Legislative Assembly for the ACT: 2014 Week 9 Hansard (18 September) . .
specifically, and perhaps Mr Coe. I may or may not have mentioned Mr Coe's name. I cannot remember whether I mentioned him by name. I do not think that Mr Corbell himself was having any trouble. I think he was on a roll and was doing quite well. But I will take this opportunity, before I call anyone else to ask questions, to say that the opposition has been quite unruly today. If you persist in not coming to order when I call you to order, I will start naming people. I will start warning and I will start naming.
MR DOSZPOT: My question is to the Minister for Capital Metro. Minister, on 15 September 2014, when you announced cabinet's decision to proceed to the light rail project, you said, "The estimated capital cost of the project is $610 million plus a $173 million contingency." This makes a total cost of $783 million for the project and represents a contingency factor of more than 28 per cent. On 16 September 2014, in question time, the Chief Minister told the Assembly that the cost of the park and ride facilities at Well Station Drive, EPIC and Dickson are not factored into the $783 million capital and contingent cost estimate. Minister, what elements of the project are included in the contingency component and what are their known costs?
MR CORBELL: I thank Mr Doszpot for the question. The itemisation of the contingency factors will be outlined in the business case when it is released on 31 October.
MADAM SPEAKER: Supplementary question, Mr Doszpot.
MR DOSZPOT: Minister, why are known costs included in the contingency component for the project and not in the estimated capital costs?
MR CORBELL: Estimated capital delivery and contingency costs have been ascertained consistent with industry standards.
MADAM SPEAKER: Supplementary question, Mr Coe.
MR COE: Minister, what advice did you take, and from whom, as to what constitutes a reasonable level of contingency for a project of this cost? If you took no advice, on what basis did you decide on a contingency factor of 28 per cent?
MR CORBELL: The government has had very significant and detailed advice on all of these questions, both from our in-house experts within the Capital Metro Agency and from our external advisers, in particular the external advisers Ernst & Young, EY as they are now known, who have extensive and very detailed experience in the preparation of business cases for projects of this nature and for their procurement through a public-private partnership framework. They have global expertise in this area. We have taken advice from them as well as from the Capital Metro Agency itself in determining these questions.
MADAM SPEAKER: A supplementary question, Mr Coe.
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