Wellington Public Transport Presentation 23Aug2012

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Presentation by Tony Randle on Wellington publci transport, it's cost structure, funding and whether the Greater Wellington Regional Council is meeting it's PT objectives

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  • Totals by Mode from Fare Recovery ModelCar is the main mode of transport
  • Totals by Mode from Fare Recovery ModelBuses are the main mode of PT . . . Most PT travel is within Wellington City by bus.
  • Totals by Mode from Fare Recovery ModelMost Wellington city rail travel is Intra-District.92% of rail travel has Wellington City as Rail Destination vs 60% of ALL Modes (note latter % is paid by CBD, not former).
  • PT is not just there to get people out of cars at rush hour . . . It is to get the children, the poor, unemployed and sick to where they want to go.
  • Compare Census Year to 2011/12 year . . . Not much has changed.
  • Totals by Mode from Fare Recovery ModelAdjusted to a Total Cost Estimate by adding annualised non-operational (e.g. Interest on capital debt).
  • Split the rail cost by line based on rail vehicle annual kms (Main cost driver).Then split into cities by patronage levels by Line.
  • Further Calculate to Passenger Km Trip CostBlue = Average Bus Trip CostRed = Estimated Rail Trip CostYellow = Equivalent Commercial Bus Fare (91 Airport Flyer or 211 Mana Porirua-Wellington)
  • Show most rates goes on rail even though bus caries twice the patronage.By 2018/19CBD Rates Est. to be Diesel Bus: $4,808,121 ; Trolley Bus: $3,214,588 ;Rail:$15,731,890; Other City Buses: $1,631,605
  • Greater Wellington uses the following funding allocations in respect of expenditure on public transport services, except for Total Mobility:• A target of 45%-50% user charges• The remainder from a community contributionThis community contribution is funded as follows:• The maximum contribution from Crown agencies, primarily New Zealand Transport Agency (NZTA), ... (this contribution ranges from 50%-100%, depending on the type of service) • The balance of the community contribution is from a Greater Wellington contribution funded via a targeted rate set as follows:
  • The balance of the community contribution is from a Greater Wellington contribution funded via a targeted rate set as follows:- 95% of the rates required are for congestion relief and concessionary and are allocated as follows:- Inter-district services:- Inter-district services includes all rail costs and a portion of the cost of bus services that connect with rail- 20%-25% of rates required for inter-district services are borne by the Wellington CBD with the remainder borne equally by ratepayers in the district of origin and the district of destination using census journey to work statistics- Within Wellington city, 10% of inter-district destination trips are allocated to ratepayers outside of the CBD- Intra-district services:- Intra-district services include all ferry costs and bus costs that have not been apportioned to inter-district costs- The rates required for intra-district services are borne by the ratepayers in the district that services operate in- A cost apportionment is made where services travel through more than one district- Within Wellington city 50% of intra-district trips are allocated to the Wellington CBD
  • The balance of the community contribution is from a Greater Wellington contribution funded via a targeted rate set as follows:- 95% of the rates required are for congestion relief and concessionary and are allocated as follows:- Inter-district services:- Inter-district services includes all rail costs and a portion of the cost of bus services that connect with rail- 20%-25% of rates required for inter-district services are borne by the Wellington CBD with the remainder borne equally by ratepayers in the district of origin and the district of destination using census journey to work statistics- Within Wellington city, 10% of inter-district destination trips are allocated to ratepayers outside of the CBD- Intra-district services:- Intra-district services include all ferry costs and bus costs that have not been apportioned to inter-district costs- The rates required for intra-district services are borne by the ratepayers in the district that services operate in- A cost apportionment is made where services travel through more than one district- Within Wellington city 50% of intra-district trips are allocated to the Wellington CBD
  • Why is the Ferry charged as Intra-District when it only travels between cities ?
  • Why is the Johnsonville Line changed as Inter-District when it only operates in Wellington City ?
  • Bus/Ferry changed on a quite different basis from Rail (and bus2rail)Rail rates are allocated on travel by ALL modes (not just on rail patronage) and not adjusted for distance.There is double charging rates for Ferry and inter-city bus.
