Public transport remains high on government agenda

26 April 2016

Delays or moving targets not unique to the region

Public transport, particularly urban rail projects, remain high on the government agenda across the Middle East and North Africa (Mena) region despite lower oil revenues.

“[Lower oil revenues] may have slowed down [the pace of rail] projects, but these have not resulted in their cancellation,” Francois-Xavier Perin, RATP Dev CEO, tells MEED on the sidelines of the Mena Transport conference in Dubai.

 Francois Xavier Perin

Francois Xavier Perin

Francois Xavier Perin

The executive cited that delays or moving targets are not unique in the region’s rail sector. Completion date for Paris’ $30bn driverless metro project, for example, has been moved from 2025 to 2030. It is understood that layers of approval are required for long-term projects that require massive commitment in terms of resources. “What is more crucial is that the government remains committed to its long-term vision of developing an integrated public transport infrastructure,” Perin says.

Perin is confident that issues related to growing road congestion in urban areas and the need to create jobs and diversify their economies will keep the region’s leaders committed to their urban rail projects.

Perin also said urban rail systems will certainly be given a higher priority compared to roads in future due to their important socio-economic contribution. “If it were to create 100,000 jobs, then a metro system will have to carry 300,000 more passengers every day…. as public transport efficiency could help fuel economic growth and vice versa.”

RATP directly employs 6,000 mostly skilled individuals across the Mena region, and this is set to increase significantly by 2018 when the SR7bn bus network in Riyadh comes online. Riyadh’s bus network project, which  was awarded to a joint venture of RATP Dev and Saudi Public Transport Company (Saptco) in 2014, will comprise 1,000 buses and is envisaged to create over 4,000 jobs.

Mass transit systems, Perin argued, are also more sustainable and efficient compared to private cars not just from an environment perspective but from a land value perspective. Growing congestion in urban areas contribute to the appreciation of land value, which means opportunities to build 4-6 lane roads in the future will be limited.

Besides operating trams and bus networks in Algeria and Morocco, RATP Dev will be operating the tramway at Qatar’s Education City.

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