Brochure issued by the Centre for EU Projects in cooperation with the Ministry of Infrastructure

WE ARE CHANGING THE POLISH RAILWAYS WE ARE CHANGING THE POLISH RAILWAYS

Brochure issued by the Centre for EU Transport Projects in cooperation with the Ministry of Infrastructure

PUBLICATION CO-FINANCED BY THE COHESION FUND UNDER THE INFRASTRUCTURE AND ENVIRONMENT PROGRAMME 2014-2020

TABLE OF CONTENTS

From Minister Andrzej Adamczyk 4

Railways today 5

Railways in the 2014-2020 EU perspective 11

National Railway Programme until 2023 13

Programme for modernization of railway stations 22

Programme for replacement of the 28

Investment as a driving force for the railway sector 30

Maintenance programme 31

Development of intermodal transport 32

Summary of activities – Secretary of State Andrzej Bittel 34

WE ARE CHANGING THE POLISH RAILWAYS 3 Dear Sirs,

The railways, having a long and beautiful tradition in , face many challenges related to its modernization in such a way so as to meet the expectations of passengers and business customers to the greatest possible extent.

The Polish railways are currently facing huge changes aimed at increasing their competitiveness and building a strong market position. is one of the most important areas of the Polish economy. It contributes to the development of the country and the quality of life – it has a significant impact both in passenger and . Strengthening the role of rail transport in the integrated transport system of the country is a strategic task of the state. The implemented investments aim at an appropriate targeting Photo: Ministry of Infrastructure of development and shall contribute to increasing the competitiveness of the railways as a means of transport. The transport sector is to a large extent part of the EU’s investment policy and long-term development strategy. Construction of a modern transport network, providing access to all regions of the , is a basic condition for increasing the competitiveness of the European transport system. The main objective of the national policy, and at the same time the priority, is to increase transport accessibility, improve the safety of traffic participants and improve the efficiency of the transport sector by creating a sustainable, coherent, innovative and user-friendly transport system in the national, European and global dimension.

The title of the publication “We are changing the Polish railways” fits in well with the tasks undertaken by the Ministry, aimed at improving the condition of passenger and freight rolling stock, continuation of the programme of station investments and investments in IT solutions.

I am convinced that as a result of the efforts made, Polish railways will be even more willingly chosen by passengers, and the implementation of infrastructure investments will have a positive impact on the economic development of our country, but also of other EU Member States.

Andrzej Adamczyk MINISTER OF INFRASTRUCTURE

4 THE RAILWAYS TODAY

Railway infrastructure in Poland Due to its geographical location, the railway network in Poland plays an important role in the transit of people and goods in Europe. At the same time, Poland is the place where the 1435 mm European standard gauge network meets the 1520 mm wide gauge network.

Basic data on the operated lines Lenght

19.347 km

INFRASTRUCTURE MANAGERS

WKD PKM km km km km km km km km km km km km km PKP PLK PKP LHS SILESIAkm PKP SKM 8 CARGOTOR 9.6 UBB Polska1.4 Infra 57 43.1 32.7 38.5 32.6 31.9 18.3 11.4 18429 394.7 KP KOTLARNIA105.9 CTL Maczki-Bór DSDiK in Wrocław PMT Linie Kolejowe Euroterminal Sławków

Jastrzębska Spółka Kolejowa Source: Office for Rail Transport, as of December 2018 Railway lines in Poland in 2018.

Structure by the degree of electrification: Structure by significance: Structure by gauge:

11 903.9 km 12 613 km 18 806 km THE LENGTH OF ELECTRIFIED LINES OF NATIONAL NORMAL GAUG RAILWAY LINES IMPORTANCE

7443.1 km 6734 km 541 km THE LENGTH OF NON-ELECTRIFIED OTHER RAILWAY LINES WIDE GAUGE RAILWAY LINES

The length of the operated wide-gauge lines are made up of lines of three administrators: PKP LHS (394.65 km), PKP PLK (142.1 km) and Euroterminal Sławków (4.14 km). WE ARE CHANGING THE POLISH RAILWAYS 5 Structure of railway tracks operated in Poland in 2016-2018 by permissible speeds PASSENGER TRANSPORTATION 26.5% 25.5% Vmax ≤60 24.8% Types of passenger rail transport:

16.6% 60< 15.7% Vmax • inter-agglomeration transport (so-called qualified transport), 15.6% ≤80 • inter-voivodeship transport, • regional transport (agglomeration transport). 41.4% 80 < 43.0% Vmax 44.0% ≤120 Passenger transport may be executed out as commercial transport (at the initiative and at the sole economic risk of the carrier) and as public service transport (on the basis of a public 14.9% 120< 14.8% Vmax service agreement concluded with their organizer operating in the given area). 14.9% ≤160 Collective public transport is organized by the competent local government unit (commune, 0,6% 1,0% Vmax poviat, voivodeship, inter-communal union or poviat union) or the minister responsible for 1,0% >160 transport, ensuring the functioning of collective public transport in the given area. The or- ganizer’s tasks also include planning the development and management of collective public 0% 10% 20% 30% 40% 50% transport.

2016 2017 2018 Source: ORT In 2018, there was an increase in the passenger transport market, both in terms of the number of passengers transported and the transport work performed. Almost 310.3 mil- The number of passengers lion passengers benefited from the services of carriers, i.e. 6.7 million more passengers in passenger rail transport than in 2017 (increase by 2.2%) and as many as 17.7 million more passengers than in IN THE YEARS 2003-2016 2016 (increase by more than 6%).

310.3 The interest in rail passenger transport has increased significantly as a result of improvements 292.2 292.5303.6 283.3 280.3 261.8 264.1273.9270.4269.1 in the quality of rolling stock and new connections. In 2018, all carriers carried out transport operations of more than 21 billion passenger-kilometers, an increase of 3.57% compared to 2017 and nearly 9.73% compared to 2016.

In terms of operational work, in 2018 the carriers performed work at 165.53 million -kilo-

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 meters and this result is better than in previous years by 2.01 per cent compared to 2017 and

Source: ORT 3.47 per cent compared to 2016, respectively.

