Beijing MTR Corporation Limited has agreed to finance, operate and maintain the city’s new Line 16 metro.
Under the Public-Private Partnership (PPP) agreement with the Beijing Municipal Government, Beijing MTR will fund the line’s electrical and mechanical systems and rolling stock, roughly 30 per cent of the project’s total cost RMB¥49.5 billion.
Representatives from Beijing MTR’s three shareholders – MTR Corporation Limited (49 per cent), Beijing Capital Group Limited (49 per cent) and Beijing Infrastructure Investment Corporation Limited (2 per cent) – attended the signing ceremony.
Subject to approval from the relevant authorities, Beijing MTR will also be responsible for operating and maintaining the new 50-kilometre line for 30 years.
Lincoln Leong, acting chief executive officer of MTR Corporation, said: “As a shareholder of Beijing MTR, we are most honoured to have the opportunity to extend the safe, reliable and convenient metro service that we currently provide on Line 4, the Daxing Line and Line 14 to even more commuters.
“Through this fourth metro project of Beijing MTR, we hope to continue to contribute to the sustainable development of Beijing.”
The first phase of the new line is expected to open by the end of 2016.
