Elections results / PPP showdown

London Underground left begging to privateers LONDON Underground bosses are begging Tube privateers Metronet and Tube Lines for a “dramatic increase” in resources to maintain the network’s crumbling infrastructure. The infrastructure privateers (known as infracos) that were handed 30-year contracts to make money out of the network raked in nearly £100 million in profits during the first full year since the PPP began in 2003. However, LU managing director Tim O’Toole has slammed the contractors for the poor levels of maintenance performance. “You are the ones who issue these press releases about profits, London will not put up with it,” he told them. The infracos have dismissed all criticism and Tube Lines chief executive Terry Morgan, who “earns” over half a million pounds, claimed: “we are in the business to make profit by good performance”. However, the consortium, made up of Amey, Bechtel and financial dead duck Jarvis, has has failed to meet most of the targets set under PPP and is desperately seeking to shed a one-third stake of the infraco. RMT News – Essential reading for today ’s transport worker RMT GENERAL secretary Bob Crow told a Commons Transport Select Committee inquiry that the privatisation of Tube maintenance was one of the most unpopular policies introduced in London in living memory. As the committee sat the news broke that private companies were buying equipment on internet site eBay and chaos reined on the Northern Line due to radio failure. “Even before the sell-off last year the policy was opposed by unions, the Mayor, TfL, Tube users and your own committee,” Bob told MPs. “Unfortunately, the government pressed ahead and we are now locked into a process where the private sector has a licence to print money,” he said. The union also provided evidence to the inquiry over maintenance privatisation, known as Public Private Partnership (PPP). Under privatisation, the engineering, renewal and maintenance functions are now the responsibility of three private Infracos; Metronet BCV, Metronet SSL and Tube Lines, made up of a number of private companies that have had their maintenance contracts on the national network terminated. The union slammed the PPP’s huge start-up costs, including £109 million spent on external advisors and £275 million paid by taxpayers to reimburse private sector bidder costs. On safety, RMT pointed out that safety critical recommen- dations made following several derailments were not being implemented due to the additional interfaces and accountability lines created by PPP. RMT members employed in re-setting incorrectly aligned rails noted that the work they are expected to do was also being de-skilled. RMT experience of privati- sation on the national network is that over time performance suffers as work becomes de- skilled and interfaces mushroom, leading to the blurring of lines of accountability and responsibility. The union agreed with concerns expressed by TfL that the planning capability displayed in the first financial year of the PPP will be inadequate to deliver the upgrade the system requires once the volume of work accelerates. Bob told the committee that Network Rail had successfully brought maintenance contracts back in-house, and delays caused by infrastructure problems had fallen – in some areas by as much as 50 per cent. “There is clearly a need to create a unified, streamlined, publicly owned and accountable underground network bringing benefits to both tube passengers and the workforce,” he said. 5 RMT gives evidence on PPP ELECTION RESULTS Position Region Elected Candidate Council of Executives, 6, Midlands Peter Trend General Grades Reps 11, London Transport John Leach Regional Organiser 1, Scotland Phil McGarry (unopposed) 2&3, Manchester, North 2 positions, to be announced* Wales & North West 4, North East Stan Herschel (unopposed) 5, Yorkshire & Lincolnshire Allen Heath (unopposed) 6, Midlands Ken Usher (unopposed) 7, South Wales & West Brian Curtis (unopposed) 8, South West Phil Bialyk (unopposed) 9, South East Jim Stevenson 10, London & Anglia Bob Rayner (unopposed) 11, London Transport Bobby Law (unopposed) Relief Regional Organiser South Brian Whitehead North John MacDonald *The announcement of the result of this election is delayed pending the outcome of an investigation into a complaint made about its conduct at the nomination stage.