Completion of Port Otago’s container terminal rail siding marked an important milestone for the Southern Link Logistics Park partnership.
The NZD 13.5 million siding at Port Chalmers in Dunedin is crucial to the development of the broader Southern Link Logistics Park inland port, located near Mosgiel. The rail siding, funded entirely by Port Otago, will enable more efficient freight movement between the two sites.
“The Port Otago rail siding already supports 60 percent of all containers transported through the terminal, taking 43,000 truck trips off Dunedin’s roads last year with a further 19,000 to come when the inland port is in operation,” said Rail Minister Winston Peters.
“Inland freight hubs provide vital additional space away from busy coastal ports. They can be seen in every major city in New Zealand, but until now, Dunedin was the exception. That is finally changing."
Peters added that it was gratifying to see more companies, such as Fonterra, Coca-Cola, Synlait, and now Port Otago, backing investment in rail infrastructure, as it has now been given the same status and reliable funding track as roading infrastructure.
“The benefits of higher rail use flow to ratepayers and taxpayers through fewer trucks ripping up their roads, while rail assets built over generations get used and not left to fall into disrepair,” he said.
Regional Development Minister Shane Jones added that the ability of producers and manufacturers to get their goods to port more quickly and efficiently means savings, higher productivity, and export earnings. This is excellent news for the regions, their workers and the local economies. The country does well when its regions prosper.
In May, Jones announced a loan of up to NZD 8.2m from the Regional Infrastructure Fund for the development of a three-track rail siding at the Southern Link Logistics Hub development near Mosgiel.
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