Liberals plan to bankroll East West Link to save MPs

Federal Liberals have hatched a plan for the Morrison Government to revive the East West Link by increasing its contribution to $4 billion, as ­internal polling shows the party faces an election wipe-out in Victoria.

Victorian Liberals this week ­presented a proposal to Prime Minister Scott Morrision which would see the commonwealth offer all the ­government money needed to pay for the East West Link. Picture: AAP/Stefan Postles

Federal Liberals have hatched a plan for the Morrison Government to revive the East West Link by increasing its contribution to $4 billion, as ­internal polling shows the party faces an election wipe-out in Victoria.

Senior Liberals have told the ­Herald Sun they fear that up to a dozen federal seats in Victoria are under ­serious threat at this year’s election.

The East West Link push, spearheaded by eastern suburbs MP ­Michael Sukkar with the support of other MPs, has been backed by party research that shows the giant ­project — dumped by the state Labor government — is still a “vote shifter”.

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Victorian Liberals this week ­presented a proposal to Prime Minister Scott Morrision in Melbourne that would see the commonwealth offer Premier Daniel Andrews all the ­government money needed to pay for the new toll road between the Eastern Freeway and CityLink.

The Morrison Government has so far ­offered Victoria $3 billion towards EWL, expected to cost at least $7 billion. Liberal sources believe that if the federal government added another $1 billion, that would remove the need for any state government contribution.

A 2014 artist impression of the western portal on the East West Link.

The remaining $3 billion would come from the private sector. The PM is understood to have ­rejected the push, although he left open the possibility of revisiting the issue closer to the federal election.

Research commissioned by the Liberal Party suggested that the strategy would improve the standing of MPs in the under-threat seats of Casey, Deakin and Chisholm, as well as Menzies and Aston.

It would even improve the electoral chances of Treasurer Josh Frydenberg in his seat of Kooyong, where he is battling an insurgency from independent ex-Liberal Oliver Yates and Greens candidate Julian Burnside.

“It helps us in the northern part of Kooyong (which includes East Kew and Balwyn),” a senior Liberal source said.

The Liberal polling shows that 12 of the 14 seats the party won at the 2016 federal election are now under real threat.

“There are no safe seats in Victoria,” the source said.

Treasurer Josh Frydenberg. Picture: Aaron Francis

Asked this week whether he would reallocate the pledged $3 billion for East West Link to other projects, Mr Morrison said: “Our commitment to that project remains as it is, but as we go forward to the next Budget, I can assure you that Victoria will be well addressed in terms of its infrastructure needs.”

But Opposition Leader Bill Shorten said on Thursday that leaving the $3 billion “locked away for a road project which isn’t going to happen in the foreseeable future” was “the ultimate … sort of pettiness”.

“Why don’t the federal government climb down off their high horse and free up some infrastructure money for Victorians and Melburnians in the way which has been voted on at the state election?” he said.

Mr Shorten backed funding public transport projects such as the Metro Tunnel and the airport rail link, as he criticised the government’s “hopeless” and “anti-Victoria” approach.

Opposition Leader Bill Shorten and federal Gellibrand Labor MP Tim Watts during a visit to WooliesX in West Footscray. Picture: AAP/Stefan Postles

The Andrews Government has recently upped its campaign for Mr Morrison to release the cash for other projects.

“If the Commonwealth really cares about Victoria’s population, they would immediately unlock the $3 billion they are keeping in a locked box, so we can continue delivering the projects Victorians need,” Treasurer Tim Pallas said.

Contracts for the first section of the East West Link — connecting the Eastern Freeway with CityLink — were signed by the former Victorian Liberal government in 2014.

But Mr Andrews tore up the paperwork, costing taxpayers $1.3 billion. The Premier still maintains the project is a “dud”.

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Originally published as Liberals plan to bankroll East West Link to save MPs