EC approves €600m single wagon load scheme

The European Commission (EU) has approved, under EU state aid rules, a €600 million German scheme to support operators providing single wagon load services.

The scheme, which is part of the Climate Action Programme 2030 of the German Federal Government, aims at making the use of single wagon freight transport less costly, thereby contributing to the modal shift of freight traffic from road to rail.

The aid will take the form of direct grants to rail freight operators active in the single wagon transport segment. The scheme intends to relieve rail freight transport companies from a part of the costs which are linked to charges for using marshalling yards and train formation facilities.

Single wagon transport refers to shipments smaller than the quantity of a full train that require the switching or shunting of wagons at departure or destination stations and at any intermediate stations. It accounts for around a quarter of rail freight services in Germany

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