EC approves German scheme to promote modal shift

12.19.2020

THE European Commission (EC) has approved a €200m, five-year German government scheme to promote the shift of road freight transport to rail by offering to subsidise the cost of installing new railway sidings and other related infrastructure.

The programme was approved by the EC under EU state aid rules. The scheme has a €40m annual budget and will run from 2021 to 2025. Under the initiative, companies will be compensated for up to 50% of the cost of installing new infrastructure such as sidings and 80% for the cost of new transhipment facilities.

The commission says it found the scheme beneficial to the environment and is in line with the objectives of the European Green Deal.⁠

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