Heavy trucks cost more than rail freight

17 August 2010

Heavy trucks cost more than rail freight

Minister of Transport Steven Joyce is pushing through ill-considered policies and projects that benefit the trucking industry at the expense of the economy and the safety of New Zealanders, said the Green Party today.

A report by transport economist John Bolland to the Ministry of Transport from April this year, released under the Official Information Act, demonstrates that rail has a large economic advantage over road for moving many types of freight, in addition to safety and environmental benefits.

“Juggernaut trucks have been rushed onto our roads with no regard to the high public cost, and this move will further thwart the development of our rail network for freight,” said Green Party Transport spokesperson Gareth Hughes.

“KiwiRail estimated they would lose 12 percent of their freight tonnes to juggernaut trucks. This means more truck-related road deaths and more road maintenance paid for by fuel taxes and ratepayers.”

It was reported this week that Auckland's Southern Motorway will require years of strengthening to make the collection of bridges and other structures "compliant" for the new heavy trucks, weighing up to 53 tonnes, and up to 22m long. The Auckland Harbour Bridge also has not been approved for the heavy trucks.

In another report obtained under the Official Information Act, Treasury had recommended not lifting the restriction of heavy vehicle limits “until a more detailed analysis has been undertaken which considers the broader costs and benefits”.

“Joyce claims that bigger trucks will increase productivity with no supporting evidence. He ignores the mounting economic analysis that supports greater investment in rail, which is obviously much more efficient and safe.

“Mr Joyce is willing to let the Northland rail line close, while deferring ‘Lifesaver’ upgrades to State Highway 1 that the Campaign for Better Transport has shown to be much more cost effective than the $2b Puhoi to Wellford holiday highway,” Mr Hughes said.

Freight volumes are forecast to grow by around 75 percent by 2030 and the Bolland report to the Ministry of Transport on the costs and benefits of rail freight identifies huge potential for economic gains if bulk commodities and containers are moved by rail rather than road.

“The report notes that the short run marginal costs of rail are half those of road. When you add in safety and fuel efficiency benefits, investing in rail freight is a no-brainer,” said Mr Hughes.

Trucks were responsible for over $400m in social costs of road crashes last year said Mr Hughes.

“When oil prices spike again, the New Zealand economy will be far more resilient if we have an up-to-scratch rail network already getting our exports to port.

“Joyce is making strategic freight transport decisions that defy all logic — unless you are a road freight operator.

“We need a Minister of Transport who makes decisions based on the evidence of economic and safety impacts to the whole country, not a Minister of Trucking,” said Mr Hughes.

Link to Campaign for Better Transport media release on Lifesaver alternative:
http://www.bettertransport.org.nz/2010/08/lifesaver-highway-proposed-for-puhoi-wellsford/

Link to article on heavy truck permits and required works on the Auckland Southern Motorway:
http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=10666342

ENDS