Electrification of railway to go ahead

Press, 17 December 1983, Page 1

Electrification of railway to go ahead

PA Wellington The Railways Corporation intends pressing ahead with the electrification of the main trunk railway line after a re-evaluation of the project. The corporation’s chairman, Mr Lyn Papps, said yesterday that the re-evalu-ation came after detailed studies of the corporation by the American consultancy firm, Booz-Allen and Hamilton. The $l9O million project to electrify the railway between Palmerston North and Hamilton was' given the go-ahead by the Government two years ago and the work is expected to be completed by May, 1988. The main contracts for the big project are about to be awarded after the study of more than 50 international tenders for the supply of locomotives, power supply, signalling, communication, and traction overheads. Mr Papps said that the American consultants had recommended the electrifi-

cation project be reevaluated in the light of changing circumstances. A major factor in the consultancy firm’s suggested re-evaluation was believed to be the impact on rail freight levels of the recent deregulation of land transport. This involved the abolition of the 150 km road-rail competition limit by way of a distance fee permit system and will also involve a relaxation of road transport licensing laws in June, 1984. Mr Papps said that since receiving the consultants’ report, the corporation’s board had re-evaluated the electrification project, and decided to proceed as planned. The board had conveyed that decision to the Government, along with its recommendations regarding the tenders. It was expected that an announcement of the successful tenders would be made before Christmas, Mr Papps said.