Labour in government will re-open the
Gisborne-Napier
rail line due to be
closed under National, the party’s Transport spokesperson
Phil Twyford says.
An independent report by economic consultants BERL casts doubt on the
analysis used by KiwiRail to justify the mothballing of the line.
"KiwiRail’s
business case for the closure is utterly inadequate and falls way
short of a comprehensive cost-benefit analysis, something a Labour government
would carry out and which I am confident would justify the line’s re-opening,"
Phil Twyford said.
"National doesn’t give a damn about the affected communities, and is content
to sit on its hands while Gisborne loses a vital economic lifeline.
"It is wasting billions of dollars on its ‘motorways of madness’ but cannot
find $4 million to fix slip damage to this rail line.
"Shutting the line is typical of the short-termism National demonstrated with
the closure and sale of the Hillside rail workshops. The BERL report shows that
National is blind to the wider economic costs and benefits, just as it was at
Hillside.
"The line should be reinstated now for $4 million. It will never be cheaper.
The longer you leave it, the more expensive it will be to re-open it.
"This whole issue demonstrates National’s
double standard when it comes to
road and rail: KiwiRail’s inadequate business case justifying the line closure
falls well short of the benefit cost analysis required of roading projects. On
the other hand, if the Government applied the same narrow
financial analysis to
half the country’s roads they would be mothballed too."
Mr Twyford said the BERL report noted annual freight volumes only needed to
reach 180-200,000 tonnes per year for the line to be profitable. Current volumes
of 44,000 tonnes showed that growth from local horticulture and forestry would
bring the target within reach and this would justify future re-opening.
The Christchurch - Dunedin rail link is another that should be given real consideratio too.