$577m contract to deliver Canberra Light Rail Stage 2A has been awarded

The Canberra Light Rail Stage 2A is moving forward with the appointment of the Canberra Metro consortium to undertake the delivery of the project. 

The consortium – comprised of CIMIC Group companies Pacific Partnerships, CPB Contractors and UGL – will finance, design, build and operate stage two of the Canberra Light Rail from the City to Commonwealth Park. 

Canberra Light Rail Stage 2A is jointly funded by the Australian and Australian Capital Territory Governments. 

“The commitment made today in signing this contract represents a significant investment in Canberra by both Governments. It is an example of how the National Capital Investment Framework will result in ongoing investment in our infrastructure,” ACT Chief Minister Andrew Barr said. 

“Canberra Light Rail’s progressive stages are modernising the city’s public transport system, connecting residential areas with employment centres and social and cultural hubs. We are proud to apply the Group’s light rail expertise to deliver a convenient and environmentally friendly transport option for Cenberrans,” CIMIC Group Executive Chairman Juan Santamaria said. 

The $577 million contract will generate revenue of approximately $227.5 million for CPB Contractors and UGL. This is the third Canberra Light Rail works package awarded to Canberra Metro. 

Canberra Metro will deliver Stage 2A under its existing public private partnership (PPP) with the Australian Capital Territory (ACT) Government. 

The consortium is currently undertaking the delivery of five additional light rail vehicles with onboard energy storage batteries for wireless operation as well as the expansion of the existing Depot. 

“Having been personally involved since the start of Stage 1, I am very pleased that our enduring partnership with the Federal and ACT Governments and Canberra Metro will continue to successfully connect Canberra. 

“Our lifecycle approach within the PPP model has proven highly successful. Canberra Metro has mobilised a sustainable finance solution, a reliable delivery contractor and the experienced operations team necessary for a long-term light rail service focused on serving community needs,” Pacific Partnerships Managing Director Simon Nicholls said. 

The PPP finance contribution for Stage 2A of the Canberra Light Rail was funded by Canberra Metro through an innovative green loan that recognises the project’s carbon reduction benefits, building on Stage 1 being operational on 100 per cent renewable electricity. 

The Canberra Light Rail Stage 2A will deliver a 1.7-kilometre extension to the light rail network from Alinga Street to Commonwealth Park, following along London Circuit West. Three stops will also be added at Edinburgh Avenue, City South and Commonwealth Park, with the Edinburgh Avenue stop anticipated to be the busiest. The new stops will enable commuters to access City West, the Australian National University (ANU) and the New Acton precinct. 

Major construction is due to commence in January 2024 and will take up to four years to complete. 

“CPB Contractors is delighted to continue our work to deliver the Canberra Light Rail, which will improve the everyday lives of residents and attract more visitors to the city. We are proud to leverage our 70-year history in delivering transformational rail projects across Australia, while we continue to ensure we are maximising training and job opportunities for local people and economic prospects for local suppliers,” CPB Contractors Managing Director Jason Spears said. 

“UGL is involved in more than 150 million passenger journeys across Australia and New Zealand each year, which will grow with the addition of Canberra Light Rail Stage 2A. 

“Canberrans have embraced Stage 1 since operations started in 2019, with a service frequency reliability of at least 99.9 per cent, delivering services every 5-6 minutes in peak and 10-15 minutes in off-peak,” UGL Managing Director Doug Moss said. 

Source: CIMIC Group; ACT Government – Light Rail to Woden (1, 2); Roads & Infrastructure Australia