The Honolulu Authority for Rapid Transportation (HART) has officially approved plans to deliver a 6.6km elevated rail system in the city through a public-private partnership (P3).

The railway will form the final City Centre segment of a 32km line connecting East Kapolei to Ala Moana Center. The other two segments are currently under construction.

The approved P3 covers the design, construction and financing of the final segment, which is expected to cost around US$1.4 billion to build, and the operation and maintenance of the entire system.

HART received advice from Ernst & Young (EY) Infrastructure Advisors to approve the P3 in May this year. At that time, the decision on whether to proceed was supposed to be made in June, with the aim of publishing a Request for Proposals in July. The causes of the delay are unknown.

Last week, the Federal Transit Authority warned that it would take away the federal grant for the project if HART did not, amongst other things, make a decision on the procurement method for the final segment within 30 days.