Govt To Extend Subsidies For New Budapest Trams

  • 23 Apr 2014 4:00 AM
Govt To Extend Subsidies For New Budapest Trams
The government has decided to provide extra financial support for the procurement of new trams for the capital city to ensure that Budapest receives 47 new vehicles, ten more than originally planned, according to the state gazette Magyar Közlöny. The original procurement for trams and trolley buses had been held up due to legal wrangles involving a tender which Skoda, one of the unsuccessful bidders, contested, delaying the handover of several trams to 2016, thereby slipping into the new EU budgetary period.

 The Budapest Transport Authority (BKK) told MTI that this would have meant losing some EU financing, and so an agreement was struck with Spain’s CAF on speeding up production in return for BKK ordering an extra ten trams.

The government decree ensures extra financing in the region of one billion forints for the purpose.

Source www.hungarymatters.hu

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