All agreed loans

Finland. Helsinki City Transport HKL

Date of loan: 18 Oct 2016
Country: Finland
Customer: Helsinki City Transport HKL
Amount in EUR: EUR 60 million
Maturity: 20 years
NACE sector / loan type: Land transport
Business area: Infrastructure, transportation and telecom

Environmental effect

This loan contributes to climate change mitigation: 100%

Financing from NIB Environmental Bond proceeds

Share of financing: 100%
Amount disbursed: EUR 60 million

Note: For loans in other currencies than EUR, the equivalent in EUR is based on the exchange rate effective for the disbursement. Read more about the NIB Environmental Bonds

Project

The loan has been provided to finance the purchase of 40 energy-efficient, low-floor Artic trams for the city. The investment is part of Helsinki’s 2015–2018 infrastructure development programme. The new trams will replace the generation of the current fleet that was built in the 1970s. The new Helsinki trams have been designed in cooperation between the city and the Finnish supplier of the new trams, Transtech Ltd, part of the Škoda Transportation group.

The Artic tram design is designed to cope with Helsinki's demanding conditions, not least the challenging climate. The new fleet will be more energy efficient, offer more comfort and better access for wheelchairs and prams, and have by a passenger capacity 50% greater than the older trams.

Helsinki City Transport HKL is a municipal operator company responsible for running the trams and the metro as well as construction and maintenance of track, stations and depots.

Fulfilment of NIB's mandate

The project will significantly improve the service quality and productivity of public transportation in Helsinki. The new tram design developed at Transtech has been a valuable reference in Škoda Transportation group’s recent bids for tram equipment tenders. This is expected to alleviate challenges of the regional economy of Kajaani in northern Finland, where Transtech has a staff of roughly 500.

Sustainability summary

The implementation of the project implies low potential for negative environmental impact.

Press release

NIB finansierar energieffektiva spårvagnar i Helsingfors

 

Press release

NIB rahoittaa energiatehokkaiden raitiovaunujen hankinnan Helsingissä