  • Compare current rail rates allocation to what the rates would be if allocated by subsidy cost (i.e. The same as bus/ferry).Wellington & Lower Hutt Bare subsidising Kapiti and Wairarapa.
  • The overall public transport mode share is the key indicator for public transport’s efficiency and effectiveness. The target seeks a 4% increase in public transport mode share for journey-to-work trips. The strategic target for public transport trips equates to around 5.6 million additional peak period trips per annum (a 32% increase in trips from 2009/10).RLTS 2010
  • Key PT Objectives:Bus = 3.1M Additional Peak TripsRail = 2.3M Additional Peak Trips
  • Does this support the PT Objectives of:Bus = 3.1M Additional Peak Trips ? $3MRail = 2.3M Additional Peak Trips ?$236M
  • Does this support the PT Objectives of:Bus = 3.1M Additional Peak Trips ? No additional fundingRail = 2.3M Additional Peak Trips ? 10%/year increased funding to support 4%/year patronage increase ??
  • Does this support the PT Objectives of:Bus = 3.1M Additional Peak Trips ? Bus fares increasing even though they are already above the cost of a car and there is no extra subsidies to bus servicesRail = 2.3M Additional Peak Trips ? Rail fares are not covering even half the OPERATING costs, the subsidies to keep the overall PT% above 50% come from bus commuters (mainly in Wellington City). Also note rail users can save 42% of cash fares through monthly rail passes (not available to bus users) even though they pay half or less than an equivalent car journey. The fare structure essentially encourages commuters to live further away.
  • Does this support the PT Objectives of:Bus = 3.1M Additional Peak Trips ?Rail = 2.3M Additional Peak Trips ?
  • “Superbus Services: An Overview of Opportunities”, Wellington Regional Council (May 1998) by Booze Allen & Hamilton (NZ) Ltd.“BAH (NZ) Ltd was engaged by the Wellington Regional Council to investigate the potential for new/improved bus services which would have a primary focus of attracting people from cars rather than from rail. These ‘Superbus’ services would provide an equivalent level of service to the existing rail service, but not run in direct competition with it. In addition, the opportunities for commercial bus services which would increase PT modal share were assessed.”“The overall finding is that there appears to be little if any scope for ‘Superbus’ services which attract more people from cars than from the rail service. However, the opportunity to increase PT share for peak period travel to the Wellington CBD is available if the WRC rail protection strategy were to be relaxed.”“Opportunities exist for introducing new commercial bus services which could increase total PT modal share, particularly for peak period travel to the Wellington CBD. Thee bus services would, overall, reduce peak period traffic to the CBD. However, rail patronage would decrease to some extent.”
  • GWRC claims to need more rail capacity yet refuses to consider alternative direct bus services even though the Superbus Report shows such services from low PT areas (e.g. Lower Hutt Western Hills and Titahi Bay) will increase PT use at low or no cost. The direct bus services from the Hutt Valley and Porirua (91 and 211 respectively) are commercial.Does this support the PT Objectives of:Bus = 3.1M Additional Peak Trips ?Rail = 2.3M Additional Peak Trips ?
  • How can any decision by the GWRC be seen as unbiased when it’s own income (as the rail PT operator) is dependent on heavy increasing subsidies.The GWRC cannot be seen to be serious in meeting it’s stated RLTS objective of 3.3M additional bus trips when it allocates no funding and no investment to support such an increase.Does this support the PT Objectives of:Bus = 3.1M Additional Peak Trips ?Rail = 2.3M Additional Peak Trips ?
  • PT Investment is not balanced.The GWRC is conflicted in deciding PT funding and investment by also being the passenger rail operator.
