NOVEMBER 2009 VOLUME I, ISSUE 1 Global Mass Transit Report The Oyster card is based on the...

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Global Mass Transit ReportNOVEMBER 2009

VOLUME I, ISSUE 1

Information and analysis on the global mass transit industry

INSIDE THIS ISSUE

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Features• Contactless Ticketing in Mass Transit ............................................. 1• Mass Transit in South Africa ............................................................. 1• Tram-Trains in Europe ........................................................................ 1

News• North America ..................................................................................... 7• Latin America ...................................................................................... 9• Asia Pacific ......................................................................................... 12• Europe ................................................................................................. 16• Middle East & Africa ......................................................................... 20

TA/TSO Focus• MTR Corporation Limited ................................................................ 22

Policy Review• Bus Rapid Transit .............................................................................. 24

Spotlight• GCC Metro Plans ............................................................................... 25

Data & StatisticsUSA: Key characteristics for transit agencies operating• Buses ................................................................................................... 28• Heavy Rail .......................................................................................... 29• Commuter Rail ................................................................................... 30Finance .................................................................................................... 31Project Update ....................................................................................... 37Company News ..................................................................................... 44Tenders & Contracts ............................................................................. 52

Contactless Ticketing in Mass TransitA win-win solution for all stakeholders

With its myriad of advantages such as lower transaction costs,faster transaction speeds and multi-functionality,

contactless smart ticketing is the future of the global mass-transportation industry. Already operational in key metropolitanareas such as Hong Kong, London, Seoul, Washington D.C. andShanghai, contactless smart ticketing offers a win-win solutionfor transit operators and users, contactless technology developersand financial institutions.

Today, virtually all transit-fare payment systems in thedelivery and procurement stages are opting for contactlessticketing as the primary medium. India’s Mumbai metro, whichis expected to become operational in 2011, will be equipped witha system based on contactless technology with reusable smarttickets.

In September 2009, Societe de Transport de Montreal (STM)selected smart card solutions provider, Oberthur Technologies,to supply contactless cards for the public transport network of

Mass Transit in South AfricaGovernments invest heavily in transportinfrastructure

A s governments around the world acknowledge theimportant role that public transport plays in improving the

quality of life, there is a global trend for increased investment inthis important infrastructure sector. A commitment to upgradeand expand mass transit systems has risen across the Americas,Europe, Asia, and now in Africa as well. Taking the lead in Africais its biggest economy South Africa.

For many years, South Africa boasted of the best transportinfrastructure in the African continent. However, over the lastfew years the transport infrastructure has been deteriorating. Thisis essentially owing to short sightedness and lack of continuedinvestment. It is only now that the transport sector has begunattracting much needed attention. It is being recognised as a keycontributor to South Africa’s competitiveness in global marketsand a crucial engine for social and economic development. Thisrecognition and the imminent 2010 FIFA World Cup have instilled

Tram-Trains in EuropePreferred alternative for providing a sustainablesolution to urban mobility

Rail-based transport is becoming increasingly popular in manyEuropean countries to meet the mobility demands of growing

population and combat climate change. Tram-trains, a hybrid oftrams and trains, is one of the preferred alternatives in this regard.

Tram-trains can run on existing rail lines as well as on thestreet, sharing the route with other vehicles and allowing travelwithin towns and cities and between them. They are typicallypowered by overhead electric cables and, less frequently, bydiesel. Tram-trains are being developed to run as diesel/electrichybrids. They are popular because they can ease congestion andprovide new mobility options in peri-urban areas. They are alsoaffordable, reliable, safe and environmentally-friendly. Some ofthe advantages of tram-trains are as follows:

• These systems can operate on existing city-centre tram linesor disused freight lines, avoiding the need for new infrastructure.

• As they are lightweight, the systems offer advantages overheavy rail in terms of lower operating costs, maintenance, andenergy consumption.

Global Mass Transit Report | November 20092

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Contactless Smart Ticketing in MassTransit (Contd...)

Montreal, Canada. Oberthur Technologies will deliver the e-ticketing smart cards over the next four years throughout theGreater Montreal area and Quebec.

Across the globe, contactless ticketing is replacing paper andmagnetic formats. In July 2009, Affiliated Computer Services wona 14-year USD200-million contract from Protransporte to providePeru’s capital Lima with a contactless ticketing system for thecity’s buses. The company will supply and operate a fullyintegrated fleet management and ticketing application for theBus Rapid Transit system in one of the busiest areas of Lima.The line is intended to carry over 700,000 passengers a day andten similar ticketing systems are expected to be installed overthe next few years.

In August 2009, a bus service operated by the University ofthe West of England (UWE) introduced a smartcard system, asan alternative to cash, for buying bus tickets. Ulink, operated bythe university in conjunction with Wessex Connect, became thefirst bus service in the city to launch such an initiative.

Technology UsedThe contactless smart card is a credit-card-sized card with anembedded antenna and short-range radio frequencyidentification chip (RFID tag). The RFID tag transfers data viaradio waves when the consumer places the card within fourinches of the reader.

These cards are secure as they are typically equipped withthe ability to perform encryption and authentication processes.They also offer the benefits of reduced transaction costs andgreater flexibility, convenience, durability and speed as they donot require direct contact with the reader. The transaction speed,about 150 milliseconds, reduces boarding time. The feature of‘interoperability’ in smart ticketing allows commuters to switcheasily between different mass-transportation modes such asbuses, tramways and trains.

Contactless tickets also obviate the need for mechanicalterminals, minimising costs associated with malfunction, misuseand maintenance of equipment. Smart ticketing systems canprovide operators with valuable data on types of tickets used,travel patterns and passenger preferences, for better allocationof resources, efficient scheduling, improved passenger safety, andtargeted marketing, such as customer loyalty schemes.

Each contactless ticketing solution is a combination of apayment system and a network. Contactless payment systemsmay be closed-loop or open-loop. The closed-loop system uses astored-value card that is limited to payment of transit services.An open-loop system includes the option for payments tobusinesses other than the transit agency issuing the card.

Similarly, the network can be a transit or card network. In atransit-network, the transit card operator sets up and operates itspayment system. The card-network includes card companies suchas Visa, Master Card, Discover and American Express. Globally,the trends are towards open-loop-transit-networks and open-loop-card-networks.

Current ScenarioHong Kong’s Octopus card is considered one of the mostsuccessful electronic cash systems in the world based onacceptance rate. There are over 17 million Octopus cards incirculation which is more than double Hong Kong’s populationof 7 million, as the cards are popular with both tourists andresidents.

The Octopus card is based on an open-loop-transit-networkmodel. The card operator, Octopus Card Limited, uses its ownpayment network to process fare transactions. Customers canrefill the transit cards with cash, credit or debit cards at fare-vending machines, terminals at participating retail outlets, orthrough automatic deduction from a credit card offered by oneof 22 participating financial institutions.

The transit card is used to make payments at retail stores,parking lots, service stations, vending machines, etc. The Octopuscard can also be used as an access device to enter participatingschools, residences and office buildings.

London has one of the largest contactless smart cardinitiatives in the world. The Oyster card, introduced by Transportfor London (TfL) is used for over 70 per cent of the 9 millionjourneys made on London’s public transport system every day.More than 10 million Oyster cards are in use today.

The Oyster card is based on the open-loop-card-network model.Oyster cards can be obtained from the network of Oyster TicketStops across London. In 2007, TfL and Barclays Bank launched anew Barclay’s credit card called OnePulse that paired a standardcredit card function with Oyster prepaid transit.

The Oyster and standard credit-debit payments are recordedseparately on the card, using Oyster Pay as You Go for transit andVisa Paywave for non-transit purchases.

The huge demand created by mass-transit paymentapplications has given a boost to the contactless industry increating competition to come up with cost-effective new productsand technology solutions. Of the key application areas forcontactless cards such as government identity cards, banking,health care and mass transit, the contactless payment segmentin mass transit is expected to grow the fastest.

Emerging TrendsTrials are presently underway to convert the SIM, used in mobilecommunication networks, into contactless cards so that mobilephones and personal digital assistants (PDAs) can be used fortransactions.

In June 2009, Turkish automatic fare collection company, E-Kent selected On Track Innovations for providing such atransportation payment solution for the city of Bursa. Busesserving the area are being equipped with the new system whichallows customers to use their cell phones or PDAs for payment.If successful, the project is expected to be expanded to other citiesin Turkey.

Reusable contactless smart cards are emerging as the greensolution in cost saving and environmental impacts compared tothe hundreds of millions of disposable paper tickets generatedtraditionally. The world’s first RFID-based scheme for reusableticketing in mass transportation came live in July 2009 in Seoul,South Korea, and is expected to save USD2.4 million per year. In

Global Mass Transit Report | November 2009 3

Features

the new system, automated vending machines issue a singlejourney ticket in exchange for a passenger’s payment plus aUSD0.40 deposit for the ticket. Each ticket contains a contactlessmemory chip, which allows the cards to be returned and re-issuedto new passengers.

The United Kingdom aims to have a plan for the nationalsmart ticketing system by the end of this year that lets peopleuse their mobile phones or smart cards to pay for travel acrosspublic transport systems throughout the country. The governmentcalculates such a system could save USD4.3 billion per yearthrough convenience and the reduced use of motor vehicles.

ChallengesWhile contactless smart ticketing holds tremendous potential, italso faces challenges of standardisation and cost in deployment.The various stakeholders, such as multiple transit providers (e.g.,buses, trams, trains), government, card issuers, retail merchantsand technology vendors need to agree on a standardinteroperability platform.

Currently, the International Standards Organization’s ISO/IEC 14443 is the most widely adopted contactless standard inthe world. The high cost of investment also raises obstacles inimplementation of contactless technology. In Australia, Victoria’sUSD1 billion transit smartcard Myki which aims to provideMelbourne commuters with a single ticket for trams, trains andbuses continues to face challenges in standardisation and cost.

Recent Smartcard InitiativesAsia-Pacific

Tasmania: Metro Tasmania has introduced arechargeable smart card ticketing system, Greencard, incities of Launceston, Burnie, and Hobart.

Australia: The Victorian government plans to deploythe Myki ticketing system in all trains, trams and buses byDecember 2009 at an estimated cost of AUD1.4 billion.

South Korea: Seoul Subway, in partnership withSTMicroelectronics, launched the world’s first reusablesmart cards called Single Journey Tickets which save costof over 450 million printed paper tickets annually.

EuropeGermany: Telefónica O2 has partnered with

Touch&Travel to introduce mobile ticketing services fornational railway group Deutsche Bahn.

UK: Tyne and Wear Passenger Transport Authorityreceived Department of Transport funding to install a smartcard ticketing system by 2012.

Belgium: Gemalto is providing contactlesstransport cards called MOBIB in Brussels.

Middle East and AfricaUAE: Roads and Transport Authority launched the NoI

Card for Dubai Metro as part of its new integrated farecollection system. Affiliated Computer Services will supplya 100 per cent contactless ticketing system for the PersianGulf’s first tram line in Dubai, scheduled to run in early2011.

North AmericaCanada: Montreal Transit Corporation has selected

smart card solutions provider, Oberthur Technologies, forsupplying contactless cards for its public transport networkfor the next four years throughout the Greater Montreal areaand Quebec.

USA: Miami-Dade Transit introduced the contactlesssmartcard called EASY Card system and Spokane TransitAuthority introduced the GO SmartCard, and King CountryMetro/Sound Transit has introduced the ORCA Card, amongvarious other initiatives.

Latin AmericaUruguay: The ministry of transport and public works is

improving the smart card system on Montevideo’s masstransport network.

Peru: Affiliated Computer Services has won USD200million contract to provide technology solutions for the busline ticketing system in Lima.

The huge demand created by mass-transitpayment applications has given a boost to thecontactless industry in creating competition tocome up with cost-effective new products and

technology solutions.

Way ForwardEven so, the increasing cost of maintaining and replacingequipment is motivating transit agencies to consider smartticketing implementation more seriously. The cost of the card isless than 10 per cent of the ticketing cost and can be amortisedover the life span of the card.

Contactless technology in mass transit has paved the way forcombining public transit payments with everyday retailpurchases. Collectively, small-value payments, also known asmicro- or low-value payments, represent a big revenueopportunity for the retail and financial industries. Retailpayments integrated with a transit card also provide additionalrevenue streams for transit operators.

Both the transit and financial industries are keen tounderstand the opportunities and challenges of using contactlesspayment. Recent developments in the mass transit and financialpayments industries have created opportunities for convergenceand collaboration. Transit agencies will need to developrequirements as the contactless, retail and financial industriesfocus on expanding technology and introducing changes inbusiness practices. With such strong interest, it is expected thatthe current implementations will lead to win-win solutions thatdeliver value to all participants in the transit payment process.


Features

Mass Transit in South Africa (Contd...)

a sense of urgency in the government which is now investingheavily in improving transport infrastructure.

The government is undertaking ZAR13.6 billion worth ofprojects specifically for the 2010 FIFA World Cup and using thisevent to spur a major change in South Africa’s image in the worldthrough investments in passenger rail upgrades, bus rapid transit(BRT) systems, taxi recapitalisation programmes, and airport-city links. These projects collectively constitute nothing short ofa revolution in the country’s public transport sector.

The latest step in this revolution was the launch of thePassenger Rail Agency of South Africa (PRASA) in April this year.PRASA focuses on improving passenger rail services, whichpreviously fell under Transnet which is now concentrating onfreight rail services.

One of the key objectives of PRASA is to bring a balance tothe country’s public transport system. The organisation hasannounced an investment plan of ZAR25 billion over the nextthree years. Of this total planned investment, ZAR14.7 billionwill be spent on capital projects such as rolling stock, signallingprojects, technology infrastructure, and station upgrades. Theremaining investment will go into operations and systemenhancements.

Apart from this, ZAR1.75 billion is being spent on thepassenger rail sector in preparation for the World Cup. Majortrain station upgrades have begun at Cape Town, Nasrec,Mabopane, Doornfontein and Orlando stations. In addition,PRASA is building new stations at Bridge City (eThekwini),Moses Mabhida (eThekwini), Windermere (Cape Town) andRhodesfield (Johannesburg). The 2010 plan also includes therefurbishment of 2,000 train coaches.

These efforts are part of the government’s “Turn-AroundStrategy”, launched couple of years ago, aimed at arresting thedecline in the country’s passenger rail services. The work will beconducted in three phases until 2030. The period 2007-2010 isthe turnaround phase in which short-term improvements arebeing carried out in various regions. The investments under thisphase are intended to make an immediate impact. In the secondphase (2011-2014), new rolling stock will be introduced toaccommodate the increase in passenger numbers. This phase willlead to a growth phase (2015-2030) when the rail network willbe expanded significantly.

Several new passenger rail line projects are also being plannedin South Africa. These include the ZAR9.7 billion, 140 kmcommuter rail line along the increasingly busy Moloto corridorbetween Pretoria and Siyabuswa in Mpumalanga province anda high-speed train between Johannesburg and Durban. A projectto link Cape Town International Airport with the city centre isalso being reviewed. PRASA’s management has indicated that itis keen to pursue these developments in partnership with theprivate sector.

Serving as a catalyst for much of the current revival of publictransport in South Africa is the legendary Gautrain project, an80 km rapid rail transit link between Pretoria and Johannesburg’sinternational airport in Gauteng province. The ZAR25 billionproject is the biggest public private partnership in South Africa.Bombela, a consortium comprising foreign firms (Bombardierand Bouygues) and local firms (Murray and Roberts) is

constructing this link. The project is being constructed in twophases with completion dates of 2010 and 2011, respectively. It isover 60 per cent complete.

Gautrain is expected to significantly bring down the traveltime and cost on the highly congested Pretoria-Johannesburgcorridor and also reduce motorised transport. It will save anestimated 585,000 vehicle km per day and reduce congestion byabout 20 per cent. It will also expand the public transport servicesthrough dedicated, exclusive bus and minibus taxi feeder anddistribution services. Apart from that, the project is expected tocontribute to the socio-economic development of the provincethrough job creation, skill development, local procurement andtechnology transfer.

Gautrain has been often criticised as serving only the interestsof rich travelers. However, the fact remains that no major citycan claim to be modern and functional unless it offers an efficientpublic transport system. This has been a major weakness in allof South Africa’s metros and large cities. At least with its state-of-the-art Gautrain link, Johannesburg can hope to be a trulyinternational city.

Johannesburg has achieved another milestone in developingthe mass transit systems by launching the first phase of its BRTsystem in September 2009. Named “Rea Vaya”, the new systemis initially running 18 hours a day between the historic city ofSoweto and central Johannesburg.

The BRT system is being implemented in phases. In all, itcomprises 126 km of trunk routes and 150 bus stations located500 metres apart. Phase 1 has been implemented and comprises25 km and 20 stations. Phase 2, which will be implemented in2010 for the World Cup, comprises 86 km and 102 stations. Thetwo phases are estimated to cost ZAR2 billion, with most of thefunding coming from the national Public Transport Infrastructureand Systems Fund (PTIF). Phase 3, which comprises extensionto 122 km and 150 stations, is scheduled for completion in 2013.

BRT systems are also being rolled out in other cities andmetros of South Africa. It is expected that by June 2010, BRTsystems will be operational in Tshwane (Pretoria), NelsonMandela Bay (Port Elizabeth) and Cape Town. Tshwane plans tohave the first of its two planned BRT lines running by 2010. Thesystem will comprise 37 km of BRT lanes, 17 stations and a fleetof 58 vehicles. Nelson Mandela Bay plans to implement anintegrated network across the entire city with ZAR900 millioncommitted until 2010. Cape Town will deploy a BRT trunk andfeeder system (25 trunk stations and 139 feeder stops) and hascommitted ZAR1.5 billion by 2010.

By 2010, the four cities of Johannesburg, Cape Town, Tshwaneand Nelson Mandela Bay are expected to have up to 170 km ofBRT systems. A further 287 km is expected to be developed by2014, adding the cities of Ekurhuleni (in Gauteng), Buffalo Cityand Durban. Another 1,000 km will be developed by 2025, addingthe cities of Mangaung (Bloemfontein), Rustenburg andPolokwane. This amounts to a total of approximately 1,400kilometres by 2025. This might be a fraction of the hundreds ofthousands of kilometres of public transport routes in South Africa,but is still a significant achievement in modernising the masstransit systems in a country which has primarily depended upontaxi services.

As in any revolution, there are strong forces resisting thechange. In South Africa there is an ongoing opposition to BRT


Features

from the taxi operators who fear job and business losses. Thegovernment is in constant negotiations with the taxi industryand has given assurances that only about 5 per cent of the nationaltaxi fleet may be affected by the BRTs in the four cities by 2012.The government has also offered jobs on BRTs to the taxioperators.

While Gautrain and BRT are the new modes being developedin the country, the existing taxi/minibus industry is also beingrevamped to improve the public transport system. A total ofZAR7.7 billion has been allocated for the Taxi RecapitalisationProgramme. The government is spending millions to repair oldand unsafe taxis under this programme. Up till June 2009, morethan 27,800 old taxi vehicles had been scrapped and over ZAR1.4billion paid out to operators. The taxi industry got a boost recentlywhen a South African bank ABSA and the IndustrialDevelopment Corporation (IDC) launched an offer under whichABSA will provide up to ZAR300 million in funding to emergingtaxi operators. The IDC has agreed to underwrite up to 50 percent of any losses incurred by ABSA, if clients financed underthe scheme default on their payments.

While there remains much work to be done and manychallenges to be overcome, South Africa’s neglected publictransport system is finally showing signs of improvement afteryears of underinvestment and decay. With the measures outlinedabove, South Africa aims to transform its public transport sectorto create an integrated, intermodal solution that is both efficientand seamless. The strategy is premised on greater integrationbetween buses, taxis, and rail, and outlines a vision for a singleticket system across various modes of transport and acrossmetropolitan and provincial boundaries.(1 South African Rand[ZAR] = 0.1317USD).

Turn-Around Strategy for National Passenger Rail System

Turnaround Phase: 2007-2010

• Refurbish 2,000 rail coaches by 2010

• Improve operational efficiencies

• Improve service levels through increase in frequencyand reliability

• Improve security for commuters

Recovery Phase: 2010-2013

• Grow share of the public transport market

• Aim for revenue to contribute 50 per cent ofoperational costs

• Develop network to enhance operations

• Increase private sector involvement

• Meet UN Millennium Development Goals

Growth Phase: 2014-2020

• Implement 2020 Vision of having passenger railcorridors at the heart of an Integrated Mass RapidTransport Network

• Target for higher market share

Source: PRASA

Turn-Around Strategy for National Passenger Rail System

Source: PRASA


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Tram-Trains in Europe (Contd...)

• They generate less noise and air pollution.

• The combination of lower operating costs and higher revenueshelps to keep fares low.

• New stations can be added to routes without increasing end-to-end journey times as tram-trains have better acceleration/deceleration than heavy rail.

Several tram-based projects are being implemented in Europe.Germany is planning a tram-train project in Braunschweig. Workon the USD347.17 million project is expected to be begin by 2009-end. The project is likely to use third rail technology which allowsvehicles to run on the mainline rail network as well as on the citytramway network.

The new service will provide high frequency connectivity toSalzitter, to the south of Braunschweig, as well as direct, on-streetjourneys from the central station to the city centre for travellersfrom the south east and northern suburbs.

The federal government is likely to extend 60 per cent of theproject cost, and about 22.5 per cent will be contributed byNiedersachen Land (Lower Saxony State).

In Lyon, France, two new routes have been identified for tram-train services. The tram-trains will be electrically powered andare likely to become operational by 2010. Of the two routes, onewill serve the TGV station at Part-Dieu and Lyon St. Exburyairport to the east and another will serve suburbs to the west.

In the UK, by 2011, five new tram-trains are scheduled tostart trial operations connecting Huddersfield, Barnsley, andSheffield. The trial operations, in partnership between theDepartment for Transport, Northern Rail and Network Rail, willexamine the environmental impact, operating costs, technicalsuitability, and the system’s popularity with passengers. Plansto evaluate the additional benefits of extending the service onthe Sheffield Supertram system, under the second trial phase,are also on the anvil.

In European countries where tram-train projects have beenstarted, a significant increase in ridership has been seen. Anotherbenefit has been increased land prices in the surrounding areas.

The spread of trams in Europe will eventually depend uponthe system’s performance with respect to cost, safety andenvironmental efficiency. Given the technology required to runthem, tram-train systems may cost more than conventional trainsor trams but governments will weigh up these costs against thebenefits to their citizens and the environment.

A tram-train project is currently being implemented at BrestMétropole Océane (BMO). The 14.3 km long public transpor-tation system, with 27 stations, each placed at a distance ofabout 500 metres, aims to connect residential areas to thebusiness sector of the town.

The system is expected to cater to 27 per cent of thepopulation, carrying about 45,000 passengers per day. Giventhat it will have the right-of-way at all intersections and willrun in a separate right-of-way lane, it is expected to be faster.These electrically-powered tram-trains will eliminate theproblems of parking, petrol costs, delays, and greenhousegas emissions.

The low-floor tram project, levelled with the platform, willbe accessible without any step up or down. There will alsobe ramps and wide corridors to help pregnant women, theelderly, and people with strollers or wheelchairs. Bicycles willbe accepted in the tramway outside peak traffic times. Thetrains will run at 20 km per hour.

To seamlessly mesh the different forms of transport, thebus network will be restructured and improved, with theobjective of increasing the ridership by 27 per cent. New linkswill be established, more bus services will be provided andbus schedules will be altered to dovetail with the tramtimings.

Construction is slated to begin towards the end of 2009.The trial operations are expected to begin by 2011, and theproject is expected to be commissioned by mid-2012.

The project is estimated to require an investment of aboutUSD444 million and can be broken down into five majorcomponents: engineering studies and project management(USD89.4 million, 20 per cent), depot maintenance facility(USD22.35 million, 5 per cent), rolling stock (USD81.95

million, 19 per cent), civil engineering works (USD14.9million, 3 per cent), and roadbed infrastructures and facilities(USD235.42 million, 53 per cent).

Public transport systems such as the buses, tramways, andsubways are financed through a transport tax. The tax forpublic transport, charged at the rate of 1.65 per cent, is leviedon all public and private sector establishments with more thannine salaried employees. The system is also financed throughloans (to be reimbursed by the tax), and subsidies (state,regional council, general council, European Union).

To encourage people to use the tram system, park-and-ride locations will be set up at the end of the line or at strategicpoints in the city so that they can park their cars easily andhop onto the tram. At the moment, 200 such places can befound in Kergaradec, Froutven and Montbarey and 300 inStrasbourg Square.

Like all transport projects, the tram project is also expectedto have several multiplier effects. To assess the impact, BMO,in association with the Chamber of Commerce and Industry,has created a Socioeconomic Observatory to study economicdevelopment along the proposed alignment.

The project is expected to contribute to the developmentof Brest and help local shops and businesses to flourish.Estimates suggest that it may increase downtown commercialactivities, resulting in a 30 per cent rise in the number ofshoppers in places such as Montpellier and Strasbourg.

With more pedestrians around, new shops are expectedto open. A special committee is envisaged, in partnership withthe Chamber of Commerce and Industry, to help these newshops come up. The committee will include businessmen,shopkeepers, craftsmen, and professionals who work alongthe alignment.

Tram-Train Project: Brest Métropole Océane, France


News

NORTH AMERICA

GE and EMD win locomotive order fromCanadian RailwayCanadian National Railway (CNR) hasplaced an order for 70 new high-horsepower locomotives from GETransportation and Electro-Motive Diesel(EMD). (More in Company News)

Thales supplies communicationssolution to Canada LineFrance-based rail technology solutionsprovider Thales has implemented itscommunications-based train controlsolution for the new rail line, the CanadaLine, in Vancouver, British Columbia.(More in Company News)

Avalon Rail receives passenger carrenewal contract from VIA Rail CanadaVIA Rail Canada has awarded a CAD19.5million contract to Avalon Rail forreconfiguring 12 of its passenger cars(eight Chateau sleeping cars and fourPark sleeper-dome-lounge cars) used onits western transcontinental train, theCanadian. (More in Company News)

TTC to postpone projects due to CAD848million spending cutsThe Toronto government in Canada hasdemanded a reduction in Toronto TransitCorporation’s (TTC) spending plans,outlined in its recently approved ten-yearcapital budget of CAD848 million. (Morein Finance)

Greyhound Canada to maintain busservices in ManitobaGreyhound Canada has confirmed it willcontinue to run passenger bus services inthe Manitoba province. This is in light ofits discussions with the Government ofManitoba, which have been “positive”and “productive”.

Both the government and GreyhoundCanada have expressed theircommitment to reach an agreement andare likely to decide on some combinationof direct investment and a reduction inservices.

When confirmed, this arrangementwill serve as a short-term solution toensure service continues, while the

recently announced federal-provincial-territorial working group conducts acomprehensive review of the policyframework governing passenger busservices in Canada.

Greyhound Canada had earlierthreatened to stop services as they weremaking losses and were not beingsubsidised by the government.

US DOT allocates over USD10 million toNFTA for hybrid busesThe US Department of Transportation(DOT) has granted over USD10 millionto the Niagara Frontier TransportationAuthority (NFTA) to purchase hybridbuses in Buffalo to improve the city’s pub-lic transit system. (More in Finance)

Port Authority grants signallingcontracts for PATH train systemThe Port Authority of New York and NewJersey has authorised over USD340million worth of contracts to replace theoutdated mechanical train controls on the101-year-old Port Authority Trans-Hudson (PATH) train system.

The overall signal project is expectedto cost USD580 million and is part of PortAuthority’s USD3.3 billion plan tomodernise the entire PATH system.

The modernisation plans also includeprocurement of a new 340-car train fleetand 10-car platforms on the Newark toWorld Trade Center line.

So far, a USD321 million contract hasbeen awarded to a consortium led byGerman train equipment supplier,Siemens, for the design, manufacture andinstallation of the new signal technology.The consortium also includes SafetranSystems and D/A Builders.

A USD21 million professionalmanagement contract was also awardedto Booz, Allen, Hamilton to help overseethe signal project.

Additionally, a USD2 million contractwas given to Rail Safety Consulting,which will provide an independentassessment and certification of safetystandards for the project.

US government grants USD8 million toNew Jersey rapid transit authoritiesThe US Department of Transportation hasawarded New Jersey over USD8 million

in federal funds to improve intermodalstations and expand local bus services.(More in Finance)

New York MTA projects face costoverruns and delayAll five of New York Metropolitan TransitAgency’s (MTA) “mega” mass- transitprojects will cost more than projected.

Implementation of a public addresssystem for part of the subway system hasbeen delayed more than four years to2010. There is also an eight-month delayin replacing 1,280 subway cars.

The cost of building the Fulton StreetStation has increased by around 90 percent over the initial estimates and costsof other mega-projects are slated to be 6-15 per cent above initial estimates.

The Second Avenue subway, linkingthe Long Island Rail Road with midtownManhattan’s Grand Central Station, hasalso been delayed by at least a year to2015.

New York is facing a multibillion-dollar gap in its current budget (2009-2010)and cannot afford the mass transitagency’s proposed five-year USD28.5billion capital plan.

The New York Metropolitan TransitAuthorities (MTA) recently approved adraft version of its next five-year capitalprogram, costing USD28 billion (of whichUSD10 billion is required for the projectto be fully funded). (More in Finance)

NYSERDA helps finance NFTA’s hybrid busprocurementThe New York State Energy Research andDevelopment Authority has grantedUSD1.1 million to the Niagara-FrontierTransportation Authority (NFTA) forpurchasing eight diesel hybrid-electricbuses. These will be operated in Erie andNiagara counties in Canada. (More inFinance)

Virginia applies for funding for highspeed rail corridorThe government of Virginia has submit-ted its second application to the federalauthorities for USD1.8 billion under theAmerican Reinvestment and RecoveryAct to develop the I-95 Southeast HighSpeed Rail Corridor. (More in Finance)


News

Keolis to run VRE’s train systemFrance-based high-speed rail-serviceprovider, Keolis Rail Services America,has won the bid to operate and maintainVirginia Railway Express (VRE) trains.The contract may be renewed twice, forfive years each time. BombardierTransportation and Amtrak (with whichit had a 17-year partnership) had alsobeen looking to acquire the contract.

Amtrak had submitted a higher bidat USD17.2 million a year, plus USD2.2million in first-year transition costscompared to Keolis’ bid of USD16.9million a year, with USD1.7 million intransition costs. However, VRE based itschoice on several parameters includingcustomer service expectations.

Keolis is slated to begin operatingservices in July 2010 until 2015 and willstaff VRE trains with conductors,locomotive engineers and maintenanceworkers. However, VRE’srecommendation must be approved bythe Northern Virginia and the Potomacand Rappahannock TransportationCommissions (PRTC) before the contractcan be awarded.

PRTC receives USD8.87 million federalgrant to procure 3 locomotives for VREThe US Department of Transportation hasawarded an USD8.87 million grant to thePotomac and RappahannockTransportation Commission (PRTC).(More in Finance)

Amtrak starts passenger train servicesin VirginiaThe first government-backed passengertrain in Virginia, Amtrak’s northeastregional line, has begun services. Thenew train will connect Lynchburg withBoston via Washington and will operateon a trial basis for three years. There willbe stops in Charlottesville, Culpeper,Manassas and Alexandria andconnections may be made to Washingtonfor New York and Boston.

Fisher Coachworks to provide hybridbuses in MichiganMass Transportation Authority in Flint,Michigan, USA (MTA Flint) will procuretwo Fisher Coachworks all-electric, plug-in hybrid mass transit buses to bedeployed in 2010. (More in Company News)

AT&T offers wireless coverage on SEPTAMarket-Frankford and Broad StreetSubway linesAT&T has completed its wireless networkfor providing street-to-platform coveragefor its Broad Street Subway and Market-Frankford lines, operated by theSoutheastern PennsylvaniaTransportation Authority (SEPTA) inPhiladelphia region of Pennsylvania,USA. (More in Company News)

Sacramento begins work on airport lightrail extensionThe transport authorities of Californiastate capital Sacramento have begunconstructing the first 1.8 km segment ofthe light rail extension from Downtownto Natomas airport, designated the GreenLine. The line, which is estimated to costUSD44 million, will run north along 7thStreet from H Street, where it divergesfrom the existing spur to the Amtrakstation. The line is expected to startoperating services in November 2010. Thenext segment is projected to open in 2014.Consequently, after three years, the finallink to the airport, which lies northwestof the city centre, will be completed.

Los Angeles MTA approves 30-year urbanmass-transit programmeLos Angeles County’s MetropolitanTransportation Authority (MTA) hasapproved a 30-year USD300 billionprogramme to undertake a series ofprojects to reduce congestion in the city.(More in Finance)

Los Angeles MTA submits rail projectproposals for federal fundingThe Los Angeles County’s MetropolitanTransportation Authority (MTA) willsubmit the plans for the Westside LosAngeles subway expansion and light-raillink through downtown Los Angeles.(More in Finance)

Siemens wins light-rail contract fromSan Diego MTSThe San Diego Metropolitan TransitSystem (MTS) has granted a two-yearUSD205.2 million contract to Germany-based transport equipment providerSiemens for providing 57 new low-floor,light-rail vehicles. (More in CompanyNews)

Honolulu transport authorities to launchrail project

The US Federal TransitAdministration (FTA) has approvedHonolulu’s proposed rail transit system.The project can enter the next phase ofpreliminary engineering and is noweligible for nearly USD1.5 billion worthof federal funds. City officials, who hadexpected to launch the project inDecember 2009, will now start workingon refining engineering and constructionschedules, and financial planning.

