KUALA LUMPUR: The Mass Rapid Transit 3 (MRT) Circle Line is expected to cost an estimated RM31 billion in construction and another RM8.4 billion in land acquisitions.
Transport Minister Datuk Seri Dr Wee Ka Siong said the tender awards for the project would be separated into five main packages from May 2022.
"The packages are two turnkey contractors for elevated works, one turnkey contractor for underground works, one package for integrated rail systems and one project management consultant to work alongside MRT Corp as the project developer.
"The procurement of these tenders will be through an open-tender process, which will begin this coming May, while the construction work tender is expected to be awarded in the fourth quarter of the year.
"Every work package, especially a system work package, will have distinctive PFI requirements which will be announced by MRT Corp soon," he said at an event to unveil the MRT3 Circle Line progress at Connexion Conference & Event Centre (CCEC), Nexus Bangsar South, here, today.
The MRT3 Circle Line, with 31 stations, comprises 40km elevated tracks and 11km underground tunnels that stretches into a circular alignment along the perimeter of Kuala Lumpur.
Noting the size of the megaproject, Wee said the MRT3 Circle Line was crucial to complete the Klang Valley Integrated Transit Network, with increased connectivity through 1o interchange stations with existing transit rail lines.
"Other benefits from this railway project would be developing a supply chain that involves players from outside of Klang Valley.
"It would also generate employment opportunities for the local community, especially for factories making Industrialized Building System (IBS) components for construction and operational rail systems."
Touching on the efforts to encourage public transport ridership, Wee said the government plans to implement several environmental-related charges.
"We are looking to introduce several approaches to reduce the use of private vehicles, including vehicle and environmental fees (VEF) implemented that has been implemented in some other cities overseas, such as London.
"It was made to understand that before the pandemic hit, more than 2 million people took the public transport in a day. However, the figure dropped to less than 300,000 after the pandemic.
"We target to achieve a 40 per cent increase in ridership by 2030 and we understand it is achievable by offering well connected and seamless public transport connectivity," he said.
Wee said the MRT3 Circle Line developer was also planning to implement a common payment system to offer seamless travel for public transport commuters.
Also present were Mass Rapid Transit Corporation Sdn Bhd (MRT Corp) chief executive officer Datuk Mohd Zarif Hashim, Malaysia Rail Link chief executive officer Datuk Seri Darwis Abdul Razak and Prasarana Malaysia Bhd president and group chief executive officer Mohd Azharuddin Mat Sah.
Speaking at the event, Zarif said the mega project would start operating in phases in 2028 and to be fully operational in 2030.
The project, he said, would be funded by the government where private fund investments (PFI) will bear the upfront costs.
"However, the actual construction cost can only be known after the open tender exercise is completed," he said.