Vilnius is planning to have a fifth of its public transportation system run by private contractors. Several foreign and local companies have already expressed interest, city officials say.
© DELFI / Tomas Vinickas

Vilnius Municipality has said it will issue a call for tenders next week and expects applicants to present their offers by the end of this year or early 2017.

A private contractor will be expected to operate 100 new buses, servicing about a fifth of the city's public transportation routes: 7 million kilometres out of the total of 37 million.

Vilnius Deputy Mayor Linas Kvedaravičius says companies from Poland, the Czech Republic, the Netherlands and the United Kingdom have already expressed interest in bidding for the contract.

One Lithuanian company, Kautra, is also interested in vying for the deal, according to the business daily Verslo Žinios.

Kautra CEO Linas Skardžiukas says it is one of the biggest transportation deals in the country, therefore competition might be intense.

He also says that companies will have to make considerable investments to meet the requirements. One moderately sized bus can cost between €150,000 and €180,000, therefore total required investment could come to €20 million, he said.

Executives of two dairies slapped with fines for market abuses

The board of the Bank of Lithuania has imposed a fine of 200,000 euros on Linas Strelis, a member of...

Telecoms operators watching situation regarding Huawei

Following Google 's announcement that it has severed relations with Huawei , seen by Washington as a...

Swedbank's pension funds invest EUR 200 mln into sustainable business

Pension funds managed by the Swedbank financial group are investing 200 million euros, or a sixth...

Belarus complains: Lithuania's blocking Minsk-EU agreement

Belarusian representatives complained in Brussels last week that Lithuania is blocking the...

New trends in startup world: unicorns' aspiration is not key anymore

The question when the first unicorn with over 1 billion of US dollars in value will appear in the...