The end of the agreement with the “Rīgas karte” on the maintenance of the ticket system will allow “Rīgas satiksme” to save approximately 12 million euros per year, “Rīgas satiksme” has calculated. The precondition is the purchase of the shares of the other shareholder of “Rīgas karte”, the price of which is not yet known. Meanwhile, the Deputy Mayor of Riga Vilnis Ķirsis (“New Unity”) believes that the e-ticket system should be abandoned completely.
On December 31, Rīgas satiksme will enter into a 13-year agreement with the company’s partially owned subsidiary, Rīgas karte, for the maintenance of the e-ticket system, and the system will become the property of Rīgas satiksme.
The company believes that this will significantly reduce costs, as the current agreement allowed the “Rīgas karte” to work with a large profit and purchase expensive outsourcing.
‘The existing contract provided for a fairly significant share of the guaranteed profit included in the fee. We see no reason to continue this position. If I am the owner, I can also determine the components that make up the cost item, ”explained Džineta Innusa, Chairman of the Board of SIA Rīgas satiksme.
Rīgas satiksme has calculated that taking over the ticketing and parking systems will save almost 12 million euros a year.
However, the precondition is the purchase of 49% of the shares of “Rīgas kartes” from the French company “Conduent”.
“Unfortunately, the system has been” combated “or other system components have been added to the system, such as car parks, where the contracts expire not in the end of this year, as in the case of the system itself, but in 2024. Without managing these components, I can’t answer the question of what will happen to the parking payment system at all, ”said Innusa.
Innusa does not mention how many shares in Conduent could be paid out and emphasizes that the evaluation is still ongoing.
Vilnis Ķirsis, Deputy Mayor of Riga in charge of transport, is cautious about buying the shares, as it would mean continuing to use the e-ticket system.
“I believe that this system should be abandoned. We can clearly and unequivocally see the costs in other cities where there are other systems, and in Riga, where this system is very expensive, ” Kirsi pointed out.
Innusa, the chairman of the board of Rīgas satiksme, agreed that the system should be replaced, but it will be a time-consuming process.
In addition, it would be uneconomical to “write off” the e-ticket system at the moment when “Rīgas satiksme” becomes its owner. At the same time, “Rīgas satiksme” will soon sign an agreement on the improvement of the existing system, so that anyone can buy a transport ticket with a mobile phone.
The municipal company “Rīgas satiksme” could not close for several years without additional funding, but after reviewing various expenditure items and procurement procedures, it could be closed with a profit. In the coming years, the biggest challenges will be the modernization of the ticket purchase system, the expansion of routes to Pieriga municipalities and, in the long run, the procurement of zero-emission vehicles.
On Monday, October 19, the meeting of the Traffic and Transport Affairs Committee of the Riga City Council was dedicated to the current situation in the company “Rīgas satiksme”, as well as the problems in the maintenance of Riga bridges. The new mayor of Riga Mārtiņš Staķis (“For Development / Par!”) Also assessed it as unsatisfactory.
During the meeting, a conversation took place for more than two hours with the head of “Rīgas satiksme” Ginsina Innuss, while the discussion with the head of the Riga City Council Traffic Department Vitalija Reinbach was short. Innusa admitted that she often learns about some of the legacy surprises of the previous management of “Rīgas satiksme”, but the overall balance has now improved.
“2020. The 2006 budget was approved last year by the previous board. With all the economic improvements, changes in the procurement process and all the controls, we have approved the changes to the 2020 budget. Unless there is another emergency situation that will force passengers to stay at home and we can continue to work, it is likely that we could end this year with a profit, thus keeping the company in a stable financial position and position, ”said Innusa.
Next year, it is planned to sign a contract for the purchase of 20 new low-floor trams, which will also be linked to the renewal of the tracks. The largest planned project is the adaptation of the 7th tram track and stops to the new trams in Ķengarags. The need to renovate the tram and trolleybus depot has been identified.
The tram is the leading role in the development of public transport in the capital, but in the development of other modes of transport the board plans long-term investments, which are dressed in environmental goals and abandonment of diesel engines, emphasized Ingus Rūtiņš, a member of the board of Rīgas satiksme.
“It’s not really comparable to a tram in terms of driving comfort and speed. This means that everything that travels on the rails would become a kind of surface metro. The bus in this model must be used as a service tool when carrying passengers at a transfer point. When it comes to buses, there are three choices. Biofuel buses, both battery-powered or electric buses, and hydrogen buses. These technologies are much more expensive and are related to the construction of infrastructure, which is expensive and must be planned for the long term, ”said Rūtiņš.
Currently, the management of “Rīgas satiksme” is already talking with the Road Transport Directorate about the extension of Riga bus routes in Pieriga, specific plans are related to further routes in Mārupe, Upesleja and Baloži. In the future, the possibilities to extend the routes in the direction of Ķekava and Ādaži are considered.
Meanwhile, the Riga City Council Transport Department plans to apply for funds from the European Union Covid-19 crisis management program to restore several Riga bridges by 2026, including Vanšu bridge, Air bridge in Brīvības street, Zemitāna bridge and overpass in Gustava Zemgala gatve and over Kārļa Ulmaņa gatve .
Work is currently continuing on the Brasa and Deglava overpasses.
“According to the results of a special inspection, we have a few more years to solve these problems. We are already taking action, because we are aware that the condition of bridges and overpasses can deteriorate. Practice shows it, ”said Vitalijs Reinbachs, Director of the Riga City Council Traffic Department.
CONTEXT:
“New Unity” even before the election pointed outthat the existing e-voucher system should be replaced could save more than € 20 million. The scale of expenditures, which has been revealed in the audits of other Riga companies, even with very conservative forecasts, allows to plan a reduction of expenditures by at least another 10 million euros.
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