Concession signed for St. Petersburg tramway project
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LLC Transport Company (TCC), the consortium formed by LSR Group and CJSC Leader, has signed the contract for the reconstruction of existing tram tracks and the construction of a new express tramway system in the Krasnogvardeysky district of St. Petersburg, Russia.
In April, the St Petersburg city authority awarded to TTC the concession contract after a tender process in which the consortium was the only bidder. The contract comprises the design, build, finance, operation, and maintainance (DBFOM) of the tram network under a public private partnership (PPP) contract with a duration of 30 years.
The total investment of the project, including construction of the new tram network and its operation over the period of 30 years, stands at RUB32.7 billion (US$508 million) of which RUB8.9 billion (US$138 million) is to be invested by the sponsors of the project and RUB1.33 billion (US$20 million) to be committed by St. Petersburg Authorities.
The project involves the modernization to fast tram standards of the existing tram system as well as operation of routes from Krasnogvardeiskiy district up to the Ladozhskiy train station. The project scope also encompasses the development of a new tramway depot for servicing and layover of the rolling stock and the creation of platforms designed for facilitating quick entrance and exits by passengers on the trains.
According to sources, Sergey Okutin, the Head of TCC, said:
"We are going to carry out a complete reconstruction and raise the quality of public transportation services for those who live in the Krasnogvardeiskiy district. The tramway tracks will be made using a new noiseless technology and the trams will be able to accommodate more passengers. Overall, we expect to seriously improve transport accessibility of the Ladozhskiy train station and decrease the burden of other means of transportation."
Liniya Prava has provided legal counsel to LLC Transport Concession Company (TCC).
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