Cross city tunnel/Lane Cove tunnel etc.

[trinity]

hi,

there's something i don't quite understand. how come the private companies after building these tunnels, can start closing public roads to channel and force people to use the toll tunnels? (don't we pay enough taxes to use the roads already?)

 

[chops_a_must]

Re: Cross city tunnel/lane cove tunnel etc

hi,

there's something i don't quite understand. how come the private companies after building these tunnels, can start closing public roads to channel and force people to use the toll tunnels? (don't we pay enough taxes to use the roads already?)

It's in the contract.

They can also sue public transport companies for loss of earnings due to their routes conflicting with these tunnels.

Professor Peter Newman was sacked from the NSW government advisory for exposing this a few years back...

 

[trinity]

Re: Cross city tunnel/Lane Cove tunnel etc

It's in the contract.

Thanks for the info. I do apologize as I have to ask an obvious question, WHY does the government do that? These changes that are made, affects tax payers and road users, the govt goes into a contract that closes public roads to private enterprises. (been here for only 3 years btw, please bear with my ignorance).

 

[nioka]

Re: Cross city tunnel/Lane Cove tunnel etc

Thanks for the info. I do apologize as I have to ask an obvious question, WHY does the government do that? These changes that are made, affects tax payers and road users, the govt goes into a contract that closes public roads to private enterprises. (been here for only 3 years btw, please bear with my ignorance).

Ask yourself "is it a coincidence that 2 ex premiers, one in particular now have a lot to gain through the private enterprise arrangements that operate the tunnel?" Nuff said.

 

[trinity]

Re: Cross city tunnel/Lane Cove tunnel etc

http://www.smh.com.au/news/national/tunnel-a-50m-drain/2007/12/12/1197135520229.html

Such poor management!

 

[Smurf1976]

Re: Cross city tunnel/Lane Cove tunnel etc

Look at the trains in Victoria - closing the grain freight operations completely. Yet ANOTHER privatisation disaster to add to the list with us poor taxpayers bailing out some big business once again.

Either something is naturally private enterprise or it is naturally a public service. Roads are clearly the latter. Try and mix them and the end result is financially catastrophic.

Got to laugh though. Tasmanian power prices are going up 25% "to get consumers used to the higher prices under competition". Hmm... Don't suppose our energy minister ever thought of just scrapping the competition stuff in the first place thus avoiding the price rise?

Public service and private enterprise don't mix from what I've seen. The sooner the politicians wake up to that, the better.

 

[finnsk]

Re: Cross city tunnel/Lane Cove tunnel etc

Looks like tunnel operators is having problems with there finances even with interest free loans.
http://www.smh.com.au/news/national/harbour-tunnel-a-50m-drain/2007/12/12/1197135520229.html

 

[doctorj]

Re: Cross city tunnel/Lane Cove tunnel etc

Got to laugh though. Tasmanian power prices are going up 25% "to get consumers used to the higher prices under competition". Hmm... Don't suppose our energy minister ever thought of just scrapping the competition stuff in the first place thus avoiding the price rise?

On the other hand, if this implies government is subsidising the cost of electricity in Tasmania, why should an individual subsidise big business via their taxes?

 

[trinity]

Re: Cross city tunnel/Lane Cove tunnel etc

had to crawl through epping road to north ryde because of these *!@!! policy of closing down use-able roads just to funnel people into the lane cove tunnel!

from
http://www.smh.com.au/news/national/eppings-tunnel-funnel-under-fire/2008/03/10/1205125808302.html

The government admitted its move to impose bus-only lanes had caused teething problems during this morning's peak period, but said overall the changes had gone well.

i have no issues with bus-only lanes, but ... tell me that at least one politician personally went through epping road today, whether by bus or car. How can you say that 'overall changes had gone well', they must be blind.

 

[son of baglimit]

Re: Cross city tunnel/Lane Cove tunnel etc

for those wanting to gain an understanding of this issue, research the road closes, diversions, reductions etc in & around melbourne when citylink (transurbans big toy) opened in the 90's.
(for the uninitiated, they tookover the freeway linking the cbd with tulla airport, and linked it to the freeways that they joined with tunnels that ran from the south west suburbs to the south east suburbs - yes, took over FREEWAYS and made them TOLLWAYS)
so many secondary roads had lanes reduced (oh look weve given you a bike path), side street rat runs closed, left and/or right turns barred, it either made the major routes a nightmare, or forced traffic onto the tolls.
i live on a major road, which is now a constant nightmare, with those not wanting to pay tolls, using $$$$ everyday queueing outside my door for the sake of saving a few pennies - well they would be if petrol was still 80c a litre.

BRING ON $2 PETROL - take a few more cars off the road - maybe.

 

[pepperoni]

Re: Cross city tunnel/Lane Cove tunnel etc

Thanks for the info. I do apologize as I have to ask an obvious question, WHY does the government do that? These changes that are made, affects tax payers and road users, the govt goes into a contract that closes public roads to private enterprises. (been here for only 3 years btw, please bear with my ignorance).

It sure is in the contract as it forms a key part of the financia basis for the PPP.

Closed roads are likely to lead to more toll paying motorist which leads to less govt subsidy required (or a 100m kickback in the case of cct).

The financial models for these deals are based on toll revenue. Clearly, if the govt did another deal that materially disadvantaged the tunnel (eg a competing free tunnel) the concessionaire would go bust and it maked sense for the govt to take the risk to the extent it controls it.

I dont know if this idea makes sense to chart reading day traders but thats how it works.