2000: The Waikato Connection
June 26, 2024
By AHNZ
Today in history, 26 June, 2000: The Waikato Connection. Tranz Rail started this passenger service between Hamilton and Auckland on a 6 month trial basis.
There were stops at Huntly, Pukekohe, Papakura, Middlemore and Newmarket. The service was halted as uneconomic on 7 October 2001. During these 15 months this ‘InterCity Rail’ part of the business became ‘Tranz Scenic’ and started to be sold off separately. Under the new management ‘Waikato Connection’ was scrapped.
This curious shenanigans happened under the nose of Labour 5.0. Why would they do this knowing ticket sales did not pay their way? Probably some convoluted way of shifting capital from place to place in a way that allows someone to get away with something.
Believe it or not, the Waikato Connection returned in 2021. Being the era of ‘Aotearoa New Zealand’ culture it got a flash Maori-sounding name: ‘Te Huia’. Again, it was a Labour Ministry (Labour 6.0) presiding over madness. This one is bankrolled by taxpayer money via Waka Kotahi at 75.5% of the ticket price since it still doesn’t pay.
But that’s still not enough. A further 24.5% of the cost is met by Waikato’s Regional and District councils!
“The cost to run Waikato-Auckland train service Te Huia has so far been about ten times what it earned.” – Te Huia train service has earned $300,000 and cost $3m, but councillor confident it’ll get back on track, Stuff (2021)
“Christopher Luxon has cited the train as an example of wasted government spending…”we just don’t want to subsidise white elephant public transport projects because they have to stand on their own feet,” he said. “They have to be really compelling as a proposition that consumers are choosing to use them because they actually think they get a better service and it’s actually more convenient for them…we’ve spent $100 million – $280 per passenger – subsidising that service,” Luxon said.” – Luxon sticks by criticism of Te Huia train despite record numbers, 1News (2022)
“A reduction in funding for the Waikato to Auckland commuter train Te Huia, which was less than expected, may still spell its demise… progressively reducing its contribution to the funding assistance rate (FAR) from 75.5 per cent to 60 percent, starting on 1 July…The public funding portion is currently split between NZTA (75.5 percent), Waikato Regional Council (21.2 percent) and Waikato District Council (3.3 percent). ” – NZTA to reduce Te Huia train funding, NewstalkZB (May 2024)
“We subsidise every single passenger on that train to the tune of at least $92 per trip…It’s gotta go. It’s an expensive, ineffective service.” – Heather du Plessis -Allen, ZB (May 2024)
“In my opinion the Waikato Connection never stood a chance. A 6-month trial was too short to gauge interest. Also, Te Huia has been given more publicity and marketing than the Connection ever got.” – Nath Pritchard, NZ Railway History Group, Facebook (2023)
“Don’t forget there was one item of success which came from this. Prior to 2000, Pukekohe had not had suburban rail services since 1968. When the Waikato Connection trial was cancelled, the Auckland Regional Council arranged for the Silver Fern railcars to continue providing services between Pukekohe and Auckland. Services expanded as demand grew and now we are half a year away from electric trains between Pukekohe and Auckland.” – Jodi Johnston, NZ Railway History Group, Facebook (2024)
Labour 6.0 is out of power the subsidy was been cut to 60% in 2024.
If National 6.0 don’t get a piece of whatever action is going on here then expect Te Huia to follow the way of The Waikato Connection by the end of 2024.
It’s something of a mystery that it’s still going on at all given Prime Minister Chris Luxon’s clear signalling (before the election) that transport projects must “stand on their own feet.”
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Image ref. Huntly Station: “It’s early morning 26 June, 2000, the inaugural service of the ill fated, “Waikato Connection” has stopped in Huntly to pick up guests and dignitaries on it’s way north.” Nath Pritchard, NZ Railway History Group, Facebook (2023)
Another buried subsidy we knew nothing of. Well spotted.
And that’s without even getting into the poor performance or safety record of the 2020s version…