Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Auckland rail deal clinched

24 December 2001 Media Statement

Auckland rail deal clinched


The Crown and Tranz Rail have completed the Crown’s purchase of the Auckland rail corridor.

The announcement today by Finance Minister Michael Cullen, Transport Minister Mark Gosche and Tranz Rail Managing Director Michael Beard confirms the details agreed in the exchange of letters between the parties in September.

“The Government entered the negotiations with clear objectives and we have achieved them. Auckland can plan its future transport needs and the part rail will play with certainty,” the Ministers said.

“Auckland now has the corridors it requires for a rapid transit system while freight services to Northland are preserved and we are satisfied a fair and equitable price has been negotiated.”

The first $75 million of the $81 million would be paid immediately. The balance would be paid on satisfactory conclusion of negotiations over train control and track maintenance and other interim services, all of which Tranz Rail would provide for the next five years.

Tranz Rail would continue to run passenger services under the existing contract until at least June 2003.

Detailed negotiations on these on-going operations are expected to be finalised in the first quarter of next year.

“We are pleased to finalise this sale that gives the Auckland Regional Council responsibility for Auckland passenger rail, while preserving Tranz Rail’s rights to the freight business,” said Mr Beard.

“Completing the bulk of this transaction is another step in our strategy to exit non-core services and concentrate on our freight business.

“In the past week or so we have finalised outsourcing of our Infrastructure and Locomotives Services operations, completed the transaction for the sale of Tranz Scenic and now we have largely completed the Auckland rail corridor business.

Once the details of this are concluded, we will move into progressing the sale of the Wellington Tranz Metro operation.”

Mr Beard confirmed proceeds from the sale of the rail corridor would be used to retire Tranz Rail bank debt.

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Ruataniwha: DOC, Hawke's Bay Council Developer Take Supreme Court Appeal

The Department of Conservation and Hawke's Bay Regional Investment Company (HBRIC) are appealing to the Supreme Court over a conservation land swap which the Court of Appeal halted. More>>

ALSO:

With NZ's Marama Davidson: Women’s Flotilla Leaves Sicily – Heading For Gaza

Women representing 13 countries spanning five continents began their journey yesterday on Zaytouna-Oliva to the shores of Gaza, which has been under blockade since 2007. On board are a Nobel Peace Laureate, three parliamentarians, a decorated US diplomat, journalists, an Olympic athlete, and a physician. A list of the women with their background can be found here. More>>

Gordon Campbell: On The Key Style Of Crisis Management

At Monday’s post Cabinet press conference Key was in his finest wide- eyed “Problem? What problem?” mode. No, there wasn’t really a problem that top MPI officials had been at odds with each other over the meaning of the fisheries policy and how that policy should be pursued... More>>

ALSO:

Mt Roskill: Greens Will Not Stand In Likely Post-Goff By-Election

“The Green Party’s priority is changing the Government in 2017, and as part of that we’ve decided that we won’t stand a candidate in the probable Mt Roskill by-election... This decision shows the Memorandum of Understanding between Labour and the Green Party is working." More>>

ALSO:

Wellington: Predator Free Capital Plan

Wellington City Council (WCC), the Greater Wellington Regional Council (GWRC) and NEXT Foundation, today announced a joint collaboration to make Wellington the first Predator Free capital city in the world. More>>

ALSO:

Gordon Campbell: On Judith Collins’ Efforts At Self Correction

Thousands of prisoners currently in prison may be entitled to an earlier release than expected – and compensation – because Corrections has incorrectly calculated their term of imprisonment. Unless of course, the government buries its mistakes by changing the law and retro-actively getting itself off the hook… More>>

ALSO:

More Justice & Corrections

Sector Opposes Bill: Local Government Bill Timeframe Extended

The Minister of Local Government Peseta Sam Lotu-Iiga has asked the Select Committee to extend the report back date for the Local Government Act 2002 Amendment Bill (No 2). More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news