MP DEAN DEL MASTRO IN CONJUNCTION WITH PEPSI-QTG MAKES IMPORTANT RAIL ANNOUNCEMENT
MP Dean Del Mastro and Diane Richard, Pepsi-QTG Plant Manager overlook the rail upgrades from atop the Hunter Street Bridge in Peterborough
PETERBOROUGH, ON - Today at their historic plant on Hunter Street in Peterborough, Pepsi-QTG (formerly Quaker Oats) is announcing the immediate upgrade of their rail spur in conjunction with the Building Canada commitment made last week toward the upgrade of the Havelock sub-route rail line.
Under the Ontario Framework Agreement of Building Canada, the Federal and Provincial Governments have committed up to $300 million dollars toward the re-establishment of passenger commuter rail between Peterborough and Toronto’s Union Station. This significant investment further provides for the re-establishment of substantially enhanced freight services along what is a critical piece of economic infrastructure here in Eastern Greater Golden Horseshoe Region.
Operated by Kawartha Lakes Railway, a wholly owned subsidiary of Canadian Pacific Railway, the Havelock sub-route has long supported commercial industry in the Eastern Greater Golden Horseshoe Region. Canadian Pacific CEO Fred Green and local operator in particular, Les Kohlman deserve to be recognized for their commitment to the Kawartha Lakes Railway as well as their hard work and dedication to its future.
The Havelock Sub-Route is one of 13 rail short-lines in the Province of Ontario. In Canada, 25% of all products shipped by rail start out on a short-line. The access to short-line rail currently saves shippers in the Province of Ontario more than $600 million in transportation costs annually, making them more efficient and substantially improving the economics of producing goods here in Ontario. Additionally, rail short-lines substantially reduce traffic congestion through major centres like Toronto while dramatically reducing both green house gases and smog-causing pollutants through a more efficient transportation of goods.
Today’s welcome announcement by Pepsi-QTG represents an investment into Peterborough and our future economy. The commitments made by the Government of Canada, the Province of Ontario under Building Canada as well as Canadian Pacific Railway have made today’s investment possible.
The Building Canada program represents the largest federal infrastructure investment initiative since the Second World War. Under the Ontario Framework Agreement of Building Canada, as per the commitment made in Budget 2007, Ontario now receives its full per-capita share of all Federal infrastructure dollars or roughly 38% versus the 22% it had historically been receiving from Ottawa.
PEPSI-QTG CANADA APPLAUDS INVESTMENT IN PETERBOROUGH-TORONTO RAIL LINE
Mississauga, Ontario – Pepsi-QTG Canada today joined with Peterborough MP Dean Del Mastro to publicly celebrate the planned improvements to the Peterborough-Toronto rail link announced last week as part of the Building Canada Fund.
Pepsi-QTG Canada’s Quaker plant in Peterborough relies on rail to get ingredients such as oats and flours into the plant, and for outbound transportation of products, including potential export markets.
“We couldn’t be more pleased about this development,” said Diane Richard, Plant Manager, Pepsi-QTG Canada.
“Especially in light of rising fuel costs, rail infrastructure is critical for the long term viability of the plant. As we look to the future, having the ability to ensure predictable, frequent rail service with reduced transportation time is very important.”
Currently, the plant has rail service three times a week. The speed of service has not been optimal because of deterioration of the line, and required infrastructure dollars have not been available. The government’s investment in the railway opens up important new options for local businesses like Quaker which rely increasingly on rail service.
Pepsi-QTG Canada has already commenced improvements to the rail infrastructure in its rail yard. The company has invested $125,000 to re-build rail sidings, which in turn will ensure future deliveries are made without interruption.
“The rail siding owned by Quaker is critical to ensure that ingredients are delivered to various production lines within the facility on a daily basis,” explained Bryan Robinson, Peterborough Plant Facility Engineer. “New bedding, rail ties and associated equipment are being installed -- the key goal is to ensure consistent and safe unloading operations.”
Owned by PepsiCo, the Quaker plant was established in 1901, and employs approximately 600 people. The plant produces a broad portfolio of high-quality Quaker Oats products such as Quaker Oatmeal, Quaker Chewy Bars and a wide variety of nutritious ready-to-eat cereals such as Life and Harvest Crunch.
