APP/P1.1/SCH
Scheme Overview
Main Proof of Evidence
Peter Adams
APP/P1.1/SCH
PROOF OF EVIDENCE
Peter Adams
Scheme Overview
TRANSPORT AND WORKS ACT 1992
MIDLAND METRO (WOLVERHAMPTON CITY CENTRE EXTENSION)
ORDER INQUIRY
JUNE 2015
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1
Introduction
Qualifications and Experience
1.1
My name is Peter David Adams. I am Head of Metro Development for Centro.
1.2
I am a Chartered Engineer, being a Member of the Institution of Civil Engineers and of
the Chartered Institution of Highways and Transportation. I obtained a BSc (Hons) in
Civil Engineering (1st Class) from the University of Birmingham and since graduating
in 1980 have worked for Leicestershire County Council, Ove Arup and Partners and
the Highways Agency before joining Centro in 2002.
1.3
I have managed the development and implementation of Midland Metro extensions
since 2004. I was responsible for the delivery of business cases securing funding from
the Department for Transport in 2012 for the ongoing Birmingham City Centre
Extension (BCCE) and Fleet Replacement Programme, and for the subsequent tender
process and award of contracts for infrastructure and new trams.
1.4
I was also responsible for the bidding processes securing funding for the
Wolverhampton Interchange Project (WIP) and Wolverhampton City Centre Extension
(WCCE).
1.5
I lead Centro’s Metro Development Team which is engaged in the development of a
number of Midland Metro extension projects in Birmingham and the Black Country,
including the WCCE, and have overseen the processes leading up to this Public
Inquiry.
Scope of Evidence
1.6
My evidence covers the strategic context of the project, the existing Midland Metro
tram network, Wolverhampton’s existing transport facilities, the evolution and
development of the project, a description of the proposals, the benefits of the project,
how it will be funded and delivered, the strategic support for the project, the strategic,
financial, commercial and management case elements of the business case and
Centro’s response to objectors to the Order.
1.7
I deal in my evidence with the following matters in the Statement of Matters issued by
the Secretary of State for Transport, being the matters about which the Secretary of
State particularly wishes to be informed for the purposes of his consideration of these
applications [INSP/4]:•
1 - Aims and Need for the Scheme,
•
2 - Alternative Options,
•
8 - Implications for rail users, train operators, Network Rail and businesses
located at Wolverhampton Railway Station ,
•
11 - Compulsory acquisition, and
•
13 - Funding
Witness Declaration
1.8
The evidence I shall give is true, given in good faith and represents my professional
opinion regarding the merits of the Order proposal and I have carried out my
assessment in accordance with the Code of Professional Conduct of the Institution of
Civil Engineers.
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2
Strategic Context
2.1
The WIP and WCCE are entirely in line with National, Regional and Local Policies. My
colleague Mr Paul Ellingham sets out in his Proof of Evidence [APP/P7.1/TP] a fully
detailed review of how the scheme fits with policy. However, the WCCE is compliant
with the policies of the following:-
2.2
The National Planning Policy Framework [WCCE/E1]
2.3
National Planning Practice Guidance [WCCE/E2/1, WCCE/E2/2, WCCE/E2/3 and
WCCE/E2/4]
2.4
The West Midlands Local Transport Plan 2011-2026 (LTP3) [WCCE/E8]
2.5
Towards a World Class Integrated Transport Network (2013) [WCCE/E9]
2.6
The Black Country Core Strategy [WCCE/E3/1 and WCCE/E3/2]
2.7
The Wolverhampton Unitary Development Plan [extracts WCCE/E6/1 and WCCE6/2]
2.8
The Black Country Local Enterprise Partnership’s Strategic Economic Plan [WCCE/E7]
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3
The Existing Tram System and Wolverhampton’s Public Transport Provision
3.1
Centro, the West Midlands Passenger Transport Executive and Integrated Transport
Authority, promotes and develops public transport across the West Midlands. Its aim is
to transform public transport so that the people of the West Midlands have a world
class public transport system.
3.2
Centro invests in a number of activities designed to improve and enhance the regional
transport structure, providing safe and secure travel, working towards a fully integrated
public transport system and planning for the future.
3.3
Centro is responsible for promoting and developing Midland Metro, which it owns but
does not operate. The system is operated by National Express Midland Metro under a
Concession Contract which runs until October 2018.
3.4
The Midland Metro Line 1 (“Line 1”) tramway opened in 1999 and operates mainly on
former rail formation between Wolverhampton City Centre and Snow Hill Station in
Birmingham City Centre. It also serves the town centres of West Bromwich,
Wednesbury and Bilston. It is 20.4 kilometres long, has 23 stops and offers 538
spaces for Park & Ride distributed between four locations along the route.
3.5
Annual patronage levels on Line 1 are over 5 million. The service takes an estimated
1.2 million car journeys off the roads and occupancy at the four park and ride sites is
97%. This demonstrates the attractiveness of the current Metro system and the
significant role Midland Metro plays as part of the wider public transport network.
However a comparison with other UK tram systems identifies Midland Metro’s lack of
city centre on street penetration, particularly in Birmingham, and its limited fleet and
vehicle size as two factors which constrain the existing system.
3.6
Similarly, in Wolverhampton, Midland Metro does not connect well to the bus station or
railway station. As noted in the Black Core Strategy [WCCE/E3/2] paragraph 5.2 ”A
strategic public transport “spine” comprising high quality, fast and high capacity rapid
transit between the strategic centres - Brierley Hill, Walsall, West Bromwich,
Wolverhampton and Birmingham is considered a crucial element of the strategy and is
necessary to support the expansion of these centres as a focus for employment,
shopping and leisure . . . . . it is important that the public transport modes of rail, metro
and bus are better integrated to ensure that people can use them to travel to where
they need to.”
3.7
Centro has been seeking for a number of years to overcome these constraints, and
has reviewed options to do so, developed them, considered alternatives, and sought
and obtained the necessary statutory powers for an extension into Birmingham city
centre (BCCE). On 29 October 2009 Centro submitted an Outline Business Case to
the Department for Transport for the “BCCE and Fleet Refurbishment Programme”.
This Business Case promoted a scheme to extend the existing Midland Metro Line 1
from Snow Hill through Birmingham City Centre to the redeveloped New Street
Station, for which Transport and Works Act Order powers were obtained in 2005. In
addition the scheme included a new fleet of trams to operate enhanced service
frequencies on the existing system from those currently in operation and an associated
extension to the depot at Wednesbury.
3.8
Conditional Approval of the Business Case was granted on 4 February 2011 and on 17
February 2012 the Department gave full funding approval allowing contracts to be
placed and work to commence.
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3.9
Centro is now well under way in the process of delivering the BCCE and Fleet
Refurbishment Programme and is working towards completion of those projects by the
end of 2015. New trams went into service On Midland Metro Line 1 on 5 September
2014, the extension to Wednesbury depot was completed in November 2014 and
works to construct the tramway in Bull Street, Corporation Street and Stephenson
Street are well in hand and will be completed in late 2015.
3.10 These enhancements will provide a 40% increase in capacity on Line 1 through the
new fleet of trams and will bring Metro onto the streets of Birmingham city centre to the
main access to the newly refurbished New Street Station.
3.11 Funding was subsequently allocated from the Birmingham City Centre Enterprise Zone
Investment Plan and the Greater Birmingham and Solihull Local Enterprise Partnership
(GBSLEP) to deliver the next stage of the works authorised by the 2005 Order, from
Stephenson Street to Centenary Square. Advanced utility diversions are now
underway on this project and the main works will commence in summer 2016. This
extension is forecast to increase annual patronage to 11 million in the forecast year of
2016.
3.12 In the Growth Deal announcement on 7 July 2014 the Government allocated
provisional funding to GBSLEP to extend Metro from Centenary Square along Broad
Street to Hagley Road, Edgbaston, just to the west of Five Ways, terminating outside
the office block at No 54 Hagley Road (“the Edgbaston Extension”). This will enable
the use of the full extent of the powers granted in the works authorised by the 2005
Order. Timing of construction for this extension is to be confirmed following further
detailed design work and review of the previous designs.
3.13 In addition to the funding for the Edgbaston Extension, the Growth Deal included
funding for a further extension from Stephenson Street to Eastside serving the
proposed HS2 Curzon Street Station and onwards through Digbeth to Adderley Street.
This “Eastside Extension” is planned to be opened to service in 2022/3.
Wolverhampton’s Transport Facilities
3.14 Wolverhampton has a good public transport provision. The Midland Metro provides
regular services towards Birmingham from its terminus at St Georges, there is a
modern, recently constructed bus station with routes serving the local area and the
railway station provides access to the national rail network. However, due to their
locations, they do not support seamless interchange and therefore deter public
transport use by reducing journey opportunities. The Wolverhampton Interchange
Project provides that interchange, but achieves much more, transforming the rail
station to provide a first class modern station and stimulating commercial development
in the surrounding area.
3.15 Wolverhampton railway station is a principal station on the West Coast Main Line
handling over 4.75 million passengers per annum, a figure which has more than
doubled since 2005. Recent passenger satisfaction surveys have scored the station
badly on its capacity and facilities and work undertaken by the Train Operators has
shown unacceptably high waits to enter or exit the station at peak times which is
impacting on its potential to grow passenger numbers. It is therefore not safe or
practicable to operate manual ticket checks in the concourse area.
3.16 Customer facilities at the station are very limited and of poor quality. The multi story
car park has no modern facilities such as lifts, CCTV, etc. and the station forecourt is
congested, badly organised and presents a poor approach to a poor station facility.
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3.17 The Wolverhampton Interchange Project will address these deficiencies. It will
redevelop the railway station building to provide 21st century facilities, delivering an
improved passenger experience through the relocation of the main entrance and
concourse area, new retail space and better security as a result of the introduction of
ticket gates. An expanded car park, incorporating improved public realm on the
approach to the railway station, will also be provided.
