A decisive moment for Danish rail tracks

Infrastructure matters; the statement has gained increased significance for the users, owners and operators on the Danish tracks.After years of neglecting both track renewal and signal system, Denmark is now at a crossroad: either passengers must become accustomed to new, but lower standards, or the Danish politicians must get used to the idea that renewal and maintenance is a costly business which grows exceedingly more expensive for each year the work is postponed.The infrastructure needs action and realistic planning, and the owner, the Danish state, needs to take some active decisions based on realistic expectations.

For some, the wake up call came in August 2005. From delivering the foundation for a general speed of 180km/h, comfortable for a country the size of Denmark, the trains were obliged for several months to travel at 120km/h between Denmark’s two largest cities – Copenhagen and Aarhus, adding at least half an hour to the travel time. The reason was a series of almost a hundred rail joints bending around the limits of the allowed standards. For me this was just another proof of the challenges that the Danish infrastructure is facing. As an eye opener this made a lot of people understand how pivotal the infrastructure is for a well functioning train system.

An old lady

It is a well established fact that the tracks and track technology in Denmark are due for renewal. A fact that is currently accentuated by 50 to 60 speed limited points on the tracks between Denmark’s two largest cities. Aside with old tracks, the technical part of the rail net also has a large backbone based on technology from the 50s and 60s that are accounting for more than half of the delays Rail Net Denmark is posing on its operators. The signal failures are mainly due to old material and compatability problems between drivers system. Rail Net Denmark is dealing with the problem on a case to case basis, but this may be inefficient in the long haul.

Try to think: how many of you are using technology from the 50s right now? A lot of good things were made during that decade, no doubt, but it’s not what you would imagine when you envisage a modern rail track company. Nobody thinks a five year old cell phone is interesting – it may well work, but the batteries run flat in an instant and nobody can service it. It is important to remember that we have an excellent safety level on the Danish tracks – following the fact that we are measuring the track on main lines frequently and issuing speed limits wherever we realize or anticipate a problem. The speed limits reduce value for travellers, but it ensures their journey is safe. However, we need to aim at reducing the local speed limits on the main lines.

I have approximately 1.8 milliarder Danish kroner per year to maintain and renew the tracks and signal systems.

A long term plan

The issues around the Danish rail tracks and signalling systems can be solved. Right now Rail Net Denmark is working around the clock providing scenarios for the political system.We have allocated ten of our sharpest analysts to work full time and we are pulling in international expert help to all the aspects.We have Booz, Allen and Hamilton to conduct a thorough analysis of all the control and signalling parts of the rail system. In addition, BSL and Atkins are analysing data about the situation on the tracks.

All this has to be put in play in the autumn when the political parties are scheduled to negotiate a plan for Rail net Denmark running to 2014 – and a budget to match.As mentioned we are currently working on providing scenarios for these negotiations. My central concern is that we need to show not only a series of scenarios to consider, but also we need to give a precise account of which kind of railway the different scenarios will lead to. To put it plainly:Which kind of regularity can be expected from each scenario? Since Rail Track Denmark is state owned, I am expected to comply happily to any decision taken by the elected. I have no problem with this – but there will be a problem if no decision is taken at all. If all this ends up with further investigations and additional inquiries, there is a danger that we cannot maintain the high level of regularity that we – and the passengers – are used to. I have a great wish for a long term plan, since I think that a lot of the problems on the Danish rail tracks are due to a lack of long term planning. Rail technology is a resource that develops slowly over time, so it is possible to plan accordingly and use the economical means more efficiently.

Visions for the future

I believe that when we have scenarios like; what happens if we continue like today? What is gained with larger investments? What does it cost to provide Denmark with an up to date railroad infrastructure? Then we will also have a better understanding of the importance of infrastructure. In a way it’s a communication issue; if everybody understands the consequences of the political choices, not just for the railroad professionals but also for real life passengers, then we will have the fundamentals for taking realistic decisions and results to match.

Of course we operate solely with solutions that work and provide rail tracks at a reasonable level. Right now we have our work cut out for us in maintaining tracks and making every possible improvement we can in the current situation.

Fair competition on entrepreneurs Another control issue that will affect the management of Danish rail track is the decision whether Rail Net Denmark should maintain its entrepreneurial division.

1,100 of Rail Net Denmark’s 2,300 employees are currently working with maintenance and renewal and the company’s full range of track machines. But since all bigger projects have to be presented in free competition, the division is losing some works, making the division prone to continuous downsizing. In effect, this has led to lay offs complicated by the fact that most of the employees are civil servants, making lay offs very expensive for the state.

Certainly we are gaining efficiency from cheaper bids from other entrepreneurs and our own division is working more and more efficiently, due to the competition.

But all things are not even, since the division is not allowed to compete on equal terms with the private players, and if we aren’t up to the competition then our future is quite clear; the division will slowly be reduced. It’s not exactly a fun scenario. The unequal terms I refer to are the fact that the entrepreneurial division, by law and EU directive, are compelled to calculate all costs into any bid, omitting the possibility of strategic bidding that private players use to get into a market or minimising loss on machine-time. Moreover, the division by governmental decision are not allowed to use their skills outside Denmark, which makes it necessary to win almost every larger Danish project, should the division be profitable. I personally have no doubts; our entrepreneurs should be allowed to compete with what they’ve got, and this speaks for privatisation.Again, this is something the Danish politicians have to decide upon – preferably in the near future.

There must be a plan

One of the lessons from last years track problems is that it’s unwise to make decisions for a short time range.As I stated before a lot of the rail technology in Denmark is dated and this is affecting the overall reliability. There is no alternative to a long term plan – it might be a plan for maintaining the current level or a plan for space age trains, that’s not essential. The essential part is that there must be a plan.