In order to fulfill plans for Ukraine rail infrastructure development in 2025, Ukrzaliznytsia has received the first batch of French rails with a volume of more than 1,000 tonnes made by the French company Saarstahl Rail SAS, with the support of French State. It’s a part of the total volume of 19,000 tonnes, under an intergovernmental agreement.
The event to hand over the French rails took place on January 15, 2025, and was attended by the Deputy Minister for Community and Territorial Development of Ukraine, Maryna Denysiuk, the head of the Lviv Regional State Administration, Maksym Kozytskyi, French President Special Envoy for aid and reconstruction of Ukraine, Pierre Elbron, the CEO of Ukrzaliznytsia, Oleksandr Pertsovskyi, the Ambassador of the French Republic to Ukraine, Gael Vessier, and others.
“After the occupation of Mariupol, we lost the only Ukrainian rail manufacturer – the Azovstal Iron and Steel Works. And it is thanks to our international partners that we receive this scarce product and continue to restore and support Ukraine rail infrastructure,” the CEO of Ukrzaliznytsia said.
The French rails from the first batch will be used in spring to carry out major repairs on the Viytivtsi – Volochysk rail line and for the railway between Fastiv-2 (station used for freight transport, in Kyiv Oblast) and Ustynivka, in Kropyvnytskyi District of Kirovohrad Oblast. These two lines are part of the mainline linking Lviv and Dnipro.
“This is an investment in a stable and secure future of Ukraine, in strengthening our transport infrastructure, which is the key to economic recovery. This project is the embodiment of cooperation between the two countries, which aims to ensure the rapid restoration and modernisation of facilities that are critically important for the development of Ukraine,” Maryna Denysiuk said.
In total, the entire volume of French rails Ukrzaliznytsia will build and repair 145 km of tracks. In particular, major repairs will be carried out on the following rail routes:
- Lviv – Uzhhorod;
- Kyiv – Lviv – EU border;
- Kyiv – Odesa;
- Kyiv – Dnipro;
- Kyiv – Kharkiv.
Within the framework of the intergovernmental agreement, Ukrzaliznytsia was granted a loan of EUR 37.6 million for 35 years but in the first 14 years, the rail company will not pay the loan. This is the first successful experience for Ukrzaliznytsia of attracting such a long-term preferential loan.
In December 2024, Ukrzaliznytsia announced that it is preparing the projects to repair, restore and modernise the rail infrastructure in 2025. For this programme, the company announced the international tender to purchase 30,000 tonnes of R-65 rails which will support works for 230 km of tracks on the most important sections in front-line regions, the rail routes for freight transport and the routes to the Ukrainian mountains, where children travel by train for holidays. The purchase is financed by the European Bank for Reconstruction and Development. January 16, 2025 was the deadline to submit bids.
In 2024 the railway company received 25,000 tonnes of rails financed by the Japan International Cooperation Agency (JICA) as part of the “Emergency Recovery Programme” from the Japanese government.
During a visit to Kyiv at the end of November, the Director-General for Mobility and Transport in the European Commission, Magda Kopczyńska, handed over to the CEO of Ukrzaliznytsia the signed grant agreement under the CEF to support the development of country’s standard-gauge rail connections. EUR 85.9 million is the cost of the project of which EUR 42.9 million is the co-financing of the CEF under the 2023 call for proposals, which will be also supported by the state budget and attracted and own funds of Ukrzaliznytsia.
For the project planned to be completed in 2027, part of the funds has already been provided for in the state budget and an advance payment has been allocated by the CEF fund. The project consists of studies and works for the integration of its Ukraine rail system into the EU network. It covers the railway lines at the border crossing points which ensures connection between Poland and Ukraine (from Medyka/Mostyska boder crossing to Lviv node, and from Dorohusk/Yagodyn border crossing to Kovel node), Chop (the border crossing point between Slovakia, Hungary and Ukraine) to Lviv node, the Vadul – Siret/Vicsani (the border crossing point between Romania and Ukraine) to Lviv node, and the Lviv node itself. The main benefit of the project will be the future construction of the rail infrastructure, and improved border crossing points, facilitating import/exports from Ukraine as part of the EU Solidarity Lanes.
Since the beginning of 2024, Ukrzaliznytsia has repaired more than 1,100 km of tracks.
Ukrzaliznytsia to integrate its rail system into the EU
With the support from the European Union, Ukrzaliznytsia continues to develop its railway infrastructure within the framework of the Connecting Europe Facility.
The rail Ukrainian state-owned rail company is aiming at integrating its infrastructure with the EU rail network by developing border crossings with Poland, Romania, Slovakia and Hungary.
Currently, work is underway to modernise intermodal terminals and upgrade the railway infrastructure on key routes connecting Ukraine with EU countries. Separate projects are aimed at improving logistics and optimising border crossing points.
The development of the standard-gauge infrastructure, the renewal of Ukraine rail infrastructure which ensures connection with the EU, the modernisation of intermodal terminals, the improvement of logistics and the optimisation of cross-border points will contribute to increasing the efficiency of freight and passenger transport, ensuring economic development, the integration of the Ukrainian railway system into the EU, as well as attracting foreign investment in the transport sector.
Ukraine benefits CEF funding under an agreement signed in June 2023 with the European Commission to help creating an integrated and interconnected rail network between the two sides. The CEF will help Ukraine to upgrade, expand and develop its 1435mm gauge rail infrastructure, which is the basis for integration with the TEN-T network and strengthening cross-border cooperation.
Part of the EU support is the project to build the 22 km European-gauge Chop – Uzhhorod line, launched in April 2024. EUR 33.4 million is the value of the project which is 50% co-financed by the CEF. The project is expected to be completed this year.
To increase freight volumes, in January, Ukrzaliznytsia, with the support of the EU, opened an upgraded train border control point on the border with Poland. Ukrainian Railways completed the project to relocate train border control point to Mostyska II station near the Ukrainian-Polish border in the Lviv region. This project was implemented with the support of the CEF and the European Investment Bank.
“We continue to accelerate Ukraine’s movement towards the EU. To do this, we are developing and improving our border infrastructure. Thanks to the relocation of the train border control point to Mostyska II station, we will be able to double the throughput capacity of this direction,” the CEO of Ukrzaliznytsia, Oleksandr Pertsovskyi, said.
Due to the project, the number of daily trains to be inspected at the border increased to up to 15, from 6 freight trains, previously. In addition, there are opportunities to increase the freight volume and to increase the capacity for rail passenger transport.
“The modernisation of the Mostyska II crossing point is another step forward in improving railway connections, strengthening Ukraine’s ties with the EU, and increasing passenger and freight traffic,” Oleksandr Pertsovskyi explained.
Prior to the implementation of this project, border inspection of trains heading from Ukraine to Poland was carried out on the Mostyska – state border section, and the average time for conducting control operations for one train was almost 2 hours.
During the reconstruction of the crossing point, Ukrzaliznytsia installed four towers for rolling stock inspection, two module blocks for border control employees, a video surveillance system totalling 30 cameras and Wi-Fi coverage, while the catenary sectioning system was modernised.
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