Summary sheet
The project will finance the investment into rolling stock and related infrastructure for the local transport company in the capital and second biggest city of the German state of North Rhine-Westphalia. In particularly, it concerns purchase of about 100 new high floor Light Rail Vehicles (Stadtbahn) for the existing light rail network, which also reaches the neighbouring cities of Duisburg, Krefeld and Neuss.
The project will contribute to improve the quality of public transport service in terms of comfort and reliability and will uphold the attractiveness of public transport in the metropolitan area, thus contribute to a reduction of reliance on private cars and their negative impact on the environment and congestion.
The Project entails the acquisition of new electric rolling stock to be used on the metropolitan Stadtbahn network. The new trains are expected to increase comfort of travel, allow for more frequent connections and ensure continued accessibility to persons with reduced mobility. The Project increases competitiveness of public transport and prevents shift of traffic from rail to road, enhancing sustainable transport in line with EU objectives and reducing negative transport externalities, thus addressing important market failures. These externalities include pollution reduction from the road diesel/petrol engines and related to noise and CO2 emissions. Furthermore, a sustained modal share of rail as the safest mode of land transport will lead to reduction of fatalities and serious accidents and the associated human suffering
The proposed loan allows Rheinbahn AG to obtain additional financing required for executing a critical investment involving a number of specific features. The extended tenor offered by the Bank plays a crucial role in the Borrower's fleet renewal strategy and enhances their overall financing. Further, the Bank's loan offers flexible disbursement and repayment options, ensuring a reliable funding source for this long-term project.
The project does not fall under the scope of the Environmental Impact Assessment (EIA) Directive 2011/92/EU as amended by Directive 2014/52/EU, since it entails the manufacture of Light Rail Vehicles, which will take place in a manufacturer's plant. Therefore, no EIA will be required for this project. The project is expected to have positive environmental impacts by helping public transport to increase and/or maintain modal share. For possible associated infrastructure, compliance with the requirements of the EIA Directive will be required and it will be analysed during appraisal.
The EIB will require the Promoter to ensure that contracts for the implementation of the project have been and shall be tendered in accordance with the relevant applicable EU procurement legislation (Directives 2014/25/EU as well as Directives 89/665/EEC and 92/13/EEC) as interpreted by the EU Court of Justice, with publication of tender notices in the Official Journal of the EU.