Saturday, January 26, 2008

2 New Lines And $20b To Double Rail Network

Source : The Business Times, January 26, 2008

Current projects could also be completed earlier, greater contestability in rail industry to be introduced

The government will spend some $20 billion to build two new rail lines and a couple of extensions to double the length of Singapore's rail network by 2020.















The figure, announced by Transport Minister Raymond Lim yesterday in the second instalment of the sweeping changes arising from the land transport review, is over and above the $20 billion already committed for the ongoing Circle Line, Downtown Line and Boon Lay extension.

Two new underground MRT lines will be built to connect Marina Bay to Woodlands in the north, and Changi in the east. The 27-km long, 18-station Thomson Line will run upwards from Marina Bay through Ang Mo Kio, connecting Kim Seng, Thomson, Sin Ming and Kebun Baru - areas that do not have a direct MRT link. This is expected to be ready by 2018.

Similarly, the 21-km long, 12-station Eastern Region Line will branch out to the right - parallel to the East-West Line - and serve the residential estates of Tanjong Rhu, Marine Parade, Siglap, Bedok South and Upper East Coast. It will be completed by 2020.

In addition, the current North-South and East-West Lines will be extended. The former, which now ends at Marina Bay station, will be extended one kilometre southwards to serve upcoming developments in the area such as the new cruise terminal in Marina South.

As for the East-West Line, it will be extended by another 14 km into Tuas. Both extensions will be completed by 2015.

'Together with the rail lines now under construction, the new rail lines will double our network from today's 138 km to 278 km in 2020,' said Mr Lim. 'We expect our rail network to carry three times as many journeys, rising from today's 1.4 million a day to 4.6 million in 2020.'

The government is also speeding up construction of the Circle Line (CCL) and Downtown Line (DTL). Mr Lim said additional resources will be pumped in to bring forward the completion of DTL Stage 3 by two years - from 2018 to 2016 - so that it would be ready just a year after DTL Stage 2 is ready. DTL 3 serves Bedok Reservoir and Tampines, while DTL 2 the Bukit Timah Corridor.

CCL Stage 3, which was due to open from 2010 onwards, will now be ready in mid-2009 to benefit residents in the north and north-east areas. More CCL stations will be opened, such as the Thomson and West Coast stations. Originally, these two shell stations were to be fitted out only when they were deemed to have sufficient surrounding developments.

With these plans firmly in place, Mr Lim said new extensions or stages of new lines would open almost every other year until 2020.

The minister was speaking during a visit to the $290-million Kim Chuan Depot, an underground MRT depot that is the first of its kind in Singapore and the largest in the world. The 11-hectare, four-storey facility took five years to build. It will provide the stabling and maintenance facilities of the Circle and Downtown Lines, as well as house the two lines' operation control centre.

As for the existing rail network, Mr Lim revealed that all above-ground MRT stations will have platform screen doors installed by 2012 to curb the rising number of train track intrusions.

He also said that as the rail network is expanded, future lines would cost more to build and operate as they would mostly be underground. Mr Lim said his Transport and Finance Ministries would work together to refine the financing framework. A more holistic network approach will be taken when evaluating new MRT lines, instead of the current line or project approach.

'This would potentially enable future new lines to be implemented a few years earlier than otherwise, so long as the entire rail network remains viable,' he explained.

Greater contestability in the rail industry will be introduced as well, in order to enhance efficiency and maintain cost competitiveness.

'A key step in enhancing contestability is to have shorter operating licences, say 10 to 15 years, compared to the existing 30-year licence periods,' said Mr Lim. 'Operators will compete for the right to operate rail services. They will have to meet service obligations or risk being replaced at the end of their term.'

A senior executive at SMRT, the dominant rail operator, called the minister's remarks 'positive'.

'More rail lines is good news for everyone,' he said. 'As for competition, that is to be expected. But we believe we are well-positioned to bid for the lines because of our operation, maintenance and engineering skills. And in terms of cost management, we are already one of the most efficient in the world.'

SMRT's licence to operate the North-South and East-West Lines expires in 2028. As for the contestability policy, the Transport Ministry said this would only apply when the current licence expires. Existing contracts will be honoured and 'any changes will involve discussions with the operator'.

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