Report
For
Peer Review of Draft Capex
Estimate
David Creegan
Director - Infrastructure
Turner & Townsend
Level 14
55 Clarence Street
Sydney
NSW 2000
t: +61 (0)2 8245 0000
e: [email address]
w: turnerandtownsend.com
City Centre Future Access Study 2
Auckland Transport – Commercial in Confidence
23 December 2014
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
Contents
1
Executive Summary
1
2
Brief and methodology
4
2.1
Scope
4
2.2
Basis of Review
4
2.3
Turner & Townsend capability
4
2.4
Benchmarking
5
2.5
Exclusions
6
2.6
Information Received
7
3
Cost estimate summaries
8
3.1
Option 4
8
3.2
Option 9a
12
4
Cost reviews
16
4.1
Overall cost
16
4.2
Direct construction costs
17
4.3
Indirect construction costs
20
4.4
Risk & contingency
24
Appendix 1
Appendix 2
Appendix 3
Appendix 4
Rev
Originator
Approved
Date
0
David Creegan
Darren Munton
05-Dec-14
1
Leigh Doran
David Creegan
23-Dec-14
© Turner & Townsend Infrastructure. All rights reserved December 14. This document is expressly provided
to and solely for the use of Auckland Transport and must not be quoted from, referred to, used by or
distributed to any other party without the prior consent of Turner & Townsend Infrastructure who accept
no liability of whatsoever nature for any use by any other party.
F:\SYD\INFRASTRUCTURE\SY20981 - AUCKLAND TRANSPORT LR PEER REVIEW\2000 COSTPLAN\2200 COST PLANS\2210 PRELIMINARY PEER REVIEW\ISSUED
141223\AT CCFAS2 PEER REVIEW R1 141223.DOCX
mak i ng the
di ff er en c e
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
1
Executive Summary
During the previous three months Auckland Transport together with their
commissioned consultants, have prepared various options with outline designs and
draft cost estimates for Auckland’s City Centre Future Access Study 2 (CCFAS2),
including a new light rail system (Option 4) and a combination of a modified heavy
rail network and a new light rail system (Option 9a).
Turner & Townsend have been commissioned by Auckland Transport to undertake an
independent peer review of the draft estimate of capital expenditure.
Turner & Townsend have undertaken the independent review which indicates that,
including the light rail vehicles, we consider the Option 4 should be in the order of
$3,673m versus the draft estimate of $1,945m and Option 9a $1,865m versus the
draft estimate of $1,240m.
From information received, Turner & Townsend have identified Option 4 to consist of
33.64km of light rail running, 54 Light Rail Vehicles, 35 substations and 43 light rail
stops.
Turner & Townsend have similarly identified Option 9a to have a light rail alignment
length of 13.24km, a heavy rail alignment length of 3.86km, 22 Light Rail Vehicles, 9
heavy rail Electric Multiple Units, 15 substations, 2 heavy rail stations and 17 light
rail stops.
At Appendix 1 and 2 there are indicative cost summaries that capture the findings of
this report and presents an alternative overall cost that Turner & Townsend consider
to be a more likely scenario than the current draft estimate.
Direct construction costs
Direct construction costs include the costs a main contractor would incur for labour,
plant / equipment, materials and other sub-contract costs.
The direct construction costs within the draft estimate have been estimated at
$655m for Option 4 and $405m for Option 9a, compared to this review of $1,127m
for and $569m respectively.
The primary drivers for the overall differential in both options are existing utilities
modifications, road and footpath works, traction power and the allowances for
various rail systems.
mak i ng the
di ff er en c e
1
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
Indirect construction costs
Indirect construction costs include the costs a main contractor would incur in
preparing final designs, providing project insurances and security bonds and
preliminaries which include the core site management team, site supervision,
temporary site facilities of compounds, lay-down areas and offices, consumables,
temporary utilities, traffic management and the like. The other indirect construction
costs are main contractor’s corporate overhead and profit margin.
The indirect cost elements also show significant divergence between the draft
estimate and this review. The principle reason for the difference is that Turner &
Townsend have assessed the allowances for the above items at a higher percentage
given the type and quantity of works, the requirements for the proposed light rail
‘wire free’ technology and our experience of previous and current light rail systems
and significant infrastructure programmes internationally.
The indirect construction costs within the draft estimate have been estimated at
$212m for Option 4 and $131m for Option 9a. This compares with this review of
$669m and $281m respectively.
Project / client costs
Project / client costs include the costs that the owner will incur in the development,
delivery and commissioning of the project including the teams responsible for
development management, project management, commercial and schedule
management, business and local community communications, stakeholder
management, environment management, the Project Board, the Environmental
Impact Statement and legal costs. Other costs include external engagements that
cover planning, engineering and architectural design, programme, project and cost
management, health and safety and other independent and specialist advisers.
This review suggests that the client costs are increased from the draft estimate
assumption of $80m for Option 4 and $49m for Option 9a to $195m and $98m
respectively which still places the project towards the lower end of expected ranges
of light rail, heavy rail and infrastructure projects globally.
Risk and contingency
The design and engineering evidence that we have reviewed indicates that the
CCFAS2 is at an early stage of development and therefore the scope of work must be
considered very flexible and hence subject to a great deal of uncertainty and risk.
The draft estimate contains a P50 risk allowance of 20%.
This review suggests that a more appropriate risk and contingency allowance in the
order of 30% should be considered for adoption at this stage with the expectation
that this will reduce as the definition of scope increases and agreements are reached
with government agencies, utility providers, contractors and advisors.
mak i ng the
di ff er en c e
2
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
Conclusion
The design and construction of new light rail systems in New Zealand and Australia
requires a high percentage of imported skills, expertise and equipment. Turner &
Townsend’s research and experience of planning for light rail systems in Australia,
including wire free technology in Sydney, indicates that the draft estimate for
Auckland is overly optimistic and set at too low a level. It is recommended that the
current draft estimate is reviewed in more detail and supported by more evidence
based data.
mak i ng the
di ff er en c e
3
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
2
Brief and methodology
2.1
Scope
Review the capital cost estimates and undertake benchmarking including indirect
construction cost elements, client costs and risk and contingency and comment on
their appropriateness.
Review the appropriateness of the rates and allowances made in the estimate with
commentary on elements that appear to be outside of expected ranges. A detailed
re-measure or verification of the quantities not part of the scope of services.
2.2
Basis of Review
The basis of the review is of the estimates supplied by Auckland Transport, in
conjunction with supplied route images and Turner & Townsend industry benchmarks
from works of a similar nature.
2.3
Turner & Townsend capability
Turner & Townsend have provided cost planning and risk management services in
support of numerous Business Cases for major infrastructure projects in Australia
including the North West Rail Link (Sydney), Sydney CBD (Central Business District)
and South East Light Rail and Wynyard Walk pedestrian link (Sydney). Other
business cases that we have supported include Brisbane’s Cross River Rail and the
Gold Coast Light Rail project.
We are on the Australian Government’s Department of Infrastructure and Regional
Development’s panel of Infrastructure Advisory Services, providing base cost
estimate and contingency review services.
Through our global network of 87 offices we have access to light rail, heavy rail and
other infrastructure project data that is based on robust information that can be
trusted. We are currently working closely with rail owners / operators in Australia,
the UK, Europe, Middle East and Africa and have most recently brought our
experience of Edinburgh Trams to Sydney in support of the AUD$1,600m investment
in an extended light rail system.
This experience gives us in-depth knowledge of the issues involved with setting
appropriate budgets for significant infrastructure investments funded by government
or a combination of public and private entities.
mak i ng the
di ff er en c e
4
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
2.4
Benchmarking
Using our experience and knowledge of light rail and other infrastructure projects we
have benchmarked the allowances for overhead and profit, risk and contingency and
project leadership and management costs against other comparable projects whilst
appreciating that there will be specific project issues and other impacts of delivering
a new light rail system through Auckland’s city centre.
Other similar light rail systems that we have detailed access to include, but not
limited to, Sydney Light Rail (Australia), Newcastle (Australia), Perth light rail
(Australia), Edinburgh Trams (UK), Nottingham Express (UK), Stagecoach Supertram
(Sheffield, UK) and Dublin Luas (Ireland). Our rolling stock database includes over
65 orders covering 17 countries and spanning over 10 years.
The methodology for reviewing the capital costs for the key elements of the project
followed the principles below;
Property acquisition - A review of the estimated property acquisition costs is not
included as part of the scope of this review so we have retained the values as given
in the draft estimate.
Existing utilities – An overall rate per kilometre was calculated and compared to
other similar projects in addition to an assessment of what the utilities cost
represented as a percentage of the light rail infrastructure and systems total cost. It
is recognised that each project has specific issues and there are examples where
expenditure on this scope of work has been minimal.
Trackform – Specific consideration given to the light rail steel track required and
the cost implications of curved track requirements. An overall rate per metre for the
trackform was derived from other similar projects and compared to the draft
estimate.
Rail alignment (structures) -A rate per metre for elevated structures was
compared to other similar structures.
Stops – Allowances per stop were based on similar stops on the Sydney light rail
project and other light rail projects globally.
Precincts – The road works and footpath works between stops were considered
overall and assessed against the typical percentage these works usually form as part
of the overall scope.
Bulk and traction power - Unit rates for supply and installation were applied to the
elemental quantities of substations, overhead wiring, small power and lighting from
our internal cost database.
mak i ng the
di ff er en c e
5
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
Rail systems – Benchmarked rates from our internal cost database for supply and
installation of communications and security systems, tram and traffic control
signalling, combined services route, passenger information systems and ticketing
systems were applied to the alignment length.
Depot and stabling – Rates per facility/building, including fitout, and an operations
control centre were compared to other similar projects on a total cost and a cost per
light rail vehicle basis.
