$6.2m in PGF funding sees rail line reopened to log trains

Saturday, 25 January 2020

The rail line has been closed since 2012 due to storm damage but will reopen on Sunday, Regional Economic Development Minister Shane Jones says. (file photo)

Log trains will soon be running along a once mothballed rail line between Wairoa and Napier thanks to $6.2 million in funding from the Provincial Growth Fund.

In an emailed statement, Regional Economic Development Minister Shane Jones said the Government investment had seen the line, which was closed in 2012 due to storm damage, reopened.

'With PGF support the rail line has been rebuilt and KiwiRail has established a road-rail log yard in Wairoa. On Sunday the first loaded log train will leave Wairoa for the Port of Napier,' Jones' statement said.

The trains will begin running from Wairoa on Saturdays and Sundays, carrying 1400 tonnes of logs each weekend, with more train services expected as harvests increase.

Using log trains will mean 5000 fewer truck journeys between Wairoa and Napier a year, as a start, Jones says. (file photo)

* New daily rail service for logs to Port Taranaki

KiwiRail chief operating officer Todd Moyle says with the industry expecting continued growth there is plenty of room for the log train service to grow. (file photo)

* KiwiRail celebrates re-opening of Napier to Wairoa line**

'That means 5000 fewer truck journeys between Wairoa and Napier a year, as a start.'

'If we are to avoid more logging trucks on the region's roads, keep congestion under control and lower our transport emissions, rail is a necessity,' Jones said.

In a emailed statement, KiwiRail chief operating officer Todd Moyle said each train could take up to 50 long distance truck hauls off the road between Napier and Wairoa, with 66 per cent fewer emissions per tonne of freight carried by rail compared to trucks.

Napier Port's general manager commercial David Kriel says he is looking forward to seeing the first train pull in to Napier Port.

Export log volumes in the Hawke's Bay region are predicted to reach 3.3 million tonnes per annum in the next few years and remain at high levels until the mid-2030s. The harvest growth around Wairoa is part of that picture.

Moyle said with the industry expecting continued growth there was plenty of room for the service to grow.

'Growing this business will assist local businesses to harvest and transport large volumes of logs, help bring profitability to KiwiRail, benefit the East Cape region with less congestion and road wear and tear, and bring added benefits from lower emissions.'

Moyle warned that with the track back in use people travelling in the area would need to take special care around level crossings.

KiwiRail has employed two additional train staff and three track staff to support the new log trains and maintain the line. KiwiRail expects to employ more people as services increase. Local companies were used to develop the Wairoa log yard, which will be run by ISO Ltd.

'We welcome the involvement of ISO Ltd at Wairoa as the log marshaller for KiwiRail. That allows logs to be scaled for export off port and that improves efficiency for delivery onto port,' Moyle said.

Napier Port's general manager commercial David Kriel said he was looking forward to seeing the first train pull in to Napier Port.

'KiwiRail has put in a lot of work behind the scenes to get the line running commercially, and it's fantastic to see that work coming to fruition.'

Forest Management (NZ) Joint chief executive Steve Bell said using rail would build resilience into its operation.

'It gives us more options, and that is vital as the harvest increases and more logs are harvested.

'Using the hub at Wairoa means we can turn our trucks round in less than half the time, and that means we can shift more logs quickly and efficiently.'

Jones said having options for transporting logs to port ensured a strong supply chain and gave confidence to the forestry industry.

'New Zealand is an export-led economy so the ability to get our goods to port efficiently and safely is crucial.

'That's why the Coalition Government is focused on an inter-modal approach to transport that makes the best use of trucks and trains.

'It's also why we have invested $40 million through the Provincial Growth Fund in a regional road-rail hub near Palmerston North.'