PN intending to dump remaining BG traffic

 
  bevans Site Admin

Location: Melbourne, Australia
This is what we hear at RP HQ.

Coincides with BG loco scrapping.

I hope this is wrong and what does it mean for Graincorp if the information is correct?

Sponsored advertisement

  james.au Minister for Railways

Location: Sydney, NSW
Possibly PN sending a signal to Victoria about how serious it should treat rail investment.  And possibly that it should reconsider the abandonment of the MB project.  I don't mind if they throw thier weight around like this....

Dalla Vale is in the press doing a similar job on Sydney/NSW - upgrade the main west or we will take freight to Bris and Melb once the Inland is running.
  Carnot Minister for Railways

Graincorp contract in Vic with PN expires this year I believe.  Thus wheat haulage on BG by PN is more or less dead.

What about Long Island, Warrnambool, and Tocumwal?  Surely they'll hang around, or be offloaded to someone else?
  Galron Chief Commissioner

Location: Werribee, Vic
With essentially no BG grain this year does it really surprise anyone? Seen comments elsewhere that part of the reasons all the loco's are getting moved out of North Geelong is they are about to start gauge converting part of it. Imagine the best of the BG grain wagons will get converted as well.

What services do they still run on BG? Warnambool and Tocumwall? If they do dump BG traffic, am sure SSR and/or QUBE will be happy to take over those services.
  LancedDendrite Chief Commissioner

Location: Gheringhap Loop Autonomous Zone
Graincorp contract in Vic with PN expires this year I believe.  Thus wheat haulage on BG by PN is more or less dead.

What about Long Island, Warrnambool, and Tocumwal?  Surely they'll hang around, or be offloaded to someone else?
Carnot
The Long Island job is based on a nation-wide contract with Liberty OneSteel and Bluescope Steel, so that's likely to stick around.
Warrnambool and Tocumwal are subsidised through the Mode Shift Incentive Scheme. WestVic (Warrnambool) flirted with SSR a few years back but it appears to have been a negotiation tactic to get a better deal out of PacNat. Both run largely on V/Line passenger lines. Ergo, neither service is likely to disappear entirely - perhaps change operators. QUBE is decent competition and SSR could always make a go of the BG container traffic game again, but PacNat still has more modern(ish) BG motive power than the competition - and for container traffic they certainly need decent motive power to keep up with Metro and V/Line pathing requirements.

It's probably just an exit from the BG grain game as @Carnot stated.

Coincides with BG loco scrapping.
Bevans
  davesvline Chief Commissioner

Location: 1983-1998
That's GOLD!!
  Dangersdan707 Chief Commissioner

Location: On a Thing with Internet
Graincorp contract in Vic with PN expires this year I believe.  Thus wheat haulage on BG by PN is more or less dead.

What about Long Island, Warrnambool, and Tocumwal?  Surely they'll hang around, or be offloaded to someone else?
The Long Island job is based on a nation-wide contract with Liberty OneSteel and Bluescope Steel, so that's likely to stick around.
Warrnambool and Tocumwal are subsidised through the Mode Shift Incentive Scheme. WestVic (Warrnambool) flirted with SSR a few years back but it appears to have been a negotiation tactic to get a better deal out of PacNat. Both run largely on V/Line passenger lines. Ergo, neither service is likely to disappear entirely - perhaps change operators. QUBE is decent competition and SSR could always make a go of the BG container traffic game again, but PacNat still has more modern(ish) BG motive power than the competition - and for container traffic they certainly need decent motive power to keep up with Metro and V/Line pathing requirements.

It's probably just an exit from the BG grain game as @Carnot stated.

Coincides with BG loco scrapping.
LancedDendrite
I prefer the Thanos one I posted in the Scrapping thread. That no one seemed to understand...Sad



  james.au Minister for Railways

Location: Sydney, NSW
What about Long Island, Warrnambool, and Tocumwal?  Surely they'll hang around, or be offloaded to someone else?
Carnot
I guess the other thing is that the Mode Shift Incentive Scheme is being reveiwed too:

The 2018-19 State Budget provided $4 million to extend funding until 30 June 2019, while the Victorian Government considers options for the scheme beyond that time.
  james.au Minister for Railways

Location: Sydney, NSW
Coincides with BG loco scrapping.
LancedDendrite

Wow - LD with the memes.  I think i woke up in an alternate dimension this morning.....!
  bevans Site Admin

Location: Melbourne, Australia
I guess the other thing is that the Mode Shift Incentive Scheme is being reveiwed too:

The 2018-19 State Budget provided $4 million to extend funding until 30 June 2019, while the Victorian Government considers options for the scheme beyond that time.
james.au

I would be suggesting the Vic Government might look at expanding this to include Ballarat and also Echuca?
  bingley hall Minister for Railways

Location: Last train to Skaville
Possibly PN sending a signal to Victoria about how serious it should treat rail investment.  And possibly that it should reconsider the abandonment of the MB project.  I don't mind if they throw thier weight around like this....

