Arc Infrastructure has signed an in-principle funding agreement with the Public Transport Authority (PTA) to commence upgrades to the Midland Railway (MR) between Mingenew and Carnamah from 16 Tonne Axle Load (TAL) to 19 TAL, helping achieve the shared goal of more grain on rail.
The co-funded project is part of the Commonwealth and State Agricultural Supply Chain Improvement (ASCI) program Package 1 and will see Government invest up to $45 million towards design and procurement and Arc invest $22 million towards construction.
Approximately 77 kilometres of track will be upgraded, providing an immediate benefit to growers, with the ability to load 25 per cent heavier trains in the upgraded section. CBH is the sole customer on the line which is used throughout the year to transport grain to Geraldton Port.
Arc and CBH have agreed a construction methodology where large sections of the track will be closed for several months during construction. Combined with Arc delivering the work with its internal teams, this methodology reduces the overall project cost by over $30 million, enabling more efficient spend of ASCI funding.
The parties will now work together to ensure that movement of grain is optimised across the network ahead of and during construction outages.
Chief Executive Officer Murray Cook said Arc was pleased to contribute funding and partner with Government to deliver grain line upgrades, reflecting Arc’s commitment to increase freight on rail.
“By co-investing in grain line upgrades we can ensure Commonwealth and State Government ASCI funding can be spent efficiently and increase grain on rail, delivering greater benefits across WA.”
WA Deputy Premier and Treasurer; Transport; Tourism Minister the Hon. Rita Saffioti MLA welcomed the signing of the in-principal funding agreement.
“The in-principal funding agreement for the Midland Line upgrade is another welcome milestone for the ASCI Program.
“The revitalisation of the rail line between Carnamah and Mingenew, will allow around 25 per cent more grain per train to be transported on rail to Geraldton Port.
“Being able to transport more grain by rail to Geraldton means less grain on road, and that is an important road safety outcome for the region.
“Delivering rail upgrades in key agricultural regions as part of the $200 million ASCI Program was an important Labor State Government election commitment to our agricultural regions and many of these projects are now either complete, or underway.
“It’s fantastic to see this project moving forward as it will increase our grain on rail capacity and help strengthen our supply chains in key agricultural regions.”
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