Airport rail among the projects ‘under review’ in the next federal budget
There are fears the $13bn Melbourne Airport rail project may be scrapped as the federal government looks to rein in spending.
Victoria
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Melbourne airport rail is one of almost $15bn in projects the federal government is considering scrapping or cancelling.
It is now feared multiple major projects could be cut as the Commonwealth looks to rein in spending.
Among those that will be “under review” in the next federal budget are airport rail and Geelong Fast Rail.
But local road projects and other proposals are also in the firing line.
Insiders fully expect at least some of these projects to be scrapped while others, such as the airport line, could be suspended.
It comes as a row broke out on Monday between Melbourne Airport and Deputy Premier Jacinta Allan, who accused it of creating delays to its long-awaited rail link.
Her comment prompted a rebuke from the airport, which said the station at Tullamarine needed to work for every visitor, not just rail users.
Speaking on the ABC, Ms Allan was quizzed about revelations in the Herald Sun earlier this week that governments were set to pause work on the $13bn rail project.
Though she would not confirm that likelihood, she did push the issue on to the airport.
“I’ll be really frank with you,” she said.
“It has been challenging to negotiate with the airport about how the project will be delivered on the land that they lease from the federal government to run the airport.
“It’s been slower than I would have liked.”
Late last year the Andrews government released a business case for the Airport Rail Link that included plans for a new Keilor East station and an above-ground station at Tullamarine as its preferred option.
Melbourne Airport, which wants the station built underground as part of its broader plans, was blindsided by the decision and has publicly said the issue is unresolved.
Ms Allan blamed the “slow pace” of negotiations as a reason the project would not be ready by 2029, but added it also hinged on budget decisions.
“We are in conversations right now with the federal government,” she said.
“The feds have got theirs (budget) in three weeks. Ours is five weeks away.”
A Melbourne Airport spokesman said it remained a strong supporter of the rail link and was working through the strict planning requirements required by federal law.
“Melbourne Airport has been working constructively with Rail Projects Victoria to progress the project and achieve a rail link that is fit for Victoria’s international gateway,” he said.
“We note that the airport rail station needs to work for all people who come to the precinct, not just those who will come by train.
“The timing of this project is a decision for government, and we await further clarity.”
Another Labor minister, Steve Dimopoulos, said he did not know whether the project would be delayed but the state would respond to the federal budget.
Originally published as Airport rail among the projects ‘under review’ in the next federal budget
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