17.08.2022
Rizzani de Eccher SpA submitted a bid for the construction procurement of the Rail Baltica Ülemiste joint terminal on time, which almost doubled the estimated construction cost of the construction procurement of the terminal and related infrastructure.
One bid was received by the deadline for the construction procurement of the Rail Baltica Ülemiste joint terminal and its surrounding area, representing a consortium of international construction market participants, Rizzani de Eccher SpA.
"Considering the extensive impact of the ongoing war in Ukraine on the situation in the construction market and price levels, and the uncertainty of international bidders regarding our region, the lack of offers is quite expected. Of course, we hoped that there would be more offers and that there would be more interest in participating in the construction of this landmark project," said Rail Baltic Estonia's Operations Manager Marko Kivila.
Over a dozen companies registered for the tender and nearly 450 questions were submitted during the tender procedure. “This is an extremely demanding and large-scale project, the construction of which is financed by various EU funds, so we took several preventive steps to ensure the success of the tender and mitigate risks, both before the tender announcement and after, taking into account the questions received – we implemented cost indexation according to changes in the construction price index, shifted the project schedule, simplified the documents and repeatedly postponed the tender deadline at the request of potential bidders,” Kivila described.
The cost of the submitted bid is 346 million euros, which is almost twice the total cost estimated before the procurement. “The procurement committee will continue with the procurement procedure in accordance with the rules of the procurement procedure, but considering the doubling of the cost, we are already working on preparing other scenarios, i.e. a new procurement procedure, in parallel. For example, there is a possibility of dividing the procurement into parts,” explained the RBE operations manager.
Rail Baltic Estonia announced the tender for the construction of the Rail Baltica Ülemiste joint terminal “Construction works of the passenger terminal, its vicinity and railway infrastructure at the Rail Baltica Ülemiste station area” in mid-March this year. The final deadline for submitting bids was set for 17 August 2022.
The total area of the Ülemiste public transport terminal building and its surrounding area is approximately 2,4 km². Along with the terminal, railway infrastructure, necessary access roads and streets, a city square providing access under the railway, new tram and bus stops, and parking areas will also be built.
The Rail Baltica joint terminal will serve both train lines originating from and passing through Ülemiste station on track gauges of 1435 mm and 1520 mm, as well as bus traffic (both city and county lines, with the possibility of long-distance buses), tram lines connecting the airport and the Old Port. The terminal is expected to be completed in 2026, with the entire project due in the first half of 2027.
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