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Ekonomia

The cost of the Tirana - Durrës railway is increasing, reaching 129 million euros, without electrification

The cost of the Tirana - Durrës railway is increasing, reaching 129 million

The costs of the Tirana-Durrës-Rinas railway are expected to reach a total of 129 million euros, according to the latest data from the Transport Community. The tightening of market prices and some other additional works have influenced the increase in costs.

The Transport Community announced that in the fourth quarter of 2023, Albania requested additional costs from the Loan Component (EBRD), to cover three additional components:

1-Regulation of the price of the Labor Contract due to the increase in market prices (29 million euros);

2 - Construction of a new station along the existing segment (11.5 million euros);

3- The railway infrastructure expansion project 4 km from the entrance of Tirana to the Center of Tirana (16.1 million euros).

The Transport Community, in the latest data on the project, reported that the Rinas Airport branch line is ongoing.

The physical works being carried out in the field have been completed in 60 percent of them. The construction contract was activated in March 2021, while construction began in November 2021. The project is being developed with the main support of the European Union.

The EU has financed the project with an investment grant of 35.5 million euros and the Connectivity Agenda for the Western Balkans, and the European Bank for Reconstruction and Development (EBRD) provided a loan of 36.9 million euros, for a total of 72.4 million euros.

Adding the cost of the three required components (mentioned above), which together amount to 56.6 million euros, the total reaches 129 million euros.

The Transport Community clarified that the existing contract will be enriched and completed with all the missing components, except for the electrification of the railway line as the last component that will be determined again through the support of the EBRD, but with another special request.

As part of this contract, over 34.3 km of the existing railway line between the entry point of Tirana and the Port of Durrës is being rehabilitated. A new 6.4 km long segment is being built to connect the city of Tirana with Tirana International Airport.

This project has been identified as a key initiative of the Investment Plan for the Western Balkans, which the European Commission published in October 2020.

The rehabilitation and construction of the 40.7 km railway line is expected to be completed by the end of 2024.

The project complies with all indicators of the main European railway network TEN-T, with the exception of electrification, which is planned for the second phase of the project. The estimated total cost of the new line will reach EUR 129 million, without the last component – ??electrification, the EBRD points out.

Works on the construction of the Tirana-Durres railway began in November 2021, when the relocation of the old tracks also began. The company that is implementing this project is INC spa, which was declared the winner in 2020, with an offer of 69.7 million euros.

The newly constructed Tirana-Durres line will pass over the old line, while the Tirana-Rina part will be added, a totally new railway line. /Monitor/ 

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