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MEGAPROJECT Case Study
Basic Project Information
Case compiled by: João de Abreu e Silva and Marisa Pedro...............................
Contact details: : joao.abreu@civil.ist.utl.pt ; marisa.pedro@ist.utl.pt ...............................
Project Title The High-Speed Project in Portugal
Location Portugal
Purpose Building and operation of the High Speed Rail network for Portugal consist of 5 links:
• Lisbon/Madrid: to strengthen the connection between the two capitals and increase
multimodality in the international connections
• Lisbon/Oporto: to create a new rail connection between the two main cities of Portugal,
and serve the intermediate region (+- 70% of GDP and +-61% population)
• Aveiro/Salamanca: to link Aveiro, Viseu and Mangualde by rail to Guarda and Spain.
They are included in Priority Project no.3 (“Southwest European High-speed Railway Line”)
• Oporto/Vigo: to strengthen the connections and multimodality between Oporto and Galiza
(Spanish)
Included in Priority Project no.19 (“High-speed Railway Interoperability in the Iberian
Peninsula”).
• Évora/Faro-Huelva: the latter depending on subsequent studies to be carried out
Scope Integrated with Trans-European Transport Network (TEN-T)
SECTION 1 - BASIC PROJECT INFORMATION
MEGAPROJECT Case Study
Basic Project Information
Project Title The High-Speed Project in Portugal
Total Project
Value
About 8.3 billions €
(1.4 B€ Oporto/Vigo, 4.5 B€ Lisbon/Oporto, 2.2 B€ Lisbon/Madrid)
Project Status
(i.e.. initiation, planning,
construction, operation,
dismantling)
Project suspended
Contractual
Framework
(e.g. fixed price, cost-plus
etc.)
Public Private Partnership (PPP)
• Designing, construction, financing and maintenance of the rail sub and superstructures (40
years)
• Designing, installation, financing and maintenance of the signals and telecom. (20 years).
• Lisbon station to be developed by REFER and Caia International Station to be developed
jointly by Portugal and Spain. Other rail stations are developed by PPP.
Operation: not yet totally defined
•The strategic role of regulation and network management resides with the State/REFER.
Relevant Physical
Dimensions (e.g.
height, width, volume,
length)
Lisbon/Madrid 640 km (203 km in Portugal), Oporto/Vigo 125 km (100 km in Portugal),
Lisbon/Oporto 290 km
Aveiro/Salamanca 170 km in Portugal, Évora/Faro-Huelva 200 km: Under study (probably
postponed)
SECTION 1 - BASIC PROJECT INFORMATION
MEGAPROJECT Case Study
SECTION 1 - BASIC PROJECT INFORMATION
Basic Project Information
Socio-Economic Impact
High-speed network coverage
56% of municipalities
81% of the population
87% of the GDP
Development in railway market share
In 2003: 4%
In 2025: 26%
Socio-economic impact during construction
On GDP: 1.7%
On employment: 1.4% or a maximum of
92,000 jobs
Socio-economic impact during operation
On GDP: ~1.025%
Annual environmental savings
In 2010: EUR 69 million
In 2025: EUR 184 million
(With conventional
component of TTT)
(With conventional component
between Évora and Caia)
Signalling and
Telecommunications SystemsSource: Annual report and accounts from RAVE (2004)
Stakeholder Category Case-Study
Comments
(e.g. maturity, previous
experiences of stakeholders,
skills, influence on project)
Internal
Supply-
Side
Client REFER E.P.E (Formerly RAVE a subsidiary of REFER created specifically for the implementation
of the HSR project)
Financiers European Union: Structural Funds (Cohesion Fund, Trans-European Transport Networks) and the
European Investment Bank (EIB). Private investment and Portuguese State funding.
DGTREN (Directorate-General of Transports and Energy). Operational Cash Flow
(Total investment: 8.3 Billions €)
Sponsors Portuguese State, EU Grants: TEN, Cohesion Fund (QREN), EU Priority Project nº16
(Sines/Madrid/Paris)
Client’s Customers General public (passengers), freight operators
Client’s Owners Portuguese State
Other internal supply-
side categories
( please specify)
Category Case-Study
Demand
Side)
Principal Contractor Concessionaire ELOS – Ligações de Alta Velocidade consortium (Caia-Poceirão; part of the link
Lisbon-Madrid)
The project (PPP1) is
suspended due to the
credit crisis
First Tier Contractors LGV-Engenharia e Construção de Linhas de Alta Velocidade, ACE Contracted by ELOS
Second Tier Contractors
Professional Services
Providers
KPMG II – Consultores de Negócios S.A. (financial services) and legal support from several
companies, Epypsa, Sener and Ferconsult, IN OUT GLOBAL, Steer Davies Gleave and VTM,
Deloitte, CEEETA, EUROESTUDIOS-COBA, TIS.pt, Biodesign, GLOBALVIA, GRID, CONSULGAL,
TYPSA, SENER, MUNICÍPIA, Terraforma, SOCINOVA, CISED, A.T.KEARNEY, CEA/UCP,
FERBRITAS, GESTE Engineering, LNEC (National Laboratory of Civil Engineering), …
Consultants of RAVE /
REFER
Other internal supply-
side categories
( please specify)
Category Case-Study
MEGAPROJECT Internal Stakeholder Identification
(Stakeholders with a direct legally sanctioned relationship with the project)
SECTION 2 - PROJECT STAKEHOLDERS
Stakeholder Category Case-Study
Comments
(e.g. maturity, previous
experiences of stakeholders,
skills, influence on project)
External
Public Regulatory Agencies IMTT (institute charged with the regulation and coordination of inland transport)
Local Government Municipal authorities/town councils and the Committees for Coordination and regional Development
(CCDR)
National Government MOPTC (Ministry of Transport), MF (Ministry of Finance and the Public Administration) and MA
(Ministry for Environment)
Other internal supply-side
categories
( please specify)
Category Case-study
APA (Portuguese Environmental Agency), INAG I.P. (Institute of Water), IGESPAR
I.P. (The Management Institute of Architectural and Archaeological Heritage)
Estradas de Portugal EP (Portuguese Roads Authority), APL (Lisbon Port Authority),
REN S.A. (National Transmission Network), CP E.P.E (Portuguese Railways), IGF
(General Inspectorate of Finance), …
Private Local residents Local Associations, residents associations
Local Landowners
Environmentalists non-governmental organizations for environment (ENGOs) like Quercus, LPN and Urbe, etc
Conservationists
Archaeologists
Other External Private
stakeholders
(please specify)
Category Casestudy
Universities and Technological Centres
Professional associations : ADFER (Portuguese Association for the Development of
Railway Transport), OE (board of engineers), CIP (Confederation of Portuguese
Industry), AEP (Portuguese Business Association),
Press & Media
Opinion makers, placement of news and opinion articles by companies interested in
the project
Political Opinion
MEGAPROJECT External Stakeholder Identification
SECTION 2 - PROJECT STAKEHOLDERS
(Stakeholders with a direct interest in the project but with no legal contract)
SECTION 2 -PROJECT STAKEHOLDERS
MEGAPROJECT Stakeholder Relationship Maps
RAVE
Municipal
authorities
Numerous
external
stakeholders
KPMG II
(business
model)
ELOS
consortium
REFER
Portuguese
State
THR
consortium
Legal
Consultants
Consultants
(Technical
services)
Owns
40%
Owns
60%
financial
services
Contracts with
Cooperates with
ADIF
(Spain)
legal support
Try to Influence
AEIE-
AVEP
IMTT
CP and
Private
Operators
Try to Influence
PPP1
regulatory
Contracts with
Cooperates with business
model
In General
Name of
Actor
Description of
relationship
Key:
- Project Actor
- Project relationship
with a contractual basis
- Non-contractual project
relationship
Description of
relationship
SECTION 2 -PROJECT STAKEHOLDERS
MEGAPROJECT Stakeholder Relationship Maps
Name of
Actor
Description of
relationship
Key:
- Project Actor
- Project relationship
with a contractual basis
- Non-contractual project
relationship
Description of
relationship
RAVE
Consultancy
Preliminary Studies
Environmental Impact Studies
Technical Viability Studies
Cost-Benefit Studies
Market Studies
Socio-economic Studies
Financial Studies
Technical Studies
(...)