The project involves constructing a 20-mile elevated rail line that will connectWest O‘ahu with downtown Honoluluand Ala Moana Center. The systemfeatures electric, steel-wheel trainscapable of carrying more than 300passengers each.

Aecom wins USD19 million contract fromDARTThe Dallas Area Rapid Transit (DART)authority has awarded a USD19.3 millioncontract to technology provider, AecomTechnology, for supplying project control,system integration and staff supportservices for the second phase of its lightrail expansion project. (More in CompanyNews)

Expiry of US federal law funding masstransit may result in cancellations ofprojectsA US federal law which finances the bulkof mass transit projects has expired,resulting in the possible cancellation ofprojects worth USD3 billion. (More inFinance)

Authorities mulling over launch of aregional transit authority in DetroitThe government of Detroit city in USA isconsidering a bill to establish a masstransit authority to finance and operate aregional system of buses and trains at anestimated cost of USD10.5 billion over 25years.

Much of the local system will befederally funded with an estimated baseoperating cost of USD293 million. Theauthority will implement 406 miles ofimproved buses and routes, light rail andcommuter trains. The deputies arescheduled to work on the bill on October7, 2009.


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Amtrak study estimates Pioneer lineproject to cost over USD400 millionAn Amtrak study estimates that it maycost over USD400 million to restart highspeed rail services on the Pioneer Routein Idaho, which runs through Boise andPocatello on its way from Denver,Colorado to Seattle, Washington, USA.(More in Finance)

Federal funds to launch zero emissionbuses in Flint, MichiganThe US federal government has allocatedUSD100 million to the Mass Transport-ation Authority in Flint, Michigan toprocure two zero-emission hybrid buses(Fisher Coachworks GTB-40 all-electric,plug-in) in 2010. (More in Finance)

Norfolk Southern introduces new eco-friendly locomotiveNorfolk Southern has launched anexperimental 1,500 hp battery shuntinglocomotive in USA. The locomotive (GP38NS999) does not have an onboard powerplant and instead charges its 1,080 lead-acid 12 V cells by plugging the locomotiveinto an external supply.

The locomotive has been developedin collaboration with the US Departmentof Energy, the Federal RailroadAdministration and Pennsylvania StateUniversity. The project has receivedUSD1.3 million of federal funding.

The Brookville EquipmentCorporation has provided traction controlsystems and regeneration technologywhich uses energy recovered duringbraking to recharge the battery andenables the locomotive to run three shifts.

IBM to modernise San Francisco BayArea Rapid Transit (BART)The San Francisco Bay Area Rapid Transit(BART) has deployed IBM software tomanage the product purchase, inventory-tracking, and maintenance systems ontrains, stations, equipment andoperations. (More in Company News)

Florida seeks federal funds for buildingcommuter rail linesThree of Florida’s key urban cities,Jacksonville, Tampa-St. Petersburg, andOrlando, are seeking federal funds forbuilding commuter rail lines like the Tri-

Rail which connects the Miami-FortLauderdale-West Palm Beach corridor.(More in Finance)

North Carolina applies for USD5 billionworth of high speed rail projectsThe North Carolina Department ofTransportation has submitted USD5billion worth of applications for high-speed rail projects. (More in Finance)

Railhead Vision Systems to deploy LDVRin Metrolink locomotivesSouthern California’s railroad systemoperator, Metrolink, intends to install aninward and outward-facing video camerasystem, Locomotive Digital VideoRecorder (LDVR) in its locomotives. (Morein Company News)

Granite Construction JV wins Long IslandRail ProjectNew York Metropolitan TransportAuthority (MTA) Capital Constructionhas awarded a USD659 million contractto a Granite Construction-led jointventure (JV) to build a tunnel link fromQueens to Grand Central Terminal inManhattan. (More in Company News)

IBM to provide software for WashingtonMetroThe Washington Metropolitan AreaTransit Authority (WMATA) is using IBMsoftware to monitor its buses, trains, andrelated equipment to assess the exactcondition and location of all its assets.(More in Company News)

US DOT to allocate USD142.7 million toPennsylvania transport projectsThe US Department of Transportation(DOT) will allocate USD142.7 million infederal funds from the AmericanRecovery and Reinvestment Act (ARRA)2009 to transportation projects inPennsylvania. (More in Finance)

Los Angeles Metro Gold Line Eastside tolaunch services in NovemberThe USD898 million Metro Gold LineEastside project in Los Angeles is almostcomplete and the line will start operatingservices from mid-November.Construction on the 6-mile extension of

the line, from Union Station downtownto East Los Angeles carried out byEastside LRT Constructors over fiveyears, is almost complete.

The section will cover eight newstations and 1.7 miles of undergroundtrack. The line will increase the city metrorail length to a total of 79 miles. The MetroGold Line of the Los Angeles CountyMetro Rail is the newest rail addition tothe metro system. Currently, it operatesbetween Downtown Los Angeles andeastern Pasadena.

Washington Metro to try new anti-crashsystem by ARINCThe Washington transit agency willconduct trial of new anti-crash softwareon its network. (More in Company News)

Kiewit Pacific receives contract forHonolulu’s rail transit constructionThe Hawaii government has granted aUSD482.9 million contract to constructionand engineering firm, Kiewit Pacific, forthe first phase of Honolulu’s rail transitproject. (More in Company News)

LATIN AMERICA

Helios wins electric train consultancycontract from ProInversiónPeru-based private investment promotionagency ProInversión has granted acontract to Peru-based consultancy firmHelios to help in the concession processfor Lima’s electric train system project.(More in Company News)

World Bank grants USD150 million tourban transport authoritiesThe World Bank has granted a 30-yearUSD150 million loan (with five-yeargrace) to support Argentina metropolitanarea’s urban transport project, which aimsto improve the urban transit systems bystrengthening the decision-makingframework and prioritising publictransport development. (More in Finance)

Volvo wins bus orders from Grupo Ruasand TransmilenioBrazil-based bus operator, Grupo Ruas,has ordered 100 bi-articulated Volvo


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B9SALF buses from Volvo Buses. (Morein Company News)

Rio de Janeiro to invest USD5.5 billion intransport projectsThe government of Rio de Janeiro intendsto invest USD5.5 billion in transportationprojects ahead of the 2016 OlympicGames. (More in Finance)

São Paulo to launch USD1.85 billionmonorail tenderThe state government of São Paulointends to launch a tender to constructmetro line 17 (a mono rail line) by Octoberend. The 21 km monorail line, connectingCongonhas airport to Morumbi stadium,is estimated to cost USD1.85 billion andis part of the state’s investment plan forthe 2014 FIFA World Cup.

The project is divided into threephases and the first phase, linking SãoJudas metro station and Congonhas, willbe ready in December 2010. The full lineshould be completed by 2012.

The state government has requestedBRL2.4 billion from the federalgovernment’s growth acceleration plan,Programa de Aceleração do Crescimento,for the project.

(1 Brazilian Real [BRL] = 0.5823 USD)

Brazil’s plans for USD19 billion bullettrain facing troubleThe Brazilian government’s proposed fiveyear plan to launch bullet train servicesto link Río de Janeiro, São Paulo andCampinas may be scrapped due to copperthefts. (More in Finance)

Brazil government to invest in masstransit for Olympics preparationThe Brazil government plans to spendover USD14 billion on an infrastructuredevelopment program for the Olympics2016. The proposed projects includeupgrading the basic urban infrastructureof Rio de Janeiro, including the masstransit systems.

The government is likely to adopt thepublic private partnership model forimplementing the projects, as it recentlydid for the expansion of Line 4 of SaoPaulo’s Metro. There is a significantopportunity for foreign investment inthese fields.

Odebrecht Perú to place bid for USD400million electric train project tenderBrazil-based construction firm subsidiary,Odebrecht Perú, is likely to bid for aUSD400 million tender for carrying outthe civil and electromechanical works onthe mass transport electric train projectin Lima and Callao. (More in CompanyNews)

Invensys and Infoglobal receivecontract to upgrade Sao Paulo metrolinesBrazil metro operator, CompanhiaPaulista de Trens Metropolitanos(CPTM), has granted a EUR280 millioncontract to a consortium consisting of UK-based railway control andcommunications systems providerInvensys Rail, Brazil-based engineeringcompany Montagens e Projetos Especiais(MPE), and Spain-based telecomspecialist Infoglobal. (More in CompanyNews)

Minas Gerais government to implementnew transport system in Belo HorizonteThe Minas Gerais state government inBrazil is exploring options for implement-ing a new transport system in the SerraVerde neighborhood of the capital BeloHorizonte. Authorities are contemplatingdifferent options such as light-rail transit(LRT), a subway or bus rapid transportsystem.

The LRT, if implemented, will operateon biodiesel and run on the surfaceobviating the need for a power grid.Construction cost is expected to be BRL33million per km.

A subway system, in contrast will costBRL99 million per km. In total, takingdistances into account, the LRT will costabout BRL100 million while the subwaywill cost around BRL300 million.

The results of the analysis willdetermine which model will be selected,as well as any necessary mitigationworks, such as relocation of residents.

The transport system is necessary asthe Transport and Public WorksDepartment is estimating increaseddemand that will arise from the transferof state government offices to the SerraVerde neighborhood.

(1 Brazilian Real [BRL] = 0.5628USD)

Pöyry-Cal y Mayor-Geo Consultconsortium win metro consultancycontractThe Industrial Development Bank (IDB)and Andean Development CorporationCorporcion Andina de Fomento (CAF)have awarded a USD2 millionconsultancy contract for the Panama Citysubway.

The contract has been awarded to aconsortium consisting of engineering andconsulting firms, Swiss-based Poyry,Mexico-based Cal y Mayor and Panama-based Geo Consult. (More in CompanyNews)

IDB grants USD1 million for metro feederbus system in Santo DomingoThe Industrial Development Bank (IDB)has granted USD1 million in non-reim-bursable funds out of its infrastructurefund to the Dominican Republic.

The fund is aimed at aiding the designand implementation of an integratedfeeder bus system for Santo Domingo’smetro in the Dominican Republic. (Morein Finance)

Costa Rica to launch tender for TREMprojectThe Transport and Public Works Ministryof Costa Rica has introduced itsmetropolitan electric tram rail concessiontender draft.

The tender, which will be launchedby the end of October, will grant theoperator rights to operate three routesconnecting San José to Heredia province,San Pedro and Sabana Sur.

The bids are due in February or March2010. The successful bidder will construct,operate and maintain the commuter trainservices for 35 years.

The project involves the constructionof a double track railway line and thesupply of around 18 four-car trainscapable of transporting 340 passengerseach.

Pre-feasibility studies carried out byBrazil-based firm Engevix indicate thatthe total cost of the project is aroundUSD345 million.

The state will contribute USD100million towards the reconstruction of theline from Heredia and Montes de Oca andSabana Sur, while the winning bidder


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will put in the balance.

The initial 10 km section connectingHospital de Heredia with Ferrocarril alAtlántico station in San José is expectedto start operations in 2013.

Phases 2 and 3 linking Atlántico —San Pedro de Montes de Oca andAtlántico — Ferrocarril al Pacífico station— Sabana Sur will follow a year later.

Eleven international companies haveexpressed interest in the project includingAlstom, CAF, Siemens, Bombardier anda South Korean consortium of DaebonEngineering and Hyundai Rotem.

Manaus plans to start USD1.15 billionmass transport project next yearIn preparation for the 2014 FIFA WorldCup, Brazil’s Amazonas state capitalManaus will begin constructing aUSD1.15 billion multimodal transportsystem in 2010. (More in Finance)

Chile MoP releases 2009-10concessions plansThe Chilean Ministry of Public Works(MoP) has proposed 18 projects worthUSD3.18 billion for 2009 and 2010. (Morein Finance)

Costa Rica starts off bidding for USD345million electric train projectCosta Rica’s Ministry of Public Works andTransport (MOPT) has presented a draftof the bidding rules for the concessionsof its metropolitan electric train (TREM)connecting San José to Heredia.

MOPT will launch the tender by end-October and will receive bids in Februaryor March 2010.

The winning bidder will carry out theconstruction, operation and maintenanceof the rail service for 35 years.

Interested firms include Alstom, CAF,Siemens, Bombardier and a consortiumof Daebon Engineering and HyundaiRotem.

Brazil-based Engevix has estimatedthat the total project cost is USD345million, of which USD100 million will beprovided by the state and the balance bythe winning bidder.

The project involves the constructionof two parallel railways and the runningof electric trains.

The system is expected to startoperations in 2013.

Government approves USD441 millionloan for São Paulo metro extensionThe government of São Paulo hasapproved a USD441 million loan from thenational development bank, BancoNacional de Desenvolvimento Econômicoe Social (BNDES) for extending Line 5 ofthe São Paulo Metro. (More in CompanyNews)

MTT enters into collaboration with BioBio regional governmentChile’s transport and telecommunicationsministry, Ministerio de Transportes yTelecomunicaciones (MTT) has signed acollaborative agreement with the Bio Bioregional government to provide technicalresources to improve planning,management and investment in theregion’s urban transportation systems.

The agreement is valid from 2009 to2015 and is relevant in light of a statesubsidy recently approved in congress tofinance public transport infrastructureexpansion and improvement.

Cesel-Pöyry wins civil andelectromechanical works contract forLima’s electric trainPeru transportation and communicationsministry, Ministerio de Transportes yComunicaciones (MTC), has granted aUSD13.4 million contract for overseeingcivil and electromechanical works onLima’s electric train expansion project.

The contract has been awarded to thePeru-Switzerland-Finland-based consor-tium Cesel-Pöyry.

The consortium was the onlyprequalified firm to come up with afinancial offer. The estimated budget forcivil construction is USD431 million.

Construction of the electric train linkfrom Atocongo bridge to Las Artes andfrom Las Artes to Hospital 2 de Mayo isexpected to begin before the end of 2009,and the tender for the same is likely to belaunched shortly.

The Andean DevelopmentCorporation, Corporación Andina deFomento (CAF) is lending Peru USD300million to help fund the project.

The project is estimated to be

completed in a maximum of 18 months.

Quito metro study to start in November2009Ecuador transport authorities and officialexperts from Spain-based Metro Madridhave signed a cooperation agreement forconducting an initial study to develop alight-train mass-transport system in theEcuadorian capital Quito.

Metro Madrid officials will provideassistance during the entire study,spanning design to construction of thenetwork. The study will be launchedshortly.

In the first phase, expected to take 6-8 months, the study will involve decidingthe design and type of infrastructure forthe transport system.

In the second phase of around twoyears, experts will draw up engineeringand technological plans for the electricnetwork.

Definitive studies for the route andlocation of stations will be presented inthe third phase, which will also includeconstruction of the operating system. Thisis likely to take three more years.

Panama government to launch bus fleetrenewal tenderThe Panama government is looking tolaunch a tender for supplying and oper-ating a new fleet of buses in Panama Cityin December 2009.

Bidding rules will be available fromthe national transit authority, LaAutoridad del Tránsito y TransporteTerrestre (ATTT), starting December 2009,and interested bidders will have twomonths to present proposals.

The successful concessionaire willhave eight months to replace the city’sentire bus fleet and will have to launchoperations within the year.

There will be two concessionaires,each controlling 750 buses, of which thestate will purchase 420.

Currently, 1,500 second-hand schoolbuses imported from the US are operatingservices in the city under the masstransport project Transmóvil.

The new project is slated to beUSD100 million cheaper than Transmóvil,as it involves the concessionaire buyingthe buses, rather than the government.


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ASIA PACIFIC

Hyundai Rotem starts rolling outdriverless metro carsHyundai Rotem has released its firstdriverless light metro car from itsChangwon plant in South Korea. (Morein Company News)

Hong Kong government approves XRLextensionThe Hong Kong Executive Council hasapproved building of the Hong Kongextension to the 140 km Guangdong-Shenzhen-Hong Kong Express Rail Link(XRL) project.

The next step is to obtain fundingapproval from the Finance Committee ofthe Legislative Council. The 26 kmunderground rail section, to be built atan investment of HKD8.41 billion, willrun from West Kowloon in Hong Kongto Huanggang to finally connect to theXRL mainland section.

Construction of the undergroundsection is slated to begin by the end of2009.

The XRL project involves building ametro line connecting the Hong Kongterminus at West Kowloon to Shibi inGuangzhou, with intermediate stations atFutian, Longhua and Humen. The cost ofrailway works on the XRL is estimated atHKD53.7 billion.

(1 Hong Kong Dollar [HKD] =0.1290USD)

KBR-Arup joint venture receives AUD4.3billion contractThe Australian government has awardeda AUD4.3 billion contract to a jointventure between US-based engineeringand construction company, KelloggBrown and Root (KBR), and London-based engineering-consultingorganisation, Arup, to finalise planningfor the Regional Rail Link project. (Morein Company News)

Macau Light-Rail project cost increasesby 80 per centThe cost of the Macau Light-Rail projectin China has escalated by about 80 percent from HKD526 million in 2007 toHKD940 million. (More in Finance News)

Swaraj Mazda bags bus contract fromDMRCIndia-based Delhi Metro Rail Corporation(DMRC) has granted an INR600 millioncontract to Swaraj Mazda for supplying300 air-conditioned buses. (More inCompany News)

SMRT appoints new chairmanSingapore Mass Rapid Transit (SMRT)Corporation has announced that Mr ChooChiau Beng has retired as chairman of thetransport operator. The Board hasappointed Mr Koh Yong Guan aschairman in his place.

Kochi metro rail project to be delayedThe refusal of the Ministry of Finance ofIndia to implement the Kochi metro-railproject as a centre-state joint-ventureinitiative is expected to delay the launchof the project.

So far, it has slowed down the pace ofthe survey, land acquisition andrelocation of utilities for the mass-rapidtransit system. The delay is also expectedto increase the total cost of the project byaround 10 per cent each year.

Even though the PlanningCommission has approved the project, atthis stage, only the Cabinet Committee forEconomic Affairs, headed by the PrimeMinister, can overrule the financeministry’s objection.

The Kerala state government iscurrently waiting for the centralgovernment to announce a fast-trackscheme to acquire around 65 acres of landfor the project and to chart out arehabilitation package for those whosurrender their land.

The Kochi metro is a proposed mass-transit system for the city, expected to becommissioned by 2011. The nodal agencyfor the project is the Kerala IndustrialInfrastructure Development Corporation.

GCRT to invite EoIs for light rail projectAustralia’s Gold Coast Rapid Transit(GCRT) authorities will soon inviteexpressions of interest (EoIs) from privateorganisations for financing, designingand operating the city’s light rail system.The project will operate via a publicprivate partnership model. Aftersubmitting the EoIs, the selected bidders

will have to provide a detailed financialand technical proposal for the light railsystem.

Phase 1 of the Gold Coast rapid transitproject will link Griffith University withBroadbeach via Southport and Surfer’sParadise. The Queensland Governmentand the Gold Coast City Council areworking together to build a light railsystem between Helensvale andCoolangatta, which will link Tweed to thesouth of Brisbane.

THSRC asks government to extendhandover periodThe loss-making Taiwan High Speed RailCorporation (THSRC) has asked thegovernment for an extension on itscontracted 35 year concession period inorder to gather more time to repay itsdebts. The system, built on the basis of abuild-operate-transfer (BOT) model,which has been operational for 2 years,had incurred losses of USD2.18 billion asof June 2009 due to high interestpayments, as well as depreciation andamortization costs.

Meanwhile, the government’s role inthe company is expected to increaseshortly with THSRC holding anextraordinary shareholders’ meeting inNovember 2009 to elect new boarddirectors and supervisors. Thegovernment is aiming to win nine out ofthe 15 seats during the board election. Thegovernment is also pursuing anagreement with a bank syndicate toobtain lower interest rates on its loans.

Azerbaijan Railway negotiates loansworth USD665 millionAzerbaijan Railways is seeking a USD450million loan from the World Bank tofinance the changing of its energysystems, modernising itscommunications and signal systems andpurchasing 50 electric locomotivesoperating on alternating currents. (Morein Finance News)

New fare system in Baku’s buses from2010The Baku passenger transport agency inAzerbaijan will implement plastic cardfare systems in big three-door-buses fromearly 2010. The ticketing system will befully introduced in medium-sized busesfrom early 2010. Meanwhile, the


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transport authority will replaceunsuitable small and medium buses with1,000 big buses manufactured by SouthKorea-based company Daewoo.

Saudi bank to finance Pakistan RailwaysprojectA Saudi Bank has signed an agreementwith a consortium comprisingBombardier Transportation and ChinaRailways Signal and CommunicationsCorporation to finance the first phase ofa project to replace the signalling systemon the Pakistan Railways. (More in FinanceNews)

Work on Karachi Circular Railway tostart in first quarter 2010Transport authorities in Pakistan areplanning to start work on converting theKarachi Circular Railway into a high-capacity commuter line in the first quarterof 2010. The project was approved by theNational Economic Council on September3, 2009 and services are expected to belaunched in 2013.

Opened in two phases (1964 and1970), the 296 km Karachi Railway startsfrom Karachi City station and loopsaround the west of the city to rejoin themain line at Drigh Road, 145 km from theterminus. It closed in 1999 but there havebeen several attempts at revival.

The current project is backed by theJapan International Cooperation Agency,which has agreed to provide soft loans tofund bulk of the work.

Responsibility for reviving therailway has been delegated to the KarachiUrban Transport Corporation,established in May 2008; this is owned60 per cent by Pakistan Railways, 25 percent by the Sindh provincial governmentand 15 per cent by the city. The Railwayis likely to appoint an operatingconcessionaire.

Much of the route is to be rebuilt withdouble tracks to eliminate level crossings.Consultants have recommended an extrapair of tracks between Drigh Road andKarachi City to segregate services fromthe main line, increasing the cost fromPKR875 million to PKR15 billion. Therewill be a 4 km tunnel through Gulistan-e-Johar plus 225 km on viaduct, leavingjust 166 km at ground level. The 433 kmline will serve 27 stations, of which 11 willbe elevated and two underground. Trains

are expected to run at 6 min headways,giving a nominal capacity of 700,000passengers a day.

(1 Pakistani Rupee [PKR] = 0.0119 USD)

Bus procurement in Delhi faces delayDelhi Transport Corporation’s (DTC’s)plan to add 1,000 semi-low-floor buses toits fleet before the Commonwealth Games2010 in India’s capital city has hit aroadblock. Ashok Leyland and TataMotors are charging rates which aredeemed too high by the DTC.

The two bus manufacturers hadearlier missed the deadline of supplying3,125 low-floor buses to DTC.Subsequently, on June 1, 2009, the Delhicabinet cleared the proposal to buy 1,000semi-low floor buses, which were thoughtto be more easily available in the market.However, it has now been revealed thatthe price that the two bus manufacturershave quoted for the semi-low-floor busesis almost equal to that of low-floor buses.

DTC is considering the option to placea fresh order for the low-floor buses inplace of the semi-low-floor ones.

Mercedes-Benz plans to launch city-buses and luxury coachesMercedes-Benz India is planning tointroduce city-buses and three-axleluxury coaches in the next six to 12months to increase its bus sales. (More inCompany News)

DOTC to tap funds from China for LRTsouth extension projectChina may offer Official DevelopmentAssistance to the Philippines Departmentof Transportation and Communication(DOTC) to help it finance its Light RailTransit (LRT) Line 1 South ExtensionProject. (More in Finance News)

NETS cash card for mass rapid transitpassengersThe Singapore Transport Authorities haveintroduced a cash card, Network forElectronic Transfers Singapore (NETS),with which passengers can pay for theirtrips on the city’s mass rapid transitsystems: light rail and buses. In August2009, NETS launched a pilot by issuing10,000 smart cards, which generated over0.1 million transactions in a month. The

NETS cards can also be used to pay fortransactions at other retail outlets.However, during the trial, the majorityof the transactions accounted for transitpayments.

Global rail proposes USD8 billion railplanRailway equipment manufacturer, GlobalRail, along with its Chinese partner,China Infraglobe Consortium, hassubmitted a USD8.3 billion plan to theMalaysian Ministry of Finance forconstructing a high-speed railway in thecountry. (More in Finance News)

Government reveals bus transportimprovement plan for GungahlinThe Australian Capital Territory govern-ment has designed a strategic publictransport network plan to improveGungahlin’s transport system by 2031.

The plan proposes improvements tothe bus systems by the introduction offour types of bus services (rapid, frequentlocal, peak express, and coverage) and aUSD1 million trial of the rapid servicewhich will run from Gungahlin toKingston via the city, Russell andParliamentary Triangle. The trial periodis from November 16, 2009 to June 2010.

Sydney Metro shortlists candidates forintegrated metro operations contractThe Sydney Metro authorities haveshortlisted two consortia for their Inte-grated Metro Operations Phase 1 whichincludes the line between Central andRozelle.

The shortlisted candidates are theKujika consortium (comprising BovisLend Lease, Downer EDI, Keolis,McConnell Dowell, Thales and financialadvisor Plenary Group) and Met One(comprising Serco, BombardierTransportation, Laing O’Rourke andHastings Management). The contractinvolves the supply of the trains, track,equipment-and-maintenance systems, aswell as the operations and maintenanceof the 7 km line. The contract is due to beawarded in late 2010.

Thai cabinet grants approval to lease4,000 natural gas-fuelled busesThe Thailand Transport Ministry hasreceived the cabinet’s approval for


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Bangkok Mass Transit Authority to lease4,000 natural gas-fuelled buses for THB64billion. (More in Finance)

Earlier, the Thai Transport Ministryput together an operation plan for thenatural gas vehicle (NGV) bus project tothe cabinet for consideration.

The plan evaluates options for theleasing or renting of 4,000 buses andprovide information on obtaining land forthe bus depots.

The Bangkok Mass Transit SystemPublic Company will fund up to THB60billion for the project.

The land acquisition is expected totake around 15 to 24 months. The plan torent the buses will cost THB16 million perbus over the next ten years while theleasing plan will cost THB6 million perbus for the same period.

Private-bus concessionaires will haveto replace their diesel-powered greenminibuses with NGV buses within thenext six months.

The Islamic Bank of Thailand, theLand Transport Department and theBangkok Mass Transit Authority havesigned a joint agreement to grant loansworth THB1.5 billion to minibusoperators to help them replace theircurrent diesel-powered bus fleets withNGV ones.

(1 Thai Baht [THB] = 0.0299 USD)

Thai transport ministry introducesBangkok underground extension planThe Thailand Transport Ministry hasunveiled a THB82 billion plan to constructa 27 km long extension of Bangkok’sunderground train service. (More inFinance)

Bombardier wins high speed traincontract in ChinaCSR Bombardier Sifang (Qingdao)Transportation, a joint venture betweenCanada-based train manufacturerBombardier and China South Locomotiveand Rolling Stock (CSR) SifangLocomotive and Rolling Stock, has wonhalf of a USD4 billion contract to supplytrains to China’s Ministry of Railways.

The 80 Zefiro 380 trains will havemaximum speed ranging up to 380 km/hr. (More in Company News).

Bank of Taiwan to lend TWD382 billion toTHSRCThe Bank of Taiwan will lend up toTWD382 billion to the Taiwan HighSpeed Rail Corporation (THSRC) for con-structing three new high-speed railwaystations early next year. (More in Finance)

Delhi to implement GPS on bus fleetThe Delhi Transport Corporation (DTC)in India’s capital city is planning toimplement global positioning systems(GPS) on 5,000 of its buses, including itsnew fleet of 200 low-floored buses whichare expected to be delivered by March2010.

There is a provision to include privatebuses and other public service vehicles,taking the total number of buses to about11,000 by 2011.

A pre-bid meeting has attracted theinterest of over 30 companies willing toprovide the services. DTC plans to endthe selection process by this month andstart rolling out services 15 days later.

The GPS service is expected to beoperational by year end and is aimed atmaking the buses more commuter-friendly in time for the 2010Commonwealth Games.

Vietnam to build USD1.2 billion railwayline using BOTState-owned Vietnam Railways and aconsortium of seven South Korean com-panies (including Samsung, Daewoo,Ska, Kumho and Kangnam) havefinalised plans to construct a USD1.2 bil-lion railway track in Vietnam’s capital cityHanoi. (More in Finance)

JICA to undertake Karachi transportationproject studyThe Japan International CooperationAgency (JICA) will undertake a Transpor-tation Improvement study in Pakistan tofacilitate the development of the KarachiUrban Transport Master Plan (KUTMP)for 2030.

JICA will validate projects alreadyidentified under the transport section ofKarachi Special Development Package2020, identify additional projects forKUTMP 2030, and prepare feasibilitystudies of the high priority mass transitsystem projects.

Alcan Extruded Products to supplyEcoRange technology for SBS TransitbusesFrance-based Alcan Extruded Products,a business unit of Rio Tinto, will supplyaluminum for Singapore-based publictransport company, SBS Transit’s 600 citybuses. (More in Company News)

CSR Nanjing Puzhen wins contract forHangzhou MetroSingapore’s Midas Holdings’ joint ven-ture company, CSR Nanjing Puzhen, haswon a CNY1.8 billion contract from theHangzhou Metro system, which is underconstruction in China. (More in CompanyNews)

Hong Kong-Shenzen airport link projectto cost HKD50 billion more thanexpectedThe rail link between Hong Kong andShenzhen airports is expected to costHKD50 billion more than earlierestimates.

The cost of the project has increasedas most of the Hong Kong section of the50 km cross-border link will have to bebuilt underground and will include a 7km cross-harbour tunnel between theairport and Tuen Mun, according to astudy by MTR Corporation.

The Hong Kong section of the line isaround 25 km, including a 9 km spur lineconnecting to Hung Shui Kiu, Yuen Long.The MTR study estimates that this sectionwill cost more than HKD2 billion per kmto construct.

Meanwhile, the authorities areattempting to keep the cost of the HongKong section of another cross-border raillink, the Guangzhou-Shenzhen-HongKong Express Rail Link below HKD50billion after it overshot its previousestimated cost of HKD39.5 billion. Thiswill increase the budgetary pressure onthe rail link between the airports.

(1 Hong Kong Dollar [HKD] = 0.1290USD)

Bangladesh to revitalize bus transportBangladesh Road Transport Corporation(BRTC) plans to procure 100 new busesand revamp its operations by rebuilding125 single and double-decker buses.


News

The organisation had started limitingits services due to political influence,pressure from private bus operators anda shortage of buses. BRTC has closed itsservices on 100 routes over the last fiveyears.

Metro Integrated Transport Terminalinaugurated in LegazpiThe Metro Integrated Transport Terminal(MITT) of Legazpi city of Philippines hasstarted operating. The terminal willcentralise all forms of land transportation,including buses, which pass throughLegazpi from Manila going to Visayas.

The USD6.4 million facility was builtby the LKY Group on a 25-year build-operate-transfer (BOT) arrangement.

Alstom signs two agreements forsignalling and trams in KazakhstanAlstom has signed two cooperation agree-ments covering production of turnoutmotors and supply of a tram system forAstana, Kazakhstan’s capital city. (Morein Company News)

Construction work begins on Manukaurail linkConstruction work on the Manukau raillink, the first passenger rail route inAuckland, New Zealand, has begun. The2 km link will branch off from theSouthern Line at Puhinui to reach DaviesAvenue.

Leighton Works is the principalcontractor for the NZD50 million link,which is expected to open in the first halfof 2011 as part of the overall NZD600million project to upgrade Auckland’s railnetwork.

(1 New Zealand Dollar [NZD] = 0.7583USD)

SKRC to extend Korea Train ExpressoperationsThe South Korea Railroad Corporation(SKRC) is planning to expand the opera-tions of its Korea Train Express (KTX)bullet trains from Busan and Mokpo toIncheon International Airport.

The extension will connect to theSeoul Station-Gimpo InternationalAirport section. The construction of thesection is estimated to be completed inlate 2010

Bombardier looks to cash in on metrocoach demand in IndiaThe German rail equipment arm of Bom-bardier Transportation expects the annualdemand for metro rail coaches in Indiato reach 1,000 units in the next two years.(More in Company News)

Ahmedabad has launched BRTSIndia’s western city, Ahmedabad inGujarat, has launched its Bus RapidTransport System (BRTS) on October 14,2009. The transport authorities arefinalising the time schedules and speedof the buses. BRTS smart cards will beavailable at all BRTS bus stations for a feeof INR25 from October 14, 2009. Thebuses, each costing about INR 2.7 million,will be operated by Charter Speed PrivateLimited for seven years.

(1 Indian Rupee [INR] = 0.0215 USD)

Delhi introduces 107 new low-floor busesIndia’s capital city, Delhi, has rolled out107 low-floor buses, including 30 air con-ditioned models. This takes the totalnumber of low-floor buses in the city to763. The entire fleet of Delhi TransportCorporation buses comprises 3,559 buses,including 631 non-air-conditioned and 25air-conditioned low-floor compressed-natural-gas-fuelled buses and 2,903 stan-dard floor buses.

