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Modernization and reconstruction of Belgrade-Budapest railway, sections Belgrade-Stara Pazova and Novi Sad-Subotica-state border (Kelebija)

Investor: "Infrastructure of Railways of Serbia" j.s., Belgrade


Financier:
Government of the Republic of Serbia, Belgrade
 
Contractor:
Consortium: "CHINA RAILWAY INTERNATIONAL Co., Ltd." AND "CHINA COMMUNICATIONS CONSTRUCTION COMPANY Ltd."
 
Project manager:
Traffic Institute CIP, Belgrade, in cooperation with TSDI, Beijing
 
Project description:


As part of the Modernization and Reconstruction Project of the Hungarian-Serbian Railway, in R. Serbia, the modernization of the existing and the construction of the second track without stopping the traffic, two sections: Belgrade (station Centar) - Stara Pazova 34.5 km and Novi Sad-state border (Kelebija) 108.2 km, 142.7 km in total, railways for mixed passenger and freight transport, electrified and capable of speeds up to 200 km / h , crossings at a level with other roads.

Designing, constructing and equippment of the railway line is in the accordance with EU standards, the Law on safety and interoperability of the railway system, which will meet all conditions and standards for the construction and equippment of the main European corridor lines and interoperability (according to TSI regulations) in the Single European Railway Network TEN- Т. In order to control the conformity of performed works with the lists defined in TSIs or European standards, an independent body is chosen - NoBo (Notification body)

 

Strategic and Legal Basis:


Memorandum between the Government of the Republic of Serbia and the Government of the People's Republic of China on the affirmation of the Economic Belt and Maritime Silk Road of the 21st Century, Beijing, 26th of November 2015.
Guidelines from the meeting of the Heads of Government of the China-CIEZ Cooperation Initiative (1 + 16) from the meetings in Bucharest 2013, Belgrade 2014 and Beijing 2015.
Memorandum of Understanding and Cooperation on the Hungarian-Serbian Railway Project, between the governments of the People's Republic of China, R. Serbia and Hungary, Belgrade, November 14, 2014.
Agreement on Technical and Economic Cooperation in the Field of Infrastructure between the Government of the Republic of Serbia and the Government of the People's Republic of China.
Strategy for development of railway, road, air and intermodal transport in the Republic of Serbia from 2008 to 2015.
Serbia's National Strategy for Accession to the European Union, the Law on the Safety of Railway Transport and Interoperability.

 

 Significance of the project:
A project of exceptional strategic importance, since it represents:


• Part of the basic transport transferal of the Republic of Serbia and directly connects three of five largest cities in the Republic of Serbia.
• Near half of the length of Pan-European Corridor X b Unique European Rail Networks (TEN-T) on the territory of the Republic of Serbia.
• Significant segment of the southern fork of the 21st Century Silk Road connecting the maritime-container center of the People's Republic of China to Piraeus and the Far East port with the rail link with the countries of Southeastern, Central and Eastern Europe.
• A significant section of the Unified European Railway Network (TEN-T) to Istanbul as a connection point between the Euro-Asian and Asian networks of the Asian-European Express Railway Line.
• The first trilateral project of cooperation between China and CIES (1 + 16) in the field of transport infrastructure that entered into the realization process.

 

Project status:


A commercial contract in the amount of 350.162.540,00 USD was signed for the Belgrade Center-Stara Pazova section. A loan agreement with Chinese Export-Import Bank was signed in the amount of 297.600.000,00 USD. The agreement came into force in December 2017, when the Commercial Agreement came into force. In July, 208, Annex 1 of the Commercial Agreement was signed.
At the beginning of June 2018, the contractor was officially introduced into the business, and within the stipulated 36-month period, he is obliged to complete the project.
The works are carried out and are in accordance with the planned dynamics for carrying out the works.

 

Works on the lower machine of the railway line on the concrete section of the bridge, on Hajdinov most, embankment line, platforms in New Belgrade station, New Belgrade station building, works on the passageway and the standpoint of Tosin bunar, the tunnel as well as the works on Zemun station are being carried out.

Physical realization of the project: 5.0%
Financial realization of the project: 25.98%


 
For the section Novi Sad-Subotica-state border, the Commercial Agreement was signed in July 2018 in the amount of 1,162,810,000.00 USD.

In September 2018, application for the approval of a loan for a privileged buyer Eksim Bank in the amount of USD 988,388,500.00 with all necessary documents was submitted. A loan was approved and on April 25, 2019., a Loan Agreement was signed.

The complete spatial plan of the special purpose area (PPPPN) was made and was sent for public inspection. The elaboration of the feasibility study with the preliminary design was completed and the same was sent to the Audit Committee.

The start of the works on the section Novi Sad - Subotica - National Park (Kelebija) is expected in 2020.

 

Start of the project:


The project officially commenced on December 25, 2015 in Suzhou, by signing documents between PR of China, R. Serbia, ie the People's Republic of China and Hungary, in which the principles and models of joint cooperation are defined and the sequence of further activities is determined.
 
Completion of the project:


End of 2022 or beginning of 2023.


 
Source of finance:


Budget of the Republic of Serbia (in the amount of 15% of the contracted amounts) and the loan from Export-Import Bank (Exim Bank) from the People's Republic of China (in the amount of 85% of the agreed amounts)