The interview: Via Rail head maps out his transportation vision
ERIC ATKINS (G&M)
TORONTO
PUBLISHED DECEMBER 23, 2014UPDATED MAY 12, 2018
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Do you see Via owning its own infrastructure any time in the future?
That's what we're hoping to do by going to the private sector and try to sell them a business strategy to do just that.
How would that go?
In the corridor between Ottawa and Toronto, there's 19 million people there, 14 million of which are in the work force. You've got over 30 universities and technical centres, half a million students. So you have a huge population pool that could use greater mobility to get in and out of urban centres. I think there's a huge business opportunity for the private sector to capitalize on. I think the government of Canada through taxpayers' money has done enough. Today the average fare of a customer on Via Rail is 53-per-cent covered by the government with taxpayers' money, so I think that's enough of a contribution. They have provided a billion dollars for infrastructure improvements.
For all that spending, service has been reduced and ridership has fallen, why would that be appealing to the private sector?
Those are two different things. The reduction in services was to recognize where there is no market there is no point having a service. So having trains run with 12 people on them or stopping at stations for three people does not warrant having attendants 80 hours a week. Where the opportunity is though, is where there is a huge market, 19 million in the Quebec-Windsor corridor, the population who can't get in and out of those major centres by car are a huge business opportunity for private investment. And when I say private investment, I don't mean privatizing the company, I mean going to private companies to fund, to build out dedicated infrastructure for passenger rail.
So a dedicated rail line and Via would share in the revenue with the private sector? How far along is that plan?
It's just at the beginning. We're just looking at how we can improve the service. To improve the service, we have to address the issue of rail congestion. To address rail congestion, you have to have your own rail. When you get into major urban areas, you share the rail with other passenger services. So then you ask yourself, how do I build that rail infrastructure? Do I go to the government? I don't think so. I think the government has done enough. It's a huge business opportunity for the private sector.
You say the government has done enough, but they build highways and other transportation infrastructure. Why can't they run a national rail service? Why do they have to pull back or share that responsibility?
I think they do run a national rail infrastructure across the country.
But why does the government need private involvement to do so?
Because I think that where there is commercial opportunity, the private sector should be taking the business risk and reaping the commercial reward. Where there is no commercial opportunity, everything west of London going out to Vancouver or going east of Quebec City to Halifax or going north to Churchill, Man., you'll never make money. That is a government service. So the government of Canada does use taxpayers money to provide that national service, but where there is a commercial opportunity, as stewards of public money, you should make sure to capture that opportunity to limit and, even better, to reduce the funding coming from the taxpayer.
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