By 2020, the Government wants to cut the cost of delivering freight on freight railways by 20 per cent, or more, by 2020-21.
That’s because of an $80 billion investment in the rail and ferry industries, which are already seeing growth as the Government’s rail and rail upgrade plan comes into force in 2018.
The Government is also investing in the inland freight sector to cut costs.
This includes the establishment of a new regional freight centre in Western Australia and the expansion of the Perth-based Regional Transport Authority, which is responsible for building regional trains and ferries and operates ferry terminals.
The WA Government is seeking to reduce the cost by 20 to 30 per cent of what it is currently spending, with the aim of achieving $50 billion savings over the next five years.
The WA Government said in the budget that its investment in rail and ferried freight would result in a savings of $300 million a year.
In the Budget, WA Premier Colin Barnett said that WA’s freight rail project would “add a level of certainty to our freight transport infrastructure” by reducing the need for drivers to change train routes and making freight more accessible to those on short trips.
“It’s the right thing to do, and will also reduce congestion, particularly during peak periods when many people are travelling in heavy traffic,” Mr Barnett said.
The Federal Government is funding $6.2 billion for the project, and it has also committed to reducing the number of trains and ferry terminals it operates in the state.
The rail and boat upgrade project is one of three key projects the Government is planning to build in the Western Australian region.
The other two are to build a regional rail and road hub in the Pilbara and a new ferry terminal in the Northern Territory.
The Federal Government also plans to build the WA Freight Corridor Link, which will connect the Port of Fremantle to the Gold Coast.
Topics:government-and-politics,business-economics-and,business,transport,government-orchestrations,governance,federal—state-issues,corporations,wa,waverley-6714,nsw,australiaFirst posted September 08, 2019 06:18:16Contact David McNeillMore stories from Western Australia