6 The passenger transport market in Poland is dominated by 4 out of 16 carriers holding a li- cense issued by the President of the Railway Transport Office. Passenger transport leaders include: PKP Intercity, Przewozy Regionalne, PKP SKM in the Tri-City and , which in total are responsible for the transport of almost 3/4 of all passengers. In 2018, the total market share of these carriers amounted to 73.89%.

Photo: PKP Intercity S.A.

Purchase of rolling stock for PKP Intercity SA to carry out rail passenger transport.

Biggest passenger carriers in the market according to the transport work in 2018:

52.72% 19.97% 10.00% 4.66% 3.60% 2.86% 1.93% 1.35% 1.14% 0.75% 0.63% 0.37% 0.003% 0.017% PKP Intercity Przewozy Koleje PKP SKM Koleje Śląskie Koleje Koleje SKM Koleje ŁKA WKD Arriva RP UBB Other Regionalne Mazowieckie Dolnośląskie Wielkopolskie Warszawa Małopolskie carriers

WE ARE CHANGING THE POLISH RAILWAYS 7 CARGO TRANSPORTATION

Compared to the markets in other countries in Europe, the Polish market for cargo transporta- tion is peculiar, with dozens of carriers operating there. In 2018 it was 71 companies. MARKET SHARE OF THE LARGEST CARRIERS BY WEIGHT OF TRANSPORTED GOODS AT THE END OF 2018. 6 carriers out of these 71 companies are responsible for more than 3/4 of the market.

43.57% 16.41% These are: PKP CARGO DB CARGO POLSKA • PKP Cargo – 43.57%, • DB Cargo Polska – 16.41%, 5.0% • Lotos Kolej – 5.00%, • PKP LHS – 4.28%, 4.28% • CTL Logistics – 4.12%, PKP LHS • PUK Kolprem – 3.03%. 4.12% CTL LOGISTICS The measures that contribute to the improvement of the quality and increase the 3.03% country’s transport accessibility in a European and local context also have a huge PUK KOLPREM impact on the competitiveness of rail .

5.61% OTHER 1.53% 1.26% CD CARGOPOLAND KP KOTLARNIA 1.20% Weight of cargo in rail transport in the years 2010-2018 (MILLIONS OF TONS) CIECH CARGO 1.70% RAIL POLSKA 1.18% CAPTRAIN 249.2 250.2 239.9 235.3 231.3 233.2 POLSKA 228.9 224.8 222.2

0.85% INTER CARGO 1.82% POL-MIEDŹ 0.81% STK TRANS

0.74% PKP CARGO SERVICE 2.08% 2010 2011 2012 2013 2014 2015 2016 2017 2018 ORLEN 0.68% PCC KOLTRANS Source: UTK INTERMODAL 2.47% FREGHTLINGER PL 0.58% HSL POLSKA The transport work in 2018 was at the level of 59.6 billion tonne-kilometers, which was nearly 0.54% 0.55% JSW LOGISTICK ECCO RAIL 9% more than in the previous year.

8 COMMON TICKET

Common Ticket is one of the most important projects implemented by the Ministry of Infrastructure and railway companies. It was adopted by the Government in the Strategy for Responsible Development as a task facilitating railway travel. The aim of the project is to enable passengers to travel by of several carriers with one ticket, without the need to pay further fees for traveling in another carrier’s train.

On 9 December 2018, the sale of the Common Ticket offer was launched. It is a modern service that gives travelers the opportunity to purchase a single ticket for the entire rail journey, regardless of the sales channel and the carrier.

Stages of implementation of the programme 1 2 3 4

Functioning of the so-called Creation of a common tariff The next stage of the Stage 4 will go beyond the so-far “railway” common blank, – referred to as the common ticket. implementation of the common understanding of the common ticket, i.e. in both in cash desks and The common tariff has been developed ticket (2020+) a single transaction, in which the system on the Internet, enabling among the carriers implementing each is an advanced travel planner takes into account the criteria preferred the purchase in one place stage through a pilot scheme. enabling by the traveler (following the filters in the of one document for traveling Parallel to the areas established by the the purchase of a railway ticket search engine), it will be possible to purchase by trains of 3 government carriers, PKP Informatyka adjusts the and other services (taxi, hotels, e.g. a city ticket, a PKP Intercity companies (implemented). systems and algorithms to the common urban transport, mini-buses, ticket or hotel accommodation (criterion of tariff (implemented). etc.) in one transaction. proximity to the station, prices, etc.).

Currently, passengers can buy tickets for connections operated by seven carriers, which are used by about 80% of all railway passengers in Poland: PKP Intercity, PKP Szybka Kolej Miejska in Tri-City, Przewozy Regionalne (), Koleje Mazowieckie, Łódzka Kolej Aglomeracyjna, and Koleje Małopolskie. Common Ticket is available in more than six hundred cash windows throughout Poland, and for train journeys of some carriers tickets can also be purchased via the Internet, in the BILKOM system (Intercity, Polregio, PKP SKM, KW, ŁKA) as well as in mobile applications available on devices with Android or iOS.

The Common Ticket will also cover Koleje Dolnośląskie, Koleje Śląskie and Arriva RP, thanks to which over 90% of all Polish railway passengers will be able to use it. WE ARE CHANGING THE POLISH RAILWAYS 9 The Common Ticket provides, above all, convenience and considerable savings.

Benefits: time saving – a ticket for a complicated train journey can be purchased from a single window, money saving – using the services of carriers within the framework of the Common Ticket, journey can be cheaper, choosing a carrier has never been easier – with thousands of possible long-distance, regional and suburban connections you will easily reach many destinations in the country, a trip can be planned in a simple way – cashiers will help you plan your trip with a stop- over and will help you choose the optimal offer. Additionally, together with the Common Ticket, you will receive a travel plan in which you will find information about the number and category of trains you should use to make the journey, transfer stations, as well as arrival and departure times, additional amenities – as part of the Common Ticket, you can take your pet or the things necessary for travel, i.e. baggage or bicycle, paying for them once, regardless of how many

checkout stopovers you wish to make, purchase of the ticket – The Common Ticket can be purchased quickly and conveniently throughout the country, at hundreds of cash desks or online through the website www. bilkom.pl or through the applications available for iOS and Android.

