European Commission adopts new plans for high-speed rail, sustainable fuels for aviation, waterborne sectors

The European Commission adopted a comprehensive transport package Nov. 4 that will accelerate the roll-out of Europe’s high-speed rail network and to boost investment in renewable and low-carbon fuels for the aviation and waterborne sectors.

Competitiveness and sustainability are the guiding principles of this package, which aims to make the EU transport system more efficient, interconnected, accessible, clean and resilient, according to the commission.

The measures presented Nov. 4 cover two key areas—rail, where Europe already leads on sustainability, and fuels, where Europe must now accelerate investments for its energy transition.

Faster, more connected rail across Europe

The new High-Speed Rail Action Plan sets out the steps needed to create a faster, more interoperable and better-connected European network by 2040.

It aims to cut journey times and make rail a more attractive alternative to short-haul air travel, thus increasing passenger numbers and boosting regional economies and tourism.

Building on the Trans-European Transport Network (TEN-T), the plan foresees to connect major nodes at speeds of 200 kilometers (124 miles) per hour and above.

Passengers will be able to travel from Berlin, Germany, to Copenhagen, Denmark, in four hours instead of the current seven, and from Sofia, Bulgaria, to Athens, Greece, in six hours instead of the current 13 hours and 40 minutes.

New cross-border links will also enable faster and simpler journeys such as Paris–Lisbon via Madrid and improved connectivity between the Baltic capitals.

To deliver this vision, the commission proposes four key strands of action:

• Removing cross-border bottlenecks through binding timelines to be set by 2027 and the identification of options for higher speeds, including well-above 250 kilometers (155 miles) per hour when economically viable.

• Developing a coordinated financing strategy, including a strategic dialogue with member states, industry and financiers leading to a high-speed rail deal to mobilize the required investment.

• Improving the conditions for the rail industry and rail operators to invest, develop innovative solutions and operate competitively, including through a more attractive regulatory environment, by enhancing cross-border ticketing and booking systems, supporting a second-hand market for rolling stock, accelerating the deployment of the EU digital-management systems, and fostering R&D and cooperation on scalable solutions.

• Strengthening EU-level governance, requiring infrastructure managers to coordinate on capacity for cross-border long-distance services, and facilitating standardizations and authorizations.

Beyond shorter travel times, the plan will ease congestion and free up capacity on conventional lines, facilitating night trains, freight transport and military mobility, while strengthening Europe’s competitiveness in tourism and industry.

Scaling up investment in renewable, low-carbon fuels

The second initiative adopted today—the Sustainable Transport Investment Plan—sets out a common approach to boost investment in renewable and low-carbon fuels focusing on aviation and waterborne transport.

To meet the RefuelEU aviation and FuelEU maritime targets, around 20 million metric tons of sustainable fuels (biofuels and eFuels) will be needed by 2035.

Achieving this will require an estimated 100-billion euros (USD$115 billion) in investment.

The STIP sends a clear signal to investors that Europe’s targets remain in place and that the commission will support the transition to a climate-neutral economy.

By accelerating domestic production of biological and nonbiological fuels, Europe can reduce its dependence on imported fossil fuels, enhance the competitiveness of its industries and lead the clean-energy transition globally.

Key investment measures aiming to mobilize at least 2.9-billion euros (USD$3.33 billion) through EU instruments by 2027 include:

• At least 2-billion euros (USD$2.3 billion) for sustainable alternative fuels under InvestEU.

• 300-million euros (USD$344.6 million) through the European Hydrogen Bank to support hydrogen-based fuels for aviation and shipping.

• 446-million euros (USD$512.4 million) for synthetic aviation fuel and maritime fuel projects under the Innovation Fund.

• 133.5-million euros (USD$153.3 million) in fuels-related research and innovation under Horizon Europe.

On the top of these measures, the commission with the member states is preparing to launch an eSAF Early Movers Coalition pilot project by the end of 2025, aiming to mobilize at least 500-million euros (USD$574.2 million) for synthetic aviation fuel projects.

The commission will also work to strengthen the enabling conditions for market investments to bridge the investment gap.

In the medium term, the commission said it will work towards establishing a mechanism to connect fuel producers and buyers, providing revenue certainty and reducing investment risk.

The plan will also strengthen international partnerships to expand global fuel production and attract imports that meet the EU sustainability criteria while ensuring fair competition for EU producers and users.