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Singapore firms band together for HSR projects
SIX Singapore companies are teaming up to participate in high-speed rail projects starting with the Kuala Lumpur-Singapore High Speed Rail (KL-SG HSR).
The six companies brought together by International Enterprise (IE) Singapore are Clifford Capital Pte Ltd, DBS Bank, Sembcorp Design & Construction, SMRT International Pte Ltd, Surbana Jurong Pte Ltd and Singapore Technologies Electronics Ltd (ST Electronics).
These six companies intend to partner international players to jointly participate in the KL-SG HSR.
The Business Times understands that their collaboration will potentially extend towards an upcoming AssetsCo tender for the KL-SG-HSR project.
Singapore's Land Transport Authority (LTA) and Malaysia's MyHSR Corporation will conduct an industry briefing on July 5 to outline the parameters of the AssetsCo tender.
The AssetsCo will be responsible for the design, build, finance and maintenance of all rolling stock and the design, build, finance, operations and maintenance of all rail assets.
It will also coordinate the system's network capacity for operations and maintenance needs.
The AssetCo tender is expected to be called by the end of 2017.
The KL-SG HSR is a 350-kilometre rail line project that is targeted to be operational by the end of 2026.
The project is aimed at facilitating seamless travel between Kuala Lumpur and Singapore, enhancing business linkages and bringing the peoples of both countries closer.
IE Singapore's group director for environment and infrastructure solutions, Kow Juan Tiang, said: "Transport infrastructure accounts for 25 per cent of the US$4.3 trillion in global infrastructure spending in 2016 . . . This partnership between the six companies is crucial for building capabilities in new infrastructure verticals."
The partnership leverages the unique strengths of each company. Together, their solutions cover the entire value chain of financing, design, construction, system integration, operations and maintenance.
Sembcorp Design & Construction CEO Yam Ah Mee said: "By banding together, we have a stronger value proposition, combining many years of track record across the rail value chain.
"We plan to work with international partners with relevant rail experience as we participate in various aspects of the KL-SG HSR. Our wealth of local operating knowledge in Malaysia and Singapore is complementary."
Surbana Jurong's CEO International Teo Eng Cheong said: "Surbana Jurong sees the KL-SG HSR as a highly strategic project that opens up a new sector of growth for companies in the infrastructure space. We are therefore pleased to be part of this Singapore Inc partnership."