Railroad Undergrounding Pilot Project Delayed to Next Year Due to 'Failed Local Government Consultations'

Disagreement Between Ministry of Land and Local Governments Over Pilot Section

"Project Delayed but Announcement Expected Early Next Year"

Rail tracks near Yongsan Station, Seoul. Photo by Yonhap News.

The Ministry of Land, Infrastructure and Transport (MOLIT) has postponed the announcement of the lead project section for the railway undergrounding project, originally scheduled for the end of this year, to next year. The schedule was delayed due to differing opinions with local governments during the process of selecting the project sections.

MOLIT announced this on the 30th during a briefing on the 'Integrated Development Plan for Railway Undergrounding Projects' held at the Government Sejong Complex.

The railway undergrounding project is a civil engineering project that places above-ground railways underground. According to the 'Special Act on Railway Undergrounding,' which will be enforced on January 31 next year, the project costs will be covered by integrated development of commercial facilities on the railway's upper part and surrounding land. The project will be promoted without separate financial support.

MOLIT received project proposals from five local governments including Seoul, Busan, Incheon, Daejeon, and Gyeonggi Province.

Although MOLIT planned to announce the lead project section by the end of this year, the announcement was postponed due to the need for additional consultations with local governments. For the lead project, a core section must be selected and the project promoted first, but there were disagreements between MOLIT and some local governments such as Seoul, Incheon, and Gyeonggi Province.

The sections proposed by these local governments cover the entire sections of the Gyeongbu Line, Gyeongin Line, and Gyeongwon Line within their jurisdictions. MOLIT considers it burdensome to promote the entire sections as lead projects.

Yoon Jin-hwan, Director of the Railway Bureau at MOLIT, said, "We will prioritize undergrounding sections where railways hinder urban development among major metropolitan cities." MOLIT also explained that the Railway Undergrounding Evaluation Committee suggested that additional consultations are needed regarding local governments' cost-sharing plans for the project funding shortfall.

Rail tracks near Yongsan Station, Seoul. Photo by Yonhap News

Despite the delay in announcing the lead sections, MOLIT stated it will push forward with the lead project implementation as quickly as possible. Director Yoon said, "The announcement of the lead project will not take a long time practically," and added, "We will speed up to announce it by early next year at the latest."

MOLIT will prioritize projects where the undergrounding costs can be covered by profits from development above the railway. For projects with low profitability, the project will proceed considering local governments' support plans and regional ripple effects.

Additionally, in the second half of next year, a subsidiary will be established under the Korea National Railway to be designated as the dedicated agency. To this end, MOLIT will amend the Special Act on Railway Undergrounding. The Korea National Railway cannot be the project implementing agency under the Special Act. The newly established agency will introduce a joint project implementation structure to collaborate with existing public institutions and local governments.

Moreover, MOLIT plans to create artificial ground above railway facilities. To suit local conditions, the project types will be divided into 16 categories, and the highest level of development exceptions will be granted to enable high-density development.

Meanwhile, MOLIT will conduct additional consultations with local governments through task forces (TF) organized by major regions and adjust the projects accordingly. After completing consultations, a basic plan will be established. MOLIT will also receive additional project proposals from local governments by May next year and formulate a comprehensive integrated development plan for nationwide railway undergrounding by the end of next year.