USD 4.5 billion O&M contract for Melbourne tram

Melbourne tram system

The Government of Victoria named Yarra Journey Makers (YJM), a joint venture of Transdev and John Holland, as the successful bidder to operate and maintain Melbourne tram system for an initial term of nine years, beginning in December.

The Yarra Journey Makers joint venture signed a AUD 6.8 billion (USD 4.49 billion) contract on June 28, 2024 to operate under the Yarra Trams brand and progressively deliver improvements to services and customer experience.

The new contract has a focus on performance, with strict benchmarks and more monitoring points across day and night services – holding the operator to account to deliver reliable services, while making sure the right tram is used for the right trip.

The agreement will also roll out more accessible Next Generation Trams which will replace the longer serving high floor fleets.

During the contract term, new technology will be rolled out to provide passengers more consistent information in real time, including possible alternative transport options during disruptions and tailored updates for blind and low vision passengers in large text and text to speech.

There will also be more training for frontline staff to better support passengers with particular needs and customers who are culturally and linguistically diverse.

The joint venture brings unrivalled transport experience through Transdev and John Holland, a leading building, infrastructure and end-to-end rail and transport company.

YJM has a detailed plan in place for the December changeover which prioritises a seamless transition for customers and the existing workforce.

“Our partnership will support the State’s vision of more integrated, sustainable transport for Victoria and the delivery of Melbourne’s Tram Plan. Our focus is performance and customer experience – unlocking smarter ways to move more people, day and night, with the real-time information they need, when they need it,” Transdev Australia and New Zealand CEO Brian Brennan said.

The world’s largest tram network

Melbourne tram system transports more than 147 million passenger trips each year complementing the city’s sophisticated integrated road and rail network.

It is world’s largest tram network, which manages 500 trams, 1,600 tram stops, 24 routes and more than 250 km of double track.

“Melbourne is home to the largest tram network in the world and this new contract will make sure our trams continue to move Victorians around safely, quickly and easily. We look forward to working with Transdev John Holland as we continue to modernise and improve the passenger experience on our iconic tram network,” Minister for Public and Active Transport Gabrielle Williams said.


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