Tunnel ticket 100 eur to compete with 12 eur ferry ticket

Competition between shipping companies has driven Tallinn-Helsinki ferry ticket prices down so much that a business plan based on a one-way ticket for the proposed Tallinn-Helsinki tunnel costing €100 is dubious, according to Tallink Group board chairman Paavo Nõgene.

Mr Nõgene does not believe that construction of the proposed Tallinn-Helsinki tunnel will begin anytime soon, according to an interview with regional daily Tartu Postimees.

He also considers it unrealistic to charge €100 for one-way passage via the tunnel while ferry tickets are so cheap due to stiff competition.

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Chinese fund to invest 15 bEUR in Tallinn-Helsinki tunnel

China’s Touchstone Capital Partners is prepared to invest altogether €15 billion in the undersea tunnel project linking the Estonian capital Tallinn and the Finnish capital Helsinki, Finnish daily Helsingin Sanomat reported on Friday.

Touchstone and tunnel developer FinEst Bay Area Development, which is headed by businessman Peter Vesterbacka, signed a €15 billion memorandum of understanding on Thursday (March 7,2019), the daily wrote, adding that financial details would be negotiated over the next six months.

Touchstone will maintain a minority stake in the development company, while the majority stake will remain in Finland.

One-third of the agreed-upon funding will come as private equity investment and two-thirds as debt financing. The fund is planning to use Chinese infrastructure project One Belt One Road for financing the tunnel.

A financing structure was also established with the Chinese fund that will enable other investors to join the tunnel project. The greater the holding of other investors becomes, the smaller Touchstone’s stake will become, Helsingin Sanomat added.

Kustaa Valtonen, one of the founders of FinEst Bay Area, emphasised that the agreement reached “does not mean that €15 billion is deposited into our account at the beginning of next year. The money will be collected when it is needed.”

According to Mr Valtonen, he is very pleased with the agreement reached.

“Touchstone has extensive experience in financing similar large private infrastructure projects,” he said. “Our goal is to secure European, Nordic and Finnish capital investments as well in addition to the already agreed financing arrangement. We are looking for a sustainable and fully balanced financing solution for the project.”

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6.9 million people carried in international sea traffic

According to Statistics Estonia, in 2018, Estonian transport enterprises served as many passengers as in 2017, whereas freight volume in tonnes increased by 2%.

The carriage of passengers decreased in road transport, but increased in rail and air transport. The number of passengers carried by Estonian road, rail, sea and air transport enterprises in 2018 amounted to 208.7 million, of whom the majority (72%) were carried by bus. The passenger traffic volume of transport enterprises increased by 5% year-on-year, and reached 6.2 billion passenger-kilometres in 2018.

The number of passengers that used road transport decreased by 1% compared to 2017. There were 190.4 million passengers in total and 86% of them, i.e. approximately 164 million passengers, used urban transport (incl. trams and trolleybuses). The number of passengers in urban transport decreased by 2%. The number of passengers using county lines was 16.7 million (12% more compared to the previous year). The number of passengers was 4 million on domestic highway lines (down by 2%) and close to 1.4 million on international lines (up by 3%). In 2018, the passenger traffic volume of road transport was 2.9 billion passenger-kilometres.

In 2018, Estonian sea transport enterprises carried 9.4 million passengers, which is almost as much as in 2017. The number of passengers carried was 2.5 million in domestic sea traffic (up by 3%) and 6.9 million in international sea traffic (down by 1%). The passenger traffic volume of sea transport enterprises was nearly 1.3 billion passenger-kilometres in 2018. International sea traffic accounted for 98% of the passenger traffic volume.

Last year, 7.8 million passengers were carried by rail, which is 4% more than in 2017. Around 7.7 million passengers were carried in domestic rail traffic (up by 5%) and 107,100 passengers were carried in international rail traffic. The passenger traffic volume of rail transport enterprises was 416.8 million passenger-kilometres.