Contractor’s indirect costs - The specific project requirement for preliminaries
including the core management and site based teams, temporary construction
facilities such as construction sites, office buildings and lay down areas, insurances,
traffic management and main contractor’s design costs were analysed as
percentages of total direct construction cost and benchmarked against comparable
projects.
Project / owner’s costs - Requirements for external appointments and internal
Department of Transport costs calculated as a percentage of total construction costs
and benchmarked against comparable projects.
Rolling stock – The unit rate was compared to our database of light rail vehicle
orders allowing for the addition of wire free technology which is assumed to include
some form of on-board energy storage system.
Risk and contingency - Based on the information available upon which the
estimate has been prepared, together with the assumptions made, direct costs,
indirect costs, engineering, procurement and management, the adequacy of the total
risk allowance as a percentage of the total cost was assessed and benchmarked
against comparable projects.
2.5
Exclusions
The following items are excluded from this review;
Escalation – all costs are assumed to be 4th Quarter 2014 and there is no
provision for escalation over the period from 1st Quarter 2015 to
commencement of revenue services.
Land and property – this cost category includes land acquisitions, relocations,
alterations / refurbishments / demolitions and legal and other fees. The costs
contained in the draft estimate
mak i ng the
di ff er en c e
6
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
2.6
Information Received
The following reference documents were received from Auckland Transport and were
used to form the basis of our review:
CCFAS2 Draft Estimate estimate-2.12.2014 (WT Partnership)
Operational costing of LRT/bus options 4, 6, 8 and 9, 21 November 2014
(MRCagney)
Route images – Option 4 (pdf file) and Option 9A (jpg file)
CCFAS2 LRT Staging Plan 21 Nov D (URS, 42127353-SK017-D.dwg, 10/11/14)
mak i ng the
di ff er en c e
7
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
3
Cost estimate summaries
3.1
Option 4
The latest draft estimate at a P50 confidence level for the CCFAS2 project is
$1,614m plus light rail vehicles of $331m, giving a total of $1,945m as set out
below;
All costs $m
Total $
Total $m per
km
1
Land & Property
282.3
8.4
2
Investigation & Reporting
29.9
0.9
3
Developed Design & D&C Monitoring
49.8
1.5
4
Design & Construct contract
0.0
4.01
Track (34 km alignment)
352.1
10.5
4.02
Power (inc. 35 Nr substations)
76.2
2.3
4.03
Systems
20.1
0.6
4.04
Statutory Undertakers Equipment
63.7
1.9
4.05
Highway Costs
13.9
0.4
4.06
Stops (43 Nr)
54.9
1.6
4.07
Support Facilities
74.4
2.2
4.08
Design
26.2
0.8
4.09 Programme & Project Management
185.9
5.5
Subtotal
867.5
25.8
4.10
Off site overhead and Profit
130.1
3.9
Total D&C
997.6
29.7
5
Contingency P50
19%
254
7.6
6
Subtotal @4Q14 prices
1,613.6
48.0
7
Rolling Stock
54 Nr
331.0
9.8
8
Total Costs @4Q14 Prices
1,944.7
57.8
Table 1- Draft estimate as presented
mak i ng the
di ff er en c e
8
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
In order to compare the CCFAS2 project with other similar light rail systems we have
analysed the draft estimate and re-ordered some of the line items to reach a
standard elemental format as set out below;
All costs $m
Total $m
Total $m per
km
Direct construction costs
1
Track (34 km alignment)
53.8%
352.1
10.5
2
Power (inc. 35 Nr substations)
11.6%
76.2
2.3
3
Systems
3.1%
20.1
0.6
4
Utilities
9.7%
63.7
1.9
5
Roadworks
2.1%
13.9
0.4
6
Stops (43 Nr)
8.4%
54.9
1.6
7
Depot & Stabling Facility
11.4%
74.4
2.2
8
Direct construction costs
100.0%
655.4
19.5
9
Preliminaries
23.9%
156.4
4.6
10
Traffic management
4.5%
29.5
0.9
12
Contractor’s design
4.0%
26.2
0.8
13 Indirect construction costs
212.1
6.3
14 Total construction costs
867.5
25.8
15
Contractor’s OH&P
15.0%
130.1
3.9
16 Total contractor’s costs
997.6
29.7
15
Rolling stock (LRVs)
54 Nr
331.02
9.8
16 Subtotal
1,328.6
39.5
Planning & Development
2.3%
29.9
0.9
Client Design
2.3%
29.9
0.9
Client Costs
1.5%
20.0
0.6
Owners management costs total
6.1%
79.8
2.4
Subtotal
1,408.4
41.9
Property acquisitions
282.3
8.4
Subtotal
1,690.7
50.3
Risk and contingency
254.0
7.6
19% excluding LRVs
15% including LRVs
33 Subtotal
1,944.7
57.8
Table 2 – Draft estimate in standardised cost breakdown structure
mak i ng the
di ff er en c e
9
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
In reviewing the data presented we have found several anomalies in formulas used
to arrive at the current estimate based on the information provided. We have
assessed that the accurate representation of the provided information is as follows.
All costs $m
Total $m
Total $m per
km
Direct construction costs
1
Track (34 km alignment)
53.8%
352.1
10.5
2
Power (inc. 35 Nr substations)
11.6%
76.2
2.3
3
Systems
3.0%
19.8
0.6
4
Utilities
9.7%
63.7
1.9
5
Roadworks
2.1%
13.9
0.4
6
Stops (43 Nr)
8.4%
54.9
1.6
7
Depot & Stabling Facility
11.4%
74.4
2.2
8
Direct construction costs
100.0%
655.0
19.5
9
Preliminaries
23.9%
156.4
4.6
10
Traffic management
4.5%
29.5
0.9
12
Contractor’s design
4.0%
26.2
0.8
13 Indirect construction costs
212.1
6.3
14 Total construction costs
867.1
25.8
15
Contractor’s OH&P
15.0%
130.1
3.9
16 Total contractor’s costs
997.2
29.6
15
Rolling stock
54 Nr
331.02
9.8
16 Subtotal
1,328.2
39.5
Planning & Development
2.3%
29.9
0.9
Client Design
2.3%
29.9
0.9
Client Costs
1.5%
20.0
0.6
Owners management costs total
6.0%
79.8
2.4
Subtotal
1,408.0
41.9
Property acquisitions
282.3
8.4
Subtotal
1,690.3
50.3
Risk and contingency
275.6
8.2
20% excluding LRVs
16% including LRVs
33 Subtotal
1,965.9
58.4
Table 3 – Draft estimate with corrections
mak i ng the
di ff er en c e
10
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
In reviewing each element we would recommend various adjustments to the overall
costs as summarised in the table below. Total cost increases from $1,945m to
$3,673, an increase of some 89%;
All costs $m
Total $m
Total $m per
km
Direct construction costs
1
Track (34 km alignment)
18.8%
211.5
6.3
2
Power (inc. 35 Nr substations)
25.3%
285.6
8.5
3
Systems
8.1%
90.8
2.7
4
Utilities
29.0%
326.8
9.7
5
Roadworks
4.2%
47.5
1.4
6
Stops (43 Nr)
5.3%
59.4
1.8
7
Depot & Stabling Facility
9.4%
105.8
3.1
8
Direct construction costs
100.0%
1,127.4
33.5
9
Preliminaries
36.8%
414.9
12.3
10
Traffic management
4.5%
50.7
1.5
12
Contractor’s design
18.0%
202.9
6.0
13 Indirect construction costs
668.5
19.9
14 Total construction costs
1,795.9
53.4
15
Contractor’s OH&P
15.0%
269.4
8.0
16 Total contractor’s costs
2,065.3
61.4
15
Rolling stock
54 Nr
368.3
10.9
16 Subtotal
2,433.6
72.4
Planning & Development
1.7%
41.4
1.2
Client Design
2.5%
60.8
1.8
Client Costs
3.8%
92.5
2.8
Owners management costs total
8.0%
194.7
5.8
Subtotal
2,628.3
78.1
Property acquisitions
282.3
8.4
Subtotal
2,910.6
86.5
Risk and contingency
30.0%
762.7
22.7
33 Subtotal
3,673.3
109.2
Table 4 – Revised estimate based on peer review
mak i ng the
di ff er en c e
11
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
3.2
Option 9a
The latest draft estimate at a P50 confidence level for the CCFAS2 project is
$1,033m plus light rail vehicles of $135m and heavy rail of $72m, giving a total of
$1,240m as set out below;
All costs $m
Total $
Total $m per
km
1
Land & Property
192.7
11.3
2
Investigation & Reporting
18.5
1.1
3
Developed Design & D&C Monitoring
30.8
1.8
4
Design & Construct contract
4.01
Track (LR 13 km, HR 4 km alignment)
218.8
12.8
4.02
Power (inc. 15 substations, LR only)
30.2
1.8
4.03
Systems
7.7
0.5
4.04
Statutory Undertakers Equipment
30.3
1.8
4.05
Highway Costs
6.5
0.4
4.06
Stops (17 Nr LR, 2 Nr HR)
38.3
2.2
4.07
Support Facilities
73.3
4.3
4.08
Design
16.2
0.9
4.09 Programme & Project Management
114.9
6.7
Subtotal
536.2
31.4
4.10
Off site overhead and Profit
80.4
4.7
Total D&C
616.6
36.1
5
Contingency P50
20%
174.0
10.2
6
Subtotal @4Q14 prices
1,032.6
60.4
7.01
Rolling Stock – Light rail
22 Nr
134.9
7.9
7.02
Rolling Stock – Heavy rail
9 Nr
72.0
4.2
8
Total Costs @4Q14 Prices
1,239.5
72.5
Table 5- Draft estimate as presented (LR = Light Rail, HR = Heavy Rail)
mak i ng the
di ff er en c e
12
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
In order to compare the CCFAS2 project with other similar light rail systems we have
analysed the draft estimate and re-ordered some of the line items to reach a
standard elemental format as set out below;
All costs $m
Total $m
Total $m per
km
Direct construction costs
1
Track (LR 13 km, HR 4 km alignment)
54%
218.8
12.8
2
Power (inc. 15 substations, LR only)
8%
30.2
1.8
3
Systems
2%
7.7
0.5
4
Utilities
8%
30.3
1.8
5
Roadworks
2%
6.5
0.4
6
Stops (17 Nr LR, 2 Nr HR)
10%
38.3
2.2
7
Depot & Stabling Facility
18%
73.3
4.3
8
Direct construction costs
100%
405.1
23.7
9
Preliminaries
24%
96.7
5.7
10
Traffic management
5%
18.2
1.1
12
Contractor’s design
4%
16.2
0.9
13 Indirect construction costs
131.1
7.7
14 Total construction costs
536.2
31.4
15
Contractor’s OH&P
9%
80.4
4.7
16 Total contractor’s costs
616.6
36.1
15
Rolling stock (LRVs)
22 Nr
134.9
7.9
16
Rolling stock (AM Class EMUs)
9 Nr
72.0
4.2
17 Subtotal
823.5
48.2
Planning & Development
3%
18.5
1.1
Client Design
3%
18.5
1.1
Client Costs
2%
12.3
0.7
Owners management costs total
7%
49.3
2.9
Subtotal
872.8
51.0
Property acquisitions
192.7
11.3
Subtotal
1,065.5
62.3
Risk and contingency
20% excluding Rolling Stock
174.0
10.2
16% including Rolling Stock
33 Subtotal
1,239.5
72.5
Table 6 – Draft estimate in standardised cost breakdown structure (LR = Light Rail, HR = Heavy Rail)
mak i ng the
di ff er en c e
13
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
In reviewing the data presented we have found several anomalies in formulas used
to arrive at the current estimate based on the information provided. We have
assessed that the accurate representation of the provided information is as follows.
