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Chemnitz gets EUR 189 million in financing to buy streetcar trains

Chemnitz gets EUR 189 million in financing to buy streetcar trains
photo: Stadler/Facebook/Stadler Tram illustrative picture
20 / 04 / 2022

Germany's Chemnitz will purchase streetcar trains worth a total of EUR 189 million due to financing from the European Investment Bank (EIB), KfW IPEX-Bank, and NORD/LB.

It is known that VMS and Stadler signed a contract to supply 19 electric regional streetcar trains in March. The trains are expected to be delivered starting in 2025 and enter service in 2026. In addition, the contract includes an option to supply up to 27 additional three-section bi-directional vehicles for the Chemnitz Bahn network, which will be able to operate not only on the electric streetcar networks in cities but also on the electric rail networks. It will improve connectivity to the Chemnitz inner-city network from surrounding areas.

The project's total cost is EUR 234.5 million, which will be used to finance, purchase and maintain the streetcar fleet. In addition, the funds will be allocated for the construction of a new maintenance depot for new streetcars and old public transport vehicles next to Chemnitz Central Station. The plans also include refinancing the rail depot built in 2016 to service the 29 rail vehicles used in the Mittelsachsen electric rail network. This depot will serve 11 battery-electric trains for the Chemnitz-Leipzig line starting in the summer of 2023.

"We are pleased to be co-financing another flagship project for the transport transition in Germany with our long-standing and valued partner VMS and our other consortium partners. It is also another good example of the mobility owner concept that we are promoting, in which the separate operation and ownership of vehicles can have several advantages for municipalities," Andreas Ufer, member of the Management Board of KfW IPEX-Bank, said.

The project also contributes to combating climate change and promoting a "green" mode of transport. "Attractive tram networks foster the transition to climate-friendly mobility by encouraging commuters to switch from road to rail, thus avoiding the CO2 emissions and congestion caused by the use of private transport," the EIB Vice-President Ambroise Fayolle said.

The fleet of electric regional streetcar trains will improve passenger comfort and capacity. An estimated 5.3 million passengers are expected in the first year of operation of the new fleet.

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