A major investment in rail will mean more jobs.

The Government's announced $1 billion boost to KiwiRail - which will include extensive maintenance work on existing infrastructure.

KiwiRail CEO, Greg Miller, told Mike Hosking it's outstanding news, especially for those on the ground.

"There's 40 new jobs in our Hutt workshop alone, once we get the tracks works programmes up that's for our workers on the track but also the contractors that will assist us."

He said rail brings so many benefits to New Zealand.

"The carbon emissions from our network versus tracks is significantly lower [and] the safety benefits of fewer tricks on the road and more on freight is significantly better."