The Loco Loco Yet Again

Graeme from Frankton

I am currently out of the country , but the other day I saw that NZTA have agreed to extend the Loco Loco 'trial' by another 2 years . They have reduced their contribution from 70-odd percent , to 60 percent . So their contribution is now $12.2 million for the next 2 years .

Now work that out . That means the cost for 2 more years is 'only' $20million , of which 'we' pay all of , one way or another .

That is $10 million a year , or $833,000 a month , or $200,000 a week , or $30,000 a day . That is how much it is losing . $30,000 a day . 7 days a week . ( Does it run on a Sunday ? ) . I doubt it gets 300 passengers a day , so that is $100 a passenger a day IT IS LOSING . Yes , every day they light a bonfire , and throw on $30,000 !

But wait -- theres more ! It has already cost about $120 million so far . Over $80 million of that is the capital costs , which are basically worth nothing .

So calculate the capital cost , and the on-going losses , and the $25 return ticket is actually costing ratepayers and taxpayers close on $500 . Per Person . Per Day . For another 2 years !

It is never , ever , ever going to get anywhere near break even , so these geniuses for some reason decide we'll throw more money at it for another 2 years .

Even Len Brown says it should be cancelled ( and he always struck me as being not the brightest , and 'left wing' ) , as does Luxon , Seymour and anyone who knows even the slightest about running a business , or logic , or common sense .

Why , oh why ?