But the plans were thrown into chaos last week when Liverpool council called for two and three to be merged, bringing forward the airport link by two years.
Manchester already has a tram system, but was turned down in its bid for an extension. A huge publicity push at the conference left Liverpool delegates fearing it is waiting in the wings for Liverpool's cash.
Operating companies have now dropped out of the bidding war due to the uncertainty. And, as the ECHO revealed last week, the crisis could have serious implications for Grosvenor's £750m Paradise Street project. A new transport hub is crucial for the retail scheme, but that cannot be finalised until the tram's future is clearer.
Rumours of personality clashes at the top of the council and Merseytravel have been blamed for the spat. Cllr Storey told the ECHO yesterday that he would bang heads together to resolve the problem.
Cllr Dowd also vowed to battle for "the people of Merseyside" to deliver the tram. He said: "People with egos as big as battleships have caused this problem, but in the end it's about more than personalities.
"When I am gone and Mike Storey as gone, the trams will still be here and the people of Merseyside will not forgive us if this goes wrong."
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