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Swedish construction firm Skanska has secured a contract worth €38m from the Helsinki Housing Production Department ATT to construct 189 apartments in Helsinki, Finland.
The global construction industry risk levels have risen for the fifth consecutive quarter, according to Timetric’s Construction Intelligence Center (CIC).
Skanska has won a SEK1.5bn ($168.3M) order from the City of Helsinki to revamp the Olympic Stadium in Helsinki, Finland.
SRV Group has started construction on a new €300M hospital in Central Finland.
Finland-based Admares has been selected for phase 1 of the Marasi Business Bay development in Dubai.
Wärtsilä, a Finland-based specialist in flexible power plants, has signed a contract worth €75M to supply a 101MW plant to Pampa Energía in Argentina.
Finnish construction firm YIT has commenced work on the Helsinki Central Library site in Finland.
The European Investment Bank (EIB) has approved €100M in financing to support the second phase of the West Metro extension in Espoo, Finland.The funding for the second phase of the extension follows a previous €450M loan provided in 2011 for the first phase of the West Metro, which will enter into service in early 2017.The 7km extended track will add five stations to the line between Matinkylä and Kivenlahti in Espoo.EIB’s president Werner Hoyer said: “Operations like this show that the benefits of the EIB’s operations are quite tangible on the ground.“The mission of the EU Bank is to improve people’s lives through the transactions it performs; I think that helping to improve local public transport is a very good way of doing that. If citizens can travel faster and more comfortably, that improves their lives, even if they don’t always realise it.”Espoo mayor Jukka Mäkelä said: “The West Metro extension in Espoo is not only an investment in public transport but also an investment for the whole area. The West Metro’s growth and development corridor links up the southern part of the city and connects the whole area to the metropolitan area of Helsinki.”
Plans for a Helsinki–Tallinn undersea rail tunnel are a step closer to reality after Finnish and Estonian ministers signed a memorandum of understanding (MOU) earlier this year.The MOU binds the two states to further investigate the viability and economic impact of the tunnel’s construction.The 50-mile undersea rail tunnel has been on the table for almost a decade, with multiple studies considering the potential for socio-economic development between the two cities.According to a study financed by the European Union EUBSR Seed Money Facility, published in February 2015, the project is set to be a success.Predicted to treble travel and boost trade, the tunnel, if built, will be one of the longest underwater railway tunnels in the world, serving four million people living within a 200km radius of both capitals. It will also carry about half of future cargo traffic in the area.25,000 daily commuter trips are to be expected in the first ten years after the opening of the railway, which promises improved accessibility and reduced commuting times from the current two-and-a-half hours by ferry to a 30-minute journey. The revenue generated by passenger traffic would amount to €67bn by 2080.Trains will be able to carry 800 passengers each and cargo with a total capacity of 96/TEU, reaching speeds of 250 km/h.Expected to take eight to ten years to be finished, the total cost of the development can vary between €9bn and €13bn and construction work can start anytime between 2025 and 2030. Further plans include the construction of a €3.6bn Rail Baltica high-speed train line to link Finland, the Baltic States and Poland, improving the connection between central and northern Europe.Socio-Economic ImpactA decisive factor on the tunnel’s construction is its ability to boost economic activity in the Nordic region.The region can become one of the significant centres in Northern Europe, as the two cities house more than 2.5M inhabitants and see over 7.5M passengers travel annually by ferry for business or tourism purposes. By 2080, the total number of passengers between the two cities is expected to reach 41M.Although transport via the new tunnel is slated to bring a 1–3% increase to Finland’s GDP within 20 years in operation, that will not be replicated in Estonia, Latvia and Lithuania, which will see only an increase of 0.5% in GDP.Both countries are expected to collect the benefits of the wider consumer market and shared labour market that the tunnel would open to.The European study concludes: "The figures also show that direct and indirect benefits during the construction and operation period to the economy of both countries are remarkable. “The competitiveness of the twin-city area will be strengthened by improved accessibility, new companies and business, better image and a variety in living options.”Risks and ChallengesThe project poses risks in the construction and execution phases as well as economic, political and technological challenges.In its initial phase, the tunnel’s main problems are related to the geology at the proposed exit location in Estonia, as an important source of water supply for the city is located there.Apart from the uncertainty surrounding its funding, the study also warns that "globally, the political risk for the project progress could be a culmination of the crisis between East and West."At a national level, tensions might arise due to the different process and culture surrounding of the decision-making process."The political success of the tunnel project will depend on the wideness of its impact area and how it is combined with the whole transport system of both countries," the study says.These are still early days for any clear decision, but a potential next step for the project would be the foundation of a Finnish-Estonian project organisation followed by a full feasibility study to make it clear when the tunnel is to be expected.According to Hannes Virkus, an adviser at the Estonian ministry of economic affairs, real decisions shouldn't be expected before 2018.* This is a version of an article that first appeared at www.railway-technology.com.
