Government to chip in its 50%
From the Mayoral Office Len Brown (going to be a tad odd changing that one after October 8 after six years with Mayor Len)
Historic agreement on CRL Funding
Auckland Mayor Len Brown describes today’s signing of an agreement with the government on funding for the City Rail Link (CRL) as unprecedented and an historic milestone.
“Central Government and Auckland Council are now in clear agreement that the CRL is at the heart of dealing with the city’s growth, with propelling our economy, and creating a future Aucklanders deserve.”
Today Len Brown and Transport Minister Simon Bridges signed an agreement on the contractual relationship between the parties including procurement structure and a 50/50 funding arrangement of the entire project.
This will allow the “main works” tendering process to begin and for specialist constructors to make available the people and machinery needed to build the CRL.
Features of the Heads of Agreement include:
- A 50/50 funding arrangement where Auckland Council and the Crown each pay half of the total capitalised costs of the project.
- The principals to the agreement, referred to as “sponsors”, are the Government and Auckland Council.
- The establishment of a company (City Rail Link Limited) through which the Government and Council will oversee the delivery of the project.
- Joint share in development opportunities arising from the project.
- The technical and operational aspects of project delivery are to be carried out by Auckland Transport working to the City Rail Link company.
- KiwiRail have a formal role in ensuring the CRL’s interoperability with the wider rail network and the services it provides, such as freight.
Today’s signing took place at the Victoria St underground shaft from where tunnel boring machines will start the work.
The Mayor said the CRL had been his number one priority and today’s agreement was the culmination of six years of Auckland negotiating with the government.
“Today I am very incredibly proud to stand with the Minister of Transport and together ensure this project can now proceed and be funded for the future benefit of all Aucklanders.”
The City Rail Link is New Zealand’s largest public transport project. It will more than double the number of people able to use Auckland’s rail network.
Both Len Brown and Simon Bridges, along with Prime Minister John Key and other dignitaries, had formally marked the start of the construction of the CRL with a groundbreaking ceremony at the downtown Britomart Train Station on 3 June 2016.
It is excellent to see the Government formally on board with the Heads of Agreement and a commitment to pay its 50% for the entire project. The City Rail Link would be New Zealand’s biggest infrastructure project taken to date with the project connecting Britomart to the Western Line allowing the opening up of the heavy rail network to allow it to reaches its full potential.
And by full potential I mean the Southern and Western Lines capable of running trains every five minutes in each direction while allowing for the Airport and North Shore Lines to be realised as well.
The Auckland Transport Alignment Program (ATAP) is publicly released later this afternoon and will be reported here as it comes out.