All costs $m
Total $m
Total $m per
km
Direct construction costs
1
Track (LR 13 km, HR 4 km alignment)
54%
218.8
12.8
2
Power (inc. 15 substations, LR only)
8%
30.2
1.8
3
Systems
2%
7.7
0.5
4
Utilities
8%
30.3
1.8
5
Roadworks
2%
6.5
0.4
6
Stops (17 Nr LR, 2 Nr HR)
10%
38.3
2.2
7
Depot & Stabling Facility
18%
73.3
4.3
8
Direct construction costs
100%
405.1
23.7
9
Preliminaries
24%
96.7
5.7
10
Traffic management
5%
18.2
1.1
12
Contractor’s design
4%
16.2
0.9
13 Indirect construction costs
131.1
7.7
14 Total construction costs
536.2
31.4
15
Contractor’s OH&P
15%
80.4
4.7
16 Total contractor’s costs
616.6
36.1
15
Rolling stock (LRVs)
22 Nr
134.9
7.9
16
Rolling stock (AM Class EMUs)
9 Nr
72.0
4.2
17 Subtotal
823.5
48.2
Planning & Development
3%
18.5
1.1
Client Design
3%
18.5
1.1
Client Costs
2%
12.3
0.7
Owners management costs total
7%
49.3
2.9
Subtotal
872.8
51.0
Property acquisitions
199.8
11.7
Subtotal
1,072.6
62.7
Risk and contingency
20% excluding Rolling Stock
174.0
10.2
16% including Rolling Stock
33 Subtotal
1,246.6
72.9
Table 7 – Draft estimate with corrections (LR = Light Rail, HR = Heavy Rail)
mak i ng the
di ff er en c e
14
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
In reviewing each element we would recommend various adjustments to the overall
costs as summarised in the table below. Total cost increases from $1,240m to
$1,865m, an increase of some 50%;
All costs $m
Total $m
Total $m per
km
Direct construction costs
1
Track (LR 13 km, HR 4 km alignment)
31.0%
176.4
5.2
2
Power (inc. 15 substations, LR only)
18.8%
107.3
3.2
3
Systems
1.4%
7.7
0.2
4
Utilities
22.6%
128.6
3.8
5
Roadworks
1.1%
6.5
0.2
6
Stops (17 Nr LR, 2 Nr HR)
6.7%
38.3
1.1
7
Depot & Stabling Facility
18.4%
104.6
3.1
8
Direct construction costs
100.0%
569.4
16.8
9
Preliminaries
29.9%
170.1
5.1
10
Traffic management
4.5%
25.6
0.8
12
Contractor’s design
15.0%
85.4
2.5
13 Indirect construction costs
281.1
8.4
14 Total construction costs
850.5
25.2
15
Contractor’s OH&P
15.0%
127.6
3.8
16 Total contractor’s costs
978.1
29.0
15
Rolling stock (LRVs)
22 Nr
134.9
4.0
16
Rolling stock (AM Class EMUs)
9 Nr
72
2.1
17 Subtotal
1,185.0
33.0
18
Planning & Development
2.1%
24.5
0.7
19
Client Design
2.5%
29.3
0.9
20
Client Costs
3.7%
44.0
1.3
21 Owners management costs total
8.3%
97.8
2.9
22 Subtotal
1,282.8
31.9
23
Property acquisitions
199.8
5.9
24 Subtotal
1,482.6
37.8
25
Risk and contingency
25.8%
382.8
11.4
36 Subtotal
1,865.4
49.2
Table 8 – Revised estimate based on peer review (LR = Light Rail, HR = Heavy Rail)
mak i ng the
di ff er en c e
15
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
4
Cost reviews
4.1
Overall cost
To be able to use international light rail projects as comparators for Auckland the
data set has to include projects that are similar in nature and extent. It is very
difficult and not relevant to compare Auckland’s planned 34 km network, or even
shorter initial stages, with simple short extensions to existing light rail networks.
The design and construction of light rail systems in New Zealand and Australia
requires a high percentage of imported skills, expertise and equipment. Turner &
Townsend’s research and experience of planning for light rail systems in Australia,
including wire free technology in Sydney, indicates that a cost of some NZD$60m per
km for Auckland is overly optimistic and set at too low a level.
A selection of relevant projects is given in the graph below, which can be
supplemented with further similar projects from our global database.
Total cost (NZD) per km
CCFAS2 Draft Estimate
CCFAS2 Peer Review
LR - FR - 03
LR - FR - 02
LR - FR - 01
LR - Aus - 06
LR - Aus - 05
LR - IRL - 03
LR - IRL - 02
LR - IRL - 01
LR - USA - 02
LR - USA - 01
LR - UK - 03
LR - UK - 01
$0 m
$50 m
$100 m
$150 m
$200 m
Graph 1 – Overall cost of light rail projects per route alignment km
(LR = Light Rail, HR = Heavy Rail)
mak i ng the
di ff er en c e
16
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
4.2
Direct construction costs
In the time available it was not possible to consider individual unit rates in detail or
verify the quantities used. The major cost components were assessed at a high level
either at a total cost per route alignment, such as trackform, overhead wiring, road
works and the like or at a facility level such as the depot and stabling or in some
case a slightly more detailed level such as number of substations, stops and the like.
4.2.1
Trackform
Option 4 has an alignment length of 33.6 km and Option 9a 17.1 km (13.2 km of
light rail and 3.9 km of heavy rail). The trackform and storm water drainage appears
to be set at a high level of pricing and there are opportunities to reduce this cost
component, as shown in the table below;
Draft Estimate
Revised Estimate Difference $m/km
$m/km
$m/km
Option 4
10.5
6.3
(4.2)
Option 9a
12.8
5.2
(7.6)
Table 4.2.1 – Trackform per alignment km
Some detailed observations for the trackform are;
Track - there is a cost within the draft estimate for "Make good asphalt carriage
way adjacent to slab" with a cost of $500/m. We would normally include this cost
within the Roadworks budget.
Track - the formwork rate of $120/m appears high. We would normally expect to
see circa $15-$20/m, especially when it is re-usable.
Track - our benchmarked data would be circa $4,200/m - $4,900/m for
trackwork. The draft estimate has $6,270 plus the rail boot which is included
within the drainage. This appears high.
Drainage - the draft estimate includes the rail boot within the drainage heading
and this would normally be within the track component. This equates to
$2,616/m versus an expected range of $350-$500/m, leaving $573/m for
drainage (based on the Dominion road option). This appears high as $250-
$300/m would be the expected range for drainage.
mak i ng the
di ff er en c e
17
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
4.2.2
Bulk and traction power
When considering the bulk and traction power requirements it would appear that the
pricing of the feeders, substations and transformers reflect smaller sizes and
capacities than those required for a light rail system which results in a shortfall of
cost in this area.
The draft estimate contains 43 light rail substations for Option 4 and 15 for Option
9a, with heavy rail substations excluded. As a minimum we would advocate using a
cost of $2.3m per traction substation.
Additional notes and observations are given at Appendix 4.
4.2.3
Light rail systems
Contained within the systems heading there needs to be provision for small power
and lighting, combined services route, communications systems, security systems,
passenger information system, road traffic and LRV signalling and ticketing systems.
The allowances made for rail systems are largely one line items and do not appear to
contain any detail, especially when compared to the detail in other areas such as the
depot facility building. It is clear that this area of the draft estimate is understated
and requires more work to better reflect the scope of works required to deliver a
wire free light rail system.
4.2.4
Existing utilities
The costs of existing utilities modifications are significantly lower as a proportion of
the overall light rail infrastructure cost when compared to other international
projects. It is recognised that Auckland city centre may have very few below and
above ground utilities that require protection, relocation or diversion and the project
team will have a deeper understanding of this position. However, this is an area of
high risk for all light rail projects in our experience.
