(The National Post published the following story on its website on October 22.)
OTTAWA — A published report says a proposal to help Via Rail improve train service has been shelved indefinitely by the federal Cabinet. The National Post says the plan would have pumped nearly $700 million into the Crown corporation over five years.
The proposal was a scaled-down version of a multi-billion-dollar plan that included delivering high-speed rail service in the Quebec City-Windsor corridor.
Transport Minister David Collenette had backed the plan and moved it as far as the full Cabinet.
The Post says the proposal was halted yesterday and has been deferred for a future decision.
The $696 million proposal would have paid for improvements to level crossings, tracks and cars.
High-speed service is expensive because it requires eliminating all level crossings on the route.
Hundreds of kilometres of dedicated tracks would also have to be built.
In 2000, the government approved a $400 million infusion over five years for Via for infrastructure improvements.