$466m Budget Investment Enhances Rail Reliability in New Zeeland, Says KiwiRail

The Government’s $466 million investment in Budget 2024 for rail infrastructure underscores a commitment to enhancing public transport in Auckland and Wellington while supporting national export growth, according to KiwiRail chief executive Peter Reidy. The budget allocates $159 million for the completion of Auckland’s Rail Network Rebuild and $107 million for essential track renewals in both Auckland and Wellington, along with financial assistance for council contributions.

Reidy emphasized that this investment will improve network conditions and bolster passenger and freight growth. He noted that extensive maintenance is needed annually on the Auckland and Wellington metro networks, which primarily serve commuter trains. These networks include complex track structures, overhead power, signals, and intricate telecommunications systems. Historically, metro maintenance has been underfunded, leading to a backlog of renewals and resulting in faults and issues that disrupt commuter services.

The Auckland Rail Network Rebuild addresses the highest priority issues, paving the way for more frequent train services across the city once the City Rail Link opens in 2026. The Budget 2024 funding will enable KiwiRail to complete essential tasks such as replacing aging track foundations and improving drainage on the outer metro network. Additionally, the Government has committed funds for other necessary historic track renewals in Auckland and Wellington and is supplementing Auckland Transport (AT) and Greater Wellington Regional Council’s (GWRC) annual maintenance contributions for the upcoming financial year (FY25).

Reidy also welcomed the additional funding for the national rail network through the next Rail Network Investment Programme (RNIP). Over the past three years, KiwiRail has focused on enhancing the national rail network, and the continued Government commitment in Budget 2024 will help maintain this progress. With rail carrying 25% of exports, upgrading rail lines is crucial for the Government’s goal of growing New Zealand’s export economy. The $200 million boost for the RNIP raises the committed funding for the national network over the next two years to approximately $900 million, ensuring ongoing investment. New locomotives and wagons are expected to arrive in the coming years to replace much of the aging fleet, reinforcing the network's reliability and supporting the growth of rail freight in New Zealand.