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In 1998, a feasibility study was conducted to analyze the construction and operation of a light rail system (LRS) between Amman and Zarqa. This 1998 study, or the Stage 1 Report (“original”), followed previous economic and financial evaluations. The project was to be funded primarily from the private sector, by inviting potential bidders to make proposals to the Government for constructing and operating the light rail system. At the conclusion of activities, the project was found to be financially feasible with internal rates of return (IRR) that ranged from 9% to 16%, depending on the structure of the concession. These calculations also required that the Government of Jordan (GoJ) construct the line using the existing right-of-way of the Hedjaz Railway and use a soft loan from a foreign government. The GoJ would have been obliged to repay this loan, under concessionary terms and interest rate. The concessionaire, however, would be required to pay the GoJ an amount approximately equal to the repayment of this infrastructure loan. With this, GoJ subsequently decided that there would be no funding or subsidy from the Government for the benefit of this project, nor would they be willing to take on additional loans for this purpose. Despite apparently favorable IRRs in excess of 15%, the project was not brought to a successful conclusion and no concession was awarded as most potential bidders found the lack of financial contribution from the Government an unacceptable risk. The objectives of this new study were to assess any changed conditions surrounding this project and investigate new extensions of the original configuration to include several outlying areas.