EIB supports development of Stockholm metro with SEK 3.5 billion loan
The President of the European Investment Bank (EIB), Werner Hoyer, will sign a SEK 3.5 billion (some EUR 400 million) loan agreement tomorrow with Stockholm County Council (Stockholms Läns Landsting) for the development of the Red metro line. During their official visit to Sweden, Mr Hoyer and EIB Vice-President Jonathan Taylor will also meet members of the Swedish government: Minister for Foreign Affairs Carl Bildt, Minister for Finance Anders Borg and Minister for EU Affairs Birgitta Ohlsson.
“The EIB strongly promotes the creation of sustainable cities and projects improving the competitiveness and attractiveness of public transport. The modernisation of Stockholm’s metro is one of these, and we particularly welcome the agreement with Stockholm County Council as this project will provide a reliable, efficient and fast public transport service” said EIB President Werner Hoyer.
Thanks to the EIB loan, modern trains will be purchased and the existing signalling system will be replaced with communications-based train control. What is more, a new underground depot in Norsborg will be constructed and the existing Nyboda depot will be upgraded to enable the servicing of the new rolling stock. The Red metro line development will not only improve the level of service, but also cater for the future increase in demand from Stockholm’s growing population.
As the EIB targets environmentally friendly subway transport services, the new metro trains will be designed to minimise energy consumption and noise. In addition, a modernised metro will encourage a modal transfer from private to public transport, thus contributing to the reduction of emissions from private vehicle use.
The support of the EIB will also trigger growth in jobs – the increased service level of the upgraded metro line will require more train operators.
Last year, the Bank provided nearly EUR 400 million for sustainable transport projects in Sweden. It supported the extension of the Tvärbanan light rail line between Alvik and Solna, the acquisition of associated new rolling stock and the construction of a new depot at Ulvsunda. Furthermore, the Bank granted a loan for the acquisition of seventeen electric and three diesel trains improving passenger services in the Västra Götaland region (western Sweden).