3.18 The existing Midland Metro Line 1 tramway from Birmingham to central
Wolverhampton will be extended to the railway station via a new stop at the bus
station. This will improve interchange between the three modes of transport in the city:
bus, rail and metro and as a result of the increased connectivity that is currently
lacking, increase annual patronage on Midland Metro by a further 4.6% in 2016 and
5.4% in 2026 respectively.
3.19 A carefully planned programme will see the car park extension, the new station and
the tram extension built in sequence with access to the station and its passenger
facilities being maintained throughout.
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4
Evolution of the Scheme
4.1
Prior to the opening of Metro Line 1 in 1998, work commenced to consider a number of
smaller extensions, which had to meet the following criteria:
•
To make use of powers in the Midland Metro Acts (1989 [WCCE/B5], 1992
[WCCE/B7 and [WCCE/B8], and 1993 [WCCE/B9] and [WCCE/B10]);
•
To be connected to Line 1;
•
To be able to share the Line 1 depot;
•
To attract private investment; and
•
To be affordable.
4.2
This work proposed a single track loop in the east of the centre of Wolverhampton,
which did not go to the station. Further development continued as part of a wider Metro
strategy culminating in a smaller looped alignment closer to the station as part of a
‘5Ws Route’.
4.3
As set out in sections 2.2 to 2.8 of the Report Detailing Consultation Undertaken
[WCCE/A4] the route went through a process of consultation and refinement through a
series of public consultations, including development of alignment in the vicinity of the
rail station in consultation with the WIP.
4.4
In winter 2011/ 2012, following further consultation with key stakeholders and the
evolution of the commercial gateway masterplan for Wolverhampton, and the opening
of the new bus station, a more direct twin-track alignment from the current Line 1 via
Pipers Row to a terminus stop outside the rail station was proposed. It would be fully
integrated within the WIP proposals for the redevelopment of the rail station and the
adjacent major commercial development focusing on enhancing interchange in
Wolverhampton City Centre.
4.5
Centro proceeded to undertake further design including undertaking consultation with
National Express regarding the operation of the bus station, in particular facilitating a
right turn for buses exiting the bus station onto Pipers Row.
4.6
As part of the consultation ahead of the submission of the application for the Order,
English Heritage and other heritage groups objected to the demolition of the Grade II
listed Old Steam Mil, which was required for the proposed alignment. In response to
this, a track alignment optioneering exercise was undertaken in the vicinity of the Old
Steam Mill and a revised alignment of the WCCE was proposed, which was endorsed
by English Heritage [WCCE/A16]. Following a further pre TWA application consultation
exercise, the alignment was finalised and in the form as set out within the proposed
Order. Further information on all of the consideration of alternatives and the
consultation processes is contained within the ES [WCCE/A15/1, WCCE/A15/2,
WCCE/A15/3, WCCE/A15/4, and WCCE/A15/5] and the Report on Consultation
Undertaken [WCCE/A4]. The alternative design options and advantages and
disadvantages are summarised in Table 3.4 of the ES Volume 2 Main Report
[WCCE/A15/2].
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5
The Wolverhampton Interchange Proposals
The Objectives of the Scheme
5.1
The WCCE forms part of the wider Wolverhampton Interchange Project. The WIP is
intended to meet the aims of the Black Country Local Enterprise Partnership (BCLEP)
relating to transport and regeneration in Wolverhampton to achieve a multi–modal
transport hub, deliver new commercial floor space for high value jobs, and improve the
strategic gateway to Wolverhampton and the Black Country.
5.2
The aims of the BCLEP, referred to in the Concise Statement of Aims [WCCE/A3] are
stated below and each is followed by information on how the WIP/WCCE will achieve
them:
5.3
Place - ensure the availability of high quality employment land and deliver a portfolio of
mixed use development opportunities. The integration of the WCCE with the
redevelopment of the Rail Station and the WIP will be important in unlocking the city’s
economic potential by realising significant commercial development upon land either
side of the alignment including much needed Grade A offices and high quality leisure
and retail facilities.
5.4
Place - improve the Black Country’s connectivity. The WCCE will improve and facilitate
an effective public transport interchange in Wolverhampton across a range of modes
providing connections and improved accessibility across the Black Country and with
National and International gateways of Birmingham Airport and High Speed 2.
5.5
People - improve access to opportunities for developing skills and raising performance.
By providing improved access to local and national rail, tram and bus services, the
WCCE will reduce travel times and make it easier for people to get to local and
regional employment opportunities and educational institutions and will support the
implementation of the Black Country apprenticeship programme.
5.6
Business – develop and enable the local supply chain, through indigenous business
growth and inward investment generated. The WCCE as part of the new primary
infrastructure within the WIP will enable the delivery of office, retail and leisure
development supporting business growth and the local supply chain, encouraging
inward investment and complementing the Black Country’s aspiration of creating
conditions that encourage high value manufacturing.
5.7
The objectives of the WIP (of which the WCCE forms part) are stated in paragraph 1.2
of the WIP Business Case [WCCE/D1], and are summarised below:
•
Improve access and movement to and within Wolverhampton City Centre,
improving mobility of the residents and raising the attraction of Wolverhampton as
a place to work.
•
Support and sustain future economic growth of Wolverhampton by creating a new
commercial hub around a good public transport network. This will provide the
capacity required for a growing city. If Wolverhampton is to compete with other
Midlands cities it must be able to offer high specification, well located office
space.
•
Significantly enhance perceptions of the city by improving the environment and
arrival experience at this major gateway to the city centre.
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•
Improve and facilitate an effective public transport interchange in Wolverhampton
across a range of modes providing improved quality of connections to a variety of
destinations across the region and the country. With its wealth of connection
options Wolverhampton can build a strong economic future as a commercial
centre. Legible public transport interchange will help Wolverhampton achieve this
goal.
•
Contribute to tackling climate change, through reducing the carbon impact of
transport. Faster public transport interchange in Wolverhampton will result in
modal shift from car to train, metro or bus, reducing net carbon emissions.
•
Promote equality of opportunity by enhancing access to jobs and enabling greater
participation in a range of leisure, retail and health activities through improving
transport accessibility between the city centre and some of the most deprived
areas of the West Midlands.
•
Contribute to improving the overall safety, security and health in the West
Midlands, through reducing highway accidents and improving security on the
public transport network.
•
Provide scope and opportunities for future growth and expansion of the region’s
transport system and to enhance Wolverhampton’s role as a hub to connect other
parts of the Black Country region.
The WIP Proposals
5.8
The Wolverhampton Interchange Project will redevelop the railway station building to
provide 21st century facilities, delivering an improved passenger experience through
the relocation of the main entrance and concourse area, new retail space and better
security as a result of the introduction of ticket gates.
5.9
An expanded car park, incorporating improved public realm on the approach to the
railway station, will also be provided. The existing Midland Metro tramway to central
Wolverhampton will be extended to the railway station via a new stop at the bus
station. This will improve interchange between the three modes of transport in the city:
bus, rail and metro.
5.10 A carefully planned programme will see the car park extension, the new station and
the tram extension built in sequence.
Car Park Expansion
5.11 The construction sequence would commence with the extension and refurbishment of
the current station car park, providing an additional 308 spaces to the current 502
spaces. Lifts, CCTV, modern lighting and a better circulatory arrangement would be
provided in this first phase, which would also see construction of a new access,
additional taxi provision and short stay parking.
5.12 The current station access and taxi/short stay parking would remain in place during
this phase of construction. A planning application for the car park extension has been
developed in detail with Network Rail and planning permission has been granted
[WCC planning application reference 14/01200/ FULL]. Further regulatory consent for
the car park extension will be obtained via a formal Station Change application to the
Office of Rail Regulation under Section 22 of the Railways Act 1993. This is currently
in preparation.
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Station Rebuild
5.13 In the second major element of the project the new station building would be built in
two phases, allowing the current station to continue to operate as normal during
construction.
5.14 The station would provide larger modern retail and ticket sales/customer information
facilities within the first half of the build, becoming available to passengers during the
construction of the second half following demolition of the existing building.
5.15 The new station building would provide enhanced train operator “backstage”
accommodation replacing the current unsatisfactory portakabin based
accommodation. It would also enable effective gating of the station to be undertaken,
providing enhanced revenue collection.
5.16 The station improvements will be consented via a planning permission and a formal
Station Change application to the Office of Rail Regulation under Section 22 of the
Railways Act 1993. These are currently in preparation.
Metro Extension
5.17 The proposed Midland Metro extension will branch from just before the current
terminus at St Georges and will pass along Pipers Row to its junction with Lichfield
Street and then through the heart of the new commercial development to the station.
5.18 Once delivered, the Metro extension will integrate the transport links provided by tram,
rail and bus services, creating improved interchange opportunities and increased direct
services.
5.19 The Metro extension is seeking consent through the Order.
Commercial Gateway
5.20 Remodelling the railway station will create a series of waterfront development sites for
future office, hotel, restaurant and shopping development with the potential to provide
1,400 new jobs. The extension of the Midland Metro to the station creating a state of
the art Public Transport Hub will be a catalyst for a vibrant new business and
recreation quarter of the city, which is marketed as the Wolverhampton Commercial
Gateway.
5.21 In anticipation of the redevelopment of the station and its car park our partners
Neptune and Wolverhampton City Council have begun to build the first 65,000 sq ft
mixed retail, leisure and office development on Railway Drive, known as i10. This will
accommodate the range of end users actively seeking Grade A office floor space in
the city centre.
5.22 The remaining components of the Commercial Gateway, which are illustrated in Figure
3.1 of the WIP Business Case [WCCE/D1], will be consented through future planning
applications and funded through private sector investment.
Programme
5.23 The overall Interchange schedule is presented overleaf in Table 5.1. The first stages
of the works, involving partial demolition of the Steam Mill to make the building safe
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and begin construction of the new station access off Corn Hill, have commenced on
site.
