ContentsExecutive Summary And 2012 Outlook ..................................................................................
Executive Summary And 2012 OutlookProject pipelines in the Asian road and bridges infrastructure segment have a strong eme...
JapanDespite the March 2011 earthquake and tsunami, there are a limited number of road transportationinvestments in Japan ...
South KoreaSouth Korea’s total road network is approximately 104 thousand kilometers of which 80% is paved,similar to that...
IndiaIndia’s road network stretches a total of 4.2 million kilometers, of which about 50% is paved. The country’s roaddens...
ValueProject Name                                                      US$ million   Companies Involves/StatusGujarat stat...
Hong KongDue to Hong Kong’s mountain ranges, the region has a relatively low road density when of 187kilometers of road pe...
SingaporeThe city-state boasts almost 3,400 kilometers of roads, of which 100% are paved. Owing to its size,the country ha...
MalaysiaMalaysia’s road network totals more than 100,000 kilometers, of which more than 80% are paved.As one of the riches...
ThailandThailand’s road network stretches more than 180,000 kilometers but, only 450 kilometers areexpressways despite the...
For the second phase, the work management, toll collection, traffic management and operation andmaintenance work shall be ...
Indonesia’s road network stretches a total of more than 4.2 million kilometers of roads, of which alittle more than half i...
ChinaAs of 2010, China’s highways stretched a total of 4,008,229 kilometers. This is an amazingachievement as the country ...
VietnamVietnam’s road network stretches for a total of 171,392 kilometers, of which 125,789 kilometers arepaved. The count...
Transport infrastructure outlook 2012
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Transport infrastructure outlook 2012

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The overall outlook for the region is positive mainly driven by road and infrastructure investments aimed at connecting far flung regions with the relatively more developed regions. This is the case for China, Vietnam and India. Long term projects with the greatest potential include the expansion of the Asia Highway network which plans to connect the countries in Southeast Asia towards China and a portion of key Central Asian economies. Visit http://www.tunneldesignconstruction.com and http://www.bridges-asia.com to keep track of the developments in the Bridge and Tunnelling sectors.

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Transport infrastructure outlook 2012

  1. 1. ContentsExecutive Summary And 2012 Outlook ........................................................................................................ 3Japan ............................................................................................................................................................. 4South Korea................................................................................................................................................... 5India .............................................................................................................................................................. 6Hong Kong ..................................................................................................................................................... 8Singapore ...................................................................................................................................................... 9Malaysia ...................................................................................................................................................... 10Thailand....................................................................................................................................................... 11Indonesia ..................................................................................................................................................... 12China ........................................................................................................................................................... 14Vietnam ....................................................................................................................................................... 15
  2. 2. Executive Summary And 2012 OutlookProject pipelines in the Asian road and bridges infrastructure segment have a strong emergingmarket bias with the largest investments in the developing economies of China, Vietnam and India.The three countries have the greatest potential for growth in the coming years as urbanization andmodernization initiatives continue to be pursued by their respective governments. In the developedmarkets, there are a number of exceptions in the roads and bridges sector most notably theUS$9.7bn Seoul underground road network in South Korea and the US$11.3bn Hong Kong-Macau-Zhuhai bridge.A prevailing risk for infrastructure investments in the developing economies is the prevalence ofbureaucracy, intervention and corruption in governmental units which can serve to increase overallcosts and delay project implementation. One of the most prevalent examples of governmentintervention in recent years is the Malaysian government’s populist and sometimes arbitraryinvolvement in settling toll fees for highways. For example, in January 2011 Prime Minister NajibRazak asked all highway concessionaires to either freeze, cut or abolish tol rates withoutcompensation. MTD Capital, the country’s second largest road operator, will freeze toll rates on theKL-Karak highway and the East Coast Highway Phase 1 for five years without compensation andwithout an extension on toll concessions.Despite the risks though, the overall outlook for the region is positive mainly driven by road andinfrastructure investments aimed at connecting far flung regions with the relatively more developedregions. This is the case for China, Vietnam and India. Long term projects with the greatest potentialinclude the expansion of the Asia Highway network which plans to connect the countries inSoutheast Asia towards China and a portion of key Central Asian economies.
