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Perth Electric Tramways began laying tracks in January 1899 from Hay St, East Perth to Thomas Street, West Perth, with a spur line to the residential area in Colin Street.  After opening the line in September 1899 extensions were soon made to Mount Lawley, Subiaco, Victoria Park, North Perth, Leederville, Osborne Park and Nedlands. 
At Fremantle a tramway was opened in 1905 with routes extending from South Fremantle through East Fremantle, Beaconsfield and Palmyra, Melville and North Fremantle. 

In 1912 the State government purchased Perth Electric Tramways and began operating the tramway service under the control of the Government Railways. 

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