The Government is exploring a number of avenues, including multilateral partnership, to revive and expand the country’s rail service, especially from Kingston to Spanish Town, and from Old Harbour to Spanish Town, St Catherine that would move thousands of commuters daily.

Outlining the details in his 2023/24 sectoral presentation to the House of Representatives on Tuesday, Transport Minister Audley Shaw also advised that the Jamaica Railway Company (JRC) suffered loss of $20 million in the 2022/23 fiscal year, not $80,000 which, he stressed, was a projection. He said this was primarily due to the initial spend required to carry out the pilot student-passenger rail service programme, which started in January last year.

“It is important to note that there are several studies under way to assess the demand for a commuter service which will inform the development of a full-scale project, which will also include adult passengers. Discussions are currently under way to expand the commuter rail service to transport over 5000 workers daily from Old Harbour to Spanish Town, then on to Angels, and Linstead to Angels to support the business processing outsourcing investment which is expected to come on stream shortly in Angels, St Catherine,” he said.

“The JRC is actively in dialogue with the investors and is quite optimistic that work will begin before the end of this fiscal year,” he added.

He said the company is also in talks with the World Bank regarding grant funding to carry out feasibility studies to build out the rail project and revitalise a rail service from Kingston to Spanish Town, which will include a spur line interconnection for passenger and freight rail service between Spanish Town, Downtown Kingston and Portmore, and in particular the anticipated Greater Bernard Lodge Development.

Shaw emphasised that despite the $20-million loss, the JRC is strategically positioned to improve its financial performance due to the activities, which should come on stream in coming months, including the transportation of approximately one million tonnes of aggregate, which is projected to yield $480 million per annum in revenue for the Government. Other revenue-generating streams include the re-establishment of a tourist train service from Montego Bay to Appleton Estate, and the expansion of the commuter train and the inclusion of a freight service.

He pointed out that an agreement was recently signed with Mineral Agency for Retail and Logistics Limited to start transporting aggregate from Old Harbour to Linstead, and from Bog Walk to Port Esquivel, which will then be transported to other Caribbean islands.

“This is expected to ensure consistent revenue for the JRC by utilising the approximately 30 miles of operating track within St Catherine. Plans for the operation of a tourist train service from Montego Bay to Appleton by a private investor, under a track user agreement, are also at an advanced stage and will be presented to Cabinet in short order,” he stated.

That project is to be implemented in two main phases commencing in 2023 and the second phase in 2026. “It is also to be noted that freight along the Spanish Town and Linstead rail section is high on the agenda for the FY 2022/2023,” he said.

Meanwhile, he told the House that since the start of the student-passenger rail service 78,943 students have been transported, with peak total ridership of approximately 600 students from six schools in and around Spanish Town, daily.

“Further, since the introduction of the pilot student service commuter trains, an additional $3.67 million in earnings has been generated from the offering of train excursions to various schools across the island,” he said.