  3. 3. JapanDespite the March 2011 earthquake and tsunami, there are a limited number of road transportationinvestments in Japan as of the moment. Most of the new investments will go into ports andresidential infrastructure in the coastal cities that have been severely damaged. In the transportsector as a whole though, the largest investment is the construction of the 290km US$62 billionmagnetic levitation train that will connect Tokyo and Nagoya. This is part of the overallmodernization of Japan’s aging airports. Construction began in 2011 and the rail line is targeted tobe finished by 2027. In line with the modernization trend, the Haneda International Airport is alsoset for a US$1.22 billion upgrade by 2013.Japan has one of the most modern road ways in the world. As it is with most other countries, roadremains the dominant form of surface transport in Japan. The country has a total of 1.2 millionkilometers of roads of which almost 80% are paved. This is comparable to South Korea’s 80%although lower than city-state Singapore’s 100%. Japan has 320 kilometers of roads per 100 squarekilometers of land area, one of the highest road density rates in Asia. The only prominent roadinfrastructure in Japan in recent times is the Rinkai Ohashi Truss Bridgein Tokyo. Total value of roadand bridge infrastructure in the country is approximately US$20 billion.U
  4. 4. South KoreaSouth Korea’s total road network is approximately 104 thousand kilometers of which 80% is paved,similar to that of Japan. The country’s road system connects its major cities, ports and industrialcomplexes. The country’s road network is relatively strained however, especially in the capital Seoul.About a third of South Koreans own a car and about half of freight transport in the country is donethrough roads. In response to this, Seoul expects to spend 11.2 trillion won (US$9.7bn) to build sixunderground roads beginning 2010 until 2017. From 2017 onwards, people in Seoul will be able todrive on the underground roads. The following is a picture of the planned road infrastructureinvestment from the Seoul Metropolitan Government .South Korea’s plan to build its underground road network is the first ever in the world to construct something ofthat scale and there have been concerns regarding ventilation and safety. The giant underground roads will be 40to 60 meters below the ground. Another prominent road project is the 234 kilometer Incheon-Seoul-GangneungExpressway that began construction in 2011. Total road and bridge infrastructure value in the country isapproximately US$2 billion as of 2010 although this is expected to more than quintuple to US$10 billion onceSeoul’s ambitious underground road network is finished.
  5. 5. IndiaIndia’s road network stretches a total of 4.2 million kilometers, of which about 50% is paved. The country’s roaddensity is at 129 kilometers per 100 square kilometers of land area, at par with other developing nations in Asia. thFor India’s 12 Five-Year Plan which will run from 2012 to 2017, India plans to spend a total of US$1 trillion in thinfrastructure investments. This is double that of the US$500 billion set out during the 11 Five-Year Plan (2007to 2012). Of the US$500 billion of projected spending from 2007 to 2012, US$167 billion will go into electricity,US$65 billion into railways, US$92 billion into roads and highways, US$22 billion into ports and US$8 billion intoairports. India will narrowly miss this target as according to provisional estimates by Gajendra Haldea, Advisor tothe Deputy Chairman of the Planning Commission, total infrastructure investments for the period 2007 to 2012will likely hit US$480 billion. thBelow is a table of road infrastructure investment during the 11 Five-Year Plan (in US$ million). National Highways State Roads (Highways, Rural North Total Major District Roads, Other Roads East Roads)Year NHDP NHDP Non- Total Public Private Total Public Private NHDP (Public)2007-2008 3,173 3,702 463 7,338 4,347 1,333 5,680 1,875 212 15,1042008-2009 3,305 3,966 486 7,757 4,528 1,428 5,956 2,025 238 15,9762009-2010 3,464 4,495 510 8,469 4,745 1,618 6,364 2,150 291 17,2732010-2011 3,834 5,685 536 10,588 5,253 2,047 7,299 2,300 317 19,9712011-2012 4,707 6,478 563 11,747 6,488 2,345 8,834 2,463 344 23,387Total 18,483 24,326 2,557 45,365 25,361 8,771 34,132 10,813 1,401 91,711Source: PWCOne of the key risks of the US$1 trillion investment plan for 2012 to 2017 is the estimate by government officialsthat half of this amount will come from the private sector. Although the country’s ports and airports weresuccessful in attracting private investments, that is not the case for investments in roads. Only 16% of theinvestments in roads have come from the private sector. In recent years, India’s former minister for road transportand highways had targeted to attract US$70bn of investments into road infrastructure but has failed to reach sofar. Difficulty in gaining environmental permits, inconsistencies and issues with land rights, and the difficulty ofacquiring proper project financing have been the key reasons of the anemic state of investments into roadinfrastructure.India’s roads are getting more congested by the day. Passenger traffic is projected to grow at 12% and over 15%for cargo traffic. The Indian government, via the National Highway Development Program (NHDP) has plannedmore than 200 projects during the 207 to 2012 period representing 13,000 kilometers of roads. Large projects arelikely to reach US$700 million to US$800 million in size. Overall, more than ten states have planned to developtheir respective highways.Below is a list of upcoming road infrastructure investments in the country.
