Track Record 1, August to December 1999 - Public Transport Victoria

Track Record 

Victoria’s Train and Tram Services 

Quarterly 

Performance Bulletin: 

August – December 1999 

April 2000

CONTENTS 

Page 

SECTION 1. 

INTRODUCTION AND SUMMARY 

1.1 Introduction by the Minister for Transport 1 

1.2 Background 2 

1.3 Results 2 

SECTION 2. 

PUNCTUALITY AND RELIABILITY 

2.1 Operational performance regime 3 

2.2 Punctuality 3 

2.3 Reliability 4 

SECTION 3. 

PAYMENTS TO AND FROM FRANCHISEES 

3.1 Performance incentives and penalties 7 

3.2 Other payments to franchisees 7 

3.3 Total payments 8 

SECTION 4. 

CUSTOMER SATISFACTION 

4.1 Customer satisfaction surveys 9 

4.2 Overall satisfaction 9 

4.3 Key aspects of service quality 10 

OBTAINING COPIES OF TRACK RECORD 12 

FEEDBACK 13



‘The Bracks Government is committed to making 

private transport operators properly accountable 

to passengers and taxpayers.’ 

Peter Batchelor, 

Minister for Transport

SECTION 1. 

INTRODUCTION AND SUMMARY 

1.1 Introduction by Peter Batchelor, Victorian Minister for Transport 

This is the first Track Record bulletin, providing information about the punctuality and 

reliability of Victoria’s privatised train and tram services in 1999. 

Track Record is a new initiative by the Bracks Government. It will be published every 

three months and will help drive improved performance by private transport operators. 

The Bracks Government is committed to making private transport operators properly 

accountable to passengers and taxpayers. 

Track Record will provide the community with detailed information on the individual 

performance of the public transport companies. It will report on: 

––– each operator’s success or failure in meeting government-set performance targets on punctuality and reliability 

––– penalties imposed on any operator for failing to meet targets 

––– bonuses paid to any operator for exceeding targets 

––– public opinion surveys on levels of customer satisfaction with service quality. 

For the first time, the community will have accurate information on how punctual and reliable each operator’s services are. 

Track Record will compare their performance to previous quarters. It will also summarise key financial information about 

the operators’ franchise contracts, including subsidies paid by the Government. 

In this first issue, for example, Track Record reports that Yarra Trams, Swanston Trams and V/Line Passenger paid penalties 

totalling $1.5 million from August to December 1999. These three private operators improved performance, but still failed 

to meet targets. Hillside Trains and Bayside Trains received bonuses totalling $1.9 million, reflecting significant 

improvements in their performance (a full summary of the key results appears on p. 4). 

Victoria’s public transport system was privatised by the Kennett Government in August 1999. The then Government signed 

franchise contracts with private companies giving them responsibility for the management and operation of Victoria’s rail, 

tram and bus services for between 10 and 15 years. 

Within this framework, the Bracks Government is committed to maintaining and improving Victoria’s public transport 

system, and ensuring the new private operators meet the requirements of their contracts. 

The range of topics covered in each Track Record bulletin is likely to vary over time. This issue particularly addresses train 

and tram services. Future bulletins will contain more information on bus services. Track Record will be distributed free of 

charge on request. 

The last page of this bulletin provides an opportunity for you to provide feedback to the Government on how informative 

you found this publication and your opinion about how it could be improved. 

1



1.2 Background 

On 29 August 1999, responsibility for the day-to-day running of Victoria’s train and tram services passed from the 

Government to a number of private-sector companies: 

––– Yarra Trams was franchised to the MetroLink consortium; 

––– Hillside Trains was franchised to Melbourne Transport Enterprises; and 

––– Bayside Trains, Swanston Trams and V/Line Passenger were franchised to National Express (Australia). 

Each of these companies entered into legally binding ‘franchise’ contracts with the Government for periods of 10 –15 

years. These franchises are managed for the Government by John Taylor, the Director of Public Transport, a senior officer in 

the Department of Infrastructure. The franchise contracts set out the overall levels of service the companies are expected 

to provide, the tickets they must offer (including Metcard), the maximum fares they can charge in respect of these tickets, 

and other performance standards. 

The Bracks Government will monitor the quality of service which franchisees are providing for the community. In particular, 

the Government will monitor: 

––– Punctuality and reliability – comparing the performance of the train and tram franchisees with government-set 

punctuality and service delivery targets 

––– Customer satisfaction – using passenger surveys to measure whether franchisees are providing the quality 

service their customers expect. 

