| Subject: Melbourne Age ERG 8/2/2002 (One Link)270 mill lawsuit. |
Author:
Steve Bonkers.
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Date Posted: 03:51:37 02/08/02 Fri
Rail tickets deal flawed: minister
By GABRIELLE COSTA
and ANDREW HEASLEY
Tuesday 5 February 2002
The State Government has no power to force the company that developed Melbourne's public transport ticket machines to pay $560,000 for modifications to prevent vandalism and breakdowns.
Transport Minister Peter Batchelor said yesterday that the previous government had signed a "monumentally lax" contract with the company, OneLink, that made no reference to who was responsible in the event of vandalism or other problems with the ticket machines.
The fact that the government and OneLink were engaged in a long-running legal dispute had also "poisoned" relations and made it difficult to agree on a compromise, he said.
OneLink has made a $270 million claim against the state over issues relating to the contract to operate ticket machines.
"We are now vigorously contesting that," Mr Batchelor said.
Train and tram operator National Express said yesterday that public transport companies had decided to bear the $560,000 cost of modifying 477 ticket machines at suburban railway stations to protect their ticket revenue and to avoid protracted talks with OneLink.
But OneLink's parent company, Perth-based ERG, said it too had incurred costs in recommending what modifications would be suitable.
ERG chief executive Peter Fogarty said the company had chosen not to pass the costs on to operators.
Mr Fogarty said it was reasonable for the public transport companies to pay for the modifications because they were additional to what was specified in the contract.
But the Public Transport Users Association and the Rail, Tram, Bus Union said the money spent on vandal-proofing the machines would be better spent on staffing stations.
"There are around 130 unmanned stations and only 70 staffed," said the union's state branch secretary, Trevor Dobbyn. "(The sum of) $560,000 would employ 14 more people and get at the root cause: vandalism at unmanned stations."
While only railway station machines would be reinforced, as well as having note and coin-jam sensors fitted, the cost would be shared by all train, tram and bus operators, National Express spokeswoman Simone Gandur said.
She said the companies' ticket taskforce wanted to improve the system for customers.
However, there were fears that publicity about the machine modifications might spur vandals into more attacks.
Opposition transport spokesman Geoff Leigh yesterday alleged that OneLink was not being made to pay for the modifications because the government was negotiating with it behind the scenes to bring in a smartcard system.
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