Government should follow rail industry blueprint to create Kiwi jobs

  |  Monday, May 3, 2010 - 01:00

The Government should take up the recommendations of a recent study to manufacture the rolling stock for Auckland's electric rail network here in New Zealand to create and keep jobs for Kiwi workers, Labour's Transport spokesperson Darren Hughes said today.
 
"The study commissioned by the Rail and Maritime Union and the Dunedin City Council shows there is a strong business and economic case for the rolling stock to be Kiwi made," Darren Hughes said.
 
"It shows it is possible, for the 38 multiple carriage units and 13 locomotives needed, to be built by New Zealand workers, to a standard and price, comparable to the highest international standards.
 
"It would also mean somewhere between 430 and 700 full time jobs over the duration of the building project.
 
"On that basis alone, the Government should seriously consider keeping the $370 million project here in New Zealand. The numbers stack up and Kiwi workers can be trusted to do a quality job."
 
Darren Hughes noted the longer term benefits also strengthen the case for the rail project to be fully Kiwi made.
 
"The costs of ongoing maintenance could be minimised with the workforce and skills being based in New Zealand, and it would also reduce the risk of costs spiralling out of control due to exchange rate volatility," Darren Hughes said.
 
"This is a report that Transport Minister Steven Joyce can not ignore. It sets out a clear business and economic case to create jobs for Kiwis and get the Auckland rail electrification project moving.
 
"A credible plan has been handed to the Government to create jobs for Kiwis. If the Government is serious about getting the economy and rail moving in New Zealand, it should take a good look at this report."