The New Zealand Government has provided an investment of NZD13m ($8.5m) to state-owned rail operator KiwiRail to boost the rail connection between the West Coast and Christchurch.

This investment is provided from the tagged contingency set aside in Budget 2020 for infrastructure projects. It is a part of the NZD90m ($59m) assigned to the West Coast.

The funding will be used for the geotechnical work that increases the reliability of the rail and road transport connecting Greymouth.

Last October, a 100m slip at Omoto shut down the rail line and State Highway 7 between Greymouth and Christchurch for over a month.

The work will be carried out by KiwiRail, along with local contractors and suppliers. This is expected to boost the jobs, income and investment amid the difficult economic period due to the Covid-19 pandemic.

The workers will install horizontal drains between internal layers of the hillside that will remove water.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The work also includes the installation of in-ground piles/retaining structures to connect the top sliding layer and the bottom layer.

The work is slated to complete next year.

KiwiRail Group CEO Greg Miller said: “A long-term, comprehensive solution is required for this slope and we’re delighted that we now have the funding to achieve that.

“Every tonne of heavy freight delivered by rail results in 66% fewer emissions than the equivalent freight being carried by road, so KiwiRail is working hard to encourage companies to make that shift.

“Everything we can do to make rail freight more reliable helps New Zealand lower its emissions, helps make KiwiRail more sustainable, and reduces truck numbers on the country’s roads.”

Last month, KiwiRail resumed operations of the TranzAlpine train service.

In May, the New Zealand Government allocated NZD1.2bn ($717m) in its Budget 2020, which will be available to KiwiRail.