Re: Re: Tram prices
  Mal Rowe

On 13/09/2017 11:21 AM,prescottt@... [TramsDownUnder] wrote:
> Well the Age nowadays is in down in the same bucket of journalistic "competence" as the ABC and the Guardian. It will be interesting to see whether it's picked up in Fairfax's desperate efforts to save themselves from complete collapse - efforts which are heading in the digital direction.

I'll leave the discussion about which media outlets we each prefer and what that means about our own prejudices to some other more appropriate forum.

> I can't imagine where they got that figure from. Many tram contracts around the world include the maintenance component and, from those that I've seen dissections of, maintenance only accounts for about 10 to 20% of the figure, so the price of the actual E class tram on its own appears to be very high. They seem to have swung a much better deal with Alstom in Canada. Read into this what you will.

I have tracked down a more reliable source of where the quoted costs for E class trams in Victoria are based on.
It's in a document produced by the Victorian Department of Treasury and Finance costing the election promise from the Coalition at the last state election.
It's at: * *

The price that was evaluated was for the Coalition promise of 75 new E class trams - $A 1,069.2M or $14.25M per tram.

*However, that price was based on not just the trams, but everything needed to expand their numbers.*
"DTF’s assessment allows for supporting infrastructure including upgrade of maintenance facilities, stabling and power needed to support the operation of the new trams."

For example, the New Preston depot project was quoted as a $190M project and houses 70 E class trams - that's $A 2.7M per tram.
Add to that the substation upgrade costs and maintenance contracts and the E's may not be delivering quite as much profit to Bombardier as would seem to be the case at first glance.

I know that the New Preston development is not going to be required again for the next 70 - but some very expensive infrastructure will be required - not least the purchase of suitable real estate for depot and substation expansion.

Mal Rowe - who suspects that vehicle costs are not easily comparable between different cities in different countries.