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Monday, June 17, 2019

EUROPEAN INVESTMENT BANK: Denmark: EUR 200 million EIB loan to link rail network to Fehmarn tunnel

European Investment Bank issued the following announcement on May 24.

EIB signs 200 million loan with A/S Femern Landanlaeg of Denmark. Financing will be used to improve the Danish rail network connection to the future undersea tunnel.

Project concerns construction of new tracks, upgrading existing ones to higher speed limits, electrification and implementation of ERTMS.

The Project is located on the Scandinavian Mediterranean TEN-T Core Network Corridor

The European Investment Bank (EIB) has signed a loan agreement with A/S Femern Landanlaeg, the company managing the Danish contribution to building of the “Fehmarn Belt” railway connection between southern Denmark and Hamburg in Germany. The EUR 200 million loan is guaranteed by the Danish state. The project concerns some 80 km of railway between Ringsted and Nykøbing Falster, where the existing tracks will be modernised and a second track will be built. The financing also covers bridge works on the 40 km stretch between Nykøbing Falster and Rødby, which serve to prepare the Danish rail network for the Fehmarn Belt tunnel opening.

On a technical level, the project foresees modernization and renewal of existing railway tracks, electrification as well as the deployment of ERTMS (European Railway Traffic Management System). Combined with the newly constructed tracks, this will allow for speed increases on the section, allowing high-speed trains to complete the Hamburg Copenhagen stretch in under 3 hours, once the tunnel will be operational.

EIB Vice-President Alexander Stubb commented: “Let’s face it: we all know that to reach the goals set by the Paris agreement, we need to cut our CO2 emissions. You can do this by cutting on travel, business and tourism, but the better option is probably to provide alternative modes of transportation that do not hurt the environment as much. The EIB is the biggest financier of climate-relevant projects in the world, and we’re 100% behind the Fehmarn Belt railway link.”

“We are very pleased that the European Investment Bank has granted us this loan agreement. It will contribute to the necessary funding for A/S Femern Landanlæg to prepare the first phase of the Danish rail network for the Fehmarn Belt tunnel, opening in 2028.” says Mikkel Hemmingsen, CEO of Sund & Bælt Holding A/S

“The Fehmarn Belt tunnel between Denmark and Germany is a key project to bring Europeans closer. The combination of a EUR 123.5 million grant from the Connecting Europe Facility (CEF) with the EIB’s loan will allow decisive progress on the Danish access route, mobilising an overall investment of more than EUR 500 million in the EU economy” added Violeta Bulc, EU Commissioner for Transport.

Original source can be found here.

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European Investment Bank

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