The metro is being built westward in two phases – Länsimetro Oy owns the rail infrastructure and the stations
The construction of the West Metro is proceeding in two phases. The Matinkylä–Kivenlahti section, consisting of seven kilometres of rail line and five new stations, is currently under construction, as commissioned by Länsimetro Oy. An underground metro depot is also being built in Sammalvuori to serve the needs of the traffic operator. Phase I, i.e. the Ruoholahti–Matinkylä section, was completed in 2017.
A metro is a major investment that brings vitality to communities and enables new housing and jobs in an eco-friendly way. The metro is a sustainable mode of public transport, and metro stations are planned with sustainability and attractiveness in mind. Metros increase the appeal of their catchment area as a location for businesses and other types of operations, as well as for living. To take an example, the insurance company Lähi-Tapiola has invested half a billion euros in the Tapiola district near one of the metro stations.
Länsimetro Oy is the asset owner of West Metro’s first phase and covers its ownership-related maintenance and debt-servicing costs using charges collected from its owners, i.e. the cities of Espoo and Helsinki. The section was handed over to the operator HKL in October 2017. HKL receives compensation from HSL for operating the metro traffic. Länsimetro Oy’s permanent business activities are financed with charges collected from its owners, and construction activities are financed with financing secured by its owners. In 2020, EUR 2,1 million in administrative charges and EUR 13,6 million in maintenance charges were collected. Administrative charges collected from the owners are used to cover the company’s permanent operations. The financial stability of the company’s operations depends on the reliable planning of operations financed with charges and on forward-looking financing of construction operations. You can also read about Länsimetro Oy’s group structure (in Finnish) and decision making.
Länsimetro Oy financial statements 2018 on the City of Espoo’s website (in Finnish)
Matinkylä–Kivenlahti construction project cost estimate
Ruoholahti–Matinkylä construction project cost estimate
BUDGET
| EUR 1,000 | 2018
actual |
2019
actual |
2020
actual |
2021
forecast |
2022
budget |
2023
forecast |
| Maintenance charges | 18,764 | 16,723 | 13,623 | 19 037 | 23 839 | 32 310 |
| Administrative charges | 2,806 | 2,553 | 2,085 | 2,303 | 2,834 | 3,091 |
| Financing charges | 32,513 | 39,697 | 49,490 | 56,940 | 73,581 | 78,326 |
| Charges in total | 54,083 | 58,973 | 65,199 | 78,280 | 100,254 | 113,726 |
| Operating income | 971 | 1,232 | 667 | 799 | 1,707 | 6,099 |
| Maintenance expenses | -17,019 | -18,271 | -18,541 | -21,700 | -24,853 | -34,215 |
| Administrative expenses | -2,156 | -2,268 | -2,676 | -2,655 | -2,834 | -3,091 |
| Deprectiation and amortization | -31,072 | -31,403 | -32,570 | -32,896 | -37,441 | -60,827 |
| Financing expenses | -15,317 | -16,011 | -15,372 | -15,659 | -18,406 | -23,525 |
| Funds | – | – | – | 0 | -18,161 | 0 |
| Deferred taxes | 2,102 | 1,521 | 653 | 0 | 0 | 209 |
| Profit/loss of the period | -8,410 | -6,082 | -2,657 | 6,169 | 265 | -1,623 |