The Queensland Government has chosen its preferred consortia for two major packages of its $5.4 billion Cross River Rail Project, as well as its European Train Control System.
The successful consortia were as follows:
Tunnel, Stations and Development (TSD) public-private partnership
Preferred – Pulse
A CIMIC Group-led consortium, including Pacific Partnerships, CPB Contractors, UGL, BAM, Ghella and DIF
Rail, Integration and Systems (RIS) alliance
Preferred – Unity Alliance
Including CPB Contractors, UGL, Jacobs, AECOM
European Train Control System
Preferred – Hitachi Rail STS
CIMIC Group emerges as a big winner
The CIMIC Group said the Pulse consortium will deliver tunnelling works, new underground stations and ongoing maintenance services for the project.
CIMIC Group has led the development of Pulse’s proposal. Pacific Partnerships is the lead sponsor and will provide 49 per cent of the equity finance, with 51 per cent to be provided by DIF, BAM PPP PGGM and Ghella Investments & Partnerships.
CPB Contractors will deliver the design and construction in a joint venture with Ghella and BAM International with UGL delivering the mechanical and electrical (M&E) works. UGL will also provide maintenance services for the project over 24 years.
Revenue to the CIMIC Group companies will be approximately half of the project value and will be finalised at contract execution which will occur mid-2019.
RIS crucial for integrating the Cross-River Rail
The RIS package will provide critical operational, signalling and other support systems for the new 10.2km Cross River Rail link.
Crucial to the overall delivery of the Cross River Rail Project, it will deliver the design, supply and installation of the supporting rail systems and brownfield works to integrate Cross River Rail into the wider Queensland Rail train network.
The package includes:
- An upgrade of the existing Exhibition Station
- Augmentation of Mayne Yard
- Rail operational systems, signalling and telecommunication works across the Cross River Rail Project
- Revenue to the Alliance will be confirmed at contract execution
CIMIC Group said, “Queensland’s landmark Cross River Rail project will reinforce CIMIC Group’s reputation as Australia’s leading rail provider.
“CPB Contractors and UGL will leverage their strong experience to ensure seamless delivery of the essential support works and systems to facilitate the operation of Cross River Rail.”
UGL Managing Director, Jason Spears, said the award of the RIS Alliance partnership continues UGL’s involvement in collaborative relationships with its key clients.
“On RIS we look forward to delivering a fully integrated solution on this complex major rail project for the Queensland Government. UGL welcomes the opportunity to work with the Cross River Rail Delivery Authority and Queensland Rail,” Mr Spears said.
CPB Contractors said, “CPB Contractors is proud to continue our long history of delivering rail infrastructure in Queensland rail by adding this landmark project to our current portfolio of major rail projects in Victoria and New South Wales.”
A major economic impact
Collectively, these investment decisions mark a major milestone for the project and the Delivery Authority and its specialist advisors should be congratulated on advancing procurement to this stage.
IAQ’s Chief Executive Officer, Steve Abson, noted that a project of this scale will have a significant impact on the economy, with spending in the construction and operating phases generating income and employment for hundreds of Queenslanders.
“Organisations in the preferred consortia have a track record of delivering complex rail and transport projects and have the know-how to leverage local content. We expect the benefits of the project will flow to many local suppliers and businesses throughout Queensland.”
While the project is scheduled for opening in 2024, Mr Abson noted the ramp up in effort needed to bring the project ‘on-line’ into the Queensland Rail network has already begun.
Lessons learned from similar complex projects around the world show that operational readiness has to start early.
“Operational readiness doesn’t grab the headlines like a huge tunnel boring machine does, but it’s perhaps the most crucial aspect of any mega project being spliced into an existing busy inner-city network,” Mr Abson said.
“This activity will necessitate high levels of collaboration across government organisations such as the Delivery Authority, Queensland Rail, Transport and Main Roads and TransLink and it’s worth acknowledging the enormous effort already going on behind the scenes to get this right.”