The German regulatory authority wants to limit the long-distance rail capacity that can be allocated to a single operator on busy routes. The draft decision follows a complaint filed by Italo, the private Italian high-speed operator that wants to enter the German market starting in 2028.
Bundesnetzagentur, the German network regulatory authority, has taken an important step toward promoting competition in Germany’s long-distance rail market. The agency has presented a draft decision that would limit the rail capacity that can be allocated to a single operator on some of the busiest routes.
The measure follows a complaint filed by Italo, the private Italian high-speed operator, which argues that it needs predictable access to infrastructure to enter the German market.
If the draft becomes binding, DB InfraGO, the infrastructure company within the Deutsche Bahn group, will no longer be able to allocate more than 60–75% of long-distance capacity to a single operator on routes where capacity is officially limited.
The decision would apply only to long-distance rail transport on congested lines—not to regional or freight traffic—and would take effect in cases where disputes arise between operators.
Italo Aims to Enter Germany Starting in 2028
Italo, controlled by the MSC group along with other investors, aims to enter the German market starting in 2028. The previously announced plan calls for an investment of EUR 3.6 billion and the launch of services on Germany’s main long-distance corridors.
According to the Bundesnetzagentur, Italo is considering ordering approximately 30 Siemens high-speed trains and operating services on the Munich–Berlin and Munich–Dortmund routes.
In previous articles, Club Feroviar has written about Italo’s plan to enter the German market and the debate sparked by this project. The Italian operator has called for greater predictability in the allocation of train paths, arguing that investments in trains, staff, and operations cannot be planned without guarantees regarding access to infrastructure.
In Germany, Deutsche Bahn controls the majority of the long-distance market. Estimates cited by the international press indicate a market share of over 90%, or approximately 95% in this segment.
A cap on DB’s dominance on busy routes
The Bundesnetzagentur’s proposal aims to guarantee a “minimum level of access” for Deutsche Bahn’s competitors in long-distance scheduled rail transport.
Klaus Müller, chairman of the German regulatory authority, said that for passengers, competition means better services and lower prices.
Until now, new operators could not be certain they would obtain sufficient network access rights to build a coherent service offering. This is one of the issues raised by Italo, which wants to enter a market dominated by Deutsche Bahn but already plagued by congestion, construction, and chronic punctuality problems.
The proposal was presented to the Bundesnetzagentur’s advisory council on rail infrastructure. Consultation with this council is required before the decision can become binding.
Deutsche Bahn Warns of Congestion
Deutsche Bahn has criticized the regulator’s proposal. DB InfraGO argues that the measure could exacerbate existing bottlenecks and capacity constraints at rail hubs.
The company warns that competition concentrated on major routes could exacerbate the network’s structural problems, while key rail hubs continue to lack sufficient capacity for broader regional connections.
DB’s position is in line with arguments previously presented by the group’s management. Evelyn Palla, CEO of Deutsche Bahn, has already warned that new operators should not take over only the profitable routes between major cities, while connections to less commercially attractive areas could suffer.
At the same time, Deutsche Bahn is in the midst of a major infrastructure modernization program, amid frequent delays, extensive construction work, and criticism regarding service quality.
A Decision with European Implications
For Italo, the Bundesnetzagentur’s proposal is a major signal. The company welcomed the proposal as an indication that Germany is ready for real competition in the high-speed rail segment.
Italo’s entry into Germany would be one of the most important tests for the liberalization of European long-distance rail transport. In Italy, the private operator has transformed the high-speed market through direct competition with the FS Group, leading to an increase in service offerings and downward pressure on fares.
Germany, however, is a much larger and more complex market. The network is heavily utilized, and the routes targeted by Italo are among the busiest and most profitable corridors.
For passengers, greater competition could mean more trains, better service, and more attractive prices. For the German rail system, the challenge is to ensure that liberalization does not merely lead to a battle over profitable routes but contributes to a better overall service nationwide.
Flix could benefit from the same rule
The draft decision would not apply only to Italo. If adopted, it could also facilitate access for other operators interested in the German long-distance market, including Flix, the Munich-based company known for its FlixTrain and FlixBus services.
Thus, the Italo case could become the starting point for a broader change in how rail capacity is allocated on long-distance routes in Germany.
For now, this is a draft decision. If the measure is formally adopted, it could shift the balance of power between Deutsche Bahn and new competitors just before the planned launch of Italo’s services in 2028.
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