How the Federal Budget 2022-23 will affect regional Victoria

The government will spend a total of $7.4bn fostering regional development in coming years. See what the Federal Budget has in store for regional Victoria.

A several-billion dollar cash splash from the 2022-23 Federal Budget is set to transform regional Victoria.

The federal government’s budget, handed down on Tuesday night, outlined measures designed to strengthen the economy and provide relief from rising costs of living, with inflation expected to peak at 7.75 per cent in December this year.

Catering to the country’s regional population – which grew by 80,000 in the 12 months from June 2020 – the government will spend a total of $7.4bn fostering regional development.

The spend includes a provision of $1bn over three years through two new “flagship” schemes: the Growing Regions Program and the regional Precincts and Partnerships Program.

Regional Development Minister Catherine King said she wanted the government’s investments to “improve the liveability of our regions”.

Regional Development Minister Catherine King in Parliament House in Canberra. Picture: NCA NewsWire / Gary Ramage

“Responsible and deliverable programs and projects will help the regions grow economies, build skills and opportunity, and improve connections between and within regions,” she said.

In regional Victoria, $447.7m will be spent on the Gippsland Rail Line Upgrade, $15m on the Macedon Ranges Regional Sports Precinct Stage 2, and $4.9m on the Yarra Valley Trail Stage 2A.

The Albury-Wodonga Regional Deal will see $76.1m invested in projects in the region over four years, and in Geelong, $156m will be provided over three years for projects such as the Shipwreck Coast Master Plan and those along the Great Ocean Road and in the city centre.

In comparison, more than $7bn will be spent on suburban Melbourne, with $5bn earmarked for the Melbourne Airport Rail Link, and another $2.2bn for the Suburban Rail Loop East.

The Suburban Rail Loop East has scored $2.2bn in funding from the federal government. Picture: Supplied

Further countrywide measures affecting regional Victoria include:

– The Regional First Home Buyer Guarantee, which began on October 1, for providing 10,000 first home buyers the ability to purchase a property with a deposit as low as 5 per cent.

– A $20b low-cost-loan fund for the improvement and expansion of the country’s electricity grid, including as it relates to Victoria’s offshore wind and renewables industries.

– $2.4bn for NBN Co, granting 660,000 regional and rural homes access to fibre; another $1.2bn will provide faster speeds for 755,000 internet users and improve mobile coverage in remote areas.

– $1.4bn for local community, sport, and infrastructure projects.

– $200m each year from 2023-24 for disaster prevention, with additional funding available for people affected by floods. The fund will help pay for projects such as flood levees and evacuation centres.

– $143.3m over four years for improving access to health care in regional areas, which includes financial incentives for doctors working in rural areas and the provision of additional hospital-based training posts for rural generalists to learn specialist skills.

– $31m over four years helping regional and local newspaper publishers counteract increases in printing costs and more.

– $1.9 million for a Powering the Regions Fund for investment in renewable energy across the country.

– $500,000 for a Driving the Nation Fund, which will be used in part to install EV charging stations at 117 sites along the country’s highways.

– $500,000 for an ABC feasibility study into the expansion of Double J to FM frequencies so that more regional residents can listen to the station.