ABSTRACT

In 1994 a new order for the railway system in Germany came into effect. The National German Railway company was restructured as a joint-stock company. Since intramodal competition in railways until today is restricted to regional services, this chapter describes two case studies which are characterised by the introduction of tendering. It examines the problems and chances of tendering as a form of competition within the current organisation of rail transport. The rules for and organisation of rail transport in Germany changed with rail reform in 1994. The chapter discusses following topics: the Structural Reform of Deutsche Bundesbahn, the new rules for operating the infrastructure and open access, general principles for competition for transport operators, the special treatment of short-distance passenger rail transport. This part of the reform is called Regionalisation. Many left-wing politicians and interest groups in Germany are still pessimistic about the effects of free competition and privatisation.