A new study has found that a commuter rail service linking Limerick, Shannon and Ennis could be commercially viable - provided it received Government funding for the first five years of operation.
A rail link to Shannon has been backed by IBEC, which says rail freight access to the airport would give industry in the region a much needed competitive advantage.
The study was carried out by Shannon Railway Company, a consortium of investors involved in constructing the €150m Skycourt development in Shannon town.
The cost of the new rail link would be €60.5m. The consortium is advancing the project as a public private partnership and says it is prepared to invest €37m. But it adds that the Government would need to invest an average of €4m each year for the first five years.
The study found there is a potential demand for 2.3 million passengers per year, based on the existing car travel on these routes. The link would use the existing Limerick to Ennis line with the construction of a new six mile spur into Shannon town and airport.
IBEC says rail freight access to the airport would give industry in the region a considerable competitive advantage in attracting new investment, helping to replace the 2,500 jobs lost in the manufacturing, engineering and IT sectors in the region last year.
