Question on Notice regarding the cost of the New MetroRail project, outstanding claims from Leighton Holdings, and potential savings from reduced noise abatement infrastructure. The Minister's response refers to the budget papers and an upcoming review.

AnsweredQoN 323Legislative Assembly
Asked
20 June 2007
Portfolio
Planning and Infrastructure

QuestionView source ↗

NEW METRORAIL - COST
I refer to the minister’s response yesterday about the completion of the Perth-Mandurah railway and her feeble response today. Given that the minister failed to answer the second part of that question on the cost of the project, I ask - (1) What is the most up-to-date estimate of the total cost of the entire New MetroRail project? (2) Does this amount include outstanding claims made by the Leighton Holdings rail link joint venture; and, if not, what is the value of these outstanding claims? (3) Have any savings been made by reducing or emitting noise abatement infrastructure? Ms A.J.G. MacTIERNAN

AnswerView source ↗

(1)-(3) The current budget of the project is as reported in the budget papers. We have said that we will be reviewing that budget, probably sometime around September, nearer the completion of the project. As we have said, as part of managing this contact one has to deal with a great many adventurous claims by the contractors. The figure that we have in the budget is our estimate of what it would cost to complete the project. Given our assessment of which of these claims might, in fact, be shown to have merit, we think there is only a relatively small number. We will be looking at this project again, obviously in the next couple of months, to see how it is travelling in terms of its finances.
(1) What is the most up-to-date estimate of the total cost of the entire New MetroRail project? (2) Does this amount include outstanding claims made by the Leighton Holdings rail link joint venture; and, if not, what is the value of these outstanding claims? (3) Have any savings been made by reducing or emitting noise abatement infrastructure? Ms A.J.G. MacTIERNAN replied: (1)-(3) The current budget of the project is as reported in the budget papers. We have said that we will be reviewing that budget, probably sometime around September, nearer the completion of the project. As we have said, as part of managing this contact one has to deal with a great many adventurous claims by the contractors. The figure that we have in the budget is our estimate of what it would cost to complete the project. Given our assessment of which of these claims might, in fact, be shown to have merit, we think there is only a relatively small number. We will be looking at this project again, obviously in the next couple of months, to see how it is travelling in terms of its finances.
(2) Does this amount include outstanding claims made by the Leighton Holdings rail link joint venture; and, if not, what is the value of these outstanding claims? (3) Have any savings been made by reducing or emitting noise abatement infrastructure? Ms A.J.G. MacTIERNAN replied: (1)-(3) The current budget of the project is as reported in the budget papers. We have said that we will be reviewing that budget, probably sometime around September, nearer the completion of the project. As we have said, as part of managing this contact one has to deal with a great many adventurous claims by the contractors. The figure that we have in the budget is our estimate of what it would cost to complete the project. Given our assessment of which of these claims might, in fact, be shown to have merit, we think there is only a relatively small number. We will be looking at this project again, obviously in the next couple of months, to see how it is travelling in terms of its finances.
(3) Have any savings been made by reducing or emitting noise abatement infrastructure? Ms A.J.G. MacTIERNAN replied: (1)-(3) The current budget of the project is as reported in the budget papers. We have said that we will be reviewing that budget, probably sometime around September, nearer the completion of the project. As we have said, as part of managing this contact one has to deal with a great many adventurous claims by the contractors. The figure that we have in the budget is our estimate of what it would cost to complete the project. Given our assessment of which of these claims might, in fact, be shown to have merit, we think there is only a relatively small number. We will be looking at this project again, obviously in the next couple of months, to see how it is travelling in terms of its finances.
Ms A.J.G. MacTIERNAN replied: (1)-(3) The current budget of the project is as reported in the budget papers. We have said that we will be reviewing that budget, probably sometime around September, nearer the completion of the project. As we have said, as part of managing this contact one has to deal with a great many adventurous claims by the contractors. The figure that we have in the budget is our estimate of what it would cost to complete the project. Given our assessment of which of these claims might, in fact, be shown to have merit, we think there is only a relatively small number. We will be looking at this project again, obviously in the next couple of months, to see how it is travelling in terms of its finances.
(1)-(3) The current budget of the project is as reported in the budget papers. We have said that we will be reviewing that budget, probably sometime around September, nearer the completion of the project. As we have said, as part of managing this contact one has to deal with a great many adventurous claims by the contractors. The figure that we have in the budget is our estimate of what it would cost to complete the project. Given our assessment of which of these claims might, in fact, be shown to have merit, we think there is only a relatively small number. We will be looking at this project again, obviously in the next couple of months, to see how it is travelling in terms of its finances.

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