Sydney Metro is Australia’s first fully-automated railway and biggest public transport project.
New metro rail will become the transport spine for Greater Western Sydney, connecting communities and travellers with the new Western Sydney International (Nancy-Bird Walton) Airport and the growing region.
Location
Sydney, New South Wales, Australia
Client
Sydney Metro
Our role
Financial sponsor
Financial arranger
Commercial adviser
SPV manager
Investor
Construction
Siemens Mobility and Webuild
Operations
RATP Dev
Financial close
December 2022
Contrat terms
Design, build, finance, operate and maintain for 15 years
2023 awards
The 23-kilometre railway will provide significant economic and social benefit, linking residential areas with job centres and connect travellers from the new airport to the rest of Sydney’s public transport system.
The project will help shape the future of the vibrant and growing Greater Western Sydney region and connect commuters and travellers with the new Western Sydney International Airport, providing major economic stimulus and supporting more than 14,000 jobs during construction.
The SSTOM project comprises the delivery of six new stations between St Marys and the new Aerotropolis, 12 new metro trains, core rail systems and a stabling and maintenance facility to be built at Orchard Hills. Parklife Metro will also operate and maintain the line for 15 years once operational.
A project of many firsts, it was the largest transport PPP to close in Australia in 2022 and is the largest PPP awarded in the state of New South Wales to date.
In addition to the best practice passenger experience provided via the trains, stations and their surrounding precincts, the project will also deliver a host of benefits to the local economy during construction, sourcing from local businesses and creating local jobs.
Parklife Metro’s design and operational solution means Sydney Metro – Western Sydney Airport will be the first rail project in Australia to commit to becoming certified carbon neutral from the start of construction all the way throughout operation.
All carbon emissions generated during construction and operation will be reduced and offset.
This includes carbon emissions from manufacturing materials like concrete and steel used to build tunnels and viaducts, the fuel used by excavators for earthworks, electricity in the site sheds and even the emissions generated by waste breaking down in landfill.
The project will also use solar panels onsite and renewable energy as part of the operational electricity offset commitment.
To ensure full transparency and a robust third-party verification of net zero carbon, Sydney Metro – Western Sydney Airport will seek recognition under the Australian Government’s Climate Active Carbon Neutral Service certification program, once the project is complete.
All Sydney Metro projects have committed to offsetting 100 per cent of carbon emissions associated with electricity consumption during operations, thereby managing about 70 percent of carbon emissions generated over the project life cycle.
Parklife Metro arranged combined Green and Sustainability-Linked debt financing for the project.
The cost of debt financing is linked to the project achieving and maintaining best-practice industry participation, Aboriginal and Torres Strait Islander representation and environmentally-sustainable outcomes.
Climate Bonds Initiative certification is being obtained to provide further commitment to ambitions in terms of best practice and standards for climate action, reporting and disclosure.
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