Sunshine Coast mass transit: Council contract given to major firm ‘committed’ to light rail

A council contract for business case advice, analysis and the preparation of a key mass transit report was given to a firm ‘committed’ to light rail.

A firm engaged to deliver a crucial mass transit report outlined its commitment to light rail on the Sunshine Coast before it was awarded a $439,000 council contract.

The revelation has sparked questions from a key community group about the business case process to-date.

Mass Transit Action Group founder Tracey Goodwin-McDonald said documents supplied to the group by Sunshine Coast Council as part of a recent Right to Information release of more than 800 pages had raised questions about the evaluation process.

Tender documents released in the Right to Information dossier included PricewaterhouseCoopers’ pitch to become business case advisers as well as economic and financial analysts for the council for its mass transit project.

The submission received by the council in June, 2019, stated PricewaterhouseCoopers was “committed to seeing light rail on the Sunshine Coast come to fruition”.

Sunshine Coast Councillors were provided an update on the Sunshine Coast Mass Transit Plan on August 27, 2020.

The firm outlined its vast experience with light rail, including on projects in the Gold Coast, Parramatta and Sydney.

As part of its pitch, PricewaterhouseCoopers highlighted its first hand knowledge of the “economic development and growth that can occur as a result of implementing light rail, especially in a region which has strong population growth and amenity offering”.

“Due to the specialist skills required to deliver a defensible business case, PwC has selected a team with significant experience and existing working relationships which are not available within the Sunshine Coast LGA,” the PricewaterhouseCoopers submission stated.

Sunshine Coast Council sent a letter of acceptance to PricewaterhouseCoopers in July, 2019, advising the firm it had won the contract worth $438,553.98.

PricewaterhouseCoopers produced its Sunshine Coast Mass Transit Preliminary Business Case interim findings report in January, 2020.

A council spokeswoman responded to questions about the revelations this week.

“Council appointed an independent consultant with suitable expertise to assist with the development of the draft Mass Transit Options Analysis Report,” the spokeswoman said.

Sunshine Coast Council Mayor Mark Jamieson and councillor Rick Baberowski announced the start of community consultation for the Mass Transit Plan Options Analysis, an eight-week process which recently wrapped up.

A Mass Transit Action Group statement this week said the group feared there had been a preconceived outcome all along, despite a recent eight-week community consultation process which the council said would help shape the final options analysis report to be presented to councillors.

A council spokeswoman this week said the mass transit project was considering a “wide range of mass transit options” as part of a co-ordinated approach to “sustainably accommodating the additional people” forecast to move to the region.

“All options are being considered and council does not have a predetermined outcome,” the spokeswoman said.

Documents provided by Sunshine Coast Council to firms as part of the tender process in 2019 stated urban renewal in the coastal corridor from Maroochydore to Kawana was “at the heart of the business case for the mass transit system”.

“There is also a companion project entitled Sunshine Coast Urban Infill Planning Strategy being progressed by the Principal (council),” the overview stated.

“This has a broader planning and delivery scope than required for the business case process, focusing on the staged implementation of infill across the region, including the opportunity for increased infill in the coastal urban corridor attributable to the mass transit system investment.”

Further background documents stated the council had undertaken a range of planning and design studies since 2012 “based on a light rail solution”.

Sunshine Coast LNP MPs Dan Purdie, Fiona Simpson, Brett Mickelberg, Andrew Powell and Jarrod Bleijie came out in opposition of the consideration of light rail as a mass transit system.

“Those studies concluded light rail technology was the best option and the project should initially be focused on the coastal urban renewal corridor extending from Maroochydore to Caloundra,” the documents read.

“This assessment was based largely on the ability of light rail to shape the future of an emerging city, and to encourage and sustain urban transformation.

“The business case process now requires reappraisal of a range of options including whether to invest in a new mass transit system, and if so, what technology should be adopted.”

PricewaterhouseCoopers said the need for a mass transit solution in the coastal corridor was “reinforced by the infill growth targets for the corridor” and the preliminary business case should focus on a light rail or bus rapid transit system from Maroochydore to Kawana.

PricewaterhouseCoopers noted it would be critical to the preliminary business case to make the comparison between light rail and bus rapid transit.

“Producing a comparison that is rigorous and defensible will rely on ensuring that the level of detail developed for each of the modes is equivalent,” the firm stated.

A council spokeswoman said PricewaterhouseCoopers, in its response to tender, had also demonstrated its experience on business case development for Oceanside Cruise ship terminal, Mooloolah River Interchange, M1 Loganholme to Nerang and Coomera Connector, “not just light rail”.

“The PwC tender clearly states “our team members understand the importance of making the best mode choice to support city building and transport outcomes”,” the council spokeswoman said.

The firm also stated its team was “committed to delivering the best outcomes for the council”.

The Mass Transit Action Group statement said the group feared the process had been “flawed from the start”.

The council spokeswoman said the draft Options Analysis report had identified five mass transit options for consideration in the Detailed Business Case, in order to secure state and federal funding.

“The options considered in the draft Mass Transit Options Analysis Report range from bus network upgrades to a quality bus corridor to bus rapid transit, trackless trams, light rail transit and more,” she said.

“Council will spend the months ahead examining and analysing the feedback received.”