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Gautrain rolling stock procurement programme, South Africa

28th October 2016

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

  

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Name of the Project
Gautrain rolling stock procurement programme.

Location
Gauteng, South Africa.

Client
Gautrain Management Agency (GMA), an agency of government.
The Gautrain is operated by the Bombela Concession Company (BCC).

Project Description
The project involves the acquisition of 12 new trains of four cars each for the Gautrain.

The contract includes the design, manufacture, supply and maintenance of the new rolling stock, depot extensions to accommodate the new trains, signalling upgrades, as well as the construction of pocket tracks on the 82 km system for maintenance equipment and the parking of broken-down trains.

The new trains will not have to come from the same family, but will have to operate successfully under similar conditions.

Jobs to be Created
The project is expected to sustain 10 000 jobs in Gauteng.

Value
The price tag on the trains, the depots and track expansions is expected to be about R2.5-billion to R3-billion, although the weak rand could push prices higher.

The Gauteng Provincial Government (GPG) will pay for the rolling stock and has secured a loan from the Development Bank of Southern Africa for the acquisition.

It is, however, amenable to alternative funding options as presented by the successful bidder.

Duration
The new rolling stock should enter operation in 2018.

Latest Developments
The Gauteng government has shortlisted three bidders to supply 12 new trains of four coaches each to the Gautrain rail link.

The rail system currently operates 96 coaches, with train configurations of either four or eight coaches, depending on time-of-day demand.

Gauteng Roads and Transport MEC Dr Ismail Vadi has said that plans are at “an advanced stage” to acquire 12 new trains for the Gautrain system.

“This is due to passenger demand that is exceeding realistic expectations, particularly during peak hours.
 
“The acquisition of 12 new trains over the next 36 months will help to alleviate congestion that Gautrain passengers experience in the morning and evening peaks.”
 
The Gauteng government received several proposals in March from potential train manufacturing companies.

The three successful prequalified bidders for the new rolling stock project are Bombardier Transportation, CRRC E-Loco Supply and Egoli Rail Consortium.
 
In addition to the acquisition of more trains, the project includes the development of new depot facilities and the upgrading of the existing Gautrain signalling system.
 
GMA CEO Jack van der Merwe has said that the request for proposals will be issued later this month. 

It is projected that the final milestone – financial close – will take place towards the end of 2017. 

Vadi has said that the project was expected to have a significant and positive socioeconomic impact on the province, as the Gauteng government has insisted on at least 65% local content by the successful bidder. 

The Bidders
The Bombardier Transportation bid consists of Bombardier Transportation South Africa as the supplier, with the Strategic Partners Group (SPG) and Bombardier Transportation UK shareholders in the group to maintain the rolling stock.

Bombardier and SPG are shareholders in Bombela.

Bombardier Transportation is the rail equipment division of the Canadian firm Bombardier. It supplied the current Gautrain Electrostar rolling stock fleet.

The other two bidders have not split the rolling stock supply and maintenance portions.

The CRRC E-Loco Supply bid includes CSR Zelc (SA) and the Matsete Basadi group as shareholders.

The two companies have partnered previously to deliver electric locomotives to South African State rail freight group Transnet.

CRRC E-Loco Supply is the South African subsidiary of China’s CRRC Zhuzhou Locomotive.

The Egoli Rail Consortium consists of Alstom Southern Africa, EOH Intelligent Infrastructure and Ubumbano OpCo.

The Gibela consortium, which is supplying Metrorail with 600 new commuter trains from a factory under construction on the East Rand, is 61% held by Alstom Southern Africa and 30% by Ubumbano Rail.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Enquiries regarding the RFQ should be directed to the BCC, email tenders@bombela.com.
GMA senior executive manager communication and marketing Dr Barbara Jensen, email barbaraj@gautrain.co.za.
 

Edited by Creamer Media Reporter

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