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Metro Tunnel

Project delivery

The Metro Tunnel is a major enhancement to Melbourne's rail network and will need to integrate with the existing system. A procurement and delivery strategy has been developed to respond to the unique challenges this poses.

The proposed delivery strategy was validated with the market as part of a market sounding process. We have invited tenders and service providers to express interest in delivering the following scope elements of the Metro Tunnel Project.

Works package Procurement model Procurement status
Early Works
Utility service relocations and works to prepare construction sites
Managing Contractor Contract awarded to John Holland.
Tram infrastructure works Franchisee Works (Yarra Trams) To be delivered by Yarra Trams.
Construction power Utility Service Provider works Contract awarded to Beon Energy Solutions.
Tunnel and Stations
Main tunnelling works, five underground stations, station fit-out, mechanical and electrical systems and specific maintenance services for the infrastructure delivered by the package and commercial opportunities at the new stations
Availability based Public Private Partnership Bids under evaluation.
Rail Infrastructure
Works at the eastern and western portals including cut and cover tunnelling, decline structures, turn backs and local reconfiguration and realignment of existing lines
Competitive alliance Expression of Interest to be issued to market mid-2017.
Rail Systems
Rail systems design (including conventional signalling, high capacity signalling, train and power control systems and operational control systems), installation works, rail systems integration and commissioning
Competitive alliance Bids under evaluation.
Wider Network Enhancements
Proposed to include works which are required across the wider network including track modifications, station upgrades and signalling system upgrades
Case by case Market engagement to be developed case by case.

Early Works

Service relocations and construction preparation

An initial program of works including protection and relocation of utility services such as gas, sewer and water mains, demolition and road, bicycle and footpath changes will be delivered under the Early Works Managing Contractor contract.

A Managing Contractor procurement model involves the client engaging a supplier (the Managing Contractor – John Holland) through a competitive tendering process to manage the development of design, construction documentation and manage construction works on its behalf.

Tram infrastructure works

Works on tram infrastructure will be undertaken by Yarra Trams (under the existing tram franchisee agreement). This includes:

  • new tram tracks and tram stops on Toorak Road West and St Kilda Road to enable the diversion of the Route 58 tram around the Domain station area during construction
  • a new tram stop on Park Street, South Melbourne (west of Wells Street) to enable passengers to move safely and efficiently by tram when the Domain tram interchange is temporarily removed for construction of Domain station.

Construction power

The supply of construction power was procured through the relevant utility service providers in early 2017 and will be delivered by Beon Energy Solutions. These works include:

  • construction of two temporary power substations – one in rail land in Arden and one at Edmund Herring Oval in Domain – to provide power to the tunnel boring machines that will build the new rail tunnels.

Tunnel and Stations

A multi-billion dollar availability based Public Private Partnership (PPP) will include design and construction of the twin nine-kilometre tunnels and five underground stations, private finance and the provision of maintenance and other services during the operating term.

Three consortia have been shortlisted for the PPP:

  • Continuum Victoria – comprising ACCIONA Infrastructure, Ferrovial Agroman, Honeywell, Downer EDI and Plenary Origination
  • Cross Yarra Partnership – comprising Lendlease Engineering, John Holland, Bouygues Construction and Capella Capital
  • Moving Melbourne Together – comprising Pacific Partnerships, CPB Contractors, Ghella, Salini Impregilo, Serco and Macquarie Capital

A partnership with the private sector will help to drive innovation, best practice and value for money on the project. In an 'availability PPP' the State Government provides regular payments to the private party for making the asset 'available' for use. For this package, that will mean making the tunnel and stations available for public transport operations and Victorians to use.

Independent Reviewer

Melbourne Metro Rail Authority is looking for an Independent Reviewer for the Metro Tunnel - Tunnel and Stations PPP. The engagement of an appropriately qualified Independent Reviewer is critical to the successful delivery of the Metro Tunnel Project.

Rail Systems

The Rail Systems and Rail Infrastructure packages will be procured through separate competitive alliance processes in which direct price competition will be assessed along with non-priced criteria. The membership of both alliances will generally be comprised of the State, rail operators and constructors and will work as an integrated, collaborative team to deal with key project delivery matters in good faith, act with integrity and make best-for-project decisions.

The Rail Systems Alliance (RSA) will include the design, supply, installation, testing, integration and commissioning activities in relation to train and power control systems, operational control systems, conventional and high capacity signalling.

Two consortia have been shortlisted for the RSA contract:

  • A consortium comprising CPB Contractors and Bombardier Transportation.
  • The MetroConnect consortium comprising John Holland, Siemens and UGL.

Rail Infrastructure

The Rail Infrastructure Alliance (RIA) will include works at the eastern and western portals including cut and cover tunnelling, decline structures and local reconfiguration and realignment of existing lines. The EOI for the RIA contract is expected to be released mid-2017.