16/12/2021 - 15:46

Extra $600m for Metronet

16/12/2021 - 15:46

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The state government has revealed big cost increases on three Metronet rail projects while also announcing consortiums led by Acciona and Laing O’Rourke as preferred contractors.

Extra $600m for Metronet
Three rail projects will cost an extra $600 million.

The state government has revealed big cost increases on three Metronet rail projects while also announcing consortiums led by ACCIONA and Laing O'Rourke as preferred contractors.

A consortium comprising ACCIONA, BMD Constructions, WSP and AECOM has been named as preferred proponent for the Victoria Park-Canning Level Crossing Removal project.

This involves replacement of the existing Armadale line with elevated rail, allowing for the removal of five level crossings in the suburbs of Victoria Park and Cannington.

A separate consortium comprising Laing O’Rourke, Pritchard Francis Consulting and Kellogg Brown & Root (KBR) has been selected for the Byford Rail Extension.

This includes building eight kilometres of rail line to Byford along with construction of an elevated rail line through the suburb of Armadale, allowing for the removal of three level crossings, and new stations at Armadale and Byford.

The state and federal governments said today they have allocated up to an extra $600 million to these projects along with the planned Midland station project.

They said the additional budget allocation reflects market cost pressures and project scope changes but no details were provided.

A WA government spokesperson said final costs would be released once negotiations with each consortium had been finalised.

The Byford Rail Extension was originally estimated to cost $481 million.

The scope has increased to include elevated rail and a rebuilt station at Armadale.

The Victoria Park-Canning Level Crossing Removal project – previously known as the Armadale line level crossing removal project – was originally estimated to cost $415 million.

This project has been expanded to include the removal of level crossings in Cannington and new stations at Queens Park and Cannington.

The Midland station project was originally estimated to cost $165 million.

Midland Junction Alliance, comprising McConnell Dowell Constructors, Georgiou Group, Arcadis Australia and BG&E, was named earlier this year as the preferred proponent to design and construct the new station.

Collectively, the three projects were originally expected to cost $1.06 billion.

The scope increases and general cost pressures will see that figure increase by up to 56 per cent, based on the extra $600 million allocated.

The government said negotiations with the preferred proponents will commence to finalise the detailed scope and cost of each project, before the signing of Alliance contracts in coming months.

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

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