Example: Does it pay off? • route of the journey: Świnoujście – Jasło The basis of the Common Ticket is a single tariff valid at all railway carriers that have intro- (round trip) duced the offer. The tariff is degressive, which means that the method of calculating the ticket price is based on a simple rule: “the further you go, the less you pay for the kilometers you • passengers: 1 adult travel”. Thanks to this, the Common Ticket is a particularly attractive proposition for passen- • trains: Świnoujście – Dąbie gers travelling on longer routes and choosing to travel with stopovers using trains of different REGIO (POLREGIO), Szczecin Dąbie carriers. – Rzeszów Gł. TLK (PKP Intercity), Rzeszów Gł. – Jasło REGIO (POLREGIO) The Common Ticket is a new, additional offer, and passengers can still benefit, for example, from promotions offered by carriers in regions and on specific routes. • savings: PLN 51.60

10 RAILWAYS IN THE 2014-2020 EU PERSPECTIVE

According to the signed Partnership Agreement between the Government of the Repub- lic of Poland and the European Commission, in the EU financial perspective for the years 2014-2020, an amount of approximately EUR 10.2 billion is set aside for railways. The allo- cation of such substantial resources to railway investments is linked to the European Commis- sion’s priorities set out in the White Paper, i.e. moving towards a low-emission economy in all sectors and reinforcement of the role of railways in the development of sustainable transport. Photo: CEUTP set out in the White Paper, i.e. moving towards a low-emission economy in all sectors and reinforcement of the role of railways in the development of sustainable transport.

The railway investments implemented in 2014-2023 may be co-financed by European Record money for the railways funds under the following operational programmes and EU instruments: Joanna Lech, Acting Director of the Centre for EU Transport Projects.

• Operational Programme Infrastructure and Environment 2014-2020 (OPI&E), In the 2014-2020 financial perspective, the Polish • The Connecting Europe Facility (CEF), railway sector has been given the opportunity to use • Operational Programme Eastern Poland 2014-2020 (OP EP), a huge pool of EU funds. Projects completed in this • 16 Regional Operational Programmes (ROPs). transport sector are financed from the Operational Programme Infrastructure and Environment, Eastern Poland Operational Programme and the Connecting Europe Facility (CEF). For twelve years now, the CEUPT Operational Programme Infrastructure and Environment 2014-2020 (OPI&E) has been supporting beneficiaries in the process The OPI&E 2014-2020 envisages support for investments in the field of railway infrastructure, of investment preparation and implementation. rolling stock, railway stations, tele-information systems and rail traffic control systems. The Thanks to the EU funding, it is possible to carry out realization of these investments is possible both in the measure strictly devoted to railways large-scale infrastructural investments in railway (Priority Axis V) and in other areas (e.g. the investments involving intermodal terminals will lines and stations, purchase and modernize rolling be implemented in Priority Axis III. Development of the TEN-T road network and multimodal stock, as well as invest in improvement of safety in rail transport. The scale and scope of the projects will transport , and modernization of railway lines related to improving access to the railway significantly contribute to increasing the accessibility – from the funds available for ). The Priority Axis V. Development of railway and competitiveness of rail transport, which will have an impact on both the development of the economy and the lives of the people in our country. Planned effects: OPERATIONAL PROGRAMME INFRASTRUCTURE AND ENVIRONMENT 2014-2020

935 km TOTAL LENGTH OF THE REBUILT OR MODERNIZED RAILWAY LINES

WE ARE CHANGING THE POLISH RAILWAYS 11 transport in Poland envisages support for projects involving the construction, modernization and rehabilitation of railway lines, railway stations, as well as purchase and/or modernization of rolling stock. More than € 5 billion was spent on these tasks from the EU budget, including nearly € 4.5 billion on railway lines, over € 0.4 billion on rolling stock and € 0.15 billion on railway station buildings.

The “Connecting Europe” Facility (CEF) The Connecting Europe Facility (CEF) has replaced the existing TEN-T programme. It is a financial instrument centrally managed by the European Commission (EC) to support trans- port, telecommunications and energy projects within the trans-European network (TEN-T). Photo: CEUTP CEF subsidies are awarded through competitions organized by the European Commission.

The White Paper: “The main features of quality services are: attractive Some of the funds from the CEF’s general pool for the transport sector were reserved for timetables, comfort, easy access, reliability of services and integration expenditures only in the Member States eligible for the Cohesion Fund (so called national with other means of transport.” envelopes) and distributed through special contests. Available financial envelope for Poland is € 4.14 billion including about € 3.4 billion intended for the railways.

Operational Programme Eastern Poland 2014-2020 (OP EP) The main objective of the OP EP is to direct resources for improvement of the condition of the Planned effects: OPERATIONAL PROGRAMME EASTERN railway line network in 5 voivodeships of Eastern Poland, i.e. in the Warmińsko-Mazurskie, POLAND 2014-2020 Podlaskie, Lubelskie, Świętokrzyskie and Podkarpackie voivodeships. These include invest- TOTAL LENGTH OF THE REBUILT 625 km OR MODERNIZED RAILWAY LINES ments in line infrastructure, electrification of selected lines, modernization of rail traffic control systems and passenger information systems, as well as the construction or reconstruction of railway stations and other passenger service facilities. REDUCTION OF THE AVERAGE 1h 50 min* TRAIN JOURNEY TIME BETWEEN VOIVODESHIP CENTRES Projects implemented within the Priority Axis III of the OP EP are financed by the Europe- (ON AVERAGE BY 33%) an Regional Development Fund and the funds allocated to them amount to approximately * Implementation Document for the Transport Development Strategy until 2020 (With a perspective until 2030) EUR 330 million.

Regional Operational Programmes (ROPs) At regional level, railway investment funds are available through 16 regional operational programmes managed by voivodeship marshals. The allocation of EU funds to railway de- velopment tasks varies from one region to another. It is assumed that projects involving the revitalization of railway lines along with the accompanying infrastructure, as well as the mod- ernization or purchase of rolling stock will be executed with the participation of EU funds.

12 NATIONAL RAILWAY PROGRAMME UNTIL 2023

National Railway Programme until 2023 (NRP) was adopted via a resolution of the Council of Ministers of September 15, 2015 (updated in 2016). This document establishes the finan- cial framework and the conditions for the state’s projects involving investment in railways until 2023. It covers all investments carried out using funds assigned by the minister respon- sible for transport. The NRP sets out the investment objectives and priorities and the level and the sources of the financing needed. PLN 70 billion is planned for the implementation of the projects. The programme covers all tasks planned to be financed from the OP IE 2014-2020, the CEF, the OP EP and the ROP, as well as from the national budget.

