The project includes modernisation of line No. 38 on the section Ełk — Giżycko, from km 103,706 to km 152,850, i.e. with a total length of 49.144 km. The project will be implemented in two phases, including: 1. Phase I — construction works on the section Ełk (without station) — Giżycko (with station), i.e. from km 103,706 to km 152,850 of line 38, together with the first part of the traction supply (first and second part of the connection fee) from 6 traction substations (Ełk, Stare Juchy, Siedliska, Sterławki Małe, Kętrzyn, Korsze), located on the section Ełk — Korsze; 2. Phase II — the second (final) part of the supply of traction power (other parts of the connection fee) from the above-mentioned traction substations. The main objective of the project is to modernise and electrify the section of Elk — Giżycko in order to improve and increase the use of passenger and freight rail transport in the trans-European transport network (TEN-T) and to reduce the environmental impact of the Great Masurian Lakes.