  6. 6. ValueProject Name US$ million Companies Involves/StatusGujarat state road improvement $ 6,600 Bidding stageMoU with Malaysia to construct highways $ 5,000 NAJaipur-Delhi expressway $ 3,000 Planning stageChandigarh-Delhi expressway $ 3,000 Planning stageSanauta Bridge to Purkazi expressway $ 1,800 Awaiting proposals Mumbai Metropolitan Region DevelopmentEight lane bridge between Sevri and Nhava Shevra $ 1,670 AuthorityAgra-Etawah, Rampur-Kathgodam and Raipur-Bilaspur roads $ 1,400 Project approved, awaiting proposalsGujarat-Rajasthan expressway $ 1,260 GMR InfrastructureJharkand road development project $ 1,100 August 2011 constructionMaharashtra-Amravati-Gujarat expressway $ 1,000 September 11 construction3 road projects in Rajasthan, Maharashtra and Gujarat $ 938 Project approvedKathmandu-Birgunj road $ 900 Reliance Infrastructure/Landmark Worldwide IRB Ahmedabad-Vadodara Super Express, IRBAhmedabad-Vadodara road $ 817 Infrastructure InvestorsGujarat road development $ 813 IRB Infrastructure DevelopersTunnel between Chennai and Nashri $ 810 Leighton Welspun ContractorsBarwa Adda-Panagarh, Barasat-Krishnagar and Ambala-Kaithal roadwidening project $ 800 Project approvedRoad widening project for Orissa and Madhya Pradesh $ 790 Project approvedShivpuri-Dewas expressway $ 633 GVK Power and Infrastructure (GVKPIL)Delhi-Agra highway $ 626 Reliance InfrastructureWidening project for the Admedabad-Rajkot and Bamanbore-Samakhiali highways $ 596 Tendering stageUpgrade for Chenani-Nashri road $ 549 IL&FS Transportation NetworksChhattisgarh road development project $ 499 Asian Development Bank (ADB)Hyderabad-Vijayawada road $ 497 GMR InfrastructureMumbai-Jawaharlal Nehru highway $ 478 Announced by NHAIDelhi-Saharanapur-Yamunotri and Bareilly-Almora-Bagheshwar road $ 467 SEW-Prasad Consortium, PNC-InfratechKarnataka highway improvement $ 463 Asian Development BankNH-7 laning project $ 434 Indian Cabinet Committee on InfrastructureBihar state highway $ 424 ADBMdhya Pradesh State road $ 375 Asian Development Bank (ADB)Pune-Satara highway $ 373 Reliance InfrastructureAutomation project in Maharashtra $ 370 Sadbhav-Srei-Srei Sahaj GMR Infrastructure (GMR), Oriental StructuralHungund-Hospet road $ 365 Engineers (OSE)Andhra Pradesh highway $ 362 KMC Constructions, SNC-LavalinWest Bengal- Gangtok highway $ 361 Bid from Star Universal ResourceKarnataka highway improvement $ 350 World Bank Sadbhav Engineering, Hindustan Construction,Maharashtra highway $ 340 LaingIndore-Admedabad road $ 339 IVRCL Infrastructure & ProjectsBakhtiapur -Tajpur bridge $ 322 Final tender stageHyderabad - Sangareddy highway widening project $ 296 GMR InfrastructureSource: News reports
  7. 7. Hong KongDue to Hong Kong’s mountain ranges, the region has a relatively low road density when of 187kilometers of road per 100 square kilometers when compared to the rest of developed Asia. Roaddensity is one of the highest in the world however with 248 vehicles per kilometer of road. In total,the region’s road network stretches 2,040 kilometers. The largest bridge project in Hong Kong rightnow is the US$11.3 billion Hong Kong-Macau-Zhuhai bridge that was awarded to a consortium led byChina Communications Construction. The bridge is a series of hanging bridges and tunnels that willconnect Hong Kong, Macau and Zhuhai, three major cities situated close to the Pearl River Delta.With a proposed length of 50 kilometers, the structure would become one of the landmarks in thearea. Construction formally began in 2009 and is due to be completed 2015 to 2016.Hong Kong’s government has argued that the bridge will alleviate congestion in existing cross-bordercheckpoints as a minimum benefit. More importantly, it will encourage deeper economic integrationbetween Hong Kong and the Pearl River Delta Region, more importantly with Zhuhai, Guangdong.For Hong Kong, the project will enable the city to continue its status as an international aviation andshipping centre. The bridge will substantially shorten the travelling time between the eastern andwestern sides