The value of the projects in the National Railway Programme (split into categories):

• 121 Cohesion Fund projects (60 from the 2007-2013 perspective): PLN 52.46 billion, • 9 projects of the Operational Programme Eastern Poland: PLN 2.13 billion, • 64 projects of the Regional Operational Programs (11 from the 2007-2013 perspective): PLN 4.73 billion, • 34 national projects (from the state budget and the Railway Fund): PLN 10.15 billion.

The implementor and executor of the Programme is the administrator of the national net- work of railway lines – PKP Polskie Linie Kolejowe S.A. (PKP PLK S.A.), which is the biggest beneficiary of EU funds in the railway sector. It is estimated that PKP PLK SA will receive EU subsidies in the amount of PLN 41 billion.

22 PKP PLK S.A. investments received a total of EUR 3.4 billion of support in three CEF Photo: CEUTP calls. The biggest beneficiary of EU funds in the railway sector is PKP Polskie Linie Kolejowe S.A.

WE ARE CHANGING THE POLISH RAILWAYS 13 Objectives of the National Railway Programme

Reinforcement of the efficiency of railway transport:

• reducing the time of train journeys on all railway lines administrated by PKP PLK S.A., • raising the capacity of lines on the sections with the highest load or capacity utilization, • lengthening of sections of railway lines allowing passenger trains to move at speeds abo- ve 160 kph, • increasing the length of lines with acceptable axial load ≥ 221 kN, WZMOCNIENIE EFEKTYWNOŚCI • increasing the capacity of the infrastructure handling the seaports in Gdańsk, TRANSPORTU KOLEJOWEGO Szczecin and Świnoujscie.

Enhancing rail transport functioning safety:

• extension of ERTMS/ETCS-equipped railway lines, • increasing the number of two-level intersections and modernized railway crossings, • reducing the number of railway accidents at intersections of railway lines and roads in a single plane.

Improving quality in passenger and freight transport: ZWIĘKSZENIE BEZPIECZEŃSTWA FUNKCJONOWANIA TRANSPORTU KOLEJOWEGO • ensuring access to rail transport for people with reduced mobility, taking into account the rules set out in (EU) Commission Regulation No. 1300/2014 from November 18, 2014, • increasing the number of voivodeship capitals connected by railway lines modernized to a passenger train speed of at least 100 kph, • increasing the number of passengers transported on the lines managed by PKP PLK S.A., • increasing the weight of the goods transported,

POPRAWA JAKOŚCI W PRZEWOZACH • increasing the speed of cargo trains on the network of railway lines administrated by PKP PASAŻERSKICH I TOWAROWYCH PLK S.A., • increasing the speed of cargo trains in the Silesian agglomeration, • increasing the share of intermodal railway transport in total railway cargo transport.

14 Indicator Unit of measure As of 31.12.2015 As of 31.12.2017 As of 31.12.2023

Length of reconstructed railway lines km 7.7 1325.5 9000

Length of railway lines allowing 160 kph passenger trains to move at speeds km 90 135 350 above 160 kph

ERTMS/ETCS Length of railway lines on which km *) 383.9 2000 ERTMS/ETCS was built

Average speed of cargo trains coursing within the PKP PLK S.A. line kph *) 30 40 network

Number of voivodeship capitals connected by railway lines modernized to a passenger train number 8/18 8/18 18/18 100 kph speed of at least 100 kph

*) the value of the indicator was not specified because the projects were mainly in the preparatory phase Source: PKP PLK S.A.

WE ARE CHANGING THE POLISH RAILWAYS 15 Main investments of the National Map of investment projects Railway Programme: covered by the National Railway Programme

• continuation of work in Corridors CE 30, E 20/CE 20, E 59/CE 59, E 65/CE 65, E 75, as well as in corridors constituting international connections,

• improvement of the technical condition of railway lines forming the so-called cargo corridors,

• improvement of the technical condition of lines important for cargo traffic, ensuring a bypass of the Warsaw, Poznań and Up- per Silesian agglomerations and improving access to the seaports in Gdańsk, Gdynia, Szczecin and Świnoujscie,

• ERTMS / ETCS development on 2000 km of lines,

• improving railway line capacity within the agglomerations,

• investments along the “Eastern Trunk Line”,

• increased infrastructure safety, including the implementation of ERTMS.

Source: PKP PLK S.A.

16

PKP Polskie Linie Kolejowe S.A. implements an investment programme with a total value of almost PLN 70 billion This programme involves more than 220 projects

and modernization 9000 km of tracks.

STANDARD LIST KPK, IN BILLION PLN APRIL 2016 JANUARY 2017 APRIL 2019

3.0 4.2 3.1 0.7 3.3 9.6 6.2 6.1 2.1 23.5 14.3 2.2 11.1

11.4 4.7 11.6 30.7

7.7

3.9 23.4 3.4 16.3 completed: PLN 3.0 billion completed: PLN 4.2 billion completed: PLN 9.6 billion in implementation: PLN 8.3 billion in implementation: PLN 8.3 billion in realization: PLN 34.1 billion agreements: PLN 6.2 billion agreements: PLN 6.1 billion agreements: PLN 30.7 billion fees, connections: PLN 2.1 billion fees, connections: PLN 2.2 billion fees, connections: PLN 3.4 billion EU projects – project documentation EU projects – project documentation EU projects – project documentation in implementation: PLN 11.4 billion in implementation: PLN 11.6 billion in implementation: PLN 7.7 billion tenders in progress: PLN 16.3 billion tenders in progress: PLN 23.4 billion tenders in progress: PLN 11.1 billion

budget: PLN 3.9 billion budget: PLN 4.7 billion SW – EU projects: PLN 3.3 billion

planned: PLN 23.5 billion planned: PLN 14.3 billion budget: PLN 3.1 billion

planned: PLN 0.7 billion

Source: Preparation of PLK-IBP based on data from EPM (as of 31.03.2019) WE ARE CHANGING THE POLISH RAILWAYS 17 Examples of investments carried out within the frames of the National Railway Programme 1 Operational Programme Infrastructure and Environment 2014-2020 (OPI&E) Construction of ERTMS/GSM-R system infrastructure on railway lines of PKP Polskie Linie Kolejowe S.A. in accordance with NPW ERTMS

BENEFICIARY: PKP POLSKIE LINIE KOLEJOWE S. A.

