Rail Baltica seminar

1. JSC „LITHUANIAN
RAILWAYS” -
IMPLEMENTER OF THE
PROJECTS

2. STRUCTURE OF THE COMPANY
Head office
Freight transportation directorate
Passenger transportation directorate
Railway infrastructure directorate
Rail Baltic project directorate
JSC Railway environmental center
Information technologies center
Representative offices in:
China
Russia
Belarus
Subsidiaries:
JSC Center of railway construction
JSC Vilnius locomotive repair depot
JSC Railway security
JSC Railway designing
JSC “Rail Baltic” construction
Kazakhstan

3. ABOUT THE COMPANY
• JSC ,,Lithuanian Railways” – the largest transport and logistics company in
the Lithuania.
36
Freight Carrier
2015 year
48,1 mill. t
2015 year
4,2 mill. pass.
Passenger Carrier Railway network
1767 km

4. ABOUT THE COMPANY
• Experience – 150 years.
• 100% of the company's shares belong to the State.
• 10th place in EU by railways freight transportation volume (million ton-kilometers).
• Overall investment during last 10 years – 1.5 billion EUR.
2015 year
437 mill. EUR
2015 year
2,1 billion EUR
Employees
10,2 K
2015 year
Revenues Property

5. VILNIUS
Šiauliai
Tauragė
Panevėžys
Kaunas
Alytus
Utena
Turmantas
Pabradė
Kena
Stasylos
Senovė
Kybartai
Kazlų Rūda
Lentvaris
Kaišiadorys
GaižiūnaiPagėgiai
Radviliškis
Obeliai
JoniškisSkuodas
Kužiai
Mažeikiai
Bugeniai
Baltic sea
VaidotaiMarijampolė
Modernization of Kaunas station, bypass Palemonas
– Rokai – Jiesia and section Kaunas - Kybartai
signaling and power supply equipment
Road equipment modernization of Kaunas station,
bypass Palemonas – Rokai – Jiesia and section
Kaunas –Kybartai road equipment (stage I)
Installation of Traffic Control
Centre
Construction of the second track of
Vilnius bypass Kyviškės – Valčiūnai,
corridor IXB
Infrastructure restoration and modernization
(stage I) of the corridor IA section
Radviliškis – Pagėgiai – State border
Reconstruction of existing railway
section Kaunas (Palemonas) –
Gaižiūnai
Installation and modernization of Infrastructure
diagnostic systems
Reconstruction of road structures of
connecting railway line Klaipėda –
Pagėgiai
Modernization of the infrastructure of
connecting railway line Klaipėda –
Pagėgiai
Technical assistance (design) for track
modernization of section Vilnius – Kaunas
(speed up to 160 km/h) and for construction of
second track in the sections Kyviškės –
Valčiūnai and Pušynas – Paneriai
Technical assistance (design) for construction of
second tracks
Design and construction of an
intermodal terminal at the Vilnius
Public Logistics Centre
Design and construction of an
intermodal terminal at the Kaunas
Public Logistics Centre
Traffic safety program (upgrade of railway
emergency and crisis situations management
system )
Electrification of the Corridor IX, stage I. Design
Klaipėda
Construction of the second
track in the section Telšiai –
Dūseikiai
Construction of the second
track in the section
Kūlupėnai – Kretinga
Accomplished projects
Construction of the second
track in the section Pavenčiai
– Raudėnai
Construction of a new EU (1435 mm)
gauge railway line and modernization of
existing broad (1520 mm) gauge railway
line Šeštokai - Marijampolė;
Marijampolė - Kazlų Rūda – Kaunas
Modernization of existing EU (1435 mm) gauge
and dual (1435/1520 mm) gauge railway line
Polish/Lithuanian state border - Mockava;
Mockava – Šeštokai
ACCOMPLISHED INFRASTRUCTURE PROJECTS FOR FINANCIAL PERIOD
2007-2013
Reconstruction of the stations:
Draugystė;
Rimkai.

