Germany: EIB provides €1 billion in co-financing for Rhineland S-Bahn trains

This article is published in association with European Investment Bank.

• Up to 90 state-of-the-art trains will gradually improve public transport connections in the German Rhineland region surrounding the cities of Cologne and Düsseldorf from 2029.
• Attractive suburban trains will help avoid CO₂ emissions and stop passengers having to spend long periods stuck in traffic jams.
• The new Alstom trains offer better accessibility and more space for wheelchairs, bicycles and pushchairs.

The European Investment Bank (EIB) is providing €1 billion in loans for the purchase of new trains for Rhineland S-Bahn (suburban rail) routes. The financing will go towards the procurement of up to 90 state-of-the-art S-Bahn trains by go.Rheinland and Verkehrsverbund Rhein-Ruhr (VRR).

The first of the newly developed maintenance-friendly and energy-efficient Alstom S-Bahn trains are set to begin trials from 2029, with remaining units delivered by 2033 to replace the old S-Bahn trainsets.

The first and the last carriage of each train are accessible for wheelchair users. The comfortable units offer modern passenger information provision, better mobile phone reception, WiFi, toilets and space for a total of 1 343 passengers per train. The increased capacity will allow for passenger growth in the coming decades and pave the way for the mobility transition towards CO2-avoiding rail transport.

The Rhineland region surrounding the cities of Cologne and Düsseldorf is one of the most densely populated and industrialised areas of Germany. Until now, the large numbers of commuters in the region have had to choose between traffic jams and overcrowded regional and suburban trains. The project with the EIB is part of the expansion of the Cologne rail hub covered by Germany’s Federal Transport Plan. It also crosses the Rhine-Alpine and North Sea-Baltic corridors of the Trans-European Transport Network.

The lead special-purpose association go.Rheinland, ogether with junior partner VRR, will purchase the new S-Bahn trains and make them available for use by the railway companies. This structure facilitates competition between several railway companies in the region, with the special-purpose association providing the trains that it owns for use.

“We are happy to support the modernisation of regional transport in the Rhineland,” said EIB Vice-President Nicola Beer.“At the EIB, we want to make public transport a more appealing climate-friendly alternative to cars. We need modern and comfortable S-Bahn trains for commuters and travellers to make this switch from road to rail as easy as possible. With less traffic on the roads, we will cut our CO₂ emissions and get one step closer to meeting our climate goals.”

go.Rheinland GmbH CEO Michael Vogel said: “The Rhineland S-Bahn is about to enter a new era. Following the successful manufacturing contract award, we now have the necessary financial coverage. We look forward to working with the EIB and other major financing institutions to provide a state-of-the-art service to our passengers, who will start to see the new trains during trials in 2029.”

VRR CEO Oliver Wittke added: “go.Rheinland and VRR are setting new standards in regional transport with these new S-Bahn trains. They will help us to provide Rhineland S-Bahn passengers with better service and stable operations. Passengers will benefit from flexible seating, the latest generation of customer information provision, onboard toilets, free WiFi and improved mobile phone reception. We have once again succeeded in encouraging train manufacturers to build maintenance-friendly and energy-efficient units.”

Background information

The EIB Group is the long-term lending institution of the European Union. It finances sound investments that contribute to EU policy objectives and works closely with other EU institutions and bodies to advance shared priorities such as equitable growth and a just transition towards climate neutrality. The EIB Group, which also includes the European Investment Fund (EIF), signed a total of €88 billion in new financing in 2023, of which €8.6 billion in Germany.

All new projects financed by the EIB Group are in line with the Paris Agreement. Investments in fossil fuels that do not reduce CO₂ emissions are not eligible for financial support. The EIB Group is on track to deliver on its commitment to support €1 trillion in climate action and environmental sustainability investment in the decade to 2030, as pledged in its Climate Bank Roadmap. Over half of the EIB Group’s annual financing signed supports projects that directly contribute to climate change mitigation and adaptation, and to a healthier environment. About half of EIB funding in the European Union goes to cohesion regions, where per capita income is lower. In this way, the Bank promotes equitable growth to bring living standards up to par.

go.Rheinland is the regional rail passenger transport authority for the Cologne/Bonn/Aachen region and plans, commissions and controls local rail transport in the area under its remit. It funds investments in local public transport and regional rail passenger transport and promotes regional mobility in the Rhineland region.

Verkehrsverbund Rhein-Ruhr (VRR) has been shaping regional transport in the Rhine-Ruhr region since 1980, keeping 7.8 million people on the move. It ensures demand-oriented and value-for-money transport provision as one of the largest transport networks in Europe. It works with 16 towns and cities, seven districts, 33 transport companies and seven railway companies to develop mobility solutions for the people of the Rhine, Ruhr and Wupper areas.