of the southern tip of the PRD. Faster economic integration between Hong Kong andthe region is expected with the increasing flows of people, goods and even capital. Below is a list ofother Hong Kong road infrastructure projects due to be finish construction by 2015. Value Project Name US$ million Companies Tolo highway widening $240 China State Construction Engineering Tolo and Fanling highway widening project $307 Gammon Construction Tuen Mun road improvement $363 Gammon Construction, Balfour Beatty Tuen Mun road upgrade $1,550 Construction underway Central-Wan Chai Bypass (CWB) - Islang Eastern Corridor link $3,600 AECOM China Communications Construction Co, AECOM Asia Company Ltd, Shanghai Urban Construction (Group) Co, China Highway Hong Kong- Planning and Design Institute Inc, COWI A/S, Shanghai Tunnel Zhuhai-Macao Engineering and Rail Transit Design and Research Institute and bridge $11,300 CCCC Fourth Harbor Engineering Investigation and Design Institute.
  8. 8. SingaporeThe city-state boasts almost 3,400 kilometers of roads, of which 100% are paved. Owing to its size,the country has one of the highest road density rates in the world with almost 500 kilometers ofroads for every 100 square kilometers of land area. Car ownership in the country is also expected toincrease from 115 per 1,000 residents in 2010 to around 140 per 1,000 residents in 2015. This hasled to the government initiating and planning new road transportation infrastructures despite thedeveloped nature of the country.In recent years, the construction of Singapore’s two integrated resort-casinos was the main driverfor growth in road and bridge infrastructure spending. New sources of growth include the stillunfinished Marina Bay area and the Jurong Lake district. The Urban Redevelopment Authorityannounced in 2008 the master plan for the Jurong Lake District. The Jurong Lake District is set tobecome a 360 hectare lakeside destination for business and leisure in the next 10 to 15 years. It willbecome the largest commercial hub outside the city center. Gardens by the Bay is an ongoingprojects that involves the building of three major parks at Marina Centre, Marina South and MarinaEast, mostly on the coastal areas of Marina Bay. The first phase of the Marina South Gardens wascompleted in 2010 and surround the coasts of Marina Bay. It is linked by bridges over the bay andrivers, such as the Marina Barrage and The Helix Bridge. All in all, Gardens By The Bay will take up to94 hectares with 54 hectares for Marina South, 30 hectares for Marina East and 10 hectares for theMarina Centre.The 5 kilometers Marina Coastal Expressway (MCE) wil be built along the coastal lines of the newdowntown area and will link the area to the eastern and western parts of Singapore. The expresswayis slated for completion by 2013 and will connect the Kallang-Paya Lebar Expressway and Ayer RajahExpressway. The MCE began construction in 2009 and has an estimated cost of US$4bn and willalso include an undersea tunnel. Current contractors of the project include Hock Lian Seng,Ssangyong Engineering and Construction, Samsung C&T, Penta-Ocean Construction, Sato Kogyoand Daelim Industrial.In early 2011, the government approved the construction of the 21 kilometer North-South Expressway (NSE)that will run side-by-side with the congested Central Expressway (CTE). The 21 km North–SouthExpressway will stretch from Woodlands and Sembawang to the western end of the East CoastParkway, relieving traffic on the congested Central Expressway. The CTE is currently the only expresswayin Singapore that connects the central, northern and north eastern parts of the country. Land acquisitionactivities have already begun for the NSE with current affected land owners being compensated and asked torelocate to other areas. Construction of the NSE will begin by 2013 and will be finished by 2020.Other smaller projects include a US$29mn road widening project for the Old Choa Chu Kang Road by OKPHoldings to be finished by 2014 and a US$50mn Alexandra Canal rehabilitation by OKP Holdings.
