Percy's Ghost Engine was referenced in a story that Percy told Thomas and Toby, which his driver told him the night before. However, Thomas refused to believe him and Percy's driver confirmed to him that the ghost was on television. Percy could not help but feel disappointed.
When Percy crashed into a cart of lime, a signalman remarked that Percy looked like a ghost. This gave Percy an idea to scare Thomas. With the help of Toby, they convince Thomas that Percy had crashed and returned as a ghost, thus scaring Thomas out of the shed. Later, Toby jokingly told Percy that Thomas had seen a ghost.
Percy's Ghost Engine is based on an Avonside 0-4-0ST, like Percy.
- In the UK version of Ghost Train, Percy's driver said the ghost was a pretend one on TV. In both US versions, he said it was only a pretend ghost story.
- Behind the scenes, Percy's Ghost Engine is Percy's model with white streamers and Edward's whistle sound.