Step 1 – Studies
Licensor
(APA)Environmental
Assessment
Evaluation
and
Assessment
Review of EA /
Technical
assessment
Public Consultation
ONG’s
Municipal authorities
APL
Local organizations
Local population
(…)
Minister makes
decision
(Approve)
(2002 – 2008)
Environmental Evaluation
Process
SECTION 2 -PROJECT STAKEHOLDERS
MEGAPROJECT Stakeholder Relationship Maps
Name of
Actor
Description of
relationship
Key:
- Project Actor
- Project relationship
with a contractual basis
- Non-contractual project
relationship
Description of
relationship
Portuguese
State
Monitoring
Committee
Step 2 – Tendering
JURI
Committee
launch of
the tender
RAVE Departments
of the Ministry
Proposal
Evaluation
Final decision
(select a PPP)
MOPTC (Transport)
MF (Finance)
MA (Environment)
(...)
(2006 – 2010)
Technical
support Support by
PPP1 by
1. ELOS consortium
2. Altavia-Alentejo
3. Eurolinhas
4. Cintra Ferrovial
ELOS consortium
ELOS
consortium
LGV - ACE
2nd tier
subcontractors
First tier
subcontractors
Contracts with
PPP1
RAVE /
REFER
SECTION 2 -PROJECT STAKEHOLDERS
MEGAPROJECT Stakeholder Relationship Maps
Name of
Actor
Description of
relationship
Key:
- Project Actor
- Project relationship
with a contractual basis
- Non-contractual project
relationship
Description of
relationship
Step 2 – Tendering (cont.)
Financial Consultancy
RAVE / REFER
Consortium
FINANTIA Bank,
DEPFA Bank and
GOLDMAN SACHS
Financial services
(2005)
KPMG II
Consultores de
Negócios, S.A
(2007)
Financial services
(business model)
Other submitted bids in the tender procedure:
1. Deloitte
2. Efisa Bank
SECTION 2 -PROJECT STAKEHOLDERS
MEGAPROJECT Stakeholder Relationship Maps
Key:
- Project Actor
- Project relationship
with a contractual basis
- Non-contractual project
relationship
Name
of Actor
Description of
relationship
Description of
relationship
RAVE / REFER
Step 2 – Tendering (cont.)
Law Firm
BARROCAS
SARMENTO
ROCHA
Law Firm
Jardim Sampaio,
Caldas &
Associados
Legal Consultancy
advisory
services
(2003)
PPP
Acquisition of
Rolling Stock
PM
Preventive measures
PPP1
Lisbon/Madrid
+
PPP 5
Oporto/Vigo
+
PPP 6
Signalling and
Telecommunications
Systems
(2007 - 2008)
Law Firm
Flamínio Roza,
Pinto Duarte, Côrte
Real & Associados
PPP2
Lisbon/Poceirão
(TTT)
(2007)
(2010)
Law Firm
Miranda, Correia,
Amendoeira e
Associados
Law Firm
Tavares e Sousa,
Duarte A., Campos
e Carvalhinho
(2003-2010)
SECTION 2 -PROJECT STAKEHOLDERS
MEGAPROJECT Stakeholder Relationship Maps
Name of
Actor
Description of
relationship
Key:
- Project Actor
- Project relationship
with a contractual basis
- Non-contractual project
relationship
Description of
relationship
Portuguese
State
Step 3 – Operation
Operators
General public
(passengers)
Freight
Operators
(without timeline)
provide service
RAVE / REFER
SECTION 2 - PROJECT STAKEHOLDERS
MEGAPROJECT External Stakeholder Attitude Analysis
External
Stakeholder
External Stakeholder’s Attitude to
this Project
External Stakeholder’s
Influence on project
Impact of Project on
External Stakeholder
Phase of Project of
Greatest Interest
ADFER (Portuguese
Association for the
Development of
Railway Transport)
In general there are positive opinions,
even if in some cases the opinions are
negative - related with project viability
and corridor delimitation
When unfavorably opinion, may
cause delays in issuing the studies.
Conception, Planning and
design
Environmental
organizations
(ex. LPN and
Quercus)
Highly unfavourable:
For example: with the road component,
the Tagus river bridge will have more
cars entering into the city and it will
increase environmental impacts.
However, there are a few positive
opinions about the project, once it may
bring development.
Can limit the development of the
process (when presenting
successive complaints
about negative impacts that the
project brings)
Conception, Planning,
designing and construction
CIP
(Business
Confederation)
See this as a commercial opportunity to
provide industrial, technical and logistical
support. Can provide the grow up of the
commercial/economic areas, but on other
hand there isn’t the same development
for the freight.
They were important public stakeholders
in the decision processes leading to the
location for the new airport and TTT
bridge.
Has provided support to advocates
of different project configurations.
They presented an alternative
proposal to replace the Iberian
gauge by a European gauge on the
conventional rail network to provide
better interoperability for freight.
They had influenced the alternatives
of the corridor delimitation.
Slight to moderate.
Possible business
opportunities for some CIP
Members
Conception and Planning
OE
(board of engineers),
A little controversy among board
members.
It is extremely appropriate to hold
a debate on this project.
Slight All Phases
APA (Portuguese
Environmental
Agency)
Positive opinion, in general. In some
cases the opinion is no-positive (related
to corridor delimitation).
Influence of the corridor delimitation
and the configuration of the
alternative routes.
Conception and Planning
Municipal authorities Some municipalities: favourable opinion
and interested in the project. Others:
unfavourable opinion regarding the
corridor definition, which can produce
physic constrains within the territory
Important to support the
development of the process
Moderate. To promote the
economic, social and
cultural aspects of the
cities.