Dalla Vale is in the press doing a similar job on Sydney/NSW - upgrade the main west or we will take freight to Bris and Melb once the Inland is running.
james.au

PN have no cred at all when it comes to lobbying. The amount of freight they have let bleed to road over the last decade while actively preventing any other operator a chance to pick it up.

They blackmailed the Victorian and Tasmanian governments over track ownership in the past, and still owe the Feds $50m promised for infrastructure investment back when PN was first set up.

Bunch of faaaaaarken hypocrites Evil or Very Mad
  potatoinmymouth Chief Commissioner

Yeah, all very well to praise them for “throwing their weight around” but at the end of the day it’s been largely their exploitation of weak governance that got us to this point. Don’t get me wrong - everything they have done is commercially legitimate, if not ethical, but when you consider that in 2003 the company they bought here was making a healthy profit and reopening lines to traffic, my reaction to this announcement is “good riddance”.
  bevans Site Admin

Location: Melbourne, Australia
Possibly PN sending a signal to Victoria about how serious it should treat rail investment.  And possibly that it should reconsider the abandonment of the MB project.  I don't mind if they throw thier weight around like this....

Dalla Vale is in the press doing a similar job on Sydney/NSW - upgrade the main west or we will take freight to Bris and Melb once the Inland is running.

PN have no cred at all when it comes to lobbying. The amount of freight they have let bleed to road over the last decade while actively preventing any other operator a chance to pick it up.

They blackmailed the Victorian and Tasmanian governments over track ownership in the past, and still owe the Feds $50m promised for infrastructure investment back when PN was first set up.

Bunch of faaaaaarken hypocrites Evil or Very Mad
bingley hall

BH I completely agree.  They have been the worst possible operator Victoria could ever have expected after FA was sold to PN.  It has been an unmitigated disaster for customers, the environment, roads and Victoria.
  dthead Site Admin

Location: Melbourne, Australia
Me thinks  PN  hope ssr and qube attempt to pick up extra traffic and maybe cripple the company. Both those operators need new lock !
  justapassenger Minister for Railways

I prefer the Thanos one I posted in the Scrapping thread. That no one seemed to understand...Sad

Dangersdan707
  james.au Minister for Railways

Location: Sydney, NSW
Yeah, all very well to praise them for “throwing their weight around” but at the end of the day it’s been largely their exploitation of weak governance that got us to this point. Don’t get me wrong - everything they have done is commercially legitimate, if not ethical, but when you consider that in 2003 the company they bought here was making a healthy profit and reopening lines to traffic, my reaction to this announcement is “good riddance”.
potatoinmymouth
Hey, I'm not saying theyre perfect - but im calling out a good move on their part when I see one.

I could list the problems they cause and how they shouldn't have been privatised as one entity (rather 2 or more) but im only talking about the recent bullish behaviour from the current CEO, which has been lacking from previous ones...

What he is pushing for will impact more than just PN.  Which is why i think he was probably saying this as head of FORG.
  max_thum Station Master

Location: Melbourne, Victoria
I prefer the Thanos one I posted in the Scrapping thread. That no one seemed to understand...
Dangersdan707
no one understood? That meme was wide spread on a well known meme page on Instagram. Still, lots of people got the reference.

In regards to Pacific National, I heard something that all of the 81x wagons stored at Tottenham needs to go, so this exit would explain a lot. I heard in the pipeline that the locos at Newport Workshops are awaiting to be converted to Standard Gauge (XR's and BL).
  fzr560 Chief Train Controller

Yeah, all very well to praise them for “throwing their weight around” but at the end of the day it’s been largely their exploitation of weak governance that got us to this point. Don’t get me wrong - everything they have done is commercially legitimate, if not ethical, but when you consider that in 2003 the company they bought here was making a healthy profit and reopening lines to traffic, my reaction to this announcement is “good riddance”.
Hey, I'm not saying theyre perfect - but im calling out a good move on their part when I see one.

