Another national infrastructure project is likely to be delayed because of a planning failure. Sources inform ''Globes'' that work on digging the tunnels for the Jerusalem-Tel Aviv high-speed railway will likely be delayed until early 2009 because Israel Railways has been unable to solve the problem of how to dispose of the earth removed. The tunnels will cost NIS 1.6 billion to build.
The Jerusalem-Tel Aviv high-speed train is the flagship project of Israel Railways' development program. The total cost of the line is NIS 6 billion. The line will link Jerusalem and Tel Aviv via Modi'in and Ben-Gurion Airport. The section between Tel Aviv and Modi'in has been completed.
The delay in digging the tunnels will cause a further delay in opening the Jerusalem-Tel Aviv high-speed train from 2011 to 2013-14. Israel Railways recently updated the Ministries of Finance and Transport about the probable delay in the timetable, incurring considerable criticism.
Shapir Civil and Marine Engineering Ltd. and Austrian company voestalpine Schienen GmbH (ATX:VOE) won the tender for the tunnels 18 months ago, but have not yet received a work permit because of the problem of disposing of the earth. The tunnels are the biggest and most difficult section of the railway line. The final 30-kilometer section to Jerusalem includes two tunnels of 20 kilometers altogether and five kilometers of bridges. The route will have two tracks. One of the tunnels will be Israel's longest.
Published by Globes [online], Israel business news - www.globes-online.com - on March 27, 2008
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