Italian urban rail transit costs 57% less than global average (TransitCosts)

The Italian Case – In this in-depth case study of Italian rail rapid transit projects, we investigate how Italian construction costs have changed over time and distill lessons learned to understand how design, procurement, and policy drive costs. We found that on average Italian transit projects cost 57 % less than global averages. Italian costs, however, haven’t always been so much lower. Based on our research we identified four key ingredients to help explain how Italian project costs have become so much lower relative to the rest of the world over the last 30 years. First, a wave of reforms targeting the procurement process in the 1990s prompted greater transparency, accountability, public oversight, and competition. Second, the public sector built and maintained strong in-house capacity to perform the core planning, design, and construction management activities. Third, the widespread adoption of light automated metros starting in the early 2000s, helped reduce station footprints while maintaining high-capacity transit. Finally, Italy boasts an established construction sector with cutting-edge expertise in tunneling and rail infrastructure.

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