Attn: Political and Transport reporters

Media Release: Rail and Maritime Transport Union

Monday May 3, 2010

New BERL report backs up case for locally built trains

A new report out today by economics consultancy BERL proves there is a strong economic case to build the trains needed for Auckland rail electrification here in New Zealand, and the union for rail workers is today launching a campaign to encourage government to make sure this happens.

KiwiRail has $500 million to purchase 38 three-car electric multiple units and 13 locomotives for the Auckland rail network. 

Economics consultancy BERL has estimated that building these trains in New Zealand would add between 770 to 1270 additional jobs, $232 to $250 million to GDP and an increase in crown revenue by a net $65 million to $70 million.

“The expertise and equipment needed to build these new trains exists in New Zealand rail workshops.  NZ rail workers are skilled, experienced, and want to do this work,” Rail and Maritime Transport Union (RMTU) General Secretary Wayne Butson said.

“Now we know the economic case backs us up.  From both a job creation point of view, and in wider benefits to the New Zealand economy, there is a strong case to build these trains at the Lower Hutt and Dunedin rail workshops.”

“Everyone’s agreed on the need to create and retain jobs for NZ workers.  Now here’s a very direct way we can.  Our campaign is calling on the government to back Kiwi workers, and make sure our trains are built at home,” Wayne Butson said.

A petition is being launched today at an event in Wellington and public meetings will be held in Lower Hutt and South Dunedin in coming weeks, Wayne Butson said.

Ends.

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