PKP INTERCITY FLEET RENEWAL AND EXPANSION II

Promoter – Financial Intermediary

PKP INTERCITY

Location

• Poland

Description

The project will finance new electric and bi-mode locomotives, bi-mode multiple units and passenger coaches, as well as coaches modernisation. The rolling stock will be used to provide long distance services predominantly under a Public Service Contract throughout Poland and to limited extent also in neighbouring countries.

Additionality and Impact

The Project consists of the acquisition and modernisation of rolling stock to be used mainly under a Public Service Contract throughout Poland. By shifting traffic from road to rail, the Project supports sustainable transport in the EU policy and contributes to reduction of negative transport externalities (air pollution, noise, CO2 emission). It improves also safety. The Project contributes also to strengthening of the EU's economic, social and territorial cohesion as the rolling stock will be used predominantly in less developed regions. The Project is expected to increase comfort of travel, allow for more frequent connections and improve accessibility to persons with reduced mobility. The EIB supports this Project by providing long-term, stable financing with significant crowding-in element. It allows the Borrower to diversify the financing sources incl. EU funds. The EIB loan offers favourable conditions with long maturity, availability and grace periods aligned with the Project implementation schedule and lifetime of financed assets. 

Objectives

The aim is to increase the quality of rail services provided in the country and promote rail travel to reduce the use of private vehicles. The project will therefore benefit the local environment by reducing greenhouse gas emissions and improve road safety. The project contributes to sustainable transport in line with EU objectives and being largely located in a convergence area and by facilitating access, it also promotes regional development.

Sector(s)

• Transport - Transportation and storage

Proposed EIB finance (Approximate amount)

PLN 2580 million (EUR 605 million)

Total cost (Approximate amount)

PLN 5160 million (EUR 1210 million)

Environmental aspects

The investments proposed under the Project do not fall under either Annex I or Annex II of the Environmental Impact Assessment (EIA) Directive 2011/92/EU as amended by Directive 2014/52/EU as manufacturing and use of rail rolling stock is not included in either list. The need for an EIA and/or assessment according to the Habitats Directive for associated facilities (e.g. maintenance workshops or depots) will be analysed during the appraisal. All else equal, the Project is expected to have a positive environmental impact by helping the railways to maintain modal share in key sections of the passenger market that are most appropriately met by rail. In addition, the arrangements for the scrapping of the replaced stock will be checked during appraisal.

Procurement

The promoter to ensure that contracts for the implementation of the Project have been tendered in accordance with the relevant applicable EU procurement legislation, Directive 2014/25/EU as well as Directive 92/13/EEC as interpreted by the Court of Justice of the EU, with publication of tender notices in the EU Official Journal, as and where required.

Status

Signed - 2/05/2025