Canberra Metro, which was selected as preferred bidder in January, comprises Pacific Partnership, John Holland and CPB Contractors, Australia; Mitsubishi Corporation and The Bank of Tokyo-Mitsubishi UFJ, Japan; Aberdeen Infrastructure Investments, Britain; CAF, Spain, which will supply 14 33m-long five-section Urbos low-floor LRVs, and DB Engineering & Consulting, a subsidiary of German Rail (DB), which will operate and maintain the line for 20 years.
Act says the capital cost of $A 710m is "much less than the cost originally estimated in the business case for the project." Act also says the cost will be finalised when financial close for the project is reached in the coming weeks.
Act will make a capital contribution of $A 375m towards the project in 2018-19, while the Australian government will contribute $A 67m.
Act will make annual availability payments to Canberra Metro covering operating costs, such as electricity, drivers' pay and maintenance, as well as construction costs, of around $A 48m in the first year of operation rising to $A 75m for the final year in 2038. This works out to an average annual payment of $A 64m, which Act says represents less than 1% of its annual spending.
Construction is expected to be completed in late 2018 with a view to opening the new line in early 2019.