History
New Zealand's railways were initially run by the former provincial governments. The Canterbury Provincial Railways opened the first line, the Ferrymead Railway, in 1863.
It was followed by railways in Southland and Auckland. In 1870, Julius Vogel outlined his "Great Public Works" policy and the central government took authority for the construction and operation of railways, under the auspices of the Public Works Department and New Zealand Railways Department (NZR) respectively.
Some private railways were established in the late 19th century. The most prominent and successful was the Wellington and Manawatu Railway Company, whose Wellington - Manawatu Line opened in 1886 and was acquired by NZR in 1908 to complete the North Island Main Trunk Railway.
The Midland Railway Company was much less successful; after lengthy litigation, its assets were seized by the government after it proved incapable of completing its projects. On a much smaller scale, the Castlecliff Railway was privately owned from 1885 until 1956.
Read more about this topic: Rail Privatisation In New Zealand
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