The ACT government will provide $51.8 million over the next four years in funding to Capital Metro Agency to progress the design and construction phase of the light rail tramline.
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The funding, to be allocated in the 2015-16 ACT budget on June 2, will help the continued development of the $800 million stage one set to link Gungahlin to the city, and progress the case for the extension to Russell.
Capital Metro Minister Simon Corbell said that while he considers the $50 million a big infrastructure investment, it wasn't a significant spend in the overall budget set to be handed down on Tuesday June 2.
A spokesman for the minister refused to confirm if this was the only spending on light rail in the forthcoming budget.
The $50 million was allocated to help the agency finalise the procurement process, and provide specialist advice for the delivery of the project.
"The money will also be used to allow Capital Metro to finalise the technical and financial assessment of the Russell extension option and allow the government to make a decision … early next year, at the same time we choose our preferred consortium," Mr Corbell said.
Final bids being prepared
Mr Corbell said the two shortlisted consortiums were preparing final bids for the project.
"In the coming year, the Capital Metro project team will engage with shortlisted consortiums in interactive workshops, evaluate their proposals, finalise contracts with the preferred consortium and prepare for construction commencement," he said.
Mr Corbell said consultants would be involved in supporting and providing technical advice to the project team during the "intensive" process.
"Over the next four years, the Capital Metro project team will not only finalise the project's complex procurement process, but it will also manage the ACT's interests during the construction and implementation of the largest infrastructure project ever undertaken by the ACT government," he said.
The budget funding would also allow for the ongoing provision of specialised technical, program management, legal and commercial advisory services, as well as stakeholder engagement activities.
Mr Corbell said the funding would be broken down into $16 million in the first year, $12 million in the second, and $11 million each in the successive years.
"This funding was identified as needed in the business case for Capital Metro.
"Funding in the budget will enable the successful delivery of the project and ensure these project benefits are realised."
Construction of the light rail from Gungahlin to the city is scheduled to commence mid-2016.
