Spain’s transformative high-speed rail revolution

When people think of high-speed trains in Europe, the legendary French TGV and the sleek, white German ICE trains often come to mind.

Those who have traveled through Italy are likely familiar with Trenitalia’s Frecciarossa (Red Arrow) or the striking crimson trains of its rival Italo.

However, the longest high-speed rail network in Europe isn’t in France, Italy, or Germany.

The title goes to Spain, where over the past three decades, billions of euros have been poured into expanding railways that fan out from Madrid.

Stretching 3,567 kilometers, Spain boasts the second largest high-speed rail network globally, though it's still under 10% of the vast network China has built over the past decade.

In contrast to China’s rapid rail expansion, Spain’s progress has been far slower, hindered by national and regional politics, overly ambitious goals, and inconsistent decision-making, particularly following the 2008 financial crisis.

Despite the challenges, new rail sections are steadily opening, bolstered by significant European Union funding, as Spain strives to create fast, efficient links between Madrid and its regional capitals.

Grand aspirations

Since launching its first route in 1992, connecting Madrid's Atocha station with Seville, Spain's extensive high-speed rail network has expanded to Malaga, Granada, Valencia, Alicante, Barcelona, and up to the northwestern Galicia region, with full completion expected by 2022.

The high-speed lines also pass through historical cities like Segovia and Valladolid, leading to León in the west, and will eventually extend to Asturias and the Basque cities of Vitoria, Bilbao, and San Sebastian.

Until recently, all domestic high-speed rail services were managed by Renfe, under its renowned AVE (Alta Velocidad Espana) brand.

AVE has even succeeded in attracting some passengers away from airlines, although the Madrid to Barcelona route still holds the title of Europe’s busiest short-haul air route.

In addition to air travel, rail faces stiff competition from express coaches and private cars, especially since fuel prices in Spain are relatively low compared to the rest of Europe. In 2019, around four million car journeys were made between the country’s two largest cities.

“RENFE operates some of Europe’s most luxurious high-speed trains,” says rail expert Mark Smith, widely known as “The Man in Seat 61.”

“The journey from Madrid to Barcelona takes just two and a half hours on AVE, much faster than the three to four hours it takes by car or coach door-to-door. That makes rail just as quick as flying, so I believe it will dominate that market,” he adds.

Tough competition

“However, AVE trains between Madrid and Barcelona have traditionally been priced much higher than similar high-speed services in other regions, meaning rail’s market share hasn’t reached its full potential,” he notes.

Change seems imminent, as the introduction of two new low-cost, 'no-frills' high-speed rail services in 2021 suggests a shift is underway.

There are approximately three round trips per day between Madrid and Barcelona, with a fourth set of trains extending to Girona and Figueres, both located near the French border.

The 330 km/h purple trains have been redesigned with second-class seating throughout, but passengers can opt for additional perks when booking, including extra luggage allowance, on-board entertainment, more legroom, and catering services.

Renfe now runs 20 trains each way between Madrid and Barcelona, with the non-stop journey taking just two and a half hours.

The national rail operator currently offers around 16,000 seats daily across AVE and AVLO services, with plans to increase capacity as demand picks up following the pandemic.

Despite its home-field advantage, AVLO was outpaced to the market by Ouigo España, another new low-cost carrier, which began its first commercial services on May 10.

Travelers heading to France may already know Ouigo, the brand that offers budget-friendly, no-frills TGV services between major cities.

Following the same successful model, Ouigo España will initially operate from Madrid to Valencia and Alicante using at least 14 double-deck 500-seat TGV trains transferred from its French parent company.

One-way fares begin at just €9, with extra fees for items like additional luggage, premium seating, and refreshments.

“The liberalization of rail services will boost competition and encourage more people to choose rail as their preferred mode of transport,” said Pedro Saura Garcia, Spain's transport minister, during the launch of Ouigo España services in May.

Proven approach

“This is vital for reducing carbon emissions in the transportation sector, boosting the economy, and tackling climate change,”

His statement mirrors the experience of high-speed rail operators in Italy, where intense competition between state-run Trenitalia and private operator Italo has expanded rail market share since 2008, cutting ticket prices by 20 to 25%.

Next year, Trenitalia will bring this expertise to Spain with the launch of ILSA (Intermodalidad de Levante), the third of three new high-speed operators entering the market.

ILSA is a partnership with Air Nostrum, the airline, and is set to begin operations on six routes in March 2022.

With 32 daily departures, the new trains will compete directly with the AVE services on routes from Madrid to Seville, Malaga, Granada, Valencia, Albacete/Alicante, and Barcelona, offering passengers at least four train options between the capital and Catalonia.

“It’s still early, but the Spanish government’s plan to introduce competition on this route seems to be showing positive results,” says Smith.

