Airline and airport interest in a massive new passenger rail project is being viewed as a welcome development by Martin Imbleau, CEO of the federal government’s high-frequency rail project, after Air Canada joined one of the three groups proposing to build new dedicated tracks between Toronto and Quebec City.
Three preselected consortiums submitted private bids late last month outlining their plans to build and operate the proposed new passenger rail line. Each of the three bids was required to present two options: one using traditional passenger trains and a second option that includes at least some high-speed rail segments.
One of the consortiums, a group called Cadence that includes the infrastructure division of Quebec’s pension fund and AtkinsRéalis, the new name for SNC-Lavalin, revealed at the last minute that its team added two new high-profile members: Air Canada AC-T and SNCF Voyageurs, a major French provider of high-speed rail services in Europe.
Federal officials are now reviewing the three bids and cabinet is expected to select a winner before the end of the year. While Ottawa has approved hundreds of millions in funding to study the project, cabinet has not yet provided a final green light. No price tag for the project has yet been announced, but it is expected to be one of the largest infrastructure projects in Canadian history.
In an interview with The Globe and Mail this week in Ottawa, Mr. Imbleau said he’s very pleased with what he’s seen so far from the three bids. While he said he cannot comment on specifics, he said it makes business sense for an airline such as Air Canada, as well as large Canadian airports, to take part.
New high frequency rail CEO says project could include direct link between Toronto and Montreal
He said that’s in line with recent trends in Europe, where airlines are encouraging travellers to use passenger rail for shorter trips, freeing up planes and airport space for longer and more lucrative flights.
“Montreal to Paris or a Montreal-Tokyo flight is much more profitable than 20 flights of Montreal to Toronto. By having a fast train between Montreal and Toronto, you free capacity in both airports. And it makes a lot of sense to replace that service with a fast train,” he said.
He also said the project is being viewed positively by Canada’s major airports.
The project would connect Quebec City and Toronto, with stops in Trois-Rivières, Montreal, Ottawa and Peterborough, Ont. It would run in parallel to the north of the tracks currently used by Via Rail. The current route is primarily owned by CN Rail CNR-T, which gives priority to slower freight traffic. Via Rail would continue to serve communities on that route, such as Kingston and Drummondville, Que.
Via Rail has long said the fact that it takes a back seat to freight on the current network prevents it from offering more frequent trips and delivering more reliable arrival and departure times.
Via is currently replacing its aging trains with new Siemens Venture trainsets, which can travel at a speed of up to 200 kilometres an hour – but the current class of track limits top speeds to 160 kilometres an hour.
High-speed trains in Europe can travel 300 kilometres an hour or more.
Mr. Imbleau said the three bids show the private sector agrees with the overall targets of the project.
“It’s not a dream that we think we can cut the travel time in half: So Montreal to Toronto in three hours or less. Montreal-Ottawa in close to an hour, and Montreal-Quebec in an hour and a half. So that was our assessment, and the private sector is saying that it’s doable,” he said. “That’s why we’re quite enthusiastic.”
Mr. Imbleau’s office shared internal polling of Ontario and Quebec residents that showed a majority in both provinces said they prefer a more expensive but faster train over a train that provides travel time similar to a car, but that is less expensive to build.
However, participants in the surveys and in smaller focus groups were not provided with an estimated cost for the two options.
“The faster, the better. Speed is seen as crucial to justify the investment in this project,” states a report summarizing the results of the focus groups.
The surveys were conducted by Callosum, a market research company.
Air Canada’s late entry into the process is being viewed with suspicion by passenger rail advocacy organizations, such as High Speed Rail Canada, which notes the airline has a history of opposing such projects. The advocacy group said having Air Canada involved in both air and passenger rail would not benefit Canadian travellers.
During a 2009 study of high-speed rail by the House of Commons transport committee, Joseph Galimberti, who at the time was representing both Air Canada and the National Airlines Council of Canada, warned MPs that “we would be greatly troubled if public investment were used to create modal disparity between air and rail, threatening the health of our companies and the jobs of our employees.”
Air Canada released a statement last month confirming its participation in one of the bid teams, but the company said it would not be making any further comments.
“Connections with other modes of transport, such as rail or bus, are part of the solutions the company is already developing to offer the most relevant mobility option, responding in a sustainable way to the specific needs of each of its customers,” the company said. The statement went on to say that Air Canada’s involvement will help it contribute to the “harmonious integration” of a future intercity rail network with existing airport hubs.
Laurent de Casanove, press secretary to Transport Minister Pablo Rodriguez, said in an e-mail that the three submitted proposals come from some of the world’s best rail firms.
“The government is looking forward to selecting and signing a contract with a consortium, which will bring us one step closer to breaking ground on the largest infrastructure project Canada has seen in decades and transform how Canadians travel in the busiest transportation corridor in the country,” he said.
Terry Johnson, president of the Transport Action Canada advocacy group, said improved integration between air and rail travel would be very welcome, but added that it isn’t clear why Air Canada needs to align itself with one of the three bidders.
Mr. Johnson said in an interview that the government needs to be much more transparent about the costs and trade-offs of the various options.
“The public is owed a side-by-side comparison in dollars, in travel time and in time to deliver the project. Because a train that you can’t actually ride in your lifetime isn’t relevant to you,” he said. “We would love to see high-speed rail, but not at any cost.”