web analytics

Kiwirail disgrace

Written By: - Date published: 8:17 am, August 9th, 2012 - 36 comments
Categories: jobs, transport - Tags:

Buying back Kiwirail was a chance for building a cost-, oil-, and carbon-efficient transport network. Instead, its been a tale of false economies: cheap trains from China, cheap sleepers from Peru, cheap labour from contracting out. In the end, it all costs more for worse results.

Smart transport policy, smart procurement policy, smart labour policy – that’s what we need from Labour-Greens in 2014 to make Literal what it can be.

36 comments on “Kiwirail disgrace”

  1. peter 1

    They were not “cheap” sleepers from Peru, the supplier has acted fraudulently by suppplying a lower grade product than specified. And it took some time before his fraud became apparent, as the sleepers are rotting from the inside out !

  2. Tracey 2

    The new definition of capitalism is

    “to move from country to country chasing lower labour rates” –

    • bbfloyd 2.1

      it used to be “to move from country to country chasing cheap raw materials, and slaves”, so I suppose capitalism has at least changed it’s stated goals…..

      Same animal, new hairstyle….

  3. Busman 3

    U are joking ??? right ?? and who ordered the trains ??? and who paid over a billion dollars for it and allowed toll to keep the profitable part of the business ??
    Tui advert eh ?? u are not serious

    • Draco T Bastard 3.1

      So you’d be one of the ones that say the government should have paid book value, right? Would you also say that the power companies should be sold at book value?

    • marsman 3.2

      One train carries as much as 100 trucks. Fewer trucks on roads equals less damage to roads and fewer holdups of car traffic and fewer accidents.

      • Rob 3.2.1

        I am unsure as to why these things you state are variable under different owenrship structures.. Your ratio’s of truck freight to road freight are constant – independent of who owns it.

        • Draco T Bastard 3.2.1.1

          Well:
          1.) The private sector run down the infrastructure so that trains couldn’t actually be used in many places (it’s a natural monopoly after all and thus engenders rentier behaviour)
          2.) Trucks are massively subsidised by cars resulting in them being used when they shouldn’t

          This requires a few fixes:
          1.) Government ownership and reinvestment in rail
          2.) Getting rid of the subsidy that trucks enjoy

          This would result in trains becoming the preferred choice for transporting long distances while keeping prices down and the infrastructure in good condition.

          • ghostwhowalksnz 3.2.1.1.1

            The Chairman of Toyota NZ is on the Board of Kiwirail.

            Coincidence ? You would think Air NZ or maybe a power company but oh no its something he knows nothing about but the competion to rail transport has quite a bit of involvement.

          • Kiwiiano 3.2.1.1.2

            Why not split the transport taxes raised by petrol & general taxes and road user charges between roads, rail and coastal shipping to find the best performing infrastructure?

            • Draco T Bastard 3.2.1.1.2.1

              Why complicate the matter? Just need to have each paying their true costs.

    • TimD 3.3

      <700million, IIRC, was paid for KiwiRail. It was a high price, but the fact that it don't gush money is probably the thing that will save it from being re-sold.
      If you look at it Cullen as as tight as a fishes ass, but still saw KiwiRail as something good to buy (or maybe lumping the Nats with another monkey on their back), so there must be something worthwhile in buying it back.

  4. marsman 4

    Kiwirail is being sabotaged on NActs behalf by the dickhead who runs it. Auckland to Wellington passenger service is now faster but stops have been cut and they have trebled the cheapest fares and doubled the others. Way to attract passengers, but of course they want to be able to say ‘look it’s failed no-one is using the service’. Back to travelling on overcrowded buses stopping at crummy tea-rooms with one blocked toilet. Great for tourism too.

    • tc 4.1

      Ah yes Jim Quinn, dickhead is generous and misguided. A patsy appointment who does as told, after years at NZPost he’s a good boy who follows orders from the hollowmen for the much bigger bucks than he got for pretending to operate courier post which is a business than runs itself.

      See the trick is having these good old boys who do as instructed, the NACT is bulging with them whereas Labour just doesn’t have the connections so SOE’s like TVNZ got away with a lot of shite under Clark as they just couldn’t find the equivalent Quinns to look after the shop.