TOTAL PROJECT VALUE: APPROX. PLN 2.82 BILLION* EU FUNDING TOTAL: PLN 1.3 BILLION*

IMPLEMENTATION PERIOD: 2018-2023

The investment is realized with the funds of OPI&E 2014-2020 and implemented throughout Poland.

The scope of the investment: • development of construction designs for approximately 1 thousand locations of radio com- munication facilities and executive designs for approximately 2 thousand locations, • construction of a fiber optic cable with connection to radio communication facilities on over 10 thousand km of railway lines, • construction of the GSM-R system for over 13 thousand km, Photo: PKP PLK S.A. • Integration of the network management systems for existing facilities with the newly built system. Planned effects: • elimination of the technical barrier in railway radio communication at the borders of Poland, • next step towards the introduction of the European Rail Traffic Management System (ERTMS) to improve passenger safety, • creation of an integrated, interoperable rail infrastructure system at the level of national and international connections, • standardization of communication protocols on international routes, • increasing the level of safety and minimizing the risk of failure.

* data consistent with the Detailed Implementation Plan of the National Railway Programme of July 2019

18 2 Operational Programme Eastern Poland 2014-2020 (OP EP) Works on railway line no. 52 in the section Lewki – Hajnówka

BENEFICIARY: PKP POLSKIE LINIE KOLEJOWE S. A.

TOTAL PROJECT VALUE: PLN 96.46 MILLION EU FUNDING TOTAL: PLN 66.52 MILLION

IMPLEMENTATION PERIOD: 2017-2020

The investment is carried out with the funds of OP EP 2014-2020 on line 52 (section from the Lewki junction post behind Bielsk Podlaski to the Hajnówka station with a length of 26.4 km).

The result of the works will be the restoration of passenger and freight traffic on railway line 52 after 25 years, where the maximum speed for freight trains will be 60 km/h, and for passenger trains 100 km/h,

Restoration works for unused passenger service facilities and adaptation of infrastructure Photo: PKP PLK S.A. elements to the needs of persons with reduced mobility will increase the comfort of passenger Line 52 Lewki – Hajnówka (Chytra) service at stations and stops. The level of safety of railway traffic, travelers, freight and road traffic at level crossings will be increased, The technical compatibility of the railway systems will be ensured.

WE ARE CHANGING THE POLISH RAILWAYS 19 The “Connecting Europe” Facility (CEF) 3 Improvement of safety on the Central Railway Main Line by eliminating horizontal crossings and constructing two-level crossings

BENEFICIARY: PKP POLSKIE LINIE KOLEJOWE S. A.

TOTAL PROJECT VALUE: PLN 17.46 MILLION EU FUNDING TOTAL: PLN 14.84 MILLION

IMPLEMENTATION PERIOD: 2014-2016

The project covered the modernization works on the E 65 railway line, which is apart of the Baltic-Adriatic base network corridor. The works were performed at the intersection of the Central Railway Main Line (line no. 4 Grodzisk Mazowiecki – Zawiercie) with roads located in southern Poland.

The scope of the investment: • decommissioning of the railway crossing at km 127.190 of line E 65 in the section Grodzisk Mazowiecki – at the intersection of the line with district road no. 395 Ruda Pilczycka – Czermno, and construction of a viaduct, • decommissioning of the railway crossing at km 147.584 of line E 65 in the section Photo: PKP PLK S.A.

Grodzisk Mazowiecki – Katowice at the intersection of the line with the local road no. Two single-level railroad and road junctions have been reconstructed 004420 Zabrodzie – Jamskie, and construction of a viaduct, into two-level junctions (road viaducts). Effects: • increasing safety by eliminating collision crossings of roads with railways and replacing them with two-level collision-free intersections, • increasing line capacity by eliminating point reduction in its speed, reducing operating costs.

20 The “Connecting Europe” Facility (CEF) 4 Works on the E20 railway line on the Warszawa – Poznań section – other works, – Swarzędz section

BENEFICIARY: PKP POLSKIE LINIE KOLEJOWE S. A.

TOTAL PROJECT VALUE: PLN 2.01 BILLION EU FUNDING TOTAL: PLN 1.51 BILLION

IMPLEMENTATION PERIOD: 2015 -2020

The project involves modernization works between Warsaw and Poznań in the section So- chaczew – Swarzędz (approx. 235 km of line E20/C-E 20). The project includes railway line no. 3 (E20) in the section Sochaczew – Swarzędz from km 60.500 to km 290.000 (229.500 km) and railway line no. 11 (C-E 20) in the section Placencja – Łowicz Główny from km 17.000 to km 22.000 (5.000 km).

The scope of the investment: • reconstruction of the on the length of approx. 186 km, • reconstruction of stations and traffic posts, • construction of 3 Local Control Centres in Łowicz, and Konin – modern rail traffic control systems (SRK), Photo: Artur Kołakowski

• modernization of 8 platforms, Works on the Konin-Koło line • modernization of 10 and construction of 7 bridges, • modernization of 8 and construction of 1 railway viaduct, • modernization of 3 and construction of 3 underground passages, • construction of 2 road viaducts in Łowicz and Konin, Planned effects: • time savings in passenger and freight transport, • elimination of disturbances in train traffic, i.e. elimination of bottlenecks, • increasing the maximum daily throughput on line no. 3, • reduction of accident rate.

WE ARE CHANGING THE POLISH RAILWAYS 21 PROGRAMME FOR MODERNIZATION OF RAILWAY STATIONS

PKP SA administrates 582* active station buildings, and the rest is administrated by local gov- ernments, communal companies, TBS, PKP PLK S.A. and other entities. The railway station buildings, which are supervised by PKP S.A., are divided into different categories, depending on the functions they fulfill in the transport system. Photo: PKP S.A.

