The Manx Electric Railway Society has put forward £9,000 to run the line up to Snaefell.
It comes following Infrastructure Minister Tim Baker claiming there isn't footfall to justify running the service this year.
The Committee unanimously voted to transfer the funds - meaning the railway can operate for three weeks from Friday, August 21.
It comes in time to mark the railway's 125th anniversary.
DoI says it would protect bus services during strike
The Department of Infrastructure will try to protect services in the event of a bus strike, according to minister Michelle Haywood.
Peel bids farewell to lifeboat of over 30 years
Peel's bid a fond farewell to a lifeboat which served the town for nearly three decades.
Fire & Rescue Service deals with 11 incidents in one day
The Island's Fire and Rescue service dealt with a total of 11 incidents across the Island yesterday, Tuesday, December 16.
Avoid Fairy Bridge after crash, say police
Police say you should consider taking a different route home after a crash on the New Castletown Road.
Man can sue DHSC over respite care PTSD allegations
A man with cerebral palsy can sue the Department of Health and Social Care over claims ill-treatment in care gave him PTSD.
More EV chargers at Sea Terminal?
The Sea Terminal in Douglas could get getting new charging points for electric vehicles - if planners give new proposals the green light.
Company warns over fake delivery emails
Don't fall for a delivery scam doing the rounds on the Island.
Should dangerous drivers who kill face life in jail?
Should causing death by dangerous driving, whether under the influence or not, carry a potential life sentence?
