The Rail Baltica joint venture RB Rail AS has announced the signing of two new agreements under the Connecting Europe Facility (CEF), which are expected to speed up the completion of the Rail Baltica project, a greenfield rail transport infrastructure project aimed at integrating the Baltic States in the European rail network.

The funding provides €1.394 billion ($1.48 billion, including about €1.163 billion euros from the CEF and €231 million euros in co-financing from the three Baltic States, marking the largest funding awarded in this financial period and one of the most substantial amounts granted among EU infrastructure projects of comparable significance.

This investment supports key activities to advance the Rail Baltica mainline construction. The results of the latest CEF call were announced in the summer of 2024.

“EU support has been instrumental for the three Baltic States in transforming Rail Baltica from an ambitious vision into a tangible reality, and this funding is not just an investment in infrastructure; it’s an investment in a more connected, resilient, and unified Europe,” said Marko Kivila, interim CEO at RB Rail AS.

“The project is now preparing to apply for the final funding call for proposals within the current financial period (2021-2027) and will work closely with national partners across the Baltic region to secure a strong position in the upcoming EU budget negotiations,” he said.

In Estonia, funding has been allocated for mainline construction, covering substructure work on sections such as Soodevahe to Kangru, Kangru to Saku, the Harjumaa area (including the Lagedi junction/viaduct), and Hagudi to Alu.

Additional work is planned for the Saku to Harju/Rapla border and Alu to Kärpla and Kärpla to Selja sections. Estonia has received financing for approximately 58 km of the mainline, with around €352 million from the CEF and €88 million from national sources, totaling about €440 million.

In Latvia, the main priority is the construction of the core route from Misa to the Latvian-Lithuanian border, with additional funding granted for a segment approximately 27 km long. Funding has also been allocated for construction supervision, the establishment of a high-voltage connection point in Iecava, and an infrastructure maintenance facility in Skulte, which will serve as a construction logistics base for the development of the core route towards Estonia.

Funds are also earmarked for property acquisition in the Skulte section and the relocation of the natural gas pipeline along the Vangaži-Misa section. Under this CEF funding agreement, Latvia has received approximately €337.6 million from the CEF and €59,5 million in national co-financing, amounting to 397 million euros.

In Lithuania, funding is directed at 36.7 km of substructure works on the Ramygala to Berčiūnai and Berčiūnai to Joniškelis sections along the LT/LV border, including high-voltage connection points at Panevėžys, Išorai, and Liudvinavas Rail Baltica substations, as well as 69 km of track laying in the Kaunas – Panevėžys – LT/LV state border section. Lithuania has received about €450 million from the CEF and €79 million in national contributions, totalling roughly €529 million for these construction activities.

Additionally, funding is allocated for the design of Rail Baltica’s electrification subsystems and various railway system generic designs.

The project which extends over 870 km is the largest Baltic-region infrastructure project in 100 years. he First operations on some of the sections is targeted for 2028.-TradeArabia News Service.