Tadiran Telecom receivescommunications system order from SCRIndia rail operator South Central Railway(SCR) has granted a contract to Israel-based Tadiran Telecom for deploying theSoftswitch communication system overits 200 km long network. (More inCompany News)

Ashok Leyland to deliver ultra low entrybuses in DelhiAshok Leyland will start rolling out itsultra low entry buses for the Delhi Trans-port Corporation (DTC) from its new busbody construction facility in Alwar,Rajasthan. (More in Company News)

Agra, Shimla, Mysore receive busesunder JNNURMIndia’s cities, Agra in Uttar Pradesh state,Shimla in Himachal Pradesh state, and

Mysore in Karnataka state have launchednew fleets of buses procured under theJawaharlal Nehru National Urban Re-newal Mission (JNNURM).

Agra has received the first 11 of thenewly ordered fleet of 200 low-floor buseswhich will be used to connect historicalmonuments and help tourists travelacross the city. Shimla has introducednine buses to connect with Chhota Shimlaand major destinations.

The Karnataka StateRoad Transport Corporation (KSRTC) isdue to receive 70 Volvos and low-floorluxury buses to be deployed in Mysore.The Union Ministry of UrbanDevelopment will cover 90 per cent ofthe project cost while the remainder willbe borne by KSRTC. KSRTC isconstructing bus-stands, modernisingsuburban bus-stands, and constructingdepots for the maintenance and serviceof vehicles.

Launched by the central government,the JNNURM is a city modernisationscheme with a total investment of overUSD20 billion in a 5-6 year period. So far,the Ministry has funded more than 15,000luxury buses, including ultra-modernand air-conditioned buses in the 65 citiesidentified under JNNURM.


Nanche Sifang Locomotive receivesbullet train order from Chinese railwayministryChina’s Ministry of Railways hasawarded a contract worth CNY45 billionto procure 140 bullet trains from a China-based train maker affiliated with Japa-nese firm Kawasaki Heavy Industries.(More in Company News)

China transit authorities to constructunderground railway trackChina’s transport authorities will con-struct a 9 km long underground rail trackbetween Beijing Railway Station in cen-tral Beijing and Beijing West Railway Sta-tion in south-west Beijing.

The project, estimated to cost CNY3.1billion, will enable passengers to travelbetween the two stations in 20 minutes.

Beijing transport officials expect thetrains travelling between the two stationsto carry about 100,000 passengers per dayby 2012. The project is a part of the


News

Chinese government’s plan to makeBeijing accessible to other major citiesthrough high-speed trains.

(1 Chinese Yuan [CNY] = 0.1464 USD)

IDB grants USD140 million loan forPakistan railway projectThe Islamic Development Bank (IDB) hassanctioned a USD140 million loan toPakistan for revamping the signallingsystem on its national railways. (More inFinance)

Afghanistan railway project to receiveADB financingThe Asian Development Bank (ADB) willcontribute USD165 million to finance thefirst railway project in Afghanistan. (Morein Finance)

Government launches SPV to implementAhmedabad metro projectThe Gujarat government has launched aspecial purpose vehicle, MetroLink Ex-press Gandhinagar and Ahmedabad(MEGA), for implementing the metro railproject connecting Ahmedabad andGandhinagar, and Thaltej and Kalupur.

MEGA was formed with an initialcapital of INR100 million and has anauthorised capital of INR2 billion.

The 100 km long fully elevated metroproject has received in-principle approvalfrom the union government. Now, issuessuch as phasing the metro projectconstruction and instituting feedertransport services are being addressed.

Recently, a study for the proposedmetro rail project was assigned toInfrastructure Leasing and FinancialServices (IL&FS) for analysing trafficmovements and requirements.

IL&FS will also provide projectadvisory services for the project.

Meanwhile, the Gujarat governmenthas announced an INR3.62 billion planto convert about 2,000 km of rail track tobroad gauge from metre gauge.

Funded entirely by the state’s railwaybudget, the project will be finished by2013. Gujarat is the only state in thecountry to have an extensive metre-gaugetrack network.


EUROPE

National Express rules out merger withStagecoach after CVC-Cosmen deal failsUK-based passenger transport company,National Express, has ruled out a possiblemerger with Australia-based railoperator, Stagecoach. (More in Finance)

WP Carey enters into a sale leasebackwith National ExpressInvestment management company, W. P.Carey and Company, has entered into asale-leaseback transaction worth USD26million with UK’s transport operator,National Express. (More in Finance)

UK government to hold on to East CoastfranchiseeThe UK government has stated that it willkeep the ownership and management ofNational Express’s East Coast franchisein public hands for at least two years toensure stability for passengers and em-ployees. The government took back theline after transport group, National Ex-press, could no longer sustain the losseson the East Coast line.

Competition Commission approvesStagecoach’s acquisition of EastbourneBuses and Cavendish Motor ServicesThe UK Competition Commission hasapproved Perth-based bus companyStagecoach’s proposal to purchasecompeting bus service providers,Eastbourne Buses and Cavendish MotorServices, which cater to customers inEastbourne. (More in Finance)

Modertrans wins contract for tramnetwork modernisationThe department for public transport inGdañsk, Poland, Zakład KomunikacjiMiejskiej w Gdañsku Limited, hasawarded a contract to Poland-basedtransport equipment manufacturerModertrans Poznan for maintenance ofrolling stock used in the town’s tram net-work. (More in Company News)

ADIF grants repair and maintenancecontract for high-speed railMadrid-based high-speed rail operator,Administrador de Infraestructuras

Ferroviarias (ADIF) has awarded a ser-vice contract to a consortium comprisingU.T.E. FCC Construcción, S. Contratas yVentas, Vías y Construcciones, andCOMSA Limited for repair, maintenanceand associated services for the Madrid-Sevilla High-Speed Rail Line. The orderis valued at EUR40.78 million.

(1 Euro [EUR] = 1.4971USD)

Pöyry-Deutsche Bahn consortiumreceives contract for new airportrailway linePoland-based rail operator PKP PolskieLinie Kolejowe has awarded a EUR7.5million contract to a consortium compris-ing Finland-based Pöyry and Germany-based Deutsche Bahn International fordesigning a new airport rail l ine inKatowice city in Poland. The consortiumis expected to deliver a feasibility study,a preliminary study, building permit de-sign, tender design and an environmen-tal impact assessment for the project.

The project, which is expected to becompleted by May 2011, involvesconstructing a 38 km rail line from theairport to the city centre and to other citiesin the upper Silesian agglomeration. It isbeing funded by the European UnionCohesion Fund as well as by governmentbudgetary allocations.

(1 Euro [EUR] = 1.4971USD)

Pesa Bydgoszcz secures contract tosupply low-floor trams to SzegedPoland-based rolling stock manufacturerPesa Bydgoszcz SA has secured a contractto supply nine low-floor trams to Szegedcity in Hungary. (More in Company News)

Line 2 of Warsaw metro project tocommence soonConstruction on the first phase of Line 2of the Warsaw metro in Poland is likelyto begin in 2010. The project had earlierhit a roadblock as the Overseas Engineer-ing Group consortium, had appealed tothe Warsaw-Mokotow District Courtagainst the award of the contract for con-structing the central section of Line 2, a 6km section from Rondo Daszynskiego toDworzec Wilenski.

The China-based consortium, theOverseas Engineering Group, comprisingthe China Overseas Engineering GroupLimited, Shanghai Construction and


News

China Railway Tunnel, had filed theappeal. However, the Warsaw-MokotowDistrict Court has dismissed the appeal .

In April 2009, the contract wasawarded to a consortium comprisingItaly-based Astaldi, Turkey-basedGulermak and Poland-basedPrzedsiebiorstwo Budowy Dróg iMostów, which had beaten the China-based consortium as the lowest bidder.

However, the bid amount of PLZ4.1billion offered by the winning consotriumexceeds the official budget estimate ofPLZ3.7 billion, thereby requiringratification by Warszawa City Hall. Thecity council can now sign the contract.

(1 Polish Zloty [PLN] = 0.3571USD)

Transport authorities to launch Thamespassenger system rail car tenderUK transport authorities are likely tolaunch a USD2.4 billion tender soon forthe supply of 1,100 rail cars for theThamesLink passenger system project insouthern England. The contract valuemay rise to USD4 billion if it includeslong-term maintenance. Equipmentmanufacturer, Bombardier Transporta-tion, is expected to bid for the project andis a frontrunner.

Meanwhile, BombardierTransportation has recently beenpermitted by Russia’s FederalAntimonopoly Service to set up a 50:50joint venture with Russia-based railwayequipment producer Transmashholding.The joint venture, to be based in Russia,will be called Bombardier TransportationTransmashholding AG.

Telent secures bus information systemcontract in LondonUK-based Telent, a technology servicescompany, has been awarded a 12-yearcontract by Transport for London to de-velop core software and provide web andmobile content for upgrading London’sbus passenger information system. (Morein Company News)

Thales partners with BelAir to providewi-fi for Bergen Light RailFrance-based technology services com-pany Thales has partnered with Canada-based BelAir Networks to provide wi-fifacilities for the Bergen Light Rail Projectin Norway. (More in Company News)

DPP to access over CZK8 billion EU fundsfor mass transit expansionThe Transport Ministry of Czech Repub-lic is planning to help finance the devel-opment and expansion of Prague’s under-ground mass transit system in line withthe Operating Programme on Transport.(More in Finance)

Arriva wins contracts from DarlingtonBorough Council and London BusServicesDarlington Borough Council has grantedUK-based bus service operator, ArrivaNorth East, a ‘multiple awardees’ contractfor providing bus services in Darlington,County Durham, for an unspecifiedamount (rumored to be GBP1.5 million).(More in Company News)

CAF receives EUR139 million contractfrom Istanbul transport authoritiesThe Istanbul transport authorities havegranted a EUR139 million contract toSpain-based Construcciones y Auxiliar deFerrocarriles (CAF) for supplying 30metro units, comprising four cars, witheach unit measuring 90 metres in length.(More in Company News)

GAZ Group delivers 16 LiAZ buses toYakutsk municipal transportationcompanyRussia-based automotive manufacturingcompany, Oleg Deripaska’s GAZ Group,has delivered 16 LiAZ buses to theYakutsk municipal transportation com-pany. (More in Company News)

Transdev selected to bid for 10 year busoperations tenderThe Innovation and Development Divi-sion of the France-based internationalmultimodal transport group, TransdevGroup, has announced that the TransdevPlus consortium will participate in thetender for the exclusive operation of busservices in Malta for over 10 years.

The consortium comprises Transdevand three Maltese companies, CVATechnology (an information technologycompany that operates the Valettacongestion charge scheme), Leo Grech,owner of Paramount Garages and one ofMalta’s private bus and coach operators,and the local family group Gasan. The

Malta Transport Authority has launchedthe tender in line with Malta’s PublicTransport Reform, which aims to createan integrated and modern service.

The successful bidder will be requiredto buy over 100 new low-emission busesand maintain the bus fleet. It must alsocarry out improvements such asintroduction of new routes, state-of-the-art passenger information and ticketing.

Bombardier receives EUR258 millioncontract from TrenitaliaItaly based train operator, Trenitalia, hasgranted a EUR258 million contract toCanada-based transport equipmentmanufacturer, Bombardier Transporta-tion for 100 Class E464 electric locomo-tives. (More in Company News)

SNCF to launch tender for high speedtrainsetsFrance national railways, SociétéNationale des Chemins de Fer Français(SNCF) is planning to launch a tender forsupplying up to 100 new-generation highspeed trainsets, equipped to operate cross-border passenger rail services. SNCF hasfirmed up plans for 35 trainsets and hasleft open the option to procure another 65.A batch of 13 sets, estimated to cost aroundEUR400 million, will replace the multi-system TGVs used by the SNCF-SBB jointventure Lyria and augment the fleet usedon the Thalys service to Brussels,Amsterdam and Köln. The remainingunits will be held in reserve.

The rail operator is expected to startnegotiations with major manufacturersfor the contract, including Alstom,Bombardier and Siemens by October 2009and issue a formal tender invitation inJanuary 2010.

SNCF also intends to complete thelong-planned extension of its TGV (highspeed rail services) Interconnexion acrossthe south of Paris, from Valenton toMassy. It also intends to develop stationsat La Défense as the main hub for theproposed Paris – Rouen – Le Havre highspeed line. SNCF’s ultimate goal is to have12 TGV stations and link Paris to theentire the European high speed network.The total cost of the project is estimatedto be between EUR250 million andEUR500 million and will be fundedlargely by the government.

(1 Euro[EUR] = 1.4787 USD)


News

RZD to form a new independent marketentity for long distance passengerbusinessThe Russian Railways, RossiyskieZheleznye Dorogi (RZhD) is looking tocreate a new company for funding andoperating its long-distance passengerbusiness. (More in Finance)

Nexans to deliver railway cables forIstanbul rail lineFrance-based transport equipmentprovider Alstom has granted a EUR3.3million contract to France-based cablecompany, Nexans for manufacture andsupply of 1,350 km specialised railwaysignalling cables. (More in Company News)

EIB grants EUR500 million loan for Paristram extensionThe European Investment Bank (EIB) hasgranted the Paris regional rapid transitauthority a 25-year EUR500 million loanfor extending its tram system by 14.5 km(between Porte d’Ivry and Porte de laChapelle) and adding 26 new stations.(More in Finance.

CT Plus Yorkshire’s Park-and-Ridecontract to be reviewedThe UK government is reviewing itsdecision to grant a contract for runningHull’s park and ride bus service toLondon-based transport operator, CTPlus Yorkshire, a subsidiary of the HCTgroup. The decision was made last monthand will now be reviewed at the CityCouncil’s next meeting. The contract isbeing questioned as Hull-based bus firmEast Yorkshire Motor Services (EYMS)had submitted a lower tender. EYMS hasbeen offering park and ride bus servicesbetween the city centre and Priory Parkin west Hull for the last six years.

Translink introduces smartcardNorthern Ireland public transport opera-tor Translink has deployed the country’sfirst integrated commercial smartcard,iLink, on its rail services. The card can betopped up for unlimited travel on North-ern Ireland Rail and can be purchasedwithin three specified zones in NorthernIreland. The iLink can also be used on theoperator’s bus services. New platformvalidators have been deployed at key railstations including Belfast Central, Great

Victoria Street, Botanic, Bangor,Carrickfergus and Lisburn.

London Bus Services awards GBP4.7million contract to Arriva London NorthLondon Bus Services has granted ArrivaLondon North a GBP4.7 million contractfor providing bus services on Route 76for 5 years. (More in Company News)

Thales UK to upgrade CIS forSoutheastern RailwaysUK rail operator, Southeastern Railwayshas granted a contract to technologyprovider, Thales UK, for upgrading andintegrating its Customer InformationSystem (CIS). (More in Company News)

Centro to launch smart card system inNovemberTransport operator of West Midlands inUK, Centro, is planning to roll out thesmartcard scheme in November 2009. TheGBP14.2 million project, which is similarto the London-style Oyster card system,will initially be applied to Central Busesand Silverline buses and will later beextended to London Midland trainservices. It was intended to introduce thesystem in April 2009 but problems withthe electronic ticket machines delayed it.Centro will begin a rolling programmeto install the technology on 2,500 busesin the region if the November launch issuccessful.

FirstGroup’s bus and rail revenue growthrate slows downTransport operator, FirstGroup, has wit-nessed a slowdown in the growth rate ofits bus and rail revenues in recent months.(More in Finance)

AmeyColas wins track renewal contractfrom Network RailUK rail operator Network Rail hasgranted a EUR250 million contract toAmeyColas for operating andmaintaining its track renewal systems.(More in Company News)

Nexus postpones tender for Tyne & Wearmetro operating contractUK transport authority Nexus has post-poned granting a 7 year contract for a

Tyne & Wear metro until early 2010,obliging bidders such as DB Regio Tyne& Wear and Nexus to revise and confirmtheir bids. Serco-NedRailways failed toprogress in its bidding, while MTR Cor-poration pulled out of the race in June.

The operating contract is estimated tocome into effect in April 2010. It involvesan overhaul of the 59 km light railnetwork, which connects Newcastle andSunderland with suburbs on both sidesof the Tyne and Wear rivers. TheDepartment for Transport will coverfunding up to GBP346 million under theMetro Re-invigoration Programme whichaims to upgrade the networkinfrastructure by 2019.

(1 British Pound [GBP] = 1.6332 USD)

VAG launches wireless servicesGermany-based public transportoperator, VAG, has launched driverlessrail services on the U2 line (on the BerlinU-Bahn). Four out of eight trains inservice on the U2 line are running underautomatic control and full automation isplanned by January 2010. Tracks on a 3.5km section, shared with Line U3, havebeen driverless since June 2008. Thecommon section has featured manually-driven trains on U2 services andautomatic control services on U3.

Bombardier wins EUR35 million orderfrom Deutsche BahnGermany-based rail operator DeutscheBahn (DB) has placed a EUR35 millionorder for up to 8 Bombardier Talent 2electric multiple-units (EMUs). (More inCompany News)

Grammer sets up wholly ownedsubsidiaryGermany-based vehicle seat manufac-turer, Grammer, has set up a whollyowned subsidiary responsible for thegroup’s rail activities. (More in CompanyNews)

Alstom to electrify Granada tramwaysystemThe Autonomous Community ofAndalusia in Spain has granted aEUR16.4 million contract to Alstom andSpain-based Inabensa to electrifyGranada’s tramway system. (More inCompany News)


News

Siemens wins equipment supplycontract from Helsinki City TransportHelsinki-based public transport operator,Helsinki City Transport, has granted aEUR56 million contract to Siemens forsupplying technical equipment for the14km extension of its metro network. (Morein Company News)

Siemens and Bombardier win EUR191million order from WienerAustrian public transit network operator,Wiener Linien, has ordered 20 Type V six-car metro trains worth EUR191 millionfrom Siemens, Elin EBG Traction, andBombardier. (More in Company News)

Riga purchases 150 new buses toreplace fleetLatvia public transport operator, Riga,has procured 150 low-floor modernÐkoda 24Tr Irisbus trolley buses whichwill replace two-thirds of the company’s20 year old 12 meter trolley buses. Rigawill need 120 more trolley buses to re-place its entire fleet.

Ministry seeks government guaranteesfor subway construction loansThe Transport and Communications Min-istry of Ukraine is looking to retrieve gov-ernment guarantees for loans taken to fi-nance the construction of subways inDnipropetrovsk and Donetsk. (More inFinance)

Moscow Metro to have driverless trainsThe Moscow Metro will soon implementdriverless trains on its new radial linesas well as on the new second circular line.The second circular line will be directlyconnected with the radial lines, and thetrains, running from the north-west willbe able to follow the south-east, avoidingthe centre of the city. The train operatorhas already introduced elements ofdriverless services in the stage betweenthe stations Strogino and Mitino. It hadearlier been expected that the new systemof the train services would beginfunctioning in 2015.

Volvo introduces alcolock system forbusesSweden-based bus manufacturer, VolvoBuses, has deployed a new alcolock sys-

tem for buses, which locks a vehicle’sbrakes if the driver is under the influenceof alcohol. (More in Company News)

Bombardier unveils Itino diesel railcarBombardier Transportation has intro-duced its first Itino diesel railcar, whichruns on low-emission diesel technology(CLEANTM). (More in Company News)

PKP Intercity to launch EUR500 milliontenderPoland-based long distance passengertransport company, PKP Intercity, willsoon launch a EUR500 million tender forthe supply of 20 trains. Global transportcompanies including Italy-basedAnsaldo-Breda with Newag, Canada-based Bombardier with Pesa and Ger-many-based Siemens will participate inthe bidding. The European Union tech-nical support agency, JASPERS, will haveto approve the technical documentationbefore any bids are submitted.

(1 Euro [EUR] = 1.4912 USD)

Alstom and Ansaldo win ERTMS contractfrom TrenitaliaItaly-based rail operator Trenitalia hasgranted a EUR25 million contract toFrance-based Alstom and Italy-basedAnsaldo to maintain the European Rail-way Traffic Management System(ERTMS) for its 31 high-speed trains.(More in Company News)

Bombardier delivers first set of trains forthe Metropolitan Line of LondonUndergroundCanada-based rail equipment manufac-turer, Bombardier Transportations, hasdelivered the first of 58 eight-car trainsfor the Metropolitan Line of the LondonUnderground. (More in Company News)

Eurotunnel offers long term concessionfor High Speed One rail line

Cross channel tunnel operator,Groupe Eurotunnel, is looking to offer aconcession for operating UK’s High SpeedOne rail line on a long term basis. Therail line has been put up for sale as partof the government’s plan to raise GBP16billion through asset sales. The deal valueis estimated to be around GBP1.5 to 2billion. The 68-mile 186mph rail line

between London’s St Pancras station andthe Channel Tunnel is presently beingoperated by London & ContinentalRailways.

Meanwhile, UK rail operatorNetwork Rail has announced its intentionto electrify the Midland main line fromLondon St Pancras to Derby, Nottinghamand Sheffield. The move follows therecommendation of a year long study. Theoperators has already provided the goahead for the electrification of the GreatWestern line between London andSwansea as well as the line betweenLiverpool and Manchester.


Mantena wins train maintenancecontract from AlstomFrance-based transport equipment manu-facturer, Alstom has granted a 7-yearEUR22 million contract to Norway-basedfirm Mantena for maintaining the 49Coradia Nordic trains that it is buildingfor Sweden’s Scania region public trans-port authority. (More in Company News)

Alstom receives trainset contract fromSNCFFrance National Railways, SociétéNationale des Chemins de fer français,(SNCF) has granted a EUR7 billion con-tract to France-based transport equip-ment manufacturer, Alstom for supply-ing up to 1,000 low-floor trainsets to op-erate regional services for the Associationdes Régions de France, a consortium ofregional authorities. (More in CompanyNews)

Thales receives rail signalling contractfrom GYSEVRegional railway operator, GYSEV, jointlyowned by Hungary and Austria, hasgranted a HUF7.63 million contract toVienna-based automation-technologycompany Thales Rail Signalling forsupplying security equipment on theHungary Railways’ track. (More inCompany News)

Ukrzaliznytsia to upgrade 100locomotivesUkraine’s rail transport administration,Ukrzaliznytsia, is planning to upgrade100 locomotives in 2010 for both freightand passenger use. The renewal will in-


News

volve equipping locomotives with newengines to reduce the cost of diesel fuel(currently UAH3 billion a year).

This is in addition to outfitting thelocomotives with state-of-the-art unitsand assembly sets for improvement of theoperational specifications.

(1 Ukrainian Grivna [UAH] = 0.1221 USD)

MIDDLE EAST ANDAFRICA

Transport authorities invite bids for railprojectYemen’s transport authorities haveinvited bids for the country’s first-everrailway project. Under the project, threelines are planned to be constructed toconnect Yemen with the neighbouringGulf countries.

The first line is planned to beconstructed along the coastline fromYemen’s north-western border with SaudiArabia to its eastern border with Oman.

The other two lines are planned to linkthe north-western areas with the Red Seaand Arabian Sea seaports.

Rail transport does not currently existin Yemen. In 2005, the government startedinvestigating the possibility ofconstructing rail connections as part of alarger upgrade of transportationinfrastructure.

Government extends deadline for AbuDhabi tram tenderAbu Dhabi’s Department of Transport hasextended the deadline for submitting bidsfor its tram system tender till November5, 2009. The Department had invited bidsfrom pre-qualified consulting firms forthe tender.

The contract involves assessing thefeasibility and financial viability of theproject, as well as preparing initialdesigns for the stations and othertechnical specifications.

The Abu Dhabi Light-Rail Transit/Tram project involves constructing 340km of transit lines, and is one of theseveral transportation projects under theSurface Transport Master Plan 2030.

The Department expects the light-railtram to be operational by 2014.

Dubai RTA to tap private sources forfunding rail projectsThe Dubai Roads and TransportAuthority (RTA) is considering thepublic-private partnership model forimplementing future rail projects. (Morein Finance)

Abu Dhabi to complete metro Phase 1 in2015The Abu Dhabi Department of Transporthas announced its plans to complete thefirst segment of its metro rail line andlaunch services by October 2015. Thefeasibility study for building the metrowill begin in November 2009 and last upto 21 months.

Alstom looks to ramp up business in theMiddle EastFrance-based engineering firm, Alstom isfirming up plans to boost its business inthe Middle East by negotiating for a five-year contract to maintain a USD809million tram system in Dubai. (More inCompany News)

Mozambique to build USD11 billion railnetworkMozambique transport authorities areplanning to construct a new USD11 bil-lion rail network to link the country by2023. The project involves building 2,000km of rail lines to connect its provinces.

While USD5 billion will be spent onrail line construction, USD6 billion willbe spent on related road infrastructure.The project is expected to begin this year.

The plan, part of the Strategy forIntegrated Development of the TransportSystem, has already received the Councilof Ministers’ approval.

Qatar invites bids for express airport railline constructionQatar transport authorities have invitedbids for constructing an express airportrail line. The project involves constructinga railway station terminal for the expressline, which will connect the airport withrail and metro stations in downtownDoha as well as with other rail networks.

Known as the Passenger Rail Station Box,the project will be overseen by UK-basedfirm Mace International and is expected

to be complete in 2011.

Qatari Diar Real Estate InvestmentCompany and German firm DeutscheBahn have already developed aconceptual design to bid for the project.

This is the first of Qatar’s five plannedrail projects in the country which will beundertaken over the next ten years.

The objective is to build a nationalrailway system. The rail projects includeconstructing an east coast rail linkbetween Ras Laffan and Mesaieed, ahigh-speed link from Doha to Bahrainacross the Qatar Bahrain Causeway, afreight link connected to the plannedGCC rail network, a Doha metro networkand a light rail network servingresidential developments.

WFO and QSTP team up to introducetechnology solutions for mass transitThe Williams Formula One (WFO) teamhas entered into an agreement with theQatar Science and Technology Park(QSTP) to set up the Williams TechnologyCentre, which will provide technologysolutions for the mainstream mass-transitindustry.

The centre will develop newenvironmentally beneficial technologiesinspired by Formula One. One of themany projects will focus on developingenergy recovery systems for use on buses,trains and cars.

The exact project cost is estimated tobe less than USD50 million. The centreexpects the technology solutions to beready for commercial testing by 2012.

Qatar launches Qatar RailwaysTransport authorities in Qatar havelaunched a railway company, Qatar Rail-ways, to drive development of thecountry’s railway network.

Set up with an initial capital of USD100million, Qatar Railways aims to developa fully fledged rail system in Doha, whichwill link it with other cities and countries.

The company is expected to startworking on mega railway projects from2012, to be completed by 2026.

Such projects will include linking thetowers area in West Bay to a monorailsystem, and a metro project. Aninternational consultancy f irm hasalready been appointed for the project.


News

du implements wi-fi broadband serviceson Dubai metro trains and stationsUAE-based integrated telecom serviceprovider, du, has launched wi-fi broad-band services on Dubai metro trains andstations in conjunction with RTA. (Morein Company News)

Voith Turbo to deliver cooling systemsfor Saudi Arabian trainsSpanish transport equipmentmanufacturer, Construcciones y Auxiliarde Ferrocarriles (CAF), has granted acontract to Voith Turbo for supplyingcooling systems for Saudi Arabian trains.(More in Company News)

Algeria metro postponed until 2010The Algiers transport authority haspostponed opening the first line of itsmetro system, a 9 km track linkingGrande Poste to Hai el-Badr, until 2010.It was earlier expected to becomeoperational in October 2009. Germany-

based Siemens is leading the consortium,which has completed the bulk of the workincluding the construction of the tunnelsand stations.

Siemens is putting the computer andsignalling systems in place, Spain’s CAFis building the rolling stock and France’sVinci Grands Projets is responsible for thecivil works. Testing of the system beganin March 2009.

The work is divided into fourextensions: from El-Harrach station toBab Ezzouar, from Place des Martyrs toBab el-Oued, from Bab el-Oued toChevalley and from Ain Naadja to LesFusilles.

On Track Innovations wins smart cardcontract from DiGiCoreSouth Africa-based DigiCore has granteda contract to Israel-based On TrackInnovations (OTI) for supplying smart-card readers for a contactless fare systemon South Africa’s rail system. (More inCompany News)

South Africa upgrades bus fleet forWorld Cup 2014The South Africa government is rampingup its transport system ahead of theWorld Cup in 2014. It has launchedTranslux buses and has procured at least570 luxury buses, which will be managedby the Passenger Rail Management As-sociation and Autopax, the company re-sponsible for the Translux fleet.

Nigeria government grants USD874million for railway modernisationNigeria’s federal government has ap-proved funding worth USD874.3 millionfor the Nigerian Railways ModernisationProject. (More in Finance)

CCECC awarded rail construction contractThe Nigerian Ministry of Transport hasawarded a USD875 million contract toChina Civil and Engineering Construc-tion Corporation (CCECC) for reinstatingthe Abuja-Kaduna rail system. (More inCompany News).

Global Mass Transit ReportInformation and analysis on the global mass transit industry

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The mission of Global Mass Transit is simple and modest - to provide decision makers with up-to-date and comprehensive information andanalysis on the global mass transit industry. We cover metro, bus, light rail, regional rail, and inter-modal passenger transport.

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• News: Latest news from across the world, with sub-sectionson North America, Latin America, Asia Pacific, Europe andMiddle East & Africa

• Features: Analytical, insightful and topical write-ups on majortrends and developments

• Tenders & Contracts: Key information on open tenders andcontracts from across the world

• Transport Authority/Operator Focus: Profile of a transportauthority/ service operator, covering its history, current status,and future plans

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The third element of our service package is our website, www.globalmasstransit.net, which provides online access to information in addition topublished content in Global Mass Transit Report and Global Mass Transit Weekly, with searchable archives for all sections.

Global Mass Transit Report | October 200922

TA/TSO Focus

Particulars 2008 2007 2006 2005Turnover 2,274.58 1,379.35 1,231.09 1,181.03Total assets 20,559.74 20,086.19 15,538.19 14,666.58Operating profit before depreciation and amortisation 1,805.81 1,834.32 1,421.68 1,451.09Profit attributable to equity shareholders 1,068.90 1,958.71 1,001.16 1,090.32

Financial profile (USD million)

Source: MTR Corporation

Key financial ratios (%)Particulars 2008 2007 2006 2005Operating margin 52.9 55.3 54.5 55.7Non-fare revenue as a % of turnover 35.0 33.4 31.6 31.4Return on average equity attributable to equity shareholders (excluding 8.7 10.2 8.1 9.3change in fair value of investment properties and related deferred tax)Net debt-to-equity ratio 42.1 48.5 36.3 39.9Source: MTR Corporation

Operating profit contribution (USD million)Particulars 2008 2007 2006 2005 2004Railway operations and related businesses 954.84 593.55 529.03 516.13 464.51Property development 606.45 1,070.97 748.39 787.09 593.55Property ownership, management and other businesses 245.16 167.74 141.94 141.94 116.13Total 1,806.45 1,831.29 1,419.36 1,445.16 1,174.19Source: MTR Corporation

MTR Corporation LimitedMaking progress in mass transit railway systems

Hong Kong-based MTR Corporation Limited (MTR) is oneof the world’s leading rail-based transport service provid-

ers. Originally established in 1975 as Mass Transit Railway Cor-poration, the company was christened MTR after the Hong KongSpecial Administrative Region Government sold 23 per cent ofits issued share capital in an initial public offering in 2000. Laterin 2007, MTR acquired the operations of the Kowloon-CantonRailway Corporation (KCRC).

Since its inception, the company has considerably expandedits ambit of operations. Besides railway operations, MTR is alsoinvolved in other business segments such as development ofresidential and commercial projects, property leasing,advertising, telecommunication services, and internationalconsultancy services. Railway operations, however, continue todominate the company’s portfolio.

Current StatusMTR is currently engaged in urban mass transit railway sys-tems in Hong Kong operating a 211.6 km long urban rail net-work covering 82 stations with about 1,920 cars. The companyhas been implementing various rail-based projects, both in HongKong and China. It is also constructing many link projects suchas pedestrian subways, footbridges, cover walkways, and MTRentrances on a public-private partnership (PPP) basis.

In Hong Kong, MTR is currently implementing three projects:All these projects are currently under construction-execution.

(1) Construction of a noise enclosure on top of the existingviaducts at the western end of Tsing Yi station by about 60 metre.

(2) Construction of a 3 km long underground extension ofthe existing MTR Island Line from Sheung Wan to KennedyTown, known as the West Island Line. Three stations at Sai YingPun, Hong Kong University, and Kennedy Town will beconstructed under the project which has been designed so thatover 90 per cent of the residents can access the rail facility byfoot. The project is expected to be operational by 2014.

(3) Construction of the Cheung Lai Street Pedestrian Subwayand Entrance Works at MTR Lai Chi Kok Station.

In China, MTR is implementing metro projects such as theBeijing Metro and Shenzhen Metro.