  5. Julian 5

    The masses in our beautiful 100% pure country do not want or even entertain the idea of economic environmentally sound public transport. We are lazy and love our cars too much. It is not until a kiwi travels over seas and sees for them selves what an amazing difference an effective public transportation by rail makes to the commuters life coming from the suburbs and rural communities as opposed to the mind bending, crawling, angry traffic on motorways of big cities.

    If we did want it as a country we would demand it. No one gives a shit outside their four car doors.
    I’m sure their are a minority of environmentally sound members of the public who would love it but the masses don’t, they want roads not rail. That is what we as a country voted for with King Key.

    • Draco T Bastard 5.1

      Wrong:

      People using public transport in Auckland continues to take giant leaps – a 9.1% increase in the last 12 months.

      Auckland public transport patronage totalled 69,032,572 passengers for the 12-months to Nov 2011 an increase of 5,738,734 boardings or +9.1%.

      People are more than happy to use PT but the government (both local and central) has been building only for cars and trucks since the 1950s. It’s going to take awhile to correct that misallocation. Especially when this government is increasing that misallocation.

      • mike e 5.1.1

        Funny that the Tories in the UK have figured out PT but the butt holes we have for Tories in this country are only interested in those who pay the biggest donations ie oil co’s and road transport lobbies.
        Corrupt crapitalists.

  6. Cnut 6

    “Smart transport policy, smart procurement policy, smart labour policy – that’s what we need from Labour-Greens in 2014 to make Literal what it can be.”

    Indeed. Let’s pray Labour will stop shooting itself in the foot and stabbing itself in the back for long enough to garner at least a few MPs to make a Greens-with-Labour-support Government a possibility.

  7. BernyD 7

    And trains can be run on electricity, something to consider in the mix.

  8. captain hook 8

    i wuz born in a boomers shack
    bout that far from the railroad track
    choo choo rattled my window pane
    sheet iron on the roof tell me eva time it rained.

  9. tracey 9

    A person earning a living as the head of a car selling company advises kiwirail?!

  10. burt 10

    Yeah, we could have borrowed billions more to spend on kiwirail…. doooh. Damn shame we paid way to much to buy it back just in time for a hard to win election…. if we had paid the book price for it then we might have more to spend on maintenance – such is the price of trying to be popular using other peoples money.

  11. Lloyd 11

    Just remember that Japan and Taiwan run tilting trains carrying passengers on the New Zealand gauge over similar country to New Zealand at scheduled speeds of 140 km per hour. This means that the trains can be faster than a car, and you can go to the bar during the trip.

    The reason New Zealanders prefer the car is that the car generally is faster. the reason it is faster is that New Zealand hasn’t invested in the railway network…….

    • OneTrack 11.1

      The other, albeit minor, problem is that the trains don’t go where you want to go and don’t go when you want them to go. Not everybody lives in upper Hutt and works in a ministry job in the city.

      • Colonial Viper 11.1.1

        :roll: That’s what your legs are for, dumbass.

        And instead of addressing Lloyd’s excellent points, you attempted a derail with a snide remark about our faithful public servants :roll:

