Intermodality and why all modes need road

In November 2024, National Road Carriers Association4 MinutesBy James SmithDecember 18, 2024

We live in a world where everyone is concerned about climate change but remains driven by consumerism. We want what we want when we want it.

What we don’t want is our Amazon order being delivered from 40,000 feet, directly out of an aircraft into our front yard or a train heading up our driveway. For that, we want a van.

The scale of New Zealand’s economy is small in global terms. Getting coastal shipping or rail happening at a level where politicians can say, “We are moving everything back to rail,” does not stack up. We simply don’t have the freight volumes to prioritise one mode of transport. Few industries have direct rail or shipping connections.

We need to recognise that road is rail’s biggest customer and key enabler – we need each other – and likewise for shipping. Officials need to factor all three modes into our 50-year infrastructure planning and work towards greater efficiencies through better integrating the modes.

This is where intermodal hubs rise like oases in the desert. But instead of fertile land with offerings of food and water to tired nomads, intermodal hubs are an oasis of transport efficiencies, connectivity and cost savings.

Hubs like the Wiri Inland Port, Rolleston, Longburn and Ruakura Inland Port deliver efficiencies across the board by allowing goods to be seamlessly transferred between rail, road and shipping. They are strategically located near ports, major highways and rail lines, reducing the time and cost of switching between different transport modes.

Not only are intermodal hubs of a size that support the global supply chain, they also deliver lower overall supply chain costs, contribute to sustainability objectives by increasing rail and provide significant employment opportunities to the surrounding community.

To lift intermodal capacity, New Zealand must strongly focus on upgrading its rail networks and infrastructure to increase capacity, speed and reliability. Electrification of rail lines and double tracking on key routes can make rail transport more competitive.

Likewise, enhancing port facilities to efficiently handle larger volumes of cargo and streamline the movement of goods from ships to rail or road needs to be a priority. Continuing to upgrade major highways and improve connections between intermodal hubs, ports and urban centres to facilitate smoother transfers between transport modes is also essential.

Northport and the Port of Tauranga both have port expansion projects underway, but frustratingly, both are hampered by seemingly endless consent processes. These showcase the need for the fast-track consents process – we all lose when our ports can’t increase productivity.

In a world where a reduction in carbon emissions looms closer, the interconnectivity of systems and the sharing of data also needs to be considered. At the most basic level, we need a nationwide digital platform that integrates road, rail and maritime transport data.

This system would allow for real-time tracking of goods, optimise routes and ensure efficient scheduling across all et’s look at how commercial entities can step up to bridge the gap. Let’s get the regulatory setting right and roll out that red carpet to get the infrastructure we desperately need underway.

Because there is one thing we all agree on: the taxpayer alone cannot foot the size of this bill.