Deutsche Bahn hesitates over low-emission rail sourcing
Deutsche Bahn (DB) has been slow with its offtake of low-emission steel rail or even to buy any notable tonnages so far. Germany is lagging behind other European countries such as France, Austria, Belgium in terms of sustainable steel procurement for transport infrastructure, says Saarstal Acoval and Saarstahl Rail chief executive Nadine Artelt.
The latter unit of German steelmaker Saarstahl secured in February a significant contract valued at €1 billion ($1.1 billion) to supply railway operator SNCF with low-emission rail over six years.
A similar deal with Deutsche Bahn is not within sight, Kallanish heard from Artelt during a discussion panel at the Zukunft Stahl conference in Essen in March. Deutsche Bahn has an “enormous demand” for rails that she says is similar to that of SNCF, between 180,000-200,000 tonnes/year. “Still, starting talks was much easier in France and Austria,” she noted.
DB’s head of sustainability, Max-Christian Lange, conceded during the discussion that DB has not made the decisive move forward in this respect, despite its defined target to become climate neutral by 2040.
DB tenders for suppliers are preceded by discussions with its main owner, the German state. Lange alluded that talks at this level proceed sluggishly. With a view to sourcing CO2-reduced steels, therefore, “at the moment we at DB are still only in a position of a future supporter of the cause.”
Saarstahl Rail has an annual output of 400,000 tonnes of steel producing a variety of rail profiles, including vignoles, switches, grooved rails and rail tracks.
Tata NL steps up transport by train, vessel
Tata Steel Nederland and Deutsche Bahn (DB) Cargo have signed a contract to transport steel coil by trains powered by green electricity, the steelmaker tells Kallanish.
Every year, 1.2 million tonnes of steel goes by train from IJmuiden to the production sites of Tata Steel Nederland, and to customers in the Netherlands and the rest of Europe. This is largely done via DB Cargo’s wagons. “One freight train pulled by an efficient electric locomotive replaces at least 50 trucks,” says DB Cargo Nederland chief executive Nanouke van ’t Riet.
More than 80% of the transport by train that DB Cargo carries out for Tata Steel Nederland is CO2 free, the company claims.
Tata Steel Nederland has also entered a collaboration with transshipment company RCT Stevedoring and inland shipping cooperative PTC for its subsidiary Tata Steel Duffel, a maker of laminated packaging steel. Steel coil has hitherto been transported by truck from Duffel to IJmuiden for final processing.
In future, the steel coils will be transported by inland barge. This results in a 91% reduction in truck transport between Duffel and IJmuiden, eliminating 1,400 to 1,800 truck movements and reducing road travel by 320,000km, Tata notes.
“This logistical adjustment is not only beneficial for the climate but also for other road users,” says Martin van der Meer, director of Outbound Logistics at Tata Steel Nederland. “The trucks used to travel daily via the Antwerp, Rotterdam, and Amsterdam rings, through the Velsertunnel to IJmuiden. This has now come to an end.”
Christian Koehl Germany
DB Schenker sale spares steel logistics division to DSV
Kallanish understands the deal is the largest in DB’s history. According to commentators, Schenker has been profitable, but has nevertheless been divested as Deutsche Bahn requires cash for massive investments.
The railway operator has in recent years been heavily criticised for flaws in its operations. Delays and cancellation of trains have become the rule rather than the exception, and the company has become proverbial for its shortcomings. Public annoyance increased when Germany hosted thousands of international visitors during the European Football Championship, who depended on the train service.
Christian Koehl Germany