Rail Baltica Pärnu-Ikla raudteetrass

Client: Rail Baltic Estonia OÜ

Contract period: 2025 – 2030

Contract value: 332 000 000 EUR (ex-VAT)

Project Overview:

The contract includes the full design and construction of the Pärnu–Ikla railway section, including surveys, permits, structures, embankments, superstructure, and related works.

Additional Information: 

This contract is part of Estonia’s largest infrastructure procurement ever (totaling 726 million euros):

The total estimated value of both contracts is EUR 726 million. However, with the potential additional procurement of strategic materials (such as rails, sleepers, turnouts, and ballast), the total cost could reach up to EUR 932 million.

The first alliance agreement covers the superstructure of the Ülemiste–Pärnu section of the railway and the substructure and superstructure of the Tootsi–Pärnu section. Its cost is 394 million euros.

The project will begin with a development phase lasting approximately one year, during which the alliances will prepare a detailed work plan, acquire necessary resources, refine technical solutions, and develop construction schedules. Active construction work is planned to begin after this phase.

The Estonian state partially supports the contract’s financing through revenues from auctioning greenhouse gas emission allowances (EU ETS).