Discussions between KiwiRail and the Rail Heritage Trust of New Zealand will hopefully also lead to the station changing hands, for the trust to revitalise it.
The plan is for the neglected station to be fixed up over a two-year period.
As much of the original station will be preserved as possible, and there are plans to have tenant businesses setting up once it is back on the market.
Additionally, funding for the heritage trust has been upped from $125,000 to $500,000 to help bring these heritage sites back to their former glory.
Mr Peters gave a speech at the Mataura Railway Station yesterday announcing these decisions, as well as stressing the importance of preserving the nation’s history.
"This station has been derelict on Main St for far, far too long," Mr Peters said.
"Unlike others who believe heritage buildings and structures should be left in the past, we understand the importance to communities, families and our futures."
Mr Peters marvelled at the station, calling it a remnant from New Zealand history which it was important never to forget.
"This station is a symbol of our national character and a critical part of New Zealand’s history. Only fools steam ahead without knowing where they came from."
The funding increase was important for the repurposing of these abandoned stations, which would again become assets, Mr Peters said.
"This type of funding, which makes a real difference, is now going to be available, multiplied by the volunteer labourers and donors, who make it all work."
A question by Mr Peters to Gore District Mayor Ben Bell as to whether the council would also come to the party with funding was met with laughter from both sides, and a "good luck" from Mr Bell.
For those hoping for the Southerner train to return, Mr Peters said nothing was planned at present, but he would keep the door open and find out what the customer base could be.
However, he would like to see, when the station was operational, trains coming down on the weekends to "show the South off".
Mr Bell said he was happy something was finally being done with the station, after it was left to deteriorate.
Although Mr Bell said he was caught off guard by the comment from Mr Peters about funding, he did say the two properties bought by the Mataura Community Board to move the train station to could potentially be sold and the funding put back into the original.
Gore district councillor Neville Phillips, who has been campaigning to restore the station, said he was "absolutely ecstatic".
Cr Phillips said there was no shortage of helpers in the town ready to provide time, money and effort and they were just waiting for their marching orders.
