Dick Bellamy: Auckland needs to have control over its own destiny

The recent decision by the Minister of Transport regarding electrification of Auckland's rail network represents a giant step backwards. It is wrong and must be reconsidered urgently.

Sadly this move is history repeating itself to the disadvantage of the Auckland region.

It takes me back to 1991 when I was on the Auckland Regional Council. A new government came into office just as we were poised to put a light rail system into Auckland to complement the North Shore Busway.

The council was ready to go to tender but the Government changed the rules, preventing Auckland from owning rail infrastructure.

For 18 years, we have made do with second-hand, clapped-out trains from other countries and even those rescued from transport museums.

Much has been said about the funding aspect of Steven Joyce's announcement. Dropping the regional fuel tax and funding the rail upgrade out of the Land Transport Fund might make good sense were it not for the fact that the ARC is having to scrap station upgrades - and potentially integrated ticketing - because there's now not enough money to go around.

The regional fuel tax at least gave Auckland some control over its own destiny rather than the city being beholden to Wellington - which has never worked in the past and won't in the future.

But what could ultimately see electrification scrapped altogether is the minister's decision to hand train procurement over to KiwiRail.

Why? The Auckland Regional Transport Authority has a tender process under way.

It has called for international expressions of interest from parties wanting to supply electrical trains.

Ontrack - now part of KiwiRail - has a parallel process going for the overhead wires and signalling upgrades.

The decision to electrify was made after a lengthy process that cost millions of dollars.

There was a detailed technical evaluation of electrical supply options, the development of a business case - including a cost-benefit comparison of options - and a procurement strategy that would ensure a fully competitive process.

Also, the Government and the Auckland Regional Council approved funding. On that timeline, a contract would have been signed by the end of this calendar year.

The journey thus far has been long, detailed and complex. The upgrade of Auckland's commuter rail service has been in gestation for many years and we are nearly there.

But now Mr Joyce wants to stop the tender process and have KiwiRail start all over again.

He has indicated there might be a delay of at least six months.

On the other hand, he has restated the Government's commitment to electrification. These two positions are not necessarily consistent.

If KiwiRail is to go through a due diligence process, there could well be a delay of several years. (Due diligence means that all the work on which the original decision was based will be reassessed.)

Moreover, there's no guarantee that KiwiRail would come up with the same decision as the Auckland Regional Transport Authority.

KiwiRail is just a train company and it has no interest in Auckland's broader, strategic regional considerations.

We could well end up with a cheap and nasty diesel solution and a second-rate commuter rail network.

And, in the meantime, the delays mean we might have to put up with more breakdowns and chaos for commuters as the current antiquated rolling stock would struggle to cope with rapidly rising patronage.

The other problem with the KiwiRail option is that the company, like its predecessor, is preoccupied with its freight train business.

The countless breakdowns of KiwiRail's signalling equipment have led to long delays for commuters and repairs and upgrades have never been given the priority attention required.

The company clearly does not have the customer focus needed for our rail service to work optimally.

Also, the KiwiRail option puts yet another party into the regional transport mix that already has too many players - something the Royal Commission on Auckland Governance is likely to address in its report.

It is international best practice for metropolitan regions to have a regional transport authority that has all the power necessary to co-ordinate and implement a fully integrated transport network. Auckland should have as much control over its destiny as possible - not further fragmentation.

By handing responsibility back to Wellington-based KiwiRail, Wellington is once again ensuring that Auckland cannot make decisions about its own future.

Now in 2009, a newly elected Government is once again changing the rules in a unilateral way, just as Auckland has finally gotten back into train-purchase mode.

If the Government is indeed committed to buying electric trains, then let's get on and buy them without delay.

What is the preferred way ahead?

If the regional fuel tax is to be dropped, then the Government should at least come up with the alternative funding needed to carry out the range of much-needed projects associated with rail - including station upgrades and integrated ticketing - so that we end up with all the components required for a modern, fast commuter rail network.

Let the current tender process for electrification run unabated.

Improving Auckland's public transport network is essential if we are to be a competitive city internationally. The regional economy could do with a shot in the arm right now.

Please Mr Joyce, reconsider the way forward.

* Dick Bellamy is a former member of the Auckland Regional Council and until recently was Dean of Science at the University of Auckland.