Where the bus blame must rest
ONE of the inevitable questions following the announcement yesterday that Guernsey's existing scheduled bus service will finish – unless something is done – at the end of the year is who is to blame for the prospect of 50 job losses and widespread disruption to the island's public transport.
ONE of the inevitable questions following the announcement yesterday that Guernsey's existing scheduled bus service will finish – unless something is done – at the end of the year is who is to blame for the prospect of 50 job losses and widespread disruption to the island's public transport.
Is it a cynical ploy on behalf of Island Coachways to bargain with people's livelihoods to gain a more profitable contract? Or has the Environment Department blown it by insisting on an unworkable deal?
Neither side was that open or honest yesterday yet there is enough information in the public domain to give a clear pointer.
Firstly, Environment's transport strategy document in the Billet d'Etat is openly hostile towards Island Coachways and the first the company knew of its thinly-veiled criticisms was when it was approached by the media for comment.
Secondly, the department rushed out an apparent apology minutes after the bus company's dramatic announcement yesterday that it was pulling out of the contract, saying that '…at no time during its contract has Island Coachways been anything other than a good operator'.
Thirdly, paragraph 49 of the strategy report makes it clear that even if Island Coachways was to be the preferred operator, that would not become clear for at least two to three years.
That level of uncertainty plus annually negotiated contracts prevent proper planning and – crucially – investment into something as capital intensive as a bus fleet and/or premises to operate from.
Fourthly and, in view of the above, the clincher: an Environment demand to take £250,000 out of the £2m. subsidy package that has been in place since 2002.
The bus company could no doubt cope with less public funding but only if it cut services or increased fares but it is precisely because elements of the enhanced bus service that Environment wanted were unviable that the States subsidised it in the first place.
So, the answer to the question of who is to blame for the plug being pulled on the bus service is fairly clear.
Environment's commercial naivety, dislike of the private sector and lack of negotiating skills saw it push Island Coachways too far – and the taxpayer will now pay the price.
