Renfe’s new Talgos not much of a bargain

Spain’s railway operator Renfe saved €1.15 billion in 2016 by selecting Talgo to build and maintain new high speed trains.

Siemens, Alstom, Bombardier and Spanish company, CAF, all put in higher tenders but the Talgo bid, 43 per cent below the contract’s €2.64 billion limit, was less of a bargain than it appeared at the time.

The first consignment of Talgo Avril 106 trains were to be delivered within 38 months but only arrived in April 2024 after Renfe put in a claim for €116 million, plus €50 million for loss of earnings.

Renfe said on August 10 that 11 of the trains which came into service in May were operative but another 11 were not, owing to “faults and other circumstances.”

There have now been 479 “incidents” linked to the new trains, one with a “domino effect” that involved 11,768 passengers and will cost Renfe €390,000 in compensation payments.