Projects over 2.5 billion euros spurring growth in Thessaloniki

Infrastructure projects in excess of 2.5 billion euros are putting Thessaloniki on the rails of development, so that it may become a reference center for the economy of Northern Greece. The modernization of “Macedonia” airport and the development of the port of the city, in combination with road and railway, projects launched by the Ministry of Infrastructure and Transportation, are upgrading the economic, commercial, and geopolitical role of the city in the wider region of Southeastern Europe.

In the context of the “Prodexpo North 2021” event on the development prospects of Northern Greece, the Secretary General of Infrastructure, Mr. George Karagiannis, referred to projects that, focusing on Thessaloniki, will change the developmental landscape for Northern Greece.

The project of the railway connection Thessaloniki-Kavala-Toxotes, amounting to 1.3 billion euros, which will be implemented through the method of competitive dialogue, is emblematic. It is a great project that will give impetus to the movement of passengers and goods, creating the ground for the development of Thessaloniki into a logistics hub for Southeastern Europe.

The city’s two “gateways” are playing a leading role in this transformation: the airport that was upgraded by FraportGreece, through a 100 million euro investment, and the port.

The investment plan of OLTH SA (Thessaloniki Port Authority) aims to strengthen the port’s position in the global port industry and in the supply chain sector. In this direction, the work of expanding the 6th pier, with a budget of 130 million euros, will increase the capacity of ships that can be accommodated in the port. It will be able to host containerships, with a capacity of up to 24,000 TEUs. The start of the works for the expansion is expected between the end of 2021 and the beginning of 2022 and will be completed 36 months later.

On order to improve the port’s connectivity, the construction of the road connecting the 6th pier with the PATHE and Egnatia axes is expected to start within the year, with a budget 74.1 million euros. The duration of the contract is 30 months. The railway connection of OLTH with the existing network, with a budget of 22 million euros, is included in the projects that are planned to be implemented by ERGOSE through the method of competitive dialogue. The aim of the existing planning is for the tendering procedures to have started within the summer, in order for the projects to be contracted in 2023.

At the same time, projects that will upgrade the daily life of the city are also running. The works of the main line of the Thessaloniki Metro and tits extension to Kalamaria are in progress. Also, ministry planning includes the establishment of the operating authority through public-private partnerships (PPP), with a budget of 400 million euros.

Regarding the new eastern ring road of Thessaloniki, the so-called Flyover, with a budget of 370 million euros, the second phase of the tender is expected in June, while the contractor will emerge by the end of 2021.

The plan of the Ministry of Infrastructure and Transport includes three more road projects. The vertical roads of the Egnatia Odos, ie the “orphan” kilometer from Nea Moudania to the bridge of Potidea, with a budget of 9.6 million euros and the section Thermi-Galatista, with a budget 29 million euros. Also, the road connection with the Pediatric Hospital in Filiro, which will serve the increased needs that will arise from its construction. The road is planned to be ready with the opening of the hospital in early 2025.

The building projects planned for the municipality have a total budget of over 200 million euros. These concern 16 modern school units, with a budget of around 150 million euros, through public-private partnerships that are expected to be delivered in their entirety in 2023 and the Thessaloniki Courthouse, with a budget of 51 million euros. The latter is implemented within the framework of the PPP which includes a total of 12 Court Houses in three clusters in Crete, Central Macedonia and Central Greece.

Finally, the plan includes two flood protection projects for the city, the flood defenses in the area of ​​Lachanagora and the rainwater drainage of the Municipality of Kalamaria, with a total budget of 45 million euros, financed by the EIB. Both are expected to be contracted in 2021.