Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Restructure Of Rail Essential

Restructure Of Rail Essential Regardless Of Possible Ownership Change

The Rail Freight Action Group, consisting of New Zealand’s largest rail freight users, warned today that a major restructuring of rail services is essential regardless of whether ownership of Tranz Rail changes, if the country is to capture the full potential benefits of an efficient rail freight service.

“The model has to change. Another operator is unlikely to be significantly more successful than Tranz Rail if it operates in the same way,” said Cedric Allan, spokesperson for RFAG.

“Our members have grave concerns over the future viability of rail freight under the present model. This must be a concern to Tranz Rail and to any other owner of the company. Tranz Rail itself has been involved in discussions with Government on the possible restructuring of rail and we are well advanced with our own proposals for consideration by Government.

“Unless a potential new owner of the company is equally receptive to a restructuring of the way in which rail freight services are provided, the country has lost a major opportunity to obtain better outcomes.“

Mr Allan said RFAG had warned on many occasions that restructuring opportunities would be lost in the event of a hostile takeover of Tranz Rail by an alternative operator or asset stripper.

RFAG’s preferred model is for the Government to own the rail infrastructure and create opportunities for competitive services on rail, with service providers paying access fees. This would enable rail and road transport operators could compete on a level playing field basis.

“At the moment rail continues to lose market share to other transport forms, so major users are transferring volumes from rail to road wherever possible and New Zealand is losing export dollars because of the inability of some major exporters to negotiate acceptable rail freight contracts,” said Mr Allan.

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts, Including Xtra: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

ALSO:

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news