If indeed the corridors are largely utility free then the costs could be considerably
lower when compared to other light rail projects.
4.2.5
Stops
Option 4 contains a total of 43 new light rail stops and Option 9a a combination of 17
new light rail stops and 2 new heavy rail platforms.
The average cost per stop in the draft estimate equates to $1.3m which is
reasonable when compared to other similar light rail systems that have a variety of
city centre and suburban stop locations.
mak i ng the
di ff er en c e
18
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
4.2.6
Light rail depot and stabling
Specific site conditions such as ground conditions, topography, sensitive noise
receptors and the like can dictate a wide range of cost for depots and stabling
facilities, as can the total fleet size with increased economies of scale for larger
fleets. With the requirement for a temporary depot there will be some duplication of
infrastructure which lead to some cost inefficiencies. The benchmark data indicates
that the draft estimate is at the lower end of expectations so our suggested
allowance is above the current assumption.
The draft estimate equates to $1.4m per LRV and our revised estimate contains
$2.0m per LRV.
4.2.7
Rolling stock
The light rail vehicles are priced competitively but current market intelligence
suggests that the unit price does not properly reflect the desire for wire free
technology and we would recommend a unit price of at least $6.8m per vehicle,
versus the draft estimate of $6.1m.
We do not possess detailed knowledge of the Auckland Transport AM Class Electric
Multiple Unit rolling stock pricing and have therefore assumed that the draft estimate
of $8.0m per three car train is appropriate.
mak i ng the
di ff er en c e
19
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
4.3
Indirect construction costs
The following subsections summarise the findings and differences between the
current estimate and the review undertaken by Turner & Townsend for the indirect
construction cost elements.
4.3.1
Preliminaries
Preliminaries comprise the management resources and temporary facilities needed to
deliver the permanent works. They vary with the method and circumstances of the
project and are very dependent upon the duration of the construction durations.
Typically preliminaries include the core project and site management teams,
stakeholder and community relations, the site compounds and offices and traffic
management activities and staff.
Preliminaries in the draft estimate at 28% are set at the lower end of what might be
expected for a light rail system but may reflect what might be possible in New
Zealand with lower people costs. However, it must be stressed that there will be
requirements for light rail experts to be temporarily relocated to Auckland to
undertake some of the specialised work associated with the management,
installation and commissioning of a complex wire free light rail system into an
established urban environment. Although people costs are generally lower in New
Zealand there will still be a requirement for overseas staff to be deployed for the
construction phase with the associated additional expense
We have assessed that the preliminaries should be set at a level of 35% or greater
In recommending an appropriate allowance (as a percentage of total direct
construction costs) for preliminaries we considered various other light and heavy rail
projects. The projects have been anonymised to retain client confidentiality.
Graph 1 plots the preliminaries percentages. The data set shows that there is
considerable variability in the preliminaries percentages, 29% to 71%, among these
projects which can be explained to a considerable extent by the fact that
preliminaries vary considerably with the works method, circumstances and
complexity of the project.
The heavy rail projects have been completed under either an Alliance delivery model
or on a design and construct basis, with the Alliance projects tending to have higher
preliminaries cost.
mak i ng the
di ff er en c e
20
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
Preliminaries & Traffic Management as a % of Direct Costs
CCFAS2 - Draft
Estimate Opt 4
CCFAS2 - Peer
Review
HR - AUS - 01
HR - AUS - 02
HR - AUS - 03
HR - AUS - 07
HR - AUS - 08
HR - AUS - 09
HR - AUS - 10
HR - AUS - 12
LR - AUS - 01
LR - AUS - 02
LR - AUS - 03
LR - AUS - 04
LR - UK - 01
LR - UK - 02
LR - UK - 03
LR - UK - 04
0%
10%
20%
30%
40%
50%
60%
70%
80%
Graph 2 - Preliminaries as percentage of direct construction costs in NSW and internationally
(HR = Heavy Rail, LR = Light Rail)
mak i ng the
di ff er en c e
21
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
4.3.2
Contractor’s design
The contractor’s design allowance is in addition to any design undertaken by
professional engineering companies engaged by Auckland Transport. The allowance
includes the cost of detail design, construction support and any detail design
required in conjunction with the utilities providers.
The light rail systems design will form a considerable proportion of the total design
effort, with expertise from outside of New Zealand. The requirements for a 100%
wire free system will drive additional cost into both the client and contractor's design
totals.
The draft estimate contains a provision of 4% which, in Turner & Townsend’s
experience of light rail projects in Australia and globally, would represent exceptional
performance. To better reflect the complex design associated with a light rail project
that relies heavily of specialist rail systems experts that are not resident in New
Zealand we would suggest a percentage of at least 18%.
Graph 2 plots the design percentages of 15 rail projects to demonstrate typical
design proportion ranges.
mak i ng the
di ff er en c e
22
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
Contractor Design as a % of Direct Costs
CCFAS2 - Draft Estimate Opt 4
CCFAS2 - Peer Review
HR - AUS - 01
HR - AUS - 02
HR - AUS - 03
HR - AUS - 05
HR - AUS - 07
HR - AUS - 08
HR - AUS - 10
HR - AUS - 15
LR - AUS - 01
LR - AUS - 02
LR - AUS - 03
LR - AUS - 04
LR - UK - 01
LR - UK - 05
LR - USA - 01
0%
5%
10%
15%
20%
25%
30%
Graph 3 - Design allowances for previous project
(HR = Heavy Rail, LR = Light Rail)
mak i ng the
di ff er en c e
23
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
4.4
Risk & contingency
A P50 risk and contingency allowance of 20% for the project (excluding LRVs) must
cover uncertainties in scope, quantities, unit rates and other risk events. Turner &
Townsend consider this percentage as too low at this stage of the project
development and scope definition.
A more realistic level would be in the order of 30%, based upon Turner & Townsend
recent experience of major engineering projects in Australia and internationally.
It is worth taking into consideration the Australian Government’s Dept. of
Infrastructure and Regional Development guidance (Best Practice Cost Estimation)
that a risk allowance could be up to 40% for road projects and 70% for rail projects,
when at Project Scoping stage. We consider that the Auckland CCFAS2 project may
have just reached Project Scoping stage.
Similarly, New South Wales Roads & Maritime Services guidance ranges from 40% to
70% and a study by the UK Dept. of Transport into optimism bias suggests a range
of 45% to 60% and above for projects in the early stages of development.
Risk and contingency allowances
CCFAS2 - Draft Estimate
CCFAS2 - Peer Review
UK Dept. of Transport Low
UK Dept. of Transport High
Indicatice NSW Roads Low
Indicatice NSW Roads High
Best Practice Cost Estimating - Road Low
Best Practice Cost Estimating - Road High
Best Practice Cost Estimating - Rail Low
Best Practice Cost Estimating - Rail High
0% 10% 20% 30% 40% 50% 60% 70% 80%
Graph 4 – Typical risk and contingency allowances at early stage of project development
mak i ng the
di ff er en c e
24
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
Appendix 1
Option 4 cost summaries
mak i ng the
di ff er en c e
Peer review of Auckland Light Rail Cost Estimate
4/12/2014
Option 4 Summary
Element
Item description
Draft Estimate
T&T Peer review Price
Comments
2.12.2014 Price
NZ$ (inflated 0%)
NZ$
33,636m
33,636m
Length
1. Land and Property
282,312,093 282,312,093
2. Investigation and Reporting
29,877,147 41,127,703
Percentage based calculation
3. Developed design reporting including D&C Contract
49,795,251 154,228,888
Draft Estimate 2.12.2014 has a total 5%. T&T have increased to
monitoring
7.5%.
4. Detailed design and Construction
867,513,286 1,788,161,011
Split of the total is No1-6
1.Track
352,137,531 211,499,179
Bridges and support structures & Portals or underpasses costs have
been left as per the Draft Estimate 2.12.2014, as T&T have no
drawings to price. The track has been reduced $58m and drainage
by $82m based on market knowledge.
2. Power
76,178,920 350,989,324
Power supply has been excluded, so the estimate is like for like.
Substations and underground power was under-priced. $78m
increase in substations and $131m increase in underground power.
3. Systems
20,126,578 90,783,564
Draft Estimate 2.12.2014 was under-priced.
2.Statutory undertakers
63,717,800 326,807,376
Draft Estimate 2.12.2014 was under-priced.
Equipment
3.Highway costs
13,906,015 47,460,647
T&T have used the Draft Estimate 2.12.2014 price for cycleway.
Draft Estimate 2.12.2014 price for highway seems very low. T&T
believe the works outside of the corridor have not been allowed for.
4. Stops
54,892,860 54,892,860
Stops price has been pro-rated from benchmarked data.
The Draft Estimate 2.12.2014 bus interchange price has been used
by T&T.
5.Support Facilities
74,410,308 105,785,855
T&T have used the administration building/Control centre &
Temporary depot cost within the comparison.
6. Design
26,214,802 202,115,530
Draft Estimate 2.12.2014 had 4%. T&T benchmarked data and
market knowledge highlights the design is severely under-priced. 15-
20% would be more comfortable. T&T have allowed 18% for this
comparison exercise.
6.Programme and
185,928,472 463,181,424
The Draft Estimate 2.12.2014 has preliminaries at 22%. T&T have
Project Management
increased to 30% based on market knowledge.
check
- 65,354,748
Off site Overheads and Profit @ 15%
130,126,992 268,224,152
risk
253,962,477 760,216,155
WT Risk @ 20.27% . T&T Risk @ 30%.
