Re: [NSW]SRA billed $15m for airport link's shortfalls

[neumannc <neumannc@ozemail.com.au>]

Maurie Daly wrote:
> 
> > The Airport Line is a privately funded project ,costing $900 M.
> The fare will be based on getting a fair commercial return on the
> capital invested,not on what other forms of transport cost.
> If the Company has got its passenger estimates grossly wrong then they
> will simply go broke,unless there are contractual obligations on the
> part of the Govt to bail them out.
> Its also worth noting that projects of this size are usually financed
> by overseae institutions and that the loans are written in $USD,so
> that the low $AUD will if anything drive the fares up,not down.
> 
The Airport Line was JOINTLY funded by the private sector and the NSW
Government.  The taxpayer contribution was well over $600M.  If the
company got its passenger estimates wrong their lawyers will ensure that
the taxpayer bails them out, just like the Harbour Tunnel!

Chris