Table 5.1:
Delivery Schedule
Wolverhampton Interchange – High Level Schedule
Key Milestones
2014
2015
2016
2017
2018
2019
LTB Business Case Preparation,
Submission and Approval
Complete Legal Agreements
Car Park Construction
Station Construction
Utilities Diversions
Metro Extension Works
Commissioning/Trams in Service
Legal Agreements
5.24 The WIP requires a complex series of legal agreements covering funding, land
exchange, protection of railway assets and the future developments. These are in the
process of being put in place, and involve Centro, Wolverhampton City Council,
Neptune, Walsall MBC (as the Accountable Body representing BCLEP), Network Rail,
West Coast Trains and the Canal and River Trust.
The Tram Extension Proposal
5.25 The WCCE is a 700 metre extension of the existing Line 1 from Bilston Street opposite
the Wolverhampton Combined Court, running along the entire length of Pipers Row
into Railway Drive where it will head towards the rail station and then turn right to
terminate north of Corn Hill. The extension will mainly run on street (500 m) from the
junction at Bilston Street to where it meets the existing forecourt of the rail station.
5.26 Within the Order site boundary, works required to be undertaken could be temporary
and / or permanent in nature, depending on the location. Within the proposed Order
[WCCE/A9/1 and WCCE/A9/2] are three categories of land:
•
Temporary land: this is land that is temporarily required for providing construction
access and carrying out minor highway works;
•
Permanent land: this is land that is permanently required for the construction,
maintenance and operation of the tramway; and
•
Permanent rights over land: this is land over which permanent rights need to be
acquired for the construction, maintenance and operation of the tramway.
5.27 The following works and associated operations are intended to be undertaken within
the Order limits.
Permanent Works
•
Installation of 52 permanent Overhead Line Equipment (“OLE”) poles including
associated foundations (final number subject to detailed design);
•
Installation of 16 permanent OLE building cable fixings (final number subject to
detailed design);
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•
Installation of OLE;
•
Earthworks, track laying and other associated infrastructure such as track
drainage and alterations to existing highway drainage;
•
Highway alterations including realignment and reinstatement/repaving of highway
footpaths and dedicated cycle facilities;
•
Modifications to highway signalling;
•
Installation of tram signalling, communication and electrical equipment;
•
Construction of new tram stops on Pipers Row adjacent to Wolverhampton bus
Station and at the Railway Station.
•
Hard and soft landscaping works;
•
Accommodation works (e.g. works required to boundary walls, gates or frontages
to accommodate the tram alignment);
•
Installation of parallel feeders (cables and ducting that will run parallel to both the
rail station Bound Line and the Birmingham Bound Line); and
•
Cabinets to contain communication equipment and system, envisaged to be
located within highway land
Temporary Works
•
Construction compounds – for storage or materials, plant and machinery, site
accommodation including the provision of welfare facilities (wholly contained
within the alignment corridor)
5.28 The WIP works (i.e. the demolition of part of the station, relocation of the rail station
and MSCP accesses and associated removal of the steel cladding section of the Old
Steam Mill) are scheduled to be delivered before the commencement of the
construction of the WCCE. However, to allow for a scenario in which there are delays
to the delivery of these aspects of the WIP, the draft Order contains powers to enable
these works to be carried out under the Order and, accordingly, the Environmental
Statement (ES) [WCCE/A15/2] has assessed the scenario in which the WCCE works
would include the demolition of part of the station, provide temporary accommodation
and a ticket office on an area of land next to the canal, north of the proposed alignment
(known as the Banana Yard) in lieu of the section of station building to be demolished,
relocate the rail station and MSCP accesses and the associated removal of steel
cladding for the Old Steam Mill.
5.29 To reflect these different potential construction timescales, the following scenarios set
out in Table 5.2 overleaf have been assessed to reflect the different potential
construction timescales of elements of the WIP.
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Table 5.2
Assessment Scenarios
Scenario A
Scenario B
Assumes that the following has
already been undertaken as part of
the WIP prior to the construction of
the WCCE:
Assumes the WIP programme has
encountered delay and therefore the
elements of the WIP mentioned in
Scenario A are undertaken by Centro
at the same time as the WCCE works,
i.e.:
• Removal of the steel cladding
section of the Old Steam Mill;
• Demolition of a section of the
existing station buildings; and
• Relocation of vehicular access to
Wolverhampton Rail Station and the
MSCP.
• Removal of the steel cladding
section of the Old Steam Mill;
• Demolition of a section of the
existing station buildings;
• Provision of temporary
accommodation and ticket office
(in lieu of the section of station
building to be demolished); and
• Relocation of vehicular access to
Wolverhampton Rail Station and
the MSCP.
The effects of those elements of the
WIP are therefore treated as part of
the WCCE for the purposes of the
Scenario B assessment.
5.30 The following additional works would be carried out within the Order limits under
Scenario B:
•
Removal of the steel clad section of the Old Steam Mill;
•
Demolition of a section of the existing Wolverhampton Rail Station building;
•
Provision of temporary accommodation and ticket office, in lieu of the section of
station building to be demolished;
•
Relocation of vehicular access to Wolverhampton Rail Station and the MSCP.
5.31 The footprint of the works within the Order is confined to the Limits of Deviation. The
tram alignment terminates adjacent to Platform 5 of the rail station north of Corn Hill.
The alignment has been designed in order to avoid the Grade II listed Old Steam Mill.
It will be necessary, in order to provide the run around and new station access, to
remove the twentieth century steel clad section of the building. Centro has Listed
Building Consent to undertake these works.
5.32 The works to be undertaken on Railway Drive include works over the A4150 Ring
Road and Birmingham Canal. Preliminary assessment of the ability of the existing
Railway Drive Bridge over the A4150 Ring Road and the Birmingham canal bridge
structures to support the proposed Metro loading has been undertaken [WCCE/C4 and
WCCE/C5] and both have been considered to be able to carry the additional loads
created by the WCCE.
5.33 Further details of the engineering aspects of the WCCE scheme are given in the Proof
of Evidence of my colleague Mr Jeremy Gardner [APP/P3.1/ENG].
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6
The Need for the Scheme and its Benefits
Need for the Scheme
6.1
In Section 3 of my Proof of Evidence I note that the lack of connectivity between
Midland Metro Line 1 to the bus and railway stations in Wolverhampton does not meet
the objective of the BCLEP to enhance public transport connectivity between the four
strategic centres of Brierley Hill, Walsall, West Bromwich and Wolverhampton, so they
operate as an integrated economic network with a catchment extending over the whole
sub-region and beyond.
6.2
Whilst for most public transport users this deficiency can be overcome by walking
between the current Metro terminus and the bus or railway stations, the “interchange
penalty” incurred deters some users and adds to journey times for all passengers
currently making that journey. In addition it provides a difficult barrier to travel for
those with mobility difficulties. The WCCE meets this need by providing an excellent
interchange between transport modes by joining them up.
6.3
The extent of the need for the scheme is demonstrated by the forecast increase in
annual patronage on Midland Metro through its improvement of interchange between
the three modes of transport in the city: bus, rail and metro, and as a result of the
increased connectivity that is currently lacking, increase annual patronage on Midland
Metro by a further 4.6% in 2016 and 5.4% in 2026 respectively are predicted.
Transport Benefits
6.4
The key benefits of the WIP/WCCE are set out in the Proof of Evidence of my
colleague Mr Neil Chadwick [APP/P2.1/ECO] in terms of social, environmental and
economic considerations, as appraised in applying the five case business case
method. In order to be concise and brief, with no repetition either within the proof or
between witnesses I do not repeat them here.
6.5
In terms of the overview of scheme development the main benefits are as follows:
6.6
•
improved integration between Metro, bus and rail modes of transport providing
new and improved journeys for the travelling public;
•
encouraging modal shift from private to public transport, removing an estimated
70,000 car trips from the West Midlands road network in the opening year of the
scheme;
•
enhanced rail station accessibility in improving connections with Metro services
through delivering a Metro stop at the rail station;
•
a direct connection between the bus station and the rail station and to all areas
along the existing Line 1 route; and
•
facilitate access to HS2 in the future via Line 1 and the proposed Metro
Birmingham Eastside Extension (BEE) to Curzon Street Station.
My colleague Mr Neil Chadwick sets out the Treasury and Department for Transport’s
approach to project appraisal within his Proof of Evidence [APP/P2.1/ECO]. The
Business Case for the WIP is consistent with the Treasury’s approach and as set out
in the January 2013 DfT publication “The Transport Business Cases” [APP/P2.3/ECO];
the DfT’s approach requires the development of a ‘Five Case’ business case. These
cases are: Strategic Case, Economic Case, Financial Case, Commercial Case and
Management Case. The purpose of the business case is to demonstrate that:
Page 14 of 43
APP/P1.1/SCH
•
There is a robust rationale for the proposed scheme
•
The proposed scheme will deliver value for money
•
The proposed scheme is affordable in terms of sources of funding (for
construction and operation)
•
Robust procurement arrangements for the necessary elements of the proposed
scheme exist
•
Robust governance arrangements exist and effective project management is in
place
6.7
The business case for this scheme has followed this Five Case model and the Full
Business Case, follows this structure, and is document WCCE/D1.
6.8
The Strategic Case covers the local policy context, including the plans and policies of
WCC and the BCLEP. These policies are listed in Section 2 of my Proof of Evidence
and my colleague Mr Paul Ellingham sets out in his Proof of Evidence [APP/P7.1/TP] a
fully detailed review of how the scheme is entirely in line with National, Regional and
Local policy.
6.9
The Economic Case sets out the Value for Money of the project in accordance with
Government Guidance and shows that the scheme represents high value for money
with a benefit to cost ratio of the scheme calculated as 2.9:1. The net present value
over the appraisal period is £92.7 million. Within this overall assessment of the WIP,
the WCCE when considered in isolation has a benefit to cost ratio of 2.5:1 and a net
present value over the appraisal period of £32.1 million. The evidence of my colleague
Mr Neil Chadwick covers the Economic Case in further detail [APP/P2.1/ECO].
