Transport Ministry proposes using EUR 49 million earmarked for Skanste tramway project to buy new electric trains

RIGA - The Transport Ministry proposes that the European Union's financing of EUR 49 million, meant for implementation of the Skanste tram line project, be used to buy new electric trains for the joint-stock company Pasazieru Vilciens (Passenger Train), the ministry's representative Iveta Kancena told LETA.

The Transport Ministry and Finance Ministry are now discussing possibilities to channel the available EU funding to Liepaja and Daugavpils municipalities for the development of tramway infrastructure, as well as to support the purchase of new passenger electric trains. After evaluating conceptual projects submitted by Daugavpils and Liepaja, the Transport Ministry drafted a proposal for the Finance Ministry for requesting additional funding from the Cohesion Fund, so EUR 10 million could be allotted to each municipality for the further development of tram infrastructure.

In order to proceed with the Transport Ministry's proposal and enter into negotiations with the European Commission, it has to first reach agreement with the Finance Ministry. The Transport Ministry still considers the purchase of new electric trains for Pasazieru Vilciens a priority, and therefore proposes that EUR 49 million EU funding earmarked for Skanste tramway project be channeled for the purchase of electric trains.

As reported, the Procurement Monitoring Bureau has turned down a complaint filed by Spanish company Patentes Talgo S.L. about procurement of new electric trains by Pasazieru Vilciens, permitting the Latvian company to sign EUR 241.889 million contract with Czech company Skoda Vagonka.