1.0795 exchange rate used
Total expected cost
1,613,587,246 3,294,270,002
CCFAS2 Draft Estimate estimate-2.12.2014 LPD rev c
Summary 34km
DRAFT COMERCIAL IN CONFIDENCE
Light Rail
2.12.2014
a
b
c
d
e
f
Convert Sydney
price to Auckland
Convert Aus $ prices. (Assumed
T&T expected
Stage 1 Queen
Stage 2
Stage 4 Mt Eden
Temporary
Stage 2
Stage 5 Customs
Stage 5 New
to NZ $
increase of 0%,
Auckland price X
Level 4 Cost
Street ( Fort to
Dominion Road
Stage 3
Road (including
Additional
% of total
T&T expected
Level 1-Project Stage
level 1 Cost Asset
Level3 Cost Sub Asset
Depot Including
Stage 1 Total
Stoddard &
Stage 2 total
Stages 1-3
Street To New
Market to
Total
$ / m
(1:1.0795)
having looked
route length = col e
Activity
Ian Mkinnan
Ian McKinnon to
Sandringham Road
upper Symonds
Stabling
expected $
Aus $/m
rail link
Depot)
Market
Onehunga
(XE.com
through the WT BoQ
X 33,636 (Total
Drive )
Mt Roskill)
Street)
03.12.14)
the rates look inline
length)
with expectations of
Sydney
Length
2,081 832 2,913 5,220 1,800 7,020 5,000 14,933 5,715 4,988 8,000
33,636
1. Land and Property
1. Land and Property
1. Land Acquisitions
$ -
30,939,515
$
744,957
$
31,684,472
$
21,625,058
$
53,309,530
$
28,146,646
$
112,245,335
$
$ 25,739,757
$ 10,000,000
229,441,268
$
$ 6,821
14.22%
$ 229,441,268
1a.Bus Terminus land
2,700,000
$
2,700,000
$
2,700,000
$
5,400,000
$
2,700,000
$
8,100,000
$
$ 241
0.50%
$ 8,100,000
1b Depot land
1,500,000
$
1,500,000
$
32,290,000
$
32,290,000
$
33,790,000
$
33,790,000
$
$ 1,005
2.09%
$ 33,790,000
2.Relocations
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
3. Alterations /Refurbishments/
Demolitions
2,554,200
$
2,554,200
$
2,554,200
$
$ 3,000,000
5,554,200
$
$ 165
0.34%
$ 5,554,200
4. Legal and other Fees
2% $ -
30,000
$
30,000
$
672,790
$
660,699
$
1,333,489
$
486,501
$
1,849,990
$
616,933
$
2,244,907
$
$ 514,795
$ 200,000
5,426,625
$
$ 161
0.34%
$ 5,426,625
Sub Total Land and Property
$ -
1,530,000
$
1,530,000
$
34,312,305
$
36,249,856
$
70,562,161
$
24,811,559
$
96,903,720
$
31,463,579
$
114,490,242
$
$ 26,254,552
$ 13,200,000
282,312,093
$
$ 282,312,093
2. Investigation and
1.Planning
1.Route development costs
Reporting
2. Consultation
2.Approvals
1.Designations costs
$ 890
1.85%
2%
3%
2,867,833
$
1,448,458
$
4,316,291
$
4,460,760
$
3,344,172
$
7,804,932
$
3,783,785
$
15,905,008
$
4,427,524
$
4,169,055
$
5,375,560
$
52,061
$
29,929,208
$
41,127,703
$
2. Legigslive approvals costs
3.Funding
1.Outline business case
2. Full business case
Sub Total Investigation and Reporting
2,867,833
$
1,448,458
$
4,316,291
$
4,460,760
$
3,344,172
$
7,804,932
$
3,783,785
$
15,905,008
$
4,427,524
$
4,169,055
$
$ 5,375,560
29,877,147
$
$ 41,127,703
3. Developed design
1.Preliminary Design
reporting including D&C 2.Reference Design
$ 890
1.85%
3%
3%
2,867,833
$
1,448,458
$
4,316,291
$
4,460,760
$
3,344,172
$
7,804,932
$
3,783,785
$
15,905,008
$
4,427,524
$
4,169,055
$
5,375,560
$
52,061
$
29,929,208
$
61,691,555
$
Contract monitoring
3. Detailed Design
4. Procurement
5.Programme and
1.Internal management costs
0.5%
477,972
$
241,410
$
719,382
$
743,460
$
557,362
$
1,300,822
$
630,631
$
2,650,835
$
737,921
$
694,843
$
$ 895,927
$ 8,677
4,988,203
$
$ 148
0.31%
2.5% $ 51,409,629
Project Management
2.External management support
0.5%
477,972
$
241,410
$
719,382
$
743,460
$
557,362
$
1,300,822
$
630,631
$
2,650,835
$
737,921
$
694,843
$
$ 895,927
$ 8,677
4,988,203
$
$ 148
0.31%
1% $ 20,563,852
3.D&C Contract Monitoring
0.5%
477,972
$
241,410
$
719,382
$
743,460
$
557,362
$
1,300,822
$
630,631
$
2,650,835
$
737,921
$
694,843
$
$ 895,927
$ 8,677
4,988,203
$
$ 148
0.31%
0.5% $ 10,281,926
4.Stakeholder& Publicity
0.50%
477,972
$
241,410
$
719,382
$
743,460
$
557,362
$
1,300,822
$
630,631
$
2,650,835
$
737,921
$
694,843
$
$ 895,927
$ 8,677
4,988,203
$
$ 148
0.31%
0.5% $ 10,281,926
Sub Total Developed design and D&C monitoring
4,779,721
$
2,414,098
$
7,193,819
$
7,434,600
$
5,573,620
$
13,008,220
$
6,306,309
$
26,508,348
$
7,379,208
$
6,948,427
$
$ 8,959,268
49,795,251
$
$ 1,480
$ -
$ 154,228,888
4. Detailed design and
1.Track
1.Trackbed and rail
14,324,450
$
5,307,940
$
19,632,390
$
33,066,420
$
10,833,120
$
43,899,540
$
31,592,000
$
95,123,930
$
36,045,480
$
31,520,210
$
$ 48,147,200
210,836,820
$
$ 6,268
13.07% $ 4,200
$ 4,534
$ 4,534
$ 152,505,624
Construction
2.Bridges and support structures
500,000
$
N/A
500,000
$
10,000,000
$
N/A
10,000,000
$
5,000,000
$
15,500,000
$
5,000,000
$
11,000,000
$
N/A
31,500,000
$
$ 936
1.95%
$ 31,500,000
3.Portals or underpasses
18,411,835
$
N/A
18,411,835
$
N/A
N/A
N/A
N/A
N/A
N/A
N/A
N/A
18,411,835
$
$ 547
1.14%
18,411,835
$
4.Public realm
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
5. Public Art
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
6. Track drainage & attenuation
5,733,096
$
2,292,862
$
8,025,958
$
16,645,770
$
1,424,850
$
18,070,620
$
13,772,500
$
39,869,078
$
15,743,790
$
13,740,008
$
$ 22,036,000
91,388,876
$
$ 2,717
5.66% $ 250
$ 270
$ 270
$ 9,081,720
2. Power
1.Supply
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
2.Sub-Stations
610,000
$
305,000
$
915,000
$
1,220,000
$
610,000
$
1,830,000
$
1,220,000
$
3,965,000
$
1,220,000
$
2,745,000
$
$ 2,745,000
10,675,000
$
$ 317
0.66% $ 82,600,000
$ 89,166,700
$ 89,166,700
$ 89,166,700
3. OLE
Not Required
Not Required
Not Required
Not Required
Not Required
Not Required
Not Required
Not Required
Not Required
Not Required
Not Required
Excluded
Excluded
4. Underground
4,329,320
$
1,581,040
$
5,910,360
$
10,478,400
$
3,396,000
$
13,874,400
$
9,650,000
$
29,434,760
$
11,029,800
$
9,929,360
$
$ 15,110,000
65,503,920
$
$ 1,947
4.06% $ 5,411
$ 5,841
$ 5,841
$ 196,467,876
3. Systems
1. Signalling
1,820,000
$
15,000
$
1,835,000
$
2,110,000
$
492,001
$
2,602,001
$
2,140,000
$
6,577,001
$
2,435,000
$
3,375,000
$
$ 1,530,000
13,917,001
$
$ 414
0.86% $ 1,500
$ 1,619
$ 1,619
$ 54,456,684
2. Telecoms
395,629
$
274,800
$
670,429
$
897,428
$
317,001
$
1,214,429
$
912,567
$
2,797,425
$
1,043,057
$
925,666
$
$ 1,443,429
6,209,577
$
$ 185
0.38% $ 1,000
$ 1,080
$ 1,080
$ 36,326,880
2.Statutory undertakers 1.D
iversions
5,764,200
$
2,228,300
$
7,992,500
$
9,642,200
$
1,128,000
$
10,770,200
$
9,324,950
$
28,087,650
$
8,966,700
$
10,360,150
$
$ 16,303,300
63,717,800
$
$ 1,894
3.95% $ 9,000
$ 9,716
$ 9,716
$ 326,807,376
Equipment
2.Upgrades
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
3.Highway costs
1.Highway changes
854,800
$
$ -
854,800
$
1,233,000
$
27,500
$
1,260,500
$
130,000
$
2,245,300
$
1,300,000
$
2,487,000
$
$ 339,000
6,371,300
$
$ 189
0.39% $ 1,100
$ 1,187
$ 1,187
$ 39,925,932
2. Bus Facilities
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
3. Cycle facilities
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
2,314,575.00
$
2,020,140
$
3,200,000
$
7,534,715
$
7,534,715
$
4. Stops
1. Civil Works
$ 1,415
2.95% $ 2,000
$ 2,159
$ 2,159
$ 47,599,860
10,054,590
$
1,442,120
$
11,496,710
$
9,954,560
$
9,954,560
$
6,681,800
$
28,133,070
$
9,421,590
$
3,188,680
$
6,856,520
$
47,599,860
$
2. Shelters and furniture
N/A
3. Bus Interchange
$ 217
0.45% ?