The recreation of the historical Wrocław Railway Station Building complex with the reconstruction of the technical railway infrastructure is a project implemented from the OP IE 2007–2013 funds. Categories of station buildings:

PREMIUM: • a station building in a large city handling international, inter-voivodeship and regional trans- port, • an important national level transport hub, seen as a showcase for the country or the city, • a structure offering travelers basic services (e.g. gastronomy, newspaper stands, cash ma- chine, car rental, children’s play area), PREMIUM STATION

VOIVODESHIP: • a station building in a large city handling international, inter-voivodeship and regional trans- port • an important inter-voivodeship level transport hub, seen as a showcase for the city or the region, VOIVODESHIP STATION • a structure offering travelers basic services (e.g. gastronomy, newspaper stands, cash ma- chine),

* as of July 2019

22 REGIONAL: • a small city station building, handling mainly regional and local traffic, • an important communication hub at the communal and voivodeship level, REGIONAL STATION

AGGLOMERATION: • a station building handling daily local traffic, not more than 50 km from the center of a large city, • an important communication hub at the agglomeration level, • a structure without commercial features, AGGLOMERATION STATION

LOCAL: • a building with a small potential for railway development, utilized by people traveling systematically to larger cities (to work, to school), • minimal service standard on the station platform, LOCAL STATION

TOURIST: • a station building in a small town or out of town, handling international, inter-voivodeship, regional and local transport • an important transport hub during the tourist season, • a train station building that can be a showcase of the town. TOURIST STATION

WE ARE CHANGING THE POLISH RAILWAYS 23 Categories of PKP S.A. station buildings

58% LOCAL 2% TOURIST

3% VOIVODESHIP

3% PREMIUM

18% 17% AGGLOMERATION REGIONAL

Photo: PKP S.A.

An integrated communication center in was built using the OPI&E 2007-2013 funds. The “Programme of Station Investments for 2016-2023” includes a total of 188 invest- ments at railway stations to be completed by 2023.

The new station buildings will meet the highest standards of safety and functionality, also through the implementation of solutions tailored to the needs of people with reduced mobility.

Station building financing sources: • European Union funds from the Operational Programme Eastern Poland and the Opera- tional Programme Infrastructure and Environment, • state budget, • PKP S.A.’s own funds, including loans.

Photo: PKP S.A.

The reconstruction of the train station complex was realized from the OPI&E 2007-2013 funds.

24 Structure of the financing of the Railway Station Building Investment Programme

68.1% EU FUNDS Photo: PKP S.A. The construction of the Kraków Główny Railway Station Building integrated with urban public transport is a project implemented under the OPI&E 2007-2013

16.4% OTHER FUNDS 15.5% (OWN FUNDS, LOANS)) STATE BUDGET

Photo: PKP S.A.

The construction of the Kraków Główny Railway Station Building integrated with urban public transport is a project implemented Conducting investment activities at railway station buildings depends on the availability under the OPI&E 2007-2013. of funding sources. In the current list of Identified Projects of the Operational Programme Infrastructure and Environment 2014-2020, agreements on co-financing of 12 PKP S.A. projects (covering a total of 144 station buildings), the total value of which is PLN 1.06 billion.

Under the OP EP, 10 station buildings will be built/reconstructed, with a total estimated value of approximately 190 million.

Photo: PKP S.A.

The Szczecin Główny railway station building was reconstructed together with the railway and platform infrastructure using the OPI&E 2007-2013 funds. WE ARE CHANGING THE POLISH RAILWAYS 25 Examples of investments ! Operational Programme Infrastructure and Environment 2014-2020 (OPI&E)

Modernization of selected station buildings at the railway line no. 9 in the section Warszawa Wschodnia – Gdynia Główna Osobowa.

BENEFICIARY: PKP S. A.

TOTAL PROJECT VALUE: PLN 177.7 MILLION EU FUNDING TOTAL: PLN 120 MILLION

IMPLEMENTATION PERIOD: 2019–2021

The project includes the construction of a new railway station building in Pomiechówek and the modernization of 9 railway station buildings without interference with the station layout: Gdańsk Główny, Gdańsk Oliwa, Gdańsk Wrzeszcz, Prabuty, Pruszcz Gdański, Pszczółki, Susz, Szymankowo, Tczew.

Planned effects: • improvement of safety of facilities and travelers, Photo: PKP S.A.

• reduction of negative impact on the environment through the use of modern technolo- Visualization of the modernized Gdańsk Główny station. gies, • increasing the attractiveness of public space around railway stations, • elimination of architectural barriers, construction/modernization of waiting rooms, arran- ging rooms for a guardian with a child, • reduction of the failure rate of facilities, their equipment and devices, • development of regional passenger transport by increasing access to stations.

26 Operational Programme Eastern Poland 2014-2020 (OP EP) Rebuilding of the Zachodni Railway Station in as part of the PKP PLK S.A. project “Works on railway line no. 216 on the Działdowo – Olsztyn section”

BENEFICIARY: PKP POLSKIE LINIE KOLEJOWE

TOTAL PROJECT VALUE: PLN 526.72 MILLION EU FUNDING TOTAL: PLN 362.37 MILLION

IMPLEMENTATION PERIOD: 2014 -2017

The Western Railway Station in Olsztyn building has been adapted, on the basis of the ex- isting structure, to a new way of operation in accordance with the needs of passengers. At the same time, accessibility and improvement of connections with other means of transport is ensured by a roofed bicycle shelter and 12 parking spaces.

As part of the investment works, facilities for the disabled are to be provided, by eliminating architectural barriers, and introducing special surface elements, messaging and signaling systems, and appropriate restrooms. Photo: PKP PLK SA

The Western Railway Station in Olsztyn building after renovation.

WE ARE CHANGING THE POLISH RAILWAYS 27 PROGRAMME FOR REPLACEMENT OF THE ROLLING STOCK

The process of strengthening the role of railways in the country’s transport system concerns not only investments in railway infrastructure, but also purchases and modernization of the rolling stock. The programme for the replacement of rolling stock implemented by car- riers and transport operators ensures that the condition of rolling stock is steadily improving. Photo: PKP Intercity S.A. In the EU 2014–2020 perspective PLN 1.9 billion was set aside for modernization/pur- Purchase of electric multiple units for PKP Intercity S.A. Stage II was chase of rolling stock intended for interregional and agglomeration connections from the implemented using OPI&E 2007-2013 funds Operational Programme Infrastructure and Environment. The investments in this scope are complemented by undertakings implemented within the Regional Operational Programs of PKP IC rolling stock strategy – planned projects individual voivodeships. These are regional investments.

