Fears that projects that have had their funding slashed, deferred or delayed could be chopped

Scores of Victorian road and rail projects are at risk of being cut as the federal government scrutinises its $120bn infrastructure investment pipeline. See what could be scrapped.

Up to 100 Victorian road and rail upgrades could be on the chopping block as the federal government puts its $120bn infrastructure investment pipeline under the microscope.

More than $11bn worth of projects still in the planning stage are at risk, after Labor committed to continue funding its election commitments or those under construction.

The decision means that $2.2bn for the controversial Suburban Rail Loop will ­remain on the table but vital and long-awaited works ­announced by the Coalition are under threat.

This includes several upgrades to the Princes Highway east and west, the Frankston-to-Baxter rail line, commuter car park works and the Outer Metropolitan Ring/E6 Corridor business case.

The controversial Suburban Rail Loop will get $2.2bn in federal funding.

“This is precisely the wrong time to be taking a slash-and-burn approach to these critical projects,” opposition infrastructure spokeswoman Bridget McKenzie said.

“You have contractors and tradies who have woken up today to hear that their planned pipeline works, which they’ve based business decisions on, is also up for review.

“The only winners out of (Infrastructure) Minister (Catherine) King’s … review will be state Labor premiers who can be assured of uncritical support for their pet projects like the Suburban Rail Loop.”

Premier Daniel Andrews on Tuesday said he does not know what Victorians projects could be scrapped in the federal government’s infrastructure review.

“Unless any of you have a crystal ball, and if you have one I’m happy to borrow it from you for a bit, I don’t know what’s in the review. It’s an independent review,” he said.

“This is a review not of election commitments, it’s a review of commitments that they have essentially inherited.

“Anthony Albanese is not there to deliver Scott Morrison’s agenda.”

More than $7bn in federal funding has been allocated to around 100 Victorian projects that remain in the planning stage of the 10-year infrastructure investment pipeline.

This was after $1bn was cut from key road and rail works in the Albanese government’s October budget, as a result of its “waste and rorts audit”.

Senator McKenzie said she worried that projects that had their funding slashed, deferred or delayed, such as the Western Freeway Realignment at Pykes Creek (Ballarat bound), could be among the next round of chops. Prime Minister Anthony Albanese on Monday said there would be “no cuts in the budget”.

Ms King said there was “not a target or estimate” of how many projects would be axed following the 90-day review.

Jacinta Allan inspects early works of the Suburban rail loop in Clayton. Picture: Wayne Taylor

She said if a project wasn’t deliverable due to underfunding, supply chain or workforce pressures, she would rather use the money for one that could be delivered.

“This is about keeping every single dollar of the $120bn 10-year pipeline in the budget … but making sure it’s going towards productive uses in the economy,” Ms King said.

She said it was her “preference” to proceed with investments that had a “proper cost benefit analysis”.

This is despite the Victorian Auditor-General’s Office saying there was a risk the benefit-to-cost ratio of the SRL may really be 0.51.

Treaven Martinus, chief executive of local rail builder Martinus, said it was incorrect to say there wasn’t local capacity to deliver the nation’s pipeline of projects in a sustainable way.

A key issue was the use of massive multi-billion dollar contracts and large international builders and he called for the review to explore the use of smaller work packages that would be attractive to local firms.