The second phase of the Tranvia tram system in Vélez-Málaga cost €8.1 million and was completed eighteen months ago, yet it still not in operation.
The problem is the same. Tranvía Vélez (Travelsa), who have the concession to run the service for 25 years, want to increase the technical rate and also want the Council to pay its debt to the company, a debt now standing at €1,2 million.
The Council pays the difference between the technical rate (actual cost of a journey) and the consumer ticket price and also pays for unsold tickets below the agreed ‘minimum’ total required for successful operation of the system. For unsold tickets in 2009, the difference between the projected number of passengers and actual passengers, the Council is in debt to the tune of €776,000.
There have been talks between the two sides, the last occasion being three weeks ago, but there has been little progress and there is still no date set for the second phase to begin operating.