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MPs urge region to support rail link

Monday 31 May 2010, 9:02AM

By Green Party

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HAWKE'S BAY

Local MPs Anne Tolley (East Coast), Chris Tremain (Napier) and Craig Foss (Tuki Tuki) have united to encourage businsses to support the Gisborne to Napier Rail Link.

The recent budget announcement of an additional $250 million rail investment has brought into sharp focus the need for rail in New Zealand to be able to pay its own way and fund its own capital expenditure.

"Currently the line has only one train per week and is losing money," says Craig Foss.
"This is just a fraction of its capacity. The opportunity and challenge is for the line to attract new business".

"The key to making the Gisborne to Napier line profitable is securing a major anchor customer," says Chris Tremain.
"We are actively encouraging potential customers to come forward and talk to KiwiRail about their business and the competitive freight opportunities".

"For example the developers of the new Hikurangi Forest Products plant, in my electorate, have shown a strong interest in utilising the line to send product for export." says Minister Anne Tolley. “It is important that Kiwirail and the wider community do all they can to encourage Hikurangi and other clients."

The Government has committed in principle to a total package of $750 million to KiwiRail over the next three years, with final decisions on funding subject to individual business cases.

All three local MP's are keen to see the Gisborne to Napier line being used and encourage all freight users in the region to consider using it.