Spain’s Renfe to Launch Bus Company Amid Rail Works, Following Safety Concerns
Madrid, Spain – Spain’s state-owned rail operator, Renfe, is establishing its own bus company to mitigate disruptions caused by extensive planned infrastructure improvements and address declining public confidence following a recent train accident. The move, announced Tuesday, aims to provide alternative transport options as rail traffic is increasingly suspended for modernization projects.
Renfe will hold a 49 percent stake in the new company, while an unnamed bus operator will control the remaining 51 percent under a 10-year contract, extendable for another five years. The company will employ its own drivers and operate a fleet of between 50 and 100 coaches.
The decision comes as Spain prepares for significant upgrades to its rail network, including renovations to the Madrid-Barcelona high-speed line, beginning with the Madrid-Zaragoza section. Renfe anticipates these improvements will lead to more frequent service suspensions and cancellations, similar to the current situation between Málaga and Antequera, where high-speed AVE trains have been replaced by bus and regional rail services.
“It has been concluded that the traditional tendering model is insufficient,” Renfe stated, citing a shortage of available buses, a lack of drivers, limited competition in tenders, and difficulties securing resources already committed to existing services.
The creation of the bus company is estimated to cost €61.5 million, but Renfe projects annual savings of between €9 million and €13 million compared to current ad-hoc bus hire arrangements.
This initiative also follows a dip in public trust in Spain’s rail system. Reports indicate a slowdown in ticket sales following a deadly train accident in Adamuz, Córdoba, in January. Renfe is the only major high-speed rail operator in Spain proactively implementing alternative transport plans. The company has already been providing replacement bus services on the Madrid-Málaga route while other operators await repairs to storm-damaged infrastructure.
Renfe highlighted its commitment to ensuring service continuity, stating it is “open to a new approach to ensure the coverage and quality of alternative services in the coming years.”
