Material Insights · Understanding the Material World

Railway electrification and wireless power: Unit economics

What a kilometre of overhead wire costs, and why

What this tab covers What it costs to move a unit of energy this way: capital and operating costs, tariffs, utilisation and how it compares with the alternatives.

Electrifying a railway costs roughly £0.75 million to £2.5 million per single-track km in the UK, but electric trains are more than 35% cheaper to run than diesel. Swap stations cost about 15 times a fast charger (calculated), and in-road charging has no settled cost yet.

Key costs

MeasureValueNote
UK electrification, well-delivered simpler projects750,000 to 1,000,000 GBP per single-track km3overhead line, power and associated works, 2019
UK electrification, troubled recent projects2 million to 2.5 million GBP per single-track km3complex projects should not exceed £1.5 million
Overhead line only, Switzerland and Germany350,000 to 450,000 GBP per single-track km3narrower scope than UK figures
Running cost, electric against diesel trainsover 35% cheaper%3RIA citing a 2009 UK Department for Transport paper
Battery swap stationat least 1.5 million (about 207,600) CNY (USD)9against about 100,000 yuan for a fast charger
Price per swap80 to 100 CNY9China, 2024
Detroit in-road charging development contract1.9 million USD62022 contract; 0.4 km operating in 2023, 1.6 km planned; not a per-km cost

Where the money goes

ItemShare or amount
Route clearance (raising bridges, lowering track in tunnels)30 to 40% of the cost of some UK schemes3
Overhead line, power supply, signalling, design and deliveryRemaining 60 to 70% (calculated); not split in the source3
Swap station against fast chargerAbout 15 times the hardware cost (calculated: 1.5 million / 100,000 yuan)9

Electrification pays back on busy lines, where cheaper energy, lighter trains and lower maintenance are spread over many train-km; on quiet lines battery or diesel trains can be cheaper. Wireless roads face the same utilisation test, but with far fewer equipped vehicles today. Swapping costs more per station than charging but sells speed, and only works where many vehicles share one pack design.

Sources

  1. Electrification Cost Challenge Railway Industry Association (RIA), 2019
  2. Detroit unveils wireless EV charging roadway Construction Dive, 2023
  3. China is betting on battery swaps to tackle EV chargers shortage Rest of World, 2024