By PAM GRAHAM
Toll Holdings will move excess rolling stock from New Zealand to Queensland, say Australian transport analysts.
This is denied by managing director Paul Little, but one analyst, who declined to be named, said the suggestion came from a Toll company executive.
Toll has not given a formal presentation in
its home market about its plans in New Zealand.
Some Australian analysts are comfortable with Toll's hostile bid for Tranz Rail because of its proven track record. Others say Toll is not a network owner and needs to do a deal with the Government.
But they all say the Australian state and New Zealand have the same rail gauge, and operators such as Pacific National, Toll's venture with Patrick Corp, are contesting contracts held by Queensland Rail.
The Herald understands Toll has been seeking locomotives for Queensland internationally.
A new owner of Tranz Rail would have excess rolling stock if it made the tough decisions about regional lines being sought by shareholders.
Toll is not saying it will close regional lines. Little has said the company is a builder of businesses.
About 12 per cent of Tranz Rail's 3898km network is under review because of unsatisfactory returns and a further 20 per cent is identified as having potential for review.
Lines under review are Napier to Gisborne, north of Whangarei, Makarewa to Ohai, Dargaville, Rotorua and Taneatua. The last two are not in use.
Lines for potential review are Waitakere to Whangarei, Oringi to Napier, the forest rail in the Bay of Plenty, the Wairarapa line from Wellington to Woodville, Kapuni to New Plymouth, and Bluff.
Toll says it has exciting transtasman plans based on the services it runs across Bass Strait to Tasmania.
Toll is the largest freight forwarder in and out of Tasmania and aims to remove hassles at linkages in the manufacturer-to-customer chain by controlling the whole chain.
"That is what we do in and out of Tassie and we'd love to do the same thing in and out of New Zealand," said Little.
