Wooooohooooo! another one with the Madrid/Spain bug

. Congrats ToniG!
As for the AVE Madrid-Barcelona, no rumor was more true! Construction is underway and the estimated date (you can never get an exact date from a Spaniard) is set at 2003 which means that by sometime that year, we will be able to zip to Barcelona and back to Madrid or vice-versa.
There is loads of info online about the AVE and its future projects. I found this article at
http://www.railway-technology.com/projects/spain to be helpful.
The problem with the rail system in Spain is that (aside from the AVE) it is laid out in a way that in order to cover the necessary stops, many trajectories tak zig-zag routes, making your trip longer than if you had taken the bus along a direct highway. Although the railway tracks to Granada are pretty straight, they are not ideal.
I remeber backpacking Spain years ago for almost 3 months in the summer after my Masters program ended in Madrid. We (ex-"novia" and I) spent more time on the bus than the train, without a doubt! As poor students

, it was more economical and also turned out to be faster although it is not as "quaint" as rail travel.
Saludos,
jer...