News

ARTC SIGNS $2.4B IN CONTRACTS FOR CRITICAL INLAND RAIL SECTIONS

The Inland Rail project has achieved a new milestone with the award of two major civil works contracts for critical sections of tracks in New South Wales and southern Queensland.

The Australian Rail Track Corporation (ARTC) has signed a collaborative framework agreement (CFA) with the ACACPB Joint Venture, a 50-50 joint venture formed by CPB Contractors and Acciona Construction Australia, for the planning and development of civil works between Narrabri and Narromine in northern New South Wales.

The civil works involved include approximately 306 kilometres of new track formation comprising bulk earthworks, drainage, bridge/viaduct structures, materials and logistics management. Subject to planning and environmental approvals, ARTC anticipate that construction activities on this works package will commence late 2022, worth approximately $1.2 billion.

Separately, ARTC has also signed a collaborative framework with Freight Connect – a consortium led by Laing O’Rourke and including FKG Group – for approximately 100 kilometres of civil works from Narrabri through to North Star and across the border to Whetstone in Queensland.

The section will focus on approximately 85 kilometres of existing rail corridor between North Star in New South Wales and Whetstone in Queensland as well as a separate 14 kilometre of new rail corridor south of Moree called Narrabri to North Star Phase 2. Subject to planning and environmental approvals, ARTC anticipate that construction activities on this works package will commence mid 2022, worth approximately $1.2 billion.

ARTC Inland Rail Interim Chief Executive Rebecca Pickering said the announcement was the culmination of months of work by ARTC. “We’ve already committed 641 contracts

The ARTC has awarded two major civil works contracts for critical sections of Inland Rail.

to businesses in Queensland and 657 in NSW worth more than $1.95 billion across the two states, and this agreement will create even more economic stimulus as the country recovers from the impacts of the pandemic,” she said.

Inland Rail will upgrade 1,100 kilometres of existing rail line and build 600 kilometres of new track to connect missing links between Melbourne and Brisbane. The Australian Government is investing up to $14.5 billion in equity for ARTC to build Inland Rail.

PORT OF MELBOURNE BEGINS WORK ON RAIL TRANSFORMATION PROJECT

Port of Melbourne has awarded a construction contract to Seymour Whyte Constructions to move ahead with its Port Rail Transformation Project (PRTP).

With the implementation of the PRTP, more containers will be able to be moved by rail more efficiently and will increase the overall rail terminal capacity and operations at the port.

As part of the project, a new rail terminal interfacing with the Swanson Dock East International Container Terminal will need to be developed and constructed.

The $125 million on-dock rail plan is part of the state government’s plan to improve the port’s efficiency by allowing more containers moved by rail, by-passing roads in inner Melbourne. In addition to increase existing terminal capacity, it includes a new rail terminal construction.

“Port volumes continue to grow. We are responding to that growth by developing innovative and sustainable solutions to improve rail usage at the port, and also the added benefit of increased connectivity for a more efficient and effective port supply chain,” said Brendan Bourke, Chief Executive Officer at the Port of Melbourne.

“This is an exciting and much-needed project to facilitate more freight on rail. The increased rail offering will reduce the number of trucks on the road, especially around the inner western suburbs, and will support the metropolitan port rail shuttle network.”

Port of Melbourne is Australia’s largest container and general cargo port, handling more than one-third of the nation’s container trade. Each year, the port contributes approximately $6 billion to the Victorian economy.

The port’s new rail infrastructure will include a new Coode Road rail terminal, a new road to facilitate the uninterrupted movement of containers, a new track linking the Swanson and Appleton lead tracks and upgrades to the Swanson lead track. Construction work is expected from October 2021 until 2023.

Seymour Whyte has been engaged by Port of Melbourne to develop new rail infrastructure.