“The new players have been well-received by passengers, with Ouigo reporting an impressive 90% occupancy rate,”

“Renfe has already had to reduce prices to stay competitive. I’m confident we’ll see the same outcome as in Italy,”

The launch of these “open access” services is expected to tackle one of the main criticisms of Spain’s high-speed rail system – the infrequency of trains on costly new infrastructure.

Since the introduction of AVE services in the 1990s, traffic density has consistently been lower than on comparable lines in France, Germany, and Italy, leading to accusations that billions of euros have been spent on politically motivated projects with limited practical benefit.

Indeed, at the farthest points of the network, particularly in the northwestern regions of Spain, some newly constructed lines, which feature stunning but costly engineering, currently only see a handful of trains each day.

“Spain has made massive investments in building a state-of-the-art high-speed rail network, but only recently has it started utilizing the system effectively,” says Keith Barrow, editor of Today’s Railways Europe.

“On the three routes set to be opened to competition, the government plans to boost train capacity by up to 70% compared to summer 2019, providing a clear indication of the unused potential within the system,”

Progress has seldom been straightforward. In the 19th century, the country’s rugged terrain posed a significant challenge for the pioneering railway engineers.

High costs

Numerous rail lines had to take longer, indirect paths to circumvent mountainous areas, which led to their reputation for slow speeds and lengthy travel times.

Beyond the main inter-city connections, the lack of investment meant that old steam engines and wooden coaches continued in service well into the 1960s.

Similar to Japan after World War II, modernizing existing tracks for high-speed travel was unfeasible, requiring a more innovative approach.

This milestone occurred in 1992, when Seville hosted the World's Fair, also known as the Universal Exposition, for the first time.

Now remembered as Expo '92, this highly successful event sparked the creation of a new 472-kilometer railway connecting Madrid and Andalucia.

Utilizing French TGV technology, the railway reduced travel time to just two hours and 20 minutes, reaching speeds of up to 300 kilometers per hour.

The most significant development, however, was the completion of the 621-kilometer high-speed rail line linking Madrid to Barcelona in 2008.

This not only dramatically improved connections between Spain's two largest city regions but also allowed Renfe to effectively compete with airlines on one of Europe's busiest short-haul routes.

Additionally, the construction of new standard gauge high-speed rail lines in Spain provided the country with a fresh opportunity to connect its network to France.

In 2012, the Madrid to Barcelona route was extended northward through Girona and beneath the Pyrenees to Perpignan in southern France.

Currently, Spanish AVE (Alta Velocidad Espana) trains and French TGVs link Barcelona with cities like Toulouse, Marseille, Lyon, and Paris.

Although these trains currently traverse a combination of new and existing tracks in France, new TGV lines are being built to form a continuous rail network connecting London, Brussels, Paris, and the Costa del Sol.

Unfortunately, this connection is not yet being utilized to its full capacity.

Although connected to the European standard gauge high-speed rail network, Iberia still offers limited service to the rest of the European Union, according to Barrow.

With its status as a key international tourist hub, Barcelona should naturally attract international high-speed rail operators, especially now that France's rail market is being liberalized.

Plans for a high-speed rail connection between Madrid and Lisbon have faced shifting political support in both Spain and Portugal over the years.

Facing multiple setbacks

While Spain plans to complete its high-speed rail line to Badajoz by 2030, Portugal scrapped its own portion of the project years ago, halting progress on improved rail connections between the Iberian capitals.

Spain’s push for high-speed rail faced a major setback in 2008 when the global financial crisis struck, severely impacting the country’s economy.

Fueled by strong economic growth, EU funding, and a property boom, the Spanish economy collapsed almost overnight, with unemployment rates soaring in the aftermath.

Ambitious plans to build thousands of kilometers of new railways began to seem overly ambitious. While some projects were finished, others were put on hold or scrapped as various governments worked to stabilize the economy.

The political turmoil resulted in frequent changes and delays to the rail program, but in recent years, as Spain’s economy recovers, development has picked up pace once again.

No project exemplifies the challenges of building a national high-speed rail network in Spain more than the Variante de Pajares, located on the route connecting Madrid with Asturias.

Construction of the 50-kilometer bypass, which includes a 25-kilometer tunnel beneath the Cordillera Cantabrica mountains, began in 2004 with an original completion time of five years.

However, by the time the tunnel is ready for commercial use, possibly by 2022, it will have taken nearly 20 years to complete the project.

As the long-delayed rail lines finally come online, Spain may soon be able to connect its regional hubs within a three-hour reach of Madrid, reducing its dependence on short-haul flights.

The success of this investment will hinge on Renfe, Ouigo, ILSA, and potentially other operators' ability to increase train services and maximize seat occupancy in the years ahead.