In 2018, Estonian air transport enterprises carried 1.1 million passengers, which is 11% more than in 2017. 62% of the passengers were carried on regular flights. The passenger traffic volume of air transport enterprises was 1.5 billion passenger-kilometres.

The carriage of goods increased in both road and rail transport. According to preliminary estimates, in 2018, Estonian road freight vehicles and rail, sea and air transport enterprises carried a total of 57.3 million tonnes of goods, of which a half was carried by road and nearly a half by rail.

According to preliminary estimates, Estonian road freight vehicles carried approximately 29.3 million tonnes of goods in 2018 (up by 1%). 23.7 million tonnes of goods were transported in domestic road traffic (up by 3%) and 5.6 million tonnes in international traffic (down by 7%). The estimated freight turnover totalled nearly 6 billion tonne-kilometres in 2018.

In 2018, the volume of goods carried by rail increased by 2%, amounting to 27.8 million tonnes. Nearly two-thirds of the rail freight volume was in domestic rail traffic, reaching 17 million tonnes of goods last year (down by 6%). The volume of goods carried by public railway amounted to 13.5 million tonnes, of which around 80% was in international traffic. Transit goods carried amounted to 9.1 million tonnes (up by 20%). The carriage of imports and exports by rail increased by 3% and 10%, respectively. Compared to 2017, freight turnover in rail transport increased by 12% and amounted to 2.6 billion tonne-kilometres.

The data of Estonian transport enterprises are collected and published according to the enterprise’s principal activity. The enterprise’s principal activity is determined based on the Estonian Classification of Economic Activities (EMTAK (NACE Rev 2.)): land transport (rail and road), water transport and air transport.

Road transport of passengers includes bus, trolley bus and tram transport. Urban transport includes passenger transport by buses, trams and trolley buses.

Passenger traffic volume is the volume of work done in the transport of passengers. It is measured in passenger-kilometres (pkm). One passenger-kilometre is the transport of one person across a distance of one kilometre.

Freight turnover is the volume of work done in the transport of goods. It is measured in tonne-kilometres (tkm). One tonne-kilometre is the transport of one tonne of goods across a distance of one kilometre.

Source: Statistics Estonia

Dubai company putting €100 million into Tallinn-Helsinki tunnel

Dubai engineering solutions giant ARJ Holding Ltd is investing €100 million in the Tallinn-Helsinki tunnel project, tunnel designer Peter Vesterbacka announced at a press conference on Monday.

Mr Vesterbacka, chief of FinEst Bay Area, the group behind the tunnel project, pointed out the total cost of the tunnel stands at €15 billion, with an investment period of 30 years; the tunnel itself has a projected life span of 120 years, he said.

Finest Bay Area Leader Vesterbacka said the total cost of the project is estimated at €15 billion. The investment period is 30 years and the tunnel should last 120 years.

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Passenger traffic and shipment of goods increased in 2017

According to Statistics Estonia, in 2017, compared to 2016, the number of international traffic passengers served by Estonian ports increased by 3%, the number of national traffic passengers increased by 7% and the freight volume of ports in tonnes increased by 3%.

Last year, a record number of passengers used the services of Estonian ports. In 2017, nearly 10.9 million passengers visited Estonian ports by international transport, which is 3% more than in 2016. The growth was mainly due to a gradual increase in the number of passengers travelling between Estonia and Finland, which reached 9 million. 160,000 more passengers arrived from Finland and 114,600 more passengers departed to Finland compared to 2016. Between Estonia and Sweden, 1.3 million sea passengers were transported, i.e. 7% more passengers compared to the previous year. 592,300 cruise passengers arrived by sea, i.e. 19% more than the year before. Three out of four passengers used Estonian ships in international sea traffic.

