Bridge settlement edges closer

Jim HarlandNearly two years of finger-pointing over an unpaid $275,000 bill for damage to Dunedin's historic pedestrian railway overbridge could be coming to an end.

It has been more than 21 months since the collapsible metal flaps of a container on a passing freight train popped up on February 12 last year, hitting - and badly damaging - the pedestrian overbridge at the Dunedin Railway Station.

Dunedin City Council chief executive Jim Harland has confirmed an offer of settlement from KiwiRail had been received by the council and would be considered.

He would not say whether the offer covered part or all of the $272,255 cost of replacing the bridge, as further negotiations could follow.

"We have to decide whether we accept it," he said.

The offer was a step towards resolving the debate over who should foot the bill for damage to the bridge, which eventually reopened in October last year.

What caused the metal flaps on the container to fly up - whether it was human error or mechanical failure - has never been publicly confirmed, despite repeated requests for information by the Otago Daily Times to KiwiRail and Port Otago.

The train was owned by KiwiRail - at the time owned by Toll - which also employed the train's crew.

The container was owned by a shipping company, believed to be Auckland-based Cubic Transport Services, and loaded by South Freight, a division of Port Otago.

KiwiRail spokesman Kevin Ramshaw confirmed, when contacted, the offer had been made.

"We will await the council's response to our offer before releasing any further information," he said.

Port Otago chief executive Geoff Plunket confirmed the offer was from KiwiRail, rather than his company, because "it wasn't our train".

He declined to discuss details of the offer, saying he would wait for a final settlement before commenting further.

Mr Harland said he understood KiwiRail and Port Otago had reached an agreement between themselves, before approaching the council with an offer of settlement.

Asked if he was happy with the time it had taken to obtain an offer, Mr Harland said: "No."

"It's taken too long."

chris.morris@odt.co.nz

Because

The DCC's insurance company would have been useful in this case because we would have our money without two years of hand-wringing, and because of their superior skills, the insurance company would have extracted full payment from the culprit. Negotiating wouldn't come into it. We are all much safer if the DCC avoids decisions and negotiations.

Why?

Why would you claim against your own insurance when you are not liable? All that would do is help put up your insurance costs in the future. The DCC is not responsible for the damage. Let those who are to blame (or their insurers) pay the cost.

Claim the insurance

What's the point of paying for insurance if our council won't make a claim. This seems to be another example of their deficient financial skills.

 

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