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Iran expects allocation of funds for railway in Bushehr province

Transport Materials 3 December 2019 16:14 (UTC +04:00)
Iran expects allocation of funds for railway in Bushehr province

BAKU, Azerbaijan, Dec. 3

By Elnur Baghishov - Trend:

The funds are expected to be allocated for the project related to the construction of a railway from Bushehr city in Iran’s southern Bushehr province to Shiraz city in Fars province, Director General of the Roads and Urban Development Department of the Bushehr province Farzad Rostami said.

“The length of the Bushehr-Shiraz-Asaluyeh railway will be 662 kilometers,” Rostami added, Trend reports referring to IRNA. “First of all, the construction of the Bushehr-Shiraz railway with a length of 450 kilometers is on the agenda.”

“The 10th part of the project is located in Bushehr province between Ahrom-Kalma and its length is 25.5 kilometers,” the director general added.

“A preliminary agreement worth 2.34 trillion rials (about $55.7 million) was concluded from March 21, 2018 through March 21, 2019,” Rostami said.

“This section is considered the most difficult part on the Bushehr-Shiraz railway,” the director general said. “About a third of them will account for long bridges while a quarter - for tunnels.”

“Some 650 billion rials (about $15.4 million) in the budget for this year (from March 21, 2019 through March 21, 2020) are envisaged for the project and up till now 150 billion rials (about $3.57 million) have been allocated,” Rostami said.

“In accordance with the Iranian Economic Council’s order, the funds are envisaged for 450 kilometers of the project,” the director general said.

"Iran's Jahanpars Engineering and Construction Co. and the Chinese company held discussions related to five billion Chinese yuan and the initial version of the contract was signed," Rostami said.

Rostami said that the final agreement will not be signed soon.

“If the Iranian Ministry of Petroleum allocates one trillion rials (about $23.8 million) a year, it is possible to launch the implementation of all parts of the project,” the director general said.

The 450-km-Bushehr-Shiraz railway project has been divided into 11 parts.

The purpose of the railway construction is to connect Iran’s Bushehr province to the Iranian railway network.

After the railway is commissioned, three million tons will be transported during the first year and this volume will be increased up to 10 million tons during 10 years. One million passengers will be transported during the first year and the number of passengers will be increased up to two million passengers during 10 years.

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