Strategy / Contract

The Jerusalem Light Rail Transit (JLRT)

Veolia Environnement subsidiary Veolia Transport, as part of the City Pass consortium, will operate the Jerusalem Light Rail system when passenger service begins in 2011. This section of our website explains why we believe this project will benefit mobility in the area and outlines our commitments to contribute in helping the various communities achieve economic and social development.

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JLRT PROJECT'S CONTEXT

Historical - Factual background

The Jerusalem Light Rail Transit (JLRT) project came out in the period of optimism following the milestone of the 1993 Oslo Peace Accords. The tramway was intended to improve the mobility and economic development of the local population.

An international tender procedure launched by the State of Israel with the Jerusalem Public Transportation Administration (JPTA) in 2000 was won by the City Pass consortium. Veolia Transport, a subsidiary of Veolia Environnement, took a 5% stake in this consortium as generally required for most contracts of this nature.

Veolia Transport will be responsible for the running and maintenance of the tramway for a period of 27 years from its anticipated entry into service in 2011. An operator is responsible for the day-to-day operational functions of the system (customer service, service planning, ticketing and fare collection, track control, etc.). Veolia Transport is not in charge of the construction of the project.

Current Legal Proceeding

It was not until 2007 that the Association France Palestine Solidarity ("AFPS") commenced proceedings against the French companies Veolia Transport and Alstom in the Nanterre Tribunal de Grande Instance ("TGI"), seeking the cancellation of the concession agreement for the construction and operation of the tramway.

In its judgment dated April 15, 2009, the TGI held that it had jurisdiction to rule on the substantive issues in the case. In order not to delay the Court's decision, Veolia Transport decided not to appeal against the judgment.

Veolia pro-actively asked in a letter to the Presiding Judge dated February 18, 2010 for the case to be put before the TGI once more (even before the AFPS made such an application). The date for a hearing on the merits initially set for the 2nd of July 2010 has been postponed until 11 February 2011 at the request of AFPS despite Veolia Transport's opposition.

JERUSALEM: AN EXPANDING CITY IN NEED OF PUBLIC SERVICES

Jerusalem area is 126 square kilometers. By 2020, the population is estimated to reach 950,000 residents (versus 730,000 today).

There is a strong dependency on motorized transportation in Jerusalem (cars, buses and taxis) that creates daily traffic congestion. If alternative means of transportation, such as the JLRT system, are not offered, then daily traffic congestion is expected to grow substantially in future years. According to recent studies on Jerusalem from the Israeli Ministry of Transportation, about 100,000 Arab inhabitants in the area travel by bus every day.

Knowing that travel, as an essential infrastructure, is a key issue in the Jerusalem area, and that Jerusalem is in dire need of economic activities to support the population, Veolia Transport participates in delivering the following improvements:

  • The Jerusalem tramway will enable the inhabitants of East Jerusalem to access the city and its surrounding area faster and with greater ease;
  • The construction of the JLRT system has already benefitted the Arab population by rebuilding and improving their living environment;
  • The Jerusalem tramway network and its depot situated in the Arab neighborhood of Shu'afat will create new jobs for all the area's inhabitants. Some 300 people will be recruited to run and maintain the tramway;
  • The Jerusalem tramway will benefit all the inhabitants of the area served, and the access will not be restricted because of religious beliefs.

TECHNICAL DETAILS

Key Facts:

  • 13.8 km long Light Rail system, with 23 stations,
  • Cumulative 1.4 million train-kilometers per year
  • Servicing 31 million passengers during its first 12 months of operation from 2011 to 2012, growing to 46 million passengers annually by 2036
  • Expects to move around 130,000 passengers per day
  • Employment of approximately 300 operation and maintenance workers
  • Turnover for operation and maintenance: 80 millions Shekels per year, during 27 years
  • 2 "Park and Ride" facilities among the line

The route and its construction:

Veolia Transport was not consulted as to the route of the tramway line, and did not participate in the construction of the project.

As is the case with railway projects of this kind throughout the world, the operator (Veolia Transport) was not consulted about the choice of route for the tramway. The route was optimised using the EMME2 model, developed jointly by the American consultancy company Parsons Brinckerhoff and the Jerusalem Public Transport Administration, with the support of local experts specialising in transport and town planning. The route had already been agreed and was laid down in the official tender procedure documents (invitation to tender).

The Jerusalem tramway will depart from the western districts of Jerusalem and cross the city centre, passing close to the old city before heading north through areas with Arab and Israeli populations. The 23 stations are laid out regularly along the length of the line, and are spaced between 500 and 700 metres apart depending on the population density. Along the 14 kilometers of the route which serves 23 stations, 7 are situated along Arab neighborhoods (more then 50.000 residents). The opening celebration should take place in 2011.

