EIB co-finances Austrian rail rehabilitation

The European Investment Bank (EIB) has announced its support for the rehabilitation of railway tracks with a loan of €50m.

The EU bank is providing the Austrian company Swietelsky Baugesellschaft mbH with funds from the ‘InnovFin’ budget, a joint financing programme of the EIB and the European Commission focusing on the promotion of research and development activities in Europe.

Swietelsky is seeking to develop new systems to rehabilitate and maintain tracks on standard and high-speed railway sections more rapidly and at lower costs. This will enhance the operability and the overall efficiency of the networks. In addition, the R&D programme is aimed at further reducing downtime on railways due to maintenance. The research project also encompasses the construction of two prototypes for special rail maintenance equipment. The maintenance of railway tracks is a key factor in determining maximum permissible train speeds and axle loads. Swietelsky will carry out the work in its research centre in Fischamend near Vienna.

Speaking at the signing of the contract in Luxembourg, EIB Vice-President Wilhelm Molterer stressed the importance of the project’s contribution to rapid and integrated railway transport, as well as substantial manufacturing activities.

Commenting, Molterer said: “Swietelsky is a company … whose comprehensive expertise in rail track construction, rehabilitation and maintenance reaches far beyond Austria’s borders. It will meet expectations as regards innovation and knowhow and will also make a significant contribution to Europe’s industrial and technological competitiveness.”

Adding his thoughts, Adolf Scheuchenpflug, chief financial officer of Swietelsky, said: “This co-operation with the EIB is also a great acknowledgement of our company’s achievements.”

The Swietelsky R&D project is supported by the ‘InnovFin Large Projects’ product of the ‘InnovFin – EU Finance for Innovators’ scheme, which has the financial backing of Horizon 2020. The large projects product has been developed specifically to improve access to risk capital for research and innovation projects in the EU.