EXCLUSIVE: Egypt expects to complete evaluation of rail bids soon

28 January 2018
Egypt is seeking firms to supply and finance 1,300 coaches for its mainline railway

Egyptian National Railways (ENR) expects to complete the bids evaluation process for the contract to supply 1,300 train coaches destined for Egypt’s mainline railway soon.

According to a source with knowledge of the transaction, there are between six and seven firms that have submitted an offer for the contract and that they expect the evaluation process to be completed by February.

The scope of the contract now includes the supply of 1,300 coaches, nearly double the number it previously sought to acquire.

The current scope now includes 300 air conditioned coaches offering first and second class seats as well as 300 “normal” coaches in addition to the 700 non-air conditioned units.

Prior to the change in scope, it is understood that the Egyptian authority has been engaged in negotiations with a joint venture that comprises of Russia’s Transmasholding and Hungary’s Ganz Motor & Dunakeszi and a second group comprising Latvian companies for the supply of 700 non-air conditioned coaches. Both teams submitted a technical and financial offer for the contract in 2016.

However, it is understood that the ENR did not agree to the financial terms offered by both teams.

Modernising ENR’s fleet is part of Egypt’s plan to reform its rail sector and improving operational efficiencies and reliability. Future plans include the separation of freight operations and the introduction of track-access charges, which will provide a framework for future private sector involvement in the railway market.

 

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