190 billion euro for Italy railways in next 10 years

190 billion euro for Italy railways in next 10 years

Chairwoman of the Ferrovie dello Stato Italiane Group, Nicoletta Giadrossi, and CEO Luigi Ferraris have presented their industrial plan 2022 - 2031.

The ten-year plan aims to ensure that infrastructure works are completed on schedule; prioritize multimodal collective transport over private transport; double rail freight compared to 2019; make rail and road infrastructure more sustainable, accessible, effectively integrated, and resilient, expanding the network to reduce the gap between the country’s north and south; increase the Group's level of energy autonomy through renewable sources and contribute to the ecological transition in this area as well.

To fully exploit the potential of all Group companies and make a decisive contribution to the sustainable development of the country which is already experiencing extraordinary events such as the pandemic and international conflicts, the need emerged to redefine the governance and revise the organizational structure into four business hubs, each with clear strategic objectives: “Infrastructure”, “Passengers”, “Logistics”, and “Urban”.

The new organization aims to strengthen the synergies of all the companies operating in the Group and to increase their efficiency, also in terms of planning and design. The international landscape and the geopolitical tensions behind rising inflation, the effects of the pandemic, and those of climate change on infrastructure, all combined with an awareness of the role that transport, logistics, and infrastructure can play in the sustainable development of the country, have also contributed to shaping the new corporate reorganization.

The enabling factors of the 2022-2031 Industrial Plan, which are key to its implementation, are innovation, digitization, connectivity, and development of the Group's people.

Particular attention is paid to the ecological transition, with activities to improve efficiency and reduce consumption combined with new initiatives to leverage assets by installing plants to produce electricity from renewable sources, to ensure that at least 40% of the Group's needs are covered.

In the international arena, the FS Group wants to ensure sole control over the business, aiming to generate further value in the countries where it is already present: France, Spain, Germany, Greece, the Netherlands, and the UK. Outside Europe, Ferrovie dello Stato also plans to export integrated know-how through partnerships.

FS Group revenues in 2031 are expected to grow to around €22.5 billion and EBITDA to €3.9 billion, with an average annual growth rate (CAGR) over the plan period of 6.9% and 8.2%, respectively.

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