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Labour wants KiwiRail to choose NZ company


The Government is being urged to select a New Zealand company to build Auckland's new trains in order to create a number of local jobs.

NZPA
Thu, 20 Jan 2011

The Government is being urged to select a New Zealand company to build Auckland's new trains in order to create a number of local jobs.

Tenders for the project close this week, and Labour MP Claire Curran today called on the Government and KiwiRail choose a New Zealand company.

"Labour urges KiwiRail and the government to strongly consider the value to New Zealand's struggling economy when it decides which company will win the $500 million bid for 38 electric multiple unit (EMU) fleet for Auckland."

Ms Curran said concerns were raised over the transparency of the tender process last year after KiwiRail announced its group of preferred bidders.

"Since then, KiwiRail's decision to choose China CNR Corporation (CNR) as its preferred tenderer to supply 300 wagons, has raised more questions about KiwiRail's and the Government's real intentions for New Zealand's rail engineering industry," Ms Curran said.

Fellow Labour MP Trevor Mallard also voiced concern, saying the decision to choose CNR as the preferred tenderer did not take into account the wider economic benefits and spin-offs of using KiwiRail staff at the Hillside Workshops in Dunedin and at Woburn in Lower Hutt to do the work.

"The Hillside and Woburn workshops, along with the engineering cluster groups in Dunedin and Wellington have proven they are capable of undertaking a large part of this work at competitive prices and at high quality," he said.

"Jobs for New Zealanders in a viable and important industry should be one of the key factors when deciding who gets this important contract."

NZPA
Thu, 20 Jan 2011
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Labour wants KiwiRail to choose NZ company
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