Beijing Metro Line 4 between Hong Kong and Beijing wasimplemented on September 29, 2009, by a PPP between MTRand the Beijing municipal government. The USD2.24 billionproject runs 29 km long with 24 stations from GongyixiqiaoStation in Fengtai district to the northwest Haidian district,terminating at Anheqiao North station. MTR invested inoperations and electric and mechanical works while themunicipal government invested in construction. The project isexpected to attract a daily ridership of about 700,000 people.Profits are expected from the third year of operations and returnon investment is expected to take about 10 years.

MTR’s other metro project in China, the Shenzhen Metro Line4, is currently under construction. The 15.8 km network consistsof 5 km of underground section and 10.8 km of at-grade andelevated sections. Ten stations are planned for the network, twounderground, one-at-grade station, and seven elevated. Inaddition, a maintenance depot will be constructed at LongshengStation. The tendering process for procurement of all civilelectrical and mechanical works has been completed. The projectis estimated to require an investment of USD0.87 billion, all ofwhich is provided by MTR. A concession agreement was signedin March 2009 with the Shenzhen municipal government.

Global Mass Transit Report | October 2009 23

TA/TSO Focus

MTR Corporation-SWOT AnalysisThe outlook for MTR looks promising as the companyreported strong revenue growth with improved operationalperformance. Recent mergers and acquisitions by thecompany, as well as a focus on network expansion anddevelopment, will offer ample growth opportunities. ASWOT analysis of MTR is given below.

Strengths: During the period 2004-08, the company’srevenue grew at a CAGR of 20.54 per cent. MTRoutperformed the growth of S&P 500 companies(maintained by Standard & Poor) in revenue and marketshare. The impressive growth has been made possible dueto better competitive positioning and superior products andservices. Also, the company traded at price/earnings of18.92 by the end of 2008, which is above the average figureof 9.2 by S&P 500 companies. The company also providesintercity services to the Mainland of China along with busoperations in Hong Kong. The company has also managedto significantly improve its operational performances. Thecompany received about 19,300 transport-relatedcomplaints and suggestions in 2008, a reduction of 4.4 percent compared to 2007.

Weaknesses: One of the possible drawbacks of thecompany, as ascertained by various analyses, is potentialinterference by the government. The Hong Konggovernment holds about 76.6 per cent share in the company,which makes it hard to rule out interference in managementdecisions which could adversely affect business. The farestructure of operations is decided by the government,which may have a negative impact on the operating ratio.The company’s return on equity stood at 8.5 per cent at theend of 2008 as against the 12.9 per cent by the S&P 500companies. A lower return on equity indicates that thecompany may not be using shareholders money asefficiently, generating lower returns compared to othercompanies in the S&P index.

Opportunities: The merger with the Kowloon-CantonRailway Corporation (KCRC) in 2007 helped MTR inacquiring rail-related businesses and projects. The mergeris further expected to consolidate the scale and profitabilityof the rail-related operations. MTR is also working onnetwork expansion projects. The extension of the IslandLine comprises underground stations at Sai Ying Pun,University and Kennedy Town. The company is planningto add six new lines of about 60 km to its rail network. Thiswill result in increased sales. MTR is also planning to investUSD85.27 million to acquire 10 new trains from ChangchunRailway Vehicle Company Limited. The new trains,expected to begin operations between 2011 and 2015, willincrease services, which could, in turn, improve revenues.

Threats: The transportation sector is highly competitiveand MTR faces challenges from Hutchison WhampoaLimited, Jardine Matheson Holdings Limited, and NewWorld Development Company Limited in winning contractsand deciding prices and service levels. The revenue mayalso be affected by the current financial downturn.

Future ProjectsMTR also has several future metro rail projects lined up such asthe Guangzhou-Shenzhen-Hong Kong Express Rail Link, Shatinto Central Link, Kwun Tong Line extension, and South IslandLine.

MTR has recently signed a joint venture (JV) agreement withthe Hangzhou Metro Group Company Limited for theinvestment, construction, and operation of Hangzhou Metro Line1. The USD3.22 billion Line 1 project is divided into two parts –A and B. The civil construction of Part A will be undertaken byHangzhou Metro Group and the investment and construction ofPart B, which covers the electrical and mechanical system andoperation of the metro line, will be undertaken by the JV.

Besides Hong Kong and China, the company is also securingcontracts at other places. MTR’s majority-owned subsidiary,Metro Trains Melbourne (MTM), has signed a franchiseagreement with the Victoria Government in Australia to operateand maintain the Melbourne train system for an initial period ofeight years beginning on November 30, 2009. MTR holds a 60per cent stake in MTM, and the remaining 40 per cent stake isheld by two Australian industry organisations, UGL Rail andJohn Holland.

MTR has won USD2.58 billion contract to operate theStockholm metro in Sweden for eight years. Besides train andstation operations, MTR will also provide servicing andmaintenance of trains. The contract, scheduled to begin fromNovember 2009, includes an optional six-year extension. As perthe agreement, Stockholm Public Transport will annually payMTR a fixed amount of USD294.19 million, plus an incentive ofup to USD17.42 million.

Financial HealthThe company has been consistently recording impressive finan-cial growth in recent times. Its consolidated turnover in 2008 stoodat USD2.27 billion, an increase of 64.9 per cent over 2007. Thetotal asset base increased to USD20.56 billion (2.36 per cent), andthe operating margin improved to 52.9 in 2008 as against 55.3 in2007.

Railway operations and related businesses accounted for amajor share in the revenue generation of the company in 2008.The revenue contribution from rail operations in 2008 stood atUSD1.48 billion, an increase of 61 per cent over the previous fiscal.The rail related business segment, such as providing consultancyservices, bandwidth services on the railway telecommunicationsystem, freight, leasing advertising and retail space businesses,contributed USD445.03 million (98 per cent increase). Theproperty ownership, management and other business segmentresponsible for managing, developing, selling and leasingcommercial and residential properties at existing railway landassets and new railway projects contributed USD349.94 million(47.9 per cent increase).

MTR has continued its impressive performance in the firsthalf of 2009. Its overall share in the franchised public transportmarket has increased to 42 per cent, as against 41.6 per cent duringthe same period in the previous fiscal. Revenue from stationsand rail related businesses stood at USD213.29 million,representing an increase of 0.5 per cent over the same period inthe previous fiscal.


Policy Review

Bus Rapid TransitLessons from Latin America

The past few years have seen a renewed interest in Bus RapidTransit (BRT) as a cost-effective and sustainable solution for

better public transport in congested cities. Several new BRTsystems have been put into operation recently in different partsof the world: Jakarta, Beijing, Istanbul, Sydney, and Lagos to nameonly a few. While some have been highly successful, others havefaced challenges. Many more systems are being planned,designed or are under construction. Most of them have beenmodelled on the successful early examples from Latin America.

Brazil was the first country to introduce a BRT in the late ‘70sin the city of Curitiba, Parana. The system, called Rede Integradade Transporte (RIT), with its modern bi-articulated buses putthe city on the world map. Twenty years later, Bogota in Colombiaand Quito in Ecuador implemented BRT systems, largely basedon Curitiba’s RIT.

However, it was the instant success of Bogota’s TransMileniosystem which primarily led to the surge of interest in BRT. OtherLatin American cities followed suit - Goiania and Sao Paulo inBrazil, Guayaquil in Ecuador, Guatemala City in Guatemala, andMexico City and Leon in Mexico. Colombia now has two moreoperational systems: MIO in Cali and Megabus in Pereira.

BRT systems have succeeded in reducing travel time andoffering greater comfort and safety for passengers. Moreover,most of them are financially self-sufficient and need nogovernment subsidies. The policies, institutional and operationalmeasures undertaken by city governments have contributed tothe success of these Latin American BRT systems.

Most of these systems are based on a public-privatepartnership (PPP). In general, a public entity is responsible forthe planning and control aspects and for providing infrastructure(busways and stations), while operations and fare collection areprovided by private companies through concession contracts.

However, contractual arrangements with private operatorsvary. In Curitiba and some other Latin American BRT systems, amonopoly of the former bus operators was allowed to take controlof the new business. In Bogota, the new services werecompetitively tendered to four separate operating companies.The performance of these companies is continually monitoredagainst a set of performance indicators spelled out in theircontracts. If they fail to meet the targets, they are fined.

As a policy decision, the contracts with the private operatorswere structured in such a way that the operators were reasonablyinsulated from the demand risk, namely, that ridership beinglower than anticipated. BRT operators are paid per km in Curitibaand Bogota which means they are paid a certain amountregardless of demand. This structure ensures that operatingcompanies have a vested interest in maintaining good serviceand promoting the system in order to retain ridership.

In most cases, the PPP model ensures financially sustainableBRT systems. Private control over operations shields the systemsomewhat from the political process. For instance, in Bogota,profits from the BRT system cannot be diverted directly to otherpublic funds. The city government gets only 4 per cent of thefarebox revenue. It is allowed to reduce the passenger fare but

operators then have to be compensated. Private operators arethus protected against arbitrary tariff changes by the government.

Another important measure that ensured smoothimplementation of the BRT systems in the region was involvingformer operators in the planning process and offering them theopportunity to be a part of the new system. This participatoryapproach helped to avoid protests and work stoppages.

An important challenge in implementing the BRT systems issourcing finances for infrastructure development. In the LatinAmerican cases, the financial resources came from fuel tax, localcity revenues, credit from global and regional lending institutionssuch the World Bank, Inter-American Development Bank andCAF, and grants by the federal governments.

In order to popularise BRT, Bogota’s local administrationlaunched a structural change in public transport conditions witha view to reduce the use of motorised transport. The measuresincluded constructing pedestrian walkways and bikeways,imposing vehicle restrictions in peak periods, raising parkingprices, and imposing day-long automobile bans. Proper urbanplanning, compatible with the new BRT systems, has beenanother contributing factor. This synergistic approach waspossible due to the strong political will of the city governments.

Most Latin American BRT systems are very similar from atechnical perspective as well, with operational features beingregularly copied from Bogota’s TransMilenio and Curitiba’s RIT.The most common features include the feeder-trunk scheme, theuse of articulated or bi-articulated buses, limited stop and expressservices, and prepayment of fares. Most systems use bus lanessegregated from the rest of the traffic and at height boarding.

While a consensus of sorts has emerged on the policies andframeworks (institutional and operational), implementationvaries in different cities. In Curitiba and Bogota, the BRT systemshave been built in gradual phases, giving enough time to thepublic to understand and use it.

In some other cities, such as Chile’s Santiago, the citygovernment’s decision to change all former bus routes to BRT onthe same day backfired. Public transport restructuring, whenintroduced gradually, has a greater chance of being accepted.Guatemala City’s Transmetro and Guayaquil’s Metrovia followedTransMilenio’s example and have proved to be successful.

The Latin American experience indicates that BRT is aneffective solution to improve public transport, especially intoday’s financial scenario. BRT systems can be built at one-thirdof the cost of a light rail transit (LRT) system or at a fraction ofthe cost of a metro system with relatively faster implementation.

BRT is also an eco-friendly solution. As major cities continueto grow, it will become even more important to implementstrategies to reduce carbon dioxide emissions from the transportsector. TransMilenio is the first BRT project to be registered underthe Clean Development Mechanism for carbon credits.

While most of the new BRT systems are less than a decadeold, it may be premature to be definitive about their long-termsustainability. Nevertheless, drawing from various detailedstudies of Bogota’s TransMilenio and the long-standing successof Curitiba’s RIT, mass transit planners are becoming more andmore certain that well planned and executed BRT is an excellentsolution for congested cities which want to improve publictransport and urban mobility in a sustainable way.


Spotlight

GCC Metro PlansAmbitious investment plans for metro rail sector

The mass-transit sector is fast becoming one of the biggestinvestment destinations in the Arabian Gulf region as the

governments begin to direct their attention towards developingthis previously neglected area. Subsidised fuel and low vehicletax have made Gulf residents heavily dependent on motoring.Moreover, with Gulf countries witnessing annual populationgrowths of 5-8 per cent, urban areas are facing increasingcongestion. This is forcing governments to invest in improvingpublic transport infrastructure. Almost every member countryof the Gulf Cooperation Council (GCC) has announced plans formassive spending in this sector, with rail projects accounting fora major chunk. The GCC region is projected to invest more thanUSD100 billion over the next decade in rail projects.

Within the rail segment, metro rail projects are being toutedas a big investment opportunity. GCC countries are nowmotivated to build metro rail networks not only to cope withtheir rapidly growing urban populations and increasinglycongested roads but also to help sustain their economicdevelopment. Metro projects are expected to spur the ailingconstruction sector in the GCC region as demand accelerates foroverbridges, roads, flyovers, interchanges and parking complexesthat feed into the metro system. The real estate sector will benefitfrom an increase in prices for projects close to metro lines. Metroprojects will also drive down energy requirements for thetransport sector and reduce environmental pollution.

will be operational by summer 2010. In full operation, the Redand Green Lines of the Dubai metro are projected to carry about1.2 million passengers on an average day and 355 millionpassengers a year, reducing road congestion by up to 17 per cent.

The contract to build the Red and Green Lines is with theDubai Rapid Link (DURL) consortium which comprisesMitsubishi Heavy Industries (MHI), Mitsubishi Corporation,Obayashi Corporation, Kajima of Japan and Turkey’s YapiMerkezi Insaat ve Sanayi AS. These lines will be operated andmaintained by the British firm Serco for a period of ten years.

Stage 1 of the metro (comprising the Red and Green Lines)was originally estimated to cost about USD4.2 billion. However,there have been massive cost overruns and the latest estimate ofthe cost stands at over USD7.6 billion. Dubai’s Road & TransportAuthority (RTA) projects that the metro will generate revenuesin excess of USD4.6 billion over the next ten years.

The second stage of the metro project includes two more lines(the Purple and Blue Lines). The Purple Line will run 49 km,with 8 stations and will be an express link between DubaiInternational Airport and Jebel Ali International Airport. ParsonsBrinkerhoff is the design consultant of this line. The tender forthe engineering, procurement and construction (EPC) contractfor the line is expected to be conducted in the fourth quarter of2009. The line is slated for completion in 2012-13. The Blue Line,which is still in the conceptual stages, will be built after the PurpleLine and is expected to be 50 km in length. The tender forconsultancy services for this line may be floated later this year orearly next year depending upon the state of the global financialeconomy. Given funding constraints, it is being speculated thatthese two lines may be developed under a public-privatepartnership (PPP) model.

By 2020, RTA expects to have 318 km of metro lines in theEmirates and hopes that 30 per cent of the city’s population willuse this mode of transport. To further reduce the city’s relianceon road transport, the RTA is considering building light-rail linesthat will serve as feeders to the Dubai metro.

With little oil, Dubai has, over the last decade, invested inthe best infrastructure in the Gulf to attract international investors.With the metro project, it has once again proven its aim to becomea leading international city.

Not far behind Dubai is the rich neighbouring emirate of AbuDhabi with its ambitious plans for a 131-km metro network. Thisproject is part of the Abu Dhabi Master Transport Plan 2030 whichincludes development of about 580 km of high-speed railwaylines and about 350 km of light rail tram system.

The Abu Dhabi Executive Council (ADEC) is currentlyreviewing bids for the consultancy contract for the metro project.Six firms/consortia have been shortlisted. These include: theAdapt Consortium (Aecom, DB International, ParsonsBrinkerhoff); Atkins/Bovis Lend Lease; Dar al-Handasah, Egis,Gestisa, Inco Tifsa; Mott MacDonald, Parsons International,Halcrow; the Adim Consortium (Coteba, Khatib & Alaani,

Project: Dubai Metro

Estimated Investment Required: USD7.5 billion

Project Status: The Red Line of the metro has been launchedwith 10 out of 29 stations being fully operational.

Almost every member country of the GulfCooperation Council (GCC) has announcedplans for massive spending in this sector, withrail projects accounting for a major chunk. TheGCC region is projected to invest more thanUSD100 billion over the next decade in railprojects.

To reap the benefits of a metro, a pipeline of major projects isslated to be developed over the next five to ten years in the GCCregion.

United Arab Emirates (UAE)Leading the way as always is the United Arab Emirates (UAE)with its new Dubai metro system. This is the first urban railsystem in the GCC region and once complete will be the longestfully automated metro network in the world.

The Dubai metro project is being built in two stages. In stageone, two lines (the Red Line and Green Line) are being built.Construction on the first stage began in 2005, with the first sectionof the Red Line becoming operational in September 2009.

The Red Line is 52.1 km in length (4.7 km underground) andhas 29 stations. Of these, only 10 have been completed and openedto public. The Green Line is 22.5 km in length (7.9 kmunderground) with 20 stations. The remaining stations on theRed Line will open in stages by spring 2010 and the Green Line


Spotlight

Oberymeyer, ILF Consulting Engineering, Hamburg Consult,Dornier); and Systra, Arup, Lowi and Foster & Partners. Theconsultancy contract is expected to be awarded before the end of2009. Construction of the metro system is slated to begin in 2011and completion is targeted for 2016.

The successful launch of the Dubai metro has triggered a waveof metro projects in other GCC countries as well.

Saudi ArabiaThe largest of the GCC members, Saudi Arabia is planning ametro network in the holy city of Mecca and in its capital Riyadh.

The Mecca metro, called the Al Mashaaer Al MugaddassahMetro, will be an 18-km, elevated system and will service threemain areas (Arafat, Muzdalifa and Mena), each with threesubstations. It is scheduled to be operational by November 2010,operating at 35 per cent capacity initially with automatic trainprotection to assist manual driving. The fully automated systemis scheduled to be introduced in mid-2011. Once complete, thesystem will have the capacity to move 72,000 passengers per hourin each direction. The metro line is expected to reduce vehiculartraffic by as much as 50 per cent. The line may be extended laterto Al Haram and is the first of a proposed five-line network which

will connect the area to Jeddah Airport and the planned nationalrail network.

China Railway Construction Corporation is building theMecca metro network, estimated to cost USD1.8 billion. Frenchcompany Thales has been awarded the contract to providedriverless train control and telecommunication systems.

An automatic light-metro within the Princess Noura BintAbdulrahman women’s university in Riyadh is planned to beoperational by 2011. The Saudi Binladen Group is the generalcontractor for the project. Earlier this year, the company awardeda USD320 million contract to the Ansaldo STS/AnsaldoBredaconsortium to design, build and commission the metro system.

QatarQatar has developed a massive plan to overhaul its railwaynetwork which includes proposals to build a metro system inthe capital city of Doha.

Germany’s Deutsche Bahn has been appointed as theconsultant for Qatar’s rail project and the government-ownedQatari Diar Real Estate Investment Company has been appointedto oversee the project.

The initial plan for the proposed railway network comprisesfive projects: an east coast freight and passenger line; a high-speed link via the planned 45 km Qatar-Bahrain Causewaybridge; a freight link connecting with the proposed 1,500 km GCCrail network; a 140 km light-rail network linking newdevelopments north of Doha; and a Doha metro system consistingof six lines (based on the Qatar Transport Master Plan). At present,Qatar is preparing to launch tenders for segments of the proposedrail network.

GCC Rail ProjectsProject Country InvestmentKuwait National Rail Kuwait USD6.6 billionMuscat rail Oman not availableDoha Rail Qatar USD1 billionSaudi Landbridge Saudi Arabia USD6.6 billionMecca - Medina Rail Link Saudi Arabia USD6 billionMina Arafa Railway Saudi Arabia USD5.3 billionNorth South Railway Saudi Arabia USD2 billionPrincess Noura University Monorail Saudi Arabia USD0.32 billionJeddah Monorail Saudi Arabia USD3.7 billionTrans-Emirates Rail Network UAE USD3 billionDubai Al Sufouh Tram UAE USD1 billionGCC Rail Network Bahrain, Oman, Kuwait, Qatar, Saudi Arabia, UAE USD25 billion

Source: GMT Research

Project: Mecca Metro (Al Mashaaer Al Mugaddassah Metro)

Estimated Investment Required: USD1.8 billion

Project Status: Thales has bagged the contract to provide driv-erless train equipment. Metro is expected to be operational byNovember 2010

Project: Doha Metro

Estimated Investment Required: USD5 billion

Project Status: The government is examining project plans andthe construction contract is slated to be granted by the end of2009.

Project: Abu Dhabi Metro


Project Status: Six consortia have been shortlisted for metroconstruction contract, which is expected to be granted by endof 2009. Construction is estimated to start in 2011 and comple-tion in 2016.


Spotlight

Plans for the Doha metro network have been presented tothe Qatar government. The construction contract could beawarded by the end of this year. Phase 1 of the three-phase metroproject involves construction of five segments with a total lengthof 85 km, originally scheduled for a 2015 completion date. Thethree phases of the network total 140 km, and have a preliminarycompletion date of 2026.

KuwaitKuwait recently commissioned a study to develop a master planfor a land-based transport system in the country. The study isbeing undertaken by a consortium of Atkins (UK), ParsonsBrinckerhoff (US) and Gulf Consult (Kuwait).

Initially a USD7 billion metro project was conceived forKuwait City by the Kuwait Overland Transport Union. The project,which had been planned independently of the government’s newstudy, must now be folded into the national transport strategy.

The project is on hold as planners await the outcome of themaster plan study. If the consultants recommend a metro systemfor Kuwait City, private investors may be roped in through thePPP model. Construction contracts for the metro lines will beawarded on a build-operate-transfer (BOT) basis. The invitationto bid for construction contracts is expected to be issued in 2011and completion of the project is currently scheduled for 2016.

BahrainBahrain also has plans for a metro or light-rail transit system.An integrated public transport study is being conducted for thedevelopment of a rapid transit network in the country comprisinga 29 km monorail line, a 21 km tram network, two light-rail transitlines/metro (32 km and 32.7 km) and two bus rapid transit routes(33 km and 36.5 km).

Part 1 of the study is over. Part 2, planned to begin in mid-2008 and be completed by end-2009, has been delayed becauseof the ongoing financial crisis. The study is now expected to becomplete by September 2010. There may be delays but the countryis determined to ease the increasing congestion.

OmanOman is already working on a rail system plan for the country.In early 2009, a study was launched to analyse the feasibility of arail system in the Batinah region. The authorities have been

Project: Kuwait City Metro


Project Status: The project is on hold until consultants lookover the project plan and make their recommendations.

exploring the potential for an extension of the proposed Batinahrail system into the capital city of Muscat.

The shape of a rail system within Muscat city will dependlargely on traffic impact studies currently being undertaken byFrench consultants Systra Consulting, together with their localpartner the National Engineering Office. These studies will helpdetermine whether Muscat should get a metro or a ground-levelrail system, or a combination of both.

Key challenges and the way forwardAlthough they have been late starters, the Gulf nations havebegun taking serious steps in developing urban mass transitsystems. So far, many governments in the region have beenwaiting to see the response to the Dubai metro. But with risingfuel costs and increasing congestion, a sense of urgency has creptin about developing modern mass transit projects, especiallymetro systems. While the GCC may not be the largest market formetro projects, it is currently the one with substantial growthpotential. It is also likely that not all of the planned projects willsurvive, however, the governments are determined that a greatmany will.

Project: Bahrain Metro

Estimated Investment Required: NK

Project Status: Authorities are carrying out a study for the fea-sibility of deploying two metro lines. Part 1 of the study is overand part 2 is expected to be completed by September 2010.

Funding is a major concern. The currenteconomic downturn and difficulty in sourcinglong-term project finance have impacted theGCC metro projects.

There are several challenges in developing metro rail projectsin the Gulf region. A pressing issue is the lack of establishedregulatory authorities to drive these complex projects. The UAE’sNational Transport Authority for instance was set up only thisyear, while the metro project was planned a long time ago. Withno previous experience in developing mass-transit projects, theplanning process is often very slow.

Funding is a major concern. The current economic downturnand difficulty in sourcing long-term project finance haveimpacted the GCC metro projects. The UAE has so far been ableto finance construction of its metro from its own coffers but othersdo not have the same flexibility and are likely to pursue the PPProute, which could lead to delays in realising projects. PPP dealsoften involve private contractors taking on some project risk byfinancing construction themselves before transferring it togovernment clients.

Metros, in general, are not considered profit-making venturesand thus do not always attract private investors. Privatedevelopers are also concerned about taking on long-termpartnerships with public entities.

Another challenge is in bringing a change in people’s lifestyle.Metros’ success depends on weaning GCC residents off their cars.Security and safety are other issues in promoting the use of publictransport, and if not adequately addressed, could derail the bestgovernment efforts.

While it is too early to measure the full impact of the metro,the initial response to the Dubai metro can serve as a goodindicator of GCC residents willingness to change the way theycommute and to give public transport a chance.

28

Data & Statistics


USA: Key characteristics for transit agencies operating busesThe following tables provide key characteristics for revenue year 2007 for 15 largest transit agencies operating buses in the US.

Operating Characteristics (in thousands)State Agency Vehicle Unlinked Average Passenger Fare Operating

Revenue Passenger Weekday Miles Revenues ExpensesMiles Trips Unlinked Earned

PassengerTrips

NY MTA New York City Transit 101,303 862,631 2754.7 1,812,108 $772,260 $2,092,094CA Los Angeles County MTA 85,424 398,954 1258.2 1,491,339 $242,012 $857,825NJ New Jersey Transit Corporation 68,431 152,197 527.6 920,864 $272,962 $638,830IL Chicago Transit Authority 68,330 309,271 986.6 762,278 $261,650 $872,190PA Southeastern Pennsylvania Transportation Authority 40,022 170,492 553.6 476,536 $151,557 $472,741WA King County Department of Transportation 31,383 86,358 289.0 463,902 $64,551 $344,920FL Miami-Dade Transit 35,654 83,458 264.1 427,627 $71,187 $319,328DC Washington Metropolitan Area Transit Authority 38,431 131,490 441.2 410,762 $105,727 $480,773TX Metropolitan Transit Authority of Harris County 30,605 69,390 243.6 397,539 $38,537 $226,656HI Honolulu Department of Transportation Services 17,924 71,749 221.3 316,939 $41,742 $142,867NY MTA Bus Company 25,537 110,270 362.2 297,555 $139,823 $454,956MD Maryland Transit Administration 19,246 76,820 254.1 247,818 $60,344 $212,385GA Metropolitan Atlanta Rapid Transit Authority 23,710 69,465 226.9 208,464 $51,155 $186,974MA Massachusetts Bay Transportation Authority 24,646 97,497 336.9 201,299 $68,223 $296,770CA San Francisco Municipal Railway 12,178 90,303 289.6 198,255 $53,985 $200,186

Total 622,826 2,780,345 9,010 8,633,285 $2,395,715 $7,799,496National Total (millions) 1,932 5,278 17 20,388 $4,474 $16,812

Data Source - National Transit Database (RY2007)

State Agency Fixed-Guideway Vehicles Vehicles AverageDirectional Operated in Available for Fleet Age

Route Miles Maximum Service Maximum ServiceNY MTA New York City Transit 57 3,896 4,576 7.8CA Los Angeles County MTA 95 2,248 2,681 7.4NJ New Jersey Transit Corporation 37 2,112 2,477 8.4IL Chicago Transit Authority 4 1,846 2,222 7.4PA Southeastern Pennsylvania Transportation Authority 2 1,171 1,363 6.8WA King County Department of Transportation 245 966 1,181 7.4FL Miami-Dade Transit 52 839 1,062 5.2DC Washington Metropolitan Area Transit Authority 95 1,285 1,504 6.9TX Metropolitan Transit Authority of Harris County 281 1,020 1,290 7.4HI Honolulu Department of Transportation Services 36 424 531 8.4NY MTA Bus Company 17 1,137 1,344 5.5MD Maryland Transit Administration 31 681 957 6.0GA Metropolitan Atlanta Rapid Transit Authority 16 522 621 5.4MA Massachusetts Bay Transportation Authority 18 825 1,182 6.0CA San Francisco Municipal Railway 8 369 461 7.8

Total/Average 992 19,341 23,452 6.9National Total/Average 3,604 51,408 63,359 7.1


Infrastructure Characteristics

29

Data & Statistics


State Agency Operating Fare Train Unlinked Average PassengerExpenses Revenues Revenue Passenger Weekday Miles

Earned Miles Trips UnlinkedPassenger

TripsNY MTA New York City Transit $3,028,508 $2,030,025 37,888 2,390,403 7,710.5 9,646,775DC Washington Metropolitan Area Transit Authority $696,335 $404,838 12,620 276,441 930.9 1,590,317CA San Francisco Bay Area Rapid Transit District $458,910 $281,494 8,607 109,020 361.8 1,368,045IL Chicago Transit Authority $536,049 $198,020 11,969 190,273 619.8 1,115,899GA Metropolitan Atlanta Rapid Transit Authority $171,626 $50,463 4,292 77,686 250.7 541,419MA Massachusetts Bay Transportation Authority $261,149 $125,471 4,197 143,667 483.2 514,158PA Southeastern Pennsylvania Transportation Authority $143,739 $73,447 3,018 88,461 294.8 394,699NJ Port Authority Trans-Hudson Corporation $223,567 $92,555 1,738 80,596 271.3 351,150CA Los Angeles County Metropolitan Transportation Authority $87,368 $23,739 1,305 40,883 127.2 194,032FL Miami-Dade Transit $80,629 $13,435 1,524 17,505 59.4 134,408NJ Port Authority Transit Corporation $39,202 $19,017 876 9,406 33.1 81,896MD Maryland Transit Administration $50,550 $12,429 975 13,159 44.3 65,783OH The Greater Cleveland Regional Transit Authority $24,408 $5,361 1,228 7,450 26.1 53,400NY Staten Island Rapid Transit Operating Authority $32,906 $5,410 579 7,423 27.0 45,359PR Puerto Rico Highway and Transportation Authority $53,399 $9,874 816 7,823 26.8 40,612

Operating Characteristics (in thousands)


USA: Key characteristics for transit agencies operating heavy railThe following tables provide key characteristics for revenue year 2007 for 15 largest transit agencies operating heavy rail in the US.


State Agency Directional Miles of Stations Vehicles AverageRoute Track Available for FleetMiles Maximum A g e

ServiceNY MTA New York City Transit 493.8 835.0 468 6,388 22.6

DC Washington Metropolitan Area Transit Authority 211.8 269.8 86 972 18.6

CA San Francisco Bay Area Rapid Transit District 209.0 267.6 43 669 9.7

IL Chicago Transit Authority 207.8 287.8 144 1,190 23.7

GA Metropolitan Atlanta Rapid Transit Authority 96.1 103.7 38 264 17.5

MA Massachusetts Bay Transportation Authority 76.3 108.0 53 408 24.9

PA Southeastern Pennsylvania Transportation Authority 74.9 99.8 75 369 14.7

NJ Port Authority Trans-Hudson Corporation 28.6 43.1 13 326 34.7

CA Los Angeles County Metropolitan Transportation Authority 31.9 34.1 16 104 11.0

FL Miami-Dade Transit 45.0 55.9 22 130 25.0

NJ Port Authority Transit Corporation 31.5 38.4 13 104 33.7

MD Maryland Transit Administration 29.4 34.0 14 100 22.4

OH The Greater Cleveland Regional Transit Authority 38.1 41.9 18 60 24.0

NY Staten Island Rapid Transit Operating Authority 28.6 32.7 23 64 36.0

PR Puerto Rico Highway and Transportation Authority 20.6 25.5 16 74 5.4


30

Data & Statistics


State Agency Directional Miles of Stations Vehicles AverageRoute Track Available FleetMiles for A g e

MaximumService

NJ New Jersey Transit Corporation 996.8 884.0 162 1,078 18.1NY MTA Long Island Rail Road 638.2 701.1 124 1,185 6.0NY Metro-North Commuter Railroad Company 545.7 805.2 109 1,105 17.4IL Northeast Illinois Regional Commuter Railroad Corp. 980.4 1,206.1 239 1,148 24.9MA Massachusetts Bay Transportation Authority 702.1 648.4 126 451 17.7PA Southeastern Pennsylvania Transportation Authority 446.9 609.5 156 357 31.9CA Southern California Regional Rail Authority 777.8 653.4 54 193 11.7CA Peninsula Corridor Joint Powers Board 153.7 136.7 32 139 16.7MD Maryland Transit Administration 400.4 471.0 42 153 18.3IN Northern Indiana Commuter Transportation District 179.8 130.4 20 68 19.6FL South Florida Regional Transportation Authority 142.2 152.2 18 44 17.8VA Virginia Railway Express 161.5 161.5 18 99 30.4WA Central Puget Sound Regional Transit Authority 146.9 146.0 9 41 5.9CA North County Transit District 82.2 97.7 8 35 10.4CA Altamont Commuter Express 172.0 90.0 10 20 7.4Data Source - National Transit Database (RY2007)


State Agency Operating Fare Unlinked Average PassengerExpense Revenues Passenger Weekday Miles

Earned Trips UnlinkedPassenger

TripsNJ New Jersey Transit Corporation $724,437 $373,396 80,297 294.4 2,280,895NY MTA Long Island Rail Road $1,034,924 $479,382 102,144 347.1 2,257,940NY Metro-North Commuter Railroad Company $803,418 $476,561 79,720 275.0 2,127,148IL Northeast Illinois Regional Commuter Railroad Corp. $490,678 $223,147 74,551 272.2 1,719,332MA Massachusetts Bay Transportation Authority $227,514 $123,021 38,816 140.8 790,801PA Southeastern Pennsylvania Transportation Authority $197,362 $100,473 33,496 115.6 478,772CA Southern California Regional Rail Authority $123,833 $62,275 12,019 45.3 414,113CA Peninsula Corridor Joint Powers Board $74,758 $33,058 10,264 35.1 280,045MD Maryland Transit Administration $76,897 $30,817 7,505 29.7 228,384IN Northern Indiana Commuter Transportation District $36,361 $18,735 4,246 14.3 119,310FL South Florida Regional Transportation Authority $43,307 $7,263 3,408 11.5 107,981VA Virginia Railway Express $46,192 $19,686 3,387 13.7 103,229WA Central Puget Sound Regional Transit Authority $24,632 $6,623 2,157 8.0 52,987CA North County Transit District $17,784 $6,368 1,561 5.8 43,148CA Altamont Commuter Express $10,879 $3,988 707 2.8 33,613

Operating Characteristics (in thousand)

USA: Key characteristics for transit agencies operating commuter railThe following tables provide key characteristics for revenue year 2007 for 15 largest transit agencies operating commuter rail in the

United States.



