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Huron Central Railway to end operations in December

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Posted by wasd on Sunday, September 6, 2020 8:56 PM

This situation actually angers me. The government is eager to invest in rail infrastructure, but only if it is in Quebec.

https://www.canadianconsultingengineer.com/transportation/feds-spending-over-45m-for-gaspesie-railway-rehab/1003409643/

https://www.railwayage.com/freight/short-lines-regionals/bypass-build-slated-for-lac-megantic/

First, you have the Gaspé rail line that is receiving $45M to be rebuilt. That line has fewer prospects for growth and not many industries in the region currently use it. There aren't as many heavy industries that could make use of it, yet funding is easily forthcoming. Lac Megantic gets a bypass where the feds are spending more than $50M. The price tag for the federal government would be half that of the previously mentioned projects than for Huron Central and it would have more benefits. Both of these projects are important and should be carried out, but in comparison to Huron Central, they should be lower priorities.

Communities, industries and livelihoods in northern Ontario are at stake here and no funding. The railway is even modestly profitable, very much unlike the Gaspé railway, but no funding. Then you have projects in Quebec that are expensive and should be lower priority, but they get funding, no issue.

I find it unbelievable that people in Quebec sometimes still complain about Canada, that they aren't treated fairly, or whatever else they argue. Quebec always gets everything it wants and so much more, and almost always at the expense of the rest of the country. Sometimes I wonder if Canada would be better off without them.

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Posted by Miningman on Saturday, September 5, 2020 11:33 PM

I've de-trained in Franz! Went from North-South alignment to an East-West one. It's on Ontario's list of ghost towns. Photo 1981

I survived Franz... now that's isolated.

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Posted by MidlandMike on Saturday, September 5, 2020 11:00 PM

cv_acr
Steel goes out by rail via CN (south through Michigan, and north* up the former ACR to Franz and Oba where the transcontinental lines of CP and CN respectively are crossed) and Huron Central.

For those who might not know Michigan rail, that traffic south from the Soo must go thru the Upper Peninsular (on the former Soo Line) and then thru Wisconsin.  I remember in the 1980s when the Mackinac car ferry was operating, Algoma Steel pipe was going thru Lower Michigan by a more direct route.

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Posted by cv_acr on Saturday, September 5, 2020 5:50 PM

MidlandMike
Algoma is reportedly the second largest steel mill in Canada.  Why is the Soo not a healthy rail center?

There are no OTHER major industrial customers within 100 miles. A couple of small sawmill/forestry mills in the Sault and that's it. There used to be a large paper mill but it closed in 2007 and has been demolished. The line north of the Sault no longer has any customers whatseover beyond pulpwood spurs. Traffic comes primarily from Algoma Steel, ore concentrates from Michigan going to Sudbury and Rouyn-Noranda via CN and ONR, and some other bridge traffic coming off the ONR at Hearst. Although if operation north of the Sault has been suspended, that traffic is disrupted and must be going the long way around.

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Posted by cv_acr on Saturday, September 5, 2020 5:43 PM

Backshop
All raw materials come by ship. Almost all finished product goes by truck.

 

Iron ore comes from Michigan by rail.

Steel goes out by rail via CN (south through Michigan, and north* up the former ACR to Franz and Oba where the transcontinental lines of CP and CN respectively are crossed) and Huron Central.

*Although I've heard they've not been operating part of the former ACR line north of Sault Ste. Marie this summer, so any of that traffic must be rerouting south right now.

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Posted by Backshop on Saturday, September 5, 2020 5:00 PM

MidlandMike

 

 
SD70Dude

Has there been any talk of operating only from Sudbury to Espanola (about 40 miles of main track) to keep serving those mills? 

I believe CN is currently attempting to sell the former ACR line, it lost its major traffic source when the iron mines around Michipicoten closed in the 1990s, and the remaining traffic (mostly forest products) has been in decline as well.

Is iron ore, limestone, and coal from other mining areas hauled into Algoma Steel, or does it all arrive on ship.  Even if there is no ore going in, there is steel going out.  Algoma is reportedly the second largest steel mill in Canada.  Why is the Soo not a healthy rail center?

All raw materials come by ship. Almost all finished product goes by truck.  It's strange to be on I-75 in the forests of northern Michigan and seeing Canadian 7-axle trailers going south with steel (and lumber).  There used to be a lake freighter named the Yankcanuck that used to transport a lot of the finished coils.

