Transportation Industry
For VIA, back to the drawing board
Railway Age, May, 2004
The new Canadian government has cut a promised C$700 million infusion for VIA Rail, but the passenger train operator is welcome to submit a new business plan for a funding increase, says Transport Minister Tony Valeri.
The $700 million was promised last fall by former transport minister David Collenette in the waning days of the Chretien government. The cut by the government of Prime Minister Paul Martin after it took office in December was part of a plan to reduce government spending so Ottawa didn't end up with a deficit.
"I would not take the removal as an indication that we would not be promoting rail," Valeri told the House of Commons Transport Committee. "I would say that they will come back with a plan and we will certainly look at [it] from a capital expenditure perspective."
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