The number of passenger ship calls at Estonian ports in international sea traffic was around 6,170, i.e. 1% less passenger ships (incl. ro-ro passenger ships) than in 2016, and 326 cruise ships (285 in 2016) called at Estonian ports. On international routes, around 2 million vehicles (excl. transit vehicles) were served by ports; 71% were passenger cars and 26% were trucks and trailers.

On main national ship lines, around 2.4 million passengers were transported, which is 7% more than in 2016. On those lines, 899 ship trips more were made than in 2016 (in 2016, there were over 15,200 trips, and in 2017, over 16,100 trips). On main national lines, approximately 1.02 million vehicles were served, i.e. 85,700 more vehicles than in 2016.

In 2017, Estonian ports handled 34.8 million tonnes of cargo, which is 3%, or 1.2 million tonnes more than the year before. 23.5 million tonnes of goods were loaded and 11.3 million tonnes of goods were unloaded in Estonian ports in 2017. 4% more goods were loaded and 2% more goods were unloaded than in 2016. In 2017, 114 more cargo ships called at Estonian ports than in 2016. The average gross tonnage of cargo vessels totalled about 11,100.

Transit goods were loaded and unloaded in ports in the amount of 17.9 million tonnes, which is 1% less than in 2016. 12.7 million tonnes of transit cargo were loaded and 5.1 million tonnes unloaded at Estonian ports. The most frequently handled group of transit goods at Estonian ports was refined petroleum products (11.4 million tonnes), although the transport of these products decreased by 5% in a year. The loading and unloading of chemicals and chemical products as transit goods amounted to 4.7 million tonnes, which is 5% more than the year before. In addition to transit goods, 10.7 million tonnes of goods were transported abroad through ports and 6.2 million tonnes of goods arrived at Estonian ports, which is respectively 9% and 10% more than in 2016. Goods transported abroad through ports were mainly a mixture of types of goods transported together (3.1 million tonnes) and products of forestry and logging (nearly 2.2 million tonnes). Goods that arrived at Estonian ports included primarily a mixture of types of goods transported together (3.1 million tonnes) and products of mining and quarrying (1.4 million tonnes).

Sea container transportation through ports (expressed in TEUs) increased by 13% compared to the previous year, amounting to around 230,400 TEUs in 2017. The number of containers shipped out of Estonian ports on vessels was around 111,900 TEUs, and the number received at Estonian ports was nearly 118,500 TEUs.

Passengers and goods transported through ports, 2010‒2017

Source: Statistics Estonia

Carriage of goods increased in rail transport

According to Statistics Estonia, in 2017, the number of passengers served by Estonian transport enterprises remained at the same level compared to the previous year. Carriage of goods decreased in road transport, but increased in rail transport.

In 2017, the number of passengers carried by Estonian transport enterprises amounted to 208.3 million, with the majority carried by road. In road transport (incl. trams and trolley buses), there were approximately as many passengers carried as in 2016, but the number of passengers increased in sea, rail and air transport. In 2017, the passenger traffic volume of transport enterprises was 5.9 billion passenger-kilometres, and it increased by 9% compared to 2016.

Bus transport enterprises served 190.4 million passengers in 2017, and 87% of them, i.e. approximately 165.4 million passengers, used urban transport (incl. trams and trolleybuses). Urban transport was used almost as much as in 2016. The number of passengers was approximately 14.9 million on county lines (5% less compared to 2016), 4.1 million on domestic long-distance lines (down by 3%) and approximately 1.4 million on international lines (up by 12%). In 2017, the passenger traffic volume of road transport was approximately 2.9 billion passenger-kilometres, and it decreased in domestic traffic by 6% and increased in international bus transport by 7%.

In 2017, Estonian sea transport enterprises carried 9.4 million passengers, which is 3% more than in 2016. The number of passengers carried in domestic sea traffic was 2.5 million (up by 7%) and roughly 7 million (up by 2%) in international sea traffic. The passenger traffic volume of sea transport enterprises increased by 13% year on year, and was nearly 1.3 billion passenger-kilometres in 2017. International sea traffic contributed 98% of the passenger traffic volume.