7,293,000
$
2,431,000
$
2,431,000
$
2,431,000
$
4,862,000
$
2,431,000
$
Not Required
Not Required
7,293,000
$
5.Support Facilities
1. Administration building/Control
centre
N/A
1,000,000
$
1,000,000
$
N/A
Part of depot
N/A
N/A
N/A
N/A
N/A
N/A
1,000,000
$
$ 30
0.06%
1,000,000
$
2.Control centre
Excluded
2,000,000
$
Excluded
Excluded
5,000,000
$
5,000,000
$
Excluded
5,000,000
$
Excluded
Excluded
Excluded
7,000,000
$
$ 208
0.43%
$ 8,500,000
3.Maintenance sheds
N/A
N/A
N/A
N/A
N/A
N/A
$ 1,974
4.12%
-
$
4.Storage sheds
N/A
15,270,308
$
15,270,308
$
N/A
50,000,000
$
50,000,000
$
N/A
65,270,308
$
N/A
N/A
N/A
1,140,000
$
66,410,308
$
73,993,096
$
$ 79,875,547
$ 79,875,547
$ 96,285,855
5. Storage Yards
N/A
N/A
N/A
N/A
N/A
N/A
6. Design
1. Detailed design
3,780,612
$
6,836,290
$
13,931,095
$
$ 779
1.62%
2.MSQA
4%
2,511,917
$
1,268,695
$
-
$
3,907,151
$
2,929,139
$
-
$
3,314,193
$
-
$
3,878,040
$
3,651,649
$
4,708,418
$
45,600
$
26,214,802
$
18%
202,115,530
$
6.Programme and
1.Temporary traffic Management
4.50%
2,825,906
$
1,427,282
$
4,253,188
$
4,395,545
$
3,295,281
$
7,690,826
$
3,728,467
$
15,672,481
$
4,362,795
$
4,108,105
$
$ 5,296,970
$ 51,300
29,491,651
$
$ 877
1.83%
4.5%
$ 50,528,883
Project Management
2.Preliminaries and General
22%
14,989,863
$
7,570,936
$
22,560,799
$
23,315,924
$
17,479,636
$
40,795,560
$
19,777,445
$
83,133,804
$
23,142,202
$
21,791,213
$
$ 28,097,484
$ 272,118
156,436,821
$
$ 4,651
9.69%
30%
$ 412,652,541
Sub Total Base D&C
83,125,606
$
41,984,283
$
125,109,889
$
129,297,398
$
96,932,528
$
226,229,926
$
109,674,922
$
461,014,737
$
128,334,029
$
120,842,181
$
$ 155,813,321
$ 1,509,018
867,513,286
$
$ 25,791
53.76%
$ 1,788,161,011
Off site Overheads and Profit
15%
12,468,841
$
6,297,642
$
18,766,483
$
19,394,610
$
14,539,879
$
33,934,489
$
16,451,238
$
69,152,210
$
19,250,104
$
18,126,327
$
$ 23,371,998
$ 226,353
130,126,992
$
$ 3,869
8.06%
$ 268,224,152
Sub Total D&C
95,594,447
$
48,281,925
$
143,876,372
$
148,692,008
$
111,472,407
$
260,164,415
$
126,126,160
$
530,166,947
$
147,584,133
$
138,968,508
$
$ 179,185,319
$ 1,735,371
997,640,278
$
$ 29,660
$ 1
$ 2,056,385,163
Total excluding Risk
103,242,001
$
53,674,481
$
156,916,482
$
194,899,673
$
156,640,055
$
351,539,728
$
161,027,813
$
669,484,023
$
190,854,444
$
264,576,232
$
$ 219,774,699
$ 14,935,371
1,359,624,769
$
$ 40,422
$ 1
$ 2,534,053,847
Contingency (P50)
Estimating Risk
4.27%
4,408,433
$
2,291,900
$
6,700,334
$
8,322,216
$
6,688,530
$
15,010,746
$
6,875,888
$
28,586,968
$
8,149,485
$
11,297,405
$
$ 9,384,380
$ 637,740
58,000,000
$
$ 1,724
3.59%
10%
$ 253,405,385
Scope Risk
6.00%
6,194,520
$
3,220,469
$
9,414,989
$
11,693,980
$
9,398,403
$
21,092,384
$
9,661,669
$
40,169,042
$
11,451,267
$
15,874,574
$
$ 13,186,482
$ 896,122
60,000,000
$
$ 1,784
3.72%
10%
$ 253,405,385
Specific Risk
10%
10,324,200
$
5,367,448
$
15,691,648
$
19,489,967
$
15,664,006
$
35,153,973
$
16,102,781
$
66,948,402
$
19,085,444
$
26,457,623
$
$ 21,977,470
$ 1,493,537
135,962,477
$
$ 4,042
$ -
10%
$ 253,405,385
Sub Total Contingency
20,927,153
$
10,879,817
$
31,806,971
$
39,506,163
$
31,750,939
$
71,257,103
$
32,640,338
$
135,704,412
$
38,686,196
$
53,629,602
$
$ 44,548,332
$ 3,027,399
253,962,477
$
$ 7,550
$ -
$ 760,216,155
Total expected cost
124,169,154
$
64,554,298
$
188,723,453
$
234,405,836
$
188,390,994
$
422,796,831
$
193,668,151
$
805,188,435
$
229,540,640
$
318,205,834
$
$ 264,323,031
$ 17,962,770
1,613,587,246
$
$ 47,972
$ 3
,294,270,002
Post per m
59,668
$
77,589
$
64,787
$
44,905
$
104,662
$
60,227
$
38,734
$
53,920
$
40,165
$
63,794
$
$ 33,040
47,972
$
Contingency (P95)
Estimating Risk
Scope Risk
91%
Specific Risk
Sub Total P95
Total Funding Risk Cost
CCFAS2 Draft Estimate estimate-2.12.2014 LPD rev c
Final Summary @ 0% Syd 2 Auc
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
Appendix 2
Option 9a cost summaries
mak i ng the
di ff er en c e
Peer review of Auckland Light Rail Cost Estimate
5/12/2014
Summary HR & LR
Element
Item description
Draft Estimate
T&T Peer review Price
Comments
2.12.2014 Price
NZ$ (inflated 0%)
NZ$
17,099 17,099 Length
1. Land and Property
192,681,194 199,821,194
Draft Estimate 2.12.2014 has an error in calculations. $7m.
2. Investigation and Reporting
17,995,062 24,455,672
Percentage based calculation
3. Developed design reporting including D&C Contract
29,991,770 73,367,015
Draft Estimate 2.12.2014 has a total 5%. T&T have increased to
monitoring
7.5%.
4. Detailed design and Construction
521,595,966 850,632,056
Split of the total is No1-6
1.Track
207,841,052 176,391,909
Insufficient time to fully analyse the costs, therefore the Draft
Estimate 2.12.2014 has been used and adjusted in line with T&T's
benchmarked data. T&T reduced by $31m
2. Power
30,196,080 107,328,999
Insufficient time to fully analyse the costs, therefore the Draft
Estimate 2.12.2014 has been used and adjusted in line with T&T's
benchmarked data. Added an additional $52m for the power and an
additional $25 for the substations
3. Systems
7,669,021 7,669,021
Insufficient time to fully analyse the costs, therefore the Draft
Estimate 2.12.2014 has been used. The initial view is the estimate
is low, although the benchmarked data is not readily available to
change the Draft Estimate 2.12.2014.
2.Statutory undertakers
30,272,600 128,630,124
Insufficient time to fully analyse the costs, therefore the Draft
Equipment
Estimate 2.12.2014 has been used. An additional $98m has been
added to the utilities estimate.
3.Highway costs
6,514,830 6,514,830
Insufficient time to fully analyse the costs, therefore the Draft
Estimate 2.12.2014 has been used. The initial view is the estimate
is low, although the benchmarked data is not readily available to
change the Draft Estimate 2.12.2014.
4. Stops
38,280,052 38,280,052
Insufficient time to fully analyse the costs, therefore the Draft
Estimate 2.12.2014 has been used. The initial view is the estimate
is low, although the benchmarked data is not readily available to
change the Draft Estimate 2.12.2014.
5.Support Facilities
73,270,308 104,645,855
Insufficient time to fully analyse the costs, therefore the Draft
Estimate 2.12.2014 has been used. The initial view is the estimate
is low, therefore an additional $30m has been added to the to
depot.
6. Design
15,761,758 85,419,119
Draft Estimate 2.12.2014 had 4%. T&T benchmarked data and
market knowledge highlights the design is severely under-priced.
T&T have allowed 15%.
6.Programme and
111,790,265 195,752,147
The Draft Estimate 2.12.2014 has preliminaries at 22%. T&T have
Project Management
increased to 25%.
check
- -
Off site Overheads and Profit @ 15%
78,239,394 127,594,808
risk
170,370,037 382,761,225
WT Risk @ 20.27% . T&T Risk @ 30%.
1.0795 exchange rate used
Total expected cost
1,010,873,423 1,658,631,970
CCFAS2 Draft Estimate estimate-2.12.2014 LPD rev c
Summary HR& LR
Heavy rail and light rails
#REF!