Over 500 new/modernized rolling stock units are planned to be acquired using the OPIE funds. passenger comfort Under measures 5.1 (Development of the TEN-T railway network) and 5.2 (Development of 7 billion PLN related investments rail transport outside the TEN-T), 12 projects were selected for co-financing under competi- connections established by PKP IC tion mode. shall be realized by the new 80% or upgraded rolling stock In December 2017, PKP Intercity updated its rolling stock strategy for 2016-2020 with the trains will be equipped perspective until 2023. The carrier will invest PLN 7 billion in improving passengers’ travel 77% with Wi-Fi comfort. This is the largest investment programme in the history of the company. As part of this strategy, the company will modernize more than 1000 wagons and buy 161 new ones. Wagons 19 new electric multiple units will be purchased and 14 will be modernized. In addition, PKP acquisition of 161 new ones modernization of 976 existing ones Intercity will buy 118 electric and diesel and will modernize over 200 electric and diesel locomotives. Some locomotives, wagons and EMUs (electric multiple units) will be adapted for speeds of 200 km/h or more. acquisition of 19 new ones modernization of 14 existing ones The results of rolling stock purchase/modernization projects:

• complementation of a wide range of modernization works on railway infrastructure, • making rail transport more attractive by increasing comfort and safety, Locomotives acquisition of 118 new • improved transport offer, ones modernization of 200 existing ones • increased accessibility of rail transport,

• creating a low-emission alternative to road transport.

28 Example of rolling stock replacement programme implementation

Time for good connections – modernization of wagons and locomotives for PKP Intercity S.A.

BENEFICIARY: PKP INTERCITY S.A.

TOTAL PROJECT VALUE: PLN 990.4 MILLION EU FUNDING TOTAL: PLN 402.05 MILLION

IMPLEMENTATION PERIOD: 2015–2023

Passengers will be able to travel in 183 modernized wagons. 20 electric locomotives and 6 diesel switchers will be modernized. Maneuvering works will also be improved by the pur- Photo: PKP PLK SA chase of road-rail vehicles and the modernization of 5 parking stations/spurs. Modernization of B-type compartment wagons

Planned effects: • reduction of travel time (improvement of rolling stock parameters), • improvement of railway traffic safety (adaptation of modernized locomotives to the use of the ERTMS/GSM-R system) • improving travel comfort, • increasing the accessibility of rolling stock for persons with reduced mobility, • reduction of emission of harmful substances to the environment, • adaptation of wagons for transport of bicycles, • improving the level of maintenance of rolling stock.

WE ARE CHANGING THE POLISH RAILWAYS 29 INVESTMENT AS A DRIVING FORCE FOR THE RAILWAY SECTOR

The impact of the investment on the return of passengers to using the railways Warsaw – Olsztyn presents, among others, the trend of changes in the parameters of the transport offer of PKP Intercity S.A. on the demand for transport on the line: average number of trains weighted average travel time total number of passengers Poznań – Tri-City: Compared to 2011, in 2018 the average travel time was reduced by more than 30% and the number of passengers increased by almost 150%.

1000% Warsaw – Olsztyn:

Compared to 2011, in 2018 the average travel time was reduced by almost 1043% 30% and the number of passengers increased almost 9-fold. 1016% 800% 807%

Poznań – Tri-City: 600%

average number of trains weighted average travel time total number of passengers 400% 346% 300% 300%

200% 248% 200% 232% 239% 219% 233% 200% 200% 200% 185% 175% 167% 100% 170% 170% 100% 170% 153% 146% 125% 122% 118% 115% 99% 99% 108% 109% 97% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 86% 89% 79% 74% 84% 69% 78% 77% 77% 69% 69% 63% 62%

0% 53% 0% 2011 2012 2013 2014 2015 2016 2017 2018 2019 January-March 2011 2012 2013 2014 2015 2016 2017 2018 2019 January-March

Source: PKP Intercity S.A. Source: PKP Intercity S.A.

30 MAINTENANCE PROGRAMME

The first multi-annual programme for the repair and maintenance of railway lines adopted by the Council of Ministers on 16 January 2018. The main objective of the programme is improvement in to strengthen the role of rail transport in the integrated transport system of the country. train travel times

The value of the programme – PLN 23.8 billion for the years 2019-2023. It covers all lines increased maintained by PKP PLK S.A. in Poland. commercial speed

Benefits of the program: – improvement of efficiency and effectiveness of railway line manager (mainly PKP PLK S.A.), for this purpose new pro-efficiency indicators of Project objective implementation were in- +22% +43% troduced, e.g. average speed of train travel (the so-called commercial speed), – elimination of maintenance arrears. As a result of the Programme it will be possible to avoid 120 the risk of exclusion from operation of lower-order lines enabling commuting to work, school, health centers, etc. for inhabitants of small towns and villages. In the individual years of the 100 110 program’s validity, funding was planned out (in total about PLN 1.3 billion) to systematically 100 +18%

eliminate maintenance arrears, 90 80 +50% – a significant improvement in train travel times (increased commercial speed): • express trains will increase from 90 km/h to 110 km/h (22%), 70 • fast trains will increase from 70 km/h to 100 km/h (by 43%), 60

• regional trains will increase from 51 km/h to 60 km/h (by 18%), 60

• freight trains will increase from 30 km/h to 45 km/h (by 50%), 40 51 – improvement of qualified punctuality of trains (passenger trains from 94% to 97.5%, 45 freight trains from 81% to 86%). 20 30

As a result of the maintenance program, the effects of investment works will be maintained 0 express fast regional freight for several decades. kph 2016 the result of the Programme

WE ARE CHANGING THE POLISH RAILWAYS 31 DEVELOPMENT OF INTERMODAL TRANSPORT

Data collected by the Office for Rail Transport indicate a systematic development of the intermodal transport market in Poland. In 2018, they reached a record level of over 17 million tons. This means that amount of freight in the intermodal transport in 2018 increased by more than 15% compared

Photo: CEUTP to the previous year – and intermodal transport by rail has almost quadrupled in terms of freight weight since 2010. More funds for intermodal transport

