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Egypt: Turnkey rail system worth 3 billion US dollars ordered

November 2021

Egypt: Turnkey rail system worth 3 billion US dollars ordered
The first 660 of a total of 1,800 kilometres of track have now been contracted.

In partnership with the National Authority for Tunnels (NAT) and in the presence of the Egyptian Prime Minister and Minister of Transport and the German Ambassador to Egypt, Siemens Mobility has signed a contract for the first 660 kilometres of an 1,800-kilometre high-speed rail network.

The 660-kilometre line will connect the port cities of Ain Sukhna on the Red Sea with Marsa Matruh and Alexandria on the Mediterranean Sea, creating a rail link comparable to the Suez Canal. Together with the partner companies Orascom Construction S.A.E. and The Arab Contractors, Siemens Mobility will provide the turnkey development – including the design, installation and commissioning as well as maintenance services – over a period of 15 years. The contract is worth approximately 4.5 billion US dollars, of which Siemens Mobility‘s share is about 3 billion US dollars.

Scope of the contract

As part of the project, Siemens Mobility will supply Velaro high speed trains, Desiro high capacity regional trains, and Vectron locomotives for freight transport. Moreover,

the European Train Control System ETCS Level 2 and a signalling system will be installed. The order also includes the traction power system as well as the supply and integration of state-of-the-art communication and safety systems. Siemens Mobility’s consortium partners will install the rails and the customer will take care of the civil engineering structures, such as bridges or track substructures. Impact on society, environment and economy By implementing the project, the consortium is directly creating more than 15,000 jobs in the country. An additional 3,800 jobs will be created by Egyptian suppliers and indirectly in the national economy. The fully electrified system will reduce primary energy consumption and air pollution by cutting CO2 emissions by 70 percent compared to current car and bus transport emissions. More than 30 million people are expected to travel by this train line a year, saving up to 50 percent of the current travelling time. In this way, Cairo, the population of which has doubled since 1980 and now stands at around 20 million people, will be connected to the new metropolitan areas currently under development. In addition, the rail line will connect sea and dry ports for a more efficient domestic transport of goods, which will increase by 15 percent.