SYDNEY - A lucrative contract to deliver and maintain digital radio systems for Western Australia's rail network has been awarded to Chinese telecommunications firm Huawei after a lengthy consultation period.

Announced by the State Government on Sunday, the $136 million ($101 million) contract with the Public Transport Authority (PTA) will operate as a joint venture with engineering construction company UGL and involve the development of 4G communications systems for voice and data services on Perth City trains.

"Huawei is extending its trusted portfolio of solutions towards industry and strengthening its customer base in mission critical market segments," Huawei Australia Chairman John Lord said.

"We are modernizing the Australian transportation sector through digital technologies developed for the global market."

Once the initial installation period is finished, the deal will be in place for five years, with an option to extend for a further five years.

No stranger to Australia's public transport network, Huawei has provided similar communications technology solutions for Sydney's rail network as well as the New South Wales State Ambulance Service over the past decade.