Rail Baltic Estonia, Rail Baltica’s national implementing body, has launched a landmark infrastructure tender valued at up to $1 billion. The tender is for the construction of the Rail Baltica main line, a project of key strategic importance for the entire European rail network. The project will create a seamless economy as a missing link in Europe’s north-south connectivity. It will also provide an amicable mobility corridor, strengthening ties between the Baltic States. These include Finland, Central Europe, and beyond. The tender will result in two contracts for the construction of the railway between Ülemiste and Pärnu, as well as Pärnu and the Latvian border. More than just a rail connection, the project is a critical component of Europe’s efforts to enhance transport efficiency. Furthermore, it will improve accessibility and bolster economic competitiveness.
Rail Baltica as a Fundamental Link in Europe
Vladimir Svet, Estonia’s Minister of Infrastructure, emphasized the broader European importance of the project. “Rail Baltica is more than a regional project, it connects Estonia and the Baltic states to Europe’s extensive rail network. It will also creating new opportunities for economic growth and improving mobility across the continent. While we often discuss Rail Baltica in terms of passenger and freight transport, its role as a strategic backbone for military mobility on NATO’s Eastern flank has become increasingly significant. This is due to the on-going Russia’s aggressive war in Ukraine. Today’s announcement of extensive construction procurement for Rail Baltica’s mainline is a testament to our commitment to this pivotal project that brings Europe closer together.” As a part of the EU’s Trans-European Transport Network (TEN-T), Rail Baltica will not only improve the region’s connectivity but also foster international collaboration.
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The Significance of the Mega Project in Europe
The project scope of Rail Baltica offers significant opportunities for global construction companies, as well as rail industry players. Furthermore, it creates a new value chain during both the construction and operational phases. Rail Baltica is set to attract companies involved in rail technology, logistics, and manufacturing. This will further enhance Estonia’s role in the European rail industry.
The alliance tender will result in two contracts:
- The first contract, with an estimated value of €394 million, will cover the construction of the railway superstructure for the Ülemiste–Pärnu section. It also includes the substructure for the Tootsi–Pärnu section.
- The second contract, valued at approximately €332 million, will encompass the design and construction of the Pärnu–Ikla section. This will complete the main line.
Anvar Salomets, CEO of Rail Baltic Estonia, added:
“Today’s announcement regarding the alliance procurement for the Rail Baltica mainline construction in Estonia signifies a major advancement. We are eager to see participation from international construction firms in this procurement process. Our goal is to have all sections of Rail Baltica’s mainline either contracted out or already under construction by this time next year. I can assure you all stakeholders are fully committed to completing this project by 2030.” Construction of the main line will take place in several stages. The development phase is set to run from Q3 2025 to Q2 2026, followed by the construction phase from 2026 to the end of 2030.
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