Dunedin city councillors decided yesterday to stick with what is essentially a holding pattern — using the line from near Dunedin to as far as Hindon, as well as KiwiRail’s coastal tracks, while more time is taken to consider the longer-term future of Dunedin Railways.
The council-owned parent company of Dunedin Railways, Dunedin City Holdings Ltd (DCHL), is to absorb the cost in 2021-22, which could total $2.1million, offset by ticketing revenue expected to be about $250,000.
Cr Chris Staynes said the year could be used to further assess the potential future of the Taieri Gorge line.
Cr Mike Lord said the train service had been a tourist attraction that was worthwhile.
Cr Lee Vandervis said it had lost about $1.5million a year, it had long been a liability and the council should face the reality the section of the Taieri Gorge line between Hindon and Middlemarch was unviable.
"There is no potential future for the Middlemarch line," Cr Vandervis said.
He listed a series of problems, including narrowness of tunnels and the number of bridges.
One alternative might be to extend the Otago Central Rail Trail — for walkers and riders of horses and bicycles — from Middlemarch to Hindon.
Crs Vandervis and Rachel Elder voted against the plan to keep the Taieri Gorge line going for a train service for another year, as well as using KiwiRail tracks, and having DCHL pay for the operation.