PROMISING GROWTH Africa will be a significant contributor to Alstom's revenue
Africa is quickly becoming one of French transport company Alstom Tranport’s key focus areas, with the company registering 20% growth in the Middle East and Africa (MEA) region over the past two years.
There has also been an average yearly order value of €8-billion since 2011 in the region. “The MEA is becoming a large area of turnover for Alstom, and currently makes up about one-fifth of the company’s global revenue,” Alstom Transport MEA senior VP Gian-Luca Erbacci told Engineering News Online.
Speaking at the biennial InnoTrans railway fair, in Berlin, Germany, Erbacci noted that the R51-billion contract with Passenger Rail Association of South Africa “is just the beginning. We will work from the south of Africa to the north of Africa, [and vice versa] to become a local presence in all the countries on the continent,” he said.
Erbacci noted that the growth was because of the rapid development in Africa, which was taking place at a rate much faster than that of Europe. “As cities grow, owing to population growth, urban transport solutions are becoming more important. Public transport will eliminate traffic jams and pollution while improving commuter quality of life. Railway transport is also a better option than buses, for example, as buses are designed for low-capacity transport, while trams and railways can carry more people. This makes railway more popular and viable,” he noted.
In July, the company signed a €750-million contract with Qatar Railways Company to supply a turnkey tramway system for a four-line tram network in Lusail, Qatar. The network – covering 33 km, of which 7 km will be underground – will cross the city and will also include 37 stations. The system is expected to enter commercial service in 2018.
Further, Alstom Transport has also built a factory in Algeria, which is building trains for 12 countries. It has also received contracts for regional trains and signaling from Algeria, Tunisia and Egypt.
“Angola and Mozambique are our next targets,” Erbacci concluded.