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Posted by charlie hebdo on Saturday, September 5, 2020 4:15 PM

Overmod

One wonders immediately what the number of cars to Domtar per train, and per year, are.

One also wonders how many other facilities in Canada would be effectively stranded if their rail service was discontinued, or might be placed in a comparable situation if new legislation on truck damage to roads made it difficult for trucks to provide cost-effective access to them.

 

"Truck damage to roads".

Now there's a concept!!! 

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Posted by MidlandMike on Friday, September 4, 2020 10:26 PM

SD70Dude

Has there been any talk of operating only from Sudbury to Espanola (about 40 miles of main track) to keep serving those mills? 

I believe CN is currently attempting to sell the former ACR line, it lost its major traffic source when the iron mines around Michipicoten closed in the 1990s, and the remaining traffic (mostly forest products) has been in decline as well.

 

Is iron ore, limestone, and coal from other mining areas hauled into Algoma Steel, or does it all arrive on ship.  Even if there is no ore going in, there is steel going out.  Algoma is reportedly the second largest steel mill in Canada.  Why is the Soo not a healthy rail center?

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Posted by Murphy Siding on Friday, September 4, 2020 10:20 PM

Overmod

 

 
Murphy Siding
Why not? Are there no roads?

 

Probably too crappy for truckers to navigate regularly.  Load volume might chew up both the trucks and the roads in fairly short order.  Those having to fix either one might say quite a bit concerning finances...

 

 

But, but, I thought electric, robot trucks were the answer that we're going to make trains obsolete? Or is that only in areas where someone else has provided the substantial financing for the infrastructure?

Thanks to Chris / CopCarSS for my avatar.

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Posted by MidlandMike on Friday, September 4, 2020 9:54 PM

Murphy Siding

 

 
ttrraaffiicc

Domtar, which employs more than 500 people in Espanola, can’t operate without the line because it doesn’t have the ability to operate by truck.....

 

 

Why not? Are there no roads?

 

 

Espanola is on the Trans Canadian Highway.

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Posted by Juniata Man on Friday, September 4, 2020 7:12 PM

Prior to my retirement; I worked for a chemical company that supplied a process chemical to the Espanola mill.  On occasion, we had to shift from rail to truck deliveries because of derailments, strikes, construction work inside the mill - just to name a few.  

Finding enough trucks to keep the mill at a full production rate was a Herculean effort and not something that was sustainable for an indefinite period of time.  And we only supplied one process chemical.  Multiply that times all the various process chemicals consumed by a pulp mill and keeping Espanola operating with no rail service is pretty much an impossibility.


Murphy Siding

 

ttrraaffiicc

Domtar, which employs more than 500 people in Espanola, can’t operate without the line because it doesn’t have the ability to operate by truck.....

 

 

Why not? Are there no roads?

 

 

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Posted by SD70Dude on Friday, September 4, 2020 4:29 PM

Has there been any talk of operating only from Sudbury to Espanola (about 40 miles of main track) to keep serving those mills? 

I believe CN is currently attempting to sell the former ACR line, it lost its major traffic source when the iron mines around Michipicoten closed in the 1990s, and the remaining traffic (mostly forest products) has been in decline as well.

Greetings from Alberta

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Posted by Overmod on Friday, September 4, 2020 12:36 PM

Murphy Siding
Why not? Are there no roads?

Probably too crappy for truckers to navigate regularly.  Load volume might chew up both the trucks and the roads in fairly short order.  Those having to fix either one might say quite a bit concerning finances...

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Posted by Murphy Siding on Friday, September 4, 2020 12:32 PM

ttrraaffiicc

Domtar, which employs more than 500 people in Espanola, can’t operate without the line because it doesn’t have the ability to operate by truck.....

Why not? Are there no roads?

Thanks to Chris / CopCarSS for my avatar.

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Posted by Overmod on Friday, September 4, 2020 11:50 AM

One wonders immediately what the number of cars to Domtar per train, and per year, are.

One also wonders how many other facilities in Canada would be effectively stranded if their rail service was discontinued, or might be placed in a comparable situation if new legislation on truck damage to roads made it difficult for trucks to provide cost-effective access to them.

