The funding for the project to reconstruct the 39 kilometers of railway from Bar to Golubovci is still not secured, and the Railway Infrastructure (ŽICG) expects to obtain the necessary funds through grant and loan agreements worth 224 million EUR, which will be signed during this year. Only after these agreements are in place, and the Environmental Impact Assessment (EIA) for the project is approved, can a tender be announced for the contractor.
ŽICG officials confirmed this to “Vijesti” and added that the tender might be published in 2025.
For the reconstruction of the railway aimed at corridor development from Bar to the Serbian border, and further into the Trans-European Network, Montenegro has access to 224 million EUR, half of which comes as donations from the European Commission (EC), and the remainder is in loans from the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD).
ŽICG emphasized that these two banks are currently reviewing the EIA to ensure its compliance with European directives, environmental standards, and social aspects.
The Environmental Protection Agency decided in late September that ŽICG must complete the EIA for this project within two years. The National Parks (NPCG) also requested the assessment because part of the railway passes through the Skadar Lake National Park and the “Natura 2000” ecological network, home to protected species of plants and animals. Additionally, the route is close to the Bar peninsula Ratac.
“The funds for this project are not yet operational. The procedures related to donors and banks are ongoing, including the review and alignment of technical documentation, such as the EIA. The signing of the financing contracts, which include the grant and loan package, is expected this year. Only after these procedures are finalized will the funds become available for project implementation. Once the contracts are signed and the financial resources secured, ŽICG will announce tenders for the work (following EIB and EBRD procedures), which is planned according to the completion of all the aforementioned activities,” said ŽICG representatives.
They also noted that the start of the works directly depends on the completion of the financing procedures and the approval of the EIA. They expect the work to begin soon after the tender process is completed, provided there are no delays in the procedures or decisions from institutions. The preparation and review of the technical documentation and alignment with donors and banks are currently ongoing.
The EIA is being prepared by a project designer engaged through the European Union’s Infrastructure Projects Fund (IPF), within the framework of the Western Balkans Investment Framework (WBIF). ŽICG clarified that the task is being carried out by an international consortium of leading infrastructure companies from France, Norway, and Germany.
“The designer is chosen by the EC, with coordination from the WBIF secretariat and support from international financial institutions. The EIA was submitted to ŽICG, EIB, and EBRD by the designer in November last year. However, the banks involved in the project’s financing (EIB and EBRD) are currently reviewing the EIA to ensure its compliance with European directives, environmental standards, and social aspects. Once all parties agree and the banks give their approval, the EIA will be forwarded to the Environmental Protection Agency for consideration and approval. This process is expected to be completed as soon as possible, in accordance with the procedures,” ŽICG stated.
Asked whether the state has allocated part of the funds for this project in the 2025 budget, ŽICG noted that this falls under the responsibility of the Ministry of Finance and the Ministry of Transport, which decide on the allocation of funds for such projects.
Project part of corridor expansion
The reconstruction project is part of the expansion of the main Trans-European network corridor between neighboring countries, aimed at improving connectivity between the Port of Bar and these corridors, and Serbia. Currently, the railway does not meet the necessary standards, such as installations, a speed limit of 100 km/h, and the accommodation of freight trains longer than 750 meters.
The maximum speed on this section is currently between 70 and 80 km/h, as the maximum designed speed of 100 km/h cannot be achieved due to the current condition of the railway. Additionally, the project documentation states that this section of the railway was put into operation at the end of November 1959, operates on electricity, and is used for both passenger and freight traffic.
In addition to these two routes, ŽICG has submitted two more projects for railway reconstruction to the Agency for a decision on whether an EIA is required. At the end of September last year, it was decided that the rehabilitation of the upper track structure from Podgorica to Golubovci, covering a stretch of 9.5 kilometers, would not require an EIA. Furthermore, no EIA is necessary for the reconstruction of the 19.5 kilometers of railway from Bioče to Podgorica.
In late November 2024, ŽICG submitted the same request for a decision on the reconstruction of the 10.7 kilometers of railway between the Podgorica locations of Trebješica and Lutovo. The Agency decided in December that no EIA is needed for this project either.
New infrastructure: Ramps, crossings and shelters
The project will not involve the reconstruction of bridges and tunnels between Bar and Golubovci, but it will include the construction of new railway platforms, shelters, level crossings with barriers, changes to curve radii, and new signaling systems.
Additionally, the documentation submitted by ŽICG to the Agency for the decision on the EIA, in mid-September, states that the closest protected cultural property to this project is the Bar monastery Ratac, located about 610 meters from the railway, while there are no protected natural or cultural assets along the route.
“Although there are no protected cultural assets at the location of the project, the following immovable cultural properties protected by Montenegrin regulations are located nearby: Vranjina settlement, Lesendro fortress, Virpazar, Litine near the entrance to the Sozina tunnel, and the Bogorodica Ratačka monastery,” the document states.
During the works, standard pollution from machinery, noise, harmful emissions, and dust is expected, while the railway, after reconstruction, will cause higher levels of pollution due to increased traffic, vapor emissions from the railway ties, dust, noise, and potentially hazardous situations due to the transport of dangerous materials.