Freight movement efficiency will be the big winner from the Govt’s plans to spend an extra $449m on the rail network over the next five years. Ontrack Chairman, Cam Moore, says the investment will enable rail to contribute more effectively to the movement of freight in NZ. “This level of investment would be very welcome.” The money will enable Ontrack to continue to maintain and renew the freight network by improving its robustness and reliability as well as increasing its capacity.

Complementary Investment. Moore says the funding should be viewed as allowing rail to better complement the roading network. The distance travelled by heavy vehicles has increased by almost 70% in thirteen years. In this time, there has been little difference between the proportion of freight carried by road and rail. If this trend continues severe pressure will be put on the road network. He warns Ontrack’s current levels of bridge, rail and sleeper replacement are only sufficient to prevent the network slipping back from the levels required to sustain the network.

Black Hole Comments Concern. Moore says he is concerned investment is referred to as a “black hole” for spending. He points out, compared with some other forms of infrastructure development, the planned investment in rail is modest. Further investment in the rail network will be spent on rehabilitation and improvements to key lines carrying export traffic.

QUOTABLE: “An investment of more than $400m in rail infrastructure would pay for only a small part of the planned Transmission Gully highway near Wellington.” - CAM MOORE

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