  9. 9. MalaysiaMalaysia’s road network totals more than 100,000 kilometers, of which more than 80% are paved.As one of the richest countries in South East Asia, Peninsular Malaysia is actually well connected byan extensive road network. The major enclaves of Klang Valley, Penang and Johor Bahru are allconnected through the 1,630 kilometer long Malaysian expressway network, of which another 220kilometers is under construction.In fact, the expressway network of Malaysia is considered the best expressway network in SoutheastAsia. The North-South Expressway in West Malaysia passes through all the major cities and townssuch as Penang, Ipoh, Klang Valley and Johor Bahru. The Pan Borneo Highway connects theMalaysian states of Sabah and Sarawak with Brunei. A few major expressways in Malaysia are part ofthe larger Asian Highway Network, an international project between Asian nationsl to connect theirnational highway systems. There are three Asian Highway routes passing through Malaysia: AsianHighway Route 2, Asian Highway Route 18 and Asian Highway Route 150.Project Length (km) Construction Start/End Maintained by DateShamelin Expressway 12.3 2009-2012 Besraya Sdn BhdJB Eastern Dispersal 8.1 2007-2011 MRCB LingkaranLink Selatan Sdn BhdPenang Second Bridge 23.4 2008-2012 Jambatan Kedua SdbExpressway BhdSection 2 and 3 of Section 2 – 13.0 2007-2011 SKVE Holdings Sdn BhdSouth Klang Valley Section 3 – 18.8ExpresswayE28 Expressway na 2008-2013 Lebuhraya Pantai Barat Sdn BhdPenang Outer Ring 17 Suspended indefinitely Peninsular MetroworksRoad Sdn BhdKuala Lumpur Outer 39.5 2012 – na *currently at landRing Road acquisition stageMalaysia-Singapore Na Proposed bridge naThird Crossing connecting Changi, Singapore and Johor, MalaysiaMalacca Strait Bridge 48 10 years Awaiting government approvalToll prices are a political issue in Malaysia and there have been cases where the government has setout ordinances to cancel toll collection. Investors are at risk of populist measures, such as thecancellation of toll fees, when investing in Malaysian highways or expressways. For example, inJanuary 2011 Prime Minister Najib Razak asked all highway concessionaires to either freeze, cut orabolish tol rates without compensation. MTD Capital, the country’s second largest road operator,will freeze toll rates on the KL-Karak highway and the East Coast Highway Phase 1 for five yearswithout compensation and without an extension on toll concessions. The toll concession for asection on the East-West link was also abolished in May 2010, eight years ahead of its 2018 expirydate.
  10. 10. ThailandThailand’s road network stretches more than 180,000 kilometers but, only 450 kilometers areexpressways despite the country’s size. Outside Bangkok, the country remains relativelyunderdeveloped as evidenced by the fact that over 40% of the country’s GDP comes from theBangkok region. The capital city’s infamous traffic jams are the result of years of the governmentfocusing on rail transport and under investing in road infrastructure.In May 2011, construction for the Baht 27 billion Sri Rat-Outer Ring Road Expressway was put up forbidding by the Thailand government. The project is slated to begin construction by 2012 and willbegin commercial operations by 2016. The new expressway is expected to generate 83,319 trips aday in the first year alone, which has the potential to give the winning bidder THB 1.43 billion. Thetoll rate will be under the Open System Toll Collection scheme in which the forecasted toll rate in thefirst year of operation (Year 2016) will be Baht 50 per 4-wheel vehicle and the rate will be increasingadjusted at every 5 years in accordance with the consumer index. The approximate investment costis Baht 27 billion comprising of Baht 17 billion for construction work, Baht 300 million for designreview and construction supervision, and Baht 9.6 billion for land acquisition. The government’sforecast of daily traffic in the expressway can be seen in the table below. The traffic in the road willtouch 100,000 trips by 2021. This figure comprises only 20% of the population in the relevant area,low compared to the 30% - 45% for existing expressways.Year Daily Traffic Volume2016 83,3192021 96,5482026 109,0482031 123,6602036 138,7252041 150,878Unit: Passenger car unit/day Source:The project will be developed under a public-private partnership with the government paying forexpropriation costs for the 16.7-kilometer expressway. So far, Bangkok Expressway (BECL) hasshown interest in this project. The investor who is selected by the Expressway Authority Of ThailandMinistry Of Transport (EXAT) to be the Concessionaire for Sri Rat-Outer Ring Road ExpresswayProject shall be responsible for the execution of the engineering detailed design work, constructionwork, procurement and installation of electrical and mechanical system, toll collection system,communication system and traffic control system including environmental protection and mitigationwork, and operation and maintenance work in exchange for the right in toll revenue receiving andany other related revenue (if any) of the Project during the approximate 30 years concession periodincluding any sharing benefit with the state as agreed under the concession contract.The work period is divided into 2 phases. For the first phase, the design and construction workincluding the procurement and installation of the electrical-mechanical system, toll collection system,communication system and traffic control system under the scope of work as specified the TOR shallbe completed within an approximate of 36 months from the contract signing date or the effectivedate of the contract.
