Local Govt | National News Video | Parliament Headlines | Politics Headlines | Search

 


Ratepayers deserve full explanation over costly tram failure


Auckland Councillor Cameron Brewer

Tuesday, 5 March 2013

Ratepayers deserve full explanation over costly tram failure

Reports that the board of Waterfront Auckland has suspended funding the Wynyard Quarter trams should come as no surprise, says Auckland Councillor for Orakei, Cameron Brewer.

“Promises made that the two old trams would attract over 10,000 users a month and pay for themselves were completely pie-in-the-sky. Ratepayers deserve a full explanation why such outrageous promises to Auckland Council could’ve been made in the first place.”

Back in May 2012, Mr Brewer released alarming figures which showed revenue from ticket sales for the trams’ first eight months was only a third of what was forecast and monthly patronage numbers* had fallen to only 20% of what was forecast. By then, the tram company had already recorded an operating loss of $139,136 and Waterfront Auckland was actively seeking a further $150,000 subsidy required to return the tram company to a break even position and ensure continued operations.

“The trams financial failure was well-signalled but no one wanted to hear about it. Instead they just kept driving empty trams around a desolate car-parking hoping something would change. Ratepayers have been forced to keep forking out, while a few camels have kept their heads completely in the sand. It’s totally unacceptable.

“The trams proved popular when they first opened and during the Rugby World Cup but they have been a disaster since. Their hours and days of operation should have been cut back over 12 months ago. Instead every day from 10.00am to 4.30pm, according to Waterfront Auckland’s website, they’ve been going around and around - empty most of the time. You wouldn’t run a business like that. Ratepayers have been treated like mugs.”

Mr Brewer says as well as a full explanation of why Waterfront Auckland’s forecasts were so wrong and why it kept the service going for so long, the $8.2m allocation to extend the tramlines over the Te Wero drawbridge, and along to Britomart should be deferred indefinitely.

“Waterfront Auckland assured us that such an extension of the project wouldn’t increase existing operational costs much as the trams were already fully staffed and running full time. However ratepayers should be very worried about further operational and capital cost blow-outs.”

According to the council’s draft 2013/14 Annual Plan and Waterfront Auckland’s website the extension work has been deferred from the current financial year of 2012/13 to 2013/14 with the project starting in September this year and due to be complete September 2014.

“That’s still too soon. Waterfront Auckland needs to first and foremost sort out the failings of the current service, before extending it. Let’s not throw good money after bad. Ratepayers deserve better and Auckland has much greater priorities,” says Cameron Brewer.

ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

#SaveCampbellLive : Mediaworks Delivered 104,000 Petition Signatures At TV3's Newton HQ
#PonyTailGate #TailGate Full Coverage

Pukeahu Park : ANZAC 100th Anniversary Dawn Service In Pictures

Roughly 18,000 people gathered this morning at Pukeahu Memorial Park for the Anzac day centenary. Anticipating the large turnout, patrons arrived as early as 4.30. It was virtually impossible to get near the Memorial after 5am. By 6, the crowds on Taranaki Street had stretched as far back as the Z Petrol station.

The screens erected around the park displayed the live events to those who had turned up. The heat generated by the huge number of people caused many to take a turn. Medics and ambulances were on hand for the fainting crowd members. Only twenty minutes into the ceremony, one medic said they had already dealt with 15 to 20 spells. More>>

 

PARLIAMENT TODAY:

War: What’s To Commemorate?

Gordon Campbell in Werewolf: Is there anything that can be validly commemorated on this 100th anniversary of Gallipoli? Beyond, that is, a fleeting sense of empathy with the thousands of soldiers killed or wounded on April 25 1915 and in the months thereafter, until the whole thing was finally called off in December 1915. More>>

MORE IN WEREWOLF:

ALSO:

Peter Ellis Case: Minister Declines Request For Commission Of Inquiry

Justice Minister Amy Adams has declined a request from supporters of Peter Ellis for a Commission of Inquiry on the basis that an inquiry cannot be used to determine the liability of any person. More>>

Quakes: New Process For Red Zone Crown Offers

Canterbury Earthquake Recovery Minister Gerry Brownlee has announced a process to give everyone a say on the Crown offers to owners of vacant, commercial/industrial and uninsured properties in the Residential Red Zone. More>>

ALSO:

Gordon Campbell: On The Battle Obama Is Waging Over The TPP

For the past two and a half years, this column has been arguing that the fate of the Trans Pacific Partnership (TPP) deal will hinge on whether US President Barack Obama can win Trade Promotion Authority (TPA) from Congress... Last week, the White House finally, finally unveiled a draft TPA Bill. More>>

ALSO:

Greens: Govt Breaks Free Doctors Visit Promise To Kids

Documents obtained by the Green Party show that the Government decided to fund only 90 percent of doctors’ visits for children suffering from an injury in an attempt trim the cost of the so-called “free” visits. More>>

ALSO:

Other Wars: Extension Of NZDF Commitment In Afghanistan

The New Zealand Defence Force’s commitment of mentors and support staff to the Afghan National Army Officer Academy in Afghanistan has been extended out to December 2016, Defence Minister Gerry Brownlee says. More>>

PM's Press Conference: Auckland Property Prices Increasing "Too Rapidly"

John Key accepted that Auckland property prices 'are going up too rapidly” in a press conference held today in Wellington, however he said that this is not anything new. More>>

ALSO:

Press Conference: ANZAC PMs Concerned About ISIL Bringing The War Home

Prime Minister Key and Prime Minister Abbott spoke of the bond formed between Australia and New Zealand in the “baptism of fire” of Gallipoli. Abbott stated that New Zealand and Australia’s values and interests are linked, and this is reflected in the joint operation in Iraq which will begin shortly. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
More RSS  RSS News AlertsNews Alerts
 
 
 
Regional
Search Scoop  
 
 
Powered by Vodafone
NZ independent news