Renewed efforts to set up GCC railway authority

11 February 2013

Approvals to be granted by 2014

There are renewed efforts to create a GCC rail authority to oversee the construction of the regional railway network.

Speaking at a conference in Dubai, Ramiz al-Assar, resident adviser at the GCC Secretariat General at the World Bank said that the approvals for the authority were likely to be given by 2014.

There has previously been much discussion surrounding the creation of an over-arching body to work on the GCC railway network, but little progress has been made.

The original plan for the GCC railway envisages a rail connection from Kuwait running along the coast connecting Saudi Arabia, the UAE, Qatar and Oman. Early estimates in 2009 suggest the project would cost $15.5bn, although this is thought to be much higher now.

Major issues that have slowed progress on the railway plans include deciding on policies surrounding customs and immigration at border crossings.

Al-Assar also recommended that the procurement process for building each national railway in each member state needs to be more “stringent”. He said that current procurement strategies have led to “significant delays and cost overruns”.

The original completion date for the GCC railway was 2018. Some GCC states are already ahead with their rail projects, while others lag behind.

The UAE’s Etihad Rail is expecting to complete the construction of the first phase of its rail network by the end of this year, whereas Oman has put the contract out to tender today.

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