The Croatian consortium was chosen to perform HRK 1.3 billion work on the 38.2-kilometre long rail line from Dugo Selo to Krizevci, a project of strategic importance to be co-financed by the European Union. The value of the entire project is estimated at HRK 1.52 billion, of which 85% is to be provided by the European Regional Development Fund and 15% by Croatia.
In October 2015, the HZ Infrastruktura company, which specialises in the management, maintenance and building of railway infrastructure, selected this Croatian consortium because it offered the lowest price.
However, the two other bidders -- Swietelsky Baugesellschaft from Austria and a union of Spanish bidders Comsa and Acciona Mantenimiento de Infraestructuras -- appealed against HZ Infrastruktura's decision.
The Croatian public procurement regulator DKOM upheld the appeals and ordered HZ Infrastruktura to pay 100,000 kuna to the Austrian and Spanish bidders in compensation for the cost of the appeals proceedings.
In the further procedure, HZ Infrastruktura again opted for the Croatian consortium. Earlier this year HZ Infrastruktura said that DKOM's ruling did not mean the abolishment of the tender but that HZ Infrastruktura must reopen the procedure for the selection of the best bidder.
The project includes the construction of a new 38-kilometre track of the future electrified double-track railway with 17 new level crossings and two pedestrian crossings and other necessary infrastructure as well as the reconstruction of four railway stations and stops. The overhauled double-track railway will shorten travel time from Dugo Selo to Krizevci by 12 minutes, from 30 to 18 minutes.
Work is expected to start this year and is to be finalised in late 2019.
(EUR 1 = HRK 7.6)