Green Line Board advances LRT project through redefined procurement strategy
Following the conclusion of an extensive provincial review of the Green Line LRT project and alignment of our funding partners, the Green Line Board has taken responsible and prudent action to advance the project. The Green Line will now be constructed through a new phased procurement strategy, with the first phase building the LRT from Shepard to Eau Claire, connecting the southeast to downtown and into the existing Red/Blue lines.
“The business case for Green Line remains strong,” says Don Fairbairn, Executive Chair, Green Line Board. “Moving forward with a new procurement will bring greater cost certainty and ensure we can deliver on our mandate to build Green Line, within Council approved direction, on behalf of our funding partners and for Calgarians.”
Since being named, the Board has reviewed the cost and risk estimates for the Green Line LRT project and have confidence in the processes, data and estimates completed by the project team.
The world has changed due to COVID-19 and project escalation costs are being reviewed by large infrastructure projects across North America. As a reference, every 0.5% in escalation costs equates to more than $100M for Green Line. The Board will advance phase 2 of the Council-approved plan, from Eau Claire to 16 Avenue N., if cost of escalation and other risks do not materialize in phase 1. The phased construction is in line with Council’s original direction to build the Green Line in a stage-gate project approach.
The redefined procurement strategy was included in the federal funding business case that was submitted to the province on May 28, 2021. Updates on the new procurement strategy and corresponding project timelines will be provided as the strategy is confirmed, beginning with additional market sounding.
This decision coupled with the recent announcement on the Beltline/Downtown Utility Relocation project and completion of the segment 2 functional plan (Elbow River to 16 Avenue N), are strong steps forward for the Green Line LRT project and for Calgarians eager for this much needed transit infrastructure and the benefits that it will bring to our City.
For more information about Green Line, visit calgary.ca/greenline.