S7 EXPRESSWAY PLONSK - CZOSNOW

Promoter – Financial Intermediary

MINISTRY OF INFRASTRUCTURE / GDDKIA - REPUBLIC OF POLAND

Location

• Poland

Description

The project concerns the modernisation of the entire Expressway S7 route north of Warsaw, between Plonsk and Czosnow, complementing the existing sections on the entire North-South axis. The S7 is a major road in Poland which has been planned to run from Gda?sk, on the Baltic coast, through Warsaw and Kraków to Rabka, near the border with Slovakia.

Additionality and Impact

The Project concerns construction of a 34.6 km long S7 Expressway section between Plonsk and Czosnow and will contribute to the efficiency of the Baltic - Adriatic TEN-T corridor in Central Poland by improving connectivity between Warsaw and Gdansk. The Project includes the modernization of one but last section along the S7 route north of Warsaw to an expressway standard and complement already constructed expressway sections on the entire North - South axis between Gdansk and the border of Slovakia. The Project will contribute to the adapting of the technical and operational parameters of the road to the forecast traffic level, by removing bottlenecks, completing missing elements of a safe road infrastructure and improving driving conditions. The Project will also contribute to the reduction of safety related negative externalities and improve living conditions for inhabitants alongside the road. The terms and conditions of the EIB loan, notably in terms of long tenor (up to 30 years), appropriate disbursement conditions and advantageous financial terms will increase the financial flexibility and investment capacity of the Promoter and will be complementary to the EU grants and national financing. The Bank's contribution will therefore facilitate the completion of the Project on favourable terms and in a timely manner.

Objectives

The aim is to make the Baltic-Adriatic TEN-T corridor in Central Poland more efficient and safer, by improving connectivity and driving conditions between Warsaw and Gdansk. Adapting the road technical and operational parameters to the traffic forecasts, will remove bottlenecks, as well as benefit the population's living around.

Sector(s)

• Transport - Transportation and storage

Proposed EIB finance (Approximate amount)

EUR 220 million

Total cost (Approximate amount)

EUR 524 million

Environmental aspects

The project falls under Annex I of the Environmental Impact Assessment (EIA) Directive 2014/52/EU, amending the EIA Directive 2011/92/EU, requiring a full environmental impact assessment (EIA) procedure. EIA studies were completed in 2015 and in February 2016 the Regional Director for Environment (RDOS) issued an Environmental Decision. It was challenged by the Mayor of Zaluski to the higher instance General Director for Environment (GDOS), who in February 2017 issued a Decision, modifying several paragraphs in the RDOS decision, while upholding the rest of it. This Decision imposed that, following the design phase, the developer shall carry out a Supplemental EIA (SEIA), allowing the Competent Authority to define detailed environmental requirements, as part of the process for obtaining the Development Permit. Design and Supplemental EIA studies were completed in 2021 and are under review by the Competent Authority at a time of pre-appraisal. Taking into consideration that the project alignment crosses environmentally sensitive area (Valley of Central Vistula). Although the project follows the existing alignment of the road, particular attention during the appraisal will be on compliance with environmental and social standards and, in particular, on foreseen measures for mitigating any potential negative impact on NATURA 2000 site specific conservation objectives.

Procurement

Procurement process is completed, with tenders launched in 2019 and three "design and build" type of works contracts and one supervision contract being signed in 2020. The EIB will verify that contracts for implementation of the project are tendered in accordance with the applicable EU procurement legislation, Directive 2014/24/EU as well as 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.

Status

Signed - 23/12/2022