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Birmingham Post
Birmingham Post
Business
Coreena Ford & Jonathon Manning

Tyne and Wear Metro race 'ongoing' despite reports Hitachi has been overlooked

The owner of Tyne and Wear Metro system says the process to build its £362m fleet of  ew Metro trains is ongoing, despite claims a Spanish train maker has won out over a North East manufacturer.

New trains are set to take to the tracks in 2021 and three firms remain in the race to build the rolling stock – Spanish firm CAF, Swiss manufacturer Stadler, and Newton Aycliffe based Hitachi Rail, which is part of the Japanese group Hitachi.

All three firms were invited to make best and final offers this summer after Nexus completed its evaluation of initial tender, and the winning bidder is set to be announced in January 2020.

However, reports claim the decision has already been made and that CAF will take forward the contract.

Nexus, which owns and operates the Tyne and Wear Metro insists the timetable remains in place, saying: “The procurement of our new train fleet is an ongoing process. We cannot comment on any details of the respective bids from Hitachi Rail, Stadler, or CAF at this stage.

“The successful bidder will be officially announced in January.”

(Jonathon Manning)

The new fleet is expected to have new features including air conditioning and WiFi, and should start operating by the end of 2021. All the network’s existing trains, which are now decades old, will be fazed out by 2024.

Nexus has secured Government grant funding of £337m towards the project, which is expected to cost £362m, which will also include the creation of a new train maintenance depot.

Procurement rules mean Nexus cannot legally pick Hitachi solely on the basis that it is a local firm, but it can take environmental issues into account which could potentially help bidders with facilities that are closer to the Tyne and Wear Metro.

In July, Hitachi won a £400m contract to build trains for East Midlands Railway ahead of rivals Bombardier, but it warned that the long term future of its workforce would not be secure until the company had won at least one more contract.

Hitachi has also been shortlisted for the contract to build trains for the HS2 line, although the HS2 bid is in doubt as the Government reviews the entire project.

Hitachi has declined to comment.

Ben Houchen, the Conservative Tees Valley mayor said the reported decision was “appalling” and that local councils which “have complete control over this contract” failed to protect jobs.

He said: “Because of incompetence by the Tyne and Wear councils, the new Nexus trains will be built by a foreign company, rather than one just down the road.

“We must stop this madness.”

Sedgefield MP Phil Wilson, meanwhile said that “if true” Hitachi not winning the contract would be “outrageous”.

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