Hamilton To Auckland Rail: Council Stance, & The On-Going Costs

A business case that will be used to apply for central government funding for a start-up passenger rail service has received backing from Waikato regional councillors.

The Waikato district and Hamilton city councils will vote to endorse the business case, ahead of it going to the NZ Transport Agency Board on 14 December.

If Government funding through the NZ Transport Agency is successful, the first train would roll out of Hamilton in March 2020.

Councillor Hugh Vercoe and regional transport committee chair said, “This is the first stage of a long term vision.

“Some of the townships along the corridor between Hamilton and Auckland are about to get very populated, it needs managing in some way, and transport is a critical part of that.

“The start-up service will make the single biggest difference to this region over the next 30 years,” Cr Vercoe said.

Councillor Jane Hennebry (pictured) said there were too many risks and she was concerned about the affordability for ratepayers.

Concern also about whether the 75 per cent central government funding – if granted in December – would be continued by successive governments.

Total funding needed for the project is $76.27 million over the first six years, from 2019 to 2024. Local government will contribute $9.46m of that with the remaining $66.81 million coming from central government’s National Land Transport Fund.

Of this, $49.46 million will be used to upgrade the existing Huntly station and to construct the rail station at The Base, as well as to purchase and modify the rolling stock for this service and upgrade the maintenance facility at Te Rapa.

The operational cost of running the service is estimated to be $5.82 million per annum.

This will be funded through passenger fares, a NZ Transport Agency subsidy of no less than 75 per cent (if approved) and Waikato Regional Council rates.Funding for the service has been included in year 2 of the regional council’s 2018-2028 Long Term Plan following community consultation