NSW train manufacturing facility planned for Hunter

The NSW train manufacturing facility planned for the Hunter region will be state-owned and operated by private industry under a $12 billion investment by the New South Wales Government.

NSW train manufacturing facility and fleet pipeline

The government said the ⁠planned factory is intended to support a 30-year pipeline of rolling stock work. Following construction of the new Tangara fleet, replacement of the Millennium and OSCAR fleets is planned for the 2040s, while the Waratah fleet is due to follow in the 2050s.

A government statement said the approach is designed to move away from separate overseas train orders and give the local rail manufacturing sector a longer-term workload.

“Rather than buying trains project by project from overseas, this will provide the long-term certainty needed for industry to invest locally, train apprentices, strengthen local supply chains and rebuild train manufacturing in NSW,”

The two possible locations are both near Newcastle. One is Broadmeadow Locomotive Depot, close to the area where the original Tangara fleet was built between 1986 and 1998. The other is the site of a former coal mine at Teralba.

The final location will be chosen after due diligence and consultation with stakeholders, according to the government. If Teralba is selected, further discussions with Glencore and its partners would be required over a possible acquisition of the site.

Don’t miss…Inland Rail B2A project reaches 10 ready sites

Hunter region jobs and local rolling stock work

The Minns Labor Government said the funding supports its election commitments to set a minimum local content target of 50 per cent for rolling stock contracts and to start procurement of the new Tangara fleet before the end of its first term.

During construction, the site is expected to support up to 780 jobs. Once operational, it is expected to create 550 continuing roles across the facility and related supply chains.

The government said:

“This landmark investment in stable, well-paid manufacturing jobs will address decades of industrial change in the Hunter following the closure of steelworks, changes in the mining industry and the loss of train and bus manufacturing,”

As part of building up the Hunter train manufacturing workforce, two production lines for the ⁠$447 million Tangara Life Extension program have been set up at the Cardiff rail facility.

The Cardiff work gives the Hunter a current role in train refurbishment before the larger manufacturing facility is selected. The $447 million Tangara Life Extension program covers 55 eight-carriage trains and is intended to extend their life by more than a decade. The added Hunter production lines are also expected to raise the upgrade rate from 12 to 20 trains a year, while helping build the workforce for the future new Tangara fleet and the wider Future Fleet Program.

Site selection and next procurement step

The next stage will involve confirming the preferred site and issuing a formal Expression of Interest for contracts covering both construction of the facility and manufacturing of the train fleets.