DRAFT COMMERCIAL IN CONFIDANCE
excludes heavy rail with park and
ride and final depot
LR
HR
a
b
c
d
e
f
Convert Sydney
price to Auckland
Convert Aus $ prices. (Assumed
Stage 1A Queen
Temporary
to NZ $
increase of 0%,
T&T expected
Queen Street to New Market to
% of total
T&T expected
Level 1-Project Stage
level 1 Cost Asset
Level3 Cost Sub Asset
Street ( Fort to Ian
Depot Including
Final Depot
Total
$ / m
$ / m
(1:1.0795)
having looked
Auckland price X
Newmarket
Onehunga
expected $
Aus $/m
Mkinnan Drive )
rail link
(XE.com
through the WT
route length
03.12.14)
BoQ the rates look
Heavy Rail with Park
inline with
Level 4 Cost Activity
and Ride
expectations of
Length
2,081 832 2,326 8,000
13,239
1. Land and Property
1. Land and Property
1. Land Acquisitions
$ 7,
000,000
$ 110,
264,033
$ 33,
933,216
$ 30,
000,000
$ 181,
197,249
$ 3,
109
$ 47,
405
$ 181,
197,249
2.Relocations
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
3. Alterations /Refurbishments/
Demolitions
$ 15,
000,000
$ 15,
000,000
$ -
$ -
$ 15,
000,000
4. Legal and other Fees
2% $ 140,
000
$ -
$ -
$ 2,
205,281
$ 678,
664
$ 600,
000
$ 3,
623,945
$ 62
$ 948
$ 3,
623,945
Sub Total Land and Property
$ -
$ -
$ 112,
469,314
$ 34,
611,880
$ 45,
600,000
$ 192,
681,194
$ 3,
172
$ 48,
353
$ 199,
821,194
2. Investigation and
1.Planning
1.Route development costs
$ 888
$ 820
Reporting
2. Consultation
$ -
$ -
$ -
2.Approvals
1.Designations costs
$ -
$ -
2.5% $ 24,
455,672
3%
$ 3,
885,023
$ 2,
867,833
$ 1,
448,458
$ 1,
906,467
$ 5,
375,560
$ 2,
511,721
$ 17,
995,062
2. Legigslive approvals costs
$ -
$ -
$ -
3.Funding
1.Outline business case
$ -
$ -
$ -
2. Full business case
$ -
$ -
$ -
Sub Total Investigation and Reporting
$ 3,
885,023
$ 2,
867,833
$ 1,
448,458
$ 1,
906,467
$ 5,
375,560
$ 2,
511,721
$ 17,
995,062
$ 888
$ 820
$ 24,
455,672
3. Developed design
1.Preliminary Design
$ 888
$ 820
reporting including D&C
2.Reference Design
$ -
$ -
3% $ 29,
346,806
3%
$ 3,
885,023
$ 2,
867,833
$ 1,
448,458
$ 1,
906,467
$ 5,
375,560
$ 2,
511,721
$ 17,
995,062
Contract monitoring
3. Detailed Design
$ -
$ -
4. Procurement
$ -
$ -
5.Programme and
1.Internal management costs
0.5%
$ 647,
504
$ 477,
972
$ 241,
410
$ 317,
744
$ 895,
927
$ 418,
620
$ 2,
999,177
$ 148
$ 137
2.5% $ 24,
455,672
Project Management
2.External management support
0.5%
$ 647,
504
$ 477,
972
$ 241,
410
$ 317,
744
$ 895,
927
$ 418,
620
$ 2,
999,177
$ 148
$ 137
1% $ 9,
782,269
3.D&C Contract Monitoring
0.5%
$ 647,
504
$ 477,
972
$ 241,
410
$ 317,
744
$ 895,
927
$ 418,
620
$ 2,
999,177
$ 148
$ 137
0.5% $ 4,
891,134
4.Stakeholder& Publicity
0.50%
$ 647,
504
$ 477,
972
$ 241,
410
$ 317,
744
$ 895,
927
$ 418,
620
$ 2,
999,177
$ 148
$ 137
0.5% $ 4,
891,134
Sub Total Developed design and D&C monitoring
$ 6,
475,039
$ 4,
779,721
$ 2,
414,098
$ 3,
177,443
$ 8,
959,268
$ 4,
186,201
$ 29,
991,770
$ 1,
480
$ 1,
366
$ 73,
367,015
4. Detailed design and
1.Track
1.Trackbed and rail
$ 14,
324,450
$ 5,
307,940
$ 14,
899,240
$ 48,
147,200
$ 151,
449,143
$ 6,
211
$ 6,
406
$ 120,
000,000
Construction
2.Bridges and support structures
$ 500,
000
N/A
$ -
N/A
$ 500,
000
$ 500,
000
3.Portals or underpasses
$ 18,
411,835
N/A
N/A
N/A
$ 18,
411,835
$ 18,
411,835
$ 68,
770,313
4.Public realm
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
5. Public Art
Excluded
Excluded
Excluded
Excluded
Excluded
Excluded
6. Track drainage & attenuation
$ 5,
733,096
$ 2,
292,862
$ 7,
418,116
$ 22,
036,000
$ 37,
480,074
$ 2,
755
$ 3,
189
$ 37,
480,074
2. Power
1.Supply
Excluded
Excluded
Excluded
Excluded
$ -
$ -
2.Sub-Stations
$ 610,
000
$ 305,
000
$ 915,
000
$ 2,
745,000
$ 4,
575,000
$ 335
$ 393
$ 30,
000,000
3. OLE
Not Required
Not Required
Not Required
Not Required
Not Required
Not Required
4. Underground
$ 4,
329,320
$ 1,
581,040
$ 4,
600,720
$ 15,
110,000
$ 25,
621,080
$ 1,
926
$ 1,
978
$ 5,
411
$ 5,
841
$ 5,
841
$ 77,
328,999
3. Systems
1. Signalling
$ 1,
820,000
$ 15,
000
$ 1,
760,000
$ 1,
530,000
$ 5,
125,000
$ 308
$ 757
$ 5,
125,000
2. Telecoms
$ 395,
629
$ 274,
800
$ 430,
163
$ 1,
443,429
$ 2,
544,021
$ 194
$ 185
$ 2,
544,021
2.Statutory
1.Diversions
$ 5,
764,200
$ 2,
228,300
$ 5,
976,800
$ 16,
303,300
$ 30,
272,600
$ 2,
226
$ 2,
570
$ 9,
000
$ 9,
716
$ 9,
716
$ 128,
630,124
undertakers
2.Upgrades
Excluded
Excluded
Excluded
Excluded
$ -
$ -
3.Highway costs
1.Highway changes
$ 854,
800
$ -
$ 1,
179,000
$ 339,
000
$ 2,
372,800
$ 109
$ 507
$ 2,
372,800
2. Bus Facilities
Excluded
Excluded
Excluded
Excluded
$ -
$ -
3. Cycle facilities
Excluded
Excluded
$ 942,
030
$ 3,
200,000
$ 4,
142,030
$ 405
$ 4,
142,030
4. Stops
1. Civil Works
$ 9,008,342
$ 1,
682
$ 1,
559
$ 30,
987,052
$ 10,
054,590
$ 1,
442,120
$ 3,
625,480
$ 6,
856,520
$ 30,
987,052
2. Shelters and furniture
$ -
$ -
$ -
3. Bus Interchange
$ -
$ -
$ 7,
293,000
$ 7,
293,000
$ 7,293,000
$ -
$ -
$ -
5.Support Facilities
1. Administration building/Control
centre
N/A
$ 1,
000,000
N/A
N/A
$ 1,
000,000
$ 1,
000,000
2.Control centre
Excluded
$ 2,
000,000
Excluded
Excluded
$ 5,
000,000
$ 7,
000,000
$ 8,
500,000
Excluded
3.Maintenance sheds
N/A
N/A
N/A
4.Storage sheds
N/A
$ 15,
270,308
N/A
N/A
$ 65,
270,308
$ 73,
993,096
$ 79,
875,547
$ 79,
875,547
$ 95,
145,855
5. Storage Yards
N/A
Excluded
Excluded
$ 50,
000,000
$ -
6. Design
1. Detailed design
$ 778
$ 718
2.MSQA
4%
$ 3,
402,866
$ 2,
511,917
$ 1,
268,695
$ 1,
669,862
$ 4,
708,418
$ 2,
200,000
$ 15,
761,758
$ -
$ -
15% $ 85,
419,119
6.Programme and
1.Temporary traffic Management
4.50%
$ 3,
828,224
$ 2,
825,906
$ 1,
427,282
$ 1,
878,595
$ 5,
296,970
$ 2,
475,000
$ 17,
731,977
$ 875
$ 808
4.5% $ 25,
625,736
Project Management
22%
2.Preliminaries and General
$ 20,
306,604
$ 14,
989,863
$ 7,
570,936
$ 9,
964,901
$ 28,
097,484
$ 13,
128,500
$ 94,
058,288
$ 4,
642
$ 4,
284
25% $ 170,
126,411
Sub Total Base D&C
$ 112,
609,349
$ 83,
125,606
$ 41,
984,283
$ 55,
259,907
$ 155,
813,321
$ 72,
803,500
$ 521,
595,966
$ 25,
742
$ 23,
757
$ 850,
632,056
Off site Overheads and
15%
$ 16,
891,402
$ 12,
468,841
$ 6,
297,642
$ 8,
288,986
$ 23,
371,998
$ 10,
920,525
$ 78,
239,394
$ 3,
861
$ 3,
564
$ 127,
594,808
Sub Total D&C
$ 129,
500,751
$ 95,
594,447
$ 48,
281,925
$ 63,
548,893
$ 179,
185,319
$ 83,
724,025
$ 599,
835,360
$ 29,
603
$ 27,
321
$ 978,
226,864
Total
$ 139,
860,813
$ 103,
242,001
$ 52,
144,481
$ 181,
102,117
$ 228,
132,027
$ 136,
021,947
$ 840,
503,386
$ 35,
143
$ 77,
860
$ 1,
275,870,745
Contingency (P50)
Estimating Risk
4.27%
$ 5,
972,057
$ 4,
408,433
$ 2,
226,569
$ 7,
733,060
$ 9,
741,238
$ 5,
808,137
$ 35,
889,494
$ 1,
501
$ 3,
325
10% $ 127,
587,075
Scope Risk
6.00%
$ 8,
391,649
$ 6,
194,520
$ 3,
128,669
$ 10,
866,127
$ 13,
687,922
$ 8,
161,317
$ 50,
430,204
$ 2,
109
$ 4,
672
10% $ 127,
587,075
Specific Risk
10%
$ 13,
986,081
$ 10,
324,200
$ 5,
214,448
$ 18,
110,212
$ 22,
813,203
$ 13,
602,195
$ 84,
050,339
$ 3,
514
$ 7,
786
10% $ 127,
587,075
Sub Total Contingency
$ 28,
349,787
$ 20,
927,153
$ 10,
569,686
$ 36,
709,399
$ 46,
242,363
$ 27,
571,649
$ 170,
370,037
$ 382,
761,225
Total D&C expected cost
$ 168,
210,600
$ 124,
169,154
$ 62,
714,167
$ 217,
811,516
$ 274,
374,390
$ 163,
593,596
$ 1
,010,873,423
1,658,631,970
$
Post per m
$ 59,
668
$ 75,
378
$ 93,
642
$ 34,
297
$ 76,
356
$ 125,
284
Contingency (P95)
Estimating Risk
Scope Risk
Specific Risk
Sub Total P95
CCFAS2 Draft Estimate estimate-2.12.2014 LPD rev c
HR & LR
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
Appendix 3
Query and response summary
mak i ng the
di ff er en c e
Queries / Observations
Issue: 1
Tel: 02 8245 0000
Fax: 02 8245 0099
Level 14, 55 Clarence Street Sydney 2000
From:
David Creegan
To:
Auckland Transport
Date:
03.12.14
Copy:
Project:
City Centre Future Access
Job Ref:
Study 2 (CCFAS2)
Nr
Query
Response (04-Dec-14)
1
Power supply– Why has this been excluded from
Upgrade of Transpower’s grid only has been
the estimate?
