Sydney Metro costs explode by billions as airport line faces indefinite delays
Sydney Metro construction costs have exploded by billions of dollars while a legal dispute has left the Western Sydney Airport rail link facing indefinite delays.
Skyrocketing construction costs have blown out the price tag for Sydney’s new Metro lines by billions of dollars, while the Western Sydney Airport Metro is facing indefinite delays.
In a major blow to the Minns government’s massive infrastructure build, the cost of Metro West has exploded by another $2.4 billion, taking the total cost to a whopping $27-29bn.
The T3 Sydenham to Bankstown Metro conversion is now expected to cost as much as $23bn – $1.4bn more.
Transport Minister John Graham blamed the budget blowout on increasing construction costs, design changes, and changes to the scope of the projects.
“Anyone who’s built a bathroom or renovated a kitchen would know that construction costs are rising, that’s the case also on these Metro projects,” he said on Friday.
In a further embarrassment, a Metro link to the new Western Sydney Airport has now facing indefinite delays.
A legal dispute between the government and private contractor building the Metro has left the project with no opening date in sight.
The rail link to the airport had already been delayed until December 2027 – a year after the first flights are due to take off from the new airport.
“I can’t confirm an opening date, I can confirm we’re in commercial dispute,” Mr Graham said.
Sydney Metro boss Peter Regan said the “complex” dispute related to “design changes … (and) challenges in the supply chain”.
Costs for that project have also blown out.
Mr Graham tried to blame the blowouts on the former Coalition government, which decided to build multiple Metro lines concurrently.
“These are transforming Sydney, but they’re complex to build, they’re expensive to build, and frankly, they’re more expensive because the way they were planned and built by the former government,” he said.
“These are amazing projects, but they cost a lot to build, and they’re subject to the same cost pressures that anyone who’s building a bathroom or renovating a kitchen would face rising construction costs around the world.”
But Liberal Transport spokeswoman Natalie Ward accused Labor of not being able to deliver projects on time.
“All of these Metro projects have been delayed and budgets have blown out under this government,” she said.
The timelines for delivering Metro West and Metro Southwest are unchanged.
Metro West – connecting the CBD to Parramatta – is due to be completed by 2032.
The Coalition government had promised to build the line by 2030, but the new rail line was delayed after the Minns government came to power.
Metro Southwest, connecting Sydenham to Bankstown, is due to take passengers in the second half of next year.
The Western Sydney Airport Metro was originally forecast to be carrying passengers by the end of 2026.
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Originally published as Sydney Metro costs explode by billions as airport line faces indefinite delays
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