Celebrating 25 Years of Scoop
Special: Up To 25% Off Scoop Pro Learn More
Parliament

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

 

Government must keep rail rolling


Government must keep rail rolling

The precarious state of Tranz Rail reinforces the need for the Government to own the country's rail track as the company is no longer capable of guaranteeing rail and ferry services, Green Co-leader Jeanette Fitzsimons said today.

Tranz Rail's failure today to secure financial backing from Citibank comes on top of a reduced forecast, a plunging share price, a downgrade in its credit rating and the Halliburton KBR report that was highly critical of its safety record.

"The situation is such that Tranz Rail can no longer be entrusted with operation of the country's rail and ferry network," said Ms Fitzsimons. "To ensure continued service, the Government must own the rail tracks and lease services to those companies most capable of operating them.

"Rail is essential infrastructure in a world which must reduce greenhouse gasses and congestion on roads."

The Green Party policy on rail is to establish a new SOE to own the rail network, possibly as a joint venture between central and local government. The right to run trains would be the subject of access agreements.

"This was probably the most disastrous of all New Zealand privatisations," said Jeanette Fitzsimons. "Our vital rail network can still be saved - if we act now."

ENDS

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

© Scoop Media

Advertisement - scroll to continue reading
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 
 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels


 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.