6. FREIGHT TRANSPORTATION BY RAIL PERSPECTIVES – 2030
East-West transit
North-South transit
Freight of local companies
50 mill. t
12 mill. t
60 mill. t
10 mill. t
The main freight flows
10 mill. t
Necessary capacities + 30 %
ES NVS
KENA
Boundary station
KLAIPĖDA
Sea Port

7. LITHUANIA – TRANSIT COUNTRY
EU
CIS
Kena – unique gates between EU and CIS
Border crossing formalities according to all
necessary EU rules takes only 30 min.
KENA
KLAIPĖDA
ŠEŠTOKAI

8. PASSENGERS CARRIAGE PERSPECTIVES - 2030
1. Servicing of transit passenger trains
2. Convenient connection by
international routes:
 Minsk direction;
 In 2016: Vilnius-Minsk in 2 hours.
 Warsaw / Berlin direction;
 In 2015: „Rail Baltica“ European
gauge to Kaunas.
 Riga / Tallinn direction.
3. Carriage of passengers on domestic
routes depends on the State policy
dealing with the public transport
organization and financing issues
 Most promising railway routes:
 Vilnius-Kaunas
 Vilnius-Šiauliai-Klaipėda

9. 1. „Rail Baltica“ project construction.
2. Electrification of the IXB (Kena – Klaipėda) transport
corridor in the section Kena – Radviliškis.
3. Construction of the second track and extension of the
main stations of the IXB transport corridor.
THE MAIN STRATEGIC INFRASTRUCTURE DEVELOPMENT
AIMS IN 2014 - 2020 YEAR

10. I stage
Construction works
have been started
II stage
Date of public procurement for
electrification works – 06/2016
III stage (FIDIC yellow
book)
Date of public
procurement – 02/2017
After 2014 – 2020 years till 2030 years.
Klaipėda
Radviliškis
Kaunas Kaišiadorys
Kena
Vilnius
DEVELOPMENT
OF THE IXB
CORRIDOR,
2014 – 2020 YEAR
Electrification of the line Radviliškis –
Klaipėda till 2030.
Planned electrification of the IXB transport
corridor (from Kena – N. Vilnia, Vilnius railway
junction, Kaišiadorys – Radviliškis, Šiauliai -
Radviliškis (Radviliškis yard) till 2020.
Existing electrified line N. Vilnia – Kaunas
IV stage (FIDIC
yellow book)
Date of public
procurement –
02/2017
Section Telšiai – Lieplaukė
Construction works have been
started
Vilnius bypass section
Pušynas – Paneriai
Procurement procedures
for construction works
almost completed
Pauostis yard
Date of public procurement
for construction works –
04/2016
Construction of the second
tracks
Reconstruction of the station

11. To design electrification of the line PL/LT border-
Kaunas
Construction of the railways in section Jiesia-
Rokai-Palemonas
Expropriation of the land in section Palemonas -
LT/LV border
To design the railway line in section Palemonas -
LT/LV border
Construction of the railways (I stage, Palemonas-
LT/LV border)
Construction of the railways in section Kaunas-
Palemonas
"RAIL BALTICA" PROJECT IMPLEMENTATION PLAN IN LITHUANIA BY 2020
Construction of the embankment (55 km) and
related infrastructure
- operating line
- designed line
- expropriated land
- constructed embankment
Construction of the maintenance and repair
facility with relevant infrastructure (depo)
Implementation of the ERTMS (Level 2 base line 3
or higher) and related systems in the line PL/LT-
Kaunas
To prepare the technical documentation for the
upgrade of speed on the line PL/LT-Kaunas
To prepare the studies (archaeological,
maintenance depot)

12. 12
„RAIL BALTICA“
PROJECT DEVELOPMENT IN LITHUANIA. STAGE 1
THE SUCCESS STORY

13. 13

14. PROBLEM:
VIA BALTICA overcrowded.
Heavy accidents almost everyday.
Press calls VIA BALTICA – „Death
Road“
SOLUTION:
Start to use „Rail Baltica“ ASAP:
- For container transportation;
- For semitrailers transportation

15. Kaunas
LV
PL/LT
Panevėžys
Rail Baltica project
development in Lithuania
Šiauliai
Rail Baltica -1
AECOM study
Vilnius
Construction
Stage 1
Max speed
120-160-240 km/h

16. 16
OUR MAIN CHALLENGES
1. „Rail Baltica“ is the bigest infrastructure project of Lithuania;
2. Extremely short time for implementation;
3. Necessity to split implementation in to the parts, to coordinate separate
Contractors;
4. Works to be done on acting railway line during the traffic breaks;
5. Necessity to coordinate technical parameters, time table, take in to account the
needs and wishes and find common solutions with Neighbour countries,
Municipalities, Private People, Companies, State institutions.

17. 17
OUR ACHIEVEMENTS 2010-2015 (1)
Following completion of international public procurement tenders, contracts were signed with
Consultants and Designers, who:
-Completed and presented feasibility studies, which examined the possibility of splitting the
entire line into separate railway sections;
-Completed technical designs;
-Obtained separated construction permits for each of the railway sections, which were based
on the territory of one or few municipalities.
Lithuanian Railways, through the Ministry of Transport and Communication of the Lithuanian
Republic, coordinated the approval of technical solutions and planned work schedules with
municipalities and other public institutions. If there was a necessity, the tripartite agreements
were signed between the Ministry of Transport and Communication, individual municipalities
and Lithuanian Railways for the implementation of the Rail Baltica project in the territory of the
specific municipality.

