By Vicky Kapur www.emirates247.com
According to the updated prospectus of the Dubai Department of Finance’s $4bn sovereign bond, following negotiations by the Roads and Transport Authority and the Dubai Rail Link Consortium (DURL Consortium), approximately Dh20bn of the estimated Dh29.6bn cost of the Dubai Metro has already been paid to date.
On top of that, approximately Dh3.77bn is being paid by the RTA to the DURL Consortium in monthly instalments of approximately Dh169mn between May 2010 and September 2011.
This adds up to Dh845mn paid in the five monthly instalments until the end of this month, in effect implying that the Dubai agency is yet to pay just Dh8.75bn, or less than 30 per cent of the total construction cost of the Metro. After these payments conclude in September next year, the DURL will be owed a little under Dh6bn.
“The balance of approximately Dh5.82bn will be paid in equal monthly instalments over a period of seven years,” reveals the prospectus that was published on the London Stock Exchange website yesterday.
“The Government of Dubai has provided a guarantee of the payment obligations of the RTA pursuant to the global settlement with the DURL Consortium,” it added.
The Dubai Metro, the total cost of which is estimated at Dh29.6 billion, was officially launched On September 9, 2009, starting with 10 stations on the Red Line.
Since its launch, through the first half of 2010 the Dubai Metro is estimated to have transported approximately 22.5 million passengers. As of data collected in July 2010 by the RTA, the Dubai Metro carries approximately 110,000 passengers a day on average.
A second line, the Green Line, is due to be completed in August 2011. Upon its completion, the aggregate length of the Red and Green lines is expected to be over 70 kilometres with 47 planned stations.
The Dubai Metro is expected to form the backbone of Dubai’s public transport network.
All main metro stations are intended to have adjacent bus stations as part of the integrated transport system, which is expected to include buses and taxis as well as water transport links at stations near the Dubai Creek.
More than 700 feeder buses are expected to be deployed to serve these metro stations.
A common fare structure applies to the Dubai Metro and buses.
The RTA has introduced an integrated card system, the Smart Card, that enables passengers to travel on trains, buses and water transport, as well as use associated parking areas.