Planning, construction and
operation
Other Tools and Techniques or More Information
Trimble QUANTM Alignment Planning Solution simultaneously manages all environmental, cultural and community issues involved in
planning the corridors for the high speed rail project.
Relationship Management Tools: Intranet
Management Wage: GESVEN software
Several studies incorporated specifically life cycle cost approaches, and they are incorporated in the Business Model.
The project leadership was internalized by RAVE (2007).
The implementation of the SAP-ERP business management system, of which a functional analysis of the system already in place at REFER
had already been carried out and lead to the decision to roll it out to RAVE, and the implementation of a modern GIS (Geographic
Information System) application, which will serve to organise all the project’s technical components.
MEGAPROJECT Project Management
Project Organisation (until 2007)
Client Project Team Size &
Structure
2004: REFER E.P. (RAVE 10, REFER 22, other 8) + THR (Project Manager 44)
Specialists in design companies (300 workers aprox.)
Contractor Project Team Size
and Structure
ELOS – Ligações de Alta Velocidade consortium (PPP1, Caia-Poceirão)
Sub-Contractor Project Team
Involvement
LGV-Engenharia e Construção de Linhas de Alta Velocidade, ACE
(Project and construction: 1.4 billions €)
Project Tools and Techniques
Please √ if present, x if absent , leave blank if unknown
SECTION 3 - PROJECT MANAGEMENT
Life-Cycle Costing Approaches □
Stakeholder Involvement □
Building Information Modelling (BIM) □
Project Management Software □
Relationship Management Tools □
Project Knowledge Management Tools □
Lessons Learned Transfers □
Team Building Tools □
Competency framework □
MEGAPROJECT Project Management
Project Organisation (after 2007)
Client Project Team Size &
Structure
REFER EP.E (RAVE 51, 19 from REFER)
Contractor Project Team Size
and Structure
ELOS – Ligações de Alta Velocidade consortium (PPP1, Caia-Poceirão)
Sub-Contractor Project Team
Involvement
LGV-Engenharia e Construção de Linhas de Alta Velocidade, ACE
(Project and construction: 1.4 billions €)
SECTION 3 - PROJECT MANAGEMENT
Other Tools and Techniques or More Information
Trimble QUANTM Alignment Planning Solution simultaneously manages all environmental, cultural and community issues involved in
planning the corridors for the high speed rail project.
Relationship Management Tools: Intranet
Management Wage: GESVEN software
Several studies incorporated specifically life cycle cost approaches, and they are incorporated in the Business Model.
The project leadership was internalized by RAVE (2007).
The implementation of the SAP-ERP business management system, of which a functional analysis of the system already in place at REFER
had already been carried out and lead to the decision to roll it out to RAVE, and the implementation of a modern GIS (Geographic
Information System) application, which will serve to organise all the project’s technical components.
Project Tools and Techniques
Please √ if present, x if absent , leave blank if unknown
Life-Cycle Costing Approaches □
Stakeholder Involvement □
Building Information Modelling (BIM) □
Project Management Software □
Relationship Management Tools □
Project Knowledge Management Tools □
Lessons Learned Transfers □
Team Building Tools □
Competency framework □
Project Processes
SECTION 3 - PROJECT MANAGEMENT
Risk Management
Processes
Present (describe below) □ Not Present □ No Information □
A database to record technical, financial and planning risks at the development, construction and validation phases of the project. It was
developed first by THR (TYCO Consortium, currently BRISA / HOLLAND RAILCONSUL) that used TYMS (management software). After
2007 a different risk management business model was defined (PPP) and developed by RAVE/REFER.
HR Management
Processes
Present (describe below) □ Not Present □ No Information □
The execution of the project’s various specialities has been effected by means of external contracting in each technical area in order to
incorporate the latest technologies and benefit from the know-how acquired by contractors on similar projects.
Procurement
Management
Processes
Present (describe below) □ Not Present □ No Information □
Colaborative Platform to manage procurement processes and tenders. The relation with the consultants was made in a project point of view
optic and not in client/supplier perspective
Integration
Management
Processes
Present (describe below) □ Not Present □ No Information □
“Global Integrated Management”. i.e. The global management and co-ordination of the work carried out during all the phases and for all the
links, is performed by a permanent team from THR 2004-2007. After 2007 managed internally by RAVE
Scope Management
Processes
Present (describe below) □ Not Present □ No Information □
RAVE publishes all relationships with third party organizations (service providers within the scope of the HSN project), in the Company
Report and Accounts.
Time Management
Processes
Present (describe below) □ Not Present □ No Information □
Planning and Control Department (PCD) which cumulatively monitored project with project managers, and periodically reported to top
management. Tasks - critical task identification, analysis of delays and their mitigation, risk assessment
Cost Management
Processes
Present (describe below) □ Not Present □ No Information □
Database of unitary prices to allow uniformity of cost estimates. The database was built using benchmarks and incorporating price variation
and actualization
Quality
management
Processes
Present (describe below) □ Not Present □ No Information □
Various activities was developed and implemented by RAVE/REFER with a view to ensuring, continuously, the effective implementation of
each supplier’s Quality Management System in the preparation of the studies. The criteria used for monitoring and measuring this
effectiveness were the requirements contractually defined for the purpose and the applicable standards in force.
Communications
Management
Processes
Present (describe below) □ Not Present □ No Information □
Various initiatives were undertaken that have already resulted in a significant increase in awareness of environmental.
Public presentations of the project by members of the board of directors and senior staff took place throughout the process in different
seminars, forums and conferences in City Council and Parish Councils. Therefore, there was a continue engagement with local populations.
Relations with the media have also been enhanced, and daily monitoring of media coverage of the high-speed project has been undertaken.
MEGAPROJECT Project Performance
Aspects of Performance Concerned with Doing the Project Right
SECTION 4 - PROJECT PERFORMANCE
Original Targets and changes to targets Actual Achievements
Against Targets
Performance
relating to
time
2003:
Lisbon/Madrid - design and construction: 2006-2010. Start operations: 2010
Lisbon/Oporto - design and construction: 2006-2013. Start operations: 2014
Oporto/Vigo - design and construction: 2006-2009. Start operations: 2009
2008:
Lisbon/Madrid - design and construction: 2010-2013. Start operations: 2014
Lisbon/Oporto - design and construction: 2012-2015. Start operations: 2015
Oporto/Vigo - design and construction: 2011-2013. Start operations: 2013
2010/2011: Project being reframed new calendar to be defined
2012: Project suspended
2008: Tender for PPP1
2009: PPP1 Awarded
2011: PPP1 Reframed
2012: PPP1 Suspended
Performance
relating to
cost
2003: Lisbon/Madrid: 1.6 billions €; Lisbon/Oporto: 3.6 billions €; Oporto/Vigo: 1.3 billions €
2008: Lisbon/Madrid: 2.6 billions €; Lisbon/Oporto: 4.5 billions €; Oporto/Vigo: 850 millions € (1st. step)
2010: Lisbon/Madrid: 2.3 billions €; Lisbon/Oporto: 4.65 billions €; Oporto/Vigo: 1.3 billions €
2009: PPP1 Awarded
price (1,359 millions €)
Performance
related to
specification
Demand estimations
2003: Lisbon/Madrid: 5.3 M passengers ; Lisbon/Oporto: 13.5 M passengers; Oporto/Vigo: 2.1 M
passengers (forecasts for 2025)
2008/2010: Lisbon/Madrid: 9.4 M passengers; Lisbon/Oporto: 12.2 M passengers; Oporto/Vigo: 3.7 M
passengers (forecasts for 2030)
Type of traffic
Oporto/Vigo (1h) and Lisbon/Madrid (2h45m): Passengers and freight
Lisbon/Oporto (1h15m): passengers
Source: Annual report and accounts from RAVE
Aspects of Performance Concerned with Doing the Right Project
Stakeholder or Stakeholder
Grouping
Original Aims of Project Involvement
and Changes to these Aims
Achievement of these Aims
Portuguese State
(by pressure from public
opinion)
CIP (Business Confederation)
ADFER (Association for the
Development of Railway
Transport)
The location of the airport changed from
Ota to Alcochete and HS also changed
the routes
Find the best way to access
High Speed to the new airport of
Lisbon, independently of its
location
Change from a rail bridge (TTT) to a road
+ rail bridge (TTT).
