Rail Network

Dáil Éireann Debate, Thursday - 22 June 2023

Thursday, 22 June 2023

Questions (2)

Matt Shanahan

Question:

2. Deputy Matt Shanahan asked the Minister for Transport if, assuming he is very much aware of the import and export benefit opportunity that has been developed as a result of the Ballina rail corridor that connects through Waterford Port, he can outline his Department’s position on developing a Ballina-type railhead in perhaps the Kildare area to connect to Waterford Port, which would counter increasing traffic congestion in the capital and have a positive impact on national freight distribution sustainability; and if he will make a statement on the matter. [29764/23]

Oral answers (6 contributions)

Deputy Matt Shanahan

My question relates to the Department's position on developing a Ballina-style railhead in Kildare to provide further connectivity into the Port of Waterford to take pressure off Dublin Port and the capital and give us a more sustainable and balanced regional transport network.

Deputy Jack Chambers

The rail freight market in Ireland is open. Currently, a commercial arm of Iarnród Éireann is active in the sector. While the rail freight industry has declined in Ireland in recent decades, there are clear opportunities for growth, as demonstrated by the success of the existing Ballina corridor.

Since Brexit, trade patterns between Ireland and continental Europe have shifted significantly. Containerised freight flows through ports on the south coast have increased and thereby offered potential for longer-distance freight routes from these ports. Furthermore, containerised freight is more amenable to switching modes from road to rail. Rising fuel costs and driver shortages also increase the competitiveness and appeal of rail freight, which can efficiently transport large quantities of goods in a single trip. Last year, Iarnród Éireann was awarded €2.5 million in EU funding which will, in line with the Deputy's suggestion, examine connections to the ports and also potential transfer points for freight between rail and road.

These opportunities for the growth of rail freight have been one of the areas under examination as part of the all-island strategic rail review. In freight, the review has explored opportunities for increasing rail freight’s market share to levels comparable with other western European countries.

Work on the review is at an advanced stage and it is expected that a draft will be published for the purposes of strategic environmental assessment public consultation in July. Following the public consultation process and finalisation of the report, it is expected that it will be submitted for the approval of the Minister for Transport and the Government in the autumn, as well as to the Minister for Infrastructure in Northern Ireland. Should there continue to be an absence of Ministers in the Northern Ireland Executive, approval will be considered taking into account the decision-making framework set out in the Northern Ireland (Executive Formation etc) Act 2022 or relevant legislation in place at the time.

Deputy Matt Shanahan

I hear a lot of discussion about the congestion in Dublin and capacity issues in Dublin Port. Last year the Port of Waterford saw €1.7 billion worth of goods imported and exported. There was a turnover of almost €400 million in the adjacent enterprise support area. Over 650 people are employed in that area. There is massive potential for expansion, not alone in respect of freight but particularly in support of offshore wind. What is the Government's policy on rebalancing our distribution and transport networks? Waterford Port has a significant part to play in that but we need an active policy around it. I accept that the rail transport review is ongoing but we need to look at where we can create real synergies. Waterford Port is giving a great amount of freight distribution potential to the west of Ireland and that can be further capitalised on by developing a railhead in the Kildare area.

Deputy Jack Chambers

Two things are happening, as I said in the previous response. The draft all-island rail review will be published in July for the purposes of environmental assessment and is to be finalised in the autumn. Separately, we will be commencing a review of our national ports policy. We will be publishing an issues paper on that in the coming weeks which will set out the trajectory on capacity for our ports. Rail will play an important role as part of our wider ports policy review. Waterford Port and other ports will be an important component of that. The growth of Dublin Port is projected to continue. We are also cognisant of the overall growth of the economy and the population increases we are seeing in our regions. We have opportunities for increased growth of rail freight and Iarnród Éireann has an important policy on trying to strengthen that over the coming period. Between the strategic rail review and the review of our national ports policy, we will see positive opportunities for Waterford Port and other ports in the coming period.

Deputy Matt Shanahan

I look forward to seeing both of those reviews which are going to be very important in signalling whether the Government and Departments have taken an active and positive look at how we could redistribute some of the activity that is going on. Dublin is creaking at the seams, there is no doubt, not alone Dublin Port. There is a massive opportunity for housing and office development on the port lands, as has been mentioned many times. There does not seem to be a will in terms of policy to really look at the outside ports, particularly Rosslare Europort and Waterford Port. The strategic location of the south east should not be missed in terms of the amount of carbon we are generating cycling up and down in to Dublin Port as opposed to dropping to more adjacent ports. The big opportunity is for rail freight into Waterford. Baxter Healthcare recently announced a new agreement on freight transport into Waterford. It shows what can be done with a little bit of imagination. We would need greater capacity which must be delivered through some kind of railhead in the Kildare area, I would think. I hope to see that in the rail review.

Deputy Jack Chambers

The draft review will be published for environmental assessment in the coming weeks. We will welcome everyone's engagement on it. There is a lot of commentary about Dublin Port and being able to move it at the flick of a switch or turn it into a strategic zone for housing. It plays a hugely important role in our economy. Given the trade and logistics network that has evolved over decades, it will continue to play a strategic role from a trade perspective. We need to complement that with ambition in the south east, in Rosslare and Waterford, as well as looking at the whole Atlantic corridor from a rail perspective. The strategic rail review will offer opportunities to grow that. The rail freight strategy from Irish Rail is very clear on that ambition and their strategic initiatives to grow enhanced regional connectivity and opportunities through rail freight, on which we are ambitious. All of these initiatives through the strategic rail review and the wider consideration of ports policy will provide opportunities for Waterford and other regions over the coming period.