6.10 The Financial Case for the project confirms the expected outturn costs and the funding
sources from which they will be met. This is covered in Section 7 of my Proof of
Evidence.
6.11 The Management Case shows that the project is managed by a strong project team
organisation with a mixture of in-house project managers and technical and
operational light rail experts together with a strong team of supporting consultants and
advisors covering all aspects of development and delivery.
6.12 The Commercial Case demonstrates Centro’s recent experience in procurement of
Midland Metro extensions with the BCCE and Fleet Replacement Programme. The
contract for delivery of the WCCE will be tendered in a manner that attracts maximum
private sector interest and that provides best value for money. This will be achieved
through:
•
The most appropriate procurement and contract strategy
•
Robust risk and cost management
•
Operator/maintainer involvement in design and construction
•
Adoption of a strong partnering ethos in delivery
6.13 The Business Case is a strong one, showing that the benefits of the scheme outweigh
its monetary costs and other disbenefits and as a consequence public sector funding
of the project is warranted.
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Regeneration
6.14 Hand in hand with the redevelopment of the station and its car park our partners
Neptune and Wolverhampton City Council have begun to build the first 65,000 sq ft
mixed retail, leisure and office development on Railway Drive. This will accommodate
the range of end users actively seeking Grade A office floor space in the city centre
and is anticipated to create 316 new jobs.
6.15 Remodelling the railway station will create a series of waterfront development sites for
future office, hotel, restaurant and shopping development with the potential to provide
a further 1,274 new jobs and levering in a further £80 million of private sector
investment. The extension of the Midland Metro to the station creating a state of the art
Public Transport Hub will be a catalyst for a vibrant new business and recreation
quarter of the city.
6.16 The WIP will improve access to employment opportunities in the Black Country and
more widely in the West Midlands region.
Page 16 of 43
APP/P1.1/SCH
7
Delivery
Funding
7.1
The Funding Statement [WCCE/A6] sets out the funding details for the WCCE. It is
estimated to cost £17.3 million in 2013/2014 prices, which includes a contingency for
risks and blight (a breakdown of cost can be found in the “Estimate of Cost”). The
outturn cost, which adds forecast inflation to this figure, is estimated to be £18.0
million, and represents the amount that will need to be funded. This assumes
construction of the Wolverhampton City Centre Extension is completed by April 2018.
7.2
For funding purposes, the WCCE forms part of the WIP. The WIP comprises the
demolition and replacement of the existing rail station building, an extension to the
MSCP, the WCCE and associated station forecourt and parking area improvements.
The total outturn cost of the WIP scheme is £39.4 million as shown in Table 7.1 below.
Table 7.1
7.3
7.4
Project Cost
£M
New Station Building
12
Relocation of network Rail Communication Equipment
0.6
MSCP
8.3
Station Legal and Associated Costs
0.3
Programme Management
0.2
Core WCCE Works
18
TOTAL
39.4
The WIP is to be funded from a number of funding sources as part of the overall
Wolverhampton Interchange project funding; all these sources of funding are in place
as set out below:•
The Black Country Local Enterprise Partnership (BCLEP) Local Transport Board
Major Schemes funding
•
BCLEP Local Growth Funding via Strategic Economic Plan
•
West Midlands Integrated Transport Block Funding
•
Wolverhampton City Council capital funding
•
Centro Prudential Borrowing
The funding of the WIP is shown in Table 7.2 overleaf.
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APP/P1.1/SCH
Table 7.2
Funding Stream
£m
LTB Major Schemes (BCLEP)
9
ITB
3
BCLEP (SEP)
Wolverhampton City Council
4.5
1
Prudential Borrowing
21.9
TOTAL
39.4
BCLEP Funding
7.5
In September 2012 the Department for Transport set out proposals for the devolution
of funding for local major transport schemes from 2015. Through these arrangements
the Black Country Local Enterprise Partnership (BCLEP) has been given responsibility
by government for an allocation of £27.6 million between 2015 and 2019.
7.6
Following a joint bid to BCLEP by Centro and WCC the BCLEP has allocated £9
million of the available funding to the WIP.
7.7
The BCLEP also submitted a bid for £4.5 million of Local Growth Funding via its
Strategic Economic Plan [WCCE/E7] submission to government in March 2014. This
was approved in the Local Growth Deal announced in July 2014 [WCCE/D3].
7.8
The Association of Black Country Authorities has established a Black Country
Executive Joint Committee to be the lead decision making forum for the Black Country
City Deal and Growth Deal, comprising the Leaders of the four Black Country Councils
(voting members) together with the Chair of the Black Country Local Enterprise
Partnership (non-voting member). The full BCLEP funding of £13.5 million was
approved by the Black Country Executive Joint Committee on 18th February 2015. A
copy of the relevant reports (items 11 and 12) and the minutes of this meeting are
included in my Appendix 1 [APP/P1.3/SCH].
West Midlands Integrated Transport Block Funding
7.9
The Integrated Transport Authority has allocated £0.5 million from its 2014/15
Integrated Transport Block (ITB) capital programme funding to the WIP and it is
proposed to allocate a further £2.5 million from the ITB in future years. A copy of a
public report confirming this at the Centro Members Joint Committee meeting of 26th
January 2015 is included in my Appendix 2 [APP/P1.3/SCH].
Wolverhampton City Council Capital Funding
7.10 WCC has agreed to allocate £1.0 million from its city centre capital funding allocation
towards the public realm and station access infrastructure elements of the WIP project.
A copy of a public report and the minutes confirming this is included in my Appendix 3
[APP/P1.3/SCH].
Page 18 of 43
APP/P1.1/SCH
Prudential Borrowing
7.11 The remaining £21.9 million of the estimated outturn cost of the WIP will be funded by
Centro through Prudential Borrowing, in accordance with the Prudential Code for
Capital Finance in Local Authorities.
7.12 To this end Centro require agreement from the Department for Transport (DfT) that
Network Rail will lease the extended station car park to Centro who will then use the
net car park income to finance the loan repayments. The lease term will be flexible
such that Centro will retain the car park until the loan is fully repaid; the income,
expenditure and loan repayments to be on a fully open-book basis with the
Department. Once the loan is repaid the car park lease will terminate and associated
income will then revert to the rail industry as now.
7.13 In agreeing the proposal the DfT need to be assured that the loss of car park income
that accrues to the rail industry (as now) will be more than offset by the additional
income arising from the redevelopment and secure gating of the new station. To assist
the Department in considering the proposal an independent review of the funding
proposal was undertaken by Grant Thornton.
7.14 That review took a conservative view and concluded that the income arising from the
project will double over the next two franchise periods (15years) and that positive cash
flow position will be enhanced over time, as shown in the Table 7.3 below.
Table 7.3
Rail Industry Net Income £m
Years
15
25
30
35
Existing Station
4.45
8.48
11.03
10.34
Centro Proposal
8.67
26.23
38.45
49.38
Increment
4.22
17.75
27.42
39.04
7.15 The repayment of the prudential borrowing is expected to be completed by 35 years
after project opening. Centro, WCC, Network Rail, West Coast Trains and Neptune
are making good progress on putting in place the legal agreements, land exchanges,
agreements with the current operators, and consents with Network Rail which need to
be progressed in order to facilitate the project and these are on programme to be put
in place to allow the borrowing to take place when the funding is required.
7.16 On 18 March 2015 the Secretary of State for Transport confirmed his support, in
principle, for the transfer of the car park lease and revenue from the start of the next
InterCity West Coast franchise if all of the necessary agreements and approvals can
be achieved; his letter is included in my Appendix 4 [APP/P1.3/SCH].
7.17 Two further options remain for funding any shortfall in the car parking revenues should
they be below the level of borrowing repayment. The first option would be to utilise the
net Midland Metro revenues generated by the extension, which are summarised in my
Colleague Mr Neil Chadwick’s Appendix APP/P2.3/ECO.
7.18 The second option would be for the ITA to use revenue funding to support the project
borrowing, via an increase in the ITA levy on the seven metropolitan district councils,
or by reductions in other revenue expenditure.
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APP/P1.1/SCH
WCCE Funding
7.19 The WCCE will be funded from within the overall WIP funding. As the expenditure on
WCCE is planned to fall at the end of the overall construction programme for the WIP it
is likely that the majority of the funding for the WCCE will be from the Prudential
Borrowing funding stream.
Procurement
7.20 Midland Metro Line 1 was procured as a concession on a turnkey Design, Build,
Maintain and Operate basis. The contract reflected a Private Finance Initiative format
though the majority of the finance was provided by Centro. Maintenance and
operational costs are borne by the concessionaire who also retains all fares and
advertising revenues.
7.21 The 23 year concession was awarded to Altram LRT Ltd. in August 1995 and the
system opened to the public in May 1999. In 2005 West Midlands Travel Ltd. acquired
100% control of Altram. West Midlands Travel Ltd is part of the National Express
group.
7.22 Centro has recent experience in procurement of Midland Metro extensions with the
Birmingham City Centre Extension (BCCE) and Fleet Replacement Programme, which
included procurement of a 1.3km extension to Midland Metro, a depot extension, and a
replacement tram fleet.
7.23 The procurement of the BCCE was undertaken via a market standard NEC design and
build contract with a structured longer retention/ defects liability period to ensure the
supplier delivers high quality performance. The competition saw good levels of interest
from the market and Centro was able to take four contractors to the invitation to
negotiate stage, thus ensuring that good value for money was obtained in the
procurement.
7.24 The BCCE contract (now in construction) could not be extended to cover the WCCE
works, as the OJEU Notice did not include them, and therefore a separate
procurement is required. There are no suitable framework contracts available to
Centro that could encompass the WCCE works, and therefore Centro proposes to
undertake a further similar procurement, which will be combined with other extensions
(Centenary Square, Edgbaston, Birmingham Eastside and other potential future works)
to achieve economies of scale.
7.25 Learning from the successful experience of clients such as Highways Agency, Network
Rail and water companies such as Anglian Water, Centro proposes to let an alliance
contract with a single contractor and designer for a period of 10 years for the Midland
Metro extensions work.
