Scoop has an Ethical Paywall
HB council could lease Napier-Gisborne line from KiwiRail
KiwiRail would allow Hawke's Bay council to lease Napier-Gisbourne line
By Jonathan Underhill
Nov. 24 (BusinessDesk) - Kiwirail, the state-owned railroad, has conditionally agreed to lease the mothballed Napier-to-Gisborne line to Hawke’s Bay Regional Council, effectively giving the local authority an option to resurrect the unprofitable route.
KiwiRail mothballed the line in December 2012 after storm damage it estimated would have cost $4 million to repair. At the time it said ongoing maintenance costs would have mounted up to a further $6 million a year.
By mothballing the the 212 kilometre Gisborne-to-Napier line, KiwiRail left open the possibility it could re-open in future if it became more economic. The railroad spent up to $4 million to make the line safe while closed, with annual maintenance costs of up to $800,000.
HBRC said it has until March 1, 2015, to respond to KiwiRail's offer and before then it will assess whether the line would make sense as an investment.
Some local businesses have been campaigning to get rail services re-instated.
(BusinessDesk)
Business Canterbury: Urges Council To Cut Costs, Not Ambition For City
Wellington Airport: On Track For Net Zero Emissions By 2028
Landcare Research: ANZAC Gall Fly Release Promises Natural Solution To Weed Threat
NZ Anti-Vivisection Society: Auckland Rat Lovers Unite!
University of Canterbury: $1.35 Million Grant To Study Lion-like Jumping Spiders
Federated Farmers: Government Ends War On Farming
