Allan government takes fresh swipe at Melbourne Airport as tensions rise over rail link

The bitter stoush between the state government and Melbourne Airport has escalated, with Treasurer Tim Pallas’ patience being “very sorely tested” over the fight to get the airport rail link done.

A concept of how the Airport Rail Link would look like. Picture: BigBuild.vic.gov.au

The Allan government has taken a fresh whack at Melbourne Airport, warning its patience is being “very sorely tested” over the ongoing Airport Rail fight.

Treasurer Tim Pallas said the state government is not open to the airport’s preference to build a proposed Airport Rail Link underground.

The state government has already undertaken planning and received designs for an above ground station.

“Not only can we not afford to (go underground), it would very substantially constrain the delivery of and require a redesign of the facility,” Mr Pallas said.

Treasurer Tim Pallas is just about fed up. Picture: NCA NewsWire / David Geraghty

“Perhaps more importantly, we are not in the business of gold plating a piece of infrastructure simply to serve the needs of the airport private concession owner.

“We have a design and we intend on delivering on that.

“We would call on the airport to accept that we are about to provide a very substantial improvement in terms of mobility and access to the airport and they should recognise that is a very substantial contribution from the state.

“We would expect them to now facilitate that being delivered.”

Asked whether the cost of ongoing delays would make the project too expensive to build, Mr Pallas said: “Well if gets to a point where the government’s patience is being very sorely tested.

“The more delay that occurs … we will invariably see the delivery timeline for this project will be adversely affected,” he said.

“We do not have a limitless level of patience with the airport provider.”

An artist's impression of Melbourne Airport with an underground rail station (bottom middle) as well as a new road link to its car parks. Source: Melbourne Airport

How the trip could look via train.

Mr Pallas’s rebuke comes after Melbourne Airport chief executive Lorie Argus hit out at the state’s planned elevated station at Tullamarine as “problematic”.

Ms Argus backed the rail link to the airport, she said it was “a project that needs to be delivered, but it needs to be done properly”

“Despite our preference for an underground station, we entertained the state’s problematic elevated station proposal because of the government’s desire to build it as quickly as possible,” she said.

“Things changed in April, when the state pressed pause on the project by forcing it into the Federal Infrastructure review and telling Melbourne Airport to stop work.”

Ms Argus said a “single-tube deep underground station” avoids costs associated with service relocation and does not constrain future terminal expansions.

“In the long term, an underground station provides taxpayers with much better value for money,” she said.

“The state’s response to our constructive approach has been disappointing.

“This is a project that needs to be delivered, but it needs to be done properly.”

Transport Infrastructure Minister Danny Pearson said Melbourne Airport had requested a meeting with government.

“I’ll be meeting with them in due course,” he said.

“I don’t know when precisely. They’ve made a request. I’ll be meeting with them as they are a stakeholder in the state of Victoria.

“We’ve spent three years trying to reach an agreement with the government and we haven’t had any success.”

Mr Pearson said the state government had “extensive” experience in tunnelling.

He said it was “logical” that taking that route would cost much more.

It’s understood the airport and federal government met this week, with one source describing it as “positive and productive”.