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Home / New Zealand

<EM>George Wood:</EM> Transport services do as they please

12 May, 2005 07:45 AM6 mins to read

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George Wood

George Wood

Opinion

Sometimes it takes a crisis before people will take action. So while I sympathise with the commuters caught up in the Auckland bus drivers' strike, and wish the situation had not reached that point, I also hope that it will be the catalyst for the kind of change that I, as a mayor, have been unable to achieve through political efforts.

That change concerns how we contract and deliver public transport services to the public, whether it is bus, train or ferry.

The strike is just one symptom of how we are caught up in a legal framework that makes it almost impossible to offer certainty and security around the kind of quality bus services we need.

It is another example of us being beholden to the operators to deliver many of our peak-time services. When they can't, we can't do anything about it.

We have a system meant to be competitive - delivering services at least cost to the public - encouraging private enterprise to deliver fully commercial services where the market can support it (mostly peak time), supplemented by subsidised services contracted by the Auckland Regional Transport Authority (mostly off-peak).

In effect, however, we have the worst of both worlds. A competitive model that isn't really competitive, and a system that doesn't allow us any overall control of the planning and delivery of services in an integrated manner.

That makes me nervous when I am mayor of a city that is building a $290 million busway.

We are investing in major public transport infrastructure without a robust statutory framework that assures me of any real, long-term control or guarantees over the services we want and need delivered on the busway.

The busway must operate as part of a regional public transport network. It is, therefore, important that a seamless connection exists to other suburban bus, rail and ferry services.

This is public investment that will be used in many instances for private gain - caught up in a system that makes it difficult for the public investor to leverage to the greatest advantage off that investment.

I have been asking transport ministers for several years to change the law governing the procurement of public transport services. Finally, last year, I was assured by the incumbent minister that the Government would start looking at the issue this July.

That is too little too late, but at least recognition that we do need to make changes. As usual the wheels of Government move too slowly.

So in the meantime commuters have to put up with a somewhat confusing array of services offering varying levels of service depending on where you live and who decides to operate in your area.

For example, in North Shore City Stagecoach offers air-conditioned buses and its customers can buy monthly travel passes. Birkenhead Transport offers neither. In the Birkenhead/Birkdale/Beach Haven area there is only one operator. There is no competition and no alternative bus choice.

Many of North Shore's services are run by Stagecoach, so when their drivers go on strike so does our public transport system and I can't do anything about it. Most of those services are commercially run and monopolised by one company which has a majority market share.

To improve peak-hour services we are much dependent on a private operator's whim and will to do so. We have to watch from the sidelines and encourage and use whatever limited legal powers we have in the contracted area as best we can to set service levels and contract conditions. But it is limited.

Meanwhile, the private operators choose when and how often they operate the peak-time services to achieve the best returns - without any legal obligation to deliver an integrated or guaranteed level of service throughout the day.

This also means there is no co-ordination of services and linkages between the operators across the region.

Last year I received complaints from commuters about overcrowded buses leaving stranded travellers at stops in peak times. I rang the regional council to see what could be done about it. Sorry, nothing. These are commercial services run by private operators and we have no control over the level or quality of service they offer.

We were powerless to address this issue. While a public service will invest in anticipation of growth, many private operators will not take that long-term view.

Most contracts are for only two to three years. And what about integrated ticketing? That would make combined bus, rail and ferry trips simpler.

At present, we are delayed by an eight-year protracted negotiation with operators trying to cajole and convince them to be part of a system to bring in integrated ticketing.

It is a complicated process. We have no legal powers of enforcement and in any case there is little incentive for operators to take a long-term perspective when most subsidised contracts are for only two to three years.

Operators also do not have to disclose how many people they are carrying on commercial services or how much profit they are making.

We cannot get much of the information we need to plan properly or know if we are really getting value for money.

In Brisbane, a new integrated ticketing regime has been introduced. While there are still a number of private operators, the new Queensland Transport Translink organisation contracts all services to its specifications, paying each operator a negotiated rate for each kilometre for delivering a service to Translink's network.

Translink has a 10-year plan for service growth, including the introduction of smartcard technology to speed up its boardings.

In Taipei, integrated ticketing was introduced within a three-year timeframe and covered 13 different private operators.

Brisbane has a successful busway, is now building a second one and has seen major patronage growth in public transport.

Operators get long-term, seven-year contracts with some exclusive service rights but at the heart of the planning and specification - and in overall control of all services - is a public body, ensuring integrated and guaranteed service levels.

We need an overhaul of our public transport service procurement system and the legalities that bind us. Perhaps the drivers' strike will be the event that makes the Government finally take action so we can get better value for public money.

* George Wood is the Mayor of North Shore City.

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