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Posted by ttrraaffiicc on Friday, September 4, 2020 11:34 AM

https://www.gananoquereporter.com/news/local-news/fight-for-sudbury-sault-line-railway-not-over-politicians/wcm/41f4bb69-774c-42ce-bf8f-f3b1e6e05ca6

https://www.intelligencer.ca/news/local-news/carefully-consider-huron-central-railway-funding-proposals-domtar-urges/wcm/3416e03a-11ec-4056-9346-6f2e55ecc24a

Key quotes:

“The Domtar pulp and specialty paper mill in Espanola relies on rail service for inbound manufacturing chemicals and outbound finished product destined for customers. We are hopeful that the investment proposals put forward to the provincial and federal governments by the Huron Central Railway will be carefully considered and supported,” said Bonny Skene, regional public affairs manager for the Espanola mill.

Domtar, which employs more than 500 people in Espanola, can’t operate without the line because it doesn’t have the ability to operate by truck, spelling disaster for the company and The Town of Espanola and Nairn Centre.

Sheehan said he would like to see a national strategy developed that examines both the provincial and federal issues, and would ensure long-term sustainability for the all short haul rail services, many whom face difficulties, across Canada.

“The conversation has not ended,” Romano said. “We are very hopeful that we can address this. There is a plan in place and we’ve been working very closely on it and we hope we will have more information for you in the weeks to come.”

Both governments have implemented millions of dollars into the steel and forestry industry and both Sheehan and Romano said they understands the importance of the regional economy, but that needs to be examined in tandem with opportunities for the sustainability of the rail line.

But the short-term rail line, which makes a “modest” amount of money, Sheehan said, needs to have a plan in place to ensure its sustainability and increase its business opportunities.

 

If anything good comes out of this, it will be new attention to rail infrastructure in Canada. Governments and local politicians seem to be taking this issue very seriously. It things succeed, it could be a turning point for rail in Canada. If efforts fail, it could be symbolic of rail freight's ultimate doom in Canada.

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Posted by jeffhergert on Friday, September 4, 2020 10:31 AM

Flintlock76

 

 
BaltACD
12K car loads a year is only 1K car loads a month or less than 35 car loads a day.

 

35 car loads a day doesn't sound bad, at least to me.  How many do they want, or should they have?

 

The rule of thumb is 100 cars per year per mile of track operated.  Looking at the Wickipedia entry for the railroad, it looks like they started of with enough traffic to meet the rule, but it's been declining.

Jeff

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Posted by Flintlock76 on Friday, September 4, 2020 9:29 AM

BaltACD
12K car loads a year is only 1K car loads a month or less than 35 car loads a day.

35 car loads a day doesn't sound bad, at least to me.  How many do they want, or should they have?

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Posted by MidlandMike on Thursday, September 3, 2020 8:52 PM

Are any of the mines along the route active, and do any of them ship by rail, or likely to ship by rail?

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Posted by BaltACD on Thursday, September 3, 2020 4:08 PM

Ulrich
News of the Huron Central closure seems to come around every year at this time.. maybe this year its  really going to happen. Not enough online business to make this line viable.. 

12K car loads a year is only 1K car loads a month or less than 35 car loads a day.

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Posted by Ulrich on Thursday, September 3, 2020 3:26 PM

News of the Huron Central closure seems to come around every year at this time.. maybe this year its  really going to happen. Not enough online business to make this line viable.. 

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Posted by ttrraaffiicc on Thursday, September 3, 2020 9:45 AM

SD70Dude
How many of those 12,000 carloads are to/from the large industrial plants in Sault Ste. Marie? Much of that will probably shift to CN and stay on the rails.

It is unlikely that much will stay on the rails at all and Huron Central anticipates this. The traffic takes Huron Central because it doesn't make sense to take a longer routing to market by using CN. Some of the lines biggest customers are closer to Sudbury and it will not be possible to serve them with rail once the line closes. It would actually make a lot more sense for the Sault to Hearst line to be abandoned as it is has far fewer customers and is used significantly less than Huron Central, not to mention the fact that a Sault to Sudbury link is far more strategically important than sault to Hearst. The Sault to Hearst section also features many more maintenance intensive infrastructure like large trestles that make it more expensive to operate. With that said, it makes no sense to abandon either. Any abandonment will severely hurt the rail industry in the region as well as the economy as a whole with some industries likely to close or reduce operations as a result. This will be particularly harmful to Algoma Steel which is currently trying to build itself back up and expand. Domtar may be forced to cease operations at the plant served by this line as a result of the closure. Though it makes sense that something like this would happen. It seems that in Canada, the only lines that are abandoned are the useful or strategically important ones.

