Berlin-based Bombardier Transportation will be manufacturing 62 electrically powered locomotives for Israel Railways under a contract worth approximately $262 million (US), announced on Oct. 21.

Bombardier, whose headquarters are in Montreal, competed against several other international companies for the job. The deal includes an option for an additional 32 locomotives.

The Bombardier TRAXX AC locomotives are expected to play a key role in the electrification of Israel’s rail network, gradually replacing diesel locomotives.

The first deliveries are scheduled for the end of 2107.

They will mainly power the 369 Bombardier double-deck passenger coaches already in operation. Bombardier has been doing business with Israel Railways for many years.

“We feel honoured to have been selected for this significant order,” Yossi Daskal, chief country representative and head of sales in Israel for Bombardier Transportation, said in a statement.

“We have been working in close partnership with Israel Railways for decades, having already delivered and retrofitted a large fleet of double-deck coaches. Our long-term relationship with Israel Railways is based on a clear understanding of how our transport solutions can continue to best meet the mobility needs of the people of Israel.”

Designed for speeds up to 160 km/h, the new TRAXX AC locomotives are nearly identical to those Bombardier locomotives in service with the German railway operator Deutsche Bahn.

Israel Railways CEO Boaz Tzafrier stated: “The Israel Railways electrification project is advancing and becoming a reality. The transition to electric operation, a standard practice in all advanced countries, will be a significant leap forward in every field relating to the operation of Israel Railways and a key factor in Israel Railways’ future growth.”

Bombardier spokesperson Marc Laforge said the locomotives will be made at Bombardier plants in Germany, but the contract stipulates that 20 per cent of materials must be sourced in Israel.