excluded
2
How many
substations are allowed for?
One Substation has been allowed every 1.5km of
route as advised by Arup , (Queen street 2 no,
Post response note:
Dominion Road 4 no, Stoddard 2 no, Sandringham
4 no, Mt Eden, 4 no, Quay to new market 3 no,
From our analysis of the draft estimate it would
Newmarket to Onehunga 4 no) Total 23 Nr
appear that the following substations are included;
Stage 1 – 3 Nr
Stage 2 – 6 Nr
Stage 3 – 4 Nr
Stage 4 – 4 Nr
Stage 5 – 18 Nr
3
Statutory undertakers – What level of detail and Statutory undertakers the level of detail is as that
design was available when the estimate was
shown on Auckland Council web site GIS viewer,
produced?
plus a site observation , For Dominion road we
have greater details as a project was about to get
underway for its upgrade. Generally the storm
water and sewer is near to the centre of the road,
water is all over the place, the rest is either in the
footpaths or overhead.
4
Depot - Final summary tab - 4. Detailed design
These are plugged figures that need to be
and Construction, 5.Support Facilities 1. & 2. What
combined with the temp depot, what is required in
is the basis for the estimates of the $1,000,000 &
addition to the existing bus/ traffic ops for just
$2,000,000? They do not appear within the build
Queen street stage has not been detailed.
up for the ‘Depot Link’
5
How many
Light Rail Vehicles should be included The vehicles costs have been included by the
and what is the unit price?
others
Post response note:
$6,130,000 per LRV
Option 9a 22 Nr, Option 4 54 Nr
ALR REQUESTS FOR CLARIFICATION 141204
PAGE 1 of 3
Auckland Transport – City Centre Future Access Study 2 Capex Peer Review Continuation Page 2
Nr
Initial Observations
Response (04-Dec-14)
1
Design Costs appear very low at 4% of direct Only detailed design is at 4% as this is the bit the
construction costs. Ranges for similar light rail contractors will do there is another 3% for I&R and
projects globally are c. 15% to +20%.
5% for Developed design a total of 11% possibly
light overall.
Post response note:
3% (of total D&C cost) for Investigation and
Reporting (I&R), includes planning, approvals and
funding activities.
5% (of total D&C cost) for Developed design,
includes preliminary design, reference design,
detailed design, procurement and programme and
project management (3% for the design and
procurement, 2% for management).
2
There appears to be errors in the ‘Final Summary’
This has been corrected
tab. Calculations for columns Stage 1 Total, Stage
2 Total, Stages 1 – 3 do not pick up all of the cells.
The Total column appears to be correct.
3
The temporary depot has a very detailed cost plan
Correct it is a plugged figure based on advice from
totalling $15,270,308. Then the
stage 2 depot
Arup there is no details of the requirements
has a round $50,000,000 in the estimate with no
back up. The round number seems to be a plug
figure rather than a cost estimate.
4
The cost allowance for substations appears to be
I was concerned with this cost in the last update
very low on first inspection
this has been increased to $305k each, do T&T
have any better current information
5
Light rail systems, signalling and telecoms
Signalling is based on the number of intersections
appears to be set at a very low price point and
that need traffic light alterations , telecoms is for
may not include all scope required for a wire free
the backbone only the head equipment is included
light rail system.
in the support facilities, if they have any better
information this would be appreciated
6
Statutory undertakers – Appears to have been
This has recently been increased due to the
priced very low when compared to other light rail
requirement to move 195m of kerb line at each
systems in major city centre locations.
station, see also comment on Query 3 the amount
not included is $63m
7
Project Management costs. – Final summary
PM costs of 7-11% appear high to me Victoria
tab - 3. Developed design reporting including
what are your thoughts
Design & Construct Contract monitoring,
5.Programme and Project Management. The total
of these is 2%. We would expect to see a lot
higher percentage, possibly in the range of 7% to
+11%.
8
The
Highway costs appear to be low. Turner &
Highway costs have been based on the clearance
Townsend need to understand the route in more
of any obstructions in the centre of the road, is
detail to comment further.
has generally been assumed that the tracks run
down the centre of the road and there would be
little change to the road profile, a stitch make up
has been included in the track bed and a similar
item has also been included in the station/ station
footpaths
ALR REQUESTS FOR CLARIFICATION 141204
PAGE 2 of 3
Auckland Transport – City Centre Future Access Study 2 Capex Peer Review Continuation Page 3
Nr
Initial Observations
Response (04-Dec-14)
9
The project is the first wire free light rail system in
The risk assessed contingency is being worked on,
New Zealand and the first 100% wire free system
currently it is lower than that detailed on the
globally we understand. The
P50 risk allowance
spread sheet of 20%
appears to be low when compared to other
projects at this stage of development and
considering no project of this nature has been
constructed
10
Spreadsheet, CCFAS2 Draft Estimate estimate-
These have been corrected
2.12.2014, tab HR & LR has a lot of cells
containing #VALUE!
11
Preliminaries & Traffic Management are lower
P&G For NZ a P&G of over 24% for a design and
than expected with respect to the direct
build contract would be surprising , it would be
construction cost component at a composite rate
useful to know what form of procurement and
of 24%. Benchmarked light rail data indicates a
associate P&G % then have information on
preliminaries and traffic management composite
percentage over 25%, with some examples closer
[P&G = Preliminaries & General]
to 48% and above.
ALR REQUESTS FOR CLARIFICATION 141204
PAGE 3 of 3
Auckland Transport – Commercial in Confidence
City Centre Future Access Study 2
Appendix 4
Additional power and rail systems notes
mak i ng the
di ff er en c e
Notes: Auckland Transport LR Peer Review (04-Dec-14)
Light Rail
Power/Substations
o
The quantity of substations needs to be revised, at present the quantity is aligned
with the number of stops, instead of the usual 1.5-2km along the route; the
substation spacing was detailed by email from Arup’s Andy Wood on 04/12/2014.
o
The rate for the substation is significantly low. It appears that general distribution
11kV kiosk substations have been costed, these are not the type of substation
required for light rail power reticulation. This type of substation may be the source
of the power for the light rail substation.
o
Internal cabling cost will be higher due to cable, trays, termination, testing and
commissioning.
o
No allowance appears to have been made for AC and DC commissioning.
Power/Underground
o
The allowance for the light rail substation feeders is significantly low. The feeder
route will generally be routed within the road footprint to avoid services and can be
more than one kilometre in length. This means the installation of cable jointing and
change of direction pits along the buried route and a much lower trenching
productivity rate, road closure fees and more traffic management. Metre rate=
$1,563
o
Substation feeder cable: The allowance appears to be too high, this takes into
account the cost of the cable (11kV 3 core 240 mm² XLPE), cable hauling, cable
jointing and termination. Metre rate= $172
Power/Charger stations
o
There is no cost breakdown. There is most likely a requirement for 2 Nr 400 mm²
DC feeder cables to each charger station with an approximate length of 1,320 m
between the substation and the charger station. The cost of the cable supply and
installation is approximately $285,000, an additional amount of $50,000 per
charger unit will also be required.
Telecommunications
o
Ducts: The duct installation rate is too low, based on a first principles estimate for
a 0.5 x 1.2 m trench with a productivity of 25 m per crew per day.
o
Fibre cable: The installation of a 24 core single mode optical fibre cable is
assumed. The rate appears to be at least 50% too low considering OTDR testing,
cable supply and installation.
Heavy Rail
The cable support system cost is at least 20% too low based on a first principles estimate
for 100mm (Comms), 150mm (signalling) and 200mm (HVAC) galvanised steel trough
(GST).
