The funds will be used for the improvement of TEN-T railway lines in the Czech Republic and the deployment of the European Rail Traffic Management System (ERTMS). The project will be managed by the national railway infrastructure administrator, Správa železnic, under the authority of the Czech Ministry of Transport.
"Modernising and increasing the capacity of the railway infrastructure is one of the main priorities of our government, but the need for investment exceeds the possibilities of our state budget. In view of the forthcoming construction of high-speed lines, we would like to cooperate with the EIB on a long-term basis", said Martin Kupka, Minister of Transport.
In terms of safety, modern level crossings in the Czech Republic could prevent up to 180 accidents a year, resulting in 30 to 40 deaths a year. Správa železnic plans to install barriers at level crossings or replace them with bridges or tunnels to allow cars, bicycles and pedestrians to cross the railway lines without stepping on the tracks.
"I very much appreciate the cooperation with the EIB, thanks to which we will be able to finance some long-term investments of a strategic nature through a loan at a lower interest rate than we would be able to obtain on the market with a standard issue of government bonds," explained Zbyněk Stanjura, Minister of Finance.
The modernisation of the railway line will increase the maximum speed and capacity of the sections that are part of the TEN-T network. The investment will support the implementation of the Czech Republic's transport policy for the period 2021-2027, the main vision of which is an energy-efficient transport system that is resilient to climate change and has zero environmental impact. Shifting passenger and freight transport from road to rail would reduce noise, pollution and CO2 emissions.
