The Portuguese government has authorized Metro do Porto to initiate the procurement process for a new light rail operating contract, according to Railway Gazette. The upcoming eight-year agreement is scheduled to take effect in April 2027. This contract carries an estimated valuation of up to €690m.
Funding for the project will be sourced primarily through Metro do Porto’s internal revenue streams, with a supplemental contribution of €17.5m provided via national tax allocations. The current budget represents a 59% increase compared to the existing contract, an adjustment necessitated by the significant expansion of the network projected for the coming years.
Historically, the light rail network has been managed by private operators. Transdev held the contract from December 2002 until March 2010, at which point Barraqueiro assumed operations in April 2010. The system has seen substantial ridership growth, reaching a record 94.5 million passengers in 2025.
| Project Milestone | Expected Completion/Launch |
|---|---|
| New Contract Start Date | April 2027 |
| Line G (Casa da Música to São Bento) | End of March 2027 |
| Line H (Casa da Música to Santo Ovídio) | End of 2028 |
| Gondomar Line (Estádio do Dragão to Souto) | 2031 |
| Line C Extension (ISMAI to Muro) | 2031 |
Future infrastructure developments are central to the service requirements of the new contract. Line G, connecting Casa da Música to São Bento, is anticipated to open by late March 2027. Following this, the 6.4 km Line H will link Casa da Música to Santo Ovídio, incorporating a new bridge across the River Douro by the end of 2028. By 2031, Metro do Porto aims to launch the 6.8 km Gondomar Line, adding nine stops between Estádio do Dragão and Souto, alongside an extension of Line C from the ISMAI terminus to Muro. Additionally, plans involve a bus rapid transit route running north from Muro to Trofa.
Why It Matters
The 59% budgetary increase for this contract underscores a wider trend in European urban transit: the shift from baseline maintenance toward aggressive network densification. By bundling capital-intensive infrastructure projects—such as the new River Douro bridge—with long-term operations, Porto is forcing bidders to demonstrate expertise in both service delivery and construction project management. This multi-modal approach, particularly the integration of bus rapid transit with light rail extensions, serves as a high-stakes test for the financial sustainability of regional public transport operators facing record-breaking ridership levels.

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