The Croatian Rail companies for passenger transport and rail infrastructure -- HZPP and HZI - are conducting large-scale projects in procurement of new trains and upgrade of railways across the country with the support from EU funds and lending from the European Investment Bank (EIB).

This investment cycle is aimed at creating modern and sustainable rail transport, within the EU Green Deal.

The HZPP board chairman Zeljko Ukic and the HZ board chairman Ivan Krsic have said that after the signing of a €900 million loan agreement with the EIB bank, which is scheduled for December, the implementation of projects should start in 2024.

The loan agreement with the EIB has been agreed in cooperation with the ministries of transport and finance.

The HZPP company will renew its fleet and plans to have 60 new trains until 2030.

The first batch of procurement consists of 21 trains, and of them 11 commuter trains have already been added to the fleet plus four new trains for regional traffic.

The HZPP has ambitious plans, and rail traffic is the cleanest mode of transport. We have already procured 40 new low-floor trains and apart from these new 21 trains, we have agreed on the delivery of two battery-powered trains which is expected in a year’s time, Ukic has told Hina.

We are also preparing for the upgrade of regional and local railways, and are going to procure four battery-powered or hybrid trains, he said.

From 2025 to 2030, the company is expected to be be supplied with 60 new alternative-powered trains.

To this aim, also new train-charging stations will be built an all the procurement of new trains has been agreed with the Zagreb-based Koncar company.

HZI works on projects worth €1 billion

The HZI says that this company is currently implementing 27 projects, valued at a billion euros.

The HZI plans to invest an additional five billion euros in the rail infrastructure in the next ten years, the board chair Krsic told Hina.

He admitted that at the start of this investment cycle, the bulk of the work was focused on two main routes the so called RH1 and RH2.

These two routes make up 30% of the rail infrastructure and register 80% of rail traffic, and unfortunately we have not had enough funding to maintain the remaining infrastructure spanning over 2,000 kilometres, said this executive.

The new EIB loan will change the things and pave the way for investments in local railways, he added.

For instance, in 2024, work will start on local railways between Karlovac and Mahicno and between Zabok and Krapina  as well as between Cakovec and Virovitica and so on, he has told Hina.

Also railway stations in several cities and towns will be updated and refurbished, he says underscoring the importance of both the EIB loan of 900 million euros and €6 billion schemes from EU funds.