The Gulf Co-operation Council (GCC) is set to spend $79 billion on rail and road networks from 2011-20, according to a report published by Kuwait-based Markaz.
The total value of railway projects that include rail, metro, tram and stations are estimated to be $79 billion between 2011 and 2020. This includes the $30 billion GCC rail network, to be shared among the member countries. For the roads sector, the total value of ongoing projects amount to almost $18 billion.
The GCC has historically focused its transportation investments in building roadways, thus ensuring high quality roads across most of the region.
Almost 100% of the roads in the GCC are paved roads; compare this high percentage to the average in other emerging countries, which is below 75%.
Though the quality of roads is significantly better than other emerging markets, there is concern over the current capacity. The increase in both population and propensity to purchase an automobile has led to clogged roads across most of the major GCC cities. Currently, the majority of the GCC rank high in terms of traffic density as indicated by the number of automobiles per kilometre of road and also in terms of fatalities. Conversely, the region ranks low on a comparative scale in road density as indicated by the aggregate kilometres of road to the total area of the country.
This has led to a boom in the number of road projects currently being planned across the region. However, most of the GCC countries are looking at alternative forms of transportation to ease the strain on the roads. Rail is more energy-efficient than cars, buses, or trucks. It also saves on manpower and would help to enhance safety. Though requiring high investment initially, it has relatively low operations cost compared to other modes of transport.
Dubai has spearheaded the GCC in unveiling phase I of its metro. Other countries are now planning or discussing their versions of the metro. They are also planning for a pan-GCC rail network. The updated value of this project is considered to be around $30 billion. It will consist of a first rail line connecting all the GCC countries and Qatar via a bridge. The second line will stretch through Kuwait, Saudi Arabia, the UAE, and end in Oman.
Rail will be an interesting option for travelers because the current preferred form of transportation in GCC is by road or by air.