Funding has been obtained by the Otago Central Rail Trail Trust to study the feasibility and economic impact of extending a popular Otago recreational cycling route beyond Middlemarch to Mosgiel, the trust has confirmed.
Depending on the findings, this could present a compelling alternative use for at least some of the railway corridor.
The Otago Central Rail Trail runs about 150km along the former railway route between Clyde and Middlemarch.
It opened in 2000, a decade after the railway there closed, and has proved to be a strong visitor drawcard for the region.
Dunedin has yet to connect to an extensive and well-used network of trails in Otago and the railway line that runs from near the city to Middlemarch has been retained, although train trips typically run only as far as Hindon before returning to Dunedin.
The trust is to look into two trail options.
One would make use of a disused walking trail from Hindon to Outram.
The other would use the railway corridor between Pukerangi and North Taieri, effectively consigning the Taieri Gorge railway line to history.
Trust chairwoman Kate Wilson said it was important for the Dunedin City Council to have solid information in front of it when calls were made about the gorge line.
Otago’s cycle trails bring millions of dollars of revenue a year to the region and they have been credited with revitalising rural communities.
Mrs Wilson said there appeared to be an opportunity to have cyclists and trains connect at Hindon.
"It’s a beautiful part of the gorge," she said.
Mosgiel-Taieri Community Board chairman Andrew Simms, who is part of a project working group, said he hoped the studies could be completed by the end of this year.
Mr Simms said Taieri Gorge train services had essentially been a loss-making operation.
Extension of the cycle trail could assist the hospitality industry, increasing the number of nights people stayed in the area, he said.
It might also create a recreational asset cheaper for residents to access than train trips, Mr Simms said.
However, the city council has so far kept faith with preserving a Taieri Gorge rail journey as part of Dunedin’s tourism offering.
Council chief executive Sandy Graham said in February the council had committed "in principle" to retaining the Taieri Gorge train service.
Trips into the gorge are a key product for Dunedin Railways, and a highlight for passengers from cruise ships, but maintenance of the track has been a burden on the council-owned company.
In 2020, the bill for deferred maintenance on the gorge track was declared to be in the order of $10 million in the longer term.
In 2021, Dunedin City Holdings Ltd, the parent company of Dunedin Railways, estimated the cost of a 10-year programme of track-related work from Wingatui to Middlemarch to be $14.8m.
It has yet to be decided how upkeep of the line might be paid for or what the operating model for Dunedin rail services should be.
