Metro Trains, Yarra Trams pocket $15m in performance payments over two years
Despite a massive drop in passengers, Victoria’s tram and train operators have scooped more than $15 million in performance payments since 2019.
Victoria
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Victoria’s tram and train operators have collected more than $15 million in performance payments since 2019, with both companies paid to achieve targets despite a massive drop in passengers.
Data collected over the past two years shows Yarra Trams and Metro Trains struggled to make their contracted punctuality and reliability goals before the pandemic and regularly missed out on lucrative bonuses tied to their results.
But the Sunday Herald Suncan reveal that once Victorians were asked to work from home, both companies began to meet these targets and were entitled to receive government cash.
Payments continued in 2020 while there were little to no passengers on the network.
Between January 2019 and November 2020, Yarra Trams received about $2.815 million in incentives from the government.
Metro Trains received $13.124 million over the same period.
Opposition transport spokesman David Davis said this money had come despite Metro failing its punctuality targets during every month of 2019.
“Under Labor’s contract it is only when the passengers left the rail network that they could meet their targets and receive fat payments,” he said.
“It is like the Yes, Minister show with the Midlands hospital that met all its benchmarks despite not having any patients.”
Department of Transport figures also show the companies missed out on bigger windfalls over this period.
Yarra Trams could have received $12.591 million over the past two years if it had met all of its targets while Metro could have received $30.12 million.
“We are committed to working with the public transport operators to continually improve performance across the metropolitan train and tram networks to get people where they need to go as quickly and reliably as possible,” a department spokeswoman said.
“Under the franchise agreements, Metro Trains and Yarra Trams have tougher punctuality and reliability targets than in previous contracts that they must meet each month or be liable for compensation.”
Public Transport Users Association spokesman Daniel Bowen said tram punctuality had improved while there were fewer cars on the road to slow down services.
He said it was also up to the government to help operators by improving the network, with returning workers to put more pressure on the system.
Originally published as Metro Trains, Yarra Trams pocket $15m in performance payments over two years
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