FEVE was created in 1965, as a successor to the government-run organisation EFE (Explotación de Ferrocarriles por el Estado), which was created by the
Miguel Primo de Rivera administration in 1926 to take over failed private railways. Following the creation of
RENFE in 1941, to which the ownership of all Spanish broad-gauge railways were transferred to, EFE had in practice become the operator of a collection of exclusively narrow-gauge lines. The present status of FEVE, as a government-owned commercial company, dates from 1965. The new company continued to absorb independent railway lines (, , , & ), where the existing concession holders had been unable to be profitable. Most were
converted to (if not already built in that gauge). However, from 1978 onwards, with the introduction of regional
devolution under the new Spanish
constitution, FEVE also began transferring responsibility for a number of its operations to the new regional governments. This happened in
Catalonia (
FGC) in 1979, in a portion of the
Basque (
Euskotren) network in 1982, in the
Valencian Community (
FGV) in 1986, and with the
Mallorcan Railways (
SFM) in 1994. That did not however occur in the
Region of Murcia, where the narrow-gauge railway network remained under FEVE control. The above-mentioned EFE (Explotación de Ferrocarriles por el Estado) also operated the
Carabanchel – Chamartín de la Rosa suburbano railway in the city of
Madrid. That railway became part of the
Madrid Metro when control of that line was transferred to the
Community of Madrid in the early-1980s, later integrated as the present-day
Line 10. On 31 December 2012, the company disappeared due to the merger of the narrow gauge network FEVE and the broad gauge network RENFE. The infrastructure was transferred to
Adif and the rolling stock was transferred to
Renfe Operadora. The operation of the narrow gauge network continued under the same conditions after the reorganization, effectively still working separately. ==FEVE network==