The Island Corridor Foundation saying they have plans for the E&N Rail is enough to stave off a lawsuit. (Spencer Sterritt/NanaimoNewsNOW)

By NanaimoNewsNOW Staff

E&N Rail

E&N Rail court case dismissed, land will stay with Island Corridor Foundation despite ‘bleak’ prospects

Jul 4, 2020 | 7:06 AM

NANAIMO — Long-standing claims rail service could return on the E&N line is enough to stave off a lawsuit in the Supreme Court of B.C.

A ruling from the Honourable Justice Robert Punnett on June 30 dismissed a civil lawsuit brought against the Island Corridor Foundation by the Snaw-Naw-As First Nation.

The First Nation wanted the portion of their reserve land used by the Foundation for the rail line to be returned since it’s not being used and efforts to restart rail on Vancouver Island have seemingly stalled.

However, a failure to use the land because reconstruction is required or funds need to be raised, as in the present case, is not the same as leaving the land to “sit fallow indefinitely,” Punnett said in his judgement.

“ICF makes its best efforts to maintain the Railway with present funding and has the intention to continue to use the Lands for railway purposes. ICF is not leaving the Lands to sit fallow indefinitely. Their use is not ‘inefficient’ such that it triggers the right of reversion.”

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Punnett acknowledged “considerable evidence” was submitted about the alleged non-use of the Snaw-Naw-As land, such as rail traffic ceasing, the poor condition of the tracks and the lack of a business case.

Passenger service stopped on the E&N Rail Line in 2011 due to safety concerns. Limited freight service still runs at the Nanaimo Port but only in a 16 kilometre radius of the rail yard.

Proposed budgets for restoring rail service were released by the provincial government in late April.

The ministry of transportation and infrastructure claimed the cost of getting rail up and running to a minimum service just between Duncan and Parksville would be $96 million.

Full capacity of eight trains a day would cost nearly $234 million after much needed repairs to the tracks and trestles.

The combined cost of minimum service across the entire E&N Rail would be more than $320 million, as well as the nearly $600 million to bring commuter services online.

“The lack of funds presently limits the ability of ICF to restore rail services, but ICF has not abandoned its efforts to fulfill its mandate,” Punnett said. “It maintains the Railway corridor to the extent possible with present funding.”

Despite siding with ICF, Punnett did state the “future use of rail traffic may be bleak.”

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