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The merger between Saudi Railway Co. (SAR) and Saudi Railways Organization is in the final stage and is likely to be completed by 2020-end or Q1 2021, said Rumaih Al-Rumaih, President of the Public Transport Authority (PTA).
The merger will constitute a major integration and contribute to boosting efficiency and reducing costs, he told CNBC Arabiya.
Al-Rumaih added that no projects were halted amid COVID-19 pandemic, given the strong support from the government.
Although work on the Haramain High-Speed Railway was suspended due to the suspension of Umrah, it is set to resume at full pace shortly, the official said.
As for linking the railway projects, Al-Rumaih indicated that the PTA is focusing on interconnecting networks to achieve the maximum benefit through higher efficiency and lower costs. He stated that linking the North Railway to Haramain Railway is part of the plan to benefit from both cargo and passengers.
The authority is also working on connecting Madinah to Riyadh due to the large number of residents living in the capital, Al-Rumaih said, adding that the North-South railway is currently transporting passengers and will be connected to Dammam-Riyadh railway.
He noted that the authority completed a study on the investment opportunities that can be made available through linking the coastal cities, which will be submitted to the private sector, in light of the promising opportunities in the Red Sea and the Arabian Gulf.
Meanwhile, Al-Rumaih indicated there should be innovative methods for funding mega projects, such as the land bridge that links Red Sea ports to Riyadh and then to the Arabian Gulf.
The total cost of the project exceeded SAR 50 billion, said Al-Rumaih, adding that a memorandum of understanding was signed with a Chinese public company to conduct studies for the construction and financing of the project.
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