Cape Breton Central Nova Scotia Railway asks to abandon line

The Cape Breton and Central Nova Scotia Railway has filed an application with the province to discontinue service and abandon a portion of its line.

The application to the Utility and Review Board refers to a 160 km section of line from St. Peter's to Sydney.

The railway blames declining traffic levels for the past several years, noting that the Sydney Steel Corporation and Cape Breton Development Corporation have closed and CN Intermodal moved its operations.

Copol International has been in business for 22 years manufacturing plastic wrap. Company spokesman Dennis Lanoe said he raw materials they use arrive by rail.

"With the abandoning of the railway from Port Hawkesbury to Sydney, that means we will have to find alernate routes able to bring our product from Port Hawkesbury to Sydney by truck," he said. "The bottom line for us would be increase in cost to get our raw material here."

Lanoe said the loss of the rail line will make their company re-think future plans.

"Trying to increase the size of a current operation, trying to grow new markets all that is going to be questioned if we don't have access to rail," he said.

CBRM Mayor Cecil Clarke said he is disappointed.

"It's a vital link. That's why when I was a minister of economic development it was paramount we save the line," he said. "That's why there was a subsidy in place. Without the rail line it takes away many port related opportunities."

CBNS has asked to discontinue service by December 31.

It has requested a decision from the UARB by December 1, so it can give shippers one month's notice.

The application says, if it has not received a UARB decision by December 1, it will provide shippers with an alternative transport method.