Even before the first rail of Phase 1a has been laid tie are making a fresh bid to get funding in place for phase 1b – before the fixed price of £87 million runs out in Spring 2009. Phase 1b provides a spur from Roseburn to Granton.
A project team has been put together to investigate ways that this line could be payed for. £543 million was put on the table for Phase 1a which links Newhaven and the Airport, and this included a £96 million contigency fund – it is expected around half of this will be left over meaning at least £35-£40 million extra will be needed for 1b. Options being looked at to get this extra funding include selling off council assets, getting more developer contributions and borrowing from public or private sectors.
Willie Gallagher, executive chairman of tie, said: “We plan to be back in front of the councillors around September with our view on the likely funding that is left from the £543m available. If it is, say, around £37m that needs to be raised, then you've got to remember that is a small percentage in the context of a £543m project. We have put a project team together to look at the funding options for 1b, such as realising developer contributions. Obviously the focus is on line 1a just now, but we are optimistic that we will be able to get a package in place for 1b, which does offer fantastic gains not just for the waterfront, but also Granton."
Cllr Mark McInnes, transport spokesman for the Conservatives, added a note of caution about where the money would come from: “We would be wary of any attempts to sell off the family silver to try to pay for 1b. It is vital that we get value for money, whatever they are considering. Selling council assets or going for any sort of leasing arrangement may not present the best option. Increased developer contributions are the obvious attractive way of filling any funding gap, particularly given the benefits that this line will bring them."
If decisions are made by the end of this year it is hoped the line would open in 2012 – only a year and a half after Phase 1a is completed.
Source: The Scotsman