  • Wellington Public Transport Presentation 23Aug2012

    1. 1. Wellington Public Transport 23 August 2012 Tony Randle – Wellington Commuter • Contract Business Analyst • Lived in Johnsonville for 19 years • Married with 3 children • President & Transport Spokesman for Johnsonville Progressive Association • Public Transport AdvocateTony Randle 23 August 2012 1
    2. 2. Agenda • Wellington Public Transport (PT) • Wellington PT Cost & Revenue Structure • Local Subsidy through the Transport Rate • Future Investment in Wellington PT • Greater Wellington Regional Council • Conclusion Tony Randle 23 August 2012 2
    3. 3. Wellington Public Transport (PT) Travel across the region All Modes (2006 Census) Residents (exc outside Area Total Waiirarapa TLA Total Upper Hutt TLA Total Wellington Total Trips to GW Total Trips by GW TLA Total Porirua Workplaces TLA Total Kapiti TLA Total Hutt (excluding outside region) the Wellington region) Total Wairarapa 14,136 330 12 30 183 864 15,555 TLA Total Hutt 168 24,597 111 687 1,485 13,524 40,572 TLA Total Kapiti 48 756 10,488 879 171 3,768 16,110 TLA Total Porirua 45 1,449 255 7,779 303 8,193 18,024 TLA Total Upper Hutt 69 4,050 45 399 7,320 3,990 15,873 TLA Total Wellington 354 5,256 279 2,619 633 79,149 88,290 Total Trips to GW Workplaces 14,820 36,438 11,190 12,393 10,095 109,488 194,424 Tony Randle 23 August 2012 3
    4. 4. Wellington Public Transport (PT) Origin/Destination Census ALL Trips across the Region Origin Destination All Trips Origin Inter-District Destination % Inter-District Intra-District Inter-District Origin % Intra-District Destination Wellington City 30,339 9,141 60% 18% 79,149 60% 55% Lower Hutt City 11,841 15,975 23% 31% 24,597 23% 17% Upper Hutt City 2,775 8,553 17% 5% 7,320 5% Porirua City 10,245 4,614 20% 9% 7,779 9% 5% Kapiti Coast District 5,622 702 11% 1% 10,488 1% 7% Wairarapa 1,419 684 1% 3% 14,136 10% 1% Total 50,955 100% 143,469 100% Tony Randle 23 August 2012 4
    5. 5. Wellington Public Transport (PT) Origin/Destination Census Bus Trips across the Region Origin Destination Bus Trips Origin Inter-District Destination % Inter-District Intra-District Inter-District Origin % Intra-District Destination Wellington City 900 339 63% 24% 12,075 63% 89% Lower Hutt City 366 717 26% 51% 1,023 26% 8% Upper Hutt City 204 14% 42 3% 117 3% 1% Porirua City 54 69 4% 5% 228 4% 2% Kapiti Coast District 27 75 2% 5% 117 2% 1% Wairarapa 30 15 2% 1% 66 2% 0% Total 1,419 100% 13,626 100% Tony Randle 23 August 2012 5
    6. 6. Wellington Public Transport (PT) Origin/Destination Census Rail Trips across the Region Origin Destination Rail Trips Origin Inter-District Destination % Inter-District Intra-District Inter-District Origin % Intra-District Destination Wellington City 8,082 282 92% 3% 2,541 92% 83% Lower Hutt City 3,609 336 41% 4% 255 4% 8% Upper Hutt City 1,335 114 15% 1% 78 1% 3% Porirua City 1,779 177 20% 2% 87 2% 3% Kapiti Coast District 1,302 15% 57 1% 69 1% 2% Wairarapa 519 60 1% 6% 33 1% Total 8,826 100% 3,063 100% Tony Randle 23 August 2012 6
    7. 7. Wellington Public Transport (PT) What does the census tell us about PT ? 45,000 40,000 35,000 Most travel is by car • 30,000 Most short PT trips are by bus • • Most longer trips (between cities) are by All Trips 25,000 rail 20,000 15,000 Over half of all PT in within Wellington City • Bus Rail 10,000 5,000 - Wellington Lower Hutt Upper Hutt Porirua Kapiti Wairarapa City City City City Coast District Tony Randle 23 August 2012 7
    8. 8. Wellington Public Transport (PT) The two roles of Public Transport: The appropriate role for public transport is to provide an alternative to private cars, particularly for longer journeys where active modes are less attractive. It also has a vital role in providing for people who do not own a private vehicle, are unable to drive or cannot use active modes to access the goods or services they need. (source: GWRC RLTS) Tony Randle 23 August 2012 8
