1. Arctic ocean Railway Arctic Business Forum 11.4.2018 THINK BIG
THAT IS WHAT WE HAVE DONE
WHEN MAKING THIS STUDY

2. Sito and Wise Group – Now Sitowise
Comprehensive solution for customers’ major and minor challenges within building and infrastructure construction
The largest Finnish-owned company in building and infrastructure construction design and consultancy
Over 40 years of accumulated experience, more than 90,000 successfully completed projects
Employs more that 1,200 experts in Finland, Norway, Latvia, Estonia and Poland
Aims at customer-focused growth both in Finland and abroad
Actively investing in developing the entire business sector
SOME WORDS OF ME AND COMPANY I REPRESENT
AREA MANAGER IN SITOWISE COMPANY
DREAM PROJECT TO INGENEER FROM LAPLAND
SITO JA WISE HAVE JOINED
FIRST THERE WAS SITO AND WISE GROUP AND NOW WE ARE SITOWISE
WE HAVE OVER 1200 EXPERTS AT YOUR SERVIVE

3. History of Arctic railway designing
Railway plan from year 1923, made by Government of Finland
Plan to built a new railway from Rovaniemi – Petshenga (Petsamo)
Picture from book Erkki Lilja Jäämerenkäytävä (Arctic corridor)
OVER 100 YEARS PLANNED
Professor Jalmari Castren
1912 RAILWAY TO ROVANIEMELLE -> NEXT PLANS TO FURTHER
DURING THE WORLD WAR 2, THERE WERE ALSO ACTIVE PLANNING OF THE RAILWAY UP NORTH
SO ARCTIC RAILWAY IS NOT A NEW IDEA
DURING THE LAST FEW YEARS LOGAL REGIONS OAND MINIPALICITIES HAVE MEDE THEIR OWN STUDIES
THIS IS THE FIRST STUDY. WHERE ALLA HTE OPTIONS ARE IN TABLE

4. Background of the study
In June 2017 Finnish Ministry of Transport and Communications together with Norwegian Ministry of Transport decided to make a study of Arctic Ocean Railway
Finnish Transport Agency (Liikennevirasto) together with Norwegian Railway Directorate (Jaernbanedirektoratet) were resbonsible of the study
Three tasks -> Three studies
Tecnical Study -> Sitowise Oy
Feasibility Study -> Ramboll Finland Oy
Study Norwegian side -> Norconsult As
Studies were finished February 2018 and delivered to Minister of Transport and Communications Anne Berner
The studies were published in March 2018 by Minister Berner
KAIKKI OVAT VARMAAN KUULLEET LOPPUTULOKSEN
MINISTERI BERNER KERTOI SEN
KERRON KUITENKIN CONTENT OF THSI STUDE
JA VAIKUTUSARVIOINNEN YHTEENVEDON

5. ARCTIC OCEAN RAILWAY IS PART OF GLOBAL TRAFFIC NETWORK
In a logistical perspective Finland is an island ja and fully depended on transport via the Baltic sea
Finland wants to improve logistical position and accessibility
Globalisation continues and is becoming stonger. Global trade and manufacturing is increasing in Asia. We in Finland wish to improve all connections between Europe and Asia
Arctic Railway is a Finnish connection to Atlantic and Arctic Ocean and to Northeast Passage
Arctic connection is also related to Helsinki – Tallinn tunnel and Rail Baltica
PÄÄSY TALLINAN TUNNELIN JA RB KAUTTA EUROOPPAAN

6. Finland´s logistical position
Ministeriön esitys
Picture: LVM Anne Berner presentation

7. Five options for ROUTING
Rovaniemi/Kemijärvi–Kirkenes (465km/445km)
Kemi–Kolari–Skibotn/Tromssa (519km/610km)
Kemi–Tornio–Narvik (633 km)
Kemi–Kolari–Narvik (543 km)
Kemijärvi–Alakurtti–Murmansk (564 km)
All the routes were tecnically feasible.

8. Investment cost (includes risk 10%)
Investment costs, M€
Option
Investment cost (includes risk 10%)
Total
Finland
Sweden
Norway
Russia
Rovaniemi–Sodankylä–Kirkenes
Kemijärvi-Sodankylä- Kirkenes
2 063
1 913
856
2 919
2 769
Kemi–Kolari–Kilpisjärvi–Tromssa
2 271
5 178
7 449
Kemi–Kolari–Kiiruna–Narvik 86
1 397
1 483
Kemi–Haaparanta–Kiiruna–Narvik 22
631
652
Kemijärvi–Kantalahti–Murmansk
101
649
750

9. Potential transport flow OF ARCTIC RAILWAY
Identifying potential transport flows was based on transport cost case studies.
Estimated opening year of the railway is The time span of the feasibility study is 30 years. Time span of identifying transport flows and preparing prognosis extends to year 2060.
Cargo could be minerals and ore, fish products, raw wood and wood industry products. In the future there can be transported natural resources from Barents region and cargo from Northeast Passage
Prognosis of future transport flow was and is very challenging.

