HALIFAX — A $30,000 monthly subsidy intended to preserve a disused Cape Breton rail line will not be renewed by the Nova Scotia government.

Economic Development Minister Susan Corkum-Greek says the decision was made after CN Rail acquired a stake in the line that runs across the island from St. Peter’s Junction to Sydney, N.S., last fall.

Corkum-Greek says she concluded there were no imminent private-sector plans to develop the rail line, which has fallen into disrepair.

Freight rail service was discontinued in 2015 when Genesee & Wyoming Inc. — the line’s sole owner at the time — decided to discontinue its Cape Breton operations because of a lack of business.

The former Liberal government reached a deal with the company to keep the line in place while other business opportunities were sought.

Corkum-Greek says there’s no word on whether CN wants to abandon the line.

This report by The Canadian Press was first published April 4, 2024.

The Canadian Press