    9. 9. Wellington Public Transport (PT) 25,000,000 Wellington Public Transport Annual Patronage 2005/06 and 20011/12 20,000,000 15,000,000 2005/06 2010/11 10,000,000 5,000,000 - Bus Rail Ferry Tony Randle 23 August 2012 9
    10. 10. Wellington PT Cost & Revenue Structure Estimated Cost by Mode $120,000,000 $120,000,000 $100,000,000 $100,000,000 $80,000,000 $80,000,000 GWRC Rates $60,000,000 Non-Operational Subsidy Funding $60,000,000 NZTA Subsidy Operational Costs Operational Costs Revenue Funding Revenue Funding $40,000,000 $40,000,000 $20,000,000 $20,000,000 $- $- Rail Rail Rail Diesel Bus Diesel Bus Trolley Bus Bus Diesel Bus Trolley Bus Bus Bus Trolley Tony Randle 23 August 2012 10
    11. 11. Wellington PT Cost & Revenue Structure Est. Rail Costs split by Line by City Patronage $60 $60 Wairarapa $50 $50 Kapiti Coast District QWERTYUIOPASDFG Upper Hutt City $40 $40 Hutt City Porirua City $30 $30 Wellington City $20 $20 $10 $10 $- $- Jville Line Jville Line Waikanie Line Waikanie Line Hutt Line Hutt Line Wairarapa Line Wairarapa Line Tony Randle 23 August 2012 11
    12. 12. Wellington PT Cost & Revenue Structure Public Transport Per Trip Cost Ave Bus & Jville Hutt & Wairarapa Waikanie Line $30.00 $29.63 $25.00 $19.85 $20.00 $20.00 $15.00 $15.00 $10.80 $11.59 $9.10 $11.10 $10.00 $9.20 $10.00 $6.00 $5.70 $6.94 $6.80 $5.00 $3.86 $5.83 $5.00 $3.37 $3.44 $- $- Well 211-4 Porirua 211-5 Kapiti 91-9 Sectns Hutt City Diesel SectnsSectns Upper 91/211-3 Sectns 91-4 Trolley Sectns91-7 Sectns Jville Line Hutt Wairarapa Tony Randle 23 August 2012 12
    13. 13. Wellington PT Cost & Revenue Structure Summary of Costs by Mode & City • Trolley bus costs significantly more than diesel • Rail costs more than bus on an equivalent trip basis • The rail trip costs increase with distance • The rail costs vary significantly due to differences between patronage and vehicle mileage Tony Randle 23 August 2012 13
    14. 14. Local Subsidy through the Transport Rate GWRC Transport Rates 2011/12 ($46.4M) $12,000,000 $25,000,000 $10,000,000 $20,000,000 CBD Rates Wellington City Diesel Buses $8,000,000 $15,000,000 $ 4,464,250 50% CBD Wellington City Trolley Buses $6,000,000 $ 2,241,994 50% Business Rates Wellington Rail Costs $10,000,000 $4,000,000 $ 9,579,679 42%Residential Other City Buses $5,000,000 $ 1,536,081 42% $2,000,000 In fact the CBD Rail Costs are a bargain ! $- Rail Rail Bus2Rail Deisel Bus Trolley Bus2Rail Deisel Bus Trolley Other Bus Other Other Tony Randle 23 August 2012 14
    15. 15. Local Subsidy through the Transport Rate Greater Wellington uses the following funding allocations in respect of expenditure on public transport services, except for Total Mobility: • A target of 45%-50% user charges • The remainder from a community contribution This community contribution is funded as follows: • The maximum contribution from Crown agencies, primarily New Zealand Transport Agency (NZTA), ... (this contribution ranges from 50%-100%, depending on the type of service) Tony Randle 23 August 2012 15
    16. 16. Local Subsidy through the Transport Rate The balance ... is from a Greater Wellington contribution funded via a targeted rate Inter-district services: • Inter-district services includes all rail costs and a portion of the cost of bus services that connect with rail • 20%-25% of rates required for inter- district services are borne by the Wellington CBD with the remainder borne equally by ratepayers in the district of origin and the district of destination using census journey to work statistics Tony Randle 23 August 2012 16
