Financial implications of the railway reform in Germany for its operators and trends for further development

Wolfgang Kloppenburg, Ph.D.

Doctoral thesis

Abstract:

Abstract German railway reform implemented in 1994 meant abolishing of monopoly and introducing of competition. New competitors were able to participate in transport tenders in regional (local) rail passenger transport (SPNV). The market share of the monopolist DB Regio AG decreased to around 60% by 2020. Overall, the market opening of local rail passenger transport (SPNV) in Germany has developed well and domestic as well as foreign transport providers have achieved a market share of around 40%. New market participants were allowed to enter in local passenger rail transport (SPNV) and achieved above-average market share. The reform doubled the number of passengers between 1994 and 2019. However, many new participants suffer big losses from their operations. The thesis analyzes the performance of the main railway companies operating in the local railway market, investigates whether they achieved their market share gains in this period due to strong competition via price and if personnel costs as well as the many construction sites in the railway infrastructure had a significant impact on their results.

Keywords

Keywords German railway reform, German SPNV companies, financial health, competition, personal cost, construction site activities, 9-EURO-Ticket, JEL Classification, D23, D43, M30, R48

Language used: English

Date on which the thesis was submitted / produced: 7. 11. 2023

Thesis defence

• Date of defence: 5. 12. 2023
• Supervisor: doc. Mgr. Ing. Petr Wawrosz, Ph.D.
• Reader: doc. Ing. Jan Mertl, Ph.D., doc. Ing. Otakar Němec, CSc., prof. Ing. PhDr. Lucie Severová, Ph.D.

University of Finance and Administration

Doctoral programme / field:
Finance / Finance