Recent Comments

Recent Posts

  • Lack of any real funding in predator free proposal
    Predator Free New Zealand is a laudable idea but the Government has not committed any real money into killing New Zealand’s pests, says Labour’s Conservation spokesperson Nanaia Mahuta.  “The $28 million earmarked for this project is just to set up ...
    7 hours ago
  • Andrew Little Speech to LGNZ Conference
    Thank you for having me here today. Local Government New Zealand’s work of advocating for New Zealand’s 78 local councils is critical as we upgrade New Zealand’s economy, and make sure it’s delivering for all our people. Whether in Auckland, ...
    7 hours ago
  • John Key must sack out-of-depth Trade Minister
    The Prime Minister must sack Todd McClay for failing to do his job as Trade Minister and be on top of a significant potential threat to some of our biggest exporters, Opposition Leader Andrew Little says. “Todd McClay is clearly ...
    8 hours ago
  • 45,000 Kiwis sent back to their GPs
    Last year nearly 45,000 Kiwis were sent back to their GPs without getting to see specialists they were referred to, says Labour’s Health spokesperson Annette King. “This is a shocking figure and underlines how far the cut of $1.7 billion ...
    12 hours ago
  • Half a million smells like pure cronyism
    The National/ACT Government’s decision to pump hundreds of thousands of taxpayer dollars into a new lobby group to advocate for charter schools shows just how much of a failure their ideological experiment has become, Labour’s Education spokesperson Chris Hipkins says. ...
    12 hours ago
  • Select committee changes Kermadec/Rangitāhua Ocean Sanctuary Bill
    Photo by Tom Hitchon Parliament’s Local Government and Environment Committee has made many changes to the Kermadec/Rangitāhua Ocean Sanctuary Bill in response to public submissions, particularly submissions from iwi authorities and Te Ohu Kaimoana.   Read the amended Bill and the ...
    GreensBy Eugenie Sage
    2 days ago
  • Housing map a hit as crisis spreads across NZ
    More than 55,000 New Zealanders have used Labour’s interactive housing map in its first week to see how the housing crisis is affecting their local community, Labour Housing spokesperson Phil Twyford says. “Our innovative map shows the housing crisis is ...
    4 days ago
  • Bridges must come clean about fraud within transport
    Hundreds of thousands of dollars of public money have gone missing and  the Minister of Transport, Simon Bridges must come clean after the Labour party revealed that a senior manager is being investigated for serious fraud, says Labour’s Transport Spokesperson ...
    4 days ago
  • Labour supports Spencer victory
    Labour congratulates Margaret Spencer for her tireless efforts in challenging the Government over family carer rights, says Labour’s Deputy Leader Annette King. ...
    4 days ago
  • US Warship visit welcomed by Labour
    Labour sees the United States warship visit as a red letter day for New Zealand’s non-nuclear status, which is core to our identity and has defined us a nation for 30 years, says Labour’s Deputy Leader Annette King. ...
    4 days ago
  • Time for honest dairy sector conversation
    ...
    4 days ago
  • What next? Dog kennels?
    Social Housing Minister Paula Bennett needs to explain why the Government thinks it is acceptable for it to refer families to live in garages and sheds, says Labour’s Housing spokesperson Phil Twyford. “This is a new low, just when you ...
    4 days ago
  • Banks bust a move, Government possum in the headlights
    Three of the big four banks have acted responsibly by bringing the shutters down on property speculators earlier than required by the Reserve Bank, says Labour’s housing spokesperson Phil Twyford. “It’s a shame the Government isn’t as motivated to act ...
    4 days ago
  • Latest OECD dairy forecast raises serious questions for economy
    The latest global dairy price forecast shows that New Zealand dairy farmers will not reach a break-even payout before 2019 at the earliest, and will not reach the dairy price factored into this year’s Budget until after 2025, Labour’s Finance spokesperson ...
    4 days ago
  • National’s reckless, out of touch approach to economy exposed
    Today’s economic assessment from the Reserve Bank highlights the danger to the New Zealand economy from a National government that is recklessly complacent in the face of a housing crisis and a struggling export sector, Labour’s Finance spokesperson Grant Robertson says. ...
    5 days ago
  • GP’s visits get more expensive
      Visiting the GP is set to become more expensive after the Government ignored warnings that people were not receiving access to affordable  healthcare, says Labour’s Health spokesperson Annette King.  “Over 400,000 New Zealanders who should be able to access ...
    6 days ago
  • Farm prices bear brunt of dairy downturn
    The slump in dairy prices that has seen farm prices drop to their lowest level since 2012 and down a third from their peak in 2014 will be of concern to farmers, banks and our overall financial stability, Labour’s Finance ...
    6 days ago
  • Reserve Bank “gets on with it”, National carries on in denial
