A follow-up performance audit into Transport for NSW’s (TfNSW) reporting of the costs and benefits for Sydney’s light rail project has found the Agency did not accurately present the project’s costs.
In her report, CBD and South East Light Rail: follow-up performance audit, Auditor-General Margaret Crawford says the cost of the Central Business District and South East Light Rail (CSELR) project will exceed the cost reported by TfNSW.
“In February 2015, the estimated total cost and capital funding approved for the project was $2.104 billion,” Ms Crawford said.
“In November 2019, the Minister for Transport announced that the revised construction costs for the project were $2.9 billion,” she said.
“Our audit found the total cost of the CSELR project will exceed $3.1 billion.”
Ms Crawford said that between February 2015 and December 2019 TfNSW had regularly updated capital expenditure costs for the CSELR in internal monthly financial performance and risk reports.
“These reports did not include all the costs incurred by TfNSW to manage and commission the CSELR project,” she said.
“Transport for NSW has not consistently and accurately updated CSLER project costs, limiting the transparency of reporting to the public.”
She said that in line with the NSW Government Benefits Realisation Management Framework, TfNSW intended to measure benefits after the project was completed and had not updated the expected project benefits since April 2015.
The Auditor-General made four recommendations including that by June this year, TfNSW publicly report average weekly journey times and the final project cost.
She also recommended TfNSW report the updated expected project benefits by December and report on benefits achieved during the first year of operations by April 2021.
The Auditor-General’s 28-page report can be accessed at this PS News link.