7.26 In this “Midland Metro Delivery Alliance" the designer, contractor and Centro will work
as an integrated team to develop and deliver the programme under a contractual
framework where their commercial interest are aligned with actual project outcomes.
7.27 Under traditional forms of contract, responsibilities and risk are allocated to different
parties with commercial and/or legal consequences for the individual parties where
they fail to manage their risks or properly discharge their contractual/legal obligations.
Under the alliance the participants will:•
assume collective responsibility for delivering the project;
Page 20 of 43
APP/P1.1/SCH
•
take collective ownership of all risks (and opportunities) associated with the
delivery of the project; and
•
share in the "pain" or "gain" depending on how actual project outcomes compare
with the pre-agreed targets that they have jointly committed to achieve.
This provides:•
Active management of the project in all respects, as opposed to 'reactive'
management when problems arise
•
Reduced costs and project durations and improved quality of deliverables through
early contractor involvement
•
Continuous and maximised input from the participants
•
Collaborative relationship with mutual trust and shared ownership of
risks/problems through the life of a project
•
Value for money developed over a series of projects. Continuous improvement
over time.
•
Single cohesive team without any of "us and them" attitudes
•
Clear understanding of the purpose/mission of the alliance
7.28 A Prior Indicative Notice for the Designer within the Midland Metro Alliance was placed
in the Official Journal of the EU on 1 April 2015. Procurement of the Designer will be
followed by procurement of the Contractor, which is planned to be appointed in
January 2016.
7.29 There is significant interest from the supplier market, with a number of larger
contractors who are shortly to complete very major light rail projects in Manchester and
Nottingham having experienced teams available for this project.
7.30 Centro will undertake significant detailed design for the infrastructure contract, focused
on work to clarify urban realm design, to mitigate major risks, to obtain all necessary
planning consents relating to streetscape issues and to discharge conditions
precedent for the project. Given the high risk associated with urban scope issues and
the need to secure planning consents, the design element passed to the contractor,
will be essentially to a full detailed design specification.
7.31 Long-term maintenance will be done as part of the operator’s maintenance of Line 1
and will form part of the new operator contract to be re-procured in 2018 when the
current Concession ends.
7.32 The Line 1 concession did not envisage the current circumstances in relation to its
provisions for termination, although it did provide for liaison and co-operation on
proposals for extensions, and therefore Centro has entered into a separate Deed with
Altram and National Express to cover the design, testing, commissioning and initial
operation of the expanded network, with additional profits arising from the extensions
being retained by Centro. This provides for the continuing operator liaison on design
and construction of the Wolverhampton City Centre Extension.
7.33 This contractual arrangement provides continuity of operation through the construction
period and ensures that the highly-experienced National Express Midland Metro team
is retained with a clear focus on delivering this project before a further competition is
held for the operation of the expanded network from the end of the current concession
in October 2018.
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APP/P1.1/SCH
7.34 Some existing utilities services will need to be altered, diverted or protected to facilitate
the construction of the Metro in the public highway and to ensure that the utility
companies can access their plant for maintenance, renewals or alterations without the
need to substantially disrupt the operational tramway.
7.35 There are three strategies that can be employed to undertake the necessary
diversions:
•
As part of the relevant construction package;
•
By an ‘Enabling Works’ contractor; or
•
By the utility companies’ own contractors.
7.36 Experience on other projects has shown clearly that best value will be obtained
through the diversion of utilities by the utility companies’ own contractors. To ensure
best value, optimum programme and appropriate stakeholder communications, Centro
will actively co-ordinate and manage the utility companies programmes, in conjunction
with Wolverhampton City Council pursuant to their statutory role as Traffic Manager
and NRSWA co-ordinator and will procure an over-arching traffic management
contract to support delivery in a co-ordinated manner. This approach has proved very
successful on the current Birmingham City Centre project, with the £6.5 million utilities
works being delivered on time and within budget.
7.37 The strategy is to undertake the majority of the requisite diversion works before the
commencement of the Metro infrastructure works. This has both a time and cost
benefit to the project and significantly de-risks the scope since the act of undertaking
the diversions gives greater certainty of ground conditions and provides contractors
with a ‘clear site’.
Page 22 of 43
APP/P1.1/SCH
8
Support for the Scheme
Wolverhampton City Council
8.1
Wolverhampton City Council, acting in its role as Highway Authority and Local
Planning Authority has expressed strong support for the scheme throughout the
development of the WIP. It confirmed its formal support in a letter dated 9 December
2014 [WCCE/F7/2].
8.2
The Council continues to actively work with Centro on the detailed design of the
WCCE.
Other
8.3
Formal support for the WIP/WCCE has also been received from the Black Country
Local Enterprise Partnership, both via its prioritisation of the project for Local Growth
Deal and Local Transport Board funding as noted in section 7 of my proof of evidence
and by a formal letter of support [SUPP/2].
Page 23 of 43
APP/P1.1/SCH
9
The Secretary of State’s Statement of Matters
9.1
The Statement of Matters issued by the Secretary of State for Transport set out for the
purposes of rule 7(6) of the Transport and Works (Inquiries Procedure) Rules 2004 the
matters about which the Secretary of State for Transport particularly wishes to be
informed for the purposes of his consideration of these applications [INSP/4].
9.2
With respect to the matters raised, these have been covered in Centro’s evidence and
Order application documents as set out in Table 9.1 below.
Table 9.1 Issues Raised in Statement of Matters
Matter
Covering
Covered within
1
Aims and Need for
Scheme
The aims of the scheme are covered within section
2 of the Concise Statement of Aims [WCCE/A3].
The need for the scheme is covered within section
6 of my Proof of Evidence and in the Proof of
Evidence of Mr Neil Chadwick [APP/P2.1/ECO] in
relation to value for money.
2
Alternative Options
The review and assessment of alternative modes
and routes is covered within section 6 of Centro’s
Statement of Case [APP/SOC1], section 5 of my
Proof of Evidence, Mr Paul Ellingham in his Proof
of Evidence [APP/P7.1/TP] and by Mr Jeremy
Gardner in respect of the options for the Pipers
Row tram stop and the terminus area in his Proof of
Evidence [APP/P3.1/ENG].
3
Policy
This is dealt with in section 2 of my Proof of
Evidence and Mr Paul Ellingham in his Proof of
Evidence [APP/P7.1/TP].
4
Adequacy of ES
The methodology followed in assessing the various
environmental impacts of the Order are fully set out
in the Environmental Statement [WCCE/A15/1],
[WCCE/A15/2] and [WCCE/A15/3].
Mr David Ritchie deals with the findings of the
Environmental Statement in his Proof of Evidence
[APP/P5.1/ENV] and Mr Chris Surfleet covers the
Cultural Heritage aspects in his Proof of Evidence
[APP/P6.1/CUL].
Page 24 of 43
APP/P1.1/SCH
5
Impact on the
public, businesses
and the
environment of
constructing and
operating the
scheme.
The environmental impacts of the Order are fully
set out in the Environmental Statement
[WCCE/A15/1], [WCCE/A15/2] and [WCCE/A15/3].
Mr Jeremy Gardner deals with impacts on storage,
access and servicing arrangements to premises in
his Proof of Evidence [APP/P3.1/ENG].
Mr George Lunt deals with the effects on Pipers
Row and Fryer Street car parks and the City ring
road and on the impact on pedestrian, cycle and
motor traffic during construction and operation of
the scheme in his Proof of Evidence
[APP/P4.1/TRA],
Mr David Ritchie deals with the ecological impacts
and whether any licences are likely to be required
from Natural England in his Proof of Evidence
[APP/P5.1/ENV].
Mr Chris Surfleet covers the Cultural Heritage
aspects in his Proof of Evidence [APP/P6.1/CUL].
Mr Neil Chadwick reviews these impacts in the
context of the business case for the scheme in his
Proof of Evidence [APP/2.1/ECO].
Mr Paul Lidgley deals with the impacts on the
Pipers Row car park in his Proof of Evidence
[APP/P8.1/LAN]
6
Effects on Statutory
Undertakings and
other Utility
providers
Mr Jeremy Gardner deals with this in his Proof of
Evidence [APP/P3.1/ENG].
7
Effects on the
Canal and River
Trust
This is covered in section 10 of my Proof of
Evidence and by Mr Jeremy Gardner in his Proof of
Evidence [APP/P3.1/ENG].
8
Implications for rail
users, train
operators, Network
Rail and
businesses located
at Wolverhampton
Railway Station
This is covered in section 10 of my Proof of
Evidence, by Mr Jeremy Gardner in his Proof of
Evidence [APP/P3.1/ENG] and other witnesses as
specifically referred to below.
Mr Neil Chadwick reviews these impacts in the
context of the business case for the scheme in his
Proof of Evidence [APP/2.1/ECO].
Mr George Lunt deals with the impact on
pedestrian, cycle and motor traffic during
construction and operation of the scheme in
relation to rail users in his Proof of Evidence
[APP/P4.1/TRA],
Page 25 of 43
APP/P1.1/SCH
9
Impacts on the Old
Steam Mill
This is covered in the Proofs of Evidence of Mr
Chris Surfleet [APP/P6.1/CUL], Mr Jeremy Gardner
[APP/P3.1/ENG] and Mr Paul Ellingham
[APP/P7.1/TP].
10
Mitigation
The ES [WCCE/A15/1], [WCCE/A15/2] and
[WCCE/A15/3] identifies the potential impacts
arising from The Order.
Mr David Ritchie deals with the findings of the
Environmental Statement and relevant mitigation in
his Proof of Evidence [APP/P5.1/ENV] and further
detail of the engineering works and mitigation is
provided by Mr Jeremy Gardner in his Proof of
Evidence [APP/P3.1/ENG].
11
Compulsory
Acquisition
This is covered in section 6 of my Proof of
Evidence and in the Proofs of Evidence of Mr
Jeremy Gardner [APP/P3.1/ENG] Mr Neil
Chadwick [APP/2.1/ECO], and Mr Paul Lidgley
[APP/P8.1/LAN] together with the balance in the
remainder of Centro’s evidence.
