Bid to end PPP protests


by Carol Millett



Bidders for the London Underground Public Private Partnership (PPP) called on London mayor Ken Livingstone to drop any plans to appeal against this week's High Court ruling which found in favour of the PPP.

As CJ went to press, Transport for London (TfL) confirmed that an appeal was being considered by the mayor. A TfL spokeswoman said: "We will consider the judgement carefully with lawyers before making any decision about whether or not to appeal."

But a spokesman for Tube Lines, the preferred bidder on the Jubilee, Northern and Piccadilly (JNP) lines, warned that there was little basis for an appeal. He said: "The judge made a very clear ruling and we would urge TfL to consider that the best way to meet the needs of Londoners is to press ahead with modernising the Tube under the PPP without any further delay."
ADVERTISEMENT
 


Metronet, the preferred bidder on the Bakerloo, Central and Victoria lines, urged TfL to bury the hatchet and work with the PPP. A Metronet spokesman said: "We welcome the decision and hope it is accepted by all parties. It is important that we now proceed swiftly through the negotiations so that work can begin investing in London Underground."

Tube boss Derek Smith appeared to issue a veiled criticism of the way the government has handled the PPP in the past few months. He welcomed the High Court ruling, but added: "For well over a year now our plans have been hampered by political noise, delay and dither."

Meanwhile, JNP reserve bidder TubeRail confirmed a £14m claim for bid costs will be lodged with London Underground this week. A spokesman acknowledged this was double the sum agreed in the bid documents. He added: "This is partly driven by the fact that the nature of the contract has changed, which therefore allows us to revise our compensation claim, and is partly down to the amount of time the bid process has taken.

"But it is also because Tube Lines is technically still involved in the talks. We were invited back into the talks on an equal footing with Tube Lines, by Bob Kiley, when he was chairman of London Transport. We have not been formally stood down by London Underground and so that is also driving our claim for additional compensation."


ADVERTISEMENT

 
ADVERTISEMENT