Over the next four years, the Bracks Government will introduce – in partnership with the private transport operators - a 

range of initiatives to significantly upgrade Victoria’s public transport services. 

1.3 Results 

2 

The key results from this first edition of Track Record are summarised below: 

Key facts and figures 

Punctuality up 

––– In the last quarter of 1999, metropolitan trains and trams achieved a level of punctuality (or ‘on-time running’) 

which was higher than their performance in the early half of the year. 

Train cancellations down 

––– The number of cancelled metropolitan trains declined during 1999, with an average of 0.6 per cent of trains 

cancelled in the last quarter of 1999; about half the rate recorded for the first quarter. 

––– V/Line passenger services recorded low average cancellations of 0.2 per cent over the last two quarters of 1999. 

Financial bonuses and penalties 

––– The metropolitan train operators earned bonuses for a substantial improvement in on-time running and reduced 

cancellations compared to the Government’s targets. For the four months since franchising, net incentive 

payments to the metropolitan train operators have totalled $1.9 million. 

––– The tram operators and V/Line Passenger have paid penalties totalling $1.5 million since franchising. Their 

service performance in this period, while generally better than the average performance during 1998, has not 

consistently exceeded the targets established by the Government. 

Customer satisfaction up 

––– Satisfaction with public transport services in general has since shown a steadily increasing trend during 1999. 

Satisfaction with metropolitan public transport services recorded its highest ever score of 65.2 in October to 

December 1999.

SECTION 2. 

PUNCTUALITY AND RELIABILITY 

2.1 Operational Performance Regime 

Every train and tram service in the timetable, every day of the week, is monitored. Delays, cancellations or other service 

failures are recorded. These delays, measured to the nearest 60 seconds, are ‘weighted’ according to the number of people 

estimated to be travelling on the train or tram in the time period, day of week and direction of travel. Delays to a heavily 

crowded peak hour train are therefore given a greater value than delays to a less occupied train running during the off-peak 

period. The end result is a technical measure of operational performance quality, expressed in ‘passenger weighted 

minutes of delay’ (PWMs). 

‘Passenger weighted minutes’ over each month are added up by the Government and compared to targets based on the 

past performance of the train and tram companies. If franchisees can beat these government targets, they will receive 

financial rewards. If they fail to meet the targets, they will be liable for financial penalties. 

The targets set by the Government are demanding: in order to avoid financial penalties, operators must improve their 

performance in 1998 by at least 20 per cent. Swanston Trams must improve their 1998 performance by more than 30 per 

cent in order to earn incentive payments. 

2.2 Punctuality 

Table 1 below shows the ‘on-time performance’ of each train/tram company for each quarter in 1999. It records the 

proportion of train and tram services which arrived at their destination no more than 59 seconds before* and no more than 

5 minutes 59 seconds after the time in the timetable. This is the approach by which train punctuality has traditionally been 

measured. 

Table 1. On-time performance for trains and trams 1999 - % of services run 

Jan.–Mar. Apr.–Jun. Jul.–Sept. Oct.–Dec. 

Bayside Trains 93.8 94.0 96.9 97.4 

Hillside Trains 93.2 93.2 95.2 97.0 

V/Line Passenger 93.2 94.5 95.7 94.5 

Swanston Trams 55.5 61.8 70.9 72.6 

Yarra Trams 70.7 71.2 75.5 79.8 

* For V/Line Passenger, early arrival at the destination has been included in the ‘on-time’ figure, without a 59 second early 

cut-off. 

These figures are represented graphically in Figures 1 and 2 below. 

Figure 1. On-time performance for trains 1999 

Percentage of trains running 

on time 

100 

98 

96 

94 

92 

90 

Jan.-Mar. Apr.-Jun. Jul.-Sept. Oct.-Dec. 

Bayside Trains 

Hillside Trains 

V/Line Passenger 

3



Figure 2. On-time performance for trams 1999 

Percentage of trams running 

on time 

100 

90 

80 

70 

60 

50 

40 


Swanston Trams 

Yarra Trams 

Tram service delivery is measured at five monitoring points on each route. The figures contained in this graph 

relate to the fourth monitoring point on each route, which is near the end of the journey. (In earlier years, tram punctuality 

reporting has been based on monitoring at the start of the journey. This has given higher, but less representative, figures 

for service punctuality) 

Some of the key conclusions to be drawn from these figures are set out below: 

Overall punctuality 

––– The on-time performance of trains and trams in the last quarter of 1999 was significantly better than the 

performance in the first half of the year. 

