§ Mr. PatnickTo ask the Secretary of State for Transport when he intends to meet representatives of the South Yorkshire passenger transport authority and executive, Sheffield city council, the development corporation and the chamber of commerce, to discuss the PTE's application for grant for the South Yorkshire Supertram project.
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§ Mr. PortilloI met this morning with representatives of the South Yorkshire passenger transport authority and executive, Sheffield city council, the development corporation and the chamber of commerce. I discussed with them the application made by the PTE for grant, under section 56 of the Transport Act 1968, towards the cost of Line I of the proposed South Yorkshire Supertram system.
Further information and analysis will be needed on a number of important issues before it will be possible to reach a decision on grant. For example, the evaluation will have to include confirmation of the estimates of capital costs, a review of carrying capacity, and full allowance for the effects on other road users once the detailed highways arrangements have been designed. I will also expect the PTE to develop sound proposals for project management and financing, and to secure contributions from the private sector—particularly the interests along the route which will benefit from the project.
If the evaluation can be confirmed and the financing and other issues can be satisfactorily resolved, I would hope to approve a capital allocation and section 56 grant towards the capitalised cost of the expected financial deficit on Line 1. The time at which resources and grant might be made available would be determined in the light of analysis. In the meantime, I have decided to make capital allocation and 50 per cent. grant available in respect of eligible costs to be incurred in carrying out the further analysis required.