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Handover takes place for Auckland passenger rail

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AOR chief executive Paul D’Alessio, left, and AT chief executive Shane Ellison sign the commemorative certificate to celebrate the new partnership.

Multinational joint venture Auckland One Rail (AOR) has begun its partnership with Auckland Transport (AT) as the new passenger rail operator.

The handover process took place on January 16 for the contract which is valued at around $130 million per annum and $1.2 billion over an eight- year period. It was the result of an international tender for the city’s rail services.

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The existing Auckland passenger rail contract is operated by French-owned Transdev which has been in place since 2004 and, following several extensions, expires in March 2022.

The unsuccessful tenderer was Aka Tangata – a consortium comprising Transdev NZ, John Holland NZ and CAF NZ. AT will continue its relationship with Transdev which is also the operator of Howick and Eastern Buses.

AT says while customers won’t notice significant changes in their day-to-day journeys, the new contract will enable better integration in all aspects of operations, including the $7b of rail investment for the City Rail Link, electrification of the rail line between Papakura and Pukekohe, and the purchase of additional electric trains over the next few years.

As a result, the new contract will see AOR having responsibility for not only train operations but also electric train maintenance, station operations and maintenance, safety, and security. The handover process took place on January 16. 

AT chief executive Shane Ellison says the agreement with AOR is far more comprehensive than previous passenger rail contracts, which were spread out across a range of organisations.

“With one organisation now responsible for the day-to-day operation of our passenger rail network we’ll see better accountability and responsiveness on the issues which matter most to passengers,” he says.

“It’s also exciting that Auckland One Rail will open a new train maintenance facility for train overhauls in South Auckland, with a strong focus on helping local Māori and Pasifika communities into trades and engineering apprenticeships.”

The contract award is part of AT’s focus to get more Aucklanders using the region’s rail services. This has grown from just over two million passenger boardings per annum in 2000, to more than 22 million in 2020. 

“This new rail franchise contract represents a significant investment for Auckland and Aucklanders,” Ellison says. 

“Despite the effects of the global pandemic on the international rail sector, the robust procurement process ensured AT was able to secure a competitive contract.”

AOR is a 50:50 joint venture between ComfortDelGro Transit (CDGT) and UGL Rail.

CDGT’s parent, CDG, is one of the world’s largest multi-modal passenger transport providers, with a footprint in seven countries, more than 24,000 employees and annual turnover in 2020 of NZ$3.4b. CDG, through its subsidiary SBS Transit, is the operator and maintainer of two Singapore mass rapid transit lines and a light rail system.

UGL Rail’s parent, UGL, is Australia’s largest supplier of outsourced rail asset management and rolling stock maintenance services, with a fleet of more than 2000 rail vehicles across its Australian rolling stock maintenance contracts. It is also a consortium partner in Metro Trains Melbourne, Metro Trains Sydney, Canberra light rail and the operator of the Adelaide light rail system.

From left: AT chief executive Shane Ellison, AOR chief executive Paul D’Alessio, AOR chairman Andrew McCusker, AT integrated networks executive general manager Mark Lambert, AT metro services group manager Stacey Van Der Putten and AOR board director Darin Cusack.

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