City council of Lisbon
Organizations from the north
/ Galiza (Atlantic axis)
APL (Lisbon Port Authority)
Influence of the corridor delimitation and
the configuration of the alternative routes
Timeline anticipation
APA
(Portuguese Environmental
Agency)
Influence of the corridor delimitation and
the configuration of the alternative routes
SECTION 4 - PROJECT PERFORMANCE
MEGAPROJECT Project Environment
Legal and Regulatory Environment
Legal and Regulatory
Project Environment
(regionally, nationally and
Europe wide)
2000: RAVE was created
2001: AVEP (Alta Velocidade Espanha-Portugal) is a European Economic Interest Group created by Spain
and Portugal to study the “linking of Spain and Portugal by a High-speed Rail Network”. AVEP was owned
by RAVE and ADIF.
Specific Legal and
Regulatory events
impacting on the
project
Throughout process: Standards and rules from REFER and IMTT
2003 - 2010: Different laws applied to Public Private Partnerships (PPP’s).
2007 - 2010: several pieces of legislation where put forward to implement preventive measures (reservation
of corridors from incompatible land uses).
2008: Public Contract Code (Código dos Contratos Públicos - CCP): Decree-Law No. 18/2008 of 29 January
Political Environment
Political Project
Environment
Since 2007/ 2008 the main opposition party (presently in Government) opposed strongly to the project. The
only awarded PPP was reframed (possible reductions in the project configuration, eg. single track, stations
postponed, project speed reduction) and now is suspended.
Specific Political
Events impacting on
the project
2003: The Iberian Summit defines the 4 cross-border HSR connections
2004: The links Lisbon/Oporto, Lisbon/Madrid, Aveiro/Salamanca e Oporto/Vigo were included in the 30
prioritary projects of TEN-T
2006: The Strategic Guidelines for the Railway Sector were presented
2007: change of location for the new Lisbon Airport
2004 and 2009: years of elections
2011: elections change of Government
SECTION 5 - PROJECT ENVIRONMENT
MEGAPROJECT Project Environment
Economic Environment
Economic
Project
Environment
2007: The project final business model is defined
• 5 PPPs for the design, construction, financing and maintenance of the rail sub and superstructures
• a PPP for design, promotion, financing and maintenance of the signaling and telecommunications systems
• Lisbon station to be developed directly by REFER and Caia International Station to be developed jointly by Portugal and
Spain
• Strategic functions concerning capacity allocation and circulation management will be handled by REFER
• On an operational level, the Portuguese state will go ahead with the acquisition of the rolling stock
2008: Availability of the Portuguese banks and EU Grants
2009: The TEN-T approved new financial support for TTT Oriente Station (5.4 million €)
2010/2011: Crisis and Troika
Specific
Economic
Events
impacting on
the project
2001-2006: European funding associated with the priority projects within the TEN-T (Trans European Networks for
Transport) created by the European Commission and co-financed by DG TREN (EC Directorate-General for Energy
and Transport) through the MIP (Multi-Annual Indicative Programme)
2007: a regulation was published regarding the community support to be granted to the TEN-T project
(2007-2013 multi-year program), with an overall value of approximately 5.3 billion € .
Community financial support: 1.338 million € distributed in the following manner:
• 955 million € from the Portuguese State through the National Strategic Reference Framework (QREN) for the 2007-2013
timeframe (Cohesion Fund)
• 383 M€ from the European Commission’s support framework for TEN-T project:
•191 M€ for the Évora/Mérida cross-border stretch.
•141 M€ for the Lima/Vigo Bridge cross-border tretch
•51 M€ for the Third Tagus Crossing.
Sovereign debt credit crisis of 2010
SECTION 5 - PROJECT ENVIRONMENT
Events and
activities
relating to
project
stakeholders
Events and
activities
relating to
project
management
Events and
activities
relating to
project
performance
Events and
activities
relating to
project
environment
MEGAPROJECT Project Key Events and Activities Timeline
SECTION 6 - PROJECT TIMELINE
Creation
of the
EEIG-AVEP
Portuguese /
Spanish
Summit:
Cross border
HSR axes;
Run time
objetives
Inclusion of
HSR axes in
the list of the
30 TEN-T
Priority
Projects
year of
elections
New Lisbon
airport
change of
location
Portuguese /
Spanish
Summit:
Lisbon/Madrid
axis -
Type of mixed
traffic and
Completion
date (2013)
Location of
the Porto HS
Station
(Campanhã)
Portuguese /
Spanish
Summit:
International
station on the
Elvas/Badajoz
border
Presentation of
the Business
Model
Granting of
383 million €
of community
support to
the TEN-T HSN
Project
Location of
the Lisbon
HS Station
(Oriente)
Beginning of
the
Procurement
Process
(PPP1
Poceirão
/Caia)
Portuguese /
Spanish
Summit:
Location of the
Elvas/Badajoz
Station
The TEN-T
approved new
financial
support for
TTT-Oriente
Station: 5.4
million €
Crisis year of
elections
Sovereign
debt credit
crisis
year of
elections
Change of
government
Creation
of RAVE
Start of
feasibility
studies
Start of the
Environmental
Impact
Assessment
Project
refurbishment
Portugal, Spain
and France was
signed an
agreement to
finish the HS Axis
in Southwest
Europe (P3)
Signing of the
contract
agreement
for the PPP1
TIME
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Studies (preliminary studies and environmental impact studies, technical viability studies, cost-benefit,
market studies and socio-economic, financial, and technical , … )
MEGAPROJECT References
• ADFER. (2006). O Projecto de Alta Velocidade Português, 7th National Conference
[PowerPoint slides]. Retrieved from: http://adfer.cp.pt/pages/congresso/Teses/A-2.pdf
• Annual report and accounts from RAVE (2004 – 2010)
• Meetings with RAVE / REFER
• News collected in different newspapers on the Internet
• RAVE / REFER. GONÇALVES, José Carlos and COELHO, Natália. (2006). Os Sistemas de
Informação de Suporte ao Projecto de Alta Velocidade Ferroviária [PowerPoint slides].
