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Why the future of Germany’s €49 public transport pass is up in the air

Germany's reduced monthly public transport pass is a hit. But quarrels over the funding are heating up, leaving the future of the ticket uncertain.

A sign for the €49 'Deutschland' public transport ticket in Frankfurt.
A sign for the €49 'Deutschland' public transport ticket in Frankfurt. Photo: picture alliance/dpa | Sebastian Gollnow

What’s happening?

Germany introduced the Deutschlandticket in May, which allows people to use local trains, buses, trams and the underground all over the country for €49 per month.

It’s been popular so far: about 10 million people are using it plus statistics show that passenger numbers are increasing on local transport.

But despite this success, politicians have been arguing about the future of the €49 ticket.

On Thursday this week, transport ministers in the federal states threatened to axe the offer if the federal government did not pledge more money.

After the virtual meeting, the state ministers demanded an immediate funding pledge from the government until the end of 2025.

Without this commitment from Berlin, a “significant price increase” would be necessary as early as next year, according to a resolution passed unanimously by the ministers.

They added that the continuation of the Deutschlandticket from 2024 onwards is “seriously endangered”, urging for a solution to be found as soon as possible. 

READ ALSO: Public transport use in Germany goes up thanks to the €49 ticket

Why is there an argument over funding?

Before the ticket was launched, the federal and state governments agreed that they would each pay €1.5 billion from 2023 to 2025. The aim is for the transport companies to be compensated for the losses they incur as a result of the Deutschlandticket. This is because other tickets that were previously sold and are significantly more expensive are now no longer in demand, so there is a lack of revenue.

In addition to this, it was agreed for 2023 that possible additional costs above this amount would be shared equally by the federal and state governments. But this “additional funding obligation” has not been agreed from next year onwards. According to the Association of German Transport Companies, it will amount to around €1.1 billion next year.

A regional train in Hamburg.

A regional train in Hamburg. Photo: picture alliance/dpa | Daniel Bockwoldt

The states want the government to continue to share in these extra costs in 2024 and beyond. Federal Transport Minister Volker Wissing (Free Democrats), however, has rejected this so far. He’s passed the ball back to the federal states and says that they are responsible for regional transport.

So what will happen to the ticket?

The result is a political row that has been going on for months, leaving customers with no idea what will happen to the ticket.

So far, there have been threats that the price will rise from 2024 if there is no agreement between the federal and state governments, with talk of it becoming €59 per month instead of €49. It is unclear what this would mean for sales figures, however as one of the big selling points of the ticket is that it is under €50.

German broadcaster WDR spoke to transport users in Düsseldorf – and found that many people couldn’t understand why there’s an issue with the funding.

“A rich country like Germany should be able to finance this,” said Sabine Ahlers, who commutes every day from Krefeld.

Student Moritz Plenk said that if the ticket is axed it would “not send a good signal” towards the transition to climate friendlier transport options.

Meanwhile, the Berlin-Brandenburg Transport Association (VBB) this week said they were set to re-introduce the €29 ticket for the AB zone in the capital by July next year at the latest.

“I see the €29 ticket as a supplement to the successful Deutschlandticket,” said Berlin transport senator Manja Schreiner of the Christian Democrats.

A few days ago, the Association of German Transport Companies demanded that the federal and state governments present a solution for the future of the €49 ticket by the end of September, but it doesn’t look like this will happen. 

The autumn session of the Conference of Transport Ministers will take place on October 11th and 12th and Volker Wissing is expected to attend. Perhaps a solution will be found then. At the moment, though, the future of the Deutschlandticket is still unclear. 

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TRAVEL NEWS

How can Germany fix its patchy rural transport connections?

While German cities are some of the best connected in the world, inadequate infrastructure in the countryside can create headaches for public transport users. Could new 'transfer hubs' be the answer?

How can Germany fix its patchy rural transport connections?

Last year, a major survey conducted by city guides publisher Time Out crowned Berlin the city with the best public transport in the world. The extensive bus, tram and train network was praised by 97 percent of Berlin residents, who noted that transport in the German capital tended to be safe, comfortable and reliable.

