A little over a year to go, and business travellers will finally have the choose their rail operator at Spain. But for the government and future operators, the future has already begun! Last December, the Council of Ministers approved a Royal Decree aimed at liberalising rail traffic in Spain. Future operators must first obtain certification from the Ministry of Public Works in order to compete with the state-owned railway company, RENFE. At the time, the latter was confirmed as the operator of its AVE Madrid routes until 2030, allowing dynamic price and service competition.
This week, the government clarified the three lines open to private operators from 31 December 2020. They will comprise three main axes of the AVE: a first axis linking Madrid Barcelona and France with extension of the line between Barcelona and Valencia. A second axis concerns the AVE from Madrid to Murcia, Valencia and Alicante Finally, the third route is the AVE line linking Madrid to Toledo, Seville and Malaga.
SNCF in the running
L'ADIFSpain's rail network management agency, has specified that interested companies will have to declare their interest. by July and present their operating plans. Three private companies are expected to form this new rail competition on Spanish railways. La SNCF has already expressed an interest. It could possibly join forces with another private Spanish company, Accionato better counter RENFE. Other companies expected in Spain include Autocars Alsa as well asArriva-Deutsche Bahn.
ADIF has laid down flexible operating conditions for future operators, including three operating packages to which they will have to adhere. In the first package, the future operator undertakes to circulate 48 trains a dayi.e. three trains per hour and per direction. The second type of package includes 16 trains a day (1 train per hour and per direction), and the third 5 trains a day (1 train every three hours in each direction).
an increase in service of 60% on the AVE lines concerned
ADIF believes that the arrival of the newcomers should lead to a increase in supply of 60% on the AVE lines concerned. In total, this AVE will enable an average of 69 vehicles per day to run, compared with 43 at present, representing an increase of 60% in traffic compared with current levels. This could mean 189 trains per direction per day instead of the current 119.
The other rail lines - local or intercity - which may be under PSO (Public Service Obligation), are excluded from calls for tender until 2023.
RENFE invests in its services
RENFE, for its part, is already preparing to face up to this competition. Spain's national railway company is actually doing very well. In 2018, it achieved a profit of 111.4 million euros3.979 million, up 11.2% on 2017. RENFE ended 2018 with a 4% increase in passenger demandor 507 million passengers. For the first time, it has exceeded its attendance figures prior to the economic crisis of the 2000s.
The 2019 budget, which was recently presented by RENFE President Isaías Táboas, is therefore preparing for future liberalisation. The strategic plan provides for an investment of 855 million euros around three strategic priorities: winning back customers, theinternationalisation of the offering and improving safety and performance. 838 million are earmarked solely for improving the comfort and customer service. More than 400 million euros are earmarked for bringing new trains into service and increasing frequencies. The investment plan also includes 58 million euros for safety and 34 million euros for improving information systems and other passenger services.
In 2018, 38.5 million passengers travelled on high-speed lines. This figure is split between AVE high-speed lines (21.33 million journeys) and AVANT train lines - trains running at high speed over medium distances (8.68 million journeys), representing growth of 3.7% and 6% respectively.
