Rail First has invested $100 million to acquire 12 new energy-efficient freight locomotives for its customer base.
The state-of-the-art UGL CF44 freight locomotives have one of the most fuel-efficient engines in the market, with each locomotive capable of hauling a rake of wagons 1,800-metres in length.
Rail First CEO Beata Lipman said the acquisition of the locomotives will further enhance the status of the company as Australia’s leading provider of rolling stock solutions to the national rail freight sector.
She continued: “Today, Rail First is the largest lessor of rail freight rolling stock in the country, with approximately $500 million in assets, including 80 locomotives and 1,400 wagons.
“The past pandemic, current constraints in global and domestic supply chains, and the impact of cost-of-living pressures on Australian households have placed a huge focus on enhancing the safety and resilience of freight networks and operations.
“With a new and diverse executive team, Rail First is proud to be playing a pivotal role in helping the rail freight sector operate safely and efficiently in a cost-effective and sustainable manner.”
Rail First is the only domestic manufacturer of rail container freight wagons and also maintains and overhauls its fleet of locomotives in Australia.
The company provides more than 130 skilled jobs in the sector via its manufacturing and maintenance facilities in Adelaide and Goulburn.
Local manufacturing provides shorter lead times in the customisation and delivery of rolling stock and reduced cost risks compared to having to import build materials into the country.
“One of the other key benefits of local manufacturing for our customers is that they maintain a better ‘line of sight’ of both safety standards and quality control during the production process,” said Lipman.
“Rail First also prides itself on providing highly specialised and personalised services to customers – including a unique ‘build-to-lease’ offering.
“Numerous suppliers also benefit from Rail First’s domestic focus with its policy of sourcing construction materials and components locally.”
Under a lease agreement with Rail First, Melbourne-based SCT Logistics, the country’s largest private freight operator, has taken delivery of six of the new CF44 locomotives.
The locomotives will be used to help increase rail freight capacity between the east and west coasts and grow interstate volumes on north-to-south rail lines between Melbourne, Wodonga and Brisbane.
SCT Logistics Managing Director Geoff Smith said: “Transport is the third largest source of national emissions and rail is 16 times more carbon efficient than the road equivalent.
“To help meet the country’s goal of net zero emissions by 2050, and our own decarbonisation objectives which includes transitioning freight from road to rail, SCT Logistics is looking to an expanded fleet of new energy-efficient locomotives.
“A key advantage to these locally manufactured locomotives is that SCT Logistics can continue expanding its distribution network, grow its freight volumes and remain focused on reliability.”
Safe, efficient and reliable national and state supply chains bring down the overall cost of transport of goods and commodities to both domestic and global markets.
The result is greater revenue for Australian importers and exporters, reduced cost pressures on retail businesses, and savings for consumers at the end of complex supply chains.
