CONCESSION FERROVIAIRE NANCY-CONTREXEVILLE

The project will finance the modernisation and upgrade of railway line between Pont-Saint-Vincent and Vittel ("Region Grand Est"), as well the construction of a railway depot for maintenance of passenger rolling stock.

The aim is to increase the quality of rail services and promote rail travel in the region, increase road safety while reducing the circulation of private vehicles, with consequent positive impacts on the local environment. Being located in one of the EIB Cohesion Priority Region (Grand Est), the project will contribute to sustainable transport and to regional development, line with EU and EIB policy objectives.

The Region Grand Est (France) has selected a new public service operator (rail and bus) that will also be responsible for rehabilitating the existing Nancy-Contrexeville railway line that had been partially closed in December 2016 and meeting the output requirements of the 'Contrat de Concession de service public'. This concession tender is structured on the basis of vertical integration of rail infrastructure and services, through a form of public-private partnership, a new operational model that the French Regions are allowed to deploy on the Lignes Ferroviaires de desserte fines des territoires (LDFT), that are usually not part of the TEN T network. The Nancy- Contrexeville line is not part of the TEN-T railway network.

The concession covers the modernization and upgrade of the railway line, as well as the construction of a new railway depot for maintenance of passenger rolling stock to enable the restoration of rail services on the 89 km route from Nancy to Mirecourt, Vittel and Contrexéville. The concession also includes the operation of related replacement bus services. The Région Grand Est has requested a transfer of responsibility for this line under the Loi d'Orientation des Mobilités adopted on December 24, 2019 (article 172 law n°2019-1428) and which came into force around 12 months later property of this line under a legal regime created in 2014 and completed in 2022 (law "3DS" n° 2022-217).

The winning bidder is required to finance and rehabilitate of the 81 km section between Jarville, Pont-Saint-Vincent and Vittel as well as build a new railway depot for maintenance of passenger rolling stock. The line will be operated under a 22-year concession, whereby the concessionaire will manage and maintain the newly modernised line, stations along the line as well as operate passenger rail connections between Nancy, Jarville, Vittel and Contrexéville.

The rolling stock to be used for the passenger services will be provided by the Authority.

By helping the regional railways to maintain and increase modal share, the project will also contribute to climate action and environmental sustainability (CA&ES) objectives, in particular to climate change mitigation. The EIB will ensure that the project complies with the requirements of the Environmental Impact Assessment (EIA) Directive 2011/92/EU (as amended by Directive 2014/52/EU) and EIA aspects will be reviewed during appraisal. Potential impacts on protected areas and species, in accordance with the Habitats Directive (92/43/EEC) and Birds Directive (2009/147/EC) will also be appraised.

The Region Grand Est has launched an open tender for provision of railway services one line Nancy - Contrexéville including modernisation and upgrade of the infrastructure, as per Regulation (EC) No 1370/2007. The future "concessionaire" may be a private company not being subject to EU rules on public procurement. However, if at project appraisal, the EIB were to conclude that the "concessionaire" and/or the entities procuring the project contracts are subject to the EU public procurement legislation then the EIB will require that contracts for implementation of the project be tendered in accordance with the applicable EU procurement legislation (Directive 2014/23/EU / 2014/24/EU / 2014/25/EU as well as Directive 92/13/EEC or Directive 89/665/EEC) as interpreted by the Court of Justice of the EU, with publication of tender notices in the EU Official Journal, as and where required.