UAE to float Dh19.5B tenders for transportation projects

Dubai - Total estimated value in Dubai during second half likely to cross $1.8B

The UAE's transportation sector is poised to shift into top gear as projects worth more than Dh19.45 billion ($5.3 billion) are currently in the tender phase with tenders worth Dh11.74 billion expected to be floated in the second-half of 2017 alone, according to a new report.
In terms of value, rail projects are expected to contribute over Dh7.34 billion to new tenders, while the aviation industry is expected to contribute Dh2.2 billion followed by road projects worth Dh1.37 billion and marine projects would add Dh367 million.
Avin Gidwani, CEO of BNC Network, said in the UAE, tenders are generally open to all companies, both national and international. However, this may vary from project to project basis.
There are a few high-value projects whose tenders are expected to be floated in the second-half of 2017, most notably Ajman International Airport at Al Manama estimated at Dh2.1 billion and Phase 2 of the Dubai Tram Extension worth Dh2 billion. In Dubai, the total estimated value of tenders to be floated in the second half of this year is likely to cross $1.8 billion, with key projects such as Phase 2 of the Dubai Tram Extension estimated at over $550 million.
Gidwani noted that with Expo 2020 nearing, the government is fast-tracking all important road and rail projects to ensure smooth transportation of goods and traffic ahead of the mega global event.
Abu Dhabi, on the other hand, has projects worth over $700 million whose tenders are likely to be floated in the second half. Phase 1A and 1B of the Abu Dhabi Metro having a combined estimated value of $700 million are the key projects contributing to the overall value of transport projects to be floated in the city.
 
Overall projects
According to the BNC analysis, the total value of 481 active transport projects exceeded Dh321.49 billion in the first half of 2017. Of these, 364 projects with a combined value of $36.5 billion are road projects while 39 projects with a value of $33.9 billion are rail projects.
Around 218 projects worth $20 billion are under construction, 92 projects worth $29.7 billion in the pipeline, and 110 projects worth $32.7 billion are on hold.
Four transport projects with a combined estimated value of US$274.6 million moved to construction from other stages during the month of June 2017.
- waheedabbas@khaleejtimes.com