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Evaluations into rail links for South Island dairy

Media Release For Immediate Release 22 November 2002

Go-ahead for evaluations into rail links for South Island dairy factories

Transfund New Zealand has agreed to fund two investigations into using rail as a viable alternative to roading for freight access to two South Island dairy factories.

The Transfund Board yesterday approved $35,000 for the evaluation of options for providing rail access to the Clandeboye Dairy Factory, near Timaru, and improving the existing rail access to the Edendale Dairy Factory, near Invercargill.

Acting Chief Executive Peter Wright said the two projects had the potential to reduce the amount of bulk milk currently being transported by road to, from and between the factories.

The amount of bulk milk being transport is expected to increase over the next few years so it was a good time to begin these preliminary investigations. The $35,000 was half the total cost of the initial evaluation work, he said.

Of this, Environment Canterbury would receive $25,000 for the evaluation work into a new Clandeboye rail link, with the other half being funded by Environment Canterbury and Timaru District Council.

Environment Southland would receive $10,000 for the Edendale work, with the other half being jointly funded by Environment Southland, Southland District Council, New Zealand Milk Products and Tranz Rail.

Mr Wright said the results of this preliminary evaluation would assist in determining whether the regional councils would continue with further investigative work.

The projects are to be funded from Transfund's funding allocated to support projects that are efficient alternatives to roading. This is in accordance with the government's funding priorities for land transport announced in February this year.

ENDS

Transfund New Zealand is the government agency responsible for allocating funding toward an affordable, integrated, safe, responsive and sustainable land transport system for New Zealand. It funds a range of transport solutions based on funding applications received from Transit New Zealand, territorial authorities and regional councils. See our website www.transfund.govt.nz for more information.

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