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Train deal under threat if mishaps continue: SRO
Published in The Saudi Gazette on 07 - 05 - 2012

Hugail, president of the Saudi Railways Organization (SRO), has suggested that the train purchase deal with the Spanish company CAF is under threat if the incidents of malfunctioning continue unresolved.
“SRO's financial rights will be protected either through obtaining compensation for the damage caused or revoking the purchase deal altogether if the technical glitch continues even after undertaking repair works,” he told Okaz/Saudi Gazette.
Replying to queries on the status of the contract worth SR612 million, Al-Hugail said there had been admission of technical defects by CAF officials. “SRO has so far neither taken delivery of the trains formally nor paid the amount in full. We paid only 55 percent of the value of the purchase deal,” he said.
SRO had taken five high-speed Spanish trains out of operation because of repeated malfunction within one month after their launch. Referring to suspending reservations of these trains, he said that the decision was taken to safeguard the rights of SRO and its reputation in addition to the safety of passengers.
Reacting to the technical defects of some new trains immediately after their operation, Al-Hugail said: “During the first three days of last week, we thought that all the technical defects would be solved. This was after the specialist technical team from the Spanish company assured us the glitches had been fixed. But last Wednesday, we were surprised to see that one of the trains was immobilized with another technical glitch while operating service,” he said.
The Hofuf-bound train had to be stopped due to an air-conditioning malfunctioning. Earlier, disruptions were due to malfunctions in the engine, fuel pump and electric supply. This forced SRO to suspend service by these trains until further notice, he said.
According to Al-Hugail, all the standards and specifications for the new trains had been drawn up by a specialized German company together with a technical team from SRO. All the issues related to environmental impact were discussed in a workshop prior to assembly. Initial checks by the train manufacturers' technical team faults the trains' computerized programming system which needs to be adjusted to suit the local environment.The SRO chief clarified that only two of the five units delivered trains kept breaking down. “Even after confirming this formally, we stopped operation of all the five trains as a precautionary measure,” he said.
Replying to queries with regard to the contract clause calling for CAF to solve the technical glitch within the stipulated period of one month, Al-Hugail said: “First of all, we took delivery of trains with only 55 percent of the purchase deal amounting to SR612 million paid to date. Secondly, SRO has so far not formally taken delivery of the trains, and hence, we have the right to seek compensation through our lawyers.”
SRO had concluded a deal with the Spanish company to buy eight trains, of which three are yet to be delivered. The trains are planned to be used as overnight passenger trains on a recently laid 1,100-kilometer track. SRO had also placed orders for another four trains from the same company early this year, in addition to more purchase requirements of another four trains. 16 new trains are the core of SRO's fleet upgrade.


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