VEOLIA TRANSPORT'S COMMITMENTS

Through its worldwide operations, Veolia Environnement is committed to improving access to vital infrastructure and aiding communities with regards to their economic and social development. The company has signed up to the UN Global Compact and has undertaken projects with several other UN organizations (UNICEF, UNITAR, UN-Habitat, UNEP, WFP, UNESCO, and FAO).

Veolia Environnement' Sustainable Development approach lies at the core of Veolia Environnement's organization and strategy.

This project is designed to significantly improve the freedom and ease of movement of all populations in the area, particularly the Arab population which is in dire need of means of transportation.

Our continuous presence in the operation of this transit system is dependent upon the respect of non-discriminating policy by all parties.

Veolia Transport has undertaken:

  • To comply with French and international law. Our analyses have found that our agreement and the tramway project itself are lawful, whether under French or international law. The merits of the case will be heard shortly before the Nanterre TGI. Among other legal grounds, it is important to consider section 43 of the 1907 Convention of the Hague, applicable to occupied territories, whereby the occupying country must assure "l'ordre et la vie publics"(public order andlife) to inhabitants of occupied territories. Buses transporting Israeli and Arab populations are being operated today on the very same route as the one that the JRLT is to follow. Roads on both sides of the tracks are and will remain open for private and public transportations. It is most likely that the Arab neighborhoods of Shu'afat and Beit Hanina will make the most of this new means of transportation, as compared with Israelis living north of Jerusalem.
    In no way will this new transportation system facilitate the transfer of population.
    Nor is it "irreversible", as one sometimes hears: if such a decision were to be taken by Palestinian authority, in due course, it would take only a few hours to "reverse" the track and turn it back into a road.
    In contrast to the separation wall, the Jerusalem tramway is a means of gathering and mixing the communities and easing "the public life" of the occupied territories inhabitants as required by international law.
    Veolia has always said that if a recognized international or French court held that the tramway project or the agreement concluded by Veolia Transport constituted a breach of the company's obligations pursuant to such a ruling, the company would comply with any final and without appeal judgement.
  • To run the Jerusalem tramway in a way that precludes any discrimination. The tramway will be run in a way that avoids any restriction of access on the basis of religious or community allegiances. If the company should find itself faced with a situation that made it impossible to implement and comply with this policy, it would immediately reconsider its commitment.
  • To measure the local community's support for the project on a regular basis and more particularly, the support of the Arab population concerned, by carrying out independent and professional surveys.
  • In the context of its social responsibility as a company, to agree to an open and transparent discussion with stakeholders regarding its participation in the Jerusalem tramway project. The company is convinced that the Jerusalem tramway project will promote development and economic and political stability in the region. Veolia Environnement has been committed to the United Nations Global Compact since 2003. Since 2009, the company has actively participated in the working group constituted by the Global Compact to examine the difficulties associated with economic activities in conflict zones, and their governance.

OPINION POLLS ON THE JERUSALEM TRAMWAY PROJECT

The main focus of Veolia has been to sound out directly opinion of the population concerned. Veolia Transport commissioned 2 independent opinion polls in June 2007 and May 2009, in order to assess the opinions and potential concerns of the Arab populations of the area concerned. The surveys were conducted by TNS Teleseker, the leading Israeli market survey and opinion poll company, which is a subsidiary of the international company TNS Global, the world's leading market survey company.

The sample consisted in 2007 of 502 Arab inhabitants of Shu'afat and Beit Hanina, and in 2009 of 639, Arab inhabitants of Shu'afat, Beit Hanina and Sheikh Jarrah (Arab neighborhoods located closed to the tramway line). The results of the surveys both show favourable anticipation and support for the project.

The results clearly show that the criticisms levelled at the Jerusalem tramway project do not reflect the opinion of the local populations, which are largely in favour of this new transport system. The people questioned expressed their interest and said that they wanted to make regular use of the tramway, because they think that it will shorten their travel time and simplify their daily lives and encourage the towns that they inhabit to open up and develop economically.

The results of the 2009 survey were as follows:

  • 62% support the light rail's operation
  • 62% are in favour of tramway stops being located in Shu'afat and Beit Hanina
  • 69% said that they wanted to use the Jerusalem tramway
  • 47% will change their current mode of transport
  • 62% will recommend it to members of their family
  • 75% think that the tramway will reduce journey times, and that it will prevent them being caught up in traffic jams
  • 60% think that the tramway will reduce traffic on the road leading to Jerusalem
  • 60% think that the tramway will bring progress and modernisation to Shu'afat and Beit Hanina
  • 66% think that the tramway will encourage economic development and appeal to the Arab population
  • 60% think that the tramway will improve the quality of life in Shu'afat and Beit Hanina

These results are all the more significant as the 2009 survey took place in a tense political context, following the events in Gaza.

FREQUENTLY ASKED QUESTIONS