Investments

Metro will bring growth

Matinkylä-Kivenlahti

Espoo City Council addressed and approved an adjusted project plan for the Matinkylä–Kivenlahti section at its meeting on 19 March 2018. The adjusted cost estimate for phase two is EUR 1,159 million. The section will be handed over to the operator in 2023.

The second phase of the West Metro is proceeding within the budget stated in the project’s financing decision.

By April 2019, the accumulated costs amounted to EUR 430 million. Länsimetro Oy regularly reports on the progress of the project, the actual costs and any changes from what was forecasted to the City of Espoo. The cost estimate for the metro stations includes the excavation of the metro and service tunnels, as well as the construction contracts and HVAC and electricity work for the stations.

The cost estimate for the project plan is presented at the November 2017 value.

Cost estimate and actual costs (EUR) April 2019 

Cost estimateActual cost
Finnoo159 M56 M
Kaitaa131 M50 M
Soukka146 M43 M
Espoonlahti149 M51 M
Sammalvuori103 M60 M
Kivenlahti167 M51 M
Park & ride facilities75 M
Planning81 M75 M
Construction contracting88 M38 M
Project reserve60 M
Project plan1 159 M423 M
Index adjustment74 M
Financing59 M7 M
Total costs1 292 M430 M
Government subsidy– 260 M– 109 M
Project’s financing need1 032 M321 M

The cost estimate for the project plan is presented at the November 2017 value.

Ruoholahti–Matinkylä

The completed metro will be more than what was specified in the project plan

The overall cost forecast for the Ruoholahti–Matinkylä section is EUR 1,186 million. The forecast also includes projects to be implemented in the metro station’s surrounding environment, for instance, in Matinkylä. The index-adjusted budget for the construction project, to the extent laid down in the original project plan (2008), is EUR 849 million (project plan EUR 714 million + index adjustment EUR 135 million). As the construction progressed, the scope of the work carried out during the West Metro project changed considerably from what was specified in the project plan. The changes improved the metro, making it better suited to the changing urban structure, but they also affected the project’s overall costs.

The areas required for technical spaces grew by even more than 50 per cent as a result of, for example, the need for more smoke-extraction ducts, and due to raising the technical facility systems from below the platforms to a higher position as a precaution against possible water damage. One decision that resulted in an important improvement for commuters was to make all entrances wheelchair accessible. Under the original project plan, only one wheelchair-accessible entrance was planned at every station. These improvements increased the metro stations’ construction costs and were among the biggest cost changes in the entire project.

Changing and developing the urban environment near the metro stations also had an impact on the project costs. For example, the size of the above-ground building at the Koivusaari metro station grew significantly to accommodate a second-floor entrance. The change was carried out to take into account the city’s plan to build a road between the metro building and the Länsiväylä highway.

If the first phase of the West Metro had been realised only to the extent laid down in the project plan, the costs would have amounted to an estimated EUR 933 million, and the cost overrun would have been altogether less than 10 per cent in relation to the index-adjusted project plan. The project plan did not take into account the risk reserve that is usual for projects of this size. The risk reserve for major projects is typically around 10 per cent. Considered in relation to the scope laid down in the project plan, and taking the risk reserve into account, the costs for West Metro do not substantially deviate from the planned costs.

Total cost forecast, EUR 1 186 milj. euroa
Construction contracts384 milj.
Excavation contracts298 milj.
HVAC and electricity contracts, IT systems, lifts/escalators, track engineering contracts246 milj.
Vuosaari maintenance track2 milj.
Park & ride facilities26 milj.
Matinkylä bus terminal, park & ride facilities20 milj.
Engineering during work42 milj.
Engineering: architectural design, geotechnical engineering, rail technology, rock engineering, structural engineering, HVAC and electricity55 milj.
Ground surveys6 milj.
Construction contracting: project management services, land survey services, worksite rents, worksite services, etc.63 milj.
Property maintenance and spare parts9 milj.
Cost reserve3 milj.
Project reserve32 milj.

The precise final costs for implementing phase one will be known once the final stages of work, which are currently under way, are completed. Ongoing work in phase one includes, for instance, construction work on the west entrance to the Matinkylä station.