Troubled Government-owned rail operator Kiwirail may reveal whether it’s any closer to running without support when it reports on its 2015 results.
Kiwirail has struggled to meet income targets set in a 10-year, $1 billion turnaround plan and a public meeting today may give an idea of how big the gap is, as well as provide insights into the company’s direction.
It produced improved figures in its year-to-June figures, significantly up on 2013-14. But the Government said it expected to keep pouring $200 million a year into the business to keep it going.
Difficulties the rail operator face include possible shrinking income from major freight client Solid Energy, which is undergoing a selldown.
During May’s budget, Finance Minister Bill English warned the current level of support was not sustainable and KiwiRail had to improve its performance.
It was pure treason really. How anyone could put the blight of Kiwirail on our economy just to burden an incoming National Party instead of doing what’s right for the country just shows the depths to which Labour can go when given any degree of control.
I think history won’t look kindly on Cullen. It was petulant in the extreme.
– NZN, via 3 News