Retrieved from: http://tercud.ulusofona.pt/GeoForum/Ficheiros/20GeoForum.pdf
• RAVE / REFER. (2008). O Projecto de Alta Velocidade Português, [PowerPoint slides].
Retrieved from: http://www.aiccopn.pt/upload/PPP_17_11/Carlos_Fernandes_Rave.pdf
• Studies by ATKEARNEY (2003/2004). [PowerPoint slides]
• http://www.refer.pt/MenuPrincipal/TransporteFerroviario/AltaVelocidade/Enquadramento.aspx
SECTION 7 - REFERENCES
Main references

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MEGAPROJECT Case Study

  • 1. MEGAPROJECT Case Study Basic Project Information Case compiled by: João de Abreu e Silva and Marisa Pedro............................... Contact details: : joao.abreu@civil.ist.utl.pt ; marisa.pedro@ist.utl.pt ............................... Project Title The High-Speed Project in Portugal Location Portugal Purpose Building and operation of the High Speed Rail network for Portugal consist of 5 links: • Lisbon/Madrid: to strengthen the connection between the two capitals and increase multimodality in the international connections • Lisbon/Oporto: to create a new rail connection between the two main cities of Portugal, and serve the intermediate region (+- 70% of GDP and +-61% population) • Aveiro/Salamanca: to link Aveiro, Viseu and Mangualde by rail to Guarda and Spain. They are included in Priority Project no.3 (“Southwest European High-speed Railway Line”) • Oporto/Vigo: to strengthen the connections and multimodality between Oporto and Galiza (Spanish) Included in Priority Project no.19 (“High-speed Railway Interoperability in the Iberian Peninsula”). • Évora/Faro-Huelva: the latter depending on subsequent studies to be carried out Scope Integrated with Trans-European Transport Network (TEN-T) SECTION 1 - BASIC PROJECT INFORMATION
  • 2. MEGAPROJECT Case Study Basic Project Information Project Title The High-Speed Project in Portugal Total Project Value About 8.3 billions € (1.4 B€ Oporto/Vigo, 4.5 B€ Lisbon/Oporto, 2.2 B€ Lisbon/Madrid) Project Status (i.e.. initiation, planning, construction, operation, dismantling) Project suspended Contractual Framework (e.g. fixed price, cost-plus etc.) Public Private Partnership (PPP) • Designing, construction, financing and maintenance of the rail sub and superstructures (40 years) • Designing, installation, financing and maintenance of the signals and telecom. (20 years). • Lisbon station to be developed by REFER and Caia International Station to be developed jointly by Portugal and Spain. Other rail stations are developed by PPP. Operation: not yet totally defined •The strategic role of regulation and network management resides with the State/REFER. Relevant Physical Dimensions (e.g. height, width, volume, length) Lisbon/Madrid 640 km (203 km in Portugal), Oporto/Vigo 125 km (100 km in Portugal), Lisbon/Oporto 290 km Aveiro/Salamanca 170 km in Portugal, Évora/Faro-Huelva 200 km: Under study (probably postponed) SECTION 1 - BASIC PROJECT INFORMATION
  • 3. MEGAPROJECT Case Study SECTION 1 - BASIC PROJECT INFORMATION Basic Project Information Socio-Economic Impact High-speed network coverage 56% of municipalities 81% of the population 87% of the GDP Development in railway market share In 2003: 4% In 2025: 26% Socio-economic impact during construction On GDP: 1.7% On employment: 1.4% or a maximum of 92,000 jobs Socio-economic impact during operation On GDP: ~1.025% Annual environmental savings In 2010: EUR 69 million In 2025: EUR 184 million (With conventional component of TTT) (With conventional component between Évora and Caia) Signalling and Telecommunications SystemsSource: Annual report and accounts from RAVE (2004)
  • 4. Stakeholder Category Case-Study Comments (e.g. maturity, previous experiences of stakeholders, skills, influence on project) Internal Supply- Side Client REFER E.P.E (Formerly RAVE a subsidiary of REFER created specifically for the implementation of the HSR project) Financiers European Union: Structural Funds (Cohesion Fund, Trans-European Transport Networks) and the European Investment Bank (EIB). Private investment and Portuguese State funding. DGTREN (Directorate-General of Transports and Energy). Operational Cash Flow (Total investment: 8.3 Billions €) Sponsors Portuguese State, EU Grants: TEN, Cohesion Fund (QREN), EU Priority Project nº16 (Sines/Madrid/Paris) Client’s Customers General public (passengers), freight operators Client’s Owners Portuguese State Other internal supply- side categories ( please specify) Category Case-Study Demand Side) Principal Contractor Concessionaire ELOS – Ligações de Alta Velocidade consortium (Caia-Poceirão; part of the link Lisbon-Madrid) The project (PPP1) is suspended due to the credit crisis First Tier Contractors LGV-Engenharia e Construção de Linhas de Alta Velocidade, ACE Contracted by ELOS Second Tier Contractors Professional Services Providers KPMG II – Consultores de Negócios S.A. (financial services) and legal support from several companies, Epypsa, Sener and Ferconsult, IN OUT GLOBAL, Steer Davies Gleave and VTM, Deloitte, CEEETA, EUROESTUDIOS-COBA, TIS.pt, Biodesign, GLOBALVIA, GRID, CONSULGAL, TYPSA, SENER, MUNICÍPIA, Terraforma, SOCINOVA, CISED, A.T.KEARNEY, CEA/UCP, FERBRITAS, GESTE Engineering, LNEC (National Laboratory of Civil Engineering), … Consultants of RAVE / REFER Other internal supply- side categories ( please specify) Category Case-Study MEGAPROJECT Internal Stakeholder Identification (Stakeholders with a direct legally sanctioned relationship with the project) SECTION 2 - PROJECT STAKEHOLDERS
  • 5. Stakeholder Category Case-Study Comments (e.g. maturity, previous experiences of stakeholders, skills, influence on project) External Public Regulatory Agencies IMTT (institute charged with the regulation and coordination of inland transport) Local Government Municipal authorities/town councils and the Committees for Coordination and regional Development (CCDR) National Government MOPTC (Ministry of Transport), MF (Ministry of Finance and the Public Administration) and MA (Ministry for Environment) Other internal supply-side categories ( please specify) Category Case-study APA (Portuguese Environmental Agency), INAG I.P. (Institute of Water), IGESPAR I.P. (The Management Institute of Architectural and Archaeological Heritage) Estradas de Portugal EP (Portuguese Roads Authority), APL (Lisbon Port Authority), REN S.A. (National Transmission Network), CP E.P.E (Portuguese Railways), IGF (General Inspectorate of Finance), … Private Local residents Local Associations, residents associations Local Landowners Environmentalists non-governmental organizations for environment (ENGOs) like Quercus, LPN and Urbe, etc Conservationists Archaeologists Other External Private stakeholders (please specify) Category Casestudy Universities and Technological Centres Professional associations : ADFER (Portuguese Association for the Development of Railway Transport), OE (board of engineers), CIP (Confederation of Portuguese Industry), AEP (Portuguese Business Association), Press & Media Opinion makers, placement of news and opinion articles by companies interested in the project Political Opinion MEGAPROJECT External Stakeholder Identification SECTION 2 - PROJECT STAKEHOLDERS (Stakeholders with a direct interest in the project but with no legal contract)
