Luther successfully advises on multi-billion procurement process for the acquisition of 113 battery-powered trains in Lower Saxony

The overall project involves investment of more than two billion euros and is a key component in the modernisation and decarbonisation of rail transport in Lower Saxony. The investment will help to gradually replace diesel-powered vehicles and make local rail passenger transport more attractive, particularly in rural areas. The process began in 2023 and has now been finalised with the award of the contract.

The procurement is being carried out jointly by Landesnahverkehrsgesellschaft Niedersachsen mbH (LNVG), a subsidiary of the State of Lower Saxony, and Regionalbahnfahrzeuge Großraum Braunschweig GmbH (RGB), a subsidiary of the Greater Braunschweig Regional Association. It comprises 83 trains for LNVG and a further 30 trains for RGB. In addition to the delivery of the rolling stock, the project includes the construction and operation of two new workshops in Goslar and Soltau, comprehensive spare parts packages, and the maintenance and servicing of the trains over a period of 30 years.

A Luther team led by Ulf-Dieter Pape and Jens-Uwe Heuer-James contributed its extensive expertise in the legally compliant structuring and execution of complex procurement procedures, helping to reconcile the differing requirements of the parties involved within a viable procurement concept. The successful award of the contract underlines the importance of early and strategically focused legal advice in large-scale public infrastructure projects.

Carmen Schwabl, spokesperson for the LNVG management board, emphasises the importance of legal advice: “A procurement procedure of this scale and complexity places the highest demands on its legal structuring and execution. With comprehensive expertise and great commitment, Luther played a key role in successfully overcoming the diverse legal challenges and bringing the procedure to a successful conclusion. The professional and reliable support provided by the Luther team was of great value to us.”

Fritz Rössig, Managing Director of RGB GmbH, adds: “The collaboration with Luther was extremely constructive and based on partnership from the very beginning. Thanks to the pragmatic and solution-oriented advice, we were able to manage the demanding procurement process efficiently and smoothly. We particularly appreciated the short decision-making channels and the consistently reliable support provided by the Luther team.”

For Luther, the completion of this procurement process is further evidence of the firm’s capability in providing legal support for complex public procurement and infrastructure projects. The project combines complex public procurement law issues with long-term contractual obligations and high technical requirements.

About Landesnahverkehrsgesellschaft Niedersachsen mbH (LNVG):

Landesnahverkehrsgesellschaft Niedersachsen mbH (LNVG), based in Hanover, is a wholly-owned subsidiary of the State of Lower Saxony. It is responsible for the planning, organisation and financing of local passenger rail transport across large parts of Lower Saxony. Its tasks include, in particular, the design of transport services, the conduct of tendering procedures and the conclusion of transport contracts with rail transport operators. In addition, LNVG operates its own fleet of rolling stock, which it makes available to transport operators. Across the state, the company is also responsible for the distribution of regionalisation funds, the allocation of grants and the issuing of licences for local public transport. LNVG’s aim is to ensure an attractive, efficient and sustainable local transport service in Lower Saxony. Further information: www.lnvg.de

About Regionalbahnfahrzeuge Großraum Braunschweig GmbH:

Regionalbahnfahrzeuge Großraum Braunschweig (RGB) GmbH is the rolling stock pool company of the Regionalverband Großraum Braunschweig, the authority responsible for local and regional public transport (SPNV/ÖSPV). The Greater Braunschweig Regional Association, based in Braunschweig, is a municipal association responsible for regional planning and the organisation of local public transport in the region. Its area of responsibility comprises the independent cities of Braunschweig and Salzgitter, as well as the districts of Gifhorn, Goslar, Helmstedt, Peine and Wolfenbüttel, with a total population of around 1.1 million. As the authority responsible for local public transport by rail and road, the Regional Association plans, commissions and finances regional transport services and is committed to efficient, sustainable and future-oriented mobility.

Further information: www.regionalverband-braunschweig.de/rgbgmbh

For Luther:

Ulf-Dieter Pape (Partner), Jens-Uwe Heuer-James (Partner), Dr Henning Holz, LL.M. (Counsel), Simon Magers (Associate), Benedikt Stücker (Senior Associate), Dr Thomas Schwieters (Associate)