18. 18
OUR ACHIEVEMENTS 2010-2015 (2)
The procurement of the construction works was executed through the
international tenders.
For some specific railway sections, in spite of an extremely important time
factor, due to the excessive prices, which were included in the tender
proposals, public procurement procedures were terminated and repeated
(in some cases – up to 3 times).
Proposals were evaluated based on the method of economic efficiency,
combining the proposed shortest timeframe for the construction
completion and the lowest price.

19. 19
OUR ACHIEVEMENTS (3)
After the completion of technical design and obtainment of the construction permits,
between April and July, 2013, 11 construction contracts were signed with 5 main
contractors (tender winners), who made use of over 30 subcontractors. Moreover, 6
additional contracts were signed to provide Technical supervision and supervision of
technical design implementation.
Lithuanian Railways (specifically "Rail Baltica" project directorate) conducted the
function as the daily coordinator:
- Construction works had to be carried out simultaneously in all the railway sections
and only during the railway traffic breaks without the stopping the regular train traffic,
construction work schedules were thoroughly coordinated with each of the contractors,
Contractors capacity was verified on weekly basis (special films where produced to fix
changes in construction works and discussed and improvement possibilities discussed
with Contractors).

20. 1. FEASIBILITY STUDIES AND TECHNICAL DESIGN WERE FINANCED
TEN-T program – 50%, remaining 50% by State budget and Lithuanian Railways (LG)
2. CONSTRUCTION WORKS:
2.1 For section from PL/LT border to Marijampolė
TEN-T – 27%, remaining 73% by State budget and Lithuanian Railways (LG)
2.2 For section from Marijampolė to Kaunas
Cohesion Fund – 85%, remaining 15% by State budget and Lithuanian Railways (LG)
Overall, “Rail Baltica” Stage 1 was financed from (in mln. EUR/ percent):
TEN-T – 21,4mln.EUR (7,1%) STATE BUDGET – 5,1mln. EUR (1,7%)
Cohesion Fund – 144,7mln. EUR (48, 1%) LG – 129,9mln.EUR (43,1%)
3. 2014-2020 EU financing period activities are financed 85% from Connecting Europe Facility (CEF) program and
remaining 15% by State budget and Lithuanian Railways (LG)
„RAIL BALTICA“ PROJECT FINANCING:

21. 1. Contractors for feasibility studies and technical design of pre-assigned railways sections
were selected as the result of OPEN (INTERNATIONAL) PUBLIC TENDERS.
FEASIBILITY STUDIES
For section Šeštokai-Marijampolė was prepared by company Ernst & Young (GREAT
BRITAIN branch in Lithuania)
for section Marijampolė to Kaunas was prepared by company SYSTRA from FRANCE
SPECIAL PLAN for section from Palemonas to LT/LV border currently in prepartion by
AECOM (USA& GREAT BRITAIN branch in Lithuania)
2. TECHNICAL DESIGN
For section from Polish-Lithuanian state border to Mockava, technical design was prepared by a company
EPG (GERMAN branch in Lithuania)
For section from Šeštokai to Marijampolė was prepared by company SWECO (originated
from SWEDEN)
For section from Marijampolė to Kaunas, technical design was prepared by Kelprojektas
(LT,LV, EE investment company).
For section Palemonas – LT/LV border was prepared by ARDANUY Ingeniería (SPANISH
branch in Lithuania)
SECTION PL/LT STATE BORDER – KAUNAS CONTRACTORS FOR FEASIBILITY STUDIES
AND TECHNICAL DESIGN :

22. 1. Contractors for construction works of pre-assigned railways sections were selected
as the result of OPENED (INTERNATIONAL) PUBL IC TENDERS.
2. These Contractors were selected:
2.1 Sections Lithuanian-Polish border- Mockava and
Mockava-Šeštokai (incl. Šeštokai Railway station)
UAB GELEŽINKELIO TIESIMO CENTRAS;
2.2 Section Šeštokai-Marijampolė (incl. Marijampolė Railway station)
AB KAUNO TILTAI (JSC with Polish) AND UAB MITNIJA (JAP*)
2.3 Section Marijampolė-Kazlų Rūda and Mauručiai- Jiesia
AB PANEVĖŽIO KELIAI
2.4. Section Kazlų Rūda-Mauručiai AB EUROVIA LIETUVAAND EUROVIA C.S. a.s. (JAP*) (shareholders from Czech Republic
and France)
2.5. Section Jiesia-Kaunas UAB HIDROSTATYBA AND UAB Šilutės automobilių keliai (JAP*)
*JAP- joint activity partners
SECTION PL/LT STATE BORDER – KAUNAS CONSTRUCTION WORKS
CONTRACTORS:

