For the first time in years, there is optimism about the future of rail service in southwestern Saskat-chewan.
CP Rail announced last week it will sell four branch lines in the area to Westcan Rail Ltd. of British Columbia, which will operate them as a short-line rail company called Great Western Railway.
The future of the lines, which carve a huge S-shape through the plains south of Swift Current, has been in doubt in recent years as grain companies diverted grain to their big, new terminals along CP’s main line to the north.
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The sale would seem to mark a successful conclusion to a lengthy and vigorous campaign by local farmers and communities to maintain rail service in the sparsely populated region.
However, years of dealing with railways and grain handling companies have left area farmers with a sizable dose of cynicism.
“On the surface, it’s very good news,” said Ray Desautels, a local farmer who has been involved in efforts to maintain rail and elevator service.
But he wasn’t about to get too excited until more is known about Westcan and its plans for the line.
“If this company is legitimate, it’s great,” he said in an interview from his farm at Dollard, Sask.
“But if it’s just a company to salvage the line later on, I guess it’s not so good.”
Officials from CP Rail and Westcan could not be reached for comment due to the Canada Day holiday. In a press release, Great Western general manager Gary Wicentowich said the company will work with local producers and grain companies to restore viability to the grain-dependent branch lines
Ron Gleim, a farmer from nearby Chaplin, Sask., and chair of the Western Rail Coalition, said while the sale is good news, there are still many unknowns, such as what sort of deal the railways have worked out on car supply and revenue sharing, and what will happen to elevators along the 550-kilometre line.
One option talked about by area farmers is to buy some of the elevators and ship producer cars off the line in sufficient volume to qualify for freight discounts.
“If we get treated fair and equitable on this, there’s no doubt in my mind those short lines and producers can compete with the terminals,” said Gleim.
Desautels said for the short line to be successful, it will have to use freight rates and other incentives to bring back grain that has been diverted to the main line terminals.
Gleim, who doesn’t believe CP would have sold the line to a short-line operator if not for intense public and political pressure, said the review of the Canadian Transportation Act announced last week by the federal government will be crucial in determining the future viability of short lines and regional rail companies.
“I’d still say CP and CN really don’t want to sell any lines, they’d like to just get rid of them all.”