Joanna Lech, Acting Director of the Centre for EU According to the Office for Rail Transport report, in 2018 railway undertakings also transported Transport Projects. a record number of unit loads. For the first time in history, the number of 1.2 million units was EU support will accelerate the development of exceeded. In comparison with 2017, the number of transported unit loads increased by approx. intermodal transport in Poland. PLN 1.13 billion 16.4%. – this is the pool of funds which will be allocated for co-financing of the best projects. The potential These data confirm that Poland – as a transit country connecting the East and the West – has of the intermodal market is currently very high. Its development is facilitated by EU funds and Poland’s a constantly growing potential for the development of intermodal transport volumes. excellent location at the intersection of two out of intermodal transport projects are financed under Measure 3.2 Development of maritime, inland nine corridors of the TEN-T network (the Baltic – waterway and multi-modal transport OPI&E 2014-2020. Adriatic Corridor and the North Sea – Baltic Sea)”. OPI&E 2014-2020. Their scope covers, inter alia, the construction or reconstruction of intermodal terminal infrastructure, the purchase or modernization of equipment necessary to operate them, as well as the purchase of specialized rolling stock.

These projects were selected for funding through a competition conducted by the Centre for EU Transport Projects in 2018. It was decided to allocate more than PLN 1.22 billion of EU funding for 33 out of 52 submitted projects. For 29 projects, co-financing agreements have already been concluded for a total amount of EU co-financing of over PLN 1.13 billion.

EU financial support (co-financing up to 50% of eligible expenditure) was granted to, inter alia, projects involving reconstruction or construction of an intermodal terminal (6 investments). Among the investments planned under the projects selected for co-financing is also the purchase of a total Photo: DCT Gdańsk S.A. of 48 locomotives, 4 215 intermodal loading units (semi-trailers, wagons, platforms), 17 reach

The OPI&E 2007-2013 funds were used to finance the project entitled stackers, 13 cranes and 22 units of other handling equipment. Construction of the Terminal Stage II: Expansion of the , purchase of equipment – DCT Gdańsk: The Gateway to Central Europe.

32 The CEUTP in the system of THE ROLE OF THE CEUPT distribution of EU funds for transport from preparation of the application to implementation investments: 1 2 3 4

EUROPEAN COMMISSION MINISTRY OF FINANCE we stay close to the we co-operate with we identify, analyze we evaluate Audit institution beneficiary and the beneficiary threats and potential applications for the project – each – advising them barriers to the co-financing – submitted project at every stage of implementation of individual and has its own CEUTP execution of the the project – quick competition supervisor project elimination of possible projects obstacles to the implementation of the MINISTRY OF INVESTMENTS MINISTRY project AND ECONOMIC DEVELOPMENT OF INFRASTRUCTURE managing institution in the system CEUTP’s supervisory institution of implementation of EU funds 8 7 6 5

we carry we supervise the correctness we settle we monitor out periodic of EU funds spending individual progress reporting – ex-ante control of stages of the in project

tender documentation, investment – execution

ex-post control of public verification of procurements, requests for on-site project control payment

AS THE INSTITUTION AS THE INTERMEDIATE IMPLEMENTING INSTITUTION 9 10 11 12 13 THE OPI&E 2007–2013, FOR OPI&E 2014–2020, CEF 2014–2020 OP EP 2014–2020

we execute we carry out we support the we have created the we support tasks in monitoring beneficiaries’ Transport Research urban centers the field of visits at potential through Observatory – in implementing evaluation in the project trainings, working we cooperate for more the idea of ​​ BENEFICIARY the transport execution site meetings, the CEUTP effective planning and Sustainable sector website, the CEUTP implementation of Urban Mobility newsletter Projects Plans (SUMP) WE ARE CHANGING THE POLISH RAILWAYS 33 SUMMARY OF ACTIVITIES OF MINISTRY OF INFRASTRUCTURE Dear Sir, The role of the railway sector in the country’s transport system is to provide an efficient infrastructure capable of handling a network of reliable passenger and freight traffic links. The activities of the Ministry of Infrastructure include comprehensive revitalization of railway transport in Poland. The railway policy defined in the strategic documents was aimed at achieving a stable position on the transport market. This objective will become feasible through the implementation of comprehensive programmes for the modernization of infrastructure and rolling stock as well as the implementation of IT technologies, contributing to the improvement of the territorial cohesion of the country and the interbranch Photo: Ministry of Infrastructure integration of transport services. An example is the National Railway Programme until 2023, under which PKP PLK SA carries out investments on the entire railway network in Poland. The value of the programme amounts to approximately PLN 70 billion and these are the largest modernization expenditures in the history of Polish railways. The National Railway Programme is complemented by the so-called Maintenance Program. This is the first multi-annual programme relating to the maintenance of railway infrastructure, which aims, among other things, to improve the efficiency and effectiveness of the operation of the railway line manager, due to the introduction of a number of new indicators, such as the average speed of train travel, shortening of train travel times and inhibition of the process of degradation of regional railway lines. The implemented Railway Station Investments Programme for 2016-2023 provides for the modernization of railway stations. The priority includes facilities handling large passenger streams. In this context, the investments made in connection with the increase of trains’ speed and permissible load, as well as the electrification of selected sections of railway lines, are also of particular importance. The development of railway infrastructure is accompanied by the rolling stock modernization, which will translate into an increase in the share of railway transport in passenger and freight transport.

In response to the needs of passengers, to increase the comfort of travel and ensure competitive advantage of the railway, we have introduced the Common Ticket. Attractive transport services and lower travel costs should contribute to an increase in the number of passengers. The Implementation of the Common Ticket – reduces travel costs and streamlines ticket purchase. All these activities and initiatives undertaken by the Ministry of Infrastructure aim at making the railways in Poland a showcase of the Polish economy. Andrzej Bittel SECRETARY OF STATE IN THE MINISTRY OF INFRASTRUCTURE

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Brochure issued by the Center for EU Transport Projects in cooperation with the Ministry of Infrastructure

Centre for EU Transport Projects Ministry of Infrastructure PLAC EUROPEJSKI 2 CHAŁUBIŃSKIEGO ST. 4/6 00-844 WARSAW 00-928 WARSAW PHONE +48 22 262 05 00, FAX +48 22 262 05 01 PHONE +48 22 630 10 00 [email protected] [email protected] WWW.CUPT.GOV.PL/EN WWW.MIB.GOV.PL

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