Aurizon Holdings (ASX:AZJ) welcomed the AU$1.75 billion investment announced by the Australian government overnight to improve Australia's freight rail network, according to a Wednesday Australian bourse filing.
The firm's Chief Executive, Andrew Harding, noted that increased extreme weather events, as well as the long-term deterioration of track infrastructure, led to an adverse impact on the rail industry in recent years.
The government indicated the funds will be used for initiatives such as resilience upgrades in high-risk flood-prone areas of the network, as well as on track renewal works, passing loop extensions, and improved signalling.
Harding added that the government's decision to pause work on the Inland Rail was prudent and fiscally responsible.