The Mayor and the coalition Government have consistently stated that Crossrail will go ahead but must deliver value for money and be affordable.
Throughout 2010 Crossrail has been engaged in a value management process to ensure that every pound invested in Crossrail is well spent. Crossrail will report to the Department for Transport (DfT) and Transport for London (TfL) as Project Sponsors later this year with an updated construction delivery cost. This will ensure that Crossrail is delivered as cost effectively as possible and savings are made wherever it is sensible to do so.
Earlier this month, Network Rail announced that it had submitted to Crossrail the estimated costs for upgrading the existing surface network. Network Rail's costs for surface works will be a key component of Crossrail's updated delivery cost submission to Sponsors.
-- Advertisement --
Terry Morgan, Crossrail Chairman said: "Crossrail and its delivery partners recognise fully that Crossrail is a significant investment. It is critical that every pound invested in this vital scheme achieves maximum value for money. Sensible efficiency savings will be made at every opportunity.
"Crossrail is bearing down on its whole cost base, while ensuring delivery of a new railway that is fit for purpose and delivers the capacity improvements required. We are looking at every aspect of Crossrail to identify where efficiencies can be made and understanding what cost saving lessons can be learned from other global infrastructure projects."
Construction of Crossrail got underway at Canary Wharf on 15 May 2009 and work on Europe's largest construction project is now progressing at a number of Central London sites including Bond Street, Farringdon, Paddington and Tottenham Court Road. The establishment of the tunnel portals is underway at Royal Oak and Limmo with procurement for the main tunnelling contracts at an advanced stage ahead of tunnelling starting in late 2011. The procurement for the new Crossrail rolling stock will get underway in late 2010.
Over 60% of Crossrail's funding comes from Londoners and London-based business through direct contributions from the City of London, BAA, Canary Wharf Group and a London Business Rates Supplement and planning development levy. The funding package is designed to strike a fair balance from all those that will benefit – businesses, passengers and taxpayers.
(CD)