Finance

NORTH AMERICA

Los Angeles MTA approves 30-year USD300 billion urban mass-transit programmeLos Angeles County’s Metropolitan Transportation Authority(MTA) has approved a 30-year USD300 billion programme toundertake a series of projects to reduce congestion in the city.The projects will involve making bus and freeway improvementsand extending the subway system into West Los Angeles. Someportion of the funds will come from federal stimulus money andtax receipts from a tax hike in the last year.

Los Angeles MTA submits rail project proposals for federalfundingThe Los Angeles Metropolitan Transportation Authority (MTA)will submit the plans for the Westside Los Angeles subway ex-pansion (from Koreatown to Santa Monica) and light-rail linkthrough downtown Los Angeles (linking the Blue and Gold raillines) for federal funding. The subway project is estimated tocost over USD5 billion. Over the last six years, the MTA has re-ceived USD80 million per year in federal rail funding throughthe New Starts program. However, in federal fiscal year 2011,the MTA may not receive any federal New Starts funds, mak-ing project implementation difficult.

NYSERDA helps finance NFTA’s hybrid bus procurementThe New York State Energy Research and DevelopmentAuthority has granted USD1.1 million to the Niagara-FrontierTransportation Authority (NFTA) for purchasing eight dieselhybrid-electric buses to operate in Erie and Niagara counties inCanada. The buses will replace older, more inefficient diesel busesand be added to a fleet of 43 hybrid-electric buses. The fundingwill be part of the New York state authority’s “Clean-Fueled BusProgram” under which USD23 million has been awarded to 11fleets for 510 diesel hybrid-electric buses. NFTA is presently facinga funding gap since each clean fueled bus costs USD0.2 millionmore than the clean diesel models.

New York MTA to launch 5 year capital program shortlyThe New York Metropolitan Transit Authorities (MTA) has ap-proved a draft version of its next five-year capital program, cost-ing USD28 billion (of which USD10 billion is required for theproject to be fully funded). This has been forwarded to the NewYork State legislature for final approval, which is expected tocome through by the end of 2009. The agency is planning topurchase 543 new subway cars and 410 commuter rail vehiclesin addition to carrying out infrastructure improvements andupgrades. The programme also includes renovating 25 stationsbetween 2010 and 2014, at an estimated average cost of USD10million each.

New initiatives include implementing switching farecollection from the magnetic-stripe MetroCards to a contactlesspayment system, real-time customer information, and improvedtrain control equipment to increase capacity and safety on bothsubway and commuter routes. Meanwhile, the MTA hasreceived USD2 million in recovery funds to install nearly 350wireless control points linked to rail heaters, to save energy.

The project, worth USD8.32 million, will allow the third railheaters to be centrally controlled and turned on and offaccording to weather conditions, minimising electricity use andeliminating wasted energy. The system, which will be installedby January 2012, is expected to save USD1.6 million in costsannually.

Expiry of federal law funding mass transit may result incancellations of projectsA federal law which finances the bulk of mass transit projectshas expired, resulting in the possible cancellation of projectsworth USD3 billion. State agencies may lose USD1 billion eachmonth until there is a new bill.

US DoT allocates over USD10 million to NFTA for hybrid busesThe US Department of Transportation has granted over USD10million to the Niagara Frontier Transportation Authority (NFTA)to purchase hybrid buses in Buffalo to improve the city’s publictransit system. NFTA estimates a 25-30 per cent reduction in fuelconsumption owing to the efficiencies of the hybrid buses.

Amtrak study estimates Pioneer line project to cost over USD400millionAn Amtrak study estimates that it may cost over USD400 mil-lion to restart high speed rail services on the Pioneer Route inIdaho, which runs through Boise and Pocatello on its way fromDenver, Colorado to Seattle, Washington, USA. The bulk of thecosts will be used to renew the tracks for passenger rail. UnionPacific, which owns most of the rail infrastructure from Denverto Portland, has estimated the cost at USD309 million. Connect-ing Boise to the line will cost an additional USD13.5 million.The project costs will have to borne by taxpayers.

Federal funds to launch zero emission buses in Flint, MichiganThe US federal government has allocated USD100 million to theMass Transportation Authority in Flint, Michigan to procure twozero-emission hybrid buses (Fisher Coachworks GTB-40 all-elec-tric, plug-in) in 2010. The funding has come from the FederalTransit Administration’s Transit Investments for GreenhouseGas and Energy Reduction program, an American Recovery andReinvestment Act of 2009 initiative which promotes advancedenergy-and-emission-efficient mass transit solutions.

PRTC receives USD8.87 million federal grant to procure 3locomotives for VREThe US Department of Transportation has awarded an USD8.87million grant to the Potomac and Rappahannock TransportationCommission for procuring up to three diesel-electric locomotivesto serve on the Fredericksburg and Manassas lines of the Vir-ginia Railway Express.

US government grants USD8 million to New Jersey rapid transitauthoritiesThe US Department of Transportation has awarded New Jerseyover USD8 million in federal funds to improve intermodal sta-


Finance

tions and expand local bus services. The Freehold Township willreceive USD1.29 billion for a bus facility terminal and repairshop project and the Newark Penn Station Platform ‘D’ Reha-bilitation Project will receive USD1.76 million to repair and re-store a series of platforms.

The Ridgewood Intermodal Station Improvements Projectwill receive over USD4.4 million to support construction activityat the station on New Jersey Transit’s Main Line in BergenCounty. South Brunswick will get USD1 million to install busshelters along the Wynwood Drive to the Jersey AvenueCommuter Rail Station. Meanwhile, Congress has failed to passa new six-year transportation law in the state, arousinguncertainty over future projects although existing projects willnot be affected. So far, Congress has extended the deadline forthe transportation law by a month.

Florida seeks federal funds for building commuter rail linesThree of Florida’s key urban cities, Jacksonville, Tampa-St. Pe-tersburg, and Orlando, are seeking federal funds for buildingcommuter rail lines like the Tri-Rail which connects the Miami-Fort Lauderdale-West Palm Beach corridor. However, the fed-eral authorities have notified the Florida state government thatit should not expect any more federal transit dollars until it fin-ishes financing its Tri-Rail project.

Virginia applies for funding for high speed rail corridorThe government of Virginia has submitted its second applicationto the federal authorities for USD1.8 billion under the AmericanReinvestment and Recovery Act to develop the I-95 SoutheastHigh Speed Rail Corridor. The funds will finance 19 projects alongthe Petersburg to Washington D.C. section of the corridor andraise passenger rail speed by up to 149 km/hr by 2017. The 19projects include the construction of 112 track miles, four majorbridges, 97 new crossovers, and the re-alignment of 82 trackmiles of curves. The construction work is projected to createnearly 12,200 jobs. The Commonwealth has worked inconjunction with CSX, Amtrak, and Virginia Railway Expressto complete the application.

North Carolina applies for USD5 billion worth of high speed railprojectsThe North Carolina Department of Transportation has submittedUSD5 billion worth of applications for high-speed rail projects.These include four projects for further development of theSoutheast High Speed Rail Corridor, adding double track, passingsidings and building bridges to separate highway from rail. Theimprovements are aimed at enabling trains to reach speeds of 149–177 km/hr on the nearly 500-mile long corridor between Charlotteand Washington DC. The transport authorities have worked withthe North Carolina Railroad Company, Norfolk Southern Railway,CSX Transportation and Amtrak to complete the applications.

TTC to postpone transit projects due to CAD848 million spendingcutsThe Toronto government in Canada has demanded a reductionin Toronto Transit Corporation’s (TTC) spending plans, outlinedin its recently approved ten-year capital budget of CAD848 mil-

lion. The spending cuts are a result of the city government’sCAD2.5-billion debt load in addition to an estimated CAD400-500 million shortfall in its operating budget. TTC will have todefer or halt more than 40 projects, mostly planned for 2012,including modernisation of some subway stations, purchase of50 clean diesel buses, installation of elevators and rapid-transitbus service on Yonge Street, etc. This is in addition to the CAD417million worth of projects that TTC has delayed so it could fundtwo-thirds of its recent CAD1.2-billion purchase of new street-cars from Bombardier.

[1 Canadian Dollar (CAD) = 0.9396 USD]

US DOT to allocate USD142.7 million to Pennsylvania transitprojectsThe US Department of Transportation (DOT) will allocateUSD142.7 million in federal funds from the American Recoveryand Reinvestment Act (ARRA) 2009 to transportation projects inPennsylvania. The funds will help rehabilitate existing infrastruc-ture and replace equipment. Some of the planned projects thatwill receive funds are the rehabilitation of the ElizabethtownRail Station, rebuilding of ten vehicles, purchase of replacementbuses in Philadelphia and various other rail and station improve-ment projects.

Meanwhile, also funded by the ARRA, the National RailroadPassenger Corporation, Amtrak has given a contract to the JacobsEngineering Group for providing programme management andconstruction management services for more than 100infrastructure improvement projects (at over 360 locations)worth over USD560 million. According to the contract, JacobsEngineering Group will manage, procure and administer thedesign and construction of projects such as maintenance facilityupgrades, track work, security enhancements and variousstation improvements.

LATIN AMERICA

World Bank grants USD150 million to urban transport authoritiesThe World Bank has granted a 30-year USD150 million loan (withfive-year grace) to support Argentina metropolitan area’s urbantransport project, which aims to improve the urban transit sys-tems by strengthening the decision-making framework andprioritising public transport development.

Argentina’s urban transport project has five components.First, a metropolitan transport agency for the Buenos Airesmetropolitan area will be created to improve transport planningand management. Second, issues such as underinvestment inroad maintenance and infrastructure will be addressed. Third,access to public transport and integration in Buenos Aires willbe created. Fourth, sector training and designing a postgraduateprogramme in urban transport will be improved. Fifthcomponent is project management.

IDB grants USD1 million for metro feeder bus system in SantoDomingoThe Industrial Development Bank has granted USD1 million innon-reimbursable funds out of its infrastructure fund to the Do-


Finance

minican Republic for aiding the design and implementation ofan integrated feeder bus system for Santo Domingo’s metro inDominican Republic. The authorities are presently in the plan-ning stage and will use the funds to come up with general guide-lines for feasibility studies and the final master plan. The pilotplan at the Mamá Tingó station is for feeder buses to arrivefrom the five principal sectors in northern Santo Domingo. Thefeeder bus system will be implemented till the Centro de losHéroes station. The technical cooperation agreement will last18 months.

Manaus plans to start USD1.15 billion mass transport projectnext yearIn preparation for the 2014 FIFA World Cup, Brazil’s Amazonasstate capital Manaus will begin constructing a USD1.15 billionmultimodal transport system in 2010. The system comprises amonorail and a bus rapid transit system on the 14-km link be-tween Cidade Nova and downtown Manaus. Transport authori-ties have already sent the technical design to the city governmentfor approval. The project is estimated to be completed in 2013.

Rio de Janeiro to invest USD5.5 billion in transport projectsThe government of Rio de Janeiro intends to invest USD5.5 bil-lion in transportation projects ahead of the 2016 Olympic Games.The city intends to expand and improve the city’s mass transitsystem, which is primarily based on buses. The government isexploring various options to implement bus rapid transit corri-dors. One route will run from the south of the city to the west,and the other will run from the west to the north. Investments inrailroads, subways and airports are also planned.

Brazil’s plans for USD19 billion bullet train facing troubleThe Brazilian government’s proposed five year plan to launchbullet train services to link Río de Janeiro, São Paulo andCampinas may be scrapped due to copper thefts. Copper thefthas become a serious problem as high-speed trains require largequantities of the metal (1 km of catenary uses 10 tonnnes of cop-per). The authorities are considering launching an undergroundsystem instead but this will increase the project cost, which isalready at an estimated USD19 billion. Presently, the govern-ment banks on covering 20 per cent of the project cost and hav-ing the concessionaire finance the remainder. Private transportfirms have complained that the government’s five-year imple-mentation plan is too short to develop the rail system and thatthe design and construction will take at least 2-3 more years.The government’s plans involve concession for 40 years. Theconcessionaire will have to build 510 km of tracks, install theoperating system and provide the technology.

Chile MoP releases 2009-10 concessions plansThe Chilean Ministry of Public Works (MoP) has proposed 18projects worth USD3.18 billion for 2009 and 2010. The projects in2009 are worth USD1.13 billion and include the construction ofthe Arica-Visviri railway (USD23 million) and the building ofseveral public transport corridors for Santiago’s mass transportsystem Transantiago. The MoP is also analysing private initiativesof USD4.57 billion including a USD3 billion low-altitudeTrasandino Central rail tunnel.

Government approves USD441 million loan for São Paulo metroextension

The government of São Paulo has approved a USD441million loan from the national development bank, BancoNacional de Desenvolvimento Econômico e Social (BNDES) forextending Line 5 of the São Paulo Metro. Transport authoritiesare planning to extend the line by 11.7 km, to build 11 newstations and procure 26 new trains. The project is expected tobe completed in 2013.

São Paulo Metro Line 5 currently comprises a 8.4 km linkwith six stations and eight operational trains. Construction workon the first stretch of the line, which runs between the LargoTreze and Adolfo Pinheiro stations, started in August 2009 andis due to be finished in 2011. Total investment for the line isestimated at BRL5 billion, of which about BRL2 billion will comefrom multilateral financing agencies. The state government hasalready started processing requests for financing from the WorldBank’s International Bank for Reconstruction and Development(IBRD) and the Industrial Development Bank for USD650million and USD481 million, respectively. Another BRL2.2billion will come from the city and state governments. The SãoPaulo metro network is currently 61.3 km long. The governmentintends to quadruple this to 240 km.

[1 Brazilian Real (BRL) = 0.5698 USD]

ASIA PACIFIC

Azerbaijan Railway negotiates loans worth USD665 millionAzerbaijan Railways is seeking a USD450 million loan from theWorld Bank to finance the changing of its energy systems, mod-ernizing its communications and signal systems and purchas-ing 50 electric locomotives operating on alternating currents. Therailway operator is also negotiating another loan from the CzechBank. These funds are expected to be spent on the developmentof road infrastructure on the Baku-Boyuk-Kesik plot.

Saudi bank to finance Pakistan Railways projectA Saudi Bank has signed an agreement with a consortium com-prising Bombardier Transportation and China Railways Signaland Communications Corporation to finance the first phase of aproject to replace the signalling system on the Pakistan Railways.According to the agreement, modern, electronic, interlockingsystems will be installed on 23 stations from Bin Qasim to MirpurMathelo. As part of the second phase of the project, interna-tional tenders for the design, manufacture, supply, installationand commissioning of modern signalling systems on theLodharan to Khanewal and Khanewal to Shahdara Bagh sec-tions are underway.

The Islamic Development Bank (IDB) has sanctioned aUSD140 million loan to Pakistan for revamping the signallingsystem on its national railways. The contract agreement will nowbe finalised.

The funds will be used to install automatic protection systemsin 160 locomotives and finance the procurement, installation andcommissioning of equipment. It will also go into undertakingtraining, project supervision, consultancy assignment, and project


Finance

contingency work. Work on the signal installation is expected tobe completed by 2012. The existing signalling equipment inPakistan consists of old mechanical gear. The interlocking systemat 40 stations was installed in the1960s.

The project is important because the signalling systems onvarious stations in the Karachi and Sukkur divisions of PakistanRailways have been badly damaged.

Philippines to tap funds from China for LRT south extensionprojectChina may offer Official Development Assistance to thePhilippines Department of Transportation and Communication(DOTC) to help it finance its Light Rail Transit (LRT) Line 1 SouthExtension Project. The DOTC has submitted a recommendationto this effect to the National Economic and DevelopmentAuthority. The project, estimated to cost around USD1.88 billion,involves extending the existing 15-km LRT 1 by an additional11.7 km. Of this, 10.5 km is to be elevated and 1.2 km is to be at-grade. The extension will cross Parañaque and Las Piñas to reachBacoor, Cavite. The project will also involve setting up eightnew passenger stations, with provision for two additional ones.Earlier, it was proposed that the project be implemented via apublic private partnership. Meanwhile, the transit authority isalso planning to start construction of the 4-km eastern extensionof Metro Rail Transit (MRT) Line 2 from Santolan to MasinagMarket in Antipolo. The authority may tap funds from the LandBank of the Philippines, the Development Bank of thePhilippines or the Japan International Cooperation Agency tofinance the extension from Pasig to Rizal. Work on the project isexpected to start in January 2011.

Global rail proposes USD8 billion rail plan in MalaysiaRailway equipment manufacturer, Global Rail, along with itsChinese partner, China Infraglobe Consortium, has submitted aUSD8.3 billion plan to the Malaysian Ministry of Finance forconstructing a high-speed railway in the country. The system,which will be built in four phases over a decade, will linkeconomic corridors to major airports and seaports. ChinaInfraglobe Consortium will provide the funds for the project,which is in line with the government’s 2020 National PhysicalPlan on Transportation. Track laying for the project will beconducted in four phases - Phase 1 from Johor Baru to Gemas,Phase 2 from Gemas to Tumpat in Kelantan, Phase 3 from Kluangto the KL International Airport, Port Klang and the Port KlangFree Zone in Selangor, and Phase 4 from PKFZ to Perlis to theborder of Thailand.

Thai cabinet grants approval to lease 4,000 natural gas-fuelledbuses for THB64 billionThe Thailand Transport Ministry has received the cabinet’s ap-proval for Bangkok Mass Transit Authority to lease 4,000 natu-ral gas-fuelled buses for THB64 billion. The project has beenpending approval for 10 years. Tenders for the project are likelyto be launched this year. The first batch of 1,500 buses is expectedto be delivered within 15 months of the contract signing and therest will be delivered in 24 months. The buses are expected todeliver passenger services in two years.

(1 Thai Baht [THB] = 0.0299 USD)

Thai transport ministry introduces Bangkok undergroundextension planThe Thailand Transport Ministry has unveiled a THB82 billionplan to construct a 27 km long extension of Bangkok’s undergroundtrain service. About THB52.46 billion is estimated to be requiredfor construction work, which includes the maintenance cost ofTHB2 billion. The maintenance cost may be waived however ifBangkok Metro Public Company Limited is chosen as the opera-tor for the proposed extension as it will be able to access mainte-nance service from its Rama IX center. The funds for the construc-tion of the project will be borrowed from domestic sources whilethe government is expected to contribute THB60 billion. The projectcost also includes THB2.1 billion as charges for a consultant com-pany, and THB22.4 billion as costs towards railway and infrastruc-ture management by a private operator, to be authorised by theMass Rapid Transit Authority (MRTA) of Thailand. The two-partextension from Hua Lam Pong to Bang Kae and from Bang Sue toTa Phra will be 27 km long. The MRTA is likely to invite bids forthe construction work in November 2009, and the contract is ex-pected to be awarded by the end of 2010. Construction of the twoextensions is expected to be complete before 2016.

(1 Thai baht [THB] = 0.0299 USD)

Bank of Taiwan to lend TWD382 billion to THSRCThe Bank of Taiwan will lend up to TWD382 billion to the TaiwanHigh Speed Rail Corporation (THSRC) for constructing three newhigh-speed railway stations early next year. TWD308.3 billion ofthe loan will be guaranteed by the government. While the THSRChas provided its tracks, trains, stations and other equipment ascollateral, the Bank of Taiwan had wanted THSRC’s foundingshareholders to jointly guarantee the remaining TWD73.7 billion.THSRC is looking to settle its refinancing plan before THSRC’scurrent debt payments are due in November 2009. Theconstruction of the stations in Miaoli, Changhua and Yunlincounties will begin in January 2010 and is estimated to becompleted by June 2015.

(1 Taiwan Dollar [TWD] = 0.0311 USD)

Macau Light-Rail project cost increases by 80 per centThe cost of the Macau Light-Rail project in China has escalatedby about 80 per cent from HKD526 million in 2007 to HKD940million. This is largely attributed to international price rises aswell as modifications in the project plan. The project is beingfinanced by the Government of Macau and it was earlier esti-mated that it would take about 48 months to complete the works.However, construction work on the project is now expected tobegin by the second half of 2010 and be completed by 2014. Theoriginal construction plan has been altered to include a 2.6-kmtunnel in Nam Van and Sai Van, as well as four substations.Originally, the first phase of the project involved constructionof a 21-km line with 21 stations to connect major entry-exit pointsat the Macao peninsula and Taipa Island.

(1 Hong Kong Dollar [HKD] = 0.1290USD)

Vietnam Railways to build USD1.2 billion railway line using BOTState-owned Vietnam Railways and a consortium of seven SouthKorean companies (including Samsung, Daewoo, Ska, Kumho


Finance

and Kangnam) have finalized plans to construct a USD1.2 bil-lion railway track in Vietnam’s capital city Hanoi. The projectinvolves constructing a 33.5km rail line connecting the city cen-tre to its western outskirts and building an express railway linelinking Nha Trang city in the central region of Vietnam to HoChi Minh City. The project will be carried out in two phases un-der a build-operate-transfer (BOT) contract. The consortium willinvest USD574 million for the first phase (the construction of 11.3km of track) and USD653 million for the second phase.

Afghanistan railway project to receive ADB financingThe Asian Development Bank (ADB) will contribute USD165million to finance the first railway project in Afghanistan. The75-km long rail project, running from Uzbekistan’s border to thecity of Mazar-e-Sharif in Afghanistan, is estimated to require aninvestment of USD170 million. The Afghanistan government willput in the remaining USD5 million. Work on the project is ex-pected to begin in 2009. The contract for railway constructionhas been awarded to the Uzbek national railway companyUzbekistan Temir Yollari. Design firms and contractors are likelyto be selected in November 2009 and the project is expected to becompleted by 2011. It is the first phase of a wider initiative todevelop the rail network in Afghanistan, linking Herat toTajikistan and Pakistan.

EUROPE

National Express rules out merger with Stagecoach after CVC-Cosmen deal falls throughUK-based passenger transport company, National Express, hasruled out a possible merger with Australia-based rail operator,Stagecoach. National Express was concerned that the Stagecoachdeal could not be completed before Christmas 2009 when it facesGBP5 million in penalty interest payments for its debt. Therewas also a risk that competition regulators would delay or evenblock the merger. Stagecoach has gathered funds worth aroundGBP300 million for its planned all-stock acquisition. The dealwas to be in the form of an all-share merger, valued at up toGBP2 billion. The Cosmen family, National Express’s largestshareholder had announced its support for Stagecoach.

Earlier, the CVC-Cosmen consortium had pulled out of a dealto acquire National Express for GBP765 million after spendingone month carrying out due diligence. The CVC-Cosmenconsortium, comprising private equity player CVC and Spain’sCosmen family, had been granted three additional weeks tillOctober 16, 2009, to decide whether to formalise its GBP765million takeover bid for UK’s transport operator, NationalExpress. However, the consortium had concerns over the termsof the refinancing of National Express’s debt.

Since then, National Express’ shares have fallen by one third,decreasing the company’s valuation, at one point, by GBP250million. The Cosmen family owns an 18.5 per cent stake inNational Express and if the deal is sealed, National Express islikely to be divided between CVC, the Cosmens and rivaltransport operator, Stagecoach.

Meanwhile, the government has taken back NationalExpress’s loss-making East Coast Main Line franchise due to the

latter’s inability to inject sufficient funds in the same. Since then,transport unions have urged the government to take backNational Express’ profitable rail operations c2c and NationalExpress East Anglia as well since the transport operator shouldnot be permitted to “cherry pick” its assets.

National Express will now continue with its GBP400 millionrights issue to reduce its GBP1.1 billion debt. The loss makingtransport operator, which continues to be at the centre of takeoverspeculation, is also working on its financial results. It has warnedthat pre-tax profits are likely to be below previous forecasts.


WP Carey enters into a sale leaseback with National ExpressInvestment management company, W. P. Carey and Company, hasentered into a sale-leaseback transaction worth USD26 million withUK’s transport operator, National Express. The property acquiredwill house National Express’ main coach terminal. The lease has aterm of 25 years and will commence in December 2009 when theconstruction of the facility is expected to be completed.


Competition Commission approves Stagecoach’s acquisition ofEastbourne Buses and Cavendish Motor ServicesThe UK Competition Commission has approved Perth-based buscompany Stagecoach’s proposal to purchase competing bus ser-vice providers, Eastbourne Buses and Cavendish Motor Services,which cater to customers in Eastbourne. In August 2009, theCommission had disapproved the deal on the grounds that itwould substantially reduce competition in the region. However,since then Stagecoach has sold part of its operations in theEastbourne depot. The Competition Commission has also takeninto account new information that Cavendish Motor Serviceshas been operating unprofitably and may have to either reduceservices substantially or close operations altogether. In Novem-ber 2008, Stagecoach acquired Eastbourne Buses for GBP4 mil-lion, and in January 2009 it bought Cavendish Motor Servicesas well. Both companies were merged under the name Stage-coach Eastbourne. In May 2009, the Office of Fair Trading an-nounced that it was referring the dual purchase by Stagecoachto the Competition Commission.


DPP to access over CZK8 billion EU funds for mass transit expansionThe Transport Ministry of Czech Republic is planning to helpfinance the development and expansion of Prague’s undergroundmass transit system in line with the Operating Programme onTransport. This means that Dopravni podnik hlavniho mestaPrahy (DPP) will have access to more than the previouslystipulated CZK8 billion from European Union funds for theexpansion project. The ministry expects DPP to submit the planfor the extension of the route from Dejvicka station to Motol soon.Construction is expected to start in 2010 and last till 2014. ThePrague metro has three lines consisting of about 50 km of tracks(running mostly underground) and 50 stations. New stationscontinue to be added.

(1 Czech Koruna [CZK] = 0.0560 USD)


Finance

RZD to form a new independent market entity for long distancepassenger businessThe Russian Railways, Rossiyskie Zheleznye Dorogi (RZhD) islooking to create a new company for funding and operating itslong-distance passenger business. The detailed proposal will bepresented to the board of directors for approval. The proposedFederal Passenger Company will function as ‘an independentmarket entity’ with an equity capital of RUB136.8 billion andwill be 100 per cent owned by RZhD. RZhD is mulling over twoinvestment scenarios: one, totalling RUB257.4 billion in 2010-20 or two, RUB442.5 billion. While the first scenario envisionsthe purchase of 1,540 vehicles over the next three years and 4,080 carriages in 2013-20, the second involves buying 1,698 ve-hicles in the first three years and 6,864 by 2020.

(1 Russian Rouble [RUB] = 0.0342 USD)

EIB grants EUR500 million loan for Paris tram extensionThe European Investment Bank (EIB) has granted the Paris regionalrapid transit authority a 25-year EUR500 million loan for extendingits tram system by 14.5 km (between Porte d’Ivry and Porte de laChapelle) and adding 26 new stations. The EIB has already grantedthe transit agency EUR130 million for the construction of the firstsection of the tramway in the southern district. The project is partof France’s urban mobility plan. Construction work on the tramextension started in early 2009 and the project is expected to becommissioned by the end of 2012. The circular tramway willcomplement the radial underground railway system and improvepassenger transport systems in the city.

(1 Euro [EUR] = 1.4912 USD)

FirstGroup’s bus and rail revenue growth rate slows downTransport operator, FirstGroup, has witnessed a slowdown inthe growth rate of its bus and rail revenues in recent months.The company, whose rail franchises include First ScotRail andFirst Great Western, reported much higher demand for discounttickets and said two London commuter deals were receivingthe maximum revenue support from the UK government. Itsrail revenues growth rate slowed to 1.7 per cent in the six monthsto September 30, 2009.

Growth slowed to 2.3 per cent in First’s UK bus division,which has been burdened with a much higher fuel bill this year.Last month, the group launched its first UK Greyhound services,between London and Portsmouth and Southampton. In the US,where it operates 60,000 school buses, there have been furthersigns of weakness, as contract renewal rates have slipped frommore than 95 per cent to 90 per cent. Slowing revenues haveled to a focus on budgetary control and cost-cutting across thegroup, which is predicting a challenging year ahead for thetransport industry. FirstGroup has shed 4,000 jobs (mainly inNorth America) to save GBP200 million a year.


Ukraine Ministry seeks government guarantees for subwayconstruction loansThe Transport and Communications Ministry of Ukraine islooking to retrieve government guarantees for loans taken to

finance the construction of subways in Dnipropetrovsk andDonetsk. According to the ministry, the guarantees are importantsince they will facilitate funds from the Japanese Credit Agency.Ukrainian contractors may participate in the construction workif Sumitomo Corporation is awarded the projects forconstruction of the subways.

The Donetsk Directorate of Subway Construction isconstructing the Proletarsko-Kyivska subway line from thestation of Proletarska to Bilyi Lybid. This subway line is estimatedto be 10.9 km long and have six stations. The first phase of thesubway line is expected to be completed by 2012, ahead of the2012 European soccer championship.

MIDDLE EAST AND AFRICA

Dubai RTA to tap private sources for funding rail projectsThe Dubai Roads and Transport Authority (RTA) is consideringthe public-private partnership model for implementing future railprojects. It is presently revisiting its original plan of funding theRed and the Green lines of the Dubai metro through privatesources. To this end, it is prepared to accept proposals and enterinto partnerships with the private sector.

In order to make rail projects attractive to the private sector,the authority will provide access to revenues accrued throughstation-naming rights, retail units at stations, nearby real estatedevelopment and advertising.

Overall, the Dubai RTA plans to construct 240 km of metrorail lines and 250 km of tram lines in Dubai. The first part of theRed Line of the Dubai Metro was made operational onSeptember 9, 2009.

In another major development, the Authority plans to launchpersonalised No. l Blue Cards for Dubai metro commuters byNovember 2009, which are intended to protect users frommisuse of their metro fare cards.

Nigeria government invests in railway and bus system upgradeNigeria’s federal government has approved funding worthUSD874.3 million for the Nigerian Railways ModernisationProject. USD84 million will be spent on the railway track andsignal network upgrade of the 488 km Lagos-Jebba rail line, onwhich work is estimated to be completed in ten months.

The grant includes funds for buying and installing a CNCWheel Lathe Machine and related works for the railways, onwhich work is expected to be completed in 30 weeks. The grantalso covers capital parts, consumables and tools for 25 C25-EMPD diesel engine locomotives. The project covers the firstsegment of the modernisation work from Abuja to Kaduna. Theplan for the modernisation work of the second segment fromLagos to Ibadan is pending approval.

The government of Nigeria is also looking to ramp up itsbus transport system in Abuja. In the current financial year, thegovernment has granted the urban bus transit to threeconcessionaires including Sonic Global Resources, NationwideUnity Transport Limited and Abuja Urban Mass TransportCompany with an average of 300 buses operating daily.

(1 Nigerian Naira [NGN] = 0.0067 USD)


Project Update

NORTH AMERICA

New York City subway capital expansion plan 2010-2014 andMetro-North railroad expansion, USADevelopers: Metropolitan Transportation Authority (MTA)

Project detail and status: Launched in 1904, the New Yorksubway system is one of the world’s oldest rapid transit systems.MTA is currently undertaking expansion and renovation projectson certain lines of the subway such as expansion of the SecondAvenue Subway on the Upper East Side of Manhattan (to beoperational in phases beginning 2016-17, the date having beenrecently postponed due to design changes), the ‘7 Subway’extension to the west side of Manhattan and the construction of‘Fulton Street Transit Centre’.

MTA also launched a 20-year programme to automate theentire subway network. For this purpose, it will use the OnePerson Train Operation system in conjunction withcommunication-based train control being built by SiemensTransportation Systems.

MTA has issued a USD1.4 million Accelerated CapitalProgram to enable completion of the proposed system on Line 7and continue automations on the Queens Boulevard Line.

Further, Siemens Transportation Systems is installing PublicAddress/Customer Information Screens at all stations forinformation on train arrivals by 2011.

There are projects in the pipeline for the expansion of thecommuter rail network, referred to as the Metro-North Railroad.About 7 per cent of Metro-north’s USD1.8 billion capital plan forthe next five years (2010-2014) will be spent on the railroad toexpand and improve its train services.

Planned projects include re-electrifying the Danbury Branchof the New Haven Line on the East of Hudson section, with asimultaneous expansion up to Milford; replacement to the TappanZee Bridge on the West of Hudson section; a connection betweenthe Port Jervis Line and Hudson Line; and an extension of thePort Jervis Line service to Stewart International Airport.

