While the NSW government has outsourced the construction of the intercity fleet to South Korea, its Victorian counterpart is making sure its trains will be built within the state.
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Last month Transport Minister Andrew Constance announced the successful bidder for the contract to build 65 double-decker trains was the multinational RailConnect consortium that would take the work to South Korea.
By comparison, Victorian Premier Daniel Andrews this week announced the state’s new 65 metro trains would be built in-house by the Downer consortium, which includes Chinese company Changchun Railways Vehicles.
“This investment in Victorian-built rolling stock will create 1100 full-time Victorian jobs in high-skill, high-value sustainable fields,” said Downer CEO Grant Fenn.
The deal also includes a requirement of at least 60 per cent local content.
The Victorian move was praised by Australian Manufacturing Workers Union NSW secretary Tim Ayres, who said the NSW government should “feel ashamed”.
“This is what a responsible state government looks like,” Mr Ayres said.
“Premier Daniel Andrews is investing in Victorian jobs and industry while Mike Baird is investing in Korean jobs.
Local content requirements work, but it delivers jobs and economic growth.
“The Baird government now has serious questions to answer about their decision to send rail manufacturing contracts overseas.”
Mr Constance responded to Mr Ayres claims by stating the decision to have NSW trains built in South Korea was made “in the best interests of taxpayers and customers”.
“Our new trains will be more comfortable, more spacious and have features never before seen on longer distance services,” Mr Constance said.
“Look at this government’s record on jobs. We have the strongest economy and the lowest unemployment rate of all the states.
“We’re investing record levels in infrastructure and have a number of major projects on the go.
“As a result, there are jobs being created everywhere.”