Berlin S-Bahn's Significant Agreement Granted to Collaborative Group
Breaking News: Consortium Wins Multi-Billion Euro Berlin S-Bahn Tender
In a significant development for public transport in Berlin, a consortium consisting of Deutsche Bahn, Stadler, and Siemens has been awarded the largest tender for public transport in Europe, worth approximately 15 billion euros. The tender covers the operation of several S-Bahn lines from the 2030s for 15 years, the delivery of 1,400 new vehicles, and vehicle maintenance for 30 years.
The tender did not include the Ringbahn, which was previously operated by S-Bahn Berlin GmbH. The process, which has been repeatedly delayed due to various reasons, including legal disputes, will likely see the current, often already quite old S-Bahn trains running on the relevant lines for longer than planned.
The consortium beat competitor Alstom in the tender. However, Alstom, who lost the bid, has called for "genuine competition" in the tendering process, citing concerns about the fairness of the process. Alstom had previously filed a lawsuit against the S-Bahn tender process, arguing that the company was disadvantaged compared to other bidders.
In March 2023, the Berlin Regional Court dismissed most of Alstom's lawsuit but allowed the tender process to continue with minor changes. However, in March 2024, the Berlin Regional Court ruled that the S-Bahn tender was unlawful in several key points, according to Alstom. The company also pointed out that the Berlin Regional Court previously indicated that it saw further violations of procurement law in the S-Bahn tender, but Alstom did not raise these points in time.
The "Railway for All" initiative, a group advocating for the expansion and future-proofing of the Berlin S-Bahn network, has criticized the contract award. They describe it as a "partial privatization" of the Berlin S-Bahn and call on the Senate to change course. The initiative suggests that Berlin should secure the majority of the S-Bahn GmbH for a low double-digit billion amount and future-proofly expand the network and operation.
Deutsche Bahn AG and the Berlin Senate have not made any comments regarding the contract award. Alstom's spokesperson, in response to the loss, has stated that for a tender of this magnitude, it must be ensured that there is genuine competition and that the best S-Bahn offer at the best price prevails. They also mentioned that the tender process is a matter of economic policy and in the interest of taxpayers and passengers.
The start of operations in the North-South network was originally planned for the end of 2027, and for the City Circle line in the spring of 2028. If Alstom does not agree to execute the contract due to unresolved concerns about the tender process, the maintenance and servicing of the new S-Bahn vehicles from the 2030s will be carried out by VIAS Rail GmbH, which won the contract to operate and maintain the S5, S8, and RE41 lines starting from December 2029/2030.
Stay tuned for more updates on this developing story.