New generation projects in Greece on the way

The… heavy artillery of new projects in Greece is being prepared by the Ministry of Infrastructure; projects that will keep alive and even strengthen the country’s technical sector.

We are talking about 7 large-scale projects, worth 4.1bn euros that promise to bring new jobs and growth. Their preparation is in progress and many of them are “mature” enough to become materialized, “feeding” the constructions sector for the next 5 years. All of them are undertaken by big companies. But let’s see in more detail what is being planned by the Ministry so far:

1. New Athens Metro Line 4

The first phase of the tender is in progress and concerns the consortia that will pass to the next stage. All major construction companies are present, except for INTRAKAT and PORTO KARRAS. The project is expected to begin in 2019 and its huge budget makes the participating companies particularly interested in this “golden contract”. It is clearly the leader of the new generation project of the country with a really high budget of 1.45bn euros (1.8bn incl. VAT).

2. Crete’s Northern Motorway Axis (aka VOAK)

The second largest project, being prepared by the Ministry of Economy and Finance for the OAK (i.e. Crete’s Growth Organization) which is the implementing entity. The cost is estimated at 1.1bn euros and concerns the substantial section of the motorway between Chania and Heraklion, with a length of 142 km. The studies are already running, the tender is expected in 2018 while works are likely to start towards the end of 2019.

3. Northern and Southern section of E65

A week ago, Infrastructure Minister, Mr. Christos Spirtzis announced the initiation of the project for the construction of the Southern part of Lamia-Xyniada section (E65 Motorway) in the end of the year and, in 2018, for the Northern part, connecting Trikala with Egnatia Motorway. The two projects are secured by TERNA, thus ensuring the relocation of the manpower of Ionian Motorway to the new road project in Central Greece. The cost is estimated at 700mn euros (300mn for the Southern and 400mn for the Northern section).

4. New International Airport of Kasteli 

The most “mature” new generation project. Signatures for the initiation of T1 construction period are expected in early 2018 with TERNA being once again the big winner of this mega-project. The cost is about 500mn euros and, along with Crete’s new Motorway, will transform the image of the island over the cource of the next decade. This project is expected to be completed in 2023, shortly before the summer season begins. It also includes an 18-km-long covered motorway, linking the airport with VOAK.

5. Salamina Underwater Road Tunnel

The tender has already started since last year and is now maturing. At the end of the year, we expect the scope of the project to be finalized through the process of competitive dialogue and in 2018 the contractor will be selected allowing construction works to start, one year later, in 2019. A really “commercial” concession project at a cost close to 400mn euros. Another important element of the project is its rewarding nature both for Salamina and Perama. Four consortia have expressed their interest.

6. Patra-Pirgos Motorway (Olympia Motorway’s extension to the Southwest)

This work has passed through multiple setbacks. Originally part of Olympia Motorway, but afterwards “detached”. It has now been incorporated in NSRF 2014-2020 and in the beginning of 2018 all 8 related contracts will start to be completed over a period of 42 months. In this case, contracts were undertaken by the medium-sized companies of the industry. The cost of the project was again estimated at 355mn euros.

7. Rio-Aghios Andreas railway project

This is the latest project that appears to be added to the list of major new generation projects. An important element here is the coverage of the project by NSRF 2014-2020 that gives the project a weight of existence. The cost of the project will be at least 350mn euros and concerns 5 km of “light undergrounding” of a double electrified railway line, 2 new central stations in Aghios Dionysios and Aghios Andreas areas in Patra. However, the tender is expected, sometime in the end of 2018 and the relevant works in 2019. 

In addition to these “tangible” projects, we also have other new projects that are currently more theoretical. For example there is a very interesting and promising plan for the Eastern Railway Egnatia (Thessaloniki-Xanthi-Alexandroupolis-Ormenio) with an estimated cost of 2bn euros and will probably be a project for the next decade.

We also have the extensions of Thessaloniki Metro that may be tendered as a cluster of projects (towards Airport, Efkarpia and Kordelio) costing approximately 1.1bn euros, extensions of Athens Metro Line 4 (towards the PATHE Motorway, Perissos, Ano Ilioupoli) costing roughly 1.8bn euros, the extensions of Athens Metro Line 2 (towards Ilion and Glyfada) costing 600mn euros and other Tram extensions in Athens.

 

Nikos Karagiannis-ypodomes.com

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