Former ACT Chief Minister Kate Carnell has questioned projected patronage levels for light rail services in Canberra and said population density along the proposed route to Gungahlin was insufficient to justify the line.
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The Australian Chamber of Commerce and Industry chief executive told The Canberra Times a price tag of $614 million for the project risked detracting from other infrastructure development in the capital, including the Kingston Foreshore and the lowering of Parkes Way to better link the city and Lake Burley Griffin.
Ms Carnell, who served as Liberal leader and Chief Minister from 1995 to 2000, said a business case considered by her government found tram services weren't viable and the required density was unlikely to be achieved around the Northbourne Avenue corridor.
"I think it’s a great idea but we just couldn’t make it work 10 or 15 years ago, and I give you Canberra is a bit bigger now but it’s not bigger all along that route," she said.
"The dilemma here is the plan of the city. It’s planned for the car and continues to be. So are people in Crace and all of those areas going to drive to Gungahlin and hop on a tram when it would be quicker to drive to work?"
Ms Carnell said she would be surprised if the final Capital Metro business case, due to be handed to government in October, would attract the required amount of private investment.
Patronage estimates for the 12km line, expected to be the first stage of a city wide network, are being refined as part of the business case. Current estimates are for 13,000 daily boardings by 2021 and more than 20,000 by 2031.
The line is expected to become operational by 2019 or 2020, with the route chosen to service strong population growth in Gungahlin and reduce traffic congestion on the busy route into Canberra.
"Spot rezoning" will be used as the ACT government plans for at least another 45,000 residents along Northbourne Avenue while land and buildings will be sold to increase density and commercialise the corridor, alongside works for the 13-stop tram line.
Ms Carnell said the provision of public transport had been a difficult issue in Canberra for decades but the development of a network servicing the airport, Parliament House and town centres would cost billions.
"If what it means is the ACT government literally shoveling money into this project forever and a day, that would be very concerning," she said.
"I hate to put a dampener on it because I think it’s really good that Canberra is looking for new and different approaches to city planning and to making it a vibrant place, but I am not sure that for the sort of amount of money we’re talking about we wouldn’t be better to talk about City to the Lake, a new convention centre and a range of other major projects that are desperately needed."
Investigations of underground pipes and wires along the route have continued on Flemington Road between Gunaghlin and the Federal Highway intersection and between the city and Lyneham on Northbourne Avenue.