5. Statement by the Minister for Economy and Transport: The Global Centre of Rail Excellence in Wales

Part of the debate – in the Senedd at 4:46 pm on 21 May 2019.

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Photo of Ken Skates Ken Skates Labour 4:46, 21 May 2019

Well, Mark Reckless is absolutely right that live line testing can be disruptive and therefore having a 7 km test facility, which trains can be tested to a maximum speed of 120 miles an hour on, is incredibly desirable, not just for the operators and the manufacturers but also for passengers. To date, Welsh Government and I, as the responsible Minister, have been driving this particular project, but we have now formed the joint venture agreement with Powys and Neath Port Talbot and, in parallel, we'll be working jointly with the current landowner, Celtic Energy, to secure all the necessary options, all of the necessary consents and the land forms that will allow the rail project to proceed in a timely fashion. And therefore, from this date, we will be working together in full partnership.

Insofar as the sector is concerned—by the sector, I mean that we have engaged extensively with network operators, with manufacturers of rolling stock, with operators of rolling stock—the cost of sending rolling stock currently from one European country to the Czech Republic or to Germany is very considerable indeed, and it can cost tens of thousands of pounds simply to send a train, a carriage, from Spain over to Germany. With the opportunity, for example, for CAF, based in Newport, to utilise a facility just along the line, further down the line in the west, we could see huge economic benefits for those particular manufacturers as well because the savings that they will incur will be significant indeed. And that is why we believe that, simply within the British market, there is enormous and sufficient support for the project to go forward, but the added bonus of being able to attract manufacturers and operators from across Europe would be something I'm sure every Member would welcome.

In the future, in terms of the ownership of the asset, well, that will be determined through the joint venture agreement in conjunction with those who will pay for it, and those who will be paying for it will be industry manufacturers and operators themselves.