Trains 

––– Over the last quarter of 1999, 97.2 per cent of metropolitan trains ran on time. The average for metropolitan train 

on-time running for the first half of 1999 was 93.6 per cent. 

––– Over the last quarter of 1999, 94.5 per cent of V/Line Passenger trains ran on time. This was slightly higher than 

the average performance during the first half of the year. 

Trams 

––– Over the last quarter of 1999, 74.8 per cent of trams ran on-time (at monitoring point four, near the end of the 

trip). The average performance in the first half of the year was 62.3 per cent. This is an improvement of 12.5 

percentage points between the two periods. 

2.3 Reliability 

This section records the proportion of scheduled train and tram services which were cancelled. Table 2 shows the 

percentage of services cancelled by each business during the four quarters of 1999. 

Table 2. Cancellations of trains and trams 1999 - % of services scheduled 

Jan.–Mar. Apr.–Jun. Jul.–Sept. Oct.–Dec. 

Bayside Trains 1.5 0.8 0.5 0.7 

Hillside Trains 0.8 0.6 0.4 0.4 

V/Line Passenger 0.2 0.3 0.2 0.1 

Swanston Trams 0.9 0.6 0.5 0.9 

Yarra Trams 0.8 0.4 0.4 0.4 

4 

These figures are represented graphically in Figures 3 and 4 below.

Figure 3. Cancellations of trains 1999 

Percentage of trains services 

cancelled 

1.5 

1.0 

0.5 

0.0 

Note: reduction in services cancelled 

represents an improvement in performance 





Figure 4. Cancellations of trams 1999 

Percentage of tram services 

cancelled 

1.5 

1.0 

0.5 

0.0 

Note: reduction in services cancelled 

represents an improvement in performance 



Yarra Trams 

Some of the key conclusions to be drawn from these figures are set out below: 

Trains 

––– Cancellations of metropolitan trains reduced during 1999, with the performance in the last two quarters 

substantially better than the performance in the first quarter of 1999. On average, 0.6 per cent of trains were 

cancelled in the last quarter of 1999 – about half the rate recorded for the first quarter. 

––– Cancellations of V/line Passenger trains over the last two quarters of 1999 averaged 0.2 per cent - similar to the 

level recorded in the first quarter. 

Trams 

––– Tram cancellations averaged 0.6 per cent in the second half of 1999. This is lower than the 0.9 per cent average 

applying for the first quarter, however, the improvements were not uniform across both operators. 

5

SECTION 3. 

PAYMENTS TO AND FROM FRANCHISEES 

3.1 Performance incentives and penalties 

Table 3 below shows the incentive/penalty payments made to franchisees by the Government under the Operational 

Performance Regime since it began at the end of August 1999. A positive figure indicates an incentive payment from the 

Government to the franchise operator. A negative figure indicates a penalty payment from the franchise operator to the 

Government. The figures are not final as the contracts allow for adjustment, in limited circumstances, in later periods. 

Table 3. Incentive and penalty payments ($’000) 

29 Aug.–Sept. 1999 Oct.–Dec. 1999 Total per company 

Bayside Trains 203 519 722 

Hillside Trains 317 813 1,130 

V/Line Passenger -45 -10 -55 

Swanston Trams -268 -893 -1,161 

Yarra Trams -54 -195 -249 

Total 153 234 387 

Note: a negative figure represents payment by the franchisee to government. 

3.2 Other payments to franchisees 

These incentive and penalty payments need to be seen in the context of ‘base’ subsidy payments made by the Government 

to franchisees of over $110 million, and other concession-related payments of around $13 million, over the period August- 

December 1999. 

‘Base subsidy’ is the money which the Government pays each month to the franchisees for delivering the services. This 

amount, which generally reduces year by year over the life of each franchise, is specified in advance in the Government’s 

contracts with operators. The amounts paid for the August-December 1999 period are shown in Table 4. 

The Government also pays money to operators to reimburse them for carrying concession cardholders at half price and 

certain other groups free of charge, as indicated in Table 5. 

