I'm not saying it should be.....but in a political climate where many question the public sector's ability to accomplish big projects effectively, and where the overall impact of adding a large amount to the national deficit is questioned, it's the approach that some governments might see as most sellable.
And, if the Alto business case is as good as claimed.... which implies it will generate net income.... it's internally consistent to say, then why shouldn't it be privately funded ?
At the moment the government is proposing privatising our airports.... if that happens, it will be difficult to have a private air undustry competing with a public sector hsr line.... that harks back to the days when privatised CP competed with government owned CN. Few people found that sustainable.
The Alto pitch makes a lot of noise about how Alto will be subsidy free. I take that as a hint that Ottawa is not interested in further subsidising VIA in the corridor. (VIA is only break-even in the corridor when the "express" T-O-M-Q ridership is included - Alto will end that)
Perhaps, in private, they simply intend to offload the legacy system on the provinces. That's not a terrible idea, except that the provinces have even less leverage to deal with freight-passenger conflicts. And it means dismantling VIA as an operating agency, where I would argue VIA is actually a pretty effective operation that is viable going forward.
As I say, it's not what I would prefer, but it's the reality from this observer's vantage point. I would bet a steak dinner on it.
- Paul