  • 6. SECTION 2 -PROJECT STAKEHOLDERS MEGAPROJECT Stakeholder Relationship Maps RAVE Municipal authorities Numerous external stakeholders KPMG II (business model) ELOS consortium REFER Portuguese State THR consortium Legal Consultants Consultants (Technical services) Owns 40% Owns 60% financial services Contracts with Cooperates with ADIF (Spain) legal support Try to Influence AEIE- AVEP IMTT CP and Private Operators Try to Influence PPP1 regulatory Contracts with Cooperates with business model In General Name of Actor Description of relationship Key: - Project Actor - Project relationship with a contractual basis - Non-contractual project relationship Description of relationship
  • 7. SECTION 2 -PROJECT STAKEHOLDERS MEGAPROJECT Stakeholder Relationship Maps Name of Actor Description of relationship Key: - Project Actor - Project relationship with a contractual basis - Non-contractual project relationship Description of relationship RAVE Consultancy Preliminary Studies Environmental Impact Studies Technical Viability Studies Cost-Benefit Studies Market Studies Socio-economic Studies Financial Studies Technical Studies (...) Step 1 – Studies Licensor (APA)Environmental Assessment Evaluation and Assessment Review of EA / Technical assessment Public Consultation ONG’s Municipal authorities APL Local organizations Local population (…) Minister makes decision (Approve) (2002 – 2008) Environmental Evaluation Process
  • 8. SECTION 2 -PROJECT STAKEHOLDERS MEGAPROJECT Stakeholder Relationship Maps Name of Actor Description of relationship Key: - Project Actor - Project relationship with a contractual basis - Non-contractual project relationship Description of relationship Portuguese State Monitoring Committee Step 2 – Tendering JURI Committee launch of the tender RAVE Departments of the Ministry Proposal Evaluation Final decision (select a PPP) MOPTC (Transport) MF (Finance) MA (Environment) (...) (2006 – 2010) Technical support Support by PPP1 by 1. ELOS consortium 2. Altavia-Alentejo 3. Eurolinhas 4. Cintra Ferrovial ELOS consortium ELOS consortium LGV - ACE 2nd tier subcontractors First tier subcontractors Contracts with PPP1 RAVE / REFER
  • 9. SECTION 2 -PROJECT STAKEHOLDERS MEGAPROJECT Stakeholder Relationship Maps Name of Actor Description of relationship Key: - Project Actor - Project relationship with a contractual basis - Non-contractual project relationship Description of relationship Step 2 – Tendering (cont.) Financial Consultancy RAVE / REFER Consortium FINANTIA Bank, DEPFA Bank and GOLDMAN SACHS Financial services (2005) KPMG II Consultores de Negócios, S.A (2007) Financial services (business model) Other submitted bids in the tender procedure: 1. Deloitte 2. Efisa Bank
  • 10. SECTION 2 -PROJECT STAKEHOLDERS MEGAPROJECT Stakeholder Relationship Maps Key: - Project Actor - Project relationship with a contractual basis - Non-contractual project relationship Name of Actor Description of relationship Description of relationship RAVE / REFER Step 2 – Tendering (cont.) Law Firm BARROCAS SARMENTO ROCHA Law Firm Jardim Sampaio, Caldas & Associados Legal Consultancy advisory services (2003) PPP Acquisition of Rolling Stock PM Preventive measures PPP1 Lisbon/Madrid + PPP 5 Oporto/Vigo + PPP 6 Signalling and Telecommunications Systems (2007 - 2008) Law Firm Flamínio Roza, Pinto Duarte, Côrte Real & Associados PPP2 Lisbon/Poceirão (TTT) (2007) (2010) Law Firm Miranda, Correia, Amendoeira e Associados Law Firm Tavares e Sousa, Duarte A., Campos e Carvalhinho (2003-2010)
  • 11. SECTION 2 -PROJECT STAKEHOLDERS MEGAPROJECT Stakeholder Relationship Maps Name of Actor Description of relationship Key: - Project Actor - Project relationship with a contractual basis - Non-contractual project relationship Description of relationship Portuguese State Step 3 – Operation Operators General public (passengers) Freight Operators (without timeline) provide service RAVE / REFER
  • 12. SECTION 2 - PROJECT STAKEHOLDERS MEGAPROJECT External Stakeholder Attitude Analysis External Stakeholder External Stakeholder’s Attitude to this Project External Stakeholder’s Influence on project Impact of Project on External Stakeholder Phase of Project of Greatest Interest ADFER (Portuguese Association for the Development of Railway Transport) In general there are positive opinions, even if in some cases the opinions are negative - related with project viability and corridor delimitation When unfavorably opinion, may cause delays in issuing the studies. Conception, Planning and design Environmental organizations (ex. LPN and Quercus) Highly unfavourable: For example: with the road component, the Tagus river bridge will have more cars entering into the city and it will increase environmental impacts. However, there are a few positive opinions about the project, once it may bring development. Can limit the development of the process (when presenting successive complaints about negative impacts that the project brings) Conception, Planning, designing and construction CIP (Business Confederation) See this as a commercial opportunity to provide industrial, technical and logistical support. Can provide the grow up of the commercial/economic areas, but on other hand there isn’t the same development for the freight. They were important public stakeholders in the decision processes leading to the location for the new airport and TTT bridge. Has provided support to advocates of different project configurations. They presented an alternative proposal to replace the Iberian gauge by a European gauge on the conventional rail network to provide better interoperability for freight. They had influenced the alternatives of the corridor delimitation. Slight to moderate. Possible business opportunities for some CIP Members Conception and Planning OE (board of engineers), A little controversy among board members. It is extremely appropriate to hold a debate on this project. Slight All Phases APA (Portuguese Environmental Agency) Positive opinion, in general. In some cases the opinion is no-positive (related to corridor delimitation). Influence of the corridor delimitation and the configuration of the alternative routes. Conception and Planning Municipal authorities Some municipalities: favourable opinion and interested in the project. Others: unfavourable opinion regarding the corridor definition, which can produce physic constrains within the territory Important to support the development of the process Moderate. To promote the economic, social and cultural aspects of the cities. Planning, construction and operation