Table 4. Base subsidy ($’000) 


Bayside Trains 6,518 18,172 24,690 

Hillside Trains 8,321 23,197 31,518 

V/Line Passenger 7,175 20,003 27,178 

Swanston Trams 4,689 13,073 17,762 

Yarra Trams 3,120 8,699 11,819 

Total 29,823 83,144 112,967 

7



Table 5. Concession fare top-up and free travel ($’000) 



Hillside Trains 886 1,877 2,763 

V/Line Passenger 954 2,567 3,521 

Swanston Trams 535 1,144 1,679 

Yarra Trams 391 849 1,240 

Total 3,903 8,908 12,811 

3.3 Total payments 

Table 6. Total payments ($’000) 

29 Aug.–Sept. 1999 Oct.–Dec. 1999 Total 


Hillside Trains 9,524 25,887 35,411 

V/Line Passenger 8,084 22,560 30,644 

Swanston Trams 4,956 13,324 18,280 

Yarra Trams 3,457 9,353 12,810 

Grand Total 33,879 92,286 126,165 

The key points to make about these figures are: 

Metropolitan trains 

––– The metropolitan train operators earned bonuses for a substantial improvement in on-time running and reduced 

cancellations compared to the Government’s targets. For the four months since franchising, net incentive 

payments to the metropolitan train operators have totalled $1.9 million. 

V/Line Passenger and trams 

––– V/Line Passenger and the tram operators each paid penalties to the Government since the Operational 

Performance Regime came into effect at the end of August 1999. While service delivery by these operators has 

generally been better than the average performance during 1998, it has not yet consistently exceeded the 

targets established by government. 

8

SECTION 4. 

CUSTOMER SATISFACTION 

4.1 Customer satisfaction surveys 

Every three months, the Director of Public Transport commissions opinion poll surveys of public transport passengers to 

measure whether operators are providing the quality of service their customers expect. These surveys look at a range of 

different aspects of customer service – from station facilities through to ticketing, punctuality and passenger security. 

Customer satisfaction is recorded through a ‘Customer Satisfaction Index’ (CSI) which reflects passengers’ responses to 

questions put to them in telephone-based surveys. 

The graphs below show some of the key findings from the latest round of customer satisfaction surveys (covering the 

period from October to the end of December 1999.) In each case, the latest results are compared to those in previous 

quarters. 

Data is collected from a series of telephone interviews conducted at monthly intervals. The sample is randomly selected 

from the electronic White Pages for areas where train, tram and bus services operate. The metropolitan survey includes 

train, tram, bus users and non-users of public transport, while the non-metropolitan survey includes train users, coach 

users and non-users. 

Figure 5. Overall satisfaction with all public transport service provided 1999 

80 

70 

CSI 

60 

50 

40 


4.2 Overall satisfaction 

Satisfaction with public transport services, in general, has steadily increased during 1999. Satisfaction with metropolitan 

public transport services recorded its highest ever score of 65.2 in October to December 1999 (up from 60.3 in January to 

March 1999). 

Note: Bus services have been included in the overall satisfaction question from October 1999. 

Figure 6. Overall satisfaction with individual train operators 1999 

CSI 

80 

70 

60 

50 



V/Line 

P/Trains 

40 


9



Figure 7. Overall satisfaction with individual tram operators 1999 

CSI 

80 

70 

60 

50 


Yarra Trams 

40 


Compared with the January to March 1999 quarter, there has been a slight upward trend in satisfaction for all the 

metropolitan train and tram operators during 1999. Statistically significant increases in satisfaction were recorded for both 

tram companies in the October to December 1999 quarter. V/Line Passenger services have consistently recorded higher 

scores than metropolitan services. 

4.3 Key aspects of service quality 

Set out below are the key conclusions about how each transport 

company was rated by its passengers against specific aspects 

of service quality. 



V/Line P/Trains 


Yarra Trams 

Value for money 

In the October to December 1999 quarter, there was a 

statistically significant increase in customers’ satisfaction 

with the value for money provided by Yarra Trams and 

Bayside Trains. Satisfaction with the value for money of 

V/Line Passenger services has decreased in the last quarter 

of 1999 when compared to the previous quarter. 

CSI 

80 

75 

70 

65 

60 

55 

50 

Figure 8. Satisfaction with value for 

money 1999 

45 

40 


Passenger information 

In regard to the information provided to passengers, upward 

trends are evident for V/Line Passenger and for Yarra Trams. 

