Funding for implementing Rail Baltica activities within each country from the CEF instrument includes approximately €370 million for activity implementation in Estonia, around €346 million for activity implementation in Latvia, and approximately €458 million in Lithuania. The financing approved for the Rail Baltica global project will be added to the existing funding of over €2.6 billion secured from the CEF instrument and the three Baltic States.

„RB Rail submitted very strong proposals, and I am extremely pleased that after a rigorous and highly competitive selection process we can allocate €1.2 billion to Rail Baltica. This underlines our strong support for the project. Estonia, Latvia and Lithuania must be better connected to the rest of the EU; the war in Ukraine has demonstrated how important that is. I count on the project partners to make the most of the support and get this connection in place as swiftly as possible,“ said Director-General for Mobility and Transport (DG MOVE) at the European Commission Magda Kopczynska.

The financing agreement scheduled for signing between the European Climate, Infrastructure, and Environment Executive Agency (CINEA) and Rail Baltica in Q4 2024 will support several key activities:

In Estonia, financing is granted for mainline construction activities, particularly substructure works for various sections, including the Soodevahe – Kangru, Kangru – Saku, County Harjumaa (including the Lagedi traffic junction/viaduct), and the Hagudi – Alu sections. Additional mainline construction includes the Saku – Harju/Rapla border section and the Alu – Kärpla section. In total, Estonia is set to receive financing for up to 55 km of the mainline.

In Latvia, the focus is on the Misa – LV/LT border section, a priority for mainline construction set to begin in the coming months, covering approximately 27 km, as well as the relocation of the natural gas pipeline in the Vangaži-Misa section. Additional funding is allocated for partial supervision services and construction assessments, as well as the Iecava High-Voltage Connection Point and the Skulte construction facility, which will serve as a construction logistics base for Latvia’s northern section of the mainline towards Estonia.

In Lithuania, co-financing has been granted for mainline construction, with a focus on substructure works for the Ramygala – Berčiūnai and Berčiūnai – Joniškėlis sections on the Ramygala – LT/LV state border, High-Voltage Connection Points at Panevėžys, Išorai, and Liudvinavas Rail Baltica traction substations, and mainline construction on the Kaunas - Seta section of the Kaunas – Ramygala line superstructure. In total, with the current funding, Lithuania will have secured founds for 114 km of substructure works for Kaunas-Lithuania/Latvia state border line and other activities.

Additionally, funding is granted for the design of Rail Baltica’s electrification subsystems (Traction Power System and Overhead Catenary System) and multiple Railway System Generic Designs. Ongoing activities include supervision services, and the assessment of construction works, encompassing areas such as NoBo (Notified Body), AsBo (Assessment Body), system engineering, risk management, progress reporting, supervision, and project management activities.

„We are proud of the EU’s continued priority commitment to Rail Baltica’s development as a missing link for the TEN-T corridor. This support is paramount to achieving the global project timelines outlined in the newly adopted Rail Baltica Delivery Programme 2030, which will promote sustainable transportation, enhance regional connectivity, and strengthen military mobility vital to our common defence. Passengers in the Baltics deserve the same quality, speed, and comfort level of railway travel options as those available to their neighbours in Western Europe,“ said Marko Kivila, CEO and chairman of the Management Board at RB Rail AS.

Grant agreement preparation will now commence, during which further details will be aligned with the European Climate, Infrastructure, and Environment Executive Agency, the ministries responsible for the implementation of Rail Baltica, and the national implementing bodies, with the aim of signing the grant agreement later this year.

The Commission has selected 134 transport projects to receive over €7 billion in EU grants from the Connecting Europe Facility (CEF), the EU’s instrument for strategic investment in infrastructure. This represents the largest call under the current CEF Transport programme. Around 83% of the funding will support projects that deliver on the EU’s climate objectives, improving and modernising the EU network of railways, inland waterways and maritime routes along the trans-European transport (TEN-T) network. Rail projects will receive 80% of the €7 billion. Funding will go to major projects to improve cross-border rail connections along the TEN-T core network – in the Baltic Member States (Rail Baltica), between France and Italy (Lyon-Turin), and between Denmark and Germany (Fehmarnbelt tunnel).

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