29 October 2002
Contract for Spur Line tunnels awarded
 
The Managing Board of the Kowloon-Canton Railway Corporation (KCRC) has approved the award of the contract to construct the tunnel section of the Lok Ma Chau Spur Line to the Dragages (HK) Joint Venture.
The contract, valued at $2.8 billion, involves the construction of two parallel tunnels, each of about 5.2 kilometres, from East Rail north of Sheung Shui under Long Valley to Chau Tau.
The contract award followed a competitive tendering exercise preceded by seeking expressions of interest.
"Six consortia submitted expressions of interest and the Corporate Tender Board later approved a shortlist of four," a spokesman for the Corporation said.
"A tender evaluation plan was also approved by the Corporate Tender Board. In essence, the plan involved satisfying strict environmental constraints, a technical assessment and a price assessment. A technical/price weighting of 50%/50% was applied to determine the final combined assessment ranking of all technically conforming tenders.
"In view of growing congestion at Lo Wu, which will became unacceptable by 2007, the tender document stipulated a completion date of 31 March 2007 for full two-tunnel operations. It also provided an opportunity for tenderers to propose earlier completion dates.
"Four tenders were received when tendering closed on 9 August 2002. A technical assessment was then carried out on such areas as the tenderer’s design proposals and resources; method statements, construction and tunnel boring machine proposals; staffing and labour; programme and risk management; safety and quality; and environmental protection methods.
"One of the four tenderers was found to be technically non-conforming," he said.
The prices offered in the remaining three conforming tenders were then analysed against the tenderers’ capability to complete the project on time. Programme improvement proposals were also examined. After all factors had been taken into consideration, Dragages’s tender, which included a proposal to advance the completion date for full two-tunnel operations by five months to 30 October 2006, obtained the highest combined score.
Construction work is expected to start in early 2003 following tender award.