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The Fehmarnbelt cross-border construction project is worth a reported €5.5 billion (£4.36 billion). The scale and value of this project has sparked two rental service providers from different countries to pool their resources and set their sights on winning the project together. Zeppelin Rental from Germany and Denmark’s Ramirent have reached an agreement to establish a joint venture called Fahrenbelt Solution Services.
Image Source: Femern A/S
The tunnel will provide an important subterranean transport link between the German island of Gehmarn and the Danish island of Lolland. Early plans proposed this link be accomplished by a bridge, but a tunnel was soon decided upon as a safer solution which could be achieved at a similar cost. It will simplify an important route that is currently rather convoluted, and is classed among 30 high-priority transport construction projects by the EU. When finished, it will be the longest immersed tunnel in the world at 18km. The tunnel will contain both a two-track electrified railway and a four-lane motorway.
The agreement is still subject to the approval of the authorities to which the two firms are respectively subject. However, assuming the deal goes ahead it will create a supplier that will surely be a force to be reckoned with in bidding for the project. Both companies individually are big presences in the industry with the capacity to provide large-scale, high-quality rental services for construction projects. Together, they will be able to offer the Fahmarnbelt tunnel project the opportunity to have major suppliers on both the German and Danish sides of the border, so well-coordinated as to effectively be one supplier. This will include a number of depots and an onsite service 24 hours a day, seven days a week on both sides.
As well as equipment rental, along with maintenance and repair services for the equipment in question, the companies will be collectively able to offer a number of other important services. These include:
- Management and consulting services on both safety-related and logistical issues
- Waste management
- Supply of modular space
- Solutions for environmental and energy issues
- Supply of temporary infrastructure
- Access control
- Training
- Facility Management
It is likely that this list will grow to include other services as well.
Source: Youtube FemernAS
Both companies expressed delight at their success in reaching this deal, and stressed the importance of cooperation in properly providing for this project. According to Zeppelin Rental chairman Wolfgang Hahnenberg, “We have profound understanding on how to face and meet challenging projects, timelines and business objectives.” Hahnenberg went on to say that the companies together were “simplifying business” through boosting productivity and efficiency.
CEO and President of the Ramirent Group, Magnus Rosén, said that “A project of this magnitude requires international collaboration.” He said that together, the companies were “offering customized one-stop-solutions for the entire lifecycle of the project on both the Danish and the German side. Furthermore we share our knowledge of the labour market and business practices in both countries.”
The project is set to begin in Summer 2015, for completion in 2021. begin in Summer 2015, for completion in 2021.
Author: Matthew Scott