Helsinki City Council approves setting up limited company for bus transport
|
The Helsinki City Council on Wednesday gave its approval to the merger of the Bus Transport Unit of Helsinki City Transport (HKL) with Suomen Turistiauto, to form a joint limited company.
The decision was as anticipated, but it did not come without a struggle. Following a heated debate, the move was passed by a vote of 53 - 32 with the support of the National Coalition Party, the Green League, the Swedish People’s Party and the Centre Party. The Left Alliance and the Social Democratic Party preferred setting up a public service corporation. The model which won out was sharply opposed by HKL drivers, who staged a one-day protest strike on Monday.
The exceptionally heated debate on the floor was punctuated by occasional applause from the gallery; the chairman had to threaten to clear the gallery several times to restore order.
The Greens, the second-largest group in the Helsinki City Council, found themselves in a difficult position politically, and five Green members actually voted with the opponents of the move.
The Green League’s group leader on the Helsinki City Council, Otto Lehtipuu, accused the SDP of creating a false confrontation and embarking on a campaign of rumours.
Lehtipuu emphasised that the Greens support municipal public transport, and said that the new company would remain under city control, and would not be privatised.
The reason for the merger was the poor economic state of both companies. Helsinki Mayor Eeva-Riitta Siitonen said that the organisational change would lead to savings of EUR 1.0 - 1.5 million a year. She emphasised that there was no intention of selling off even a part of the company.
In spite of assurances to the contrary, opponents of the merger model saw the decision as a slippery slope in the direction of privatising Helsinki’s municipal bus transport system.
Supporters of the merger insisted that the City of Helsinki would maintain ownership of the bus system.
Before the meeting on Wednesday evening, the Trade Union for Staff in the Municipal Sector (KTV) issued a statement urging Helsinki voters to vote for candidates in the upcoming municipal elections who "as decision-makers have the ability to carry responsibility also as a municipal employer".
The decision was as anticipated, but it did not come without a struggle. Following a heated debate, the move was passed by a vote of 53 - 32 with the support of the National Coalition Party, the Green League, the Swedish People’s Party and the Centre Party. The Left Alliance and the Social Democratic Party preferred setting up a public service corporation. The model which won out was sharply opposed by HKL drivers, who staged a one-day protest strike on Monday.
The exceptionally heated debate on the floor was punctuated by occasional applause from the gallery; the chairman had to threaten to clear the gallery several times to restore order.
The Greens, the second-largest group in the Helsinki City Council, found themselves in a difficult position politically, and five Green members actually voted with the opponents of the move.
The Green League’s group leader on the Helsinki City Council, Otto Lehtipuu, accused the SDP of creating a false confrontation and embarking on a campaign of rumours.
Lehtipuu emphasised that the Greens support municipal public transport, and said that the new company would remain under city control, and would not be privatised.
The reason for the merger was the poor economic state of both companies. Helsinki Mayor Eeva-Riitta Siitonen said that the organisational change would lead to savings of EUR 1.0 - 1.5 million a year. She emphasised that there was no intention of selling off even a part of the company.
In spite of assurances to the contrary, opponents of the merger model saw the decision as a slippery slope in the direction of privatising Helsinki’s municipal bus transport system.
Supporters of the merger insisted that the City of Helsinki would maintain ownership of the bus system.
Before the meeting on Wednesday evening, the Trade Union for Staff in the Municipal Sector (KTV) issued a statement urging Helsinki voters to vote for candidates in the upcoming municipal elections who "as decision-makers have the ability to carry responsibility also as a municipal employer".
Helsingin Sanomat