I could list the problems they cause and how they shouldn't have been privatised as one entity (rather 2 or more) but im only talking about the recent bullish behaviour from the current CEO, which has been lacking from previous ones...

What he is pushing for will impact more than just PN.  Which is why i think he was probably saying this as head of FORG.
james.au
I'll go a bit further. The current CEO and the majority of current management were not at PN when the bad people spoiled all the fun. I'm sure that when Dalla Valle takes the golden parachute there will be plenty to bag him about, but at this stage, I think it is reasonable for him to push for better access to Sydney. There would be many within the Canberra and Sydney bureaucracy that know nothing about curfews, loop lengths and port windows, and if that release expands their horizons, great.
  potatoinmymouth Chief Commissioner

I could list the problems they cause and how they shouldn't have been privatised as one entity (rather 2 or more) but im only talking about the recent bullish behaviour from the current CEO, which has been lacking from previous ones...
james.au

And my point is that they long ago forfeited the right to have anyone believe they were acting in good faith.

If they are indeed withdrawing from BG freight, then scrapping a good portion of their loco and wagon fleet on the way out is an outrageous scorched earth manoeuvre. Was some of it surplus? Yes, probably, but we’ve literally this week had a new unsubsidised BG freight flow begin, so the idea that no operator would want to pick up some bargain basement motive power is pretty far fetched.

If the ACCC had had the stones to prevent the takeover in 2004, and Bracks hadn’t screwed the pooch by forcing FA into an RFR they didn’t want at the same time as slapping them with Open Access, I really doubt we’d be here now. But what that proves is that the response to PN now can’t be “oh well, that’s the free market at work! Good for them!” If anyone actually wants intrastate freight rail to ever grow again, that is.
  bevans Site Admin

Location: Melbourne, Australia
I view it all as anti competitive and at the end of the day Victorian rail freight is worse off having had PN involved.
  james.au Minister for Railways

Location: Sydney, NSW
Yeah, all very well to praise them for “throwing their weight around” but at the end of the day it’s been largely their exploitation of weak governance that got us to this point. Don’t get me wrong - everything they have done is commercially legitimate, if not ethical, but when you consider that in 2003 the company they bought here was making a healthy profit and reopening lines to traffic, my reaction to this announcement is “good riddance”.
Hey, I'm not saying theyre perfect - but im calling out a good move on their part when I see one.

I could list the problems they cause and how they shouldn't have been privatised as one entity (rather 2 or more) but im only talking about the recent bullish behaviour from the current CEO, which has been lacking from previous ones...

What he is pushing for will impact more than just PN.  Which is why i think he was probably saying this as head of FORG.
I'll go a bit further. The current CEO and the majority of current management were not at PN when the bad people spoiled all the fun. I'm sure that when Dalla Valle takes the golden parachute there will be plenty to bag him about, but at this stage, I think it is reasonable for him to push for better access to Sydney. There would be many within the Canberra and Sydney bureaucracy that know nothing about curfews, loop lengths and port windows, and if that release expands their horizons, great.
fzr560
This is also a point I was thinking to make.  When the company was part of Patricks it arguably was not the focus point for the company.  But now it has to stand on its own it can talk about more.

I disagree with the arguments that they cannot now raise/lobby for improvements because of their past history.  On that precedent a lot of people would be restricted from doing a lot of things.
  Dangersdan707 Chief Commissioner

Location: On a Thing with Internet
PN are literally how the Soviet government portrayed the rich

  Lockspike Chief Commissioner

It has been an unmitigated disaster for customers, the environment, roads and Victoria.
bevans
But it's been good for the shareholders, and that's all that matters... isn't it?
  Fatty Deputy Commissioner

Location: Melbourne
It has been an unmitigated disaster for customers, the environment, roads and Victoria.
But it's been good for the shareholders, and that's all that matters... isn't it?
Lockspike
PN has no shareholders these days.
  freightgate Minister for Railways

Location: Albury, New South Wales
What you mean no shareholders who owns them now ?

Sponsored advertisement

Display from:   

Quick Reply

We've disabled Quick Reply for this thread as it was last updated more than six months ago.