But for those who travel a short distance out into Brandenburg, Berlin’s rural neighbour, the contrast couldn’t be more striking: trains stop running at 6pm, buses come every 2-3 hours and residents often face a lengthy trek to their nearest bus or train station. 

This divide was confirmed in a 2021 study by Deutsche Bahn subsidiary ioki that looked at public transport connections in Germany. Researchers found that while around 27 million people who lived in German cities had very good access to public transport, the 55 million who lived in suburban or rural areas were much more badly served.

READ ALSO: 55 million people in Germany have ‘inadequate public transport’

According to Transport Minister Volker Wissing (FDP), rural areas are in “urgent need” of solutions to these gaps in public transport. 

Speaking to DPA on Tuesday, the FDP politician set out his plans for local ‘transfer hubs’ that he said would encourage more car users to use public transport – even in non-urban areas.  

What exactly is a transfer hub?

A ‘transfer hub’ – or Umstiegs-Hub in German – is a place designed for travellers to switch from one mode of transport to another. As an example, Wissing mentioned easily accessible train stations with parking spaces, good bus connections, cycle paths and e-car charging ports where people could easily switch from their car to a quick commute by rail into the nearest city.

“We need more attractive transfer points in rural areas,” the Transport Minister told DPA. “The federal states could consider for themselves which locations in which regions would be best for such transfer hubs. From there, rail connections could then be offered to the metropolitan regions at regular intervals.” 

As opposed to taking “coercive” measures to force the switch from car to public transport, a “constructive approach” that considers both modes of transport would take the country further, Wissing said. 

“I believe that there is an urgent need in Germany to orientate the structures in rural areas towards more multimodal transport,” he explained. “The convenient flexibility of the car and the efficiency of the railway can be combined if the infrastructure is right.”

READ ALSO: Why (and where) Germans are choosing to go on holiday by car this year

What impact could this have?

With Germany’s transport sector repeatedly missing its climate targets, the ministry needs to find ways to reduce emissions and encourage a more widespread use of sustainable transport.

According to Wissing, this could have a much bigger impact in the countryside than it would in a city like Frankfurt or Berlin, since people in rural areas tend to travel longer distances. 

“We can achieve a situation where a commuter travels perhaps 20 or 25 kilometres to a transfer hub instead of 100 kilometres each way to work by car,” said Wissing. “That would be up to 150 kilometres less per day – a huge potential reduction in CO2.”

Bayerischer Oberlandbahn in Warngau

A regional train run by the Bayerischer Oberlandbahn stops near Warngau. Photo: picture alliance/dpa | Lennart Preiss

But climate groups and transport companies have been pushing for a much more ambitious approach to expanding public transport in the countryside.

In its six-point plan for delivering good rural public transport, for example, the Association of German Transport Companies (VDV) calls for rail-bus connections that run at least hourly and flexible, on-demand public transport options. 

However, Wissing said that a lack of skilled labour and low demand on rural routes would make it difficult to offer the kind of bus and train services VDV is calling for. 

“If the bus used to come every three hours and in future it will come every two hours – what kind of improvement would that be? People would stay in their cars,” he said.

READ ALSO: What to know about Deutsche Bahn’s summer service changes

Where does the Deutschlandticket come into this? 

According to the VDV, the €49 monthly travel pass, which has been valid for more than a year on local and regional transport throughout Germany, has an average of 11.2 million subscribers per month.

So far, however, it is primarily a ticket that is used in urban regions, with only 21 percent of Deutschlandticket users coming from rural areas.

According to VDV surveys, around 16 percent of Deutschlandticket users have been travelling by car less often since taking out the subscription.

Nevertheless, the shift has not yet materialised to the extent the government hoped for.

Meanwhile, federal and state transport ministers have been discussing an expansion and modernisation pact for local public transport for some time. The federal states are also calling on the federal government to increase the billions in regionalisation funds, which are used to order services from regional public transport companies.

With reporting by DPA

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