    The proposal by the Reserve Bank to tighten loan to value ratios for investors shows they are prepared to do their bit to crack down on speculators, while National is still stuck in denial mode, Labour’s Finance spokesperson Grant Robertson says. ...
    7 days ago
  • Housing crisis holds up interest rate cuts
    The housing crisis that National still wants to deny is stifling the New Zealand economy, says Labour’s Finance Spokesperson Grant Robertson. “The latest Consumers Price Index shows that all prices excluding housing and household utilities decreased 0.5 per cent – ...
    1 week ago
  • Housing crisis holds up interest rate cuts
    The housing crisis that National still wants to deny is stifling the New Zealand economy, says Labour’s Finance Spokesperson Grant Robertson. “The latest Consumers Price Index shows that all prices excluding housing and household utilities decreased 0.5 per cent – ...
    1 week ago
  • Govt’s state house sell-off ramping up
    Government plans to ramp up the state house sell-off by selling another 1000 houses in 2016/17 will mean more families in need missing out, says Leader of the Opposition Andrew Little. “New figures show the Government plans to sell 1000 ...
    1 week ago
  • Govt’s state house sell-off ramping up
    Government plans to ramp up the state house sell-off by selling another 1000 houses in 2016/17 will mean more families in need missing out, says Leader of the Opposition Andrew Little. “New figures show the Government plans to sell 1000 ...
    1 week ago
  • National must reassure exporters on dumping case
        The National Government needs to show our key exporters that they are in control of any anti-dumping case against China before it damages some of our most important industries, Labour’s Finance spokesperson Grant Robertson says.     ...
    1 week ago
  • National must reassure exporters on dumping case
        The National Government needs to show our key exporters that they are in control of any anti-dumping case against China before it damages some of our most important industries, Labour’s Finance spokesperson Grant Robertson says.     ...
    1 week ago
  • Papers describe litany of incredulity
    Treasury documents which slate the Government’s plans for a national bowel screening programme confirm the proposal was nothing more than a political stunt to cover up underfunding of the health sector, Labour’s Health spokesperson Annette Kings says.  The papers were ...
    1 week ago
  • Effect of rampant house prices widens
    The latest house price figures from REINZ show the housing crisis expanding throughout the country, says Labour’s Housing spokesperson Phil Twyford. “We are seeing steep increases in median house prices in Central Otago Lakes – up 42.4% in the last ...
    1 week ago
  • Public invited to have say on homelessness
    People who are homeless, those who were once homeless, those working with the homeless and concerned New Zealanders are being asked to share their experiences and solutions to this growing issue with the Cross-Party Homelessness Inquiry. This inquiry was launched ...
    2 weeks ago
  • Sorry seems to be the hardest word
    An apology from Hekia Parata to the people of Christchurch is long overdue, Labour's Education spokesperson Chris Hipkins says. "As if the earthquakes weren't traumatic enough, Hekia Parata and the Ministry of Education then attacked the one thing that had ...
    2 weeks ago
  • Housing crisis affecting more than 98 per cent of NZ
    Labour’s new housing map shows the housing crisis is now affecting more than 98 per cent of New Zealand, Leader of the Opposition Andrew Little says. “Housing pressures have seen house prices rise faster than wages in all but four ...
    2 weeks ago
  • Uber might not be a taxi firm but it must pay tax
    Uber needs to explain how it paid only $9000 in tax when it earned $1m in revenue and is one of the fastest growing companies in the country, says Labour’s Finance spokesperson Grant Robertson. “Uber New Zealand appears to be ...
    2 weeks ago
  • Tax changes should have been made 3 years ago
    National could have avoided the international stain on our reputation from the Panama Papers if it had let IRD’s planned review of foreign trusts go ahead three years ago, instead of now belatedly acting because of the Shewan recommendations, says ...
    2 weeks ago
  • Government must stop state house sell-off
    The Government must immediately pull the plug on its planned sell-off of state houses in order to stop the housing crisis getting any worse, Labour’s Housing spokesperson Phil Twyford says. “While Paula Bennett is putting people into transit camps in ...
    2 weeks ago
  • Thoughts on Labour’s new housing policies
    The Labour Party launched its package of ideas to fix the housing crisis over the weekend. Their ideas match ours in many ways. This is good news, because it means that when we change the government we’ll be ready to ...
    GreensBy James Shaw
    2 weeks ago
  • Thoughts on Labour’s new housing policies
    The Labour Party launched its package of ideas to fix the housing crisis over the weekend. Their ideas match ours in many ways. This is good news, because it means that when we change the government we’ll be ready to ...
    GreensBy James Shaw
    2 weeks ago
  • Thoughts on Labour’s new housing policies