Finnish construction firm SRV has secured a €100M contract for the expansion of the centre of Tapiola in Espoo, Finland.Under the contract, SRV will be responsible for the provision of the project management services for LocalTapiola Real Estate Asset Management’s Ainoa and Kirjokansi project, where the Tapiola Centre’s renovation project will run until 2020.SRV served as LocalTapiola's project management contractor during the second construction phase of the Ainoa shopping centre and the Kirjokansi apartments.In the third and final construction phase, a new business building will be constructed in central Tapiola, complemented by two new blocks of Kirjokansi flats with a total of 106 apartments.Work will start with the demolition of the existing Stockmann department store building, which will be replaced by 20,000sq m of new business premises.SRV’s vice president of business operations in Finland Juha Toimela said: “Tapiola is one of the most important centres of Espoo. We are delighted that LocalTapiola has selected us to continue the expansion of Tapiola's central block.“Cooperation between LocalTapiola and the SRV's project team has been excellent and the project has remained on schedule. Furthermore, the recent growth in our long-term order backlog is a good indicator of the functionality and scalability of the SRV Approach.” The third phase of the Ainoa shopping centre is expected to be complete in late 2019 and the housing unit will be finished in 2020.
Finnish construction company YIT has announced that the Mall of Tripla project in Helsinki secured a €300M financial package.The financial package will be provided by a group of banks, including the European Investment Bank (EIB), the Nordic Investment Bank (NIB), Danske Bank and Handelsbanken.The €600M shopping mall is set to become the largest shopping centre in Finland in terms of the number of retail spaces.It will have 85,000sq m of leasable floor area for a total of 250 tenants, and a car park with 2,300 spaces. The development will feature new solutions for recycling, water treatment and waste processing, allowing the constructors to apply for a Platinum-level LEED certification. The project is expected to be completed in late 2019.
The European Investment Bank (EIB) has signed three loan agreements worth €400M in total to support urban transport, education, and a combined-heat-and-power plant in Finland.EIB has signed a €140M agreement with the City of Espoo, which will support the construction of four new pre-schools and day-care centres as well as three new comprehensive schools.The programme will also include the expansion of three school campuses and renovation of one comprehensive and one upper secondary school.The second agreement involves a €180M framework loan to fund the investment plan of the transport company of the City of Helsinki. The plan involves procurement of new tram, extension of existing tramlines, and upgrades to the network. A significant part of the funding will be used for the newly produced ARTIC trams.In addition, EIB has also offered a €75M loan to Finnish energy utility firm Lahti Energia to deploy a biomass-fired CHP plant.The new plant, to use 100% renewable fuel, will replace the old Kymijärvi I coal-fired power plant by 2019. It will have the capacity to reduce emissions by allowing recovery of condensation from fuel and recycling ashes back into forests as fertiliser.EIB’s vice-president for Finland operations Jan Vapaavuori said: “The agreements signed today are good examples of where the European Investment Bank can add value for local infrastructure, services and energy generation.“The Bank has continued to invest in Finland over the last few years and we are glad that Finnish citizens will soon be able to find that the EIB’s activities have concrete benefits for their daily lives.”
Finland-based construction firm SRV Group has secured a €290M contract for the construction of Central Finland Central Hospital.The new 100,000sq m hospital, worth about €490M, will be built near the existing central hospital. Most of the hospital premises will be taken up by specialised care, while some will be reserved for the City of Jyväskylä's basic health care.The hospital's expenses will be divided among the 21 municipalities that make up the Council of Central Finland Health Care District. SRV’s head of operations in Finland Juha Toimela said: "Central Finland Central Hospital will significantly increase our already record-high order backlog. "The final target price of the project management contractor agreement was confirmed at a meeting of the Administrative Council of the Central Finland Health Care District. This is a great example on how SRV could found reduction on costs in co-operation with the client in order to meet the target price set.”Preparatory works will start in early August and actual construction is set to commence in the beginning of September 2016.
Etera Mutual Pension Insurance Company YIT, Onvest and Fennia Mutual Insurance Company have signed an agreement to deliver the Mall of Tripla and its parking facilities in Helsinki as a joint venture. The €600M development will have a leasable floor area of about 85,000sq m for a total of 250 tenants and a parking facility with space for 2,300 cars. The construction commences with Tripla, which will include office space, apartments and a hotel in addition to the shopping mall and the parking facility. The construction project also covers the Pasila station and the adjacent public transport terminal.
The European Investment Bank (EIB) has provided a €175m long-term loan for the construction of a new industrial combined heat and power (CHP) plant in Kilpilahti, Finland. Estimated to cost €400m, the project will be developed by a joint venture between Borealis and Neste, alongside energy service company Veolia. Veolia will oversee the operation and maintenance of the plant. The project is being funded by the Nordic Investment Bank, BTMU, ING, Nordea, SEB and UniCredit. The new plant will supply heat to the oil refinery and chemicals plant on the site, and provide electricity to the grid.A total of four new steam and power generation assets will offer an installed capacity of 450MW thermal and 30MW electrical power. The new units will replace the old ones, enhance their environmental performance, as well as utilise industrial side streams such as asphaltene that would not be otherwise recovered for energy production. The facility will comply with the latest environmental regulations, and is projected to minimise carbon dioxide emissions by 20% after becoming operational during 2018.EIB vice president Jan Vapaavuori said: “The European Investment Bank strongly promotes energy efficiency and security of energy supply. Therefore, we are glad to foster the construction of the Kilpilahti power plant, which will offer long-term sustainable support to the largest concentration of oil refinery and petrochemical industries in the Nordic region. “The new plant will not only produce electricity and heat with higher efficiency and lower environmental impact, but also ensure a reliable supply of heat to on-site industrial consumers.”
The European Investment Bank (EIB) has provided a €230m loan to Finnish airport operator Finavia for the expansion of Helsinki Airport in Finland.
Chinese bio-energy company Sunshine Kaidi New Energy Group is set to construct a €1bn ($1.13bn) biofuel refinery in Kemi, Finland.
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