Decision details

The Cabinet Member:

1.    Authorised the renewal, extension and variation of the Provision and Installation (Maintenance and Expansion of a Bus Real Time Passenger Information System) Contract and the Maintenance Agreement with VIX Technology UK Limited until 28 February 2018, for up to £245,068.02. 

2.    Authorised the renewal and extension of the Local Authorities Partnering Agreement with Cambridgeshire County Council, Bedford Borough Council, Central Bedfordshire Council, Luton Borough Council and Northamptonshire County Council until 28 February 2018, for up to £55,000. 

3.    Authorised the entering into of contracts with Stagecoach Group PLC and such other bus operators who wish to join the scheme, in relation to the provision, installation and maintenance of Real Time Passenger Information equipment on vehicles and/or the provision of information to allow the system to function, until 28 February 2018.

As noted in 4.2 – 4.6 within the report, authorisation for the initial 5 years of the project was provided via Cabinet Member Decisions, and authority to extend the project until 28 February 2018 and vary the rates charged by VIX Technology UK Limited, is now sought.

The continuation of the project will deliver many benefits and is being recommended for the following reasons:

·         Reduced costs and officer time spent on the tendering process for a new       purchasing, installation and maintenance contract.

·         Reduced unit costs for purchasing RTPI equipment and maintenance, through economy of scale.

·         Allows continued operation of existing system and technology already in place.

·         Ensures bus operators across the area are all equipped with the same technology.

·         System is too expensive to continue without partnership with other authorities.

RTPI is not possible if the Council does not act in conjunction with other local authorities and is the only feasible way forward to continue implementing this technology.

RTPI can improve service reliability through the analysis of vehicle movements, leading to             improved fleet management by operators and the identification of bus priority measured by             local authorities.  RTPI also reduces the need for conventional timetables at bus stops and the work required to replace these when timetables change. 

The Council’s vision is to promote passenger transport and this is stipulated in the Local Transport Plan 3.  The Council encouraged the public to move to this mode of transport tying in with the Environmental Capital ethos, and RTPI supplements this.

As part of the extension and renewal, it is proposed to vary the rates charged by VIX Technology UK Limited. This is because the Company has confirmed that continuing the project with the original rates would not be viable for them. As RTPI is currently in transition between old and new technology, if the rates were not varied and the arrangements with the Company were therefore not extended and renewed, the Council would struggle to find an alternative provider during this phase. The figures detailed within this report take into account the variation of the rates charged by the Company.

The arrangements with the bus operators enables the Council to receive a contribution from the bus operators towards the membership and management of the RTPI central system, maintenance of the RTPI screens and data feeds. This contribution is worked out on a monthly cost per kit item and the size of the depot operation. Although this contribution does not cover all of the Council’s costs, it goes a long way to reducing the yearly revenue burden.

Due to the changes in the ‘on bus’ equipment being implemented by Stagecoach Group PLC this year the maintenance costs which the Council pays to the contractor Company are envisaged to be reduced by approximately 40% compared to previous years’ costs.

This report is being submitted, due to the value of the project being over £500,000, when the cumulative value of the initial 5 years together with the additional extension period requested by this report, are taken into account.

Peterborough City Council is committed to improving the quality of public transport information through real time passenger information.  This also forms an integral part of the Local Transport Plan 3.

An alternative to joint working and continuing this project would be to purchase and maintain independently as a local authority.  This would also involve starting again with purchasing a central system. To implement a RTPI system independently would increase costs significantly. This approach would incur significantly higher costs for components of the system as the total amount purchased would be considerably less than joint purchase.

The bus operators are an important aspect of any bus RTPI system.  The bus operators will contribute, in terms of revenue costs to the project and without this commitment the project would become unfeasible. As the main operator in Peterborough and Cambridge and Bedford is Stagecoach Group PLC, there are benefits to the operator in reduced maintenance costs through economy of scale and therefore this strengthens their business case.  If the units are purchased independently due to not being in the partnership the cost per unit will rise and the operator is unlikely to continue taking part in the project. 

A further alternative would be to not continue the partnership and therefore not have a RTPI system in Peterborough. This would mean that previous investment in the central system would be lost and existing equipment on the buses and at bus stops would deteriorate (due to not being maintained) and would have to be switched off.  This would also have a negative impact on partnership working with the other local authorities and bus operators involved, as well as the public who use the service.

The alternative of not varying the rates as part of the extension and renewal, would mean that the extension and renewal of the project could not proceed. The Council would then either have to seek to purchase and maintain independently as a local authority, as detailed in paragraph 8.2 of this report, or not have a RTPI system in Peterborough, as detailed in paragraph 8.4 of this report.

None.

Local Transport Plan 3

CMDN JUN10/CMDN/055

CMDN FEB11/CMDN/027