Province of New Brunswick makes move to preserve rail freight service... But what about passenger rail service?
February 3, 2014
In early 2011, concerns began being raised by residents in Atlantic Canada on rumours that Canadian National Railway Co. (CN) was contemplating abandoning their Newcastle subdivision in New Brunswick. The subdivision runs between Irvco at Belledune to Catamount, which is the interchange point of CN’s main line at Pacific Junction. This 139 miles of track runs through numerous communities, including Bathurst, Miramichi and Rogersville. Also, the Nepisiguit subdivision runs from off the Newcastle sub.
CN purchased this sub in November 2008 (which incidentally, they previously owned up until selling it in 1999) when they acquired the assets of the Quebec Railway Corporation and New Brunswick East Coast Railway. At the time, many wondered why CN would be interested in a line that did not appear to have any growth potential, so it was no surprise to the rumours that CN was considering abandoning it.
CN purchased this sub in November 2008 (which incidentally, they previously owned up until selling it in 1999) when they acquired the assets of the Quebec Railway Corporation and New Brunswick East Coast Railway. At the time, many wondered why CN would be interested in a line that did not appear to have any growth potential, so it was no surprise to the rumours that CN was considering abandoning it.
In 2013, it was reported that CN was looking for $50 million from the Province of New Brunswick to maintain service by keeping the track operating. But the province had no interest in such a significant investment nor interest in being the sole stakeholder dealing with the Newcastle line.
The closure would affect various shippers along the line. The Brunswick Mines was previously serviced from off the Nepisiguit sub, but sadly it was shut down on April 30, 2013. The Brunswick Mines was the largest private sector employer in northern New Brunswick.
The impact on Passenger Rail Service in Atlantic Canada if the Newcastle Sub was abandoned
But equally importantly in the eyes of many residents was the fact closing this rail line would negatively affect the transportation of people, as VIA Rail Canada runs passenger rail trains over this track as part of their Atlantic Canada network - the Montreal-Halifax train, the Ocean. If the CN Newcastle sub was shut down, VIA too would be negatively impacted.
Based on the continued cuts to VIA Rail’s operating budget by the Harper Conservatives, it is highly unlikely that VIA would have a dime to spare to put into maintaining this subdivision. VIA spoke of possibly running over the Edmundston-Moncton CN line as an alternative, but that would leave thousands of more New Brunswick residents without passenger rail service than what would be inherited by VIA running on the Edmundston to Moncton line.
The long stretch of track between Moncton and Edmundston would serve very few people as there is a more sparse population along that line in comparison the existing route that runs through numerous communities, including the larger centres of Rivière-du-Loup and Rimouski QC, Campbellton, Bathurst, and Miramichi NB.
What would such a route change do to VIA’s bottom line? Could it threaten the future of the Ocean?
Deal Reached to Preserve Rail Freight Service in Northern New Brunswick
On January 24, 2014, the Province of New Brunswick and CN announced jointly in Miramichi, New Brunswick that they reached an agreement to preserve rail freight service on this line in northern New Brunswick.
New Brunswick Premier David Alward said; “Freight rail is a critical mode of transportation for industries in northern New Brunswick, and it is a vital lifeline for the jobs and communities that rely on these industries. Our investment in the rehabilitation of two sections of railway line ensures companies in northern New Brunswick can continue to ship their goods to market efficiently and explore new opportunities for growth.”
Under the agreement, the Province of New Brunswick will invest up to $25 million in rail infrastructure improvements to the Newcastle sub. CN will in turn spend a comparable amount to maintain and operate the line, ensuring continued rail freight service for a 15-year period on the northern and southern sections of the rail line: between Irvco and Nepisquit Junction in the north and between Catamount and Nelson Junction in the south, where there are active rail freight customers.
The province’s investment will be used to rehabilitate and upgrade the rail line to the operating standards required to efficiently and cost-effectively handle current and projected traffic. The work will commence in the spring of 2014. CN, the province and local businesses will continue to work together to increase freight traffic in future years, with benefits to be shared between the two partners.
