Federal Budget commitment to Melbourne Metro

A family boards a metro train

The Federal Government’s decision to commit funds to the Melbourne Metro Rail Tunnel project is good news for Victorians. The funds will be assigned from the Federal Government’s asset recycling program which is an initial payment on the long-term lease of the Port of Melbourne, as foreshadowed in last months announcement of funds for a range of Victorian infrastructure projects.

In recent weeks, the Federal Government has announced a range of commitments from the 2016 Federal Budget, including:

  • $10 million was announced in April, and $857 million announced today, for the Melbourne Metro Rail Tunnel project.
  • $500 million for the Monash Freeway, if the project is differently scoped and separated from the Western Distributor project. The proposal is for a longer project, extending further east from Clyde Road, and could involve the loan of money to Victoria. The Victorian Government has indicated that it is too late, with the procurement process already underway.
  • $350 million to complete upgrading of the three remaining sections of the M80 Western Ring Road, including lanes and the implementation of traffic management technology.
  • $20 million today and in April, $220 million was announced towards the Murray Basin Freight Rail Upgrade, including track gauge standardisation and strengthening.
  • $345 million for rural and regional roads, to improve safety and productivity.  The announcement was not specific on the projects that would be funded.
  • $75 million for urban congestion projects. As with rural and regional roads, the announcement was not specific on the projects to be funded.

With a Federal Election imminent, RACV expects the next Federal Government to honour these commitments in the Federal budget and ensure that Victoria receives the funding for critical infrastructure that it needs, including the Melbourne Metro Rail Tunnel project.

For the full range of projects that RACV believes are critical for Victoria, read about RACV’s Federal Election priorities and ask the candidates in your electorate where they stand on ensuring the next Federal Government will support Victoria.

Written by Brian Negus, General Manager Public Policy
May 02, 2016