The GOJ (Government of Jamaica), specifically the Ministry of Transport
and Works, has apparently had a change of direction as it relates to the Future
of the JRC (Jamaica Railway Corporation). This as they plan to split up the
company and sell if off in parts, based on an assessment by JRC Chairman,
Joseph A. Matalon.
He made his recommendation on Wednesday December 4th 2013
before the PAAC (Parliament's Public Administration and Appropriations
Committee) in “DERAILED?
- Gov’t changes tracks on railway”, published Friday, December 06, 2013 BY BALFORD HENRY Senior Observer
reporter, The Jamaica Observer.
Apparently the JRC, under the stewardship of JRC Chairman, Joseph A.
Matalon, has finally turned the proverbial corner, finally posting an operating
profit after two (2) years of draining the Public Coffers as noted in “Railway Corp
Finally Sees Profit”, Published Friday December 6, 2013, The Jamaica Gleaner.
The Balance sheet, which was presented before the PAAC (Parliament's Public
Administration and Appropriations Committee) on Wednesday December 4th
2013, when broken down reads as follows:
1. JA$68
million in Losses in financial year 2011-2012
2. JA$3.5
million in operational profit in financial year 2012-2013
3. JA$13.9
million Projected operational Profit for 2013-2014
4. JA$11.6
million Profit achieved up to October of 2013
5. JA$600
million owed to the GOJ in statutory payments i.e. Taxes
6. 80
members of staff, cut from a previous 140, many of who had no assigned Tasks
In fact in my eyes, the death of the four (4) Holmwood Technical High School in a Bus in
Chudleigh, Manchester, was the perfect catalyst for the revival of the Railways
in Central Jamaica as argued in my blog article entitled “Four
Holmwood Technical High School students killed in Crash in Chudleigh -
Opportunity to Implement Islandwide JUTC Bus System, JRC Passenger Trains along
with Automated Traffic Ticketing System”.
The school opted to contract the service of a Coaster Bus company and the
Ministry of Transport and Works didn’t even raise the idea of even the JUTC (Jamaica
Urban Transit Company) transporting the students as argued in my blog article entitled “Holmwood
Technical High starts Community Bus Service to transport students - Multimodal
Transport System with JUTC and JRC Still the best long-term option”, making
many wonder why, as an islandwide expansion is an obvious route to making the
cash-strapped JUTC profitable.
It’ll be therefore interesting to see what the eventual fate of the JRC
will be, as Passenger Train Services need to be a part of the Transportation
Scenario in the Future as noted in my blog article entitled “JUTC
and the Downtown Municipal Transport Centre - Planes, Trains & Automobiles”.
Most likely divested in parts, as it’s easier to sell its more profitable
sections such as the Appleton Estate Rum tours and give ownership of the rest
to Tourism interests and the Bauxite Industry.
The JRC will soon be no more, yet another GOJ Entity divested, not as a
whole, but in parts! If this plan comes to fruition before investors can be
identified to buy the entity as a Whole, then the iconic Railway Service will
only exist as a memory in the minds of the few, including myself, who rode on
it in the early days.
Farewell Jamaica Railway Corporation! Hello FDI (Foreign Direct
Investors) investing in the JRC!
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