New Agreement still leaves VIA Rail in the Lurch
The closure would affect various shippers along the line. The Brunswick Mines was previously serviced from off the Nepisiguit sub, but sadly it was shut down on April 30, 2013. The Brunswick Mines was the largest private sector employer in northern New Brunswick.
The impact on Passenger Rail Service in Atlantic Canada if the Newcastle Sub was abandoned
But equally importantly in the eyes of many residents was the fact closing this rail line would negatively affect the transportation of people, as VIA Rail Canada runs passenger rail trains over this track as part of their Atlantic Canada network - the Montreal-Halifax train, the Ocean. If the CN Newcastle sub was shut down, VIA too would be negatively impacted.
Based on the continued cuts to VIA Rail’s operating budget by the Harper Conservatives, it is highly unlikely that VIA would have a dime to spare to put into maintaining this subdivision. VIA spoke of possibly running over the Edmundston-Moncton CN line as an alternative, but that would leave thousands of more New Brunswick residents without passenger rail service than what would be inherited by VIA running on the Edmundston to Moncton line.
The long stretch of track between Moncton and Edmundston would serve very few people as there is a more sparse population along that line in comparison the existing route that runs through numerous communities, including the larger centres of Rivière-du-Loup and Rimouski QC, Campbellton, Bathurst, and Miramichi NB.
What would such a route change do to VIA’s bottom line? Could it threaten the future of the Ocean?
Deal Reached to Preserve Rail Freight Service in Northern New Brunswick
On January 24, 2014, the Province of New Brunswick and CN announced jointly in Miramichi, New Brunswick that they reached an agreement to preserve rail freight service on this line in northern New Brunswick.
New Brunswick Premier David Alward said; “Freight rail is a critical mode of transportation for industries in northern New Brunswick, and it is a vital lifeline for the jobs and communities that rely on these industries. Our investment in the rehabilitation of two sections of railway line ensures companies in northern New Brunswick can continue to ship their goods to market efficiently and explore new opportunities for growth.”
Under the agreement, the Province of New Brunswick will invest up to $25 million in rail infrastructure improvements to the Newcastle sub. CN will in turn spend a comparable amount to maintain and operate the line, ensuring continued rail freight service for a 15-year period on the northern and southern sections of the rail line: between Irvco and Nepisquit Junction in the north and between Catamount and Nelson Junction in the south, where there are active rail freight customers.
The province’s investment will be used to rehabilitate and upgrade the rail line to the operating standards required to efficiently and cost-effectively handle current and projected traffic. The work will commence in the spring of 2014. CN, the province and local businesses will continue to work together to increase freight traffic in future years, with benefits to be shared between the two partners.
New Agreement still leaves VIA Rail in the Lurch
But unfortunately, Alward, the Conservative Premier, spoke only of the corporate aspect to preserving “rail freight service” to move freight, and neglected to raise the need to maintain and improve the existing rail passenger service to move people in these areas of the province.
Part of this agreement will see CN seek to discontinue rail operations on the 44-mile middle section of the Newcastle sub that runs just south of Bathurst to Miramichi, due to the significant investments required to maintain the line and the lack of both originating and terminating freight traffic on that section.
Part of this agreement will see CN seek to discontinue rail operations on the 44-mile middle section of the Newcastle sub that runs just south of Bathurst to Miramichi, due to the significant investments required to maintain the line and the lack of both originating and terminating freight traffic on that section.
However, before this part of the line can be discontinued, it will first be offered for sale in early February to private interests and then to municipal, provincial and federal levels of government, as in accordance the provisions of the Canada Transportation Act. They will have a five-month window to submit offers to purchase the middle section, should there be a desire to maintain rail service on the segment.
But if nobody steps forward to purchase the 44-mile section of track between Bathurst and Miramichi, the track will abandoned and likely torn up, meaning VIA will not be able to operate their Ocean train via this more populated rail line between Moncton and Bathurst.
Government investment needed to preserve existing passenger rail service for New Brunswick residents
It is understandable that CN is not concerned of passenger rail service or the affairs of VIA Rail, but what about the Province of New Brunswick? Will the provincial Conservative government, or for that matter the federal Conservative government, step up and invest in the 44-miles of track to keep it from being abandoned, which would permit VIA Rail to continue operating on this line, and thus maintaining passenger rail service for these communities.
