Adelaide’s tram services have officially returned to public control, marking the fulfilment of a major election commitment by the Malinauskas Government. Operations resumed under state management at 3am on Sunday 31 August, ending the privatisation arrangements introduced by the former Marshall Government in 2020.
The move completes the government’s wider reversal of rail privatisation, which began earlier this year with the return of train services in February. Premier Peter Malinauskas said the transition was about putting public transport back where it belongs. “Today we honour the first election promise we made to the people of South Australia—we are proudly returning essential rail services to public hands for the benefit of all South Australians,” he said.
According to the government, 97 per cent of Torrens Connect staff accepted employment offers, ensuring continuity for passengers and signalling confidence in the shift back to state operation. The Premier said the change would ensure accountability and transparency, with every dollar of operational spending invested back into the rail system.
Minister for Infrastructure and Transport Tom Koutsantonis described the outcome as proof that reversing privatisation can be done effectively. “Delivering this election commitment provides a successful template for reversing rail privatisation,” he said. “We were told it wouldn’t be possible to swiftly and effectively reverse the privatisation of rail services under the former Marshall Liberal government, as it hadn’t been attempted previously on this scale. But we have shown, with the support of our dedicated current and transferring staff, that rail services are best owned and operated by the people.”
The government has pointed to benefits including integrated security and customer services, along with a coordinated approach between trams and trains. Work is also progressing on the Tram Grade Separation Projects, which aim to remove level crossings on the Glenelg line and rebuild the South Road Tram Overpass. Officials say the line is on track to reopen before the 2026 school year.
Mr Koutsantonis said the upgrades would mean safer, more reliable journeys and better community connections. “We know the removal of the level crossings where the Glenelg tram line crosses Marion Road and Cross Road, Plympton and Morphett Road, Morphettville will provide a better connection, community and journey experience,” he said.
The contracts signed under the Marshall Government had been set for up to 12 years, but the state was able to return services to public hands without paying a break fee. AMO will continue to maintain tram infrastructure until 2035.
For the Malinauskas Government, the return of trams represents both a symbolic and practical shift. “Our trams hold a special place in the hearts of South Australians,” the Premier said. “We all benefit from the sense of community fostered by a publicly owned and run tram service from the City to the Bay. We are acting on principle, and as promised, to reverse the privatisation of essential public transport services.”
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