Last year 7.4 million passengers were carried by rail, which is 7% more than in 2016. In domestic rail traffic, 7.3 million passengers were carried (up by 7%), and 107,400 passengers in international rail traffic (up by 4%). The passenger traffic volume of rail transport enterprises increased by 16% year on year, totalling 366.7 million passenger-kilometres in 2017.

In 2017, Estonian air transport enterprises carried 946,700 passengers. Compared to 2016, this is 66% more. 61% of the passengers were carried on regular flights. The passenger traffic volume of air transport enterprises increased by 38% year on year, and was approximately 1.3 billion passenger-kilometres.

According to preliminary estimates, in 2017, Estonian road freight vehicles and rail, sea and air transport enterprises carried a total of 55.2 million tonnes of goods, of which a half was carried by road and nearly a half by rail. The preliminary estimate for freight turnover in 2017 is nearly 8.6 billion tonne-kilometres.

According to preliminary estimates, Estonian road freight vehicles carried approximately 27.7 million tonnes of goods in 2017, which is a fifth less than in 2016. The volume of freight in tonnes fell mainly in the second half of the year. 21.9 million tonnes of goods were transported in domestic road traffic (down by 21%) and 5.8 million tonnes in international traffic (down by 17%). The freight turnover of road transport vehicles decreased by 13% compared to 2016, and totalled 5.9 billion tonne-kilometres.

In 2017, the volume of goods carried by rail was 7% larger than the year before, amounting to 27.3 million tonnes. 18.1 million tonnes of goods were transported in domestic rail traffic (up by 15%), with the majority contributed by oil shale transport. 9.2 million tonnes of goods were transported in international traffic (down by 5% compared to 2016). Year on year, freight turnover of rail transport decreased by 1%, and amounted to 2.3 billion tonne-kilometres. Of international rail freight transport, 7.6 million tonnes were goods in transit, imports amounted to 1.3 million tonnes and exports to 0.3 million tonnes. Carriage of goods in transit by rail decreased again by 5% year on year, mainly due to a decrease in the carriage of liquid refined petroleum products. Import goods were carried 7% less and export goods 23% more than in 2016.

The data of Estonian transport enterprises are collected and published according to the enterprise’s main economic activity. The enterprise’s main economic activity is determined based on the Estonian Classification of Economic Activities (EMTAK (NACE Rev. 2)): land transport (rail and road), water transport and air transport.

Road transport of passengers includes bus, trolleybus and tram transport. Urban transport includes passenger transport by buses, trams and trolleybuses.

Road transport data for 2017 are estimated based on the data of the statistical activity ”Transport of goods by road”. Road freight vehicles registered in the traffic register of the Road Administration which are not older than 25 years and have a loading capacity of over 3,500 kg are observed. The revised data are published upon adding data for the following period.

Passenger traffic volume is the volume of work done in the transport of passengers. It is measured in passenger-kilometres (pkm). One passenger-kilometre is the transport of one person across a distance of one kilometre.

Freight turnover is the volume of work done in the transport of goods. It is measured in tonne-kilometres (tkm). One tonne-kilometre is the transport of one tonne of goods across a distance of one kilometre.

For the statistical activities on transport, the main representative of public interest is the Ministry of Economic Affairs and Communications, commissioned by whom Statistics Estonia collects and analyses the data necessary for performing these statistical activities.

Source: Statistics Estonia

Tallinn airport tram line to enter into service at end of August

Tram service to Lennart Meri Tallinn Airport is expected to begin at the end of August, construction executives said as the completion of the principal structures of the tram tunnel under the railway line at Ülemiste was celebrated on Friday.

 

Construction of the extension of the number 4 tram line to Tallinn Airport began in spring 2016. Once service to the airport is established, some additional work such as road construction work, street lighting and landscaping work will continue through the end of October.

Read more on ERR News site, original source BNS