The ARTC have reached a track lease agreement with the New South Wales Government to lease the Hunter Valley rail networks for the next 60 years. The lease also means that ARTC will now have the authority to sell track access to train operators over the full length of the interstate mainline from Perth to the Queensland border.
The Hunter Valley rail network consists of the track from Port Waratah (Newcastle) to Werris Creek and Ulan via Muswellbrook. The network is dominated by the coal industry – 36% of Australia’s coal exports move through the network.
The ARTC plans to invest $145 million upgrading the 452 kilometres of track making up the Hunter Valley rail network. A 20% reduction in track access charges for coal transport has also been signaled. The investment is expected to improve the coal chain serving Port Waratah Coal Services at Newcastle.
“ARTC’s primary objective in its approach to managing the Hunter Valley rail network will be to provide a reliable, rapid and cost-effective system for transporting coal, which will reduce the overall cost of coal production and make it more competitive on world markets,” ARTC said in a statement.
ARTC said it expects to able to reduce the track access charges for transporting coal by 20%. The Hunter Valley rail network investment programme will be finalised after extensive consultation with coal users it said.
The preliminary $145 million investment programme for the Hunter Valley includes:
• $14.1 million for track strengthening and remediation work, including selective installation of concrete sleepers, rail grinding, rail rectification and attention to ballast condition;
• $4.1 million for bridge strengthening work;
• $66.6 million for capacity enhancement through the elimination of identified congested locations;
• $8.4 million for safe working improvements and communications;
• $8.6 million for rail-head rectification and other works;
• $4.4 million for signals and communications upgrades; and
• $39.1 million for a range of other projects.
The proposed investment programme also aims to increase the capacity of the Hunter Valley rail network from 85 million tonnes of coal per year to 100 million tonnes per year, while delivering improved reliability with reduced transit times.
The enhanced network will enable trains to operate at a maximum speed of 80km/h, up from the current maximum of 60 km/h, and will permit an axle load of 35 tonnes on the upgraded bridges.
