Asbestos find another in the catalogue of KiwiRail problems

The pressure on KiwiRail to meet the Government’s profit-focussed policies on its freight business as well as reduce overall costs is showing with the grounding of all 40 of its Chinese-made locomotives after asbestos was found yesterday, says Darien Fenton, Labour’s Transport spokesperson.

“KiwiRail had no choice but to take these Locos out of service to protect the safety of its workforce, but it’s just the latest in a long line of failures in the overseas procurement of locomotives and wagons.

“Lowest cost tendering, cuts to rail maintenance and contracting-out have led to a catalogue of problems, from rotting Peruvian sleepers to issues with Chinese-made rail wagons. This is taking a toll on our Kiwi-owned rail company.

“This latest problem will have a further impact on the company’s bottom line. KiwiRail already had to go cap in hand to the Government for more funds after the Aratere debacle.

“Kiwis, who value their rail network, have a right to know whether the Government is prepared to revisit its turnaround plan and help make KiwiRail the successful rail company New Zealand needs.

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