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ANNUAL REPORT 2008–2009 V/Line Is Australia’S Largest Regional Public Transport Operator, Serving Victoria with More Than 1400 Train and 600 Coach Services Per Week

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ANNUAL REPORT 2008–2009 V/Line Is Australia’S Largest Regional Public Transport Operator, Serving Victoria with More Than 1400 Train and 600 Coach Services Per Week V/LINE PASSENGER PTY LTD ABN 29 087 425 269 GPO Box 5343 Melbourne VIC 3001 HEAD OFFICE/ADMINISTRATION Level 23, 570 Bourke Street Melbourne VIC 3000 Telephone (03) 9619 5900 Facsimile (03) 9619 5000 vline.com.au CUSTOMER INFORMATION, RESERVATIONS AND SALES Telephone 136 196 CUSTOMER FEEDBACK Freecall 1800 800 120 All information correct at time of printing, October 2009. ANNUAL REPORT 2008–2009 V/Line is Australia’s largest regional public transport operator, serving Victoria with more than 1400 train and 600 coach services per week. In 2008–09, a record 13.17 million passenger trips were made on our services. This is the annual report of V/Line Passenger Corporation (VLPC) and its wholly owned subsidiary, V/Line Passenger We are also a major employer, with a workforce of 1382 employees – many of whom live in regional Victoria. Pty Ltd (VLPPL). V/Line complies with two sets of governance V/Line is a not-for-profi t operator, fully owned by the State of Victoria, with train services running between Melbourne requirements – those applying to VLPC as a statutory and the following townships: corporation and a state business corporation, and those • Geelong, South Geelong, Marshall and Warrnambool applying to VLPPL as an entity incorporated under the • Melton, Bacchus Marsh, Ballarat and Ararat Corporations Act. As a franchisee, V/Line must also fulfi ll • Sunbury, Kyneton, Bendigo, Swan Hill and Echuca its contractual obligations under the franchise agreement • Seymour, Albury / Wodonga and Shepparton with the Victorian Department of Transport (Director of • Traralgon, Sale and Bairnsdale. Public Transport). Coach services connect with the rail network and serve regional Victorian communities where trains do not operate. V/Line is responsible to the Victorian Minister for Public Some coach services run interstate, to South Australia, New South Wales and Canberra. These coaches are operated by the Transport and the state’s Treasurer. private sector under contract to the Department of Transport. This report provides a summary of V/Line’s key activities We also operate and maintain 3770 kilometres of broad-gauge rail track used by the passenger and freight rail services and fi nancial performance for the period 1 July 2008 to Contents following the Victorian Government’s buy-back of the regional network and access business from Pacifi c National and 30 June 2009. transferral to V/Line in May 2007. VISION While V/Line is well known in regional Victoria as a passenger service operator, we are also an access provider to freight Connecting Victorian communities and industry. operators who use our rail network to transport goods across the state. In recognition of this important economic role, on MISSION 14 October 2008, V/Line Passenger Corporation was also declared a state business corporation under the State Owned To deliver safe, reliable, accessible and sustainable Letter to the Minister 02 Safety and security 20 Finance 60 Enterprises Act 1992. passenger and freight transport services. Key partnerships 04 Our customers 26 Corporate governance 64 Strategic agenda 05 Sustainability, environment Executive team 68 VALUES Chairman’s report 06 and community 32 Financial statements 69 • Put our customers fi rst CEO’s report 10 Our people 40 Energy Effi ciency Opportunities • Be honest Year in review 14 Operations 44 Program – Public Report 93 • Take responsibility Passenger network map 16 Fleet 50 Disclosure index 97 • Strive for excellence Cover: Bendigo Station Offi cer David Neven and Kathryn Mackenzie, from the City of Greater Bendigo. • Treat people and the environment with respect Key results 17 Infrastructure 54 Opposite: Ballarat Area Services Manager Michael Richardson and Sovereign Hill’s Director of Commercial Operations, Facts and fi gures 18 Victorian rail network map 59 Richard Berman-Hardman, at the award-winning tourist attraction. With SAFETY being paramount in all we do. sectionsesecttion 01 13 October 2009 The Hon. Lynne Kosky Minister for Public Transport Level 16, 121 Exhibition Street Melbourne VIC 3000 Dear Minister It is with pleasure that I present the annual report for V/Line Passenger Corporation and V/Line Passenger Pty Ltd (V/Line) covering the fi nancial year 1 July 2008 to 30 June 2009. This period was the third consecutive year of considerable passenger growth for V/Line, with over 13 million trips made on our train and coach services – another record. Passenger trips on train services have increased by a remarkable 79 per cent in the four years since 2005–06, representing a major shift in the travel habits of