Croatia to use EUR 224 million from RRP for rail infrastructure

rail investment planHŽ Infrastruktura will use HRK 1.7 billion (EUR 224.37 million) from Croatia’s Recovery and Resilience Plan until 2026 to implement a rail investment plan comprising at least four key projects which include construction and reconstruction works on the railway network.

The HRK 47 billion (EUR 6.3 billion) Plan is divided into five components of which one is related to the economy development worth HRK 26.2 billion (EUR 3.46 billion) of which HRK 5.5 billion (EUR 726 million) is the planned investment for the development of a competitive, energy-sustainable and efficient transport system. A significant part of the funds is intended for investment in railway sector.

“A large part of the funds is directed to the railway transport, in which, due to the development of motorways, no significant investments were made until a few years ago,” Josip Bilaver, the State Secretary for Sea and EU funds said.

One of the selected projects cover the phases 2 and 3 of the reconstruction and construction of the second track on the 72 km Dugo Selo – Novska rail line (on the corridor RH1).  The project was planned to be implemented under the Operational Programme Competitiveness and Cohesion but now is part of the RRP which will provide a HRK 1 billion (EUR 140 million) investment.

The reconstruction of the M604 Oštarije – Knin – Split rail line including the modernisation of three stations on the line connecting Karlovac County with the region of Dalmatia is another project expected to be financed under the rail investment plan funded through the RRP. The project includes Track renewal and the installation of new signalling and interlocking devices.

Zagreb Kustošija – Zagreb ZK (Zapadni kolod) – Zagreb GK (Glavni kolodvor) is providing the connection towards Slovenia through Savski Marof. In 2020, HZ Infrastruktura signed a EUR 49 million contract for the modernisation of 17.8 km Zagreb – Sava Marof rail section expected to be completed by the end of this year. The entire project estimated at HRK 300 million (EUR 39.6 million) with HRK 220.2 million (EUR 29 million) being provided through the RRP. The project is expected to be completed by 2025.

The RRP also includes a programme to remove bottlenecks on railway infrastructure with an estimated cost of HRK 150 million (EUR 19.8 million). The project would be completed by 2025.

Croatia’s Recovery and Resilience Plan consists of 146 investments and 76 reforms which will be supported by EUR 6.3 billion in grants of which 40.3% will support climate objectives and 20.4% of the plan will foster the digital transition. EUR 728 million will be invested in sustainable mobility projects notably in upgrading railway lines, autonomous electric taxis with supporting infrastructure adapted for people with disabilities, installing charging stations for electric vehicles and introducing zero-emission vehicles and vessels.

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