In addition to a government investment to preserve the rail line between Bathurst and Miramichi, the federal government should also increase VIA’s operating budget and enhance passenger rail service in Atlantic Canada by restoring the frequency of VIA Rail’s Ocean train to 6-days per week from three as it was prior to VIA’s service reductions in 2012.
David Gunn, a retired railroad and transportation executive – now residing in Cape Breton, Nova Scotia - who previously served as President of the New York Transit Authority; GM of the Washington Metropolitan Transit Authority; Chief GM of the Toronto Transit Commission and President of Amtrak, was quoted in an opinion piece published in the Montreal Gazette, saying: “VIA has basically been going out of business. All of the actions from VIA have been reducing service since it was set up.”
Gunn said VIA Rail is also struggling with deteriorating railway infrastructure around the country and said that in the U.S., Amtrak has been able to thrive in part because of the support it is shown by government.
"It's different (in Canada) than the U.S. and if the government doesn't push it as a Crown corporation, it doesn't happen. Whereas in the U.S. Amtrak sort of developed a mindset of its own and it used its supporting Congress to move forward", he said. "There's a lot of problems with Amtrak, don't get me wrong. I'm just saying they are in much better shape than VIA, because let's face it, the VIA management is totally controlled by the minister. Even though in question period they always say it's a Crown corporation, the reality is that they are totally beholden to the Department of Transportation, of that ministry."
Gunn criticized the recently past President and CEO of VIA, Marc Laliberté, who says VIA continues to “develop a train culture in Canada.” Gunn says: “I don't know what he's talking about, creating a train culture. VIA is almost irrelevant, except to rail fans. It really is." “If you just look at the tone of what they do, it's all negative, then they'll say it's positive. VIA has this incredible ability to issue press releases with bands playing and flags lying, as they retreat. I always marvel at it.”
“Aside from the good passenger service stuff, which I give them very high marks on, the on-board service stuff - the culture in terms of the business strategy, it's horrendous, it's awful. I couldn't believe it”, Gunn said. This statement is an obvious criticism of VIA management, but gives high marks to the work of our Unifor Council 4000 membership.
Greg Gormick, a Toronto-based independent transportation consultant who released a comprehensive report on December 30, 2013 titled; “Revitalizing New Brunswick’s Rail Sector” (a link to this report is available below), also balked at the assumption of a train culture being built in Canada. "I don't know too many countries that develop a train culture by cutting the number of trains and closing stations," Gormick said. "It's a bust."
Mr. Gormick’s report looks at the implications of CN’s plan in abandoning the track between Moncton and New Brunswick's north shore, VIA Rail's reduced frequency of the Ocean passenger service and the collapse of Industrial Rail Services. It was funded at a total cost of $13,000, including $5,000 from the City of Moncton, $2,000 from the City of Dieppe, and $1,500 each from the Town of Riverview, the City of Miramichi, the City of Bathurst, and Enterprise Greater Moncton.
Unifor Council 4000 Regional Representative Patrick Murray, who represents and services Unifor members at both VIA Rail and CN in Atlantic Canada, issued an op-ed to Miramichi Online - click here to read it. Mr. Murray, as well as other representatives of Unifor Council 4000 and National representatives from Unifor, will continue to lobby government and local politicians on the need to preserve and improve passenger rail service in Atlantic Canada, which also preserves good jobs in the communities.
Read a very good news article below that capture both David Gunn’s and Greg Gormick’s criticisms of VIA and it’s handling by the federal government, past and present. Also, access the link to read Greg Gormick’s December 30, 2013 paper: “Revitalizing New Brunswick’s Rail Sector.”
Barry Kennedy
President - Unifor National Council 4000
But if nobody steps forward to purchase the 44-mile section of track between Bathurst and Miramichi, the track will abandoned and likely torn up, meaning VIA will not be able to operate their Ocean train via this more populated rail line between Moncton and Bathurst.
