KfW IPEX-Bank has provided structured financing for the Scottish railway network together with SMBC Leasing and Finance Inc. and RBS/Lombard. KfW IPEX-Bank’s contribution amounts to GBP 140 million (around EUR 190 million).
The project comprises 70 electric multiple units produced by Hitachi Rail Europe and also includes a 10-year maintenance deal. The order has been placed by leasing company SMBC Leasing (UK) Ltd, which leases the units to the Dutch operator Abellio ScotRail Ltd. The latter won the bidding process for the franchise to operate the entire Scottish network “ScotRail” comprising 347 train stations, almost 800 trains and 4,850 employees. This includes the electrification of the Glasgow – Edinburgh line and the roll out of the new trains during 2017 and 2018.
“We are supporting the heart of the Scottish railway network expansion by financing the rolling stock for the Glasgow – Edinburgh line,” said Christian K. Murach, member of the Management Board of KfW IPEX-Bank. The expansion of the line will ease private transport congestion between the two large cities and enable a general improvement in mobility for the people in Scotland’s densely populated central belt with faster journey times, higher capacities and better service quality.
The multiple units are 46 three-car and 24 four-car trains of the type AT200 EMU. The light and modern trains can reach speeds of up to 160 km/h.
The first seven trains are being produced at Hitachi in Japan; once the new Hitachi Rail Vehicle Manufacturing Facility in Newton Aycliffe/UK opens later on this year as planned, train production will be relocated to the UK. The roll out of the new trains is to be completed by the end of 2018.