The Greens are doubling down on calls for the State Government to buy back the AirTrain and make fares 50c, as new analysis of financial statements reveals the overseas corporate owners took $193 million in fares in the last 10 years while paying $0 in corporate tax.
Greens MP for Maiwar Michael Berkman:
“Thanks to a bad privatisation deal announced by Labor and signed by the LNP, our airport train is being held to ransom by an offshore corporation that doesn’t even pay tax. “It looks like AirTrain’s owner has set up complex financial arrangements - including taking out a loan from its own parent company - to dodge tax. What’s more, it seems they’re trying to argue that taxpayers should cover the debts in addition to the asset’s actual value!
“While Queenslanders are working hard, paying their taxes and struggling with fuel and transport costs, the AirTrain’s foreign owners are ripping us all off.
“Only 5% of commuters and airport workers use the AirTrain, which explains why you’re sitting in bumper to bumper traffic for 20 minutes just to get to the pickup/dropoff lane - and it’ll be ten times worse during the Olympics.
“The AirTrain is a drain on Queenslanders when it should be an asset. It’s time we took back control - public transport belongs in public hands.
“Clearly the corporate owners are trying to squeeze the Government for more than the asset is worth, which is $45 million according to their own financial statements.
“The Government should stand its ground and pay what the asset’s worth on the books - they can legislate to void the contract if AirTrain’s corporate owners won’t play ball.
“Ditching the AirTrain contract sends exactly the right message: that we won’t let corporations hold Queenslanders to ransom anymore.
“By ending the private contract we could also get to work building a new station at DFO, and boost frequency from 30 minutes to every 15 minutes.”
Background
The AirTrain is currently subject to a BOOT agreement with the State Government, which gives them total control over fares and a veto on additional public transport services to the airport until 2036.
Annual reports of AirTrain’s parent company, USS Axle, show zero income tax paid between the 2014 and 2024 financial years. Reports for the 2025 financial year should be submitted later in 2026.
The Greens say the State Government could buy back the AirTrain for $45 million or less, based on the asset’s value in the corporate owners’ own financial documents. If AirTrain refuses to sell up by 2027, the Greens say the Government should legislate to force them, overriding the contract on the basis that it is an unacceptably bad deal for Queensland ahead of the 2032 Olympics.
More than 3,000 people have signed MP Michael Berkman’s petition to bring the AirTrain into public hands.
|
2015-16 |
2016-17 |
2017-18 |
2018-19 |
2019-20 |
2020-21 |
2021-22 |
2022-23 |
2023-24 |
2024-25 |
|
|
Fare revenue |
$22,487,096 |
$22,037,135 |
$22,115,951 |
$23,301,611 |
$22,387,686 |
$4,656,104 |
$7,070,545 |
$18,275,704 |
$22,625,147 |
$28,432,758 |
|
Income tax paid |
- |
- |
- |
- |
- |
- |
- |
- |
- |
Source: USS Axle Pty Limited, Financial Reports (available on request)
Note: Financial statements for every second year were obtained between 2013-14 to 2018-19; as a result, the actuals are not represented for every year, meaning that figures may not be fully accurate due to reporting and tax timing.
The Greens plan:
-
Buy back the AirTrain for $45 million in 2026 (or $40 million in 2027)
-
If the corporate owners refuse to sell, legislate to force them
-
Make AirTrain fares no more than 50c
-
Increase frequency to every 15 mins all day, with trains starting earlier and finishing later, and a new station at Skygate for the thousands of airport precinct workers
-
Scrap the Metro bus to the airport, which would rip up the Doomben train line
-
Finally fund the long-delayed Gold Glider and extend it to the airport