Rob O'Neill

Auckland's smartcard to cost $100 million plus

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Further details of transport smartcard project revealed

Auckland’s smartcard-based integrated ticketing project is shaping up to cost over $100 million, including operating costs for the first ten years.

Computerworld understands a decision on a contract for Auckland is due in September. The short-list is thought to comprise Infratil (with Unisys); based on its Snapper smartcard launched recently in Wellington; Downer EDI, with Wayfarer; and Thales, with Transfield.

The programme director for the Auckland integrated ticketing smartcard project, Greg Ellis, last week wrote to short-listed vendors assuring them that the tender process is still open, after Computerworld Australia (see here) reported Ellis saying at a conference that West Australia’s SmartRider system is one of the world’s best.

The reporter suggested the Auckland system would be modelled on SmartRider, provided by Downer EDI. Ellis clarified to Computerworld last week that SmartRider is one of the models Auckland will follow. He also mentions the Brisbane system as one that has “influenced thoughts”.

Ellis would not be drawn on the cost of the project because of tender negotiations, but referred Computerworld to the publicly available cost of the Brisbane project, at $142 million, as an example.

That, he says, is a whole-of-life cost. The project is in two parts: installation and implementation; then 10 years operational running. The successful bidder would probably set up a separate company to handle operations.

However, a range of industry sources in New Zealand estimated the cost of the project is between $100 million and $250 million.

Downer EDI, which implemented of the Perth system, on behalf of Wayfarer, already has technology in place in Auckland’s transport system. Ellis confirms that Downer EDI has “expressed interest” in the Auckland project.

Computerworld understands that while the Auckland Regional Transport Authority gets to sign off on the contract, the funding will be provided by the Auckland Regional Authority and by Land Transport NZ.

Integrated ticketing systems have become a feature of public transport in cities in the developed world. Some countries, such as the Netherlands and Switzerland have national integrated ticket systems. In the UK and Australia, such systems have been or are being launched in major cities. London is a case in point with its Oyster system

But these projects have also been complex and high-risk. The New South Wales government has taken legal action against its supplier ERG, seeking to regain losses of around A$90 million. ERG has counter-sued for A$250 million in compensation for termination of the contract.

In Melbourne, the overdue A$500 million myki smartcard ticketing system has had its completion date extended. It was originally due to be completed in 2007; that’s spun out to 2012 with another likely cost over-run of A$212 million. This month, South Australia announced it would seek to automate ticketing for public transport by 2009/10.

It has budgeted A$29 million to kick-start the system.

There are political dimensions to the Auckland project. The government wants more people to use public transport: there is the 2011 Rugby World Cup to consider; the Kyoto Protocol is to be revisited soon, with the associated carbon costs of private transport to the fore.

If the Auckland project is successful, it will almost certainly be rolled out further.

Wellington, for one, has indicated it has a watching brief on the project.

Auckland city rolls on with transport smartcard quest

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Auckland’s quest for an integrated public transport ticketing system — one that will allow passengers to travel on any form of public transport on a single ticket — is about to take another step forward.

The Auckland Regional Transport Authority (ARTA) is expected to go to market for a smartcard-based integrated ticketing system before the end of the year. ARTA, which reports to the Auckland Regional Council, held briefings for potential suppliers last week, after requesting information about the technology in June.

A system is scheduled to be in place by 2010. ARTA’s communications manager Sharon Hunter confirms the tender will be released as expected.

In June, ARTA asked for “registrations of interest” from “experienced fare-collection system suppliers who may have an interest in responding to a tender for the provision of a smartcard based integrated ticketing system for public transport for the Auckland region.

“The work will involve the design, development, manufacture, installation and testing of a system, and the provision of ongoing operational services,” said the document.

According to an Auckland Regional Land Transport Strategy annual report, dated September 2007, the introduction of integrated ticketing is considered critical to the development of effective, efficient and reliable public transport system.

“The proposed integrated ticketing system will encompass all transport modes and operators within the region, and will support the Integrated Fares Policy currently being finalised by ARTA,” the report says.

The delivery of the system is closely linked to the controversial changes in passenger-transport procurement that have been made, and which have given ARTA more control over operators. The report notes ARTA is “working with transport operators to ensure that the integrated ticketing system will be sympathetic to their business operations.”

Last year, ARTA bought Auckland City’s transport information system and took over supplier contracts with Vodafone and systems integrator Technisyst. Officials also visited other cities, including Melbourne and Brisbane, to study similar transport projects. The “Transit Tracker” system in Portland, Oregon, attracted their attention as well.

As in Auckland, the Portland system is based on GPS systems installed on buses and other vehicles, combined with real-time information delivery.

Integrated ticketing projects are notoriously difficult to deliver successfully. A Sydney project was supposed to deliver such a system in time for the Olympics, in 2000, but legal disputes, technical and bureaucratic problems mean commuters there are still waiting. According to a report last month in the Sydney Morning Herald, the “integrated ticket” is now not expected to arrive until 2010.

ARTA is also in the market for a passenger transport-reporting system. It currently operates a system based on SAP’s Business Warehouse, which extracts data from SAP R/3 financial and HR systems for analysis.

ARTA also operates a real-time passenger information system (RTPIS), which provides data on bus service punctuality and performance, as well as fare and boarding data. As part of the integration project, additional data-sets, for ferries, trains and other travel activities, will be added to this system.

ARTA is trialling WhereScape Red as the extraction, load and transformation tool for acquiring data from RTPIS, and for creating SQL tables for loading into Business Warehouse. It is currently looking for vendors to provide a system that enables data to be acquired from the WhereScape Red generated tables, so it can be used as a reporting tool by ARTA and the transport operators’ staff.