The cost of integrating the European Train Control System (ETCS) into rolling stock in European Union (EU) countries has increased dramatically between 2018 and 2022. The average cost of installing an ETCS has increased from €450.000 to €900.000, while the cost of making existing equipment ETCS-compatible has increased from €200.000 to €400.000. This sharp increase poses a significant obstacle to the EU’s ambitions to modernise and digitise its railway network.
There are several factors behind these cost increases. One of the most important of these is that EU member states have different national technical requirements for railway systems. This prevents certified ETCS solutions from being reused in different countries and requires separate certification processes for each installation. In addition, the certification process for ETCS equipment is quite long and complex. Certification processes can take up to four years and require significant resources. This long and costly process slows down the widespread use of ETCS.
Low competition among suppliers in the market is another important factor that pushes up the prices of ETCS equipment. In this market dominated by a limited number of suppliers, the lack of competition makes it difficult to keep prices under control. The high inflation and lack of qualified personnel experienced in recent years also negatively affect this picture. While inflation increases equipment production costs, the lack of expert personnel causes delays in installation and certification processes. When all these problems come together, both the cost of ETCS implementation increases and implementation timelines are extended.
EU Moves to Reduce ETCS Distribution Cost
The European Commission proposes a series of measures to halt this negative trend and make ETCS implementation more economical and faster. The first of these proposals is to move to a modular ETCS architecture that would allow individual components of existing systems to be updated, rather than replacing entire systems. A modular approach could significantly reduce upgrade costs and simplify the implementation process.
Another important proposal from the Commission is to harmonise and simplify national requirements, which will reduce the volume of testing and speed up ETCS deployment. Eliminating or minimising different national standards will simplify certification processes and reduce costs. This will be a major advantage, especially for smaller railway operators with limited budgets.
ETCS: The Cornerstone of EU Railway Digitalisation
The implementation of the measures proposed by the European Commission will significantly contribute to ETCS forming the basis for rail digitalisation across the EU. Simplifying certification processes and eliminating unnecessary checks will accelerate the adoption of ETCS and reduce administrative burdens on railway operators. This approach will also strengthen the integration of rail infrastructure across the EU and facilitate cross-border rail transport.
In conclusion, the comprehensive package of measures proposed by the European Commission aims not only to halt the rise in ETCS implementation costs, but also to promote widespread digital innovation in rail transport. A more economical and rapid implementation of ETCS will increase the efficiency of the sector, make rail transport safer and significantly increase the competitiveness of the EU rail network. These steps will play a critical role in Europe’s transition to a sustainable and modern transport system.