regional Victorians. This growth in passenger numbers is a testament to the recent years of investment in regional rail infrastructure, rolling stock and staff – investment that is now enabling many people to live in the country and travel daily to Melbourne for work. A key focus of this report is V/Line’s partnerships with our many community, business and government stakeholders, which help us deliver our essential service to regional Victoria. It is through these partnerships that V/Line has grown so rapidly, and it is with our partners that we will continue to improve our services. V/Line again continued to make fi nancial effi ciencies during the year, and as a not-for-profi t business, our fi nancial result for 2008–09 was in line with expectations. The coming years present another exciting era for regional public transport, following government commitments to build the nation’s biggest ever rail project – Regional Rail Link. Again, I thank the state government for its ongoing partnership with V/Line, and on behalf of the board and management look forward to expanding the V/Line network further in 2009–10. Yours faithfully Frank Tait Minister for Public Transport Lynne Kosky and Deputy Director of Public Transport, Bus and Regional Services, Sergio Lacchiana, at the completion of construction of Wendouree Station in Ballarat. Chairman V/LINEVV/LV///LL IININENEN E ANNUALANAN NUANUN UAA LLR REPORTREEPPOP O RTR T 2008-2009200202 0 0 8 -2- 2 009000090 9 LETTER TO THE MINISTER 2/3 key partnerships Strategic agenda To deliver our regional transport services, V/Line partners – Infrastructure Projects Division (IPD) – • Transport Ticketing Authority (TTA) – responsible for V/Line’s strategic agenda with a range of stakeholders, including: implements government rail projects developing the new myki smartcard for Victoria with – Public Transport Safety Victoria (PTSV) – Kamco, the successful tenderer for the project. • Assetco Management Pty Ltd, trading as Southern V/LINE’S OBJECTIVES: Cross Station Pty Ltd (SCSPL) – manager of administers the rail safety accreditation system TTA also assumed responsibility for management SAFETY AND SECURITY Continuously improve safety and Southern Cross Station – Freight, Logistics and Marine (FLAM) – of V/Line’s ticket agents in 2008–09 security in all aspects of • Australian Rail Track Corporation (ARTC) – access provider administers government freight policy • rail freight operators, including Pacifi c National our operations and business. for the main interstate corridors. V/Line will require access • Downer EDI Rail (EDI) – maintains our locomotive-hauled and El Zorro – users of the regional network to provide the Albury service after the broad gauge line is and Sprinter fl eets and the VLocity fl eet as sub-contractors • Victorian Managed Insurance Authority (VMIA) – RETAIN AND GROW REPUTATION Be an integral and converted to standard gauge to Bombardier provides the majority of V/Line’s insurance requirements respected organisation in • Connex – metropolitan train operator and access provider • Essential Services Commission (ESC) – • Victorian Government – the Minister for Public the Victorian community. administers the Victorian Rail Access Regime Transport and the Treasurer to the metropolitan network SHAREHOLDER SATISFACTION Be recognised by the government • Independent Transport Safety and Reliability Regulator • VicRoads – major partner in our work to improve level • Bombardier – manufacturer and maintainer of our VLocity AND FINANCIAL RESPONSIBILITY as demonstrating strong (ITSRR) – administers rail safety regulation in New South crossing safety as the authority for main roads train fl eet governance, effi cient operations Wales (V/Line operates some broad gauge track in • VicTrack – owner of rail infrastructure which is leased • Councils – V/Line works with regional municipalities to and fi nancial responsibility. meet the transport needs of their communities southern NSW and will operate on the standard to V/Line and other operators either via the Director of GROW THE BUSINESS Sustainably grow patronage and • Department of Transport (DOT): gauge in Albury/Wodonga from 2010) Public Transport or directly. freight volumes year-on-year. – Public Transport Division (PTD) – administers V/Line’s • Metlink / Viclink – call centre and journey planner V/Line also partners with a wide range of suppliers who franchise agreement, regional infrastructure lease, subsidy provider as well as advocate for public transport deliver goods and services essential to our business. ‘ON-TIME’ AND ‘IN-FULL’ SERVICE DELIVERY Improve service delivery each year. payments, and V/Line branded coach contracts CUSTOMER SATISFACTION Ensure our reputation for excellent service stands out, with customer satisfaction the highest among transport operators and access managers. EMPLOYEE SATISFACTION Be recognised as an employer of choice in the Australian rail industry, with a positively motivated, engaged
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