European Investment Bank funds rail upgrade in Poland

17 May 2012 (Last Updated May 17th, 2012 18:30)

The European Investment Bank (EIB) is providing a PLN155m (€35.6m) loan to Warsaw's regional rail company (WKD) to buy new rolling stock and improve the light regional railway line that connects the south-western parts of Warsaw.

The European Investment Bank (EIB) is providing a PLN155m (€35.6m) loan to Warsaw’s regional rail company (WKD) to buy new rolling stock and improve the light regional railway line that connects the south-western parts of Warsaw.

The loan will be used to buy 14 new electrical multiple units, with a maximum capacity of 500 passengers, of which 120 can be seated.

The funding will also go towards track improvements, upgrades of the power supply, improvements of passenger information and monitoring systems, and the installation of a fibre optic cable.

EIB had earlier extended a loan to Mazovian Railways in Poland for the purchase of rolling stock and the modernisation of the Warsaw tram network. In addition, EIB is expected to co-finance the construction of Warsaw’s new metro line.

Last November, EIB extended a €120m loan to Poland for the reconstruction and modernisation of a 58km twin-track rail line from Wroclaw to the border of the lower Silesia Voivodship.

The project forms the first planned modernisation phase of the 164km line of E59 European rail corridor that links Malmo, Ystad, Szczecin, Poznan, Wroclaw, Chalupki and Ostrava, and is expected to be completed in 2015. It will allow trains to run at a speed of 160km/h, which will reduce journey times and improve safety.

Locomotives planned to be purchased to replace the entire fleet of rolling stock along the line, which will increase passenger capacity by 17%, as well as improve speed and lessen maintenance requirements.

In 2009, WKD signed a 15-year public service contract for the provision of passenger rail services with the Mazowiecki region.