[Vic] Vline trains to be built locally

["Signal Adjuster" <grime@dcsi.net.au>]

Report from the ABC
825-million dollar deal on tram and train maintenance

The Bracks Government has signed an 825-million dollar deal with a private
transport operator to try to keep local industry alive.

But manufacturing unions still aren't satisfied.

National Express has given a commitment that at least 42 percent of the
manufacture and maintenance of new trams and trains will involve Australian
companies, mainly in Victoria.

The deal includes 29 new two-car diesel trains for V-Line Passenger to be
built in Dandenong, 59 new trams for Swanston Trams and 62 new three-car
electric trains for Bayside Trains.

National Express Group's Peter Strachan says it's a good deal.

"It is a balance as I've said between getting the right product for the
marketplace, getting the right business decision and making sure that we've
done our bit to boost local industry," he said.

The Bracks Government says it's a major boost for Victorian industry, as
under the previous administration there was no requirement for any local
content.

Mr Bracks says the package negotiated by his Government secures the best
possible deal for the local industry.

"This outcome stands in stark contrast to the zero local content policy of
the previous Government," he told State Parliament.

"An approach Mr Speaker, that would have seen Victoria lose thousands of
dollars in new business and thousands of jobs as a result."

The Transport Minister, Peter Batchelor says just a few months ago local
rolling stock suppliers were left out in the cold by the previous
administration.

"The Kennett Government failed to secure any guarantees for local suppliers
to share in new rolling stock orders placed by the new private train and
tram companies," he said.

"They were stabbed in the back, and you helped do it," he shouted at
Opposition frontbenchers.

But unions say the deal just isn't good enough, as before privatisation of
the public transport industry all maintenance on trams and trains was
carried out in Australia and the majority of contruction was also local,
with offshore involvement limited to the import of some components.

The Manufacturing Workers Union says the decision effectively means
Victoria's transport industry is being sold off to foreign companies, and
places thousands of jobs at risk.