12
Crown Authority
This is covered in Appendix 1 of my Proof of
Evidence.
13
Funding
This is covered in section 7 of my Proof of
Evidence and by Mr Neil Chadwick in his Proof of
Evidence [APP/2.1/ECO].
14
Planning
Conditions
Mr Paul Ellingham deals with this in his Proof of
Evidence [APP/P7.1/TP].
Page 26 of 43
APP/P1.1/SCH
10
Response to Objectors
10.1
I have read the objections and Statements of Case submitted by the objectors to
the Order and set out in this section of my Proof of Evidence my understanding of
their points of concern, providing an overview and summary of how Centro is
addressing issues raised in relation to each issue.
10.2
I have sought to respond to the major points raised only, and where I am silent on
any minor issues that does not mean that I agree with the points raised in the
objection.
10.3
Where objections have been withdrawn prior to the finalisation of my Proof of
Evidence I cover below matters which are raised by the Secretary of State in the
Statement of Matters, unless they are dealt with specifically by other witnesses.
10.4
I anticipate that at the Inquiry Centro will submit a revised Draft Order incorporating
modification which reflects the agreements reached with objectors and will request
that the Inspector recommends to the Secretary of State that the Order be made
with those proposed modifications.
Matter 7 - Effects on the Canal and River Trust
10.5
There are minimal effects on the Objector’s land and interests and any necessary
works envisaged will be undertaken using licences agreed with CART. In addition,
Protective Provisions will be put in the Order including references to CART’s Code
of Practice which will provide comprehensive provisions to protect the Trust’s
interests and the canal. Mr Jeremy Gardner gives further detail on the effects of the
scheme on the statutory obligations, waterway operations and navigational
management of the Canal and River Trust, and proposals to mitigate these effects
in his proof of evidence [APP/P3.1/ENG].
Matter 8 - Implications for rail users, train operators, Network Rail and businesses
located at Wolverhampton Railway Station
10.6
A number of concerns were raised relating to the station which are covered in the
following paragraphs of this proof of evidence. In relation to rail-related project
issues, the key interfaces are with Network Rail as asset owner and West Coast
Trains as Station Facility Owner. Detailed legal agreements have been negotiated
with both companies and the works will be undertaken in accordance with standard,
template rail industry agreements regulated by the Office of Rail and Road (ORR)
and Protective Provisions included in the Order. These will ensure that passengers
can access and egress the station safely and efficiently during construction.
Safety
10.7
The process of detailed design in liaison with Network Rail and West Coast Trains,
and the regulated Station Change process will ensure all parties sign off that the
station can be operated safely throughout the WCCE work including the retention at
all times of the ability (and associated facility) to evacuate the station in an
emergency and provide safe passage between trains and the public highway for
customers. With relation to the proposals, approvals will be sought from Network
Rail and West Coast Trains in accordance with the Protective Provisions and the
Station Change process, giving West Coast Trains the ability to prevent any
proposals that they consider unsafe from being carried out.
Page 27 of 43
APP/P1.1/SCH
10.8
Through the process of early contractor involvement undertaken by the station
designers Neptune Developments working with Balfour Beatty it is clear that the
new station proposals can be delivered in a safe manner. My colleague Mr Jeremy
Gardner provides further detail on the safety of the proposals in his proof of
evidence [APP/P3.1/ENG]
Loss of Car Parking
10.9
Neptune Developments on behalf of Wolverhampton City Council (with input from
Centro) have been in dialogue with West Coast Trains as to the requirements for
car parking as a result of the Wolverhampton Interchange Project (WIP). The WIP
will move vehicular access to the multi storey car park (MSCP) and the railway
station from Railway Drive to Cornhill whilst also extending the MSCP. It is intended
that these works are undertaken ahead of the construction of the railway station
building to platform 1, which in turn is envisaged to be constructed ahead of the
WCCE works (in the vicinity of the railway station). The necessary car parking will
be in place prior to the WCCE works.
10.10
The MSCP will be expanded from 502 to 810 spaces through the first phase of the
WIP, enabling thereafter the tram to be constructed without impacting upon the
adequate provision of car parking space at the station.
10.11
If for any reason the MSCP has not been completed prior to the Metro works then
Centro would re-provide such spaces to accommodate those spaces lost until such
works to complete the MSCP have been completed. As mentioned above, through
the protection afforded to Network Rail by the Protective Provisions and APA etc,
any adverse impact on railway operations should be kept to a minimum.
Furthermore compensation, where this arises, would be made in accordance with
the Compensation Code.
Staff Issues
10.12
The staff accommodation issues raised by West Coast Trains would arise as part of
the WIP rather than the WCCE works. There has been extensive dialogue with
regard to the delivery for the WIP and the provision of staff accommodation in the
new station building which results in a considerable betterment in both the area and
quantity of rail staff accommodation for West Coast Trains and London Midland.
10.13
A phasing strategy has been developed for the WIP. This will ensure the continued
operation of the station throughout as well as access to the operational railway,
minimising walking times for rail staff from temporary facilities.
10.14
The new station building would be in operational use before the Metro construction
would commence to the front of the station. In this situation Centro will develop
plans during the detailed design phase for interaction with this new operational
facility during Metro works. Such plans will be subject to approval as above
referred.
10.15
Network Rail will need to be satisfied that a new station building will be (or has
been) built before demolition of the existing station. If for whatever reason, as part
of the WCCE works a temporary facility is constructed pending the permanent
facility then this would be subject to approval by Network Rail via the Protective
Provisions (and in accordance with the APA). Additionally the changes envisaged
would have to meet the requirements of Station Change ensuring that the users
Page 28 of 43
APP/P1.1/SCH
would have to agree to the new and/or temporary facilities proposed and the
approach to delivering the Metro extension.
Works Programme
10.16
Centro have yet to commence the detail design of the works to construct the WCCE
and thereafter appoint a contractor to deliver those works. In consequence a
detailed programme of works has not yet been developed. Such programme will
require the approval of Network Rail and Centro has agreed that as part of this
process that there is consultation and approval from West Coast Trains. This would
help to mitigate the impact to the travelling public at the station.
10.17
Necessarily there will be a degree of construction activity in close proximity to the
station and this will require careful planning to ensure that the customers of the
station are not impeded in their journey or dissuaded from travelling by rail. In this
regard Centro and its contractor will work closely with West Coast Trains in
reaching and agreeing plans of work to achieve this.
10.18
In carrying out these works Centro is bound by legislation and the compensation
code, which would take account of any impact to ticket revenues arising as a result
of the works, so far as these fall to the Code to be compensated.
Station Building, Platforms and Subway
10.19
The land and works plan provides detail as to the distinction between land required
temporarily for works and permanently for the WCCE. In the case of the station the
area required for the alignment of the tram corridor has been shown in blue as this
will be a permanent work. Demolition will be required of those parts of the station
buildings that are required to facilitate construction of WCCE in the event that the
old station has not already been demolished by the WIP. As noted above Centro
will not be permitted to carry out such demolition works unless Network Rail are
satisfied that a permanent new station building either has been built or that it will be
built with approved temporary facilities in place in the meantime
10.20
In the scenario that the permanent station facility is not constructed, for whatever
reason, then the public subway will be retained in its current form. It is envisaged
that this permanent facility is built prior to the tram construction and as such the
subway has been designed to enter the new main concourse area, with improved
access for disabled passengers via a lift.
10.21
The WIP station redevelopment will put in place phasing and a programme of works
to ensure access to platforms 2 to 4 is maintained. Such plans as noted above will
require approval through the Station Change process and Protective Provisions.
Station Closure
10.22
It is not envisaged that the Station at Wolverhampton would be closed in order to
carry out the WCCE works. The new station should be operational before the old
ceases to be used. As noted above vehicular access to the MSCP and station is
proposed to be transferred to Cornhill to reduce traffic flows on and improve the
environment of Railway Drive. Thereafter the station redevelopment under the WIP
would take place and this is proposed to be carried out in a series of phases to
ensure that the station remains open to passengers and the facilities thereon.
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APP/P1.1/SCH
10.23
This will be achieved through the first phase of the new building being constructed
adjacent to the existing facility.
10.24
If in the event that Centro were to demolish the station buildings before finalisation
of the new facility, then plans would be put in place to ensure that the temporary
facilities were adequate and in place prior to such demolition to avoid closure of
facilities to the public. If it were deemed that this fall back scenario is a Closure
rather than a Minor Modification then Centro would work with West Coast Trains to
assist them in obtaining Secretary of State consent to the closure.
10.25
Costs being incurred by West Coast Trains as a response to a station closure in this
fall back scenario would be met through the compensation code to the extent that
this code is applicable.
Effect on Train Services
10.26
WCCE would have no impact upon operational train services. Centro will enter into
an Asset Protection Agreement with Network Rail which will ensure the protection of
the railway and the supervision of works taking place thereby. As such Centro
would be undertaking these works in accordance with the template agreements set
by Network Rail.
10.27
This will likewise be the case between the relevant parties for works being carried
out by the WIP project including the station redevelopment.
Effect on Business and West Coast Trains’ Brand
10.28
As noted above the WIP works will be developed and programmed with Network
Rail and West Coast Trains input. This will enable the impact upon the various
targets in the new franchise agreement to be reflected in the approach to the work
being undertaken. From the phasing proposals I have so far seen these will
minimise such impacts whilst delivering a much improved station including
passenger survey benchmarks and an obligation to maintain secure station and car
park accreditation. It is noted that at the moment the station is less secure than it
might be without ticket barriers/ gate line in place and the MSCP does not have lifts
and has poor or inadequate lighting. Overall the impression of the current station is
very poor, constrained and offers a poor environment for passengers, particularly
those seeking to travel on West Coast services. In consequence upon completion of
the works I consider that there would be a positive benefit to the business and
brand of West Coast Trains.
