DLR starts airport branch
CEREMONIES were held in East London on March 4 to mark the start of work on the 4·4 km extension of the Docklands Light Railway to London City Airport and King George V station in North Woolwich. Completion is scheduled for autumn 2005. Participants at the event included DLR Ltd Chairman Ian Brown and Commissioner of Transport for London Bob Kiley.
The branch from Canning Town will have stations at West Silvertown, Pontoon Dock, London City Airport and King George V. It is being built and maintained by the City Airport Rail Enterprises consortium under a 30-year private finance initiative. Formed by AMEC Investments Ltd and Royal Bank of Scotland Project Investments Ltd, CARE was named as preferred bidder for a 30-year concession on August 27 last year, and announced on February 25 that it had reached financial close.
RBS is to provide the bulk of funding for initial construction through a bank loan, with the balance made up of equity from both partners. Construction has an 'investment value' of £175m, while maintenance, management, interest costs and profit over the remaining 27 years of the concession bring the total price for the project to £300m. As with the Lewisham extension opened in 1999, the consortium will recoup their investment through track access charges.