Federal Budget 2017: Victoria wants more infrastructure funding

THE Andrews government has reignited its funding war with Canberra demanding a bigger slice of the federal infrastructure pie in tonight’s budget.

The Andrews government is demanding a bigger slice of the federal infrastructure pie in tonight’s budget. Picture: Jay Town

THE Andrews government has reignited its funding war with Canberra demanding a bigger slice of the federal infrastructure pie in tonight’s budget.

Premier Daniel Andrews said if the federal government does not fund the $1.45 billion V/Line upgrade the project will not go ahead.

The centrepiece of the Regional Rail Revival announced before the state budget is a $435 million upgrade of the Gippsland line creating more than 400 jobs and a project ­office in the struggling Latrobe Valley.

He said the money was due to Victoria — under the Asset Recycling Initiative — after the sale of the Port of Melbourne.

The Herald Sun has reported that $1 billion boost to Victorian infrastructure — not earmarked for specific programs and well short of the $1.45 billion the Premier is demanding from asset recycling — will be in today’s budget.

Expecting less than he wanted Mr Andrews lashed out at Malcolm Turnbull and said he needed to realise he was more than just the “Prime Minister of Sydney.”

If the money was not coming from Canberra Mr Andrews said regional Victorian coalition MPs — like federal Infrastructure Minister Darren Chester — can explain why the projects were shelved.

“This is an easy equation either Malcolm Turnbull backs these projects or he turns his back on Victoria,” Mr Andrews said.

He said the funds needed for the project was part of a “signed agreement” to hand over a 15 per cent bonus payment from the bumper sale of the Port of Melbourne.

Mr Andrews said the projects were well known and had been discussed at length with federal politicians.

“There has been some discussions but we will wait and see what the budget holds tonight. I do genuinely hope we won’t have to be bickering with the Commonwealth Government and Mr Turnbull realises he needs to be more than the Prime Minister of Sydney.”

Separate to the Regional Rail Revival project Mr Andrews said his government had provided more than $700 million in V/Line maintenance and new carriages.

Spruiking his own regional rail credentials Mr Andrews announced 142 extra services would go across the regional rail network from August.

The bursting at the seam Geelong line will add 69 new services — meaning trains will run every 40 minutes between 7am and 7pm.

Bendigo and Ballarat will each get 18 extra weekly services, as will Gippsland. The Ararat line will get an extra 10.

Originally published as Federal Budget 2017: Victoria wants more infrastructure funding