The Brenner Base Tunnel (BBT), which is expected to be operational in 2032, will be around €1 billion more expensive. After a “comprehensive analysis”, the total project cost was estimated by the Brenner Base Tunnel Company (BBT SE) at around €10.5 billion, according to a broadcast on Wednesday. Up to now, some 9.6 billion euros have been assumed.
The increased cost estimate or the “adjustment”, as the BAT SE put it, is mainly due to the inflationary trend that has taken place, for example, price increases in the energy sector and rising prices for building materials have been highlighted. The estimated total costs are made up of the construction costs of 8.54 billion euros, estimated costs for risks of 1.092 billion euros and 903 million euros for the likely future inflation of the costs to be incurred.
Applications for additional funding started
The newly calculated total cost estimate has recently been approved by the Supervisory Board of BBT SE. According to those responsible, the application for the necessary funding has been initiated with the respective national funding authorities in Austria and Italy. EU funding continues.
Italy and Austria receive co-financing from the European Union of 50 percent for the planning and exploration work and 40 percent for the construction measures. So far, the EU has pledged co-financing totaling some €1.6 billion. A decision on the co-financing of the costs from 1 July 2023 is expected in the summer of this year.
Completion in 2032
So far, 157 kilometers of the 230 kilometer long tunnel system of the Brenner base tunnel have been excavated, of which 60 kilometers for the main tunnel. The BBT runs for 55 kilometers between Innsbruck and Fortezza in South Tyrol and is regarded as the heart of the new rail link from Munich to Verona. When completed, the Brenner Base Tunnel would be the longest rail tunnel in the world. The tunnel is also a core part of the TEN-T core network corridor Scandinavia-Mediterranean.
The completion date has been pushed back in recent years and is now being announced for 2032.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