RUNWAY CONSTRUCTION CONTRACT AWARDED FOR WESTERN SYDNEY INTERNATIONAL AIRPORT

CONTRACTORS ANNOUNCED FOR SYDNEY’S $1.18B WARRINGAH FREEWAY UPGRADE

Runway construction is ready to begin at the Western Sydney International Airport.

CIMIC Group company CPB Contractors, with its joint venture partner Acciona, has been selected to deliver the Western Sydney International (Nancy-Bird Walton) Airport’s airside civil and pavement works.

The design and construct contract will generate revenue of approximately $265 million to CPB Contractors.

This is the third project awarded by Western Sydney Airport to the joint venture, following the earlier award of two earthworks packages.

Scope of work for the new infrastructure package involves design and construction of the airside services and utilities, including runway and taxiway pavements, aircraft pavement markings, airside roads, surface water drainage, aeronautical ground lighting systems, airside security fence and landscaping for Western Sydney International Airport.

Construction of the 3.7-kilometre runway and rapid-exit taxiways will begin in 2022. Along with the runway and taxiways, airfield construction will include more than 40 kilometres of roads and the installation of 3000 aeronautical ground lights.

Western Sydney Airport CEO Simon Hickey said cutting-edge technologies and innovations incorporated in the airfield’s design set “a new benchmark for air travel in Australia.”

“Our airfield’s design means we’ll safely get planes in the air or to the gates faster,” Mr Hickey said.

Once complete the Western Sydney International’s runway will handle the full range of commercial aircraft, including the new generation of ultra-long-haul airliners like the A350-1000 and Boeing 777X.

It will be the only airport in Sydney equipped with a modern CAT III-B instrument landing system – that provides short-range guidance to aircraft to allow them to approach a runway at night or in bad weather.

Sustainability will be a key focus on the airfield as well as in the terminal, with the efficient design reducing fuel burn and emissions. Lighting will be LED with recycled content used where appropriate for construction.

Crushed sandstone from tunnelling projects across Sydney will be reused as a highstrength foundation to support construction of the runway, taxiways and roads.

Airfield construction is expected to create around 1,200 direct jobs and support many more indirect jobs through flow-on benefits to suppliers, subcontractors and the local economy.

Construction of the airside services will take two years. Western Sydney International is on track to open to international, domestic and air cargo services in late 2026.

A joint venture between CIMIC Group company CPB Contractors and Downer has been selected by the New South Wales Government to deliver the Warringah Freeway Upgrade in North Sydney.

The $1.18 billion design and construction contract will see the Warringah Freeway extended from the northern end of the Sydney Harbour Bridge to Willoughby Road, allowing motorist to travel on a single roadway from the Northern Beaches, through the Western Harbour Tunnel and into the WestConnex roadways system.

The project involves upgrading approximately four kilometres of the Warringah Freeway and associated works, including a dedicated bus lane and active transport links for cyclists and pedestrians.

Additionally, the project will include a new northbound ramp at High Street which will ease pressure on the existing ramp at Berry Street. Connections to the future Western Harbour Tunnel and Beaches Link are also included in the scope.

New South Wales Minister for Transport and Roads Andrew Constance said the upgrade would reduce congestion and simplify the complex road corridor, which is used by up to 250,000 vehicles each day.

“This crucial upgrade will make the Warringah Freeway more efficient and reliable for the drivers who use it every day and will pave the way for the future Western Harbour Tunnel and Beaches Link,” Mr Constance said.

“More than 15,000 jobs will be created during construction of the entire Western Harbour Tunnel and Beaches Link program, with about 600 direct jobs created for the Warringah Freeway upgrade.”

The Downer and CPB Contractors Joint Venture was among the three preferred bidders for the project, with a John Holland and Seymour Whyte Joint Venture, and an ACCIONA, Fulton Hogan and Georgiou Joint Venture also competing for the project.

Early works are already underway with the main work to start early next year. Construction is expected to take approximately five years to complete, subject to the detailed design and construction program.