10.29
During the WCCE works Centro will work closely with West Coast Trains to develop
a media and communications strategy to maintain a positive message and
environment in which the works taking place will be perceived.
Retail Outlets and Third Party Occupations
10.30
As noted above it is envisaged the new building to platform 1 would be constructed
ahead of the tram and in consequence negotiations with existing tenants would be
required as to the occupation of new units at the station. The new station retail
facilities are approximately three times larger in area than the existing facilities on
Platform 1, and therefore it will be a simple matter for the existing occupiers to
transfer their leases, subject to the wishes of West Coast Trains as their landlord.
Page 30 of 43
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10.31
In the event that Centro were required to demolish the station buildings and no new
permanent facility was in place then temporary facilities for these retail units would
be provided to the satisfaction of Network Rail and West Coast Trains until a new
facility is constructed. If and to the extent that this fall back scenario is not
achievable then Centro would adhere to the Compensation Code to compensate
West Coast Trains for losses arising.
Obligations Owed to Third Parties
10.32
No change to the station will be made without the approval of the Department for
Transport, the Office of Rail and Road and Network Rail. In obtaining such
agreements, the obligations of West Coast Trains will be modified and they will be
compensated for any loss.
Increase in Operating Costs
10.33
The delivery and funding strategy will place West Coast Trains in an improved
financial position to the current situation at the station, including consideration of the
additional costs associated with maintaining the larger building proposed to be
constructed under the WIP. West Coast Trains prepared a case for funding the
WIP through the Regulated Asset Base which clearly demonstrated that position.
Access to the Station
10.34
The phasing strategy for the WCCE works will not prevent vehicular or pedestrian
access to the railway station. Further details of the transport assessment and the
access strategy are given by my colleague Mr George Lunt in his proof of evidence
[APP/P4.1/TRA].
Impact of Proposals on Existing Rail Infrastructure
10.35
Centro has undertaken an assessment of the power requirements to operate the
WCCE and this is recommends a combination of paralleling and parallel feed to
provide an increased supply to cover the traction requirements. There is no
requirement to provide for a new substation in the vicinity of the railway station.
10.36
Centro will implement Electro Magnetic Compatibility (EMC) and stray current
testing in accordance with a template plan agreed with Network Rail that has been
successfully adopted on the city centre extension in Birmingham adjacent to New
Street Station. This will mitigate any potential harmful interference of the metro
system on the existing railway infrastructure. It is envisaged in any event that
following the implementation of the Wolverhampton re-signalling project, which is
about to completed, there would be no material interference with the railway
infrastructure.
10.37
As noted above, the Protective Provisions and APA will provide a mechanism to
safeguard railway interests.
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Objection of Mr Singh (Number OBJ/01)
10.38
The Objector’s concerns are surrounding Plot 18 and the use of the alleyway beside
his property in relation to his business.
10.39
Centro has met with the Objector several times, although it has proved difficult to
contact him and he has frequently broken firm arrangements to meet.
10.40
Due to the narrowness of the footway on Pipers Row it is not possible to avoid
closure of the alleyway during the construction of the tram tracks outside the
property. Centro will minimise the time taken to construct the tramway in this
location and has undertaken to compensate the objector for disturbance during the
works in accordance with the Compensation Code.
10.41
Mr Jeremy Gardner provides further information on the construction impacts, and
Mr Paul Lidgley provides an assessment of the compensation issues in their
respective proofs of evidence [APP/P3.1/ENG and APP/P8.1/LAN].
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Objection of London Midland (Number OBJ/07)
10.42
The Objector’s concerns are surrounding Plots 41 and 42 in relation to their
operational interests in Wolverhampton Station.
10.43
The Objector is a tenant of Network Rail (Objector/06) and as such, is protected
under the Railways Act 1993 and the Protective Provisions proposed to be given to
their landlord (see Sections 17.15-17.17 above).
10.44
The Objector’s concerns are related to the demolition of the station, access and
train crew accommodation, all of which have been covered in paragraphs 10.6 to
10.37 of this Proof of Evidence.
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APP/P1.1/SCH
Objection of CP Co 3 Limited (Number OBJ/09)
10.45
The Objector’s concerns are surrounding Plots 13, 14 and 25. They are the
freeholder of the land and the landlord of Objector/10 NCP.
10.46
The Objector raises a number of concerns which are dealt with in the following
paragraphs of this proof of evidence.
Traffic Congestion during construction and operation
10.47
The WCCE will not result in traffic congestion during operation; traffic conditions for
access to the NCP car park on Pipers Row will be unchanged from the current
situation. My colleague Mr George Lunt provides further information on the
Transport Assessment and traffic conditions in operation in his proof of evidence
[APP/P4.1/TRA].
10.48
There will inevitably be a degree of disruption to the car park operations during
construction of the WCCE. This will be minimised and my colleague Mr Jeremy
Gardner provides further detail on how this will be managed in his proof of evidence
[APP/P3.1/ENG]. Centro will seek to ensure that access is made clear and
available at all times the car park is operational during construction, in close liaison
with NCP.
Long term impact on the car park
10.49
Impacts on long term trade and revenue will be minimised through the process
outlined above, and in any event will be assessed and compensated for in
accordance with the Compensation Code. The presence of a tram stop
immediately adjacent to the Objector’s site will enhance its value in the long term
and increase its attractiveness for development within the context of the
Wolverhampton Interchange masterplan area. Mr Paul Lidgley gives further detail
on this in his proof of evidence [APP/P8.1/LAN].
Consideration of alternatives
10.50
The layout of the tramway adjacent to the Objector’s car park site has been
determined through the need to provide for safe access for traffic and pedestrians
along and across Pipers Row and to facilitate the safe passage of buses turning
right out of the bus station without undue delay. There is no safe, commodious
alternative to the Order proposals. My colleague Mr Jeremy Gardner gives further
detail of the careful and measured process undertaken to draw up options for the
Pipers Row tram stop and to determine the impacts of the various options on safety,
traffic operation, capacity and landtake in his proof of evidence [APP/P3.1/ENG].
10.51
The Pipers Row exit from Wolverhampton Bus Station is very busy, with 88 buses
exiting the station in the peak hour, the majority exiting onto Pipers Row with 54
turning right and 21 turning left, with the remaining 13 exiting onto the Ring Road.
National Express have confirmed to Centro that the services making the right turn
into Pipers Row carry around 380,000 passengers per week. If buses could not exit
the bus station by turning right, due to the presence of the tram, this would cause
buses to queue back into the bus station, delaying all services exiting via the single
lane exit onto Pipers Row. The alternative would be for more buses to turn left with
services routed via the ring road. In this latter scenario the increased variability of
journey time would lead to bunching of services, inefficiency and loss of patronage
and/or the potential need for additional buses to meet the timetable.
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10.52
Centro gave careful consideration to the impacts of the tram stop proposals on the
Pipers Row car park, balancing this against the impacts of not adequately providing
for the safe right turn of buses out of the Bus Station, or amending service routes,
and decided that it was better in the wider public interest to seek to purchase a
slightly larger area of the car park in order to provide fully for the safe passage of
buses.
Safety Concerns
10.53
The road layout proposed in the Order scheme is safe, having been assessed as
such through the undertaking of a Stage 1 Road Safety Audit in accordance with
the relevant Highways Agency standard. My colleagues Mr Jeremy Gardner and
Mr George Lunt give further details of this in their proofs of evidence
[APP/P3.1/ENG and APP/P4.1/TRA].
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Objection of NCP (Number OBJ/10)
10.54
The Objector’s concerns are surrounding Plots 13, 14 and 25. They are the tenant
of Objector/09 CP Co3.
10.55
The Objector raises a number of concerns which are dealt with in the following
paragraphs of this proof of evidence.
Fryer Street car Park
10.56
Centro has undertaken to the Objector that the Fryer Street Car Park will not be
used as a construction works site and proposes to modify the Order to remove plot
25.
Compulsory acquisition as a last resort
10.57
Centro has undertaken two substantial and wide ranging public consultation
exercises as detailed in the Report Detailing Consultation Undertaken [WCCE/A4]
and has contacted the Objector in both those exercises in May and November
2013. No response was received.
10.58
Centro has sought to negotiate with all landowners at all stages of the preparation
of the scheme and has tried to negotiate with the objector but with no success at
the date of writing this Proof of Evidence. Further detail on this process is given by
Mr Paul Lidgley in his Proof of Evidence [APP/P8.1/LAN]. The Order and
compulsory purchase powers therein have appeared to Centro as the only means
of securing meaningful negotiation with the Objector.
Traffic Congestion during construction and operation
10.59
This point is covered in paragraphs 10.47 and 10.48 of my Proof of Evidence.
Car Park Layout
10.60
The proposals for a revised car park layout are in full accordance with the relevant
standards and will provide for satisfactory entrance, exit and circulatory vehicle
movements, as explained by Mr Jeremy Gardner in his proof of evidence
[APP/P3.1/ENG].
Car Park Viability
10.61
Mr Paul Lidgley demonstrates the continued viability of the car park within his proof
of evidence [APP/P8.1/LAN].
Alternatives
10.62
This point is covered in paragraphs 10.50 and 10.53 of my Proof of Evidence.
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Objection of Gladedale Estates Limited (Number OBJ/8)
10.63
As part of the ongoing process of negotiation with landowners set out in paragraph
10.58 of this Proof of Evidence Centro and Neptune have held discussions with the
objector, which has agreed to sell its interest in the property to Neptune and
withdraw its objection to the application for the Order.
10.64
At the time of writing this Proof of Evidence contracts for sale have been finalised
and are in the process of exchange and completion.