    17. 17. Local Subsidy through the Transport Rate Intra-district services: • Intra-district services include all ferry costs and bus costs that have not been apportioned to inter-district costs • The rates required for intra-district services are borne by the ratepayers in the district that services operate in • A cost apportionment is made where services travel through more than one district • Within Wellington city 50% of intra-district trips are allocated to the Wellington CBD Tony Randle 23 August 2012 17
    18. 18. Local Subsidy through the Transport Rate Rates for Intra-District Bus and Ferry Services $16,000,000 $14,000,000 $12,000,000 $10,000,000 $8,000,000 Other $6,000,000 Trolleys $4,000,000 Diesel Bus $2,000,000 $- Tony Randle 23 August 2012 18
    19. 19. Local Subsidy through the Transport Rate Rates for Inter-District Rail and Bus Services $14,000,000 $12,000,000 $10,000,000 $8,000,000 $6,000,000 Bus2Rail $4,000,000 Rail $2,000,000 $- Tony Randle 23 August 2012 19
    20. 20. Local Subsidy through the Transport Rate Factors Used to calculate the rates: • Intra-District (Bus & Ferry) = Contracted Subsidy Cost by City Split 50% Original and Destination • Inter-District (Rail & Bus to Rail) = 2006 Census Trips between cities Split 50% Origin and Destination with 25% of Origin charged to the CBD BUT NOTE Trips are ALL Trips (not just rail trips) AND There is no adjustment for distance ! Tony Randle 23 August 2012 20
    21. 21. Local Subsidy through the Transport Rate What does this mean ? Using Intra-District (Bus) $14,000,000 $2,000,000 $14,000,000 $1,436,918 $1,446,437 $1,500,000 $12,000,000 $12,000,000 $1,000,000 $10,000,000 $10,000,000 $476,353 $500,000 $8,000,000 $8,000,000 $- $6,000,000 $6,000,000 Bus2Rail Bus2Rail Well City Hutt City U Hutt Porirua Kapiti Wairarapa -$500,000 $4,000,000 Rail Rail $4,000,000 -$1,000,000 $2,000,000 $2,000,000 -$1,500,000 $- $- -$1,298,369 -$2,000,000 -$1,992,626 -$2,500,000 Tony Randle 23 August 2012 21
    22. 22. Local Subsidy through the Transport Rate Summary of Transport Rates Discussion • Rates to support Bus services are calculated on a totally different basis from Rail Services • There is significant cross-subsidies from Wellington and Hutt Cities to Kapiti and Wairarapa through the rates calculation • The rail rates essentially penalise residents who live closer to the CBD and favour residents living far away • The Transport Rates Calculation is a secret … the information here was only obtained with the intervention of the Ombudsman and some $$$s Tony Randle 23 August 2012 22
    23. 23. Wellington PT – A Rail focused Strategy Objectives for PT Growth in Bus and Rail The overall public transport mode share is the key indicator for public transport’s efficiency and effectiveness. The target seeks a 4% increase in public transport mode share for journey-to-work trips. The strategic target for public transport trips equates to around 5.6 million additional peak period trips per annum (a 32% increase in trips from 2009/10). RLTS 2010 Tony Randle 23 August 2012 23
    24. 24. Wellington PT – A Rail focused Strategy 14,000,000 Peak Patronage Past and Future 12,000,000 4% Growth + 3.1M Trips 10,000,000 + 2.3M 8,000,000 Trips 6,000,000 Actual RLTS 4,000,000 Bus Rail 2,000,000 Ferry - Tony Randle 23 August 2012 24
