| Project Detail |
The project will finance the acquisition of 26 traction heads and upgrade to 330 km/h. It will also turn 156 existing sleeping coaches into a seat configuration. The new traction heads and upgraded coaches will constitute 13 high-speed trainsets.
Additionality and Impact
The project consists of the acquisition and modernisation of rolling stock for high speed rail services. It is expected to result in modal share from air and road and generate good economic and social benefits, improving safety, comfort and better access for persons with reduced mobility. The shift of passenger traffic to rail addresses market failures by reducing negative transport externalities, such as the harm to humans in terms of accidents and loss of life, noise, pollution and CO2 emissions. The rolling stock will be equipped with the European Railway Traffic Management System, thus addressing a coordination failure.
The Banks participation secures access to long-term financing at affordable terms, including interest rates. This helps the Borrower diversify its funding mix by crowding in other financiers and extend its average debt life, aligning it to the economic life of the asset being financed. A key contribution considering the very long-term nature of the financed assets and its positive impact on the overall project cost. The flexible drawdown terms and conditions of the EIB loan adjusted to the long delivery periods of the rolling stock, are highly valued by the public operator and are considered a key differentiating feature of EIB financing.
Objectives
The aim is to upgrade the rolling stock, which will be used for commercial services.
Sector(s)
Transport - Transportation and storage
Proposed EIB finance (Approximate amount)
EUR 125 million
Total cost (Approximate amount)
EUR 260 million |
