Mark Bailey’s office ‘suggested’ transport department delete $2.4bn train blowout

Queensland Transport Minister Mark Bailey faces a grilling at budget estimates about whether he deliberately concealed a cost blowout from taxpayers.

Queensland Transport Minister Mark Bailey. Picture: Dan Peled / NCA NewsWire

The office of Queensland Transport Minister Mark Bailey suggested public servants delete a $2.4bn cost blowout on the state’s flagship train building program from its “key messaging”.

Under pressure to resign, Mr Bailey was grilled at budget estimates on Wednesday about whether he deliberately concealed cost increases from taxpayers on a program to build 65 trains in Maryborough.

By mid-June, both Mr Bailey and Premier Annastacia Palas­zczuk were aware costs for the 35-year project had surged from $7.1bn to $9.5bn.

Knowing costs had jumped by $2.4bn, Ms Palaszczuk and Mr Bailey released a joint statement on June 30 that contained the outdated $7.1bn figure.

Mr Bailey did not disclose the blowout when he held a press conference in Maryborough later that day to announce that a Downer deal had been inked.

On Wednesday it was revealed that four days after the contract was signed, his office emailed the transport department asking they consider deleting references to the $9.5bn figure from communi­cations.

The department’s acting director-general, Sally Stannard, said Mr Bailey’s office sent an email on July 3 with “considerations … That email made some suggestions about messaging.

“One … was to review the reference to the contract values with Downer,” she told the estimates hearing.

She said the department was not “directed” by Mr Bailey’s office to delete the figure.

Mr Bailey has said the correct $9.5bn figure was not in the media release because of mistakes made by ministerial staff and he was not aware his office had suggested the department delete the figure from its communications.

The Maryborough train fiasco is Mr Bailey’s biggest integrity test since he was investigated by the Crime and Corruption Commission in 2017 for deleting a private email account.