Swanston Trams has recovered from a downward trend with 

a statistically significant increase in satisfaction with service 

information in the last quarter. However, both tram 

companies are performing at levels somewhat lower than 

the train companies. A notable increase in CSI score for 

Bayside Trains sees this company move into leadership on 

information provision among the metropolitan companies. 

CSI 

80 

75 

70 

65 

60 

55 

50 

45 

40 

Figure 9. Satisfaction with train/tram 

service information 1999 


10

Service delivery 

Service delivery (which includes the timeliness of services, 

frequency of services and number of cancellations) is the 

main driver of overall satisfaction with public transport. 

Passenger satisfaction with service delivery is increasing 

gradually for most companies. V/Line Passenger is the clear 

leader in this area and has experienced an upward trend in 

satisfaction since early 1999. There have been statistically 

significant increases in the service delivery recorded by 

Bayside Trains and Swanston Trams, and now all 

metropolitan companies are performing at a similar level. 

CSI 

80 

75 

70 

65 

60 

55 

50 

45 

40 

Figure 10. Satisfaction with train/tram 

service delivery 1999 


Passenger comfort 

Yarra Trams’ rating for passenger comfort has increased over 

time, extending its lead over the other metropolitan 

companies. Swanston Trams and Bayside Trains also 

improved their ratings in October to December 1999. 

80 

75 

70 

65 

Figure 11. Satisfaction with comfort on 

trains/trams 1999 

CSI 

60 

55 

50 

45 

40 


Stations/tram stops 

Previous results have shown Hillside Trains to be the leader 

of the metropolitan companies in terms of satisfaction with 

station facilities. However, Bayside Trains, Swanston Trams 

and Yarra Trams have recently improved their ratings in this 

area and are now performing at levels similar to Hillside. 

CSI 

80 

75 

70 

65 

60 

55 

50 

45 

Figure 12. Satisfaction with train 

stations/tram stops 1999 

40 


Ticketing 

Figure 13. Satisfaction with ticketing 1999 

January to March 1999 was a low point for satisfaction 

with ticketing across all of the metropolitan companies and 

for the tram companies in particular. While satisfaction with 

ticketing remains at a lower level than other aspects of 

service quality, it has increased over the past three quarters 

for each of the companies, with the train companies 

remaining ahead of the tram companies. Statistically 

significant increases in satisfaction with ticketing were 

recorded for V/Line Passenger and Yarra Trams in the latest 

quarter. 

CSI 

80 

75 

70 

65 

60 

55 

50 

45 

40 


11



Station/tram staff 

Figure 14. Satisfaction with staff service 1999 

While satisfaction with staff service has remained 

relatively stable for V/Line Passenger, there has been a 

notable increase in the equivalent CSI score for each of the 

metropolitan companies. In particular, statistically 

significant increases in satisfaction have been recorded for 

Bayside Trains and Yarra Trams during the last quarter. 

80 

75 

70 

65 

60 

55 

50 

45 

40 


Personal security/safety 

V/Line Passenger clearly leads the field in passenger 

perception of personal security and has extended this lead 

with a statistically significant increase this quarter. Bayside 

Trains also recorded a statistically significant increase in 

satisfaction in the last quarter, however, that was from a 

low base recorded during the second and third quarters of 

1999. Both tram companies recorded a steady increase in 

perception of personal security during the year. The ratings 

for the metropolitan train companies remain at a notably 

lower level than for the tram companies. 

CSI 

80 

75 

70 

65 

60 

55 

50 

45 

40 

Figure 15. Satisfaction with personal 

security 1999 


OBTAINING COPIES OF TRACK RECORD 

Copies of this bulletin are available free of charge from the Director of Public Transport, at the following address: 

Director of Public Transport 

PO Box 2797Y 

Melbourne 3001 

Telephone: 1800 264 644 

It is also available from the Department of Infrastructure website (www.doi.vic.gov.au). 

12

FEEDBACK 

This is the first edition of Track Record. It is intended to inform the community about the performance of Victoria’s public 

transport train and tram system – and to do so in a balanced, open way. 

The Government is keen to get your views on the Track Record bulletin – on the document itself, its layout and scope, 

and how it could be improved. Does it cover the right things Is it easy to understand Should it contain more information 

or less 

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Track Record 1, August to December 1999 - Public Transport Victoria

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