5 April 2001
Auckland City Council is supporting in principle the Government’s offer to take over negotiations with Tranz Rail
Limited aimed at securing regional control of Auckland rail corridors.
A special meeting of the Council today also welcomed the Government paying the cost of the lease and its determination
to reduce the price of access to the region’s rail network down from $112 million.
Mayor Chris Fletcher said the Government’s move to take over the rail negotiations signalled its support for completing
a deal, at a more reasonable price, which would enable Auckland’s councils to start implementing a high quality public
transport network.
“The Government’s support will maintain the momentum for improved rail services in the Auckland region and allow the
councils to get on with planning the roll-out.
“We ask that they work to complete a deal by June, so that we are in a position to continue rail services when Tranz
Rail’s contract expires in 2003,” she said.
Auckland councils who are a party to the rail negotiations are being asked to agree to the Government’s offer by next
Tuesday (10 April).
Mrs Fletcher said the agreement of Auckland City Council in principle is subject to an outcome that allows the region to
deliver an effective rapid transit system.
Minister of Finance Dr Michael Cullen said in a letter tabled at today’s meeting that, like the Auckland councils, the
Government is critically interested in finding solutions to Auckland’s traffic congestion.
“Also, like Auckland Councils, the Government considers that improving rail passenger transport will be part of any
solution.”
Once the government had finalised negotiations with Tranz Rail Ltd, the rail corridors would be sub-leased to a Local
Authority Trading Enterprise being established by Auckland’s councils.
ENDS
For more information, please contact:
Chris Fletcher, Auckland City Mayor, tel: 025 276 0013.