The Justice forces to Parla to load alone with the debts of its tram

The Justice forces to Parla to load alone with the debts of its tram

  • The Contentious Administrative Court No. 20 of Madrid dismisses the appeal filed by Tranvía de Parla SA
  • The company demanded that the Transport Consortium assume part of its financing and charge a percentage of the debt.
  • The tram came to a halt in December 2011 due to non-payments. | The mayor locked himself in Sol to demand help from the regional government.
Stock image of one of the Parla tram convoys. Tram of Parla SA

The Contentious Administrative Court No. 20 of Madrid has dismissed the appeal filed by Tranvía de Parla SA by which the entity intended that the Regional Transport Consortium assume part of its financing and debt .

In the judgment the judge understands that the tram construction agreement only obliges the Consortium to finance 50% of the imbalances of the operating expenses and the revenue from tariffs . The other 50% corresponds to the City Council. Therefore, and given that this body is not the owner of the works, it establishes that you can not demand joint and several liability with the City Council.

The judge exhorts the Consortium to pay the amounts claimed by the company The judge rules that, in this sense, the Consortium is up to date with all its obligations . “In no case the Regional Transport Consortium will finance the investments of the works, the facilities or the first acquisition of mobile material,” clarifies the text collected by the agency Europa Press .


Therefore, the Consortium’s obligation to pay amounts in respect of initial and additional contributions, initial fee (the capital subsidy to finance investments), the delay in the payment of invoices or the legal interest for late payment could not be recognized. and tickets delivered.

The judgment dismisses the contentious administrative appeal filed by Tranvía de Parla SA (a company formed by Global Vía, Caja Castilla La Mancha Corporation and Detren Servicios Ferroviarios) and through which it attempted to settle the company’s accounts .

Now, on the other hand, the City Council will have to take sole responsibility of the situation of the concession, although the company studies to appeal the ruling before the Superior Court of Justice of Madrid.

Stop and confinement in Sol

The Tram of Parla supposed an investment for the concessionaire company of 130 million euros.

Coming from the benefits derived from the development of land for the construction of the tram line, the Town Hall of Parla, headed then by the current secretary of the PSM, Tomás Gómez , undertook to pay the remaining 88 million euros until 2037, thus as compensation for tram / kilometer exploitation during the first five years.

The City Council demanded that the Community finance the same percentage of tickets as in light metros In December 2011, the City Council accumulated a debt of 48 million euros with the tram. The company, in turn, could not pay Alstom, who did part of the maintenance, so the convoys had to stay in the garages for almost two days.

The current mayor of the city, José María Fraile, managed to lock himself in the Puerta del Sol, seat of the Government of the Community of Madrid, to demand that the Consortium subsidize the ticket for the tram – and reduce, therefore, the deficit between operating expenses and fare revenues- in the same percentages per user that apply to the light rail yards of Boadilla or Aravaca. The measure was not effective.

Finally, Alstom returned to put the trains in march thanks to an agreement by which the City council recognized a debt of almost 7 million Euros, established a calendar of payments and committed to solve the contract with the maintenance operator.

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