  11. 11. For the second phase, the work management, toll collection, traffic management and operation andmaintenance work shall be commenced from the service opening date as approved by EXAT until thecompletion of date of the concession contract.The objective of the Sri Rat-Outer Ring Road express way is for the expansion of the expresswaynnetwork in Bangkok and its vicinity in the west direction from Sri Rat Expressway to the west side ofBangkok with thedestination at the Outer Ring Road (West Side). This will assist in the traffic volumereleasing on at-grade roads including effective flow of traffic in the west of Bangkok and adjacentprovinces. The Project is a 6-lane elevated expressway, to be mostly constructed in the existing rightof way of the Red Line Mass Transit Railway (Bangsue-Talingchan Section) route with the total lengthof 16.7 kilometers. The Project starts from Karnchanaphisek Road (Outer Ring Road) at a locationnearMahasawat Water Treatment Plant and the route runs through the east direction along the existingright of way of the southern railway route and crossing the Chao Phraya River at Rama VI Bridgeprior to ending at Section A of Sri Rat Expressway at a location on the north side of (Mochit 2 BusTerminal).Indonesia
  12. 12. Indonesia’s road network stretches a total of more than 4.2 million kilometers of roads, of which alittle more than half is paved. The country has about 130 kilometers of roads for every 100 squarekilometers of land area. Within the archipelago, the most developed road networks can be found onthe main population centers of Java, Sumatra and Bali. One of the more interesting sights in Jakarta,the capital city of Indonesia, is the presence of exclusive lanes for buses. The capital uses anextensive network of buses in lieu of trains. The country’s road system has been given high priorityin government spending programmes but despite this, road construction as a whole has not kept upwith the boom in vehicle demand and usage. The discrepancy in growth between road constructionand vehicle usage is not only because of the positive dynamics in the autos sector but also becauseof graft and corruption and inefficiencies in infrastructure spending implementation, a key feature ofdeveloping country economics.Indonesia’s road infrastructure situation is very severe and is in need of significant billion dollarinvestments. Average speeds during rush hours in Jakarta’s roads run at a blazing 10 kph (kilometersper hour). In February 2011, 2,000 trucks got stuck in an 11 kilometer traffic jam for more than aweek. According to the Indonesian Ministry of Transportation, 91% of cargoes in the country weretransported through roads in 2005. Indonesia’s National Development Planning Agency respondedto this issue with the plan to procure 18 toll road projects through public private partnership (PPP)agreements between 2010 and 2014. Beyond the PPP framework, the Indonesian government alsoplaced for tender 31 toll road construction projects during the Indonesia International Infrastructure2011 exhibition last April 2011. The country plans to construct 800 kilometers of new roads by 2014with the 650 kilometer Trans-Java toll road as the main centerpiece investments. Bakrie Brotherscompany Bakrieland Development and Bakrie Toll Road are involved in the Sukabumi-Ciranjang andCiranjang-Padalarang toll roads. The first section of the Surabaya-Mojokerto toll road by MargaNujyasumo Agung (MNA) , Jasa Marga, Wijaya Karya and Moeladi was completed last August 2011and is slated to be finished in 2013. The following are up and coming toll roads in the country: Value Toll Road US$ Million Length Status Medan-Kualanamu-Tebing Tinggi 670 60 km Awaiting financing Betung Banyuasin - Kayu Agung, Markmore Labuan, Prodexim, PT Sriwijaya Markmore Oki 880 137km Persada Cileunyi-Dawuan 400 59km Awaiting financingOther prominent non-toll road projects include the government’s US$4 billion plan to build elevated roads inJakarta and the US$25 billion Sunda Strait Bridge (costs can come down once the feasibility study is completed).Relatively smaller projects include a US$350 million coastal road linking the Semayang harbor with theSepinggan International Airport (seeking private investors for financing) and US$380 million of road improvementprojects in northern Kalimantan and southern Java by the Asian Development Bank.