Metro-North will also invest around USD225 million for newrail car equipment. Further, Metro-North Railroad is planningto install a new fare card system as well as electronic messageboards at more stations.

In August 2009, MTA released a USD25.5 billion capitalprogramme for 2010-2014. The plan, which has been releasedfor public consultation, focuses on rebuilding the transportinfrastructure in the city. It includes introduction of 500 newsubway cars, 410 commuter railcars, station signaling, traincontrol upgrades, and mobility-impaired access.

The MTA is also planning to launch contactless ticketing andreal-time customer information systems. However, as ofSeptember 2009, the plan is facing a USD9.9 billion shortfall,which MTA may have to close with debt.

In October 2009, MTA Capital Construction awarded aUSD659 million contract to a Granite Construction-led jointventure to build the tunnel link from Queens to Grand CentralTerminal in Manhattan.

The joint venture’s other members include Traylor Brothersand Frontier-Kemper Constructors with Granite holding a 42.5

per cent stake in the deal. The East Side Access project willcomplete the Long Island Rail Road service, which will providea direct route between Long Island and eastern Queens toManhattan’s East Side.

In October 2009, New York MTA received a USD2 millionrecovery fund to save energy by installing 350 wireless controlpoints linked to rail heaters.

The project requires a total investment of USD8.32 millionand is expected to save about 23,000 MW (USD1.6 million) ofenergy per year. The system will be installed by January 2012.

Dallas Light Rail Expansion Project, USADeveloper: Dallas Area Rapid Transit (DART)

Project detail and status: Currently, DART provides 72.45 km(35 stations) of light rail transit (LRT) services on three routes,coded as red, blue, orange and green. The red line, running alongthe North Central Expressway from Parker Road in Planotravelling south to Downtown Dallas, then to Westmoreland inWest Oak Cliff, was initially made operational in 1996.

The blue line, running south from Downtown Garland inGarland to Downtown Dallas, then to Ledbetter in the South OakCliff, also became operational in 1996.

DART is planning to extend the existing LRT system underdifferent service lines. Expansion projects are underway for greenline, orange line, and blue line.

The Southeast Corridor (green line) expansion comprises16.25 km (8 stations) from Pearl Station to Buckner Station. InSeptember 2009, service started on Pearl Station to MLK, Jr.Station (4.35 km). The section from MLK, Jr. Station to BucknerStation (11.9 km) is scheduled to open in December 2010.

The Northwest Corridor (green line) expansion comprises28.32 km (12 stations) from West End Station in Dallas toFrankford Station in Carrollton.

In September 2009, daily service started from West EndStation to Victory Station (1.93 km). Service on sections fromVictory Station to Inwood Station (4.51 km), Inwood Station toBachman Station (5.15 km), Bachman Station to Farmers BranchStation (7.89 km), and Farmers Branch Station to NorthCarrollton/Frankford Station (8.85 km) is scheduled to open inDecember 2010.

The Northwest Corridor (orange line) expansion comprises22.53 km (7 stations) from Bachman Station in Dallas to DFWAirport. Service on Bachman Station to Irving Convention CenterStation (8.69 km) will start in December 2011, Irving ConventionCenter Station to Belt Line Road (6.28 km) will start in December2012, and Belt Line Road to DFW Airport (7.56 km) will start inDecember 2013.

The Northeast Corridor (blue line) expansion comprises 7.24km (1 station) from Downtown Garland station to a newDowntown Rowlett station. It will consist of double-track LRTalong the existing DART right-of-way that parallelsthe Dallas Garland and Northeastern Railroad freight tracks.

The Rowlett LRT station is expected to begin operations in2010. A bus transfer facility within the site will include multiplebus bays. Construction is scheduled to begin this year, withservice starting December 2012.


Project Update

In September 2009, DART awarded a contract worth USD19.3million to the Aecom Technology Corporation to provide projectcontrol, system integration and staff support services for the LRTlines under expansion. US-based L.B. Foster Company won thecontract to supply direct fixation fasteners and bonded insulatedjoints for the first phase of the orange line. L.B.

Foster is coordinating product shipments to the NorthwestCorridor expansion project to meet the scheduling requirementsof the general contractor joint venture, Kiewit/Stacy and Witbeck/Reyes/Parsons Corporation.

In October 2009, Dallas-based Parsons Brinckerhoff (PB) wasawarded a contract to provide engineering design services forextension of the blue line. The contract is with Dallas-basedAustin Bridge & Road LP, which is the design-builder for theproject.

LATIN AMERICA

Sao Paulo Metro, BrazilDeveloper: Companhia Paulista de Trens Metropolitanos(CPTM)

Project detail and status: The Sao Paulo state government isplanning to expand the metro project. By 2010, variousacquisitions have been planned as part of the extension projects.

To this end, CPTM has called for tenders for the purchase of33 new trains, of which nine will be used in the proposed 11-lineCoral and 24 in Line 8-Diamente.

Under Line 8, the private player will be responsible forrenewing the fleet with the construction of 24 new trains and therefurbishment of 12 units in operation. The project scope alsoincludes the maintenance of these 36 trains for 20 years. AboutUSD900 million is likely to be invested in the fleet upgradationand modernisation.

To fund the acquisition for Line 11, the state government isplanning to borrow USD113 million from the International Bankfor Reconstruction and Development, one of the five institutionsof the World Bank group.

Of the total loan amount, USD110 million will be used topurchase the trains and accessories for the state metropolitantransport company. The remaining USD3 million is to be investedin managing the manufacturing and implementation of the newtrains and devising a climate change strategy plan.

The loan amount is likely to be approved by January 2010.The state government is likely to contribute USD48.5 milliontowards the project.

In October 2009, CPTM signed a contract with the consortiumof Invensys Rail, Brazilian engineering company Montagens eProjetos Especiais and Spanish telecoms supplier Infoglobal forsignalling and automatic train control on the metro Lines 8, 10and 11.

Invensys Rail holds a 60 per cent share of the contract andwill be supplying its Sirius communication-based train control,westrace interlockings, point machines and light emitting diodesignals which will be installed along the existing equipmentinitially to minimise disruption.

ASIA PACIFIC

Shanghai Metro Expansion 2025, ChinaDevelopers: Shanghai Shentong Metro Company Limited

Project detail and status: Launched in 1995, the Shanghai Metro(officially known as the Shanghai Rail Transit) has evolved intoone of the fastest growing rapid transit systems in the world.There are plans to increase the existing track length from thecurrent 250 km (eight operational lines) to 877 km (20 routes) by2020. By 2010, eight of these planned lines/extensions areexpected to be operational, taking the network length to about500 km.

The latest addition to the system was the South Extension ofLine 8, which began operation in July 2009. On completion ofthese lines, the existing numbering system will also be replacedby uniform numbering.

Since June 2008, the Shanghai Metro has been using a newinterchange ticketing system called the Shanghai PublicTransportation Card (SPTC) for virtual interchange stations. Thecard allows discounted fares at these interchanges, ensuring aunified fare collection system. The Shanghai Metro uses adistance-based fare system and has adopted a one-ticket networksystem since December 2005.

The construction on 10 lines and their extensions has begun.These are Line 2 (Phase 2 of west extension, and east extension),Line 5 (south extension), Line 7 (Phase 1 and north extension),Line 9 (Phase 2), Line 10 (main line and branch line), Line 11(main line of Phase 1, north part and branch line, phase 2 ofnorth part), Line 12, Line 13 (EXPO section and Phase 1), Line 14(part parallel to Shanghai East-West Express Way). Line 11,expected to be partially operational by the end of 2009, will bethe fastest subway train in the country.

The remaining planned lines are Line 5 (north part to becomeLine 22), Line 5 (Phase 2 of south extension), Line 6 (PudongLight Railway left part), Line 9 (Phase 3 east and Phase 3 south),Line 10 (Phase 2), Line 11 (Phase 3 of north part), Line 13 (Phase2), Line 14, Line 15, Line 16 (phases 1 and 2), Line 17(phases 1and 2), Line 18, Line 19 (phases 1 and 2), Line 20 and Line 21. Ofthese, construction on seven lines will begin in 2010.

In April 2009, Shanghai Shentong Metro Company Limitedawarded a contract to Standards Technical Services CompanyLimited (SGS-CSTC), of SGS Industrial Services, and XuzhouRailway Engineering Department to provide independenttechnical inspection of the track of eight metro lines being builtto ensure that the track welding is in accordance with the codesof the Chinese Railway Ministry.

Future orders have been placed with Bombardier forproviding rolling stock for the existing lines. Moreover, with thenetwork expansions planned, the Shanghai Shentong MetroGroup is continually investing in new rolling stock.

Currently, the entire network uses the standard gauge, whichis the same as the Chinese rail network. This facilitates thetransport of new train equipment for the metro network via thenational rail network.

The city administration will introduce a tram service in thePudong Zhangjiang area at an investment of USD87.7 millionby the end of 2009.


Project Update

Beijing Subway Expansion Plan for 2015, ChinaDevelopers: Beijing Subway Group (Beijing InfrastructureInvestment Company Limited and Beijing Subway OperationCompany Limited)

Project detail and status: The Beijing subway network, which isone of the oldest in China (operational since October 1969) isundergoing major expansion. The expansion plan was drawnup in 2007 to deal with increasing congestion given an annualaverage growth in ridership of 85 per cent.

The plan outlines projects to more than double the networklength from the current 200 km (eight operational lines, 123stations) to 420 km by 2012, and finally reach 561 km (19 lines)covering 203 stations by 2015.

By 2015, 16 new lines/extensions will be added to the existingnetwork, usurping London underground’s position as the world’slongest metro system. Already, three lines opened in September2008 (Line 8 Phase I, Batong Line and Airport Line) have added58 km of track length to the subway.

The expansion of the subway system will require aninvestment of USD29.2 billion. Financing and investment in thecapital expansion of rail transit is being undertaken by BeijingInfrastructure Investment Company Limited through itssubsidiaries - Beijing Subway Construction Company and BeijingUrban Transit Railway Company Limited.

The USD0.58 trillion economic stimulus package announcedby the Chinese government in 2008-09 and company-issuedUSD0.29 billion worth of ‘Beijing Subway Construction Bonds’listed on the Shanghai Stock Exchange have accelerated thetimetable for subway construction.

The construction work on 10 lines/extensions has started andis at various stages of completion. These include lines 6 (PhaseI), 8 (Phase II), 9, 10, 15 (Phase I and II), and the Daxing, Yizhuang,Fangshan and Changping (Phase I) suburban lines. Lines 6, 8, 9and 10 are scheduled for opening by 2012; Line 15 (Phase I,Shunyi section) by 2011; Line 15 (Phase I, remainder) by 2013and the suburban lines by December 2010. The construction ofLine 10 has been put out for USD1.17 billion loan bidding.

In November 2008, Vision China Media Incorporated signedan exclusive agency framework agreement with the BeijingSubway Group to expand the company’s mobile digitaltelevision advertising networks to the operational sections oflines 5, 8 and 10.

The subway operates a diverse fleet of rolling stock, mostlysourced from domestic producers. Older cars, such as DK11 andDK16, which dominate Lines 1 and 2, have either beenrefurbished or will most likely be retired.

In July 2009, China South Locomotive & Rolling StockCorporation Limited (CSR) won two contracts worth USD370million to supply vehicles for the Daxing Line and Line 8(Phase 2).

In September 2009, Line 4 started functioning. It is the firstBeijing subway line to be constructed on a public-privatepartnership basis by Beijing MTR Corporation Limited - a jointventure between the Hong Kong MTR Corporation (49 per cent),the Beijing Capital Group (49 per cent) and Beijing InfrastructureInvestment (2 per cent). The line is the first in Beijing to usesuperior shock absorption and noise reduction mechanisms.

A new signalling system (an advanced communications-based train control system) is also running successfully on theline. It has been deployed by a consortium comprising Alcatel-Lucent Shanghai Bell, Thales Rail Signaling Solutions, BeijingHua-Tie Information Technology Development Company andChina Railway Telecommunication Signaling Jinan ConstructionCompany.

In September 2009, the construction of Line 7 (Phase 1),between Beijing West and Jiaohuachang also started. The projectis slated for completion by 2014. The line is proposed to passthrough the central business district of Beijing as per plansannounced in October 2009.

The tendering process has not started for Line 14 (to becompleted by 2014) and the western suburban line (to becompleted by 2011). The remaining proposed lines, for whichconstruction plans have not been finalised, are Line 6 (Phase II),Line 14 (Phase II), Line 15 (Phase II) and Changpin Line (PhaseII) to be completed by 2015.

In October 2009, Israel-based Nice Systems was selected byBeijing Metro to provide an IP video solution for enhancing thesecurity on 24 stations of the proposed Line 15. The companyhas already deployed its technology successfully on six otheroperational lines of the system.

In October 2009, the Beijing Subway Construction andManagement Company Limited awarded a contract to CASCOLimited, which is a joint venture between China Railway Signaland Communication Corporation and ALSTOM (China)Investment Company Limited, to provide traffic signallingsystem on the upcoming Yizhuang Line.

Guangzhou Metro Expansion 2040, ChinaDeveloper: Guangzhou Metro Corporation

Project detail and status: The Guangzhou Metro (GZMTR), thefourth rail-based urban mass transit system to be constructed inthe country, was launched in 1997 and is currently undergoingexpansion.

From the existing four lines covering a track length of 116km, the network is scheduled to grow to nine lines covering over250 km of track length (66 stations) by 2010 and eventuallyexceeding 600 km by 2040. The total project cost is around USD87billion.

The metro is owned by the city of Guangzhou and ismanaged and operated by the state-owned Guangzhou MetroCorporation, which also develops resources for future expansionof the metro system. The existing lines cover Guangzhou cityas well as Foshan, Zengchen and Conghua. Line 1 was built ona turnkey basis by a consortium led by Siemens. Line 3 is thelongest metro line in Guangzhou. In all, there are 802 cars(hooked together into six-car sets) available as rolling stock forthe operational lines.

The metro fare system involves the use of the Yang ChengTong Card, similar to the Octopus card used in Hong Kong. Thecard is contactless and offers a 5 per cent discount per journey(travel from one station to another regardless of the distance).

Seven lines are undergoing construction/extension. Theongoing projects include Phases 2 and 3 of Line 2 (to be completedby 2010), Phase 2 of Line 3 (2010), Phases 3 and 4 of Line 4 (2010),


Project Update

Phase 1 of Line 5 (2010), Phase 3 of Line 8 (2010), Phase 1 of Line6 (2014) and Phase 1 of Line 9 (2013). Line 7 (Phase 1) is at theproject approval stage.

The other expansion projects under construction are the PearlRiver Delta Inter-City Rail Transit including the Guangfo Line(32.97 km), Phase 1 of which will be operational by 2010 andPhase 2 by 2012; the light-rail based Guangzhu Line (140.8 km)connecting Guangzhou, Foshan, Zhongshan, Zhuhai; and abranch line from Zhongshan to Jianmen. Further, Phase 1 of theZhujiang New Town APM Line (3.9 km), to be operational by2010, is also under construction.

In July 2009, the Guangzhou Metro Corporation awarded asignalling contract on a turnkey basis to a consortium of Alcatel-Lucent and Thales called Alcatel-Lucent Shanghai Bell.

The contract involves the installation, management, networkintegration and maintenance of a SelTrac Communications-BasedTrain Control (CBTC) system along a 30.9 km track lengthcovering 11 stations. The project is expected to be in commercialoperation by October 2010.

In October 2009, the Guangzhou Metro TV Media Companysigned an exclusive 16-month contract with China-based VisionChina Media for providing digitial television advertising onLine 5.

Under the long term plan for 2040, several new lines andextensions are planned. Work will begin after 2013. These areLine 3 (Phase 4), Line 4 (Phase 4), Line 5 (Phase 2), Line 6 (Phase2), Line 8 (Phase 3), and new lines 10, 11, 12, 13, 14, 15, 16, 17, 18,19 and 20.

Chennai Metro Project, IndiaDeveloper: Chennai Metro Rail Limited (CMRL)

Project detail and status: A 45.1 km long metro project is to beconstructed under phase I in Chennai, Tamil Nadu after havingbeen approved by the union government on January 28, 2009.

Chennai Metro has two corridors, 23.1 km stretch fromWashermanpet to Airport known as Corridor-1 and 22.0 kmstretch from St. Thomas Mount to Chennai Central known asCorridor-2.

CMRL appointed the Delhi Metro Rail Corporation (DMRC)as the chief consultant for the first phase of the project. In February2009, CMRL also appointed a five member consortium led byEgis Rail S.A., France as general consultants.

The project is estimated to require an investment of over USD3billion. About 60 per cent of this will be met through a loangranted by the Japan International Cooperation Agency.

The remaining 40 per cent will be contributed by the unionand state government. The state government recently releasedUSD103.3 million towards the project construction

In February 2009, CMRL awarded the first tender toHyderabad-based Soma Enterprise Limited for the constructionof a 4.5 km long elevated viaduct from Koyambedu to AshokNagar.

The construction work, entailing an investment of USD41.15million, is underway. Prior to the piling work, soil tests are beingconducted. The project is expected to be operational by 2014-15.

By November 2009, CMRL plans to invite bids for the supplyof passenger cars. As per initial estimates, a requirement of 168coaches (42 train sets with a four-car configuration) has beenestimated for the metro project.

On October 24, 2009, CMRL invited tenders for design andconstruction of viaduct on Corridor 2. The opening date for thetender is November 9, 2009.

Bangalore Metro Project, IndiaDeveloper: Bangalore Metro Rail Corporation Limited (BMRCL)

Project detail and status: The 42.3 km long Bangalore metroproject, currently under construction, is being jointly promotedby the union government and the state government of Karnataka.The metro project will be developed in two different corridors,namely east-west and north-south, with 41 stations. Most of themetro system will be elevated, with only 8.82 km of itunderground.

Estimated to require an investment of USD1.32 billion, theproject is being financed on a debt-equity ratio of 70:30. The debtcomponent of USD925.19 million will include USD330.44 millionas subordinate debt and USD594.75 million as senior-term debt.The equity component of USD396.36 million will be sharedequally between the union and the state government.

Currently, work on different sections of the project isunderway. BMRCL recently awarded the contract for supplyingrolling stock to BEML Limited. About USD155 million will beinvested in 180 railway coaches during phase I of the project.

For building the metro stations in the first segment (reach 1)at various locations, BMRCL has awarded a contract worthUSD15.66 million to IVRCL Infrastructure Projects Limited forsix elevated metro stations along the S.V. Road and UlsoorStations.

For stations along the C.M.H. Road and Byappanahalli,projects worth USD19.12 million have been awarded to aconsortium of IVRCL Infrastructure Projects Limited and ChinaRailway 18th Bureau (Group) Company Limited (CR18G). Forstations along the Trinity Circle and M.G. Road, projects worthUSD18.02 million have been awarded to Punj Lloyd Limited.

For work along the second segment (reach 2), a contract worthUSD40.3 million was awarded to Simplex Infrastructure Limitedfor construction of a 5.9 km long elevated structure. Contract forthree stations on the stretch encompassing Toll Gate, Hosahalli,and Vijayanagar has been awarded to Ahluwalia Contracts (India)Limited at a cost of USD22.53 million. The work for another threestations, at a cost of USD24.39 million, has been awarded to PunjLloyd Limited.

Along the third segment (reach 3), a letter of award has beenissued to a consortium of IDEB Projects Limited and ShanghaiUrban Construction Group for the construction of a 5.1 km longviaduct at an investment of USD43.19 million. Project work onthree stations has been awarded to a joint venture of Punj LloydLimited and Sembawang Engineers and Constructors at a costof USD21.29 million. Work on three other stations at a cost ofUSD21.08 million has been awarded to Larsen and ToubroLimited (L&T). .

On the fourth segment (reach 4), the tender for design andconstruction of a viaduct has been awarded to Nagarjuna


Project Update

Construction Company Limited at an investment of USD 31.2million. Work on three stations along the stretch has beenawarded to L&T at an investment of USD16.39 million. Anothertwo stations have been awarded to a consortium of IVRCLInfrastructure Projects Limited and CR18G at an investment ofUSD14.78 million.

The corridors are expected to be completed by 2011-12.

In September 2009, BMRCL awarded a USD137 millioncontract for control system on two metro lines to a consortiumled by French companies Alstom and Thales and Japanesecompany Sumitomo Corporation.

In October 2009, BMRCL announced that the undergroundalignment of the metro was changed to reduce the permanentacquisition in Cubbon Park to 2,126 square metres. Theunderground alignment does not run below important structures,namely the Vidhana Soudha, the High Court, the Central Collegeand other buildings on Kempe Gowda Road. BMRCL also inviteddomestic tenders for validation of bogie design of metro car. Theopening date for the tender is November 16, 2009.

EUROPE

Expansion of London Underground network, United KingdomDeveloper: Transport for London (TfL)

Project detail and status: The London Underground, popularlyreferred to as the Tube, is the oldest underground metro in theworld (over 150-years old). Each of the 11 operational lines (402km) is undergoing capacity expansion, as well as measures forbetter safety and faster journeys such as new computerisedsignalling, automatic (driverless) train operation (ATO), trackreplacement and station refurbishment.

The White City and Shepherd’s Bush project, under whichnew stations were constructed on the Hammersmith and CityLine, has been completed. Blackfriars station is closed forrebuilding (to be completed by 2011) and King’s Cross St. Pancras– expected to be crucial during the Olympics – is also beingredeveloped at an investment of USD1.38 billion (to be completedin 2010).

Improvements are being made to stations at Bond Street,Green Park, Highbury and Islington and Southfields. There arealso plans to completely upgrade Victoria underground stationat an investment of USD1.24 billion by 2017. However, the projectfaces an uncertain future given a funding crisis.

Older stations are to be refurbished to ensure 100 per centaccessibility for disabled people. Since it is prohibitivelyexpensive to retrofit existing stations with escalators or lifts, TfLplans to completely rebuild a few older stations.

In June 2009, the first air-conditioned train was introducedfor test runs on the Oxford track. The trains will be operationalon all sub-surface lines in summer 2010. In June 2009, TfL issuedtenders to conduct a household survey and supply data to TfLfor performance analysis.

The underground uses rolling stock built between 1960 and2005. Of this, the A, C and D stock on the sub-surface lines arebeing replaced by over 200 trains of S stock. The first replacement

is expected on the Metropolitan Line by 2010, followed byHammersmith and City, the Circle line in 2010 and the DistrictLine by 2015. For short-term use, D-stock trains are currentlybeing refurbished. Moreover, 2009 stock by BombardierTransportation is currently being rolled out on the Victoria Lineto replace 1967 stock. Further, the 1973 stock on the PiccadillyLine will be replaced with 2014-stock by 2015.

In August 2009, the government announced a proposal forintroducing new technology allowing mobile phones and creditcards to be used to pay directly for journeys instead of tickets.

Since September 2009, Oyster route validators have beeninstalled at all underground and overground stations to ensureaccurate fare collection using Oyster cards, which are radiofrequency identification enabled smart cards (contact-based and,more recently, contactless).

The Tube has been operating under public-privatepartnership since January 2003, with the infrastructure androlling stock privately maintained. Of the two private companies,Metronet alliance exited the agreement in 2007 while Tube Linesis still operating. The UK government is looking for a privatecompany to replace Metronet while TfL has taken over itsoutstanding commitments.

In September 2009, Tube Lines announced that it expected tomiss its December 2009 deadline for upgrading one of thesystem’s busiest routes, the Jubilee Line.

In October 2009, the first air-conditioned 58-S trains to beadded to the rolling stock on Metropolitan Line have beensupplied to London Underground. The train was tested on theAmersham-Neasden track in June 2009. The entire A, C and Dstock will be replaced with S-stock by 2015.

Expansion of Overground, Heavy Rail and Tramlink, London,United KingdomDeveloper: Transport for London (TfL) and Department forTransport (DfT), London

Project detail and status: London is one of the few cities to havean integrated internal transit system in the form of road and railmass transit systems. The integrated mass transit system includesthe Underground, Light Rail, Tramlink, London Buses and theNational Rail network for Greater London.

To prepare for the 2009 Para-Olympics and 2012 LondonOlympics, the entire road and rail network of the city is beingaugmented, with planned investments of over USD17.8 billion.

The London Overground comprises four operational orbitalrail lines covering about 60 stations and a track length of 86 km.Signalling works are expected to continue along the first threelines up to December 2009.

The East London Line, which was formerly a part of theunderground network, has been closed and is being reconstructedwith four new accessible stations to connect the North Londonline of the Overground. The East London Line Extension requiresan investment of USD2.92 billion of which European InvestmetnBank (EIB) lent USD801.2 million.

USD140 million funding has been arranged for extending theSouth London Line under Phase 2 of the project, in order to createan orbital network of the Overground by 2012. There are also


Project Update

proposals to re-extend the Bakerloo line to Watford Junction andwithdraw overground services in the Queen’s Park to WatfordJunction section.

TfL is launching brand new rolling stock of 54 trains on alloverground lines over the next five years (2009-14). Overall, 1,300new carriages will be added to the city’s rail network. In 2009,TfL will introduce Class 378 Capitalstars, to be built byBombardier Transportation, on a lease basis.

Twenty-four new trains are scheduled to run on the northLondon, west London, and Watford-Euston lines of theOverground network by the end of 2009. About 20 trains willcome into service on the East London line extension whencompleted in 2010, while 10 more are earmarked for the wholenetwork by 2011.

Further, in 2011, the North London Railway fleet will beextended to four-car trains. TfL also plans to use new two-carClass 172 Turbostar diesel trains and augment the 1972 stocktrains to replace the newly-retired Victoria Line 1967 stock. Thereare plans to refurbish the existing fleet of 94 rail cars. SinceSeptember 2009, Oyster route validators have been installed atall underground and overground stations to ensure accurate farecollection.

The tramway system in south London has a track length of28 km, covering 39 tram stops across three routes. Tramlink runson a mixture of on-street and off-street tracks. It serves sevenNational Rail stations and one Underground station. The tramnetwork is to be extensively expanded.

TfL has prepared an initial review of the project potentialand is planning to undertake the initial development andevaluation work on around 12 new lines/extensions.

There are 14 terminus stations of the National (heavy) Railnetwork in London, serving the mostly suburban areas thatremain uncovered by the Underground or DLR. The 2025transport strategy of the Transport Department predicts a 40 percent increase in rail use by 2025.

The suburban commuter heavy rail services are operated bya number of private firms. DfT has begun the selection processfor the south central rail franchise and the winning bidder willbe announced in the summer of 2010.

In October 2009, UK-based Thales secured a contract toupgrade the customer information system on the upcoming EastLondon Line extension.

Crossrail and Thameslink, London, United KingdomDeveloper: Transport for London (TfL) and Department forTransport (DfT), London

Project detail and status: The Crossrail is a new scheme beingdeveloped by Cross London Rail Links Limited, which willprovide a new route across central London, integrated with theTube network. The project involves the construction of 21 kmtwin-bore tunnels underneath central London which will belinked to six underground lines at 10 stations.

The main construction for Crossrail will begin in 2010 whilepreliminary construction work will begin shortly. Crossrail willuse eight tunnel boring machines.

In August, 2009, Crossrail Limited launched a USD24 billion

tender for its two principal tunneling contracts – Package C300for Tunnels West and Package C305 for Tunnels East. Invitationsto tender are due to be issued around November 2009 with thecontracts likely to be finalised by mid-2010. The deadline for thereceipt of expressions of interest was on September 28, 2009. Theproject involves driving two 6.2 metres internal diameter tunnels- one of 6.2km from Royal Oak to Farringdon and another 8.3kmtunnel from Limmo to Farringdon.

The successful contractors will also design and construct atunnel segment manufacturing facility in order to ensure asufficient supply of tunnel segments when tunneling starts.

The tunneling contracts are crucial to the completion of theCrossrail project and will enable 12 carriage trains to travel undercentral London from Maidenhead and Heathrow to Shenfieldand Abbey Wood. Balfour Beatty, Morgan Est and VinciConstruction and Austria’s Beton- und Monierbau have formeda joint venture, BBMW, to jointly bid for the contracts.

A new Crossrail station is being built at Tottenham CourtRoad along with redevelopment of the existing tube station. Adesign review panel is finalising the designs of the stations. Asrolling stock for the upcoming Crossrail, there are plans toconstruct about 60 new five-car EMUs.

In December 2008, TfL and the DfT signed the CrossrailSponsors’ Agreement, under which they will jointly finance theproject cost along with contributions from Network Rail, theCanary Wharf Group, the British Airports Authority and the Cityof London.

In September 2009, TfL secured a USD1.64 billion loan fromEIB to fund the USD26.23 billion Crossrail project. It is one of thelargest loans ever taken for a transport project.

The proposal for constructing an interchange between theDocklands Light Railway (DLR) and Crossrail has also beenapproved but construction work is contingent on Crossrail’sschedule. Meanwhile, the Croxley Rail Link proposal still remainsa proposal. It is planned that the Chelsea-Hackney Line will beginoperations by 2025, and might be a part of either the undergroundnetwork or the Crossrail.

The Thameslink programme is being carried out to augmentthe capacity of the 50-station Thameslink rail route by 2011. Theproposed investment for it is USD9.79 billion.

The project is being implemented in three phases, underwhich stations will have longer platforms to accommodate 12-car trains upgraded to operate 24 trains per hour. Blackfriars andKing’s Cross Thameslink stations are also being redevelopedunder the programme. Key Output 1 and 2 of the programmeare scheduled for completion by 2015.

In September 2009, Alstom unveiled its new commuter traindesign, X’Trapolis, which reflects the demands made tocompeting manufacturers by DfT and Network Rail forsupplying 1,200 new trains for the Thameslink route. The moderndesign is based on features such as single internal space withvast openings and fewer wheels than the traditional machinesto reduce the train’s weight and track wear.

In October 2009, Sweden-based Skanska was awarded aUSD94 million contract from Network Rail to build a 400 metreslong railway viaduct in the south-east of London city as part ofthe Thameslink Programme. Work is scheduled to be completedin August 2012.


Project Update

Future developments to Line E of the Réseau Express Régional(RER) network and Line 14 of the Paris Métro, FranceDevelopers: Régie Autonome des Transports Parisiens (RATP)

Project detail and status: The rapid transit system catering toParis and its suburbs comprises the Paris Métro (orMétropolitain), RER and Transilien. Since the stations of theunderground Métro are the most closely spaced in the world,there is not much scope for further expansion. This is why theRER was introduced in 1969 to serve the city and its suburbs byintegrating the existing subway with a set of old regional railwaylines.

The RER is being expanded in order to manage congestion.A master plan worth USD26.41 billion was launched in March2009 to accelerate the existing RER and metro projects.

The Eole project involves Line E of the RER network, on whichvarious extensions have been proposed. The two eastwardextensions will be from Chelles-Gournay to Esbly and Meaux,and from Tournan to Coulommiers. The westward extension willbe from Haussmann-St Lazare to Saint-Nom-la-Bretèche andVersailles Rive-Droite. Further, a new Line E station has beenproposed at Rue de l’Évangile. These works are scheduled to befinished by 2014.

The Météor project involves extension of Line 14 as a part ofthe Métro network, to relieve RER Line A. It is the only automatedline with driverless operations and platform screen doors in theMétro network.

Currently, there are plans to remove the congestion onbranches of lines 7 and 13 respectively by integrating a branchof each line under Line 14. The 5.2 km extension to Line 14requires an investment of USD1.35 billion. The city of Paris iswilling to contribute up to 20 per cent of the cost, while the majorportion of funding has been committed by STIF (RegionalTransport Authority for Paris).

Work on the Line 14 extension to reduce congestion on Line13 is expected to start in 2013 and be completed by 2017. Theproject to relocate branches of Lines 7 and 13 to Line 14 has stillnot been approved.

The Paris Metro is also undergoing a major upgradeprogramme starting with Line 1, the oldest and busiest. Most ofthe equipment on Line 1 will be refurbished to enable automatedoperations and platform doors are under construction on Line13. The ‘Hurricane System’ which provides continuous controlof speed has been put into action on Line 13 and will be effectivefrom 2011. The overall upgrade of Line 13 is expected to becompleted by 2015.

In August 2009, the Société Nationale des Chemins de FerFrançais (SNCF) announced plans to create a Grand Paris railnetwork connecting Paris, Le Bourget, La Defense and RoissyAirport.

The project will be implemented at an investment of USD426million. High speed TGV trains will be introduced on thenetwork. SNCF has decided to invite tenders for buying 35 new-generation TGV trains.

In September 2009, France-based Gemalto NV (GTO.FR)secured a contract from RATP to manage the on-line purchase oftransport tickets and enable online top up of Passe Navigo, whichwas introduced in 2001 in Paris and 23 other cities and is

considered a technological breakthrough since it replaces thetraditional magnetic strip with an electronic chip.

In October 2009, France-based Compin Group has beenselected by SNCF to supply interior fittings for therefurbishment of 60 of its TGV SUD Est trainsets, with a furtheroption for supply fittings for an additional 47 trains.

The initial batch will be refurbished during 2011-15 at theHellemmes and Romilly workshops of SNCF. Initial deliveriesare planned for April 2011.


