São Paulo Metro Line 4 Extension: Funding & Impact on Ridership

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Introduction

The Government of São Paulo, through its Secretariat for Partnerships and Investments (SPI), has signed Amendment No. 10 to the concession contract with ViaQuatro, the operator of Metro Line 4-Yellow, securing BRL 4.04 billion (USD 750 million) in funding for the line’s extension to Taboão da Serra. The project is expected to create over 3,700 jobs.

Project Scope and Infrastructure

The expansion project will add 3.3 km of new track, extending from Vila Sônia to the planned Chácara do Jockey and Taboão da Serra stations. The works encompass civil engineering, the construction of a new power substation, the installation of operational systems, and the acquisition of six additional trains. The anticipated completion time frame is between 48 and 64 months.

Integration and Access

The extended line will integrate with existing public transport hubs, including the Vila Sônia, São Paulo-Morumbi, Butantã, and Taboão da Serra bus terminals. New access points are planned along Avenida Monsenhor Manfredo Leite and Avenida Professor Francisco Morato.

Financial and Operational Details

The World Bank will provide approximately BRL 3 billion (USD 562 million) in financing for the project, alongside resources from the State of São Paulo. The funding will cover civil works, systems, underground structures, and rolling stock. ViaQuatro will invest around BRL billion (USD 187 million) in the project. As a result of this investment, the concession period has been extended by 20 years. Artesp, the São Paulo State Transport Regulatory Agency, will oversee the works, monitoring compliance throughout each stage of construction.

Impact and Oversight

Authorities estimate that the extension will bring more than 50,000 additional daily passengers to the metro network. Procurement and contract management will follow international standards on anti-corruption, acquisitions, and resettlement.

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Conclusion

Amendment No. 10 to the concession contract with ViaQuatro secures funding and formalizes the early extension of the concession contract for the Metro Line 4-Yellow extension to Taboão da Serra, incorporating international financial and operational guidelines.

Company Summary

ViaQuatro: The operator of Metro Line 4-Yellow.

Artesp: The São Paulo State Transport Regulatory Agency, responsible for overseeing the project.

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