New tender worth up to US$1 billion offered on Rail Baltica

Rail Baltic Estonia has initiated a major infrastructure tender, worth up to €932 million (US$1 billion), for constructing the main line of the Rail Baltica project.

NewConstruction work on Rail Baltica's main line New projects set to drive forward construction on Rail Baltica’s main line. Photo: Rail Baltic Estonia

Anvar Salomets, CEO of Rail Baltic Estonia, the organisation charged with delivering the network, said he believed the new projects would attract bids from major international contractors and rail companies.

The tender is expected to result in two primary contracts:

  • The first is valued at approximately €394 million (US$435 billion) and covers the construction of the railway superstructure from Ülemiste to Pärnu, as well as the substructure between Tootsi and Pärnu.
  • The second is valued at approximately €332 million (US$367 million) and includes the design and construction of the Pärnu–Ikla section, which will complete the main line.

Construction of the main line will take place in several stages, with the development phase set to run from the third quarter of 2025 to the second quarter of 2026. This will be followed by the construction phase, slated to begin in 2026, and run through to the end of 2030.

Once complete, the rail network will connect the Baltic states, Finland, Central Europe and beyond, with the stated aim of improving transportation efficiency, accessibility and economic competitiveness.

Rail Baltica’s EU significance

As part of the European Union’s Trans-European Transport Network (TEN-T), the project is expected to offer significant opportunities for global construction companies and rail industry firms to establish themselves in Estonia.

Salomets said, “We anticipate international construction firms will participate, and we aim to have all sections of the main line either contracted or under construction by this time next year.

“I can assure you,” he added, “that all stakeholders are fully committed to completing the project by 2030.”

Vladimir Svet, Estonia’s minister of infrastructure, said, “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 given 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.”

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