PKP CARGO to purchase 15 multi-system locomotives from Siemens Group

PKP CARGO shall purchase 15 multi-system locomotives from the Siemens Group. These locomotives are intended for PKP CARGO trains in Poland and six other states of the European Union. Siemens will supply the locomotives to PKP CARGO starting from January 2016, with the last one to be delivered in 2017. The contract signed between the parties contains the option of fixed-price purchase of another five engines, which will be decided by PKP CARGO by the end of 2017. The multi-system locomotives enable smooth freight between the countries with different power systems.

Gdansk, Poland, 24-9-2015 — /EuropaWire/ — The contract was signed in the course of the International Railway Fair held in Gdansk. The contract value amounts to net EUR 75 million (app. PLN 315 million).

– “This is our greatest investment in rolling stock in long-time perspective and one of the largest tender procedures of such type in this part of Europe. After the acquisition of the Czech AWT we made another step towards building the international position of PKP CARGO and strengthening of our presence in the neighbouring countries. The multi-system locomotives are a cutting edge rolling stock making our offer of international freight even more competitive for the Polish and foreign Clients” – says Chief Executive Officer of PKP CARGO Adam Purwin.

The multi-system locomotive is adapted for operation under the different power systems without the need to stop the train. It enables seamless operation of transborder transport in the countries with different rail network voltages. This solution enables freight from Germany to Hungary via Poland, Czech and Slovakia with a single locomotive and a single carrier.

Siemens and Newag in the tender procedure

Siemens, as the only one from the two competing bidders, presented a comprehensive offer for supply of 15 locomotives and operating equipment. The second producer, Polish Newag, offered four locomotives for the Poland – Germany route operation. The offer provided by Siemens was more advantageous.

– “The tender structure enabled participation of the possibly highest number of the locomotives producers. Our focus was both on fast performance of the contract, since only the well-equipped fleet of multi-system locomotives allows for successful delivery of the international expiation plan” – says Member of the Management in charge of Operations at PKP CARGO Wojciech Derda.

Quotation by Siemens.

The PKP CARGO tender procedure required the experience in the area of electric locomotives production and holding the approval in at least one of the country in which the new locomotives will be exploited. The signed contract contains the mechanisms protecting PKP CARGO against excessively long downtimes of locomotives, among others technical readiness and reliability indexes. Exceeding the agreed levels of these indexes shall result in payment of contractual penalties for PKP CARGO, covering the costs of replacement rolling stock.

The subject-matter of the contract is the supply of 15 multi-system locomotives. Twelve of them will be approved for Poland, Germany, Czech, Slovakia, Austria and Hungary and the remaining three additionally for Holland. In addition, the winning consortium will supply hardware, software as well as diagnostic and IT systems to PKP CARGO necessary for engine exploitation. Draft contract assumes also the complete service of the supplied locomotives for the period of 8 years.

The contract with Siemens contains also the provision on the optional purchase of five additional multi-system locomotives at the same price as for the 15 already ordered ones. Total price for five optional engines amounts to EUR 26 million (app. PLN 110 million). The purchasing decision will be made by PKP CARGO by the end of 2017.

The first Vectrons in January 2016

The first three from 15 new machines will be delivered to the rolling stock park at the end of January 2016, whereas the three subsequent ones a month later. The last engines (approved for seven EU Member States) will be supplied at the end of 1H 2017.

To this moment, PKP CARGO had only one multi-system locomotive and the remaining ones were leased (operating lease). Such solution enabled rapid and flexible responding to the fluctuating freight conditions and allowed for obtaining the safety certificates abroad. At present, PKP CARGO implemented the stabilized level of multi-system locomotives use. In such conditions, purchase is the most favourable option, enabling more effective price competition with the foreign carriers.

Development of European fleet

The first multi-system locomotives used by PKP CARGO were the EU43 series (Bombardier Traxx). Since 2008, PKP CARGO has used six such engines to operate on the routes between Poland and Germany. In 2012 the Bombardier locomotives were replaced by EU45 series machines (Siemens EuroSprinter). At present, PKP CARGO exploits ten such locomotives, running the trains with, among others, containers, vehicles, steel, coal, coke, iron ore, wood and vehicle parts. These operate in three main corridors: Poland – Czech – Austria, Poland – Germany – Holland and Germany – Poland – Czech – Slovakia – Hungary.

Thanks to the acquired certificates, PKP CARGO may carry out freight activity in nine EU Member States. Currently, PKP CARGO operates independently at the area of Wight EU Member States: Poland, Germany, Czech, Slovakia, Austria, Holland, Hungary and Lithuania. It is also authorized to operate in Belgium. Apart from multi-system locomotives, PKP CARGO uses the diesel locomotives (Germany, Czech, Slovakia and Lithuania) and electric single-system locomotives (Czech and Slovakia) at the foreign routes.

PKP CARGO is the largest rail freight carrier in Poland, with market share exceeding 56% in terms of transport performance (1H 2015). Rail freight of imported or exported goods generates more than 40% of transport performance of PKP CARGO. Apart from rail freight, the PKP CARGO Group acts also as a forwarder and terminals and sidings operator. Its other activities cover also repairs and maintenance of the rolling stock.

Contact:

PKP CARGO Press Office
(+ 48) 663 290 777
media@pkp-cargo.eu

Mirosław Kuk
PKP CARGO S.A. Official Spokesperson
(+48) 783 91 51 34
m.kuk@pkp-cargo.eu

PKP Cargo Group is the leader of railway freight carriages in Poland and the second largest operator in the European Union. It was established in 2001. It offers its customers integrated logistics services, combining railway (the largest rolling stock in Poland), car and maritime transport. It performs independent freight carriages for several thousand customers in Poland, Czech Republic, Slovakia, Germany, Austria, Belgium, Netherlands, Hungary and Lithuania. In March 2015 the company signed a strategic cooperation agreement with HZ CARGO, Croatian railway carrier, and in May took over 80 percent of shares in the Advanced World Transport, the second largest railway cargo carrier in the Czech Republic.

PKP Cargo Group includes subsidiaries, responsible, among others, for intermodal carriages (Cargosped), domestic and international railway shipping (PS Trade Trans) and servicing and maintenance of rolling stock (PKP CARGOTABOR).

In 2014 PKP Cargo Group achieved the revenue of PLN 4.3 billion, carrying 111 million tons of cargo.

On 30 October 2013 PKP CARGO has debuted on the Warsaw Stock Exchange, becoming the first railway cargo carrier in the EU quoted on the stock exchange. The value of public offer, in which PKP S.A. sold almost 50 percent of shares in PKP Cargo, amounted to PLN 1.42 billion. The company currently is a part of mWIG40 index. Its primary shareholder is PKP S.A.

PKP Cargo Group conducts active operations within the scope of CSR. It utilises standards o responsible employee policy, performs a number of activities for environmental protection, is a patron of monuments of railway technology gathered, for instance, in Wolsztyn Engine House, a place unique on the European scale.

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