CPB Contractors and Downer joint venture has been selected for the project.

NSW GOVERNMENT FINALISES $11.1B WESTCONNEX DEAL

The New South Wales Government has in September finalised the sale of its remaining 49 per cent stake in WestConnex, the largest road infrastructure project currently underway in Australia.

Sydney Transport Partners (STP), an over 70 per cent Australian-owned consortium made up of Transurban, AustralianSuper, Canada Pension Plan Investment Board and Tawreed, has acquired the 49 per cent equity stake for $11.1 billion, with the acquisition taking STP’s interest in WestConnex to 100 per cent.

In 2018, STP purchased a 51 per cent stake in WestConnex for $9.26 billion. The NSW Government has now received $20.4 billion from the sale of the entire WestConnex project.

Noting that revenue from the sale of the first 51 per cent of WestConnex was used to fund the vital M4-M5 Link as well as other infrastructure throughout Western Sydney, NSW Treasurer Dominic Perrottet said the latest sale was part of the state government’s asset recycling strategy.

“This transaction continues our successful asset recycling strategy, which has been the cornerstone of our record $108.5 billion infrastructure pipeline that has built and upgraded schools, hospitals, road and rail across the State,” Mr Perrottet said.

“This sale is part of our prudent, longterm strategy to bolster the State’s finances, while also supporting the NSW economy by investing in job creating projects that will drive our COVID economic recovery.”

The NSW Government launched the sale process for its remaining 49 per cent stake in WestConnex in November 2020.

Net proceeds from the sale will be invested in the NSW Generations Fund (NGF) – the State’s sovereign wealth fund – as required by legislation – before being used to retire an equivalent amount of debt.

Transurban owns 50 per cent of STP alongside its strategically aligned partners, including new partner Caisse de dépôt et placement du Québec (CDPQ).

WestConnex is Australia’s largest toll road project. When complete in 2023, WestConnex will provide motorists with a continuous 33-kilometre traffic-light free motorway network linking Sydney’s west to Sydney CBD, Sydney Airport and Port Botany.

NEW BUS DEAL TO SUPPORT VICTORIA’S ZERO EMISSION FUTURE

As part of the Victorian State Government’s aim to transition its massive bus fleet to lowto-zero emissions, Melbourne-based Kinetic will operate a third of the metropolitan bus network from 31 January 2022, to June 2031, following its $2.3 Million franchise win from the Victorian Government.

Kinetic, which runs Skybus and local bus routes across Australasia, will introduce the 36 fully electric buses to the network by mid-2025, including five by June next year.

More than half of the franchise fleet – 341 of the 537 buses – will be replaced with low- or zero-emission vehicles over the term of the franchise. The new environmentally friendly electric and hybrid buses will be made at Volgren’s Dandenong South facility.

A minimum fleet target of 60 per cent local content will apply to the electric and hybrid buses, and Kinetic will also deliver on a local content target of 90 per cent for operations such as fuel and uniforms.

Skybus operator Kinetic will introduce 36 fully electric buses to the Melbourne metro network by mid-2025. Sydney Transport Partners now owns 100 per cent of WestConnex.

“We are jump starting our push for a zeroemissions bus fleet in Victoria to benefit the environment and help build our engineering, design and manufacturing expertise in these emerging technologies,” Victoria’s Public Transport Minister Ben Carroll said.

“The roll out of 36 electric buses early on in this partnership will accelerate our pledge for all new buses from 2025 to be zero emissions and, importantly, will contribute to the learnings of the three-year Zero Emissions Bus Project.”

In a first for a bus contract in Victoria, Kinetic has targets to increase the recruitment of women and priority job seekers such as long-term unemployed and Aboriginal and Torres Strait Islander people, and to increase spend with Aboriginal businesses and disability enterprises.

Learnings from the early introduction of electric buses will add to the findings of the state government’s three-year, $20 million Zero Emissions Bus Project which will start early next year.