Germany’s DB Engineering and Consulting and JSC Ukrzaliznytsia (Ukrainian Railways) have signed an agreement on consultation for passenger transportation.
The cooperation will focus on the improvement of the planning and development of passenger railway transportation, upgrading rolling stock, and optimising purchases.
Ukrainian Railways will receive support from DB Engineering and Consulting for separating passenger and freight traffic for effective management.
The first stage of cooperation will include consulting, which will be executed by the end of this year.
Under the next phase, Ukrainian Railways will invite a team of managers from Deutsche Bahn (DB) to handle certain functions in its passenger traffic.
Ukrainian Minister of Infrastructure Oleksandr Kubrakov said: “The support of Ukrzaliznytsia’s management of passenger transportation by DB Engineering and Consulting is the first systematic step towards a complete transformation of railway transportation in Ukraine.
“This year, for the first time, the state is funding passenger transportation of Ukrzaliznytsia. With proper funding, and based on the experience of the German railway, we are starting big construction at Ukrzaliznytsia, which will affect all infrastructure, rolling stock, and services.”
The German company will draft a roadmap for the execution of long-distance and suburban passenger traffic for the next five years, along with a model for funding passenger traffic.
Experts from the company will also determine the traffic size and evaluate the need of Ukrainian Railways for capital investment to modernise its rolling stock for its public transportation under public service obligation.
DB Engineering and Consulting will assess the prospects for the procurement and production of passenger rolling stock, such as diesel trains, regional electric trains, and night train cars.
The option of manufacturing such rolling stock by a Ukrainian manufacturer within the agenda of international cooperation will also be considered.
Last month, DB agreed to offer business and technical consulting, as well as support to Ukrainian Railways.
As set out in the memorandum of understanding, the agreement provides for support in modernisation and management.
In February last year, DB signed an agreement to offer business and technical consulting and support to Ukrainian railways.