Amman makes tentative steps on transport projects

15 March 2012

Consultancy work likely to result in renewed investment in infrastructure schemes

Jordan’s Transport Ministry issued two major tenders on 8 March after more than a year of delays in the progress of its transport projects.

The Transport Ministry invited companies to submit bids by 2 April for two contracts. The first covers the provision of consultancy services for the development of a long-term national transport strategy for Jordan. The second invites companies to bid for a deal providing consultancy services for a plan to build dry ports and logistics centres across the country.

Jordan transport projects, by status
($m)
Design10,670
Execution1,498
On hold250
Study160
Source: MEED Projects

If the studies are successfully completed and progress to construction stage, it will be a significant achievement for Amman, which has struggled with financing issues and delays. Perhaps taking inspiration from Iraq’s recent call for bids to develop its own transport masterplan, Amman now seeks to make progress on its own transport and infrastructure plans.

According to regional projects tracker MEED Projects, there is more than $13bn-worth of transport projects either planned or under way in Jordan to date. Of the total amount of transport projects, about $10bn-worth are in the design stage and $800m-worth are on hold. MEED Projects also says that more than $9bn of the total covers rail projects, about $2bn is set aside for airport projects and the remaining $1.4bn covers port infrastructure and road projects.

Some of the major projects that have been planned for some time are the $4.3bn national freight railway which Amman hopes to start constructing in 2012. One key project that has seen significant delay is the Amman-Zarqa light-railway network. Planned as a public-private partnership (PPP) project in 2008, Jordan has been unable to secure funding for the scheme. The Transport Ministry is now considering proceeding with the project as a much-cheaper bus rapid transit system.

The ministry is also still deciding whether to proceed with the planned Amman metro as a metro project or a light-rail transit (LRT). In April 2010, France’s Egis Rail won the contract that covers the feasibility study and preliminary design for the estimated $1.2bn LRT. The first phase will link downtown Raghadan to the University of Jordan street. Later phases will see the metro connected with the airport.

Although decision-making has slowed key projects, some schemes are moving ahead. The expansion of the Queen Alia International airport in Amman show that Jordan is capable of successfully carrying out projects using the PPP model. The expansion is being carried out by the Airport International Group (AIG), which won the build, operate, transfer (BOT) contract in 2007. The first phase, which involves the construction of a second passenger terminal will be completed in mid-2013.

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