Sunday, February 22, 2009

Private Rail system costs more than owning it

Despite service, Connex coins it - The Age

Veolia Transport Norway ASThe French own Connex

Despite an average of 20 cancelled trains a day, Connex still raked in $175 million in payments from the Government for services provided and in ticket sales.

in 2007 — it sent home $11 million in profits to its French parent company Veolia.

Public Transport Minister Lynne Kosky has conceded it is no cheaper to keep privately operated companies running Melbourne's rail system.

But she says the Government wants the trains and trams kept in private operation, rather than returned to Government hands, because of the international expertise and innovation companies like Connex bring.
The government is totally out of step on this one.
  • Where is the "international expertise and innovation" that Connex has brought?. The standard of service would not be tolerated overseas.

  • Why is the state government purchasing both new and old trains rather than Connex?.

  • Why did the state government buy back the country rail infrastructure?

    MetroLink Victoria Proprietary Limited trading...paid a total of $65 million

Also revealed in yesterday's Track Record report was Yarra Trams' poor performance. It was paid a total of $65 million, but had payments of $1.96 million deducted for running too many trams late.

The publicly operated V/Line was forced to pay $128,000 in penalties for late and cancelled trains.

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