  • 13. Other Tools and Techniques or More Information Trimble QUANTM Alignment Planning Solution simultaneously manages all environmental, cultural and community issues involved in planning the corridors for the high speed rail project. Relationship Management Tools: Intranet Management Wage: GESVEN software Several studies incorporated specifically life cycle cost approaches, and they are incorporated in the Business Model. The project leadership was internalized by RAVE (2007). The implementation of the SAP-ERP business management system, of which a functional analysis of the system already in place at REFER had already been carried out and lead to the decision to roll it out to RAVE, and the implementation of a modern GIS (Geographic Information System) application, which will serve to organise all the project’s technical components. MEGAPROJECT Project Management Project Organisation (until 2007) Client Project Team Size & Structure 2004: REFER E.P. (RAVE 10, REFER 22, other 8) + THR (Project Manager 44) Specialists in design companies (300 workers aprox.) Contractor Project Team Size and Structure ELOS – Ligações de Alta Velocidade consortium (PPP1, Caia-Poceirão) Sub-Contractor Project Team Involvement LGV-Engenharia e Construção de Linhas de Alta Velocidade, ACE (Project and construction: 1.4 billions €) Project Tools and Techniques Please √ if present, x if absent , leave blank if unknown SECTION 3 - PROJECT MANAGEMENT Life-Cycle Costing Approaches □ Stakeholder Involvement □ Building Information Modelling (BIM) □ Project Management Software □ Relationship Management Tools □ Project Knowledge Management Tools □ Lessons Learned Transfers □ Team Building Tools □ Competency framework □
  • 14. MEGAPROJECT Project Management Project Organisation (after 2007) Client Project Team Size & Structure REFER EP.E (RAVE 51, 19 from REFER) Contractor Project Team Size and Structure ELOS – Ligações de Alta Velocidade consortium (PPP1, Caia-Poceirão) Sub-Contractor Project Team Involvement LGV-Engenharia e Construção de Linhas de Alta Velocidade, ACE (Project and construction: 1.4 billions €) SECTION 3 - PROJECT MANAGEMENT Other Tools and Techniques or More Information Trimble QUANTM Alignment Planning Solution simultaneously manages all environmental, cultural and community issues involved in planning the corridors for the high speed rail project. Relationship Management Tools: Intranet Management Wage: GESVEN software Several studies incorporated specifically life cycle cost approaches, and they are incorporated in the Business Model. The project leadership was internalized by RAVE (2007). The implementation of the SAP-ERP business management system, of which a functional analysis of the system already in place at REFER had already been carried out and lead to the decision to roll it out to RAVE, and the implementation of a modern GIS (Geographic Information System) application, which will serve to organise all the project’s technical components. Project Tools and Techniques Please √ if present, x if absent , leave blank if unknown Life-Cycle Costing Approaches □ Stakeholder Involvement □ Building Information Modelling (BIM) □ Project Management Software □ Relationship Management Tools □ Project Knowledge Management Tools □ Lessons Learned Transfers □ Team Building Tools □ Competency framework □
  • 15. Project Processes SECTION 3 - PROJECT MANAGEMENT Risk Management Processes Present (describe below) □ Not Present □ No Information □ A database to record technical, financial and planning risks at the development, construction and validation phases of the project. It was developed first by THR (TYCO Consortium, currently BRISA / HOLLAND RAILCONSUL) that used TYMS (management software). After 2007 a different risk management business model was defined (PPP) and developed by RAVE/REFER. HR Management Processes Present (describe below) □ Not Present □ No Information □ The execution of the project’s various specialities has been effected by means of external contracting in each technical area in order to incorporate the latest technologies and benefit from the know-how acquired by contractors on similar projects. Procurement Management Processes Present (describe below) □ Not Present □ No Information □ Colaborative Platform to manage procurement processes and tenders. The relation with the consultants was made in a project point of view optic and not in client/supplier perspective Integration Management Processes Present (describe below) □ Not Present □ No Information □ “Global Integrated Management”. i.e. The global management and co-ordination of the work carried out during all the phases and for all the links, is performed by a permanent team from THR 2004-2007. After 2007 managed internally by RAVE Scope Management Processes Present (describe below) □ Not Present □ No Information □ RAVE publishes all relationships with third party organizations (service providers within the scope of the HSN project), in the Company Report and Accounts. Time Management Processes Present (describe below) □ Not Present □ No Information □ Planning and Control Department (PCD) which cumulatively monitored project with project managers, and periodically reported to top management. Tasks - critical task identification, analysis of delays and their mitigation, risk assessment Cost Management Processes Present (describe below) □ Not Present □ No Information □ Database of unitary prices to allow uniformity of cost estimates. The database was built using benchmarks and incorporating price variation and actualization Quality management Processes Present (describe below) □ Not Present □ No Information □ Various activities was developed and implemented by RAVE/REFER with a view to ensuring, continuously, the effective implementation of each supplier’s Quality Management System in the preparation of the studies. The criteria used for monitoring and measuring this effectiveness were the requirements contractually defined for the purpose and the applicable standards in force. Communications Management Processes Present (describe below) □ Not Present □ No Information □ Various initiatives were undertaken that have already resulted in a significant increase in awareness of environmental. Public presentations of the project by members of the board of directors and senior staff took place throughout the process in different seminars, forums and conferences in City Council and Parish Councils. Therefore, there was a continue engagement with local populations. Relations with the media have also been enhanced, and daily monitoring of media coverage of the high-speed project has been undertaken.
