Maglev train cost to increase by about $14 bil.

NHKn -- Apr 28
The president of the Central Japan Railway Company, or JR Tokai, says the estimate of the total cost of constructing a high-speed maglev train line has been revised upward by 1.5 trillion yen, or nearly 14 billion dollars.

Kaneko Shin told reporters on Tuesday that the cost of the line connecting Tokyo and Nagoya is now estimated to come in at over 64 billion dollars. The company plans to begin maglev train services in 2027.

The president said the construction of terminals in Shinagawa and Nagoya stations will be more difficult than first expected. He also cited the need to further strengthen seismic countermeasures, as well as a rise in the cost of removing soil generated by the construction work.

He said the company plans to secure necessary funds from fiscal 2024 through 2028, as it expects revenue from railway operations to gradually recover to pre-pandemic levels during the period.

However, the government of Shizuoka Prefecture, which is located between the two terminals, refuses to approve the construction work, citing a possible impact on local water resources.

The president said this makes it hard to forecast when construction can be wrapped up.

- NHKn