CONTRACT FOR LIGHT RAIL BUSINESS CASE AWARDED

PricewaterhouseCoopers has been awarded the tender to develop a business case for light rail for the ACT, Chief Minister Jon Stanhope announced today.

The preparation of a business case is the first step of the ACT Government's investigation of the feasibility of light rail, with a draft business case expected to be completed by late October. Mr Stanhope said PricewaterhouseCoopers had been chosen to develop the light rail business case through a select tender process.

"I am extremely pleased to be able to announce that the ACT Government is moving ahead with its exploration of light rail and very much look forward to seeing the consultants' analysis in a few weeks," Mr Stanhope said.

"Light rail captures the imaginations of many Canberrans and I am convinced that the time is right to get an independent view of its feasibility, and how such a major project might be staged."

Minister for Territory and Municipal Services, John Hargreaves, said the Government had undertaken some preliminary assessments of the feasibility of light rail in 2004.

"Since then, our population has grown, our urban form has changed, petrol prices have risen significantly, and climate change has emerged as a more urgent challenge," he said. "That's why the ACT has proposed light rail as a major infrastructure project to Infrastructure Australia. The business case will form part of the ACT's detailed submission to the Commonwealth."

The Government has also convened a Light Rail Reference Group, drawing together parties that have been actively pursuing the idea of light rail. It is expected that the work of this group will feed into the business case too. The reference group comprises members of the Canberra Business Council, the Conservation Council, the UITP (the international association of public transport), and transport experts Professor Graham Currie and Professor John Black. The National Capital Authority has also been invited to join the group.

Terry Weber, a Partner from PricewaterhouseCoopers, said "PriceWaterhouseCoopers has strong experience in working with government and non-government business on infrastructure projects of a similar nature. The Light Rail initiative is a strategic project for the ACT Government and the business case will be compiled using factual and supportive economic analysis."