CN, CP ho-hum on moving train tracks

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This article was published 18/11/2015 (3688 days ago), so information in it may no longer be current.

Premier Greg Selinger’s pledge to move rail lines out of Winnipeg has been met with little enthusiasm from Canada’s railways.

On Monday, in the final throne speech before the April election, the Selinger government promised to relocate rail lines and yards outside the city.

The premier said the province would soon embark upon a study to see whether the idea is feasible and determine the cost.

Representatives of Canada’s two largest railways, however, said Tuesday they’re happy with their Winnipeg yards right where they are.

"CP is satisfied with the current location and operation of our rail yard in Winnipeg," said Salem Woodrow, a Calgary spokeswoman for Canadian Pacific, whose Winnipeg yards cut through the centre of the city and rank as one of the largest rail yards in North America.

"It is a major yard for our operation, a major employer in the area and plays a strategic and critical role within the region."

CN Rail said it has no plans to move its yards, located south of Transcona and east of Lagimodiere Boulevard.

"We believe it is a project that would be extremely complex and costly," said Kate Fenske, CN’s regional manager of public and government affairs in Winnipeg.

Nonetheless, Woodrow and Fenske said their railways would be happy to assist the province in its proposed relocation study, which will involve the city and CentrePort.

Proponents of relocating railways point to hundreds of millions of dollars medium-term savings that would result from eliminating the need to build and maintain railway bridges and underpasses. Long-term benefits would flow from redeveloping former rail yards and moving industrial operations to the city’s fringes.

Cost estimates for moving lines and yards out of Winnipeg have ranged from as low as hundreds of millions of dollars to as high as several billion dollars, depending on the scope of the work that will be done.

Moving lines could require demolishing old yards and shops, building new ones, installing new temporary and permanent rail lines, tearing out old ones, decontaminating old industrial sites and installing services into reclaimed former brownfields.

Railway industry sources say the relocation of lines would force some of their customers — Winnipeg businesses that rely on rail service to their shipping doors — to move outside the city. Some may demand compensation; others could seek to be bought out.

It may not be necessary to move all lines, yards and shops out of the city, said Diane Gray, CentrePort’s president and CEO. For example, CN’s east Winnipeg Symington Yards are OK where they are, she said.

Gray said the purpose of the study is to see what lines, yards or shops could be moved — and what lines could be shared among railways.

The process will take some time, she added.

"A vision is going to take more than a decade to achieve, but that doesn’t mean you don’t start today and get some wins," Gray said.

"Progress is going to be incremental, but all options are on the table."

Selinger, who faces an election April 19, declined to comment on a specific timetable.

The premier said he believes CP’s Winnipeg Beach line in the North End and BNSF Railway’s south Winnipeg line could be "moved on quickly," but was less bullish on the prospects for moving the CP Winnipeg Yards any time soon.

"It’ll take a few years just to get that nailed down," said Selinger, adding negotiations must take place with CP and the City of Winnipeg about a project he called "the big one."

So far, the province has made inquiries about moving some of the smaller rail lines, said Jonathan Hildebrand, spokesman for Mayor Brian Bowman.

While the city is eager to take part in the study, it is not clear whether the Selinger government wants to move some or all of the rail lines, yards and shops, Hildebrand said.

Progressive Conservative Leader Brian Pallister said it’s worth exploring the idea of moving rail lines out of Winnipeg, but questioned why the NDP is raising the idea after 16 years in office.

Selinger’s pledge smacks of desperation leading up to an election, Pallister said.

bartley.kives@freepress.mb.ca

Rail lines and provincial ridings in Winnipeg