SINGAPORE: The Land Transport Authority has awarded a contract for the operation of the future Jurong Region Line automated metro, but has postponed a decision on the Cross Island Line.
The Singapore One Rail joint venture of SBS Transit and RATP Dev has been selected to operate and maintain the 24 km JRL, which is under construction for opening in three stages from 2027. RATP Dev will be the first foreign company to be involved in operation of a metro line in Singapore.
The contract announced on November 28 will run for nine years, with LTA having an option for a two-year extension which would take the total value to S$750m.
Tenders to appoint the JRL and CRL operators were called in May 2023, with LTA planning to award contracts for both lines or only the JRL.
Given the ridership uncertainties in the initial years of operation for new lines, the government will take the revenue risk and fare income during the first contract term. The operator will receive a service fee with incentives and deductions based on reliability, customer satisfaction and operational and maintenance processes.
Existing metro operators SMRT Trains and SBS Transit Rail were invited to bid, with non-Singaporean firms able to participate as minority partners of less than 25%.
Submissions were evaluated for quality, and only then on price. LTA said both proposals were strong, but SRO quoted a fee about 8% lower than SMRT Trains.
SOR has committed to using advanced technologies including condition monitoring, video and data analytics and generative artificial intelligence, along with productivity initiatives. A Customer Experience Innovation Lab will be established to encourage commuters to co-create technologies and build local capabilities through workshops and hackathons.
LTA decided not to award the CRL contract, as it felt the proposals did not adequately reflect the uncertainties of operating the line when it opens from 2030.
