The way I see this is thus....
FGW▸ have 16 months left on their franchise. At this late stage in a franchise, no
TOC▸ would normally be interested in further unbudgeted expense. I also strongly suspect that there is no extra fare income expected - these are to supply seats to those in the awful cattle-truck accomodation currently offered.
There will be additional costs in running these trains - both the extra trains & lengthened trains by way of increased track access & station-stop charges from Network Rail.
The 180s need to be refurbed - they are in a state that no TOC taking them on would want to acquire them for their customers paying shockingly-high fares. Maybe OK for Northern & cheap fares, but
LTV▸ fares are a lot higher. That has to be paid for.
FGW hint that the refurb is being done prior to delivery - i.e. not by themselves.
The
DfT» want FGW to take them. So do FGW want them, but at little/no cost to them, when they are unable to use them to increase revenue - so Revenue Protection should realise enough to cover this increase in expenditure, while the DfT has been persuaded to refurb them first. Maybe they've also amended the cap 'n collar arrangements as another sweetener, who knows?
These arrangements are going to be pretty much revenue neutral at the end of the franchise in April 13 is my view, while the DfT and FGW get the kudos from their suffering commuters for doing the deal. Remember, the DfT screwed up at the start of this franchise by supplying to little stock within it to satisfy demand.
I agree, this is 'spending', not 'investment'. Although it could be said that FGW are investing their staff time to re-learn the Adelantes.
In aswer to Tim's Qs, no, it's ^29m to the end of the franchise - it states that somewhere. And its FGW payback to the DfT for providing the refurbed stock by recruiting RP personnel. THe increase in farbox will be dealt with under the cap 'n collar arrangements - they won't get to keep much, as it will reduce the c 'n c payments.
let's remember that First Great Western passengers and staff alike (i.e. 'us' on the forum here) will benefit hugely thanks to this desperately needed boost to capacity and in the Cotswold Lines case, comfort as well
Absolutely.
Having endured a 166 back from Hereford to Charlbury on Sunday (aircon bust, train freezing cold) this can't come soon enough. Well done to FGW for pulling this off.
HMm, som,ewhere I have read that the Adelantes are only for use on weekdays.