May 30, 2012

$1.8 billion Alberta highway project set to start

The single largest highway construction project in Alberta's history is set to get underway after an international consortium was awarded a billion dollar public-private partnership (P3) contract for Northeast Anthony Henday Drive.

“We are pleased the City of Edmonton is moving forward with the construction of ring roads and trade corridors,” said Heidi Harris-Jensen, director of external affairs with the Alberta Roadbuilders and Heavy Construction Association.

“After this project is completed, Edmonton will be in the same league as other major North American cities that have well built and efficient transportation systems that increase productivity and contribute to economic growth.”

Alberta Transportation recently awarded a $1.81 billion contract to a joint-venture partnership led by Capital City Link General Partnership (CCLGP).

The contract to design, build, operate and partially finance the northeast portion of the Anthony Henday Drive will cover a 34-year period.

The project will be the final leg of Edmonton’s ring road system and is intended to become a key piece of transportation infrastructure.

Construction is scheduled to start in June 2012.

Work includes building 27 kilometres of six and eight-lane divided roadway, nine interchanges, two road flyovers, eight rail crossings and two bridges across the North Saskatchewan River.

In total, there will be 46 new bridge structures.

“A project like this has enormous long-term benefits for Edmonton and the whole province,” said Harris-Jensen.

“This will create a few years of substantial jobs in construction, as well as some jobs with suppliers. A lot of goods still travel by truck and this is an efficient way to move these goods. Individuals in Edmonton will have a good way to travel in an out of the city.”

The CCLGP is comprised of subsidiaries of ACS Infrastructure Canada Inc., Hochtief PPP Solution GmbH, and Meridiam Infrastructure.

CCLGP will subcontract the design and construction portion of the Northeast project to an integrated joint venture.

The joint venture is made up of Flatiron Constructors Canada Limited, Dragados Canada, Inc., Aecon Construction Management Inc. and Lafarge Canada Inc.

Aecon has a 22.5 per cent interest in the CCLGP.

The project is scheduled for completion in the fall of 2016.

The operations and maintenance will be subcontracted to Volker Stevin Highways Ltd.

“Aecon is proud to be a part of this stage of a pivotal project for Edmonton,” said Teri McKibbon, Aecon’s chief operating officer.

A Request for Qualifications for the project was issued by Transportation Alberta in March 2011 and in May of the same year, three groups were asked to submit proposals.

The three groups were Alberta Roads Consortium, Capital City Link Group and Edmonton Connect Partners.

The three bids were $1.81 billion, $2.03 billion and $2.22 billion.

Sections of Edmonton’s ring road were built in the 1970s and the 1990s.

The current Anthony Henday Drive project began in 2000 with the construction of the southwest section.

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