The Government has a new proposal to free Auckland's rail corridors for public transport.
Prime Minister Helen Clark said yesterday that the cabinet was not comfortable with the $112 million "or anything like that figure" that the city's councils have negotiated with Tranz Rail for access to therail routes.
She said the Government had its own proposal but would not give details before it was presented to the councils this week. A date has not been set.
Helen Clark, who has previously expressed concern about the high cost of the rail deal and a desire for buses to play a bigger role in the city's future, said the Government wanted to help in solving the region's transport problems.
Auckland councils agreed before Christmas to pay Tranz Rail $112 million for control of the rail routes for a new rapid transport system. In return, Tranz Rail would pay the region $2 million a year so its freight trains could use the lines.
Infrastructure Auckland has agreed to give $30 million and Transfund another $22 million, leaving $60 million still to be raised.
Under a previous plan, the region would have paid $65 million upfront, plus $2.25 million to $4.25 million a year to Tranz Rail for 70 years.
That would have given Auckland control of the western rail lines only. Under the new deal, the region will also control the main trunk line.
The councils have yet to decide how they will use the rail lines but the options include boosting the present heavy train services or light trains, which can leave the lines and run in city streets. Buses are not permitted on the rail routes.
