Ukrzaliznytsia, Alstom finalize agreements on purchase of 130 electric locomotives

JSC Ukrzaliznytsia and the French company Alstom finalized agreements on the purchase of 130 new electric locomotives by signing a protocol on cooperation in the presence of Ukrainian President Volodymyr Zelensky and French President Emmanuel Macron, according to the press service of Ukrzaliznytsia.

It is noted that the project to purchase electric locomotives is part of France’s macro-financial assistance program for Ukraine, which also includes targeted concessional lending. Due to the project, Ukraine will soon be able to update the fleet of electric locomotives

“The signed agreement will allow us to receive much needed electric locomotives on the best possible conditions in today’s turbulent times. The involvement of Ukrainian companies and specialists in the construction and maintenance of machines will also bring unique experience to Ukraine,” Chairman of the Board of JSC Ukrzaliznytsia, Oleksandr Kamyshin said.

In particular, the protocol provides unique conditions for supplies, including a 14-year financial loan from the French Treasury and a banking consortium of 85% of the contract value. The advance payment for the supply of electric locomotives is 15%.

Under the agreement, Ukrzaliznytsia will get 130 new electric locomotives, including 50 single-system and 80 dual-system electric freight locomotives.

As Ukrinform reported, negotiations on this agreement began in 2018 and ended last year with the signing of a relevant intergovernmental agreement. On July 1, 2021, Ukraine’s Parliament approved the law "On ratification of the framework agreement between the Government of Ukraine and the Government of the French Republic on official support for the renewal of the fleet of electric freight locomotives of JSC Ukrzaliznytsia.”

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