10. Potential transport flow of each option 2
Raw wood
Phosfat from possible Sokli mine, iron ore from Sokli, raw wood, Copper ja Nickel ore from Kevitsa ja some Norwegian transport
Iron ore from Pajala
SAKATTI MINE IS NOT ESTIMATED, AFTER YEAR 2030

11. Economic profitability
To estimated economic profitability is challencing. Potential transport flow can vary a lot during next decades.
One big mine or chances to mode of transport can improve a lot profitability.
Climate change can cause changes towards more environmentally friendly modes of transport.
For now we know, all the railway options are non profitable at the moment.

12. PassEnger transport
The biggest potential to passenger transport: Options Finland - Tromso and Finland - Kirkenes.
Passenger transport would mainly consist of tourist transport.
In the long term tourism is expected to increase and continue troughout the year.
PASSANGER TRANSPORT WILL ALWAYS PROBABLY BE QUITE MODERATE
AND IT WILL NOT MAKE RALIWAY PROFITABLE

13. Local impacts Impacts to reindeer husbandry
Plenty of reindeer herders
Impacts to reindeer pastures and reindeer herding
Volume of these effect has not been estimated at this stage
Impacts to Sami Heritage area
Northern Lappland is Sami Heritage area
Railway has effects to Sami people and Sami culture
Impacts to nature
There are plenty of nature reserve areas in Lappland

14. Example of valuable enviromental areas between designed Sodankylä – Kirkenes railway line

15. Summary of impacts Tornio-Narvik Kolari-Narvik Kolari-Tromssa
Tornio-Narvik
Kolari-Narvik
Kolari-Tromssa
Rovaniemi-Kirkkoniemi
Kemijärvi-Murmansk
Investment costs
Low in Finland
In Sweden 0,6 B€
Low in Finland,
In Sweden 1,4 B€
In Finland over 2 B€, in Norway high, over 5 B€
In Finland about 2 B€, In Norway 0,85 B€
Low in Finland, In Russia 0,65 B€
Logistical position of Finland
Small impacts
Improves clearly
Accessibility of Finland
Small impact.
Does not improve accessibility of Lapland
Improves Finlans´s ja Lappaland´s accessibility
Small impact,
Improves a little Lappaland´s accessibility
Security of supply
Small impact
No impacts
Enviromental impacts
Small impacts on Finnish side
Challencing impacts on Finnish side
Large impacts
Reindeer husbandry
No impacts on Finnish side
In Sweden impacts
Large impacts on Finnish and Norwegian side
Sami heritage area
TELL JUST BIG PARTS

16. The result of the studies
The Ministry of Transport and Communications has decided that a railway routing to the Arctic Ocean via Oulu, Rovaniemi and Kirkenes is the one that will be examined further.
It would improve logistical position, accessibility and security of supply in Finland.
Of the two leading alternatives, it was also less expensive.

17. ARCTIC RAILWAY, Connection to europe
CONNENCTS LOGISTICAL FLOW
FROM ARCTIC OCEAN TO EUROPE
TROUGH HELSINKI – TALLINN TUNNEL
AND RAIL BALTICA
Picture: LVM Anne Berner presentation

18. Next steps OF ARCTIC OCEAN RAILWAY
Finland is making a joint working group with Norway
Group will be appointed to determine the further stages and schedule of the work.
The group is to examine the key questions relating to the chosen routing, such as environmental issues, permit procedures, costs, and finance structure and model.
Deadline of the work is
Large hearing during the process
Further studies on the routing will also be included in the work on regional land use plan for Northern Lapland.
THINK BIG
IT IS ALWAYS HARD TO ESTIMATE FUTURE
I BELIVE THAT ARCTIC OCEAN RAILWAY WILL BE BUILT SOME DAY
DIFFICULT TO SAY WHEN, BUT IT WILL BE
IT BENEFITS FINLAND AND IT BENEFITS LAPPLAND
I PROBABLY WONT TRAVEL IN IT, BUT HOPEFULLY MY CHILDREN AND GRAND CHILDREN WILL

19. KIITOS, THANK YOU. THINK BIG https://www. lvm
KIITOS, THANK YOU! THINK BIG