The changes could open up regional services to foreign operators rather than just the national rail company VR.
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Currently, VR controls much of Finland’s rail infrastructure, including train equipment, depots and many stations. Image: Toni Pitkänen / Yle
The Finnish Transport and Communications Agency, Traficom, has proposed sweeping reforms to regional rail services. These changes could take effect after the current direct procurement agreement with VR, Finland’s state-owned railway, expires in 2030.
The proposals, outlined in a newly released report, aim to open rail operations to free competition in line with EU regulations.
According to Traficom, there is significant international interest in operating on Finland’s railways, with companies from Spain, Belgium, Germany and Sweden expressing interest.
The reforms specifically target the organisation of so-called subsidised rail services. Currently, the state contributes approximately 35 million euros annually to subsidise these services, which are not independently profitable.
Current subsidised services
Subsidised rail services include commuter trains outside the Helsinki Regional Transport Authority (HSL) area in southern Finland (such as the R and Z trains), overnight trains, all rail services north of Oulu, select long-distance routes and rail bus services.
These routes accounted for 10 million passenger trips in 2023.
In its report, Traficom presented four alternatives for reorganising these services, naming the top choice as a continuation of the existing service map, enhanced with adjustments based on regional needs.
Major structural changes
Currently, VR controls much of Finland’s rail infrastructure, including train equipment, depots and many stations.
To ensure fair competition, Traficom suggested transferring necessary rolling stock, depots and some station operations from VR to a newly established state-owned rolling stock company. Rolling stock refers to the railway fleet, including all trains and carriages.
The report says this is necessary because Finland’s rail gauge differs from that of most of Europe, making compatible rolling stock scarce outside VR’s fleet. A state-owned rolling stock company would lease Finland-specific trains to operators, eliminating the need for companies to purchase their own equipment. Traficom has stated that VR is prepared for this transition.
Traficom’s report has been submitted to the Ministry of Transport and Communications, which will pass it on to the government. The government is expected to make decisions quickly, as the proposed reforms involve significant changes and require ample preparation time.
Procurement competitions for rail operators are planned for 2026–2028, with the reformed system set to begin operations in 2031. Long-distance services, such as Pendolino and InterCity (IC) trains, will see minimal changes under this plan.
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Publish date : 2025-01-23 05:49:00
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