  13. 13. ChinaAs of 2010, China’s highways stretched a total of 4,008,229 kilometers. This is an amazingachievement as the country only had 3,345,200 kilometers of highways in 2005 and 1,402,700kilometers of highways in 2010. The amount of roads built in the rural sector is even moreastounding as during the 11th Five-Year Plan (2006-2010), more than 1.2 million kilometers of ruralroad networks were either built of renovated.China will continue with its large-scale road build up for at least the next 15 years and presents avast area of opportunity for commodity and service providers in the road infrastructure industry.The country’s highways are the second most important route for freight transportation. Usingfreight-ton kilometers as a measure of total freight activity in the country, waterways wereresponsible for 48% of total activity, highways 31%, railways 19% and the balance through air andgas pipelines. The country’s roads are also the dominant form of passenger transportation despitethe rapid buildup of China’s railway network. Using passenger-kilometers as the measure of totalpassenger activity, highways were responsible for 54% of total movement, railways 31% and theremaining balance to the country’s waterways. Total vehicles in the country have more than tripledfrom 18.5 million in 2005 to 59.4 million in 2010. The following are select road investment projectsin the country:Project Value US$ million StatusFour expressways in the 14,200 Planning stageSichuan provinceDalian Bay 430 Planning stageUpgrade of Quanzhou city road 1,000 Planning stagenetworkNanchang-Zhangshu 885 Planning stageexpresswayShenzhen road network 21,000 Planning stageexpansionRizhao highway upgrade 134 Planning stageAnhui province road expansion 1,350 Under constructionGuangxi- Vietnam road 1,870 Under constructionUpgrade and repaid of Yunnan 1,800 Under constructionroad network
  14. 14. VietnamVietnam’s road network stretches for a total of 171,392 kilometers, of which 125,789 kilometers arepaved. The country has the 29th longest network of roads in the world. Vietnam’s road and bridgesinfrastructure segment is undergoing an investment boom with a number of billion dollar contractsset to be won in the coming years. Of note is the US$8 billion Ring Roads 3 and 4 project that willconnect Ho Chi Minh city with the proposed Ben Luc-Long Thanh and Bien Hoa-Vung Tau highways.The bulk of the projects in Vietnam are the expressways that connect provinces with the high growthregions of Hanoi and Ho Chi Minh. The country’s Ministry of Transport and Communicationsestimates that it will require about US$60 billion until 2020 to fund new road infrastructure projects.In line with the country’s ambitious electrification program to further spur industrialization andmodernization in the country, road infrastructure investments are key to making modernizationpossible. The government’s long term 2030 plan include the development of a 3,262 kilometers roadthat will connect the country’s northern and southern regions. Value Project US$ million Status Ring roads connecting Ho Chi Minh with Ben Luc-Long Government to start procedural Thanh and Bien Hoa-Vung Tau 8000 call 30% government financing; Ninh Binh-Than Hoa road 2800 70% private investors Ring road 4 Hanoi 1970 Plans submitted Da Nang-Quang Ngai expressway 1500 Main contractor assigned Dau Giay-Phan Tiet expressway 1130 Undergoing feasiblity study Thuan An-Ben Cat highway 800 Approved by covernment Mekong delta roads 750 Undergoing feasiblity study Deo Ca tunnel 500 Under construction Vam Cong bridge 500 Financing achieved My Thuan-Cun Tho expressway 442 Financing achieved No.39 B road upgrade 106 Financing pledges achieved Under negotiations for a joint Phap Van-Cau Gie expressway upgrade 87 venture Tran Thi Ly- Nguyen Van Troi bridge 86 Under construction Noi Bai International Airport-Nhat Tan bridge interconnecting road 83 Under construction Hoa An bridge 56 Under construction National Road No. 14 50 Under constructionLast August 2011, the Binh Minh Import Export Production and Trading Group was chosen to be an investor atthe US$1.13 billioin Dau Giay-Phan Tiet expressway project. International tenders will be launched in 2012 toselect a second investor. In September 2011, US$1.2 billion of funding was secured from the World Bank and theJapan International Cooperation Agency to fund a part of the Dau Giay-Phan Tiet project. Chinese companiessuch as Guangdong Provincial Changda Highway Engineering have been able to win contracts in the country.

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