Quote Originally Posted by Zaphod View Post
NZ Bus was formed with the vision that they would be able to shape an innovative and cost-effective public transport infrastructure themselves. The prevalence of the gross-contract model and the PTOM have placed the final nails in that coffin.
GoBus are the number one competitor for every urban transport operator in NZ, given they are an iwi-based business, they enjoy a significant tax advantage over all other operators......
Tranzit has run into union trouble, by proposing to increase the driver hourly rate but chopping lucrative penal rates. Double rates on Sundays, time and a half Saturdays, increased rates for long days. Plus Tranzit will need a lot more bus parking in Welly, which means sourcing land and buildings. Along with building 228 new buses in the next year. The GWRC might be struggling to get its multi million dollar savings at this rate.

Tranzit may well have built these costs into its successful proposal - let's hope so, as GWRC said savings would allow them to increase passenger subsidies.

With GoBus and Tranzit pricing themselves below incumbent NZBus, and a nationwide shortage of bus drivers, sounds like a race to the bottom with NZBus well out of it.