Dubai Metro Project, UAEDeveloper: Roads and Transport Authority-Dubai (RTA)

Project details and status: The RTA is currently implementingthe 174 km long, four line Dubai metro project.

The four lines are the red line covering 52.5 km, connectingRashidiya to the Jebel Ali border, the green line covering 22.5 kmand extending from Dubai Airport Free Zone to Dubai HealthcareCity, the purple line covering 49 km and linking DubaiInternational Airport with Jebel Ali Airport, and the blue linecovering 50 km and connecting Dubai International Airport toAl Maktoum International Airport.

In the first phase, the red and the green lines will beconstructed with a total of 47 stations. Originally the metro projectwas estimated to require an investment of USD4.22 billion but amajor revision of the design and scope led to a massive escalation.It is now estimated to require an investment of USD7.6 billion.

In February 2009, the RTA entered in to a contract with theBritish Office of Rail Regulation for providing safety standards.For the red and green lines, USA-based Llewelyn Davies hasbeen selected as the lead architect and Dubai Rapid Link hasbeen selected as the contractor. Parsons Brinckerhoff is the projectconsultant for the purple line.

In September 2009, a section of the Dubai metro along thered line, covering 10 stations, became operational. The remainingstations on the red line would be in use by the end of February2010. The line is expected to be completely operational by 2012.The red line is set to be extended by 15.5 km to the border withAbu Dhabi and will add six stations and a multi-storey car park.

In October 2009, RTA announced that green line is expectedto start operations in the middle of next year.

Development on the purple Line had been postponed due tothe slowdown in property development in those areas. RTA alsoannounced that it will launch a new personalised metro card forcommuters in the next few weeks. The Nol Blue Card will beregistered with the RTA and carry a person’s photograph andpersonal details.

Also in October 2009, UK-based Nomad Digital and UAE-based integrated telecom service provider, du, launched wi-fibroadband services on Dubai metro trains and stations inconjunction with RTA. Jotun Paints announced that it hassupplied over 3 million litres of paint for red line. The companyis still set to deliver its paints and coatings for the remaining redline and the entire green line.

Company News

44 Global Mass Transit Report | November 2009

NORTH AMERICA

GE and EMD win locomotives order from Canadian RailwayCanadian National Railway (CNR) has placed an order for 70new high-horsepower (hp) locomotives from GE Transportationand Electro-Motive Diesel (EMD). While GE will supply 35ES44DC, 4,400 hp locomotives starting from the fourth quarterof 2010, EMD will provide 35 SD70M-2s, 4,350 hp locomotivesstarting from January 2011. The GE and EMD locomotives willbe equipped with distributed power (DP) capability, whichenables remote control of a locomotive throughout a train fromthe lead control locomotive.

The locomotive units are part of CNR’s multi-yearlocomotive-renewal programme aimed at increasing fuelefficiency and reducing greenhouse gas emissions.

Siemens wins light-rail contract from San Diego MTSThe San Diego Metropolitan Transit System (MTS) has granted atwo-year USD205.2 million contract to Germany-based transportequipment provider Siemens for providing 57 new low-floor,light-rail vehicles. Procurement of the vehicles is part of the firstphase of a major rehabilitation project for San Diego MTS’ Blueand Orange lines.

The 57 vehicles will replace some of the 134 light-rail vehiclesin operation (some of which are more than 20 years old). Thenew low-floor vehicles will be built entirely at Siemens’ solar-powered manufacturing plant in Sacramento. The S70 model is81 feet long (nine feet shorter than the trains that currently runon the MTS Green Line through Mission Valley between OldTown and Santee).

Thales supplies communications solution to Canada LineFrance-based rail technology solutions provider Thales hasimplemented its communications-based train control solution forthe new rail line, the Canada Line, in Vancouver, BritishColumbia. The Thales’ SelTrac system has enabled the 19.2 kmVancouver-Richmond rail line to run at 99 per cent availability.

The Canada Line, which opened in August 2009, is the thirdline in TransLink’s SkyTrain network. It connects downtownVancouver to the national airport via a fork in the line atBridgeport station and is expected to cater to nearly 100,000passengers daily by 2010 and 142,000 by 2021. The line wasbuilt by InTransitBC, a joint-venture company partly owned bySNC Lavalin.

Fisher Coachworks to provide hybrid buses in MichiganMass Transportation Authority in Flint, Michigan, USA (MTAFlint) will procure two Fisher Coachworks GTB-40 all-electric,plug-in hybrid mass transit buses to be deployed in 2010. Thebus is an all-electric, zero emissions vehicle, expected to meetCalifornia ARB’s ZBus requirements.

MTA Flint has received USD2.2 million funding from theObama Administration’s USD100 million Federal TransitAdministration’s Transit Investments for Greenhouse Gas &Energy Reduction (FTA TIGGER) program.

The FTA TIGGER program is an American Recovery andReinvestment Act of 2009 initiative to drive the implementationof advanced energy and emission efficient mass transit solutions.

AT&T offers wireless coverage on SEPTA Market-Frankford andBroad Street SubwayAT&T has completed its wireless network for providing street-to-platform coverage for its Broad Street Subway and Market-Frankford lines, operated by the Southeastern PennsylvaniaTransportation Authority (SEPTA) in Philadelphia region ofPennsylvania, USA. It has recently added six new cell sites inthe Broad Street line tunnels as part of its efforts to extend itsmobile network. In all, 31 sites cover more than 24 miles of theSEPTA subway system.

Aecom wins USD19 million contract from DARTThe Dallas Area Rapid Transit (DART) authority has awarded aUSD19.3 million contract to technology provider, AecomTechnology, for supplying project control, system integration andstaff support services for the second phase of its light railexpansion project. The project involves constructing the 26.5-mileGreen line and a 32.19 km expansion of the Orange and Bluelines. This contract takes the combined value of Aecom’s totalcontracts with DART to USD58.1 million.

IBM to modernise San Francisco Bay Area Rapid TransitThe San Francisco Bay Area Rapid Transit (BART) has deployedIBM software to manage the product purchase, inventory-tracking, and maintenance systems on trains, stations, equipmentand operations.

BART has implemented the software as part of its multi-yearmodernisation project which includes updating and integratingexisting equipment as well as adding new rail cars to the fleet.

The BART rail system connects San Francisco to cities in theEast Bay and suburbs in northern San Mateo County.

IBM to provide software for Washington MetroThe Washington Metropolitan Area Transit Authority (WMATA)is using IBM software to monitor its buses, trains, and relatedequipment to assess the exact condition and location of all itsassets. IBM is helping the authority to manage its 12,000 bus stopsand train stations, 170.59 km of track, 1,144 rail cars and 1,500buses from a central control center using on-screen displays.

Railhead Vision Systems to deploy LDVR in MetrolinklocomotivesSouthern California’s railroad system operator, Metrolink,intends to install an inward and outward-facing video camerasystem, Locomotive Digital Video Recorder (LDVR) in itslocomotives. The system, which will be provided by US companyRailhead Vision Systems, involves deploying three cameras perlocomotive, one outward-facing and two inward-facing, to recordactivity in front of the train as well as the control panels andpeople inside the locomotive. The transport operator will installthe cameras in 52 locomotives.

Company News

45Global Mass Transit Report | November 2009

Granite Construction JV wins Long Island Rail ProjectNew York Metropolitan Transport Authority (MTA) CapitalConstruction has awarded USD659 million contract to a GraniteConstruction-led joint venture (JV) to build a tunnel link fromQueens to Grand Central Terminal in Manhattan. The JV’s othermembers include Traylor Brothers and Frontier-KemperConstructors with Granite holding a 42.5 per cent stake in thedeal. The East Side Access project will complete the Long IslandRail Road service, which will provide a direct route between LongIsland and eastern Queens to Manhattan’s Eastside. The workincludes excavation and precast concrete lining of four boredtunnels below active rail storage. Construction will beginimmediately and the project is slated for completion in 42 months.MTA Capital Construction was founded in 2003 to manage majorcapital projects for the MTA.

Avalon Rail receives passenger car renewal contract from VIARail CanadaVIA Rail Canada has awarded a CAD19.5 million contract toAvalon Rail for reconfiguring 12 of its passenger cars (eightChateau sleeping cars and four Park sleeper-dome-lounge cars)used on its western transcontinental train, the Canadian. Theproject is being funded by the Government of Canada’s EconomicAction Plan, which has allocated CAD407 million for passengerrail improvements. The new passenger cars are slated to bedelivered in 2011.

Avalon Rail, which specialises in re-manufacturing passengerrolling stock, won the contract through a competitive biddingprocess. The company will utilise the expertise of variousCanadian engineering, design and supply firms for a portion ofthe project. Meanwhile, Canada’s national passenger rail servicehas chalked out spending worth CAD40 million over the nexttwo years for new railway stations around Montreal, Toronto,Ottawa and Windsor, as well as significant upgrades to existingstations in Vancouver and Saskatoon. This is in addition to somemultimillion-dollar projects already under way to rebuildplatforms, repair roofs or upgrade heating systems in locationssuch as Vancouver, Winnipeg, Saskatoon and Halifax.

[1 Canadian Dollar (CAD) = 0.9396 USD]

Washington Metro to try new anti-crash system by ARINCThe Washington transit agency will conduct trial of new anti-crash software on its network. The system has been developedby the US firm ARINC with the agency’s assistance. The newsoftware will, in real time, replay the status of all its circuits andconnections within the rail system and serve as a backup for theexisting crash-prevention system. In case of a malfunction, a vi-sual and audio alarm will be triggered on the controllers’ screensat the Washington Metro operations centre. The new system wasdeveloped after the US National Transportation Safety Boardrecommended that the transit agency replace its existing crash-prevention system.

Kiewit Pacific receives construction contract for Honolulu’s railtransit projectThe Hawaii government has granted a USD482.9 million con-tract to construction and engineering firm, Kiewit Pacific, for the

first phase of Honolulu’s rail transit project. Kiewit Pacific willdesign and construct a 10.46 km section linking East Kapolei toPearl Highlands. The construction work, estimated to costUSD570 million, is expected to be completed within three years.

The project’s second phase, estimated to cost USD350 million,involves constructing a 6.28 km section from Pearl City to AlohaStadium. The transit authorities are expected to launch a tenderfor the project in mid-November 2009. Overall, the nearly USD5billion Honolulu rail transit project involves building a 32.19km elevated rail line to link West Oahu with downtownHonolulu and the Ala Moana Centre. The system is likely to bepartially and fully operational by 2012 and 2019, respectively.

LATIN AMERICA

Helios wins electric train consultancy contract fromProInversiónPeru-based private investment promotion agency ProInversiónhas granted a contract to Peru-based consultancy firm Helios tohelp in the concession process for Lima’s electric train systemproject. Helios will also help ProInversión find investors for theelectric train project. On September 2, 2009, ProInversiónlaunched an international tender for the operation and mainte-nance of Lima’s electric train mass-transport system.

The successful bidder will obtain finances for the project,design and purchase the rolling stock, and operate and maintainthe line for a 30-year period. The tender is likely to be awardedin early November 2009 and construction is estimated to take amaximum of 18 months.

The Andean Development Corporation (CAF) is lending thePeruvian state USD300 million to help finance construction ofthe train link connecting the Atocongo bridge to Las Artes andfrom Las Artes to Hospital 2 de Mayo. The approximate budgetfor civil construction is USD431 million.

Invensys and Infoglobal receive contract to upgrade Sao Paulometro linesBrazil metro operator, Companhia Paulista de TrensMetropolitanos (CPTM), has granted a EUR280 million contractto a consortium consisting of UK-based railway control and com-munications systems provider Invensys Rail, Brazil-based engi-neering company Montagens e Projetos Especiais (MPE), andSpanish telecom specialist Infoglobal.

Invensys Rail, which has a 60 per cent stake in theconsortium, will install its Sirius Communication Based TrainControl (CBTC) system to upgrade signalling and automatictrain control on lines 8, 10 and 11 of Sao Paulo’s metro system.It will also implement associated rolling stock, WESTRACEinterlockings, point machines and light emitting diode signals.The new system will operate simultaneously with the existinglegacy signalling system until the project is complete.

CPTM owns and operates the three metro lines in Sao Paulo:Line 8 which is 35 km with 20 stations; Line 10 which is 37 kmwith 15 stations; and Line 11 which is 37 km and has 12 stations.It also operates 136 trains and maintenance vehicles.

(1 Euro [EUR[ = 1.471 USD)

Company News


Pöyry-Cal y Mayor-Geo Consult consortium win metroconsultancy contractThe Industrial Development Bank (IDB) and AndeanDevelopment Corporation (CAF) have awarded a USD2 millionconsultancy contract to a consortium consisting of engineeringand consulting firms, Swiss-based Pöyry, Mexico-based Cal yMayor and Panama-based Geo Consult, for the Panama Citysubway. The consortium will have nine months to present aconceptual design, frame draft bidding rules for design andconstruction of the line, provide rolling stock, and supply andinstall the signalling material and communications systems.

Other shortlisted consortia were URS Holdings and Parsons-Brinkerhoff (both US-based), Sener-Transports Metropolitansde Barcelona (TMB) and Metro de Madrid (both Spain-based),and French-based Coteba.

Volvo wins bus orders from Grupo Ruas and TransmilenioBrazil-based bus operator, Grupo Ruas, has ordered 100 bi-

articulated Volvo B9SALF buses from Volvo Buses. Bus rapidtransit system operator, Transmilenio in Bogota, Columbia, hasalso placed an order for 84 articulated buses from Volvo. Thisyear, Volvo has received orders for 200 buses from Transmilenio.

Many cities in South America have opted for buses with highfloors and bus stops on platforms that are the same height asthe bus floor. Other cities such as Santiago in Chile and SaoPaulo have opted for street-level bus stops and low-floor buses.The Volvo B9SALF’s engine is located on the left side of the busbetween the first two axles. This enables the entire right side tobe lowered to street level, which facilitates boarding anddisembarking from all doors in the bus. Earlier in 2009, Volvohad received orders for 27 and 62 articulated buses for the BRTsystem in Leon, Mexico, and for the first corridor of the newBRT system respectively.

Odebrecht Peru to place bid for USD400 million electric trainproject tenderBrazil construction firm subsidiary, Odebrecht Perú, is likely tobid for a USD400 million tender for carrying out the civil andelectromechanical works on the mass transport electric trainproject in Lima and Callao. For bidding, Odebrecht will partnerwith Peru based construction company Graña y Montero, whichwill have a 33 per cent stake in the consortium. Odebrecht is alsolooking for a partner to provide the electromechanical equip-ment for the train and is evaluating options from German, Cana-dian and Chinese firms.

The contract, for which around 11 f irms have beenshortlisted, is expected to be awarded on October 29, 2009. Thewinner will have 16 months to complete the project, in additionto two months for testing. The expansion of the electric trainwill be carried out as a public works project whose operationand maintenance will then be handed over in concession to aprivate firm. Meanwhile, Peru’s Transport and CommunicationsMinistry is looking to grant a contract for carrying out the civiland electromechanical works for the stretch from the Atocongobridge to Las Artes and from Las Artes to Hospital 2 de Mayo.Private investment promotion agency ProInversión is expectedto launch a tender later this year to select a concessionaire forthe rolling stock and operation of the system.

ASIA PACIFIC

Hyundai Rotem starts rolling out driverless metro carsHyundai Rotem has released its first driverless light metro carfrom its Changwon plant in South Korea. The company will soondeliver 50 driverless metro cars, comprising two car sets, as wellas electrical and mechanical equipment for the Busan-Gimhaeline according to a contract awarded by the Busan Gimhae LineCorporation in November 2006.

In addition, Hyundai Rotem will also supply driverless metrocars to mass rapid transit lines in Incheon and Seoul. Thecompany has earlier provided driverless metro cars for theVancouver metro region’s Canada Line, which had launchedservices in August 2009. The Busan-Gimhae Light-Rail Transit isan automated guideway transit system under constructionbetween the cities of Busan and Gimhae in South Korea. The linehas a planned length of 23.92 km with 18 stations, and isscheduled to open in April 2011.

KBR-Arup joint venture receives AUD4.3 billion contractThe Australian government has awarded a AUD4.3 billioncontract to a joint venture between US-based engineering andconstruction company, Kellogg Brown and Root (KBR), andLondon-based engineering-consulting organisation, Arup, tofinalise planning for the Regional Rail Link project.

The project involves laying a 50 km rail network to connectWest Werribee and Southern Cross. The project is jointly fundedby the federal government (which has contributed AUD3.2billion) and the provincial government (which has put inAUD1.1 billion). Full-scale construction work on the project isexpected to begin in 2010; however, initial works were initiatedin August 2009 at platforms 15 and 16 of Southern Cross Station.

(1 Australian Dollar [AUD] = 0.9107 USD)

Swaraj Mazda bags bus contract from DMRCIndia’s Delhi Metro Rail Corporation (DMRC) has granted anINR600 million contract to Swaraj Mazda for supplying 300 air-conditioned (AC) buses. The buses will be used to provide feederservices for customers in over 160 stations on its metro network.The move is aimed at providing a comfortable and smooth rideto spectators on their way to the 11 Commonwealth Gamesvenues in Delhi. Swaraj will deliver the first set of 75 buses byJanuary 2010 and the remaining by March 2010. Swaraj will alsoprovide backend support like on-road maintenance and periodicservicing for the buses. Each CNG-enabled bus is estimated tocost USD39,114 and will have a semi-low floor design with a26-person seating capacity. The buses will also have globalpositioning systems, facilities for a public address system andticket-vending machines.

(1 Indian Rupee [INR] = 0.0212USD)

Mercedes-Benz plans to launch city-buses and luxury coachesMercedes-Benz India is planning to introduce city-buses andthree-axle luxury coaches in the next six to 12 months to increaseits bus sales. City buses, characterised by low or semi-low floorAC and non-AC buses, are currently witnessing an increase in

Company News


demand due to the INR350 billion from the central governmentfor Jawaharlal Nehru National Urban Renewal Mission(JNNURM) scheme. Urban transport agencies such as DelhiMetro Rail Corporation are planning to buy such buses. Thestate transport agency of Haryana recently launched a tenderfor procuring 100 such buses and f ive companies areparticipating in the bidding process. Mercedes-Benz entered theIndian bus segment in 2008.

Launched by the central government, the JNNURM is a citymodernisation scheme with a total investment of over USD20billion during a 5-6 year period.

Bombardier wins high speed train contract from ChineseMinistry of RailwaysCSR Bombardier Sifang (Qingdao) Transportation, a joint venturebetween Canadian train manufacturer Bombardier and ChinaSouth Locomotive and Rolling Stock (CSR) Sifang Locomotiveand Rolling Stock, has won half of a USD4 billion contract tosupply 80 Zefiro 380 trains with speeds ranging up to 380 km/hrto China’s Ministry of Railways. The contract involves providing20 eight-carriage trains and 60 sixteen-carriage trains to bedelivered between 2012 and 2014.

The Zefiro 380 trainsets will incorporate Bombardier’s ECO4energy saving technologies and will be manufactured atBombardier Sifang Qingdao Transportation’s production facilitiesin Qingdao, China. The engineering will take place in Qingdaoand at Bombardier centers in Europe with project managementand components provided from Europe and China.

Bombardier looks to cash in on metro coach demand in IndiaThe German rail equipment arm of Bombardier Transportationexpects the annual demand for metro rail coaches in India toreach 1,000 units in the next two years. It expects the Indianmarket for new city-metro systems and railway equipment,excluding locomotives, to be worth USD3.5 billion in five years,driven by the construction plans of provincial governments inIndia. Bombardier has invested EUR33 million in a factory inGujarat with a capacity of 32 metro coaches a month.

(1 Euro [EUR] = 1.5024 USD)

Ashok Leyland to deliver ultra low entry buses in DelhiAshok Leyland will soon start rolling out its ultra low entry busesfor the Delhi Transport Corporation (DTC) from its new bus bodyconstruction facility in Alwar, Rajasthan. DTC had ordered 875buses worth INR11.9 billion in addition to a 12-year maintenancecontract. The hi-tech buses, both AC and non-AC, are equippedwith automatic transmission and other modern amenities, andcost between INR4.9 million and INR5.93 million. Ashok Leylandwill provide 50 buses as part of its first shipment. The delivery isscheduled to be completed by February 2010.

The Alwar bus plant will also produce 200 ultra low entrybuses ordered by the state transport undertakings of Rajasthan,Maharashtra and Andhra Pradesh under the Jawaharlal NehruNational Urban Renewal Mission (JNNURM). The company willdeliver 5,000 buses to various state and local transport bodies inthe current fiscal.


Tadiran Telecom receives communications system order fromSCRIndia rail operator South Central Railway (SCR) has granted acontract to Israel-based Tadiran Telecom for deploying theSoftswitch communication system over its 200 km long network.The project is Tadiran Telecom’s first ever installation of theSoftswitch solution in India. The solution consists of a group ofthree internet-based Sea Softswitch servers which are located inthree geographically dispersed sites to cover for redundancy andfault tolerance for the other servers.

Alcan Extruded Products to supply EcoRange technology for SBSTransit busesFrance-based Alcan Extruded Products, a business unit of RioTinto, will supply aluminum for Singapore-based publictransport company, SBS Transit’s 600 city buses. The Scania busesfeature the Alcan EcoRange body structure system and lowcarbon dioxide emissions. The buses’ bodywork is built byMalaysia-based Gemilang Coachworks, a long-time partner ofAlcan Extruded Products. Production and delivery of the buseswill take place by May 2010.

CSR Nanjing Puzhen wins contract for Hangzhou MetroSingapore’s Midas Holdings’ joint venture company, CSR NanjingPuzhen, has won a CNY1.8 billion contract from the HangzhouMetro system. The project is currently under construction inChina. The 48 six-car trains will be used on the metro system’sfirst line. Each trainset will have a capacity of 2,036 passengers.Delivery is expected to start in May 2011 and be completed byAugust 2013.

Construction work on the Hangzhou Metro, a 278 kmnetwork with eight lines, started in March 2007. Line 1 willconnect the city’s central districts with the suburbs of Xiaoshan,Linping and Xiasha. The 48 km line will run underground for41 km and will have 30 stations. Work on Line 1 is beingundertaken by a public private joint venture between HangzhouMetro Group and MTR, which will also handle operations.

(1 Chinese Yuan [CNY]) = 0.1464 USD)

Nanche Sifang Locomotive receives bullet train order fromChinese railway ministryChina’s Ministry of Railways has awarded a contract worthCNY45 billion to procure 140 bullet trains from a China-basedtrain maker affiliated with Japanese firm Kawasaki Heavy In-dustries. The trains, with a capacity to run at a maximum speedof 350 km/hr, will be supplied by Nanche Sifang Locomotive,which has a technology licensing agreement with KawasakiHeavy Industries.

The high speed trains will be manufactured using Kawasakiheavy technology which is already in use on the Hayate trainson the Tohoku Shinkansen Line in Japan. The new trains areexpected to run on the Beijing-Shanghai and Beijing-Guangzhourail lines beginning from the first half of 2010.

A similar high-speed train service was started betweenBeijing and Tianjin during 2008. China is also building upsimilar lines in other parts of the country.

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Meanwhile, London-based design group Priestmangoode hasbeen appointed to work with China’s largest rolling stockcompany, Sifang, for designing trains to run on China’s new highspeed rail network. The contract to develop concepts for the newstock was signed with Priestmangoode in early 2009. The RailwayMinistry plans to reveal the designs by the end of 2009 andofficially launch the trains by October 2010.

(1 Chinese Yuan [CNY] = 0.1464 USD)

Alstom signs two agreements for signalling and trams inKazakhstanAlstom has signed two cooperation agreements covering pro-duction of turnout motors and supply of a tram system for Astana,Kazakhstan’s capital city. These two agreements were signed inthe framework of a Franco-Kazakh business forum.

First, in the area of signalling, the agreement Alstom enteredinto with the Chairman of Kazakh national railway operatorKazakhstan Temir Zholy (KTZ) provides for the set-up of anindustrial cooperation for the supply of turnout motors.

This agreement should lead to the creation of a joint venturefor the local production of this equipment. The parties will jointlydefine the details for transfer of the production and assembly ofthese turnout motors to Kazakhstan.

To meet the needs of the region, Alstom offers a productadapted to local operating conditions – able to operate intemperatures as low as -40°C : two prototypes have been alreadyinstalled in the Kazakh rail network for a testing phase during12 months. This turnout motor features Alstom’s latesttechnological advancements: reduced maintenance costs, a longoperating life and a remote diagnostic system.

Alstom also signed a memorandum of cooperation with theMayor of Astana for the creation of a tramway for the Kazakhcapital. This project is part of the development plan the Kazakhstate has launched for the new capital. The agreement providesfor the creation of a project feasibility study covering public worksand electromechanical aspects (supply of rolling stock, laying oftrack, installation of catenaries and electrification of the lineincluding supply of all electric and mechanical systems andsubsystems) for which Alstom will provide expertise and long-term maintenance. Alstom’s Citadis tram will be adapted to localclimate constraints and equipped to operate in extremetemperatures.

EUROPE

Modertrans wins contract for tram network modernisationThe department for public transport in Gdañsk, Poland, ZakładKomunikacji Miejskiej w Gdañsku Limited, has awarded a ser-vice contract to Poland-based transport equipment manufacturerModertrans Poznan for repair and maintenance of rolling stockused in the town’s tram network.

The PLZ4.77 million contract involves upgrade of 44 N8C-type trains including replacement of windows and wall linings,refurbishment of interiors and changing the location of electricalequipment for convenient travel.

Post-modernisation, the trams are to be delivered to the tramdepot operated by the department.

(1 Polish Zloty [PLN] = 0.3571USD)

Pesa Bydgoszcz secures contract to supply low-floor trams toSzegedPoland-based rolling stock manufacturer Pesa Bydgoszcz SA hassecured a contract to supply nine low-floor trams to Szeged cityin Hungary. The firm’s bid was valued at EUR16 million, whichbeat the rival bid of EUR20.6 million placed by Czech Republic-based Inekon Trams. The first trams will be supplied in Novem-ber 2011, and the remaining by July 2012.

(1 Euro [EUR] = 1.4971 USD)

Telent secures bus information system contract in LondonUK-based Telent, a technology services company, has beenawarded a 12-year contract by Transport for London to developcore software and provide web and mobile content for upgrad-ing London’s bus passenger information system. The upgradeproject involves installation of 2,500 new electronic signs acrossthe city. Software solutions developed under the contract willallow passengers to use their mobile phones and internet con-nections to locate bus schedules. The contract will be imple-mented in two phases. Under the first phase, Telent will de-velop the software; post-rollout of the technology in 2011, it willmaintain the core system for the duration of the contract.

Thales partners with BelAir to provide wi-fi for Bergen Light RailFrance-based technology services company Thales has partneredwith Canada-based BelAir Networks to provide wi-fi facilitiesfor the Bergen Light Rail Project in Norway. The wi-fi networkinstalled comprises 40 BelAir100 nodes along a 12-km tracklength and 24 BelAir20M mobile access points installed on 12trams. Thales is also responsible for rail signalling, telecommu-nications, passenger information, traffic control, and supervisionsystems for the project. The Bergen Light Rail project involvesconstructing a light rail system in the Norwegian city. The firststage of the project involves building a 9.8-km stretch betweenthe city centre and Nesttun, estimated to be operational by 2010.

Construction works will continue from Nesttun to LagunenStorsenter in August 2010. Further plans for the project involveimplementing three lines, stretching to Bergen Airport, Flesland,Åsane, and Storavatnet.

Arriva wins contracts from Darlington Borough Council andLondon Bus ServicesDarlington Borough Council has granted UK-based bus serviceoperator, Arriva North East, a ‘multiple awardees’ contract forproviding bus services in Darlington, County Durham, for anunspecified amount (rumored to be GBP1.5 million). The contractwill be for 5 years with the option for extension to a maximum offive, 12 month periods. Meanwhile, Arriva London North earlierwon a GBP4.8 million contract from London Bus Services toprovide public road transport services. The contract is for 5 yearswith the option of a 2 year extension.


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CAF receives EUR139 million contract from Istanbul transportauthorities

The Istanbul transport authorities have granted a EUR139million contract to Spain-based Construcciones y Auxiliar deFerrocarriles (CAF) for supplying 30 metro units, comprising fourcars, with each unit measuring 90 metres in length.

The units will be deployed on the new Istanbul, Kadiko andKartal lines. Each unit is fitted with four doors on each side ofthe cars, 1500 Vdc catenary pantograph energy pick-up, andpassenger information, video-entertainment, and closed-circuittelevision surveillance system. It has a maximum capacity of 1,300passengers.

(1 Euro [EUR] = 1.4787 USD)

GAZ Group delivers 16 LiAZ buses to Yakutsk municipaltransportation companyRussia-based automotive manufacturing company, OlegDeripaska’s GAZ Group, has delivered 16 LiAZ buses to theYakutsk municipal transportation company.

The contract value is USD2.7 million. The CNG buses will bemanufactured at the group’s Likinsky bus plant and will operateservices at Yakutsk city routes.

Bombardier receives EUR258 million contract from TrenitaliaItaly based train operator, Trenitalia, has granted a EUR258million contract to Canada-based transport equipmentmanufacturer, Bombardier Transportation for 100 Class E464electric locomotives. The contract has an optional clause for thedelivery of 50 additional locomotives. The locomotives are slatedto be delivered in 2010-12.

Trenitalia had earlier placed orders for a total of 638locomotives, of which 480 are already in service. The latestcontract is the first to be placed under Trenitalia’s recently-announced EUR2 billion investment program in regionalpassenger services.

The 3 kV DC units will be assembled at Bombardier’s formerTIBB plant at Vado Ligure, with the bodyshells coming fromBombardier ’s Wroclaw plant in Poland and the Mitracpropulsion equipment from Trapaga in Spain. The trainsets willhave a maximum speed of 257.5 km/hr.

(1 Euro[EUR] = 1.4787 USD)

Bombardier wins EUR35 million order from Deutsche BahnGermany-based rail operator Deutsche Bahn (DB) has placed aEUR35 million order for up to 8 Bombardier Talent 2 electricmultiple-units (EMUs). The order covers four three-car and five-car Class 442 EMUs which will be operated by DB Regio Südoston the Dresden–Leipzig route from 2011.

In September 2009, DB placed a EUR90 million order for sixthree-car and 16 four-car Talent 2 units to be used on theMittelhessen-Express services from December 2011. With thisorder, DB’s total order with Bombardier comes to 128 Talent 2EMUs.

(1 Euro [EUR] = 1.4912 USD)

Bombardier unveils Itino diesel railcarBombardier Transportation has introduced its first Itino dieselrailcar, which runs on low-emission diesel technology(CLEANTM). It has already conducted a series of trial runs withthe prototype train at Jönköping station in Sweden. The first setof CLEANTM trainsets is expected to be launched in both Swedenand Germany later this year. The CLEANTM Diesel Power Pack isthe first low-emission 500 kW traction package, which will beable to meet the European Union’s Stage IIIB exhaust emissionregulations, due to be introduced in 2012.

The CLEANTM powerpack has demonstrated a reduction inexhaust emissions of up to 83 per cent compared to averageengines. Bombardier is currently assembling four Itino trainsetswith CLEANTM diesel technology for the Fahma-Fahrzeugmanagement in Germany, which will begin operating in theOdenwald region near Frankfurt-am-Main later this October.Thirteen additional trainsets have been ordered by variousoperators in Sweden, with the first set due to be delivered toVästtrafik in December 2009.

Bombardier delivers first set of trains for the Metropolitan Lineof London UndergroundCanada-based rail equipment manufacturer, Bombardier Trans-portations, has delivered the first of 58 eight-car trains for theMetropolitan Line of the London Underground. The pre-seriestrain is expected to launch passenger services in 2010. The fulldelivery is expected to be completed by 2011. Meanwhile, theLondon Underground has introduced air conditioned train ser-vices. One new train, which will serve the Metropolitan line fromthe summer of 2010, has been replaced with air conditioning.This is the first step in the replacement of the line’s fleet, with 58new trains being brought into service by 2011.

Nexans to deliver railway cables for Istanbul rail lineFrance-based transport equipment provider Alstom has granteda EUR3.3 million contract to France-based cable company, Nexansfor manufacture and supply of 1,350 km specialised railway sig-naling cables. The cables (including ZPAU, digicode and eurobaliseas well as low-voltage power cables K25) will be installed onIstanbul’s Marmaray trans-Bosphorus rail line in 2010-11. The 76.3km rail line connects Halkali on the European bank of theBosphorus to the suburb of Gebze to Istanbul’s urban transportnetwork and is scheduled to start operating services in 2013. Aconsortium led by Alstom is handling the project coordination,general engineering, track installation and electrification andsignaling of the rail line project.

(1 Euro[EUR] = 1.4787 USD)

London Bus Services awards GBP4.7 million contract to ArrivaLondon NorthLondon Bus Services has granted Arriva London North a GBP4.7million contract for providing bus services on Route 76 for 5 years.The contract may be extended for 2 years depending on perfor-mance. Arriva London is a division of Arriva which operates busservices in London. Operations are split between two registeredcompanies, Arriva London North and Arriva London South.


