Metronet

Meeting: 
MQT on 2007-01-30
Session date: 
January 30, 2007
Reference: 
2007/0034
Question By: 
Darren Johnson
Organisation: 
City Hall Greens
Asked Of: 
The Mayor

Question

Are you aware of any preliminary discussions between Metronet and the Government about the need for further subsidies to cover any cost over runs on the Metronet PPP contract? Will TfL or yourself ask for any additional finance to cover any Infraco cost over runs? Can you outline the timetable for decisions being made to deal with any Infraco cost overruns?

Answer

Answer for Metronet

Answer for Metronet

Answered By: 
The Mayor

I am not aware of any preliminary discussions between Metronet and the Government. Under the PPP contract, it is up to Metronet to call for an extraordinary review, if it believes it should be reimbursed for cost overruns. The Arbiter would then be called to judge if further costs should be awarded to Metronet. Having said that the Arbiter has already found in his Annual Report that Metronet has not acted efficiently and economically. The timetable is dependent on when (and if); Metronet calls on the Arbiter to make such a determination.I am determined that London and Londoners should not pay for Metronet's inefficiencies and lack of economy.