Swiss Rail Funding: How an Extra CHF 10 Billion Was Secured

by Emily Johnson - News Editor
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Switzerland is poised to significantly increase funding for its long-term railway expansion plans, adding as much as 10 billion Swiss francs to the existing budget. New documents reveal a possibly contentious process behind securing the additional funds – initially presented as a secondary option to policymakers – as the nation prepares for critical budget debates. Details emerging from Radio SRF raise questions about clarity and the timeline of key decisions regarding the ambitious infrastructure project.

A new funding plan for railway expansion in Switzerland, adding 10 billion Swiss francs to the budget, was revealed alongside the presentation of the Verkehr 45 report in October. Documents now show how the increased funding was secured, a process that has drawn criticism.

As Switzerland prepares for upcoming budget debates, transportation officials are poised to secure significantly more funding for railway expansion through 2045. This became apparent during the presentation of an analysis by ETH Professor Ulrich Weidmann in early October.

Alongside a plan allocating 14 billion Swiss francs to rail transport, a second option was presented, providing 24 billion francs. Research from SRF now reveals how the more generous funding option came to fruition. The larger financial framework wasn’t initially mentioned to ETH in the request from the Federal Department of Environment, Transport, Energy and Communications (Uvek).

Legende:

Heated debate in Bern: A second, more substantial funding option for public transportation has raised questions.

Keystone / Urs Flueeler

Professor Weidmann was first informed of the larger funding possibility on June 20 by Christa Hostettler, Director of the Federal Office of Transport BAV. Uvek anticipated a base scenario of 14 billion francs, alongside the 24 billion franc option, according to documents obtained by Radio SRF through public access requests.

The BAV Director also outlined how the additional funds would be financed: “Uvek is considering requesting additional funds by waiving the repayment of Finöv advance financing and requesting an extension of the value-added tax surcharge,” the documents state. These funding options were confirmed by Federal Councillor Albert Rösti to the Council of States’ Transport Committee on August 11.

The following day, the KVF-S submitted a corresponding committee motion, “Ensuring the Funding and Liquidity of the Railway Infrastructure Fund.” This motion was already approved by the Council of States during the autumn session and has a good chance of being adopted by the National Council in the winter session.

Uvek or Parliament Driving the Effort?

The process raises the question of who initiated the 24 billion franc option. According to Luzern Ständerat Andrea Gmür-Schönenberger, it was the Parliament. “I already submitted this proposal for a motion in the spring. We then discussed this proposal, but said we wanted to have numbers first.”

This is a change of conditions during the game.

However, BAV Director Christa Hostettler maintains that the BAV didn’t just calculate figures, but commissioned ETH Professor Ulrich Weidmann to explore the 24 billion franc option: “It is a normal procedure for the administration to think in scenarios.” The proactive approach by Uvek is not universally welcomed.

Concerns Raised About the Process

Peter Grünenfelder, President of Auto Schweiz, was surprised by the 24 billion franc option: “I personally felt it was a trick and I believe that fair, open cards should be played here. And that hasn’t been done.” Aargau FDP Ständerat Thierry Burkart also views the process critically.

The Weidmann report’s task was to prioritize with the existing funds. “Therefore, it is naturally a change of conditions during the game,” said the President of the Swiss Transport Association Astag.

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