    25. 25. Wellington PT – A Rail focused Strategy GWRC Long Term Plan Transport Projects Totaldescription Project Transport Projects of $347M Total cost Year(s) 48 new two-car Matangi trains* $8 million 2012/13 •Refurbish Ganzon Rail $236M Mavag trains $79 million 2012-17 Rail infrastructure renewal and minor $49 million 2012-22 •improvements** Trolley Buses Maintenance $36M on •improvements*** Integrated Ticketing (Mainly on Rail) $39M on Rail rolling stock heavy maintenance and minor $78 million 2012-22 $4M on Buses ($1M for Bikes on$52 million !) 2015-20 •Regional Rail Plan – reliability and frequency upgrades Buses Trolley bus overhead network infrastructure $36 million 2012-22 renewals Bus shelters and interchanges $3 million 2012-22 Electronic/integrated ticketing $39 million 2013-16 Install bike racks on buses $1 million 2017/18 Customer information systems $2 million 2012-22 Total $347 million Tony Randle 23 August 2012 25
    26. 26. Wellington PT – A Rail focused Strategy The Transport Rate Increasing 5% The costs of providing passenger transport services usually increase each year. The last year has seen an over 5% increase in costs with operators being reimbursed by Council through increased contract payments. (GWRC Long Term Plan) In fact the truth is: • Rail costs are increasing 10% per year • Bus costs are static Tony Randle 23 August 2012 26
    27. 27. Wellington PT – A Rail focused Strategy ALL fares are increasing due to rail cost increases GWRC says bus fares must go up to be An increase in fare levels is likely even when they maintain themore expensive needed to are already required contribution than cars. from passengers ... If the passenger Meanwhile it was to rail users to get extra and contribution funds drop, the ratepayers discount fares thatto contribute more. A 3% NZTA would have mean long distance rail journeys are less than to a $0.7m impact revenue increase equates half or even a quarter that of a car ! on rates ... In fact, bus users are being made to pay much more than 50% of their costs to hide that rail users are paying less than 50% of their costs ! Tony Randle 23 August 2012 27
    28. 28. Wellington PT – A Rail focused Strategy The rail costs drive ongoing Transport Rate hikes $70,000,000 $60,000,000 $50,000,000 Rail $40,000,000 Other $30,000,000 Trans Rates Ferry $20,000,000 Trolley Bus $10,000,000 Deisel Bus $- Tony Randle 23 August 2012 28
    29. 29. Wellington PT – A Rail focused Strategy GWRC Loves Rail so much • It wants more new Matangis • Ganz-Mavag refurbishment claimed = $80M • The minimum cost is actually = $60M • It states new Matangis will cost $135M • But this is just the trains • It states it needs the additional capacity • But refuses to consider bus alternatives • Want a good price, use the Superbus ! Tony Randle 23 August 2012 29
    30. 30. Wellington PT – A Rail focused Strategy GWRC Loves Rail so much • It subsidises rail more heavily than bus • It rates Wellington City to subsidise others • It increases bus fares to fund rail costs • It provides rail monthly discounts but not bus • It keeps investing only rail not bus • It refuses to subsidise alternative bus services such as the 211, 97 or 91/Flyer Tony Randle 23 August 2012 30
    31. 31. Wellington PT – A Rail focused Strategy GWRC Loves Rail so much They Bought the Company ! GWRL: owns rolling stock and stations is now the 2nd Largest PT Operator has no permanent staff, instead it is operated by GWRC transport officers who also decide PT funding for the region recently applied to make GWRL “for profit” The GWRC LTP has $80M for GM Refurb but GWRL already budgets for Maitangis! Tony Randle 23 August 2012 31
    32. 32. Conclusion The Regional Council’s action do not match it’s plans or strategy: • The costs of PT services are not known • The rates funding of rail is not understood and kept secret by the regional council • The PT Strategy cannot succeed without investment in buses as well as rail • How do ratepayers know that it is the Greater Wellington Regional Council that controls Greater Wellington Rail Ltd and not the other way around ? Tony Randle 23 August 2012 32

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