The Government of Western Australia will commence negotiations to secure the control of the state’s rail freight network, after 25 years under private control.
The State Government has written to the current rail operator Arc Infrastructure to advise of the intention to enter negotiations to return the rail freight network back to public control. The Government will progress negotiations with the rail infrastructure manager and will make a final decision if it is economically and financially responsible to do so.
The Director General of Transport will establish a team to commence negotiations, with the State Government open to all options, including a staged return to public ownership.
“This is all about supporting our plans to diversify our economy, unlock future local jobs and retain WA’s economy as the strongest for future generations. Supporting the growth of our critical industries is a key priority for our Government and bringing rail freight network back into public hands is a key way we can do that,” the Premier Roger Cook said.
According to its comments, the demands for the this network have grown significantly and “we want to make sure we’re moving as much by rail to and from our ports as possible.”
“Some of the State’s biggest industries are seeking to increase their usage of rail freight to move goods, and the State Government want to support that. Rail is critical to a more efficient freight network, and it also means less trucks on roads, which is something local communities are always calling for. This is not an easy process, but necessary to support future job creation and the ongoing prosperity of our State,” the Transport Minister Rita Saffioti said.
Western Australia’s rail freight network was privatised by the Government in 2000 and Arc Infrastructure invested AUD 2 billion (USD 1.27 billion) since. According to the infrastructure manager, in the last 25 years, the freight transport increased by 126%. Arc Infrastructure manages and operates 5,500 km of rail network across the South West of Western Australia. And it is the only rail freight network in the southern half of Western Australia, providing access to the eastern states of Australia and overseas markets through the region’s six government-owned ports.
Share on:
