Peterborough station - 26 Jun 1960 Ray Corley James A. Brown collection.

24 October 2011

Impact of Rail Service Released

Peterborough Ontario - There's going to be a "very strong" economic payback for restoring commuter rail service between Peterborough and Toronto, an official said.
 
Tony Smith, Shining Waters Railway president, said on Monday that an economic impact study states the project will create nearly 2,000 jobs and provide $531 million in economic output ($433 million in Ontario) due to capital investment in upgrading the track, constructing bridges, and refurbishing trains.
 
The study, completed by Delcan Corporation of Markham, also states the railway will provide an additional 110 jobs and $13 million per year in economic output through operation of the line that's to run from Toronto's Union Station to Havelock.
 
Other report highlights include:
 
- More than $12 million in tax collection for the province and $4 million for the federal government.
 
- Nearly $13 million per year in savings from travel time and travel costs, $600,000 per year in environmental savings from new and diverted riders, and $11 million in 2031 in accident-related costs.
 
"This will probably be the largest economic-development driver that this region has ever seen," said Smith, who added that these numbers are from an executive summary of the study and the full report won't be released until the federal and provincial governments have had a chance to read it and ask questions.
 
Commuter rail, including 120 kilometres of rail line and eight stations between Toronto and Peterborough, is expected to start service by 1 Jul 2014, although Smith said that date is tentative.
 
If the first two phases of operation start by mid 2015, he said the economic impact between now and 2020 is estimated to be $700 million.
 
The project will also upgrade the existing track and allow quicker and more reliable freight service, he said.
 
He said the numbers are based on having 1,900 riders per day, five days per week. That includes all people who get on and off the train between Union Station and Havelock, he said.
 
The project still needs an advanced engineering study to study the rail line, the route, and the requirements for stations and signaling, he said.
 
That study is to cost about $300,000 and he expects to have a draft agreement for that funding from the federal and provincial governments by Friday and finalized by mid-November, he said.
 
The economic impact is "obviously significant," said MP Dean Del Mastro.
 
Another boon, which can't currently be quantified, is future residence and business development in this region, Del Mastro said.
 
Del Mastro said the report is very pleasing.
 
"I see the entire report as a bit of vindication for the work I've been doing on it for six years," he said.
 
He said people have attacked him for his efforts to restore passenger service, which ended in 1990.
 
Peterborough MPP Jeff Leal said Delcan Corp. has done an "excellent" job on the report. Leal added commuter rail will offer great potential for increased tourism.
 
Elizabet Bowr.