10.65
The issues raised by the objector in relation to the Old Steam Mill building are
addressed in the Proof of Evidence of Mr Chris Surfleet [APP/P6.1/CUL]
Page 37 of 43
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11
Summary and Conclusions
Strategic Context
11.1
The Wolverhampton Interchange Project (WIP) and Wolverhampton City Centre
Extension (WCCE) within it are entirely in line with National, Regional and Local
Policies
The Existing Tram System and Wolverhampton’s Public Transport Provision
11.2
The Midland Metro Line 1 (“Line 1”) tramway opened in 1999 and operates mainly
on former rail formation between Wolverhampton City Centre and Snow Hill Station
in Birmingham City Centre. It also serves the town centres of West Bromwich,
Wednesbury and Bilston. It is 20.4 kilometres long, has 23 stops and offers 538
spaces for Park & Ride distributed between four locations along the route.
11.3
Annual patronage levels on Line 1 are over 5 million and a series of improvements,
enhancements and extensions are in train to widen the network in Birmingham city
centre, provide new larger trams and increase patronage, taking more cars off the
West Midland’s congested road network.
11.4
Wolverhampton has a good public transport provision. The Midland Metro provides
regular services towards Birmingham from its terminus at St Georges, there is a
modern, recently constructed bus station with routes serving the local area and the
railway station provides access to the national rail network. However, due to their
separate locations, they do not support seamless interchange and therefore deter
public transport use by reducing journey opportunities. There is a need to improve
the connectivity between these separate elements of the public transport network in
Wolverhampton. The WCCE provides that interchange, but achieves much more,
transforming the rail station to provide a first class modern station and stimulating
commercial development in the surrounding area.
11.5
The scheme will meet the objectives of the Black Country Local Enterprise
Partnership (BCLEP) to enhance public transport connectivity between the four
strategic centres of Brierley Hill, Walsall, West Bromwich and Wolverhampton.
Evolution of the Scheme
11.6
The scheme has been developed over the period since 2003 as part of the wider
Local Transport Plan and the evolution of the commercial gateway masterplan for
Wolverhampton.
11.7
In winter 2011/ 2012 following further consultation with key stakeholders and the
evolution of the commercial gateway masterplan for Wolverhampton, and the
opening of the new bus station, a more direct twin-track alignment from the current
Line 1 via Pipers Row to a terminus stop outside the rail station was proposed. It
would be fully integrated within the WIP proposals for the redevelopment of the rail
station and the adjacent major commercial development focusing on enhancing
interchange in Wolverhampton City Centre.
11.8
Centro proceeded to undertake further design including undertaking consultation
with National Express regarding the operation of the bus station, in particular
facilitating a right turn exit onto Pipers Row.
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APP/P1.1/SCH
11.9
As part of the consultation ahead of the submission of the application of the Order,
English Heritage and other heritage groups objected to the demolition of the Grade
II listed Old Steam Mill. In response to this, a track alignment optioneering exercise
was undertaken in the vicinity of the Old Steam Mill and a revised alignment of the
WCCE was proposed, which was endorsed by English Heritage [WCCE/A16].
Following a further pre TWA application consultation exercise, the alignment was
finalised and in the form as set out within the proposed Order.
The Wolverhampton Interchange Proposals
11.10
The WCCE forms part of the wider Wolverhampton Interchange Project. The WIP
is intended to meet the aims of the Black Country Local Enterprise Partnership
(BCLEP) relating to transport and regeneration in Wolverhampton to achieve a
multi–modal transport hub, deliver new commercial floor space for high value jobs,
and improve the strategic gateway to Wolverhampton and the Black Country.
11.11
The Wolverhampton Interchange Project will redevelop the railway station building
to provide 21st century facilities, delivering an improved passenger experience
through the relocation of the main entrance and concourse area, new retail space
and better security as a result of the introduction of ticket gates.
11.12
An expanded car park, incorporating improved public realm on the approach to the
railway station, will also be provided. The existing Midland Metro tramway to
central Wolverhampton will be extended to the railway station via a new stop at the
bus station. This will improve interchange between the three modes of transport in
the city: bus, rail and metro.
11.13
A carefully planned programme will see the car park extension, the new station and
the tram extension built in sequence.
11.14
The proposed Midland Metro extension will branch from the current terminus and
will pass along Pipers Row to its junction with Lichfield Street and then through the
heart of the new commercial development to the station.
11.15
Once delivered, the Metro extension will integrate the transport links provided by
tram, rail and bus services, creating improved interchange opportunities and
increased direct services.
Need for the Scheme and its Benefits
11.16
The lack of connectivity between Midland Metro Line 1 to the bus and railway
stations in Wolverhampton does not meet the objective of the BCLEP to enhance
public transport connectivity between the four strategic centres of Brierley Hill,
Walsall, West Bromwich and Wolverhampton, so they operate as an integrated
economic network with a catchment extending over the whole sub-region and
beyond.
11.17
Whilst for most public transport users this deficiency can be overcome by walking
between the current Metro terminus and the bus or railway stations, the
“interchange penalty” incurred deters some users and adds to journey times for all
passengers currently making that journey. In addition it provides a difficult barrier to
travel for those with mobility difficulties. The WCCE meets this need by providing
an excellent interchange between transport modes by joining them up.
Page 39 of 43
APP/P1.1/SCH
11.18
The extent of the need for the scheme is demonstrated by the forecast increase in
annual patronage on Midland Metro through its improvement of interchange
between the three modes of transport in the city: bus, rail and metro, and as a result
of the increased connectivity that is currently lacking, increase annual patronage on
Midland Metro by a further 4.6% in 2016 and 5.4% in 2026 respectively are
predicted.
11.19
The Economic Case sets out the Value for Money of the project in accordance with
Government Guidance and shows that the scheme represents high value for money
with a benefit to cost ratio of the scheme calculated as 2.9:1. The net present value
over the appraisal period is £92.7 million.
11.20
Within this overall assessment of the WIP, the WCCE when considered in isolation
has a benefit to cost ratio of 2.5:1 and a net present value over the appraisal period
of £32.1 million. The Environmental Assessment of the WCCE shows that there are
no significant environmental disbenefits.
Delivery
11.21
For funding purposes, the WCCE forms part of a wider programme of regeneration
and investment in Wolverhampton city centre, known as the WIP.
11.22
The WIP is to be funded from a number of funding sources as part of the overall
Wolverhampton Interchange project funding; all these sources of funding are in
place as set out below:•
The Black Country Local Enterprise Partnership (BCLEP) Local
Transport Board Major Schemes funding - £9 million
•
BCLEP Local Growth Funding via Strategic Economic Plan - £4.5
million
•
West Midlands Integrated Transport Block Funding - £3 million
•
Wolverhampton City Council capital funding - £1 million
•
Centro Prudential Borrowing - £21.9 million
11.23
To underpin the prudential borrowing Network Rail will lease the extended station
car park to Centro who will then use the net car park income to finance the loan
repayments. The lease term will be flexible such that Centro will retain the car park
until the loan is fully repaid; the income, expenditure and loan repayments to be on
a fully open-book basis with the Department. Once the loan is repaid the car park
lease will terminate and associated income will then revert to the rail industry as
now.
11.24
The above arrangement has been approved in principle by the Secretary of State
for Transport and Centro, WCC, Network Rail, West Coast Trains and Neptune are
making good progress on putting in place the legal agreements, land exchanges,
agreements with the current operators, and consents with Network Rail which need
to be progressed in order to facilitate the project and these are on programme to be
put in place to allow the borrowing to take place when the funding is required.
11.25
The WCCE will be delivered by an Alliance contract which Centro is in the process
of procuring, in which a designer, contractor and Centro will work as an integrated
team to develop and deliver the programme under a contractual framework where
their commercial interest are aligned with actual project outcomes.
Page 40 of 43
APP/P1.1/SCH
Support for the Scheme
11.26
The WCCE project is strongly supported by Wolverhampton City Council and the
Black Country Local Enterprise Partnership
Statement of Matters
11.27
The issues raised in the Secretary of State’s Statement of Matters have been
covered within Centro’s witnesses Proofs of Evidence
Response to Objectors
11.28
At the time of writing this Proof of Evidence there are 5 objectors to the order
remaining. A summary of Centro’s response to their objections is set out in the
paragraphs below.
Objection of Mr Singh (Number OBJ/01)
11.29
Due to the narrowness of the footway on Pipers Row it is not possible to avoid
closure of the alleyway during the construction of the tram tracks outside the
property. Centro will minimise the time taken to construct the tramway in this
location and has undertaken to compensate the objector for disturbance during the
works in accordance with the Compensation Code.
Objection of London Midland (Number OBJ/07)
11.30
The Objector’s concerns are related to the demolition of the station, access and
train crew accommodation, all of which can be satisfactorily addressed.
Objection of CP Co 3 Limited (Number OBJ/09)
11.31
The scheme will not result in traffic congestion during operation. Centro will seek to
ensure that disruption during construction is minimised in close liaison with NCP.
The scheme will enhance the value of the land in the long term. Alternatives have
been thoroughly considered during the development of the scheme and the designs
have been the subject of a rigorous safety audit process.
Objection of NCP (Number OBJ/10)
11.32
Centro has agreed not to use the Fryer Street car park as a construction works site.
At all stages of the process Centro has sought to negotiate with the objector but
with no success to date. The Pipers Row car park layout proposed is in full
accordance with the relevant standards and the car park will remain viable with the
scheme in operation.
Objection of Gladedale Estates Limited (Number OBJ/8)
11.33
The objector, which has agreed to sell its interest in the property and withdraw its
objection to the draft Order. At the time of writing this Proof of Evidence contracts
for sale have been finalised and are in the process of completion.
Conclusion
11.34
The need for the land and rights proposed to be acquired has been fully justified.
Page 41 of 43
APP/P1.1/SCH
11.35
Funding is available and the project is ready to proceed and I urge the Inspector to
recommend the powers applied for.
Page 42 of 43
APP/P1.1/SCH
12
List of Appendices
Paragraph Ref
Appendix
7.8
1
Reports and minutes relating to BCLEP Funding
7.9
2
Reports and minutes relating to ITA Funding
7.10
3
Report and minutes relating to WCC Funding
7.16
4
Letter from Secretary of State for Transport
Table 9.1
5
Issue of Crown Authority
Page 43 of 43
Description