    The Labour Party launched its package of ideas to fix the housing crisis over the weekend. Their ideas match ours in many ways. This is good news, because it means that when we change the government we’ll be ready to ...
    GreensBy James Shaw
    2 weeks ago
  • Housing crisis drives household debt to record levels
    The Finance Minister must be woken from his slumber by Westpac’s report today that says house prices have largely driven household debt to record levels and are rising at a pace faster than other developed economies, says Labour’s Finance spokesperson ...
    2 weeks ago
  • English denies dividend decision made – Joyce should delete his account
    National must explain who is right in the Housing NZ dividend debacle, after Bill English said no decision had been made on a payment for the next two years, in direct contrast to Steven Joyce, says Labour’s Finance spokesperson Grant ...
    2 weeks ago
  • Pressure forces Govt to make policy on the hoof
    Steven Joyce’s surprise announcement that Housing NZ will no longer be used as a cash cow has forced the Finance Minister to make one of National’s biggest ever U-turns, Labour’s Finance spokesperson Grant Robertson says. “After years of insisting the ...
    2 weeks ago
  • 10-fold more affordable houses under Labour
    New data showing homeownership rates continue to fall and more Kiwis than ever rent, highlights why Labour’s plan to build 10 times more affordable housing in Auckland is so desperately needed, Labour’s Housing spokesperson Phil Twyford says. “Labour’s Affordable Housing ...
    2 weeks ago
  • Out of excuses, Brownlee resorts to scare tactics
    Gerry Brownlee’s ridiculous suggestion that Labour would nationalise Christchurch’s east frame shows National has resorted to scare tactics to hide its failure to build desperately needed affordable houses in our city, Labour's Canterbury spokesperson Megan Woods says. “Plans put in ...
    2 weeks ago
  • National all at sea in face of Labour’s housing plan
    Labour’s comprehensive plan to fix the housing crisis has left National Ministers flailing about, contradicting themselves and simply making things up, Labour’s Finance spokesperson Grant Robertson says. “Steven Joyce has said in one breath that Labour’s plan represents a minor tweak ...
    2 weeks ago
  • Labour’s comprehensive plan to tackle housing crisis
    The next Labour Government has a comprehensive plan to tackle the housing crisis by building affordable houses and cracking down on speculators, says Leader of the Opposition Andrew Little. “The housing crisis is out of control and National has proven ...
    2 weeks ago
  • Housing NZ to look after people, not profits
    Labour will change Housing NZ from a corporation to a public service and use the dividends it formerly paid into the Crown coffers to maintain and build more state houses, Leader of the Opposition Andrew Little says. “Housing NZ should ...
    2 weeks ago
  • Government breaks rent subsidies promise
    National has broken a promise to subsidise the rent of 3000 low-income New Zealanders to make up for its state house sell-off, Labour’s Housing spokesperson Phil Twyford says. “When John Key announced last year the Government would sell-off 8000 state ...
    2 weeks ago
  • Banks the latest to voice concerns over housing
    The Reserve Bank has revealed banks are becoming “more and more concerned” about the effects of the housing crisis, adding yet another weighty voice to the calls for action from the Government, says Labour’s Finance spokesperson Grant Robertson. “The Reserve ...
    3 weeks ago
  • New official figures show DHB’s financial strife
    New figures from the Ministry of Health show 12 out of 20 district health boards have not been fully funded this year to cope with the aging population, says Labour’s Health spokesperson Annette King.“The Ministry’s own figures to the Health ...
    3 weeks ago
  • Reserve Bank pleas for action from Government
    The Reserve Bank has stopped asking and is now pleading with the Government to take urgent action on the housing crisis, says Labour’s Finance spokesperson Grant Robertson. “Deputy Governor Grant Spencer is clearly deeply concerned about the housing crisis. The ...
    3 weeks ago
  • Labour to house 5100 more homeless a year
    There would be 1400 new emergency accommodation places – enough to put a roof over the heads of 5100 homeless people a year – under Labour’s emergency housing policy announced today, Opposition Leader Andrew Little says. “Too many of our ...
    3 weeks ago
  • Chilcot Report shows Labour was right on Iraq
    The Chilcot Report released today shows John Key was wrong to call New Zealand “MIA” over the 2003 war in Iraq and Labour made the right decision not to send troops, Leader of the Opposition Andrew Little says. “At the ...
    3 weeks ago
  • Bigger class sizes on the way under National
    Hekia Parata’s refusal to rule out bigger class sizes as a result of her new bulk funding regime speaks volumes about the real agenda behind her proposed changes, Labour’s Education spokesperson Chris Hipkins says. “Hekia Parata has proposed that schools ...
    3 weeks ago

Public service advertisements by The Standard

Current CO2 level in the atmosphere