MARKETS

Coal Crisis: 510 new wagons ordered following O'Donnell review

THE Queensland Government has approved a $A113 million investment for Queensland Rail to immediately purchase 510 new coal wagons following the review into the Goonyella coal supply chain carried out by former railway executive Stephen O'Donnell.

Staff Reporter
Coal Crisis: 510 new wagons ordered following O'Donnell review

Deputy premier Anna Bligh said the $113m to purchase new wagons was on top of 370 wagons already under purchase by QR.

Premier Peter Beattie has asked Bligh and Transport and Main Roads Minister Paul Lucas to review future structural arrangements and for the chairman of QR to report back with proposals for consideration.

He said recent changes in the QR structure, including the creation of separate dedicated coal and bulk freight business groups, were intended to provide greater customer focus for the businesses and increase accountability.

Beattie rejected calls for QR to be privatised and said the aim of the review process was to ensure the right structure is found that "best supports QR's continuing national freight and coal business expansion".

"It is quite clear that QR is well positioned to become a significant competitor in the national logistics industry, specifically in QR's bulk and general freight businesses," he said.

"If QR does not become a national player and competitive with the likes of Toll, it will find it very difficult to survive."

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