  • 16. MEGAPROJECT Project Performance Aspects of Performance Concerned with Doing the Project Right SECTION 4 - PROJECT PERFORMANCE Original Targets and changes to targets Actual Achievements Against Targets Performance relating to time 2003: Lisbon/Madrid - design and construction: 2006-2010. Start operations: 2010 Lisbon/Oporto - design and construction: 2006-2013. Start operations: 2014 Oporto/Vigo - design and construction: 2006-2009. Start operations: 2009 2008: Lisbon/Madrid - design and construction: 2010-2013. Start operations: 2014 Lisbon/Oporto - design and construction: 2012-2015. Start operations: 2015 Oporto/Vigo - design and construction: 2011-2013. Start operations: 2013 2010/2011: Project being reframed new calendar to be defined 2012: Project suspended 2008: Tender for PPP1 2009: PPP1 Awarded 2011: PPP1 Reframed 2012: PPP1 Suspended Performance relating to cost 2003: Lisbon/Madrid: 1.6 billions €; Lisbon/Oporto: 3.6 billions €; Oporto/Vigo: 1.3 billions € 2008: Lisbon/Madrid: 2.6 billions €; Lisbon/Oporto: 4.5 billions €; Oporto/Vigo: 850 millions € (1st. step) 2010: Lisbon/Madrid: 2.3 billions €; Lisbon/Oporto: 4.65 billions €; Oporto/Vigo: 1.3 billions € 2009: PPP1 Awarded price (1,359 millions €) Performance related to specification Demand estimations 2003: Lisbon/Madrid: 5.3 M passengers ; Lisbon/Oporto: 13.5 M passengers; Oporto/Vigo: 2.1 M passengers (forecasts for 2025) 2008/2010: Lisbon/Madrid: 9.4 M passengers; Lisbon/Oporto: 12.2 M passengers; Oporto/Vigo: 3.7 M passengers (forecasts for 2030) Type of traffic Oporto/Vigo (1h) and Lisbon/Madrid (2h45m): Passengers and freight Lisbon/Oporto (1h15m): passengers Source: Annual report and accounts from RAVE
  • 17. Aspects of Performance Concerned with Doing the Right Project Stakeholder or Stakeholder Grouping Original Aims of Project Involvement and Changes to these Aims Achievement of these Aims Portuguese State (by pressure from public opinion) CIP (Business Confederation) ADFER (Association for the Development of Railway Transport) The location of the airport changed from Ota to Alcochete and HS also changed the routes Find the best way to access High Speed to the new airport of Lisbon, independently of its location Change from a rail bridge (TTT) to a road + rail bridge (TTT). City council of Lisbon Organizations from the north / Galiza (Atlantic axis) APL (Lisbon Port Authority) Influence of the corridor delimitation and the configuration of the alternative routes Timeline anticipation APA (Portuguese Environmental Agency) Influence of the corridor delimitation and the configuration of the alternative routes SECTION 4 - PROJECT PERFORMANCE
  • 18. MEGAPROJECT Project Environment Legal and Regulatory Environment Legal and Regulatory Project Environment (regionally, nationally and Europe wide) 2000: RAVE was created 2001: AVEP (Alta Velocidade Espanha-Portugal) is a European Economic Interest Group created by Spain and Portugal to study the “linking of Spain and Portugal by a High-speed Rail Network”. AVEP was owned by RAVE and ADIF. Specific Legal and Regulatory events impacting on the project Throughout process: Standards and rules from REFER and IMTT 2003 - 2010: Different laws applied to Public Private Partnerships (PPP’s). 2007 - 2010: several pieces of legislation where put forward to implement preventive measures (reservation of corridors from incompatible land uses). 2008: Public Contract Code (Código dos Contratos Públicos - CCP): Decree-Law No. 18/2008 of 29 January Political Environment Political Project Environment Since 2007/ 2008 the main opposition party (presently in Government) opposed strongly to the project. The only awarded PPP was reframed (possible reductions in the project configuration, eg. single track, stations postponed, project speed reduction) and now is suspended. Specific Political Events impacting on the project 2003: The Iberian Summit defines the 4 cross-border HSR connections 2004: The links Lisbon/Oporto, Lisbon/Madrid, Aveiro/Salamanca e Oporto/Vigo were included in the 30 prioritary projects of TEN-T 2006: The Strategic Guidelines for the Railway Sector were presented 2007: change of location for the new Lisbon Airport 2004 and 2009: years of elections 2011: elections change of Government SECTION 5 - PROJECT ENVIRONMENT
  • 19. MEGAPROJECT Project Environment Economic Environment Economic Project Environment 2007: The project final business model is defined • 5 PPPs for the design, construction, financing and maintenance of the rail sub and superstructures • a PPP for design, promotion, financing and maintenance of the signaling and telecommunications systems • Lisbon station to be developed directly by REFER and Caia International Station to be developed jointly by Portugal and Spain • Strategic functions concerning capacity allocation and circulation management will be handled by REFER • On an operational level, the Portuguese state will go ahead with the acquisition of the rolling stock 2008: Availability of the Portuguese banks and EU Grants 2009: The TEN-T approved new financial support for TTT Oriente Station (5.4 million €) 2010/2011: Crisis and Troika Specific Economic Events impacting on the project 2001-2006: European funding associated with the priority projects within the TEN-T (Trans European Networks for Transport) created by the European Commission and co-financed by DG TREN (EC Directorate-General for Energy and Transport) through the MIP (Multi-Annual Indicative Programme) 2007: a regulation was published regarding the community support to be granted to the TEN-T project (2007-2013 multi-year program), with an overall value of approximately 5.3 billion € . Community financial support: 1.338 million € distributed in the following manner: • 955 million € from the Portuguese State through the National Strategic Reference Framework (QREN) for the 2007-2013 timeframe (Cohesion Fund) • 383 M€ from the European Commission’s support framework for TEN-T project: •191 M€ for the Évora/Mérida cross-border stretch. •141 M€ for the Lima/Vigo Bridge cross-border tretch •51 M€ for the Third Tagus Crossing. Sovereign debt credit crisis of 2010 SECTION 5 - PROJECT ENVIRONMENT
  • 20. Events and activities relating to project stakeholders Events and activities relating to project management Events and activities relating to project performance Events and activities relating to project environment MEGAPROJECT Project Key Events and Activities Timeline SECTION 6 - PROJECT TIMELINE Creation of the EEIG-AVEP Portuguese / Spanish Summit: Cross border HSR axes; Run time objetives Inclusion of HSR axes in the list of the 30 TEN-T Priority Projects year of elections New Lisbon airport change of location Portuguese / Spanish Summit: Lisbon/Madrid axis - Type of mixed traffic and Completion date (2013) Location of the Porto HS Station (Campanhã) Portuguese / Spanish Summit: International station on the Elvas/Badajoz border Presentation of the Business Model Granting of 383 million € of community support to the TEN-T HSN Project Location of the Lisbon HS Station (Oriente) Beginning of the Procurement Process (PPP1 Poceirão /Caia) Portuguese / Spanish Summit: Location of the Elvas/Badajoz Station The TEN-T approved new financial support for TTT-Oriente Station: 5.4 million € Crisis year of elections Sovereign debt credit crisis year of elections Change of government Creation of RAVE Start of feasibility studies Start of the Environmental Impact Assessment Project refurbishment Portugal, Spain and France was signed an agreement to finish the HS Axis in Southwest Europe (P3) Signing of the contract agreement for the PPP1 TIME 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Studies (preliminary studies and environmental impact studies, technical viability studies, cost-benefit, market studies and socio-economic, financial, and technical , … )
  • 21. MEGAPROJECT References • ADFER. (2006). O Projecto de Alta Velocidade Português, 7th National Conference [PowerPoint slides]. Retrieved from: http://adfer.cp.pt/pages/congresso/Teses/A-2.pdf • Annual report and accounts from RAVE (2004 – 2010) • Meetings with RAVE / REFER • News collected in different newspapers on the Internet • RAVE / REFER. GONÇALVES, José Carlos and COELHO, Natália. (2006). Os Sistemas de Informação de Suporte ao Projecto de Alta Velocidade Ferroviária [PowerPoint slides]. Retrieved from: http://tercud.ulusofona.pt/GeoForum/Ficheiros/20GeoForum.pdf • RAVE / REFER. (2008). O Projecto de Alta Velocidade Português, [PowerPoint slides]. Retrieved from: http://www.aiccopn.pt/upload/PPP_17_11/Carlos_Fernandes_Rave.pdf • Studies by ATKEARNEY (2003/2004). [PowerPoint slides] • http://www.refer.pt/MenuPrincipal/TransporteFerroviario/AltaVelocidade/Enquadramento.aspx SECTION 7 - REFERENCES Main references