Government investment needed to preserve existing passenger rail service for New Brunswick residents
It is understandable that CN is not concerned of passenger rail service or the affairs of VIA Rail, but what about the Province of New Brunswick? Will the provincial Conservative government, or for that matter the federal Conservative government, step up and invest in the 44-miles of track to keep it from being abandoned, which would permit VIA Rail to continue operating on this line, and thus maintaining passenger rail service for these communities.
In addition to a government investment to preserve the rail line between Bathurst and Miramichi, the federal government should also increase VIA’s operating budget and enhance passenger rail service in Atlantic Canada by restoring the frequency of VIA Rail’s Ocean train to 6-days per week from three as it was prior to VIA’s service reductions in 2012.
David Gunn, a retired railroad and transportation executive – now residing in Cape Breton, Nova Scotia - who previously served as President of the New York Transit Authority; GM of the Washington Metropolitan Transit Authority; Chief GM of the Toronto Transit Commission and President of Amtrak, was quoted in an opinion piece published in the Montreal Gazette, saying: “VIA has basically been going out of business. All of the actions from VIA have been reducing service since it was set up.”
Gunn said VIA Rail is also struggling with deteriorating railway infrastructure around the country and said that in the U.S., Amtrak has been able to thrive in part because of the support it is shown by government.
"It's different (in Canada) than the U.S. and if the government doesn't push it as a Crown corporation, it doesn't happen. Whereas in the U.S. Amtrak sort of developed a mindset of its own and it used its supporting Congress to move forward", he said. "There's a lot of problems with Amtrak, don't get me wrong. I'm just saying they are in much better shape than VIA, because let's face it, the VIA management is totally controlled by the minister. Even though in question period they always say it's a Crown corporation, the reality is that they are totally beholden to the Department of Transportation, of that ministry."
Gunn criticized the recently past President and CEO of VIA, Marc Laliberté, who says VIA continues to “develop a train culture in Canada.” Gunn says: “I don't know what he's talking about, creating a train culture. VIA is almost irrelevant, except to rail fans. It really is." “If you just look at the tone of what they do, it's all negative, then they'll say it's positive. VIA has this incredible ability to issue press releases with bands playing and flags lying, as they retreat. I always marvel at it.”
“Aside from the good passenger service stuff, which I give them very high marks on, the on-board service stuff - the culture in terms of the business strategy, it's horrendous, it's awful. I couldn't believe it”, Gunn said. This statement is an obvious criticism of VIA management, but gives high marks to the work of our Unifor Council 4000 membership.
Greg Gormick, a Toronto-based independent transportation consultant who released a comprehensive report on December 30, 2013 titled; “Revitalizing New Brunswick’s Rail Sector” (a link to this report is available below), also balked at the assumption of a train culture being built in Canada. "I don't know too many countries that develop a train culture by cutting the number of trains and closing stations," Gormick said. "It's a bust."
Mr. Gormick’s report looks at the implications of CN’s plan in abandoning the track between Moncton and New Brunswick's north shore, VIA Rail's reduced frequency of the Ocean passenger service and the collapse of Industrial Rail Services. It was funded at a total cost of $13,000, including $5,000 from the City of Moncton, $2,000 from the City of Dieppe, and $1,500 each from the Town of Riverview, the City of Miramichi, the City of Bathurst, and Enterprise Greater Moncton.
Unifor Council 4000 Regional Representative Patrick Murray, who represents and services Unifor members at both VIA Rail and CN in Atlantic Canada, issued an op-ed to Miramichi Online - click here to read it. Mr. Murray, as well as other representatives of Unifor Council 4000 and National representatives from Unifor, will continue to lobby government and local politicians on the need to preserve and improve passenger rail service in Atlantic Canada, which also preserves good jobs in the communities.
Read a very good news article below that capture both David Gunn’s and Greg Gormick’s criticisms of VIA and it’s handling by the federal government, past and present. Also, access the link to read Greg Gormick’s December 30, 2013 paper: “Revitalizing New Brunswick’s Rail Sector.”
Barry Kennedy
President - Unifor National Council 4000
