Cost of North-South Corridor delay to be named after completion — Channel NewsAsia
In Singapore, the Land Transport Authority (LTA) said that the final additional costs resulting from the two-year delay in the construction of the North-South Corridor transport corridor can only be determined after the project is completed. At that time, the agency will also assess whether these costs will be borne by the contractor or by the LTA itself, Channel NewsAsia reports.
Reason for the delay
The LTA announced the postponement of the deadlines a day earlier, explaining it by unexpectedly challenging ground conditions. The project was initially estimated to cost S$7.47 billion. A representative of the agency noted that while work is ongoing, the LTA cannot comment on the final cost of the project.
According to the LTA, bidders are provided with available ground information during the tender process to establish a basic understanding of conditions at the construction site. Contractors must take construction risks into account when pricing their bids. If ground conditions discovered during the work differ from the provided baseline information, the contractor may submit a claim for consideration. The LTA may consider additional payment if the claim is deemed valid under the terms of the contract.
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Impact on businesses and residents
After the delay was announced, business representatives near construction sites told CNA about declining revenue, footfall and visibility of their establishments. Some of them are considering closing. Residents are also concerned about the daily inconvenience associated with the extended construction.
The LTA expects the impact of the works to gradually decrease from next year, as most activities will move underground. Major underground structural works are planned to be gradually completed from 2028. Areas no longer needed for construction will be reinstated. Where safe and feasible, the agency promises to remove hoardings and temporary noise barriers, and restore roads, sidewalks and pedestrian infrastructure.
