Adani reject claims contract sent overseas rather than to locals

21st April 2017 1:15 PM
back to pit for loading overburden, hauling activity on open pit Adani have responded to claims regarding rail contracts. dayatrhw

CLAIMS a digital rail network company run by a Yeppoon man was knocked back in favour of an overseas supplier have been refuted by Adani.

On Thursday, Capricorn Enterprise called for 'political intervention' after they were informed by Managing Director of local rail company 4Tel that 'Adani has decided not to use us on their new rail line, and instead go with an overseas company'.

Capricorn Enterprise CEO Mary Carroll said 4Tel was one of the short-listed companies for the contract but claimed they were denied the opportunity to participate in the Adani Carmichael Coal Project.

Mary Carroll from Capricorn Enterprises.
Mary Carroll from Capricorn Enterprises. Chris Ison ROK200417clnp4

"4Tel has a proven track record in the field of rail servicing and management with in excess of 17 years experience in digital rail network management, with major government and private sector contracts in NSW and Victoria, boasting a long list of major clients including John Holland, bhpbilliton, VLine, Pacific National, Grain Corp, Sydney Trains, VicTrack and the Country Regional Rail Network in NSW,” Ms Carroll said.

"Employing 35 people predominantly in Newcastle, it is estimated that by 4Tel securing the Adani rail service contract will create 16 highly skilled systems support jobs locally in Queensland (Rockhampton, Townsville, Bowen and Mackay), and another 10 or so software development and deeper support positions in Newcastle, with the added benefit of export opportunities for all the software deployed.

"Whilst it is acknowledged that should Adani be financing the project, it may hire and fire at its discretion, however, with potential Commonwealth Government support for a $1 billion financial package for the construction of the rail/port infrastructure, then qualified Australian based companies need to secure fair and reasonable opportunities to participate in the project. The Adani Project should be based on local jobs and local opportunities and we are calling on our political leaders to ensure this opportunity is not lost to us.”

Adani Group chairman Gautam Adani (AAP Image/ Cameron Laird)
Adani Group chairman Gautam Adani (AAP Image/ Cameron Laird) Cameron Laird

However, a spokesman for Adani debunked the claims and said the contract for the Signalling and Communications package had not even been awarded yet.

The spokesman confirmed Adani had short-listed suppliers for the project but 4Tel's submission had not met the technical pre-conditions.

"4Tel were given a full, fair and reasonable opportunity to submit a proposal to Adani, and indeed, they did submit a proposal,” the spokesman said.

"Adani has shortlisted suppliers based upon their proven technical, commercial and financial capability within the heavy haul rail industry in Australia.

"This shortlisting process has seen several large international companies not being shortlisted as they did not have the proven technical, commercial and financial capability within the heavy haul rail industry in Australia.”

The spokesman said 4Tel did not meet current technical pre-conditions including as they did not:

  • have an ATP (Automatic Train Protection - the braking interface with the locomotives) solution,
  • offer wayside systems including interlocking system which is core to the signalling solution required for the Carmichael Rail Project. 4Tel depend on external vendors for this or;
  • have Point machines or Axle counters or Track circuits.

Rockhampton Mayor Margaret Strelow at the announcement that ALDI will be coming to Rockhampton.
Rockhampton Mayor Margaret Strelow at the announcement that ALDI will be coming to Rockhampton. Chris Ison ROK160217caldi1

Mayor Margaret Strelow has urged caution before local community jump to conclusions about Adani and its dealings with local business.

"I understand that there have been comments made to the effect that a local business has missed an opportunity to provide a high tech solution for Adani's Railway line,” Cr Strelow said.

"I've contacted Adani today and been advised by a spokesperson that the contract for Signalling and Communications has not yet been awarded, however I am advised that 4Tel were given a full, fair and reasonable opportunity to submit a proposal to Adani.

"Adani Representatives visited 4Tel's offices in Newcastle to fully understand their technical, commercial and financial capability within the heavy haul rail industry in Australia.

"Unfortunately my advice is that they didn't offer a full solution to Adani's requirement.

"I know Derryl Wust personally and have a very high regard for his skills and abilities but I understand that the particular needs of this part of the project cannot be met by his company.

"At this time when the Adani project is at such a sensitive stage and having pot shots fired at it from so many quarters, the last thing they need is friendly fire.”

Adani map.
Adani map. Adani