In this regard, a Memorandum of Understanding (MoU) was signed between the Punjab Transport Department, China Railway Signal and Communication International and a Czech company, Inkon Group.
Under the agreement, both the foreign companies would work with the Lahore Transport Company to enhance the public transport system in the provincial metropolis.
According to a statement issued by the Punjab Transport Minister Jahanzeb Khan Khichi, under the first phase of the project, 50 trams would run across a stretch of 35 kilometres on the Canal Road. The trams would have, in total, a capacity to provide services to 35,000 passengers in one hour.
The trams would be powered by electricity and two tram depots would be set up on the tram line. It is claimed that the service life of each tram would be 30-40 years.
The transport minister has termed this project a gift for Lahore from the provincial government.