Company News


Thales UK to upgrade CIS for Southeastern RailwaysUK rail operator, Southeastern Railways has granted a contract totechnology provider, Thales UK, for upgrading and integratingits Customer Information System (CIS). The CIS provides real timeaudio and visual information to passengers at stations.

Thales UK will also upgrade the system for all southboundtrains when they begin services and the new East London Line.Southeastern Railways operates services in Kent, Sussex andSouth East London and will operate the country’s first domestichigh-speed service, which is expected to be launched in December2009.

Thales receives rail signalling contract from GYSEVRegional railway operator, GYSEV, jointly owned by Hungaryand Austria, has granted a HUF7.63 million contract to Vienna-based automation-technology company Thales Rail Signaling forsupplying security equipment on the Hungary Railways’ track.

Specifically, the contract involves supplying the securitysolutions for a 56 km section of the Sopron-Szombathely-Szentgotthárd line rail in western Hungary.

The project is being funded under the HUF41.3 billionassistance programme by the European Union to Hungary torenovate a 116 km section of the rail line. The arrangement willallow trains to travel at the maximum speed of 120 km/hr asagainst the current speed of 80 km/hr. The government expectsto complete the project by the end of 2011.

(1 Hungarian Forint [HUF] = 0.0053 USD)

AmeyColas wins track renewal contract from Network RailUK rail operator Network Rail has granted a EUR250 millioncontract to AmeyColas for operating and maintaining its trackrenewal systems. The five-year contract involves the renewal andreplacement of over 1,600 miles of track, which forms nearly 30per cent of Network Rail’s total renewals workload. The contractbegins from January 2010.

(1 Euro [EUR] = 1.4912 USD)

Grammer sets up wholly owned subsidiaryGermany-based vehicle seat manufacturer, Grammer, has set upa wholly owned subsidiary, Grammer Railway Interior, whichwill be responsible for the group’s rail activities from January 1,2010. This will increase the degree of independence and flexibil-ity of decision making for the rail business unit.

Alstom to electrify Granada tramway systemThe Autonomous Community of Andalusia in Spain has granteda EUR16.4 million contract to Alstom and Spain-based Inabensato electrify Granada’s tramway system. The tramway system is15.9 km long and covers 26 stations.

The project is expected to be completed by July 2011. Alstom’sshare of the contract is EUR9.8 million and involves installationof 35 km of catenary and seven traction substations.

(1 Euro [EUR] = 1.4912 USD)

Siemens wins equipment supply contract from Helsinki CityTransportHelsinki-based public transport operator, Helsinki City Trans-port, has granted a EUR56 million contract to Siemens for sup-plying technical equipment for the 14 km extension of its metronetwork.

Siemens will deliver the automatic control system, theoperations control centre, the signalling system, the onboardcommunication, and the passenger information system for theseven-station extension.

In 2008, the two had entered into a EUR100 million contractfor renovating the existing metro line. The driverless metrosystem will begin operations from 2013 while the extension isexpected to be operational in 2014.

(1 Euro [EUR] = 1.4912 USD)

Siemens and Bombardier win EUR191 million order from WienerAustrian public transit network operator, Wiener Linien, hasordered 20 Type V six-car metro trains worth EUR191 millionfrom Siemens, Elin EBG Traction, and Bombardier. Siemens andElin EBG Traction will supply the bodyshells, interior fittingsand electrical equipment in a deal valued at EUR153 million.

The deal with Bombardier is worth EUR38 million andincludes air-conditioning units and other electrical equipment.The trains are due for delivery in 2012-17. This is the third orderplaced within a 1998 framework agreement for 60 trainsets with25 and 15 trainsets ordered in 2002 and 2007, respectively.

(1 Euro [EUR] = 1.4912 USD)

Volvo introduces alcolock system for busesSweden-based bus manufacturer, Volvo Buses, has deployed anew alcolock system for buses, which locks a vehicle’s brakes ifthe driver is under the influence of alcohol. The upper limit foralcohol concentration in the blood is 0.2.

The bus will also not operate if the driver does not perform abreath test. Many bus operators have deployed the system toincrease passenger safety.

Volvo Buses’ alcolock system comprises a handheld unitconnected to the dashboard display where information aboutthe bus is shown and the driver can see the test resultsimmediately. The company held the first demonstration of itsalcolock system for heavy vehicles in 2007.

Alstom and Ansaldo win ERTMS contract from TrenitaliaItaly-based rail operator Trenitalia has granted a EUR25 millioncontract to France-based Alstom and Italy-based Ansaldo tomaintain the European Railway Traffic Management System(ERTMS) for its 31 high-speed trains. The fleet is in use on thenew Milan-Naples and Torino-Venice high-speed rail lines.

Alstom’s share in the contract is EUR13 million and involvesthe diagnostic, monitoring, assistance and on-site maintenanceof the equipment.

(1 Euro [EUR] = 1.4912 USD)

Company News


Alstom receives trainset contract from SNCFFrance National Railways, Société Nationale des Chemins de ferfrançais, (SNCF) has granted a EUR7 billion contract to France-based transport equipment manufacturer, Alstom for supplyingup to 1,000 low-floor trainsets to operate regional services forthe Association des Régions de France, a consortium of regionalauthorities.

The orders are confirmed for 100 trains which, valued atEUR800 million, are due to be delivered from 2013. Further ordersfor 35 sets are expected shortly and discussions have started foranother 20.

Of the first 135 trains, 25 are destined for Midi-Pyrénées, 22for Alsace and 22 for Aquitaine. Basse-Normandie is taking 18,Picardie 17, Pays-de-la-Loire 15, Haute-Normandie eight andLorraine eight. Alstom will provide its TER trainsets, which aredesignated Coradia Polyvalent. The base design comprises adual-voltage EMU for 1’”5 kV DC and 25 kV 50 Hz operation.

Meanwhile, in a recent development, Alstom has beeneliminated from the final stage of bidding for the UKDepartment for Transport’s order for a new fleet of Thameslinkelectric multiple units (EMUs).

Alstom last supplied EMUs to UK operators during the firstround of orders following privatisation and had been seekingto re-enter this sector. Bombardier and Siemens are still in therunning for the Thameslink project.

(1 Euro [EUR] = 1.4871 USD)

Mantena wins train maintenance contract from AlstomFrance-based transport equipment manufacturer, Alstom hasgranted a 7-year EUR22 million contract to Norway-based firmMantena for maintaining the 49 Coradia Nordic trains that it isbuilding for Sweden’s Scania region public transport authority.

Mantena will provide the necessary spare parts for fleetmaintenance as well as keep track of the replacement parts whichwill be needed. It will also manage the spare parts storehouseand provide local technical support. Alstom will start deliveringthe trains in November 2009.

(1 Euro [EUR] = 1.4871 USD)


On Track Innovations wins smart card contract from DiGiCoreSouth Africa-based DigiCore has granted a contract to Israel-based On Track Innovations (OTI) for supplying smart-card read-ers for a contactless fare system on South Africa’s rail system.OTI will integrate its C-track-based fare validators with OTI’sSaturn 6500 readers.

The reloadable and EMV-compliant pre-paid cards willallow passengers to use contactless transactions in accordancewith the rules of card associations and the South AfricanNational Department of Transport.

OTI will initially supply 4,000 readers for use on thecountry’s rail and bus networks, with an option for more readersin the future.

Alstom looks to ramp up business in the Middle EastFrance-based engineering firm, Alstom is firming up plans toboost its business in the Middle East by negotiating for a five-year contract to maintain a USD809 million tram system in Dubai.This is in addition to being close to signing a high-speed railproject deal in Morocco. Alstom is also looking to win a tenderfor a multi-billion dollar high speed rail linking Jeddah withMecca and Medina in Saudi Arabia.

In June 2008, a consortium including Alstom won thecontract to build the first phase of Dubai’s tram system. Thetram, to be finished by 2012, will link to the Emirate’s metro,which opened in September 2009.

du implements wi-fi broadband services on Dubai metro trainsand stationsUAE-based integrated telecom service provider, du, has launchedwi-fi broadband services on Dubai metro trains and stations inconjunction with RTA. du has also solidified its 2G and 3G mo-bile coverage at all Dubai metro stations and along the entireRed Line.

Voith Turbo to deliver cooling systems for Saudi Arabian trainsSpanish transport equipment manufacturer, Construcciones yAuxiliar de Ferrocarriles (CAF), has granted a contract to VoithTurbo for supplying cooling systems for Saudi Arabian trains.CAF is presently working on a project involving construction ofsix-car diesel-electric trains for the Saudi Arabian rail network.The cooling systems are slated to be delivered by May 2010.

The cooling systems will be a combination of a compactlyinstalled roof-mounted cooling system for the diesel engine anda roof-cooling tower for the inverter. This is required as trainsin Saudi Arabia will run through the desert under extremeconditions.

In July 2008, CAF had signed a EUR104.9 million contractto supply Saudi Railways Organisation with eight 200 km/hrpassenger trainsets fitted with diesel-electric drive systems. Thepower cars of the trains will have two diesel engines, each ratedat 1,800kW.

(1 Euro [EUR] = 1.4872 USD)

CCECC receives rail construction contract from governmentThe Nigerian Ministry of Transport has awarded a USD875 mil-lion contract to China Civil and Engineering Construction Cor-poration (CCECC) for reinstating the Abuja-Kaduna rail system.The railway is designated to have nine stations and 18 bridges.This constitutes the first phase of the Nigerian RailwayModernisation Project and is expected to be completed and op-erational by the end of 2012.

The second phase of the project involves building the Lagos-Ibadan railway system, for which the tender is likely to belaunched soon. The Nigerian Railway Modernisation Projectwas earlier estimated to cost USD8.3 billion, but the governmentis likely to review this. There are also many issues related toinconsistencies in government policies. The Nigeriangovernment aims to provide a seamless train network in thecountry according to its Vision 2020.


Tenders & Contracts

NORTH AMERICA

Consultancy and design for VRE extensionCountry: USAOrganisation: Virginia Railway Express (VRE)Description/Scope of Work: Requests for proposal (RfP) areinvited from qualified engineering consultancy firms forpreparation of a National Environmental Policy Act draftdocument and preliminary engineering designs for an extensionof the VRE service. The extension would entail construction of17.7 km of new track and improvement of existing track betweenNorfolk Southern Corporation B Line in Manassas city to theHaymarket area of Prince William County, Virginia. The RfP hasbeen available since October 21, 2009. International competitivebidding will be used.Closing date: November 30, 2009 (10 am)Contact: 1500 King Street, Suite 202Alexandria,VA 22314-2730Phone: +1 703 8385427Fax: +1 703 8385427Email: [email protected]: http://www.vre.org/about/procurement.htm

Preparing a transit oriented development plan for PortlandCountry: USAOrganisation: METRODescription/Scope of Work: Request for proposals are invitedthrough international competitive bidding from consultants forpreparing a Transit Oriented Development (TOD) Strategic Planfor Portland. The Metro TOD implementation programmestrategic plan are outlined in the tender document and the outlineis expected to be refined by the bidders. Further, subtaskdeliverables can be added or redistributed between Metro andthe winning consultant team to meet the project budget.Closing date: November 12, 2009 (3 pm)Contact: 600 NE Grand Ave. Portland,OR 97232-2736 (503) 797-1700, USPhone: +1 503 797 1700Fax: +1 503 797 1797Email: [email protected]: www.oregonmetro.gov/rtp

Consultation study for electrification of GO Transit servicesCountry: CanadaOrganisation: MetrolinxDescription/Scope of Work: Request for proposals are invitedfrom consultants for a consultation study on electrification ofthe GO Transit rail services system. The study will evaluate theeconomic, social, environmental, operational, health andtechnological costs and benefit factors for conventional and futurediesel and electric technologies. Only sealed proposals will beaccepted, before which a mandatory information meeting willbe held at 10 am on October 30, 3009.Closing date: November 19, 2009 (3 pm)Contact: GO Transit, 20 Bay Street, Suite 600 Toronto,Ontario, M5J 2W3, CanadaPhone: +1 416 874 5900Fax: +1 416 874 5901Email: [email protected] Website: www.metrolinx.com

LATIN AMERICA

Updating urban transportation master plan in Rio de JaneiroCountry: BrazilOrganisation: Companhia Estadual De Engenharia DeTransportes E Logistica (CENTRAL)Description/Scope of Work: Expressions of interest are invitedvia international competitive bidding for updating the urbantransport master plan for the Rio de Janeiro Metropolitan Region.The objectives of the project include updating structural networkinformation and geo-referenced database, re-evaluation of pdtuzoning, field surveys, trip matrices, evaluation of service quality,computational analysis model and multimodal transportationmodel, environmental impact assessment, basic networkoperation simulations, financial viability analysis, supply ofsoftware, personnel training, etc. The expressions of interest mustbe submitted in Portuguese or English. The Rio De Janeiro MassTransit Project is being funded by the World Bank.Closing date: November 11, 2009Contact: Coordenadoria Executiva de Licitacao -CELIC Av. Nossa Senhora de Copacabana 493 - 4o Andar,Sala 408 CEP 22.031-000 - Rio de Janeiro - RJ - BrasilPhone: +55 21 23339145Fax: +55 21 23339145Email: [email protected]: http://www.central.rj.gov.br/02_Bonde.htm

ASIA PACIFIC

Maintenance of old bus fleet on RapidKLCountry: MalaysiaOrganisation: Syarikat Prasarana Negara BhdDescription/Scope of Work: Open tenders from bus chassismanufacturers registered in Malaysia are invited for themanufacture, supply, delivery and maintenance of 400 units of12-metre long old diesel buses deployed in Kuala Lumpur cityunder RapidKL. The bus fleet services the Klang valley andPenang areas.Closing date: November 23, 2009 (12 pm)Contact: Jabatan Perolehan Pusat,Syarikat Prasarana Negara Berhad, B-20-1, Level 20,Menara UOA, Bangsar, No. 5,Jalan Bangsar Utama 1, 59000,Kuala Lumpur, MalaysiaPhone: +60 3 2299 1999, 603 2287 5959Fax: +60 3 2299 1919Email: [email protected]: www.prasarana.com.my

Upkeep of air system infrastructure used at train stopsCountry: AustraliaOrganisation: Rail Corporation New South Wales (RailCorp)Description/Scope of Work: International competitive bids areinvited for selecting a service provider to investigate, catalogueand map the air system infrastructure in the North Sydney,Sydenham and Eastern Suburbs Railway areas. The areas areserviced by compressed air systems used to operate train stopsthat are a part of RailCorp’s signalling network. The serviceprovider will be required to develop a strategic direction for the


Tenders & Contracts

air system that will ensure efficient delivery of its functionwithout loss of availability, as well as undertake upgrading workswhere required.Closing date: November 18, 2009 (10 am)Contact: Level 1, North Wing 477 Pitt Street,Sydney, New South Wales-2000,AustraliaPhone: +61 1300 132 136Email: [email protected]: https://tenders.nsw.gov.au/railcorp/

Design and construction of Seaford Rail ExtensionCountry: AustraliaOrganisation: Department for Transport, Energy andInfrastructure, Government of South AustraliaDescription/Scope of Work: Requests for proposals are invitedfor the design and construction of the Seaford Rail Extensionfrom Noarlunga Centre to Seaford District Centre in Walkerville.The contract will be awarded through international competitivebidding.Closing date: November 19, 2009 (2 pm)Contact: Contracting and Procurement, 3rd Floor,Room 360, 33 Warwick Street,Walkerville, AustraliaPhone: +61 8343 2022, 0401 124 854 Email: [email protected]: https://tenders.nsw.gov.au/railcorp/

Design validation of metro train carsCountry: IndiaOrganisation: Bangalore Metro Rail Corporation (BMRC)Description/Scope of Work: Domestic competitive bids areinvited for the design validation of bogie design metro cars. Thetrains will be operated on 750 V DC 3rd rail electrified tractionpower supply system on standard gauge (1,435 metres).Closing date: November 16, 2009 (3 pm)Contact: Chavan, BMRC, 3rd Floor,BMTC Complex, K.H.Road,ShantiNagar,Bangalore-560 027, IndiaPhone: +91 80 2296 9300, +91 80 2296 9301,Fax: +91 80 2296 9222Email: [email protected]: www.bmrc.co.in

Renewal works for Xinzhu stationCountry: TaiwanOrganisation: Taiwan Railway AdministrationDescription/Scope of Work: International competitive bids areinvited for planning transformation and technical works on theXinzhu station, which is part of the Taiwan High Speed Rail.Tender documents, containing details of the project, can bepurchased at a payment of TWD150.Closing date: December 29, 2009 (2 pm)Contact: Chang, Kuen-Chen,Engineering Labor Procurement Section,Department Of Procurement And Storage,Taiwan Railway Adminstration, No.3,Beiping W. Road., Jhongjheng District,Taipei City 100,Taiwan (Republic of China)

Phone: +886 2 2381 5226 Extn: 49030Website: http://www.railway.gov.tw/en/index/index.aspx

Supply of shock absorbersCountry: SingaporeOrganisation: Singapore Mass Rapid Transit (SMRT)Corporation LimitedDescription/Scope of Work: International competitive bids areinvited for the supply and delivery of vertical and horizontalshock absorbers for use on SMRT trains. The tender documentprice is set at SGD26.75 per setClosing date: December 1, 2009 (10.30 am).Contact: Cheng Kian Tiong,Central Supplies Department, Bishan Depot,Admin Building (Level 2),300 Bishan Road, Singapore 579828.Phone: +65 54 81380Email: [email protected]: www.smrt.com.sg/

EUROPE

Supply of railway rolling stockCountry: AustriaOrganisation: ÖBB Personenverkehr AGDescription/Scope of Work: International competitive bids areinvited for the supply of electric multiple units for rolling stockon the local and regional rail networks on the routes of DB NetzAG and ÖBB Infrastructure AG. The trains must have a maximumspeed of 160 km per hour and individually identifiable features.The contract order includes engineering, testing and reports forthe trains and documentation for approval and start-up inGermany and Austria.Closing date: November 16, 2009 (1 pm)Contact: Herrn Ing. Johann WernhartWagramer Strasse 17-19 A-1220Vienna, Austria Phone: :+43 6646170248Fax: +43 19300025471Email: [email protected]: http://www.oebb.at

Invitation to tender for railway construction workCountry: PolandOrganisation: PKP Polskie Linie KolejoweDescription/Scope of Work: Contract notices are invited to tenderfor construction work for railways through internationalcompetitive bidding. The work involves site preparation, civilengineering, building construction, construction work forpipelines, communication and power lines for highways, roads,airfields and railways, flatwork, building installation, buildingcompletion, and hiring construction and civil engineeringmachinery and equipment with operator. The bids for whichcontract notices are invited will be opened on November 30, 2009.Closing date: November 30, 2009Contact: Katarzyna Pastenaci,PKP Polskie Linie Kolejowe S.A., Ul.Targowa 74, PL-03-734Warszawa, PolandPhone: +48 2 24732482


Tenders & Contracts

Fax: +48 2 24732404 Email: [email protected]: www.plk-sa.pl

Refurbishment of passenger railway coachesCountry: PolandOrganisation: “PKP Intercity” SADescription/Scope of Work: International competitive bids areinvited for the repair and refurbishment of 27 passenger coachesfor long-distance inter-city passenger railways. This includesthree lots, namely, the repair of two YB SPOT type coaches, eight111-A SPOT inv type coaches and 17 111-A SPOT type of coaches.The contract is covered by the General Procurement Agreement(GPA). The duration of the contract is six months from the dateof the award. Tender deposits for the three lots has been set atPLN5,200, PLN 20,800 and PLN 44,200 respectively. Theperformance guarantee is 3 per cent of the final contract value.An electronic auction will be held. Tenders are to be submittedin Polish.Closing date: November 27, 2009 (10.30 am)Contact 1: Zbigniew dark, “PKP Intercity” SA,PKP Intercity SA Office of Tabor,ul. Ch opickiego 50, bud. 03, def. 01, PL-02-021Warsaw, PolandContact 2:“PKP Intercity” SA,PKP Intercity SA Office of Tabor,ul. Grójecka 17, 02-275Warsaw, PolandPhone: +40 213 19 24 28Fax: +40 213 19 24 28Email: [email protected] Website: www.intercity.pl

Supply of rails and accessoriesCountry: BelgiumOrganisation: Infrabel LimitedDescription/Scope of Work: International competitive bids areinvited for the supply of rails and accessories for the Belgianrailway network.Closing date: November 23, 2009Contact: Christian DevalleRue Bara,110, Achats I-SG 612,section 81B-1070, Brussels, BelgiumPhone: +48 2 24732482Fax: +48 2 24732404 Email: [email protected]: www.infrabel.be

Track construction worksCountry: NorwayOrganisation: KollektivtransportproduksjonDescription/Scope of Work: International competitive bids areinvited for track construction works for upgrading of the Kolsasline in Akershus County. The work includes:• Track work for underground trains on the Lysakerelva/Lilleaker-Bekkestua section and/or Bekkestua-Gj0nnes section(total length of 7.06 km with 18 switches).• Contact line system for tram on the Lilleaker-Bekkestuasection covering a total length of 5.6 km• Conductor rail system for underground trains covering a tracklength of 6 km.

The total value of the contracts is between NOK70 million and80 million. The work is scheduled to begin in March-April 2010.Expected time of construction is 13 months. Switches, drivingmachines and concrete ground beams will be provided by theawarding authoritiy while the remaining raw materials must beprocured by the contractor.Closing date: November 16, 2009 (12 pm).Contact: Erling Kittelsen kernveien,9Pb 2857, T0yen N-0608 Oslo,NorwayPhone: +47 2208 4000Fax: +47 22084215Email: [email protected]: www.ktpas.no

Reconditioning of passenger coachesCountry: RomaniaOrganisation: S.N.T.F.C. CFR Calatori S.ADescription/Scope of Work: International competitive bids areinvited for the provision of railway carriages to the state-ownedrailway. The contract works must be completed within four yearsof signing the contract. The estimated value of the contract is inthe range of RON4.95 million to RON1 billion. While the tenderdocument is available at no cost, the tender security has been setat RON5 million. Performance guarantee has been set at 5 percent of the total contract value.Closing date: November 30, 2009Contact: Mariana Nica,38, Dinicu Golescu Boulevard,Sector 1, 010867-Bucharest,RomaniaPhone: +40 213 19 24 28Fax: +40 213 19 24 28Email: [email protected] Website: http://www.cfrcalatori.ro/

Operationo f urban transport networkCountry: FranceOrganisation: Syndicat Mixte des Transports du DouaisisDescription/Scope of Work: International competitive bids areinvited to operate one or more lots of the urban transport networkin Douai. Applications may be made for one or more lots asfollows:Lot No. 1: Line 7 (Raimbeaucourt – Douai) valued at EUR385,000per year excluding value added tax (VAT)Lot No. 2: Line 11 (Douai - sin Noble) valued at EUR470,000 peryear excluding VATLot No. 3: Line 12 (Pecquencourt – Guesnain) valued atEUR350,000 per year excluding VATThe criteria of selection will be the most economic tender. Theduration of service contract on each of the lots will be 36 monthsfrom the award of contract. There is an early benefit expected forthe operator on each of the lots from January 4, 2010.The overall delay of payment may not exceed 40 days under theprovisions of Article 98 of the Public Procurement Code.Closing date: November 16, 2009Contact: President, Syndicat Mixte des Transports du Douaisis,Department of Contracts (service procurement),395 Boulevard Pasteur,F-59287 Guesnain, FrancePhone: +33 3 27991999


Tenders & Contracts

Email: [email protected]: https://marches.rvvn.org/

Supply of contactless readers and framework agreementCountry: FranceOrganisation: Régie Autonome des Transports Parisiens (RATP)Description/Scope of Work: International competitive bids areinvited for the supply of contactless readers and conclusion offramework agreement with several operators for deploying thereaders at RER and Metro stations. The framework agreementwill be valid up to a period of 84 months. The contract is availablein lots including a confirmed bracket and two conditional slices.

The confirmed bracket includes the study of the integrationof the contactless reader, realisation of one prototype contactlessreader, the provision of a pilot series of 50 contactless readersand providing 350 contactless readers. The first conditionalbranch involves the supply of a minimum of 100 additionalcontactless readers and a maximum of 200 additional contactlessreaders.

The second conditional branch also involves the provision ofminimum 100 and maximum 200 contactless readers. Theadditional contracts may be concluded without competition. Thecontract will be awarded to the most economically advantageoustender in terms of the criteria stated in the tender invitation.

The contactless readers are intended to equip the stationsand trains with devices providing electronic reading of data inthe badges of officers of the RATP (Calypso products). Thecontactless readers should meet standards ISO 14443 Type B andB for non-contact rail standards NF EN 50-155 and IEC 61373.Closing date: November 30, 2009 (12 pm)Contact: Philippe Nicora, RATP,Department of Engineering Support Group,Central IV, Suite 708, LAKE C240 1,avenue Montaigne,F-93192 Noisy Le Grand Cedex, FrancePhone: +33 158786063Fax: +33 158786213Email: [email protected] Website: www.ratp.fr

Qualification system for repair and maintenance of rolling stockCountry: ItalyOrganisation: Azienda Trasporti Milanesi SpADescription/Scope of Work: Competitive bids have been invitedfor participation in a qualification system to undertake a generalreview of the metro and tram carriages operated by the awardingauthority under a service contract. The tenders must meet the“specification for qualification” available on the company’swebsite. The qualification system will expire three years fromthe date of award, and companies interested in participating intenders for repair and maintenance of rolling stock under thecompany are required to be qualified by participating in thequalification system.Closing date: November 17, 2009 (1 pm)Contact: Purchasing Department,Azienda Trasporti Milanesi SpA,Viale Stelvio, 2, I-20159 Milan,ItalyPhone: +39 02 4803 8314Fax: +39 02 688 7778Website: www.atm-mi.it

Operation of bus serviceCountry: AustriaOrganisation: Wiener Linien GmbH & Co KGDescription/Scope of Work: International competitive bids areinvited in German for the operation of the bus line 16A in Vienna10, 12 and 23 districts between Hetzendorf S and Richard-Strauss-Straße under service contract. The passenger buses will beoperated on an officially licensed route.

Combined bids must be made for all the lots as a division oflots is not permitted. Additional selection criteria are availableon the website. The bidding legal entities are required to indicatethe names and professional qualifications of their staff who willbe responsible for the execution of the service. The lowest pricebid will be awarded the contract. The stipulated duration of thetender is 3 months from the date of award of the contract.Closing date: December 15, 2009 (10 am)Contact: Harald Binder,Wiener Linien GmbH & Co KG,Erdbergstraße 202,A-1031 Vienna, AustriaPhone: +43 17 909 49210Fax: +43 17 909 49109Email: [email protected]: http://wienerlinien.vemap.com

Installation and maintenance of bus real time informationsystemCountry: United KingdomOrganisation: Slough Borough CouncilDescription/Scope of Work: International competitive bids areinvited for the provision, installation and maintenance of a busreal time information system for Slough, Berkshire, England. Thework will be led by Slough Borough Council on behalf of allstakeholders. It involves the installation and maintenance ofequipment on vehicles, at control centres, remote monitoringfacilities, interfaces with signal controllers for bus priorityprovision and real-time information displays at stops/stations.

The system is expected to be capable of providing the publicwith reliable transport information and will also encompassdynamic fleet management and bus priority at designated traf-fic junctions. The system supplied should use open interfacestandards to enable interaction with other systems in adjacentareas as well as be adaptable enough to allow future expansionsto other routes.

The contract will be valid for a 5-year period where the firstyear will involve the initial purchase, the second year for purchaseand maintenance, and the final three years for maintenance only.Further, there is an option for two additional one-year extensionsfor maintenance works. The value of the contract is estimated atGBP1.6 million. Details of required guarantees will be providedin the tender document.Closing date: November 30, 2009Contact: Babar Malik,Atkins Intelligent Transport Systems,Woodcote Grove,Ashley Road,UK-Epsom KT18 5BWPhone: +44 1372756577+40 213 19 24 28Fax: +44 1372756607Email: [email protected] Website: www.atkinsglobal.com


Tenders & Contracts

Framework agreements for Nexus’ asset renewal planCountry: United KingdomOrganisation: Tyne and Wear PTE (t/a Nexus)Description/Scope of Work: International competitive bids areinvited for preparing framework agreements to facilitate the AssetRenewal Plan of Nexus which operates public transport in Tyneand Wear. Full details of the structure of the frameworks andassociated procedure will be issued in the Memorandum ofInformation that will be sent to all economic operators thatexpress interest in the procedure.

The contract involves the detailed design, supply andinstallation of permanent way, design and supply of overheadline equipment system, the detailed design and installation ofoverhead line equipment, structures, earthworks and civil works,renewal of at-grade stations, escalators, signalling andcommunications.

Renewal may include replacement of track, ballast, sub-ballast, including switches and crossings, other remedial works,refurbishment of various structures, drainage systems andearthworks across the Metro network, lighting, electrical, localcommunications and civil/architectural enhancement, etc. Theasset renewal frameworks are expected to commence duringMarch-October 2010 and operate for a period of 3 years with apossible two year extension granted at Nexus’ discretion.Closing date: November 19, 2009 (12 pm)Contact: James Allen, Tyne and Wear PTE (t/a Nexus),33, St James’ Boulevard,UK-Newcastle upon Tyne NE1 4AXPhone: +44 191 203 3333 Fax: +44 191 203 3180Email: [email protected] Website: www.nexus.org.uk

Automating tracks and switchesCountry: GermanyOrganisation: DB NETZ AG (of Deutsche Bahn AG)Description/Scope of Work: International competitive bids areinvited for railway construction works and flatworks withframework agreement for automating processes of rail tracks andswitches on the Deutsche Bahn AG network during 2010 and2011. An optional extension up to 2012 is available.Closing date: November 26, 2009 (10 am)Contact: Jacobs Kabisch, Sven, Lange-Strasse 30,Jochen, D-10243 Berlin, GermanyPhone: +49 30297-18020/46Fax: +49 30297-18009Email: [email protected] Website: http://www.deutschebahn.com/site/bahn/de/u n t e r n e h m e n / k o n z e r n p r o f i l / g e s c h a e f t s f e l d e r /dbnetze__fahrweg/db__netz__ag.html

Supply of railway signalling equipmentCountry: FinlandOrganisation: RatahallintokeskusDescription/Scope of Work: International competitive bids areinvited for railway signalling works and railway traffic controlequipment for the Helsinki railway network.Closing date: December 11, 2009 (12 pm)Contact: Maria Torttila, Ratahallintokeskus,PL 185, FIN-00101 Helsinki, FinlandPhone: +358 207515005

Email: [email protected] Website: http://www.rhk.fi

Supply of construction machinery and equipmentCountry: SloveniaOrganisation: Slovenske Zeleznice D.O.O.Description/Scope of Work: International competitive bids areinvited for the supply of construction machinery and equipmentfor Slovenian national railway. The tender is available in five lots,details of which can be seen in the tender document available atno charge. The contract value is estimated at EUR230,000 and itis scheduled to be completed by March 15, 2010.Closing date: December 14, 2009Contact: Boris Cerle, Slovenske Zeleznice D.O.O. ,Kolodvorska Street, 1000 Ljubljana, SloveniaPhone: +386 1 291 45 32Fax: +386 1 291 48 33Email: [email protected]: http://www.slo-zeleznice.si/en/


Preliminary design of high capacity rail lineCountry: KenyaOrganisation: Kenya Railways CorporationDescription/Scope of Work: Request for proposals are invitedthrough international competitive bidding for the provision oftransaction advisory and preliminary design services for theproposed high capacity standard gauge railway line betweenMombasa and Malaba with a branch line to Kisumu. A bidders’conference will be held in Mombasa on November 19-20, 2009.Closing date: January 30, 2010 (10 am)Contact: Kenya Railways Corporation , The Procurement andLogistics Manager, Kenya Railways Headquarters, Block D,Ground Floor, Room D1, Nairobi, KENYAKenya Railways Corporation, Workshop Road,Off Halle Selassie Avenue,Opposite Kenya Polytechnic University,P.O.Box 30121 – 00100, Nairobi, KenyaPhone: +254 020 2215211, 2215796, 072860358Fax: +967 200200Email: [email protected]: http://www.krc.co.ke

Consultancy for railway network constructionCountry: YemenOrganisation: Ministry of TransportDescription/Scope of Work: Prequalification bids are invitedthrough international competitive bidding for providingconsultancy services to prepare the tender documents forconstructing a railway network in the Republic of Yemen. Anumber of investment projects are to be designed under theconsultancy.Closing date: December 12, 2009Contact: Ministry of Transport, P.O. Box 2781, Sana’a, YemenPhone: +967 200200Fax: +967 200200Email: [email protected]: http://www.yms.gov.ye

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Global Mass Transit keeps you informed on all the key developments, trends, and issues in the sector. It tracks majorprojects, contracts, and investments. It profiles leading mass transit authorities/operators and discusses their strategies. Itreports on regulatory initiatives and examines their implementation. It provides the latest available data and statistics. It alsofeatures the views and perspectives of experts and top industry players.

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NOVEMBER 2009 VOLUME I, ISSUE 1 Global Mass Transit Report The Oyster card is based on the...

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