Article: Pacific National looks to shake things up in Qld

[ozbob]

From the Townsville Bulletin click here!

Pacific National looks to shake things up in Qld

Pacific National looks to shake things up in Qld

    DAVID SPARKES Reporter
    Townsville Bulletin
    January 07, 2014 8:56AM

Pacific National Rail says it is ready to challenge Aurizon's dominance in Queensland after acquiring five rail terminals along the coast.

Pacific National director Angus McKay said the privatisation of Queensland Rail's freight division in 2010, which has since changed its name to Aurizon, had "opened the doors" of competition in the state. Pacific National bought Toll Group's rail terminals in Cairns, Townsville, Mackay, Rockhampton and Brisbane for $71 million in December.

Mr McKay said owning the infrastructure would allow Pacific National to expand in Queensland while continuing its partnership with Toll.

"From a freight perspective, what we had in place with Toll was a good contract, but it limited the ability with which we could grow to our other customers," he said.

"That's the opportunity we now see. "We have other customers that want to grow."

Asciano also has a coal haulage operation in Queensland, Pacific National Coal, separate from the Pacific National Rail, which is a freight division.

Mr McKay said the time was right for Pacific National to step up in Queensland and compete with Aurizon.

"We see rail as being pivotal to Queensland and we see ourselves being able to play a much bigger role as a stand-alone operator (now that we own the terminals) than we were able to do when we provided singular service to Toll," he said.

"It gives us the ability to make a greater difference as a competitor.

"Queensland for many years has been more state-owned and, of late, Aurizon has been the monopoly provider up there.

"We think we can start to shake up the rail dynamic t."

Townsville and Brisbane are the biggest of the five terminals and Mr McKay said Townsville was central to the company's ambitions.

"We didn't buy those terminals just because they were nice parcels of land," he said.

"They are very specific for us in terms of what goes through them and what has the potential to go through them.

"Townsville is very much at the top of that list."

Pacific National Rail will look for ways to make its new assets more efficient, but Mr McKay said that did not mean reducing employee numbers

He said Pacific National would tryattempt to replicate its operating methods in other states as it expands in Queensland.

Toll has committed to providing Asciano with at least 90 per cent of its rail freight activity for the next 13 years.

[minbrisbane]

They already had all the toll freight anyway...  it's good for competition though. Hopefully we'll see more pressure to upgrade NCL

[#Metro]

Any chance these guys might bid to be a passenger operator against the current QR? They have the experience and expertise.

[SurfRail]

Any chance these guys might bid to be a passenger operator against the current QR? They have the experience and expertise.

They have neither, and wouldn't be interested.

[HappyTrainGuy]

Any chance these guys might bid to be a passenger operator against the current QR? They have the experience and expertise.

Hahahaha. Not a chance in hell. And the "experience" they have in passenger movement is the same as Aurizon has in the Sunlander/Westlander/Inlander. The only thing they have experience in is supplying a loco.