23. 1. Total value of contracts signed is more than € 300 Million;
2. Implementation of the project in numbers:
2.1. Executors : 5 Contractors, more than 30 subcontractors;
1.000 staff employed;
700 units of different mashines;
2.2 trackbed, tracks: eguipped 229 km of trackbed;
built abt. 127 km of European gauge track (1435 mm width);
reconstructed abt. 106 km of existing 1520 mm width gauge;
2.3. reconstructed, equiped or built : 19 bridges;
108 switches;
40 crossings;
95 culverts;
6 railway stations;
20 platforms;
4 viaducts;
24 232 m noise fences;
115 263 m protective fences;
85 909 m water drenage system;
2.4. Other important numbers: during implementation used
30.000 tons of different type of metals;
800.000 tons of crushed rock;
1.500.000 tons of earthwork (abt. 20.000 vagons = train lenght abt. 260 km)
SECTION PL/LT STATE BORDER – KAUNAS IN NUMBERS:

24. All tenders were announced through electronic information system of Public Procurement Office.
An access to the tender documents through:
http://ted.europa.eu; https://pirkimai.eviesiejipirkimai.lt,
Www.litrail.lt
Opened tenders were performed in TWO stages:
STAGE 1: During the first stage Contractors were verified how they meet qualification requirements
set in tender documents (no debts to Social security office and tax office, provided guarantees and insurance
required by tender, declaration about company’s CEO&Accountant, certificate about company‘s management
and environmental management quality systems, etc. )
There were requirements to the Contractors companies as well their staff:
- Contractor had to have permit for construction works within Lithuania,
- To obtain local registration of Value Added Tax account;
- Contractors , attending the tender were qualified only those holding valid qualification
- Certificate to construct exceptional significance constructions (issued by Lithuanian Construction Products
Certification Center) and had a proof that succesfully constructed at least 1 structure of exceptional significance.
- Company’s average construction works turnover in last 5 years had to be equal or exceeding value required in tender
documents;
SECTION PL/LT STATE BORDER – KAUNAS MAIN
QUALIFICATION FOR TENDERS` PARTICIPANTS (1):

25. Not only , Contractors, but Subcontractors attending these tenders also had to
meet criteria set by Lithuanian Public Procurement Law and tender documents,
particulary for those whoes share in construction works offered for tender exceeded
10 % of total Construction works.
Also, there are specific requirements to both Contractors and Subcontractors
to their leading specialists in terms of certification and experience.
For each group of works there are obligation for Contractors to pre-assign specialists
those who should meet certain tender criteria. These were:
1. Exceptional significance construction manager, main requirements to hold valid
exceptional significance certificate, at least 3 years experience (from at least 10 years
overall experience in construction field) in heading construction of works of exceptional significance
in railway and heading for at least 1 construction of exceptional significance structure.
2. Exceptional significance specialized construction managers, main requirements to hold valid exceptional
significance certificate, at least 2 years experience (from at least 10 years overall
experience in specialized ) in heading works of exceptional significance in that specialized field ( signaling, electrification,
environment protection, etc.)
In this stage also duration of construction works announced.
SECTION PL/LT STATE BORDER – KAUNAS MAIN
QUALIFICATION FOR TENDERS` PARTICIPANTS (2):

26. STAGE 2. After investigation of qualification is completed and then total price offered
for tender by Contractor is announced and detailed works quantities sheets are
provided for verification.
For construction works tenders:
90 were given for the contract TOTAL PRICE offered and
10 for the TIME CRITERIA Contractor took responsibility to complete entire works
(For technical design tenders 80 and 20 accordingly)
EVALUATION OF TENDER RESULTS
Based on results of offers provided by Contractors in STAGES 1 AND 2 calculations
are produced and winner of tender announced, based on the Contractor’s offer which
generated highest number of scores.
FOR 2014-2020 TENDERS FINANACED FROM CEF QUITE A SIMILAR
CRITERIA EXPECTED TO BE IN USE!
SECTION PL/LT STATE BORDER – KAUNAS
COMPLETION OF TENDER (3)

27. CONTRACTORS FOR WORKS FOUND
HISTORICAL REMAINS

28. 2013-10
2014-05
2015-05

29. AFTER COMPLETION IN 2015

30. “RAIL BALTICA”. STAGE 1: IN 2015 100 % OF WORKS WERE COMPLETED!
LITHUANIA
MADE IT ON
SCHEDULE!

