Victorian Auditor-General's Office

3 Performance monitoring and benefits realisation

At a glance

Background

Public Transport Victoria (PTV) needs an effective performance measurement and reporting framework in order to ensure that myki operates effectively, and delivers the intended benefits.

Conclusion

PTV has enhanced the quality of performance measures and incentives in the myki contract. However, the effectiveness and integrity of the new performance regime is compromised by critical shortcomings in PTV's approach to verifying the accuracy of related results reported by the contractor.

1 Background

1.1 Introduction

Public transport ticketing systems

Modern public transport ticketing systems are much more than simply fare collection tools. They provide the key interface with customers and, with smartcard technology, can assist strategic planning for the public transport system, through the collection of valuable usage data. A well designed and implemented system should be easy for commuters to use, and benefit transport operators by streamlining fare collection and providing access to important data on travel behaviour.

Operational Effectiveness of the myki Ticketing System

Body
This audit focused on how well Public Transport Victoria is managing and operating the myki ticketing system. Specifically, it examined whether governance and contractual arrangements, including frameworks for monitoring and evaluation, assure myki’s operational effectiveness.

Appendix A. Audit Act 1994 section 16—submissions and comments

Introduction

In accordance with section 16(3) of the Audit Act 1994, a copy of this report was provided to Public Transport Victoria, the Department of Economic Development, Jobs, Transport & Resources and the Department of Treasury and Finance.

The submissions and comments provided are not subject to audit nor the evidentiary standards required to reach an audit conclusion. Responsibility for the accuracy, fairness and balance of those comments rests solely with the agency head.

Responses were received as follows:

2 Performance of the MMBF

At a glance

Background

The Melbourne Metropolitan Bus Franchise (MMBF) is intended to improve services, reduce costs and progress reform of the bus industry. This Part of the report examines the MMBF's progress in achieving these outcomes.

Conclusion

Public Transport Victoria (PTV) cannot yet reliably demonstrate that MMBF is achieving full value for money for the state due to shortcomings with performance data. Unless PTV promptly addresses these deficiencies, MMBF's full benefits are unlikely to be achieved.

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