Andrews Government reveals shortlist of builders for North East Link project

Victoria’s biggest road project could be built by a consortium with a key state-owned, Chinese player. It comes as the final shortlist for the $7-9 billion contract is revealed.

China’s state-owned construction behemoth is a key player in one of three consortiums short-listed to build the twin tunnels in Victoria’s biggest road project.

China Construction Oceania — the Australian presence of China State Construction Engineering Corporation — is part of the “Spark” consortium in the running to be awarded the $7-9 billion contract for the North East Link.

After a worldwide search, the state government will unveil the shortlist on Monday to construct the three-lane, six-kilometre twin tunnels linking the Eastern Freeway with the M80 Ring Road.

China State Construction does business in more than 100 countries and says it is the “representative and leader” of the Belt and Road Initiative — President Xi Jinping’s signature program to bankroll hundreds of billions of dollars of infrastructure around the world.

Premier Daniel Andrews spruiked the North East Link at a Belt and Road forum earlier this year, after signing a controversial agreement linking Victoria to the initiative on the eve of last year’s state election, prompting a rebuke from Prime Minister Scott Morrison.

Premier Daniel Andrews and Treasurer Tim Pallas announcing their plans for the North East Link in Greensborough. Picture: Nicole Garmston

The successful North East Link bidder will form a public-private partnership and will also be responsible for operating the new road corridor — which will be a toll road — once it is built by 2027.

Transport Infrastrucutre Minister Jacinta Allan said: “The world’s best construction companies have been short-listed to help build Victoria’s largest ever road project.”

“The congestion-busting North East Link will take 15,000 trucks off local roads, slash travel times for up to 135,000 motorists and create 10,000 jobs,” she said.

The “Spark” consortium also includes Italian giant Salini Impreglio, and Capella Capital and Lendlease Engineering — both part of the team building the Metro Tunnel.

John Holland Group — involved in the Metro Tunnel and the West Gate Tunnel — is leading the “ViaNova” consortium, which also includes Acciona Construction, Plenary Group and Lendlease Services.

The “OneLink” consortium features CPB Contractors — also part of the West Gate Tunnel — as well as Samsung C&T Corporation and Egis Road Operations.

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CPB Contractors have been appointed to lead the $200 million early works package, which will begin planning work in the coming weeks to maintain local power, water and other utilities.

The project design is currently being scrutinised by an independent committee, and once environmental approvals are locked in, major construction is expected to start in 2021.

The contract is expected to be awarded late next year.

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