31. FUTURE OF RAILWAY
INFRASTRUCTURE
PROJECTS

32.  Embankment construction ~ 55 km
(including bridges, viaducts, culverts,
passings)
Preliminary start date for construction –
07/2018
PL/LT – Kaunas (completed)
Palemonas
0 km
~ 55 km
 Construction of 1435 mm
3 km railway line and a
partial 1435 mm yard
construction
Preliminary start date for
construction – 04/2018
~ 3 km
CONSTRUCTION OF THE SECTION KAUNAS (RRT)-PANEVĖŽYS-LT/LV BORDER
2007 - 2013
 Expropriation of the land
in section Palemonas -
LT/LV border
Preliminary start date of public
procurement – 08/2016
 To design the railway line
in section Palemonas -
LT/LV border (FIDIC
yellow book) (168 km)
Preliminary start date of public
procurement – 12/2016
 Technical designing and
construction of the 1435 mm gauge
railway infrastructure maintenance
depot in Kaunas railway node
Preliminary start date of public
procurement for technical design –
09/2016
 To prepare the studies:
- Archaeological - preliminary start date
of public procurement – 07/2016
- Maintenance depot - preliminary start
date of public procurement – 01/2018

33. KAUNAS NODE
Kaunas Public
Logistic Center
Kaunas
Kaunas
bypass
Kaunas – Palemonas construction (10 km)
Preliminary start date of public
procurement for construction works –
04/2016 (upon receipt of the construction
permit)
Jiesia – Rokai construction (5 km)
Public procurement procedures almost
completed, works will start – 07/2016
Rokai – Palemonas construction (8 km)
Preliminary start date of public
procurement for construction works –
04/2016 (upon receipt of the construction
permit)

34. ALTERNATIVES
LT/PL state border
Alternative # 1 (2011, AECOM) – P2/F1 new electrified
double track with ERTMS.
Alternative # 2 – Upgrade of the existing line up to P2/F1
electrified double track with ERTMS.
Indicators
Alternative #1
(AECOM)
Alternative
#2
Difference
(#1 - #2)
Investment cost, EUR 875,2 mill. 666,8 mill. 208,4 mill.
Total length (passenger) in section PL/LT –
Kaunas, km
88,5 km 99,7 km - 11,2 km
Average theoretical travel time, min 26,9 min 34,9 min - 8,0* min**
Total value of passenger travel time
savings during the project reference
period (value of time saving forecasted
volume for 30 year), discounted, EUR
17,2 mill. - 17,2 mill.
(-) Loss, which is generated for each of the
travel time minute saved (evaluating only
initial investment and travel time savings),
EUR
- 191,6 mill. -
- 191,6 mill.
(208,4 - 17,2)
Operating costs (for 30 year),
undiscounted, EUR
254,1 mill. (with
existing line)
169,7 mill. 84,4 mill.
* investment amount to shorten the travel time per one travel minute - 26,1 mill. EUR
** Average theoretical travel time in route Warsaw (Bialystok) – Kaunas - 165 min, so 8 min. is just ~ 4,8 proc. time of
this route.
Jiesia

35. Mockava
Šeštokai
Mauručiai
Jiesia
Vinčai
Rokai
Marijampolė
Kazlų Rūda
Jiesia
Rokai
KaunasRailway infrastructure adaptation in the line PL/LT-Kaunas for
train traffic code P2, F1
Kalvarija
2014-2020
Speed increase activities in the line PL/LT-Kaunas for train traffic code
P2, F1 (intermediate phase traffic code P4, F1):
ERTMS (Level 2 base line 3 or higher) and related systems.
Preliminary start date of public procurement – 03/2017.
 Feasibility study for the line PL/LT-Kaunas speed upgrade (current
line upgrade and analysis of a new line alternative).
Preliminary start date of public procurement – 05/2016.
 Spatial plan preparing for section PL/LT – Kaunas (according to
feasibility study analysis).
Preliminary start date of public procurement – 03/2017.
 Preparation of technical design for electrification.
Preliminary start date of public procurement – 10/2016.
2021-2025
Railway infrastructure adaptation in the line PL/LT-Kaunas for train
traffic code P2, F1 (stage 2)
After preparation of the feasibility study, works will be detailed.

36. THANK YOU FOR YOUR ATTENTION