monopolisation of local delivery services

RailCom's Activity Report 2022 reports, among other things, on the survey of freight railways on short-distance delivery services in accordance with Art. 6a of the Freight Transport Ordinance (GüTV). These are services provided by SBB Cargo, which covers local delivery in Switzerland on a virtually monopolistic basis. The RailCom activity report lists a lack of resources as the reason for rejecting local delivery services. However, the respondents suspect that they are disadvantaged in the offers and that different tariffs are in circulation.

Private companies are equally concerned about the monopolisation of SBB Cargo's network offer in the consultation on the draft law "Modernisation of Swiss freight transport" (see blog post "Consultation on rail freight transport in the area: Two variants, many question marks"). They demand a strict demarcation between network services and block train services in terms of remuneration and continued non-discriminatory access to services in local delivery (cf. VAP blog post "Outsourcing the last mile and making it non-discriminatory"). With the help of organisational measures or a legal separation, it must be prevented that certain services provided by the state are cross-financed. This is the case today, for example, with the funding of the SBB pension fund (PK SBB) through the profits of SBB Immobilien.

Further cross-financing tendencies evident

During the consultation on the 2025 train path price revision, Switzerland's freight railways joined forces and gave the Federal Council a negative response to the partial revision of the Ordinance on Network Access (NZV) on 29 August 2023 (see blog post "Train path price revision 2025-2028: Price increase is unfounded"). Only SBB Cargo, which is fully integrated into the SBB Group and kept on a short leash, was left out. Since the Federal Office of Transport refers, among other things, to falling train path revenues in the train path price revision, the impression is created that this is a case of hidden cross-financing by SBB, which of course SBB Cargo is not allowed to criticise.

The bill drafted by the Federal Council "Amendment of the Federal Act on Swiss Federal Railways SBBG - sustainable financing of SBB" of 15 September 2023 also corresponds to a blatant interference in free competition. According to this, SBB is to benefit from a capital subsidy of CHF 1.25 billion. The exact use of these funds remains unclear and there is a lack of conditions that could change this in the future. Subsidiary SBB Cargo, which also received extensive financial support in the aftermath of the Covid pandemic, also benefits from this capital injection. It is about to conclude a performance agreement for the compensation of its network traffic, which it obviously cannot handle on its own. The private sector players, on the other hand, did not receive Covid funds, nor do they have substantial non-operational resources and stakes that they could sell off to strengthen their investment capacity.

A fight with unequal stakes

The Federal Council's self-evidently unequal treatment of state-owned and private-sector companies is conspicuous - and regrettable. Unfortunately, this does not create healthy competition in rail freight transport, which strengthens its innovative power and efficiency. Both are essential if the market players want to retain existing customers and win new ones. This in turn would be necessary to achieve a sustainable modal shift and to integrate rail into multimodal supply chains in the future. And to create new, future-oriented jobs.

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On 15 Sep­tem­ber 2023, the Fede­ral Coun­cil ins­truc­ted the Fede­ral Depart­ment of Eco­no­mic Affairs, Edu­ca­ti­on and Rese­arch (EAER) to sub­mit an amend­ment to the Cor­po­ra­te Gover­nan­ce Gui­de­lines by the third quar­ter of 2024. In doing so, it wants to...
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