The CEO of Rail Baltic Estonia on the project’s strategic milestones

In this interview, Anvar Salomets, CEO of Rail Baltic Estonia, shares an in-depth update on the progress of the Rail Baltica project in Estonia, highlighting recent achievements, upcoming milestones, and the broader impact of the initiative.

Photo: Nikita Turok

To start off, could you share the latest progress of the project in Estonia? What achievements are you particularly proud of so far?

The project in Estonia is progressing at a very dynamic pace – a fact reflected by over 100 kilometers of the mainline now being covered by construction contracts. This means that in most sections, works have either already commenced or will begin very soon.

We are particularly proud to be approaching a major milestone with the upcoming signing of contracts for the construction of the mainline superstructure (“Ülemiste-Pärnu” and “Pärnu-Ikla” sections). The majority of Estonia’s mainline is expected to reach construction readiness this year. The alliance procurement model used for the sub- and superstructure is unique in Estonia and represents a major achievement in itself.

Looking ahead, what are the key milestones planned for 2025, and why are they important for the project’s overall development?

Overall, 2025 will be a pivotal year for Rail Baltica in Estonia. Several critical prerequisites will be achieved, securing the project’s timely delivery by 2030. For example, the South Pärnumaa spatial planning process has been finalized.

The alliance contracts will enable the completion of design works and the development of detailed construction schedules for upcoming stages.

New construction phases at Ülemiste terminal will also begin. We are working according to a timeline that allows the Ülemiste terminal to become operational even before the mainline is fully completed, serving existing regional rail services, such as connections between Tallinn, Tartu and Narva, and integrating with local public transport.

In addition, preparations are underway for constructing the second major hub – the international Pärnu passenger terminal. The activities related to the mainline in Pärnu are progressing through an alliance model, and we plan to announce the construction tender for the terminal itself later this year.

The project in Estonia is being implemented through an alliance contract model. Could you explain what that means in practice and how it differs from more traditional approaches?

The alliance model is a collaborative contract that covers both design and construction, based on a jointly agreed plan and budget between the client and contractors.
Unlike traditional models, the focus is not on selecting the lowest price, but on achieving the best overall value for money.

Given the ongoing time pressure on project delivery, this approach is particularly well-suited, allowing design and construction activities to progress in parallel more efficiently than under a conventional sequential model.

Large-scale infrastructure projects like this one are complex and fast-moving. What are some of the biggest challenges you have encountered, and how are they being addressed?

One of the primary challenges has been introducing this scale of work to the market — both for the client and the contractors – and ensuring mutual understanding.

Since this is the first high-speed railway project in the region, the learning curve for contractors has been steep and significant.

There is also a shortage of expertise in some of the more complex disciplines, meaning that we must either bring in external specialists or actively foster the development of local competencies.

How do you see local suppliers fitting into the project? What advice would you give to those interested in getting involved?

This project cannot be realized without the involvement of local builders, logistics providers, and machinery suppliers – local contribution is essential.

In fact, many local companies have already found their way into the project via subcontracting arrangements –  supplying cables, pipelines, and a wide range of other materials and services.

My advice to those interested: focus on engineering fields – design, expertise services, and deep technical competencies. There is still a tendency among local actors to underestimate the need to develop these skills, which are vital not just for Rail Baltica, but also for expanding to international markets. Rail Baltica offers a unique opportunity to build strong references and capabilities in order to further expand their activities in the future.

For those looking to get involved: you can always share innovative ideas with us directly. For construction-related contributions, it is often more effective to offer your capabilities straight to the main contractors. In the longer term, we also encourage companies active in the value chains of Rail Baltica’s operations to start thinking about technological solutions and future opportunities.

Beyond infrastructure, Rail Baltica is often described as having wider geopolitical significance. How do you see the project contributing to regional or European security and connectivity?

Rail Baltica is already a transformative project – a transport and economic corridor first and foremost, but also one with significant security implications. It undoubtedly strengthens regional security, but more broadly, it enhances connectivity across the region.

In the international freight market, Rail Baltica is reshaping supply chains. We are already seeing global logistics players planning ahead and reconfiguring their supply networks to integrate Rail Baltica.

On the local level, the project is a catalyst for urban development, particularly around hubs like Ülemiste terminal, which has already become a game-changer for the surrounding cityscape beyond its core function as a transport hub.

What do you think will be the biggest benefit for passengers or freight users once Rail Baltica is operational?

For freight users, the greatest benefit will be efficiency – time savings and greater flexibility.

For passengers, it will be a combination of speed, comfort, and safety. Rail Baltica will significantly expand transport options by integrating with regional trains, local connections, and even night trains, making travel more convenient and time-efficient.

From a freight perspective, Rail Baltica will enable shorter and more flexible supply chains thanks to better scheduling and regular service intervals. Additionally, sustainability will become a key advantage: with increasing demand for supply chains that minimize environmental impact, rail offers a far greener alternative – a benefit that many cargo owners and customers are already prioritizing, as confirmed by the positive assessments of well-known logistics companies regarding Rail Baltica’s potential as a low-footprint freight corridor.