Other parties like Diesel Electric Services in Sudbury have expressed interest in the line this year. Some have suggested Ontario Northland could take it over. It would probably be best if G&W wasn't operating the line anymore. Fingers crossed I guess, but we'll see. The line is marginally profitable with good prospects for growth, but the reason it is in the mess that it is is due to the expense of upgrading level crossings and other safety equipment as mandated by modern regulations after Lac Megantic.

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Posted by Miningman on Thursday, September 3, 2020 1:32 AM

Glory Days  Transcon Varnish 

Number 27 engine 8471 westbound at Bruce. 

Trains 27/28 between Sudbury and the Soo provided through service connecting with The Dominion 7/8 
to and from Montreal as well as 3/4 The Dominion to and from Toronto including sleeping and parlor cars. 
All trains ran Daily. Also, connecting with SOO Line 7/8 to and from Minneapolis, Minnesota. 

 

 

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Posted by SD70Dude on Thursday, September 3, 2020 12:36 AM

Huron Central has been losing money for years, and has been kept in operation by government subsidies. 

A quick Google Earth 'flyover' of the line reveals no obvious customers between Sault Ste. Marie and the large mill at Espanola, which is about 40 miles west of Sudbury.  This means that the western 75% of the route has no online customers that are not served by another railroad, this being CN in Sault Ste. Marie. 

How many of those 12,000 carloads are to/from the large industrial plants in Sault Ste. Marie?  Much of that will probably shift to CN and stay on the rails. 

Along with the Ottawa Valley route to the east, what is now Huron Central once formed part of a lesser known Canadian Pacific system transcontinental route, using Soo Line and Duluth, South Shore & Atlantic rails in the U.S. before rejoining CP proper in Saskatchewan.  This route north of Lake Huron and south of Lake Superior was a key element of the Pacific Scandal (which brought down Canada's first federal government), as the original owner of the Canadian Pacific charter had conspired with Jay Cooke to use the Northern Pacific as the western half of a transcontinental railroad, while only building feeder branchlines into what is now western Canada instead of the main transcontinental trunk, the idea being that traffic would flow to the U.S, which would eventually annex most of what is now Manitoba, Saskatchewan, Alberta and British Columbia.

But this line has not been a through route for decades and has become dependent on local mining and forestry-related traffic, like so many backwoods branch lines.

I don't like this either, but it's not exactly a surprise for this particular line. 

Greetings from Alberta

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Posted by daveklepper on Wednesday, September 2, 2020 10:32 PM

Seems to me that as a last resort the shippers would form a local authority replacing G&W as operators.

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Posted by BaltACD on Wednesday, September 2, 2020 10:27 PM

tree68
Perhaps this is the shot across the bow...

At 3 months out - is it a notice to do business or shut up.

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Posted by williamsb on Wednesday, September 2, 2020 10:13 PM

Let the Ontario Northland run it, at least it would be controlled by Ontario.

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Posted by tree68 on Wednesday, September 2, 2020 7:07 PM

Perhaps this is the shot across the bow...

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Posted by Juniata Man on Wednesday, September 2, 2020 6:01 PM

Genesee & Wyoming has been holding a figurative gun to Ontario's head for close to a decade where Huron Central is concerned. The province injected some money a few years back to maintain rail service to the customers on the line and I imagine if they would spring for the right figure now, G&W would keep the railroad operating.

I don't live in Ontario (or Canada, for that matter) so it's easy for me to be cavalier with Canadian taxpayers money. Perhaps the province needs to purchase the line, assuming responsibility for maintenance costs, then contract with a railroad to perform the train operations.  

The large shippers / receivers located on Huron Central would have to represent a significant tax and employment base.

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Posted by Flintlock76 on Wednesday, September 2, 2020 4:02 PM

Throwing away business in the amount of 12,000 carloads a year.  Insanity!

But as the man said, "It may not make sense to you or me, but it makes sense to somebody!"

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