{"id":596810,"date":"2026-11-05T06:00:32","date_gmt":"2026-11-04T19:00:32","guid":{"rendered":"http:\/\/www.vibewire.com.au\/?guid=d83c91e1511351ecb8aef9f709a64471"},"modified":"2026-11-05T06:00:32","modified_gmt":"2026-11-04T19:00:32","slug":"questions-arise-over-timing-of-government-train-loan","status":"publish","type":"post","link":"https:\/\/www.vibewire.com.au\/?p=596810","title":{"rendered":"Questions arise over timing of Government train loan"},"content":{"rendered":"<p>Invercargill&#8217;s mayor says ratepayers should not be asked to pay for a new train service, at a time when the government is asking councils to cut down on spending.<\/p>\n<p>Winston Peters and Shane Jones [announced yesterday](https:\/\/www.rnz.co.nz\/news\/politics\/2279900\/christchurch-commuter-rail-trial-gets-green-light) that the government would be loaning some of the money to councils for a 12-month trial Mainlander train between Christchurch, Dunedin and Invercargill as a regular service.<\/p>\n<p>The Regional Infrastructure Fund will provide a loan of $3.4 million to support the project, introducing regular services between Christchurch, Ashburton, Timaru, Oamaru, Dunedin, Gore and Invercargill starting in mid-2027.<\/p>\n<p>Councils are yet to sign off on the project, but are expected to fund a $1.7 million gap in the budget.<\/p>\n<p>Invercargill mayor Tom Campbell told RNZ it was not fair for ratepayers to be asked to fund a train service.<\/p>\n<p>&#8220;We&#8217;ve got a government that tells us that we must not increase our rates behind a certain point.<\/p>\n<p>&#8220;I&#8217;m afraid an invitation to support a train is not going to be well received here.&#8221;<\/p>\n<p>It was not clear how many councils would be expected to help fund the service, while the Government&#8217;s announcement said letters of support had been received from Christchurch, Selwyn and Waimakariri so far.<\/p>\n<p>Campbell said the loan announcement came as a surprise.<\/p>\n<p>&#8220;You&#8217;d almost think there&#8217;s a general election coming up.&#8221;<\/p>\n<p>A similar train line previously known as The Southerner operated from 1970 to 2002, before stopping due to low passenger numbers.<\/p>\n<p>Campbell said the service had a better chance of succeeding today, as populations across the cities had increased.<\/p>\n<p>However, he said the train service needed to stand up commercially, or not at all.<\/p>\n<p>Campbell said a 12-month trial period &#8211; while better than nothing &#8211; was too short for ratepayers to invest in.<\/p>\n<p>Invercargill councillor Ria Bond, who had been advocating for the service to return, said the timing of the loan was &#8220;disingenuous&#8221;.<\/p>\n<p>&#8220;It&#8217;s great that they&#8217;re hanging this carrot in front of us.<\/p>\n<p>&#8220;At the same time, we&#8217;re being penalised because government is blaming local councils for wastage of ratepayer money.&#8221;<\/p>\n<p>Bond &#8211; who was formerly a NZ First MP &#8211; said a trial period was unnecessary as it was already clear that there was a market for more public transport.<\/p>\n<p>&#8220;I almost feel like we&#8217;re being set up to fail.&#8221;<\/p>\n<p>Bond said the prospect of the train was fantastic, and would benefit those who couldn&#8217;t drive, or were avoiding high petrol prices.<\/p>\n<p>### Winston Peters responds<\/p>\n<p>Minister for Rail, Winston Peters says all public transport in New Zealand requires buy in from central and local government.<\/p>\n<p>He said council co-funding is expected from the Canterbury councils for the commuter rail to proceed.<\/p>\n<p>\u201cThe Government is separately providing a loan to Mainland Rail so it can increase its service frequency of a long-distance rail service connecting Christchurch-Dunedin-Invercargill and the centres between it. This isn\u2019t commuter rail, it\u2019s a long-distance rail service competing with airlines.&#8221;<\/p>\n<p>\u201cInvercargill benefiting from\u00a0welcoming locals and tourists to stay and spend in their city is a core economic development objective of our investment.\u201d<\/p>\n<p>Published by [Radio NZ 2 November 2026](https:\/\/www.rnz.co.nz\/news\/politics\/2292356\/disingenous-questions-arise-over-timing-of-government-train-loan) \\<br \/>\n \\<br \/>\nFor further reading concerning the points raised in this article: \\<br \/>\n \\<br \/>\n-\ufeff [Future of passenger rail in New Zealand is regional rail](https:\/\/publictransportforum.nz\/articles\/article\/the-future-of-passenger-rail-in-new-zealand-is-regional-rail-07-07-2025\/) \\<br \/>\n-\ufeff [*CityConnect* &#8211; inter-regional public transport network](https:\/\/www.publictransportforum.nz\/articles\/article\/cityconnect-national-public-transport-network-02-04-2024) \\<br \/>\n-\ufeff [Time for a national public transport network](https:\/\/www.publictransportforum.nz\/articles\/article\/national-public-transport-network-07-06-2022) \\<br \/>\n-\ufeff [Does New Zealand rail network actually serve New Zealanders?](https:\/\/www.publictransportforum.nz\/articles\/article\/does-the-new-zealand-rail-network-serve-new-zealanders-09-02-2025\/) \\<br \/>\n-\ufeff \ufeff[](https:\/\/www.publictransportforum.nz\/articles\/article\/new-zealand-unified-public-transport-strategy-05-01-2024)[Long distance passenger rail services i\ufeffn New Zealand](https:\/\/www.publictransportforum.nz\/articles\/article\/future-of-passenger-rail-services-in-new-zealand-05-01-2023\/) \\<br \/>\n-\ufeff \ufeff[Future of New Zealand&#8217;s land transport and communities](https:\/\/www.publictransportforum.nz\/articles\/article\/the-future-of-new-zealand-land-transport-08-03-2024) \\<br \/>\n-\ufeff [Motu Move &#8211; National public transport payment system](https:\/\/www.publictransportforum.nz\/articles\/article\/new-national-public-transport-payment-system-12-06-2024)<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Invercargill&amp;#39;s mayor says ratepayers should not be asked to pay for a new train service, at a time when the government is asking councils to cut down on spe<\/p>\n","protected":false},"author":13,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"footnotes":""},"categories":[],"tags":[],"class_list":["post-596810","post","type-post","status-publish","format-standard","hentry"],"aioseo_notices":[],"aioseo_head":"\n\t\t<!-- All in One SEO Pro 5.0.5 - 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