Hokkaido Shinkansen Extension Seen to Cost Extra 645 B. Yen

Economy

Tokyo, Dec. 7 (Jiji Press)--The cost of extending the Hokkaido Shinkansen Line to Sapporo, the capital of Hokkaido, northernmost Japan, is estimated to swell by about 645 billion yen, due to soaring materials prices and other factors, the transport ministry’s expert panel said Wednesday.

The total project cost, previously estimated at 1,670 billion yen, may rise to around 2,300 billion yen.

The ministry plans to discuss ways to cover the cost with local governments and Hokkaido Railway Co., or JR Hokkaido.

Construction for the extension started in 2012. The ministry aims to finish building the extended section running from Shin-Hakodate-Hokuto Station by the end of fiscal 2030.

A decade after the start of construction, the ministry set up the expert panel in September this year to review the project cost, in light of concerns about cost increases.

[Copyright The Jiji Press, Ltd.]

Jiji Press