Tasmania state budget: $230m to boost Macquarie Point, stadium as infrastructure spend revealed

It’s official: The state government will spend $230 million over the next four years on Macquarie Point and, as its centrepiece, a new stadium.

Budget 2023: Premier Jeremy Rockliff and Treasurer Michael Ferguson at the Executive building in Hobart on Thursday, May 25, 2023.

It’s official: The state government will spend $230m over the next four years on Macquarie Point and, as its centrepiece, a new stadium.

The state budget has revealed more detail on how the contentious stadium project will progress in line with Tasmania’s new AFL team and a commitment to fully develop Macquarie Point.

With the stadium not due for completion until 2028 or 2029, the initial spending starts slowly and ramps up in year four of this budget.

Most is due to be spent in 2026/27, with $125m allocated for that year.

There’s also $60m allocated over the next three years for an AFL high performance centre, with a location yet to be named.

“The government firmly believes that Tasmania’s new AFL team and the Macquarie Point urban renewal precinct will provide a major boost to economic growth in Tasmania,” said Treasurer Michael Ferguson.

The stadium forms part of an overall four year infrastructure spend of almost $5bn.

Roads and bridges will receive the main proportion of the infrastructure spending in 2023/24 ($683.1m), followed by hospitals and health projects ($161.3m), education ($128.3m), tourism, recreation and culture ($108.4m), ICT support to service delivery ($78.6m), law and order ($63m) and other infrastructure ($12m).

What Hobart's new AFL stadium at Macquarie Point could look like. Images supplied by AFL

Mr Ferguson said the state government was building “intergenerational infrastructure”.

“In all cases we are building assets for our long-term future, from the long-awaited Bridgewater bridge and the expansive upgrades of the Midland Highway, through to the staged and continuing improvements of the Bass Highway,” Mr Ferguson said.

“We will invest almost $5bn in job creating infrastructure across the next four years, including $2.2bn in new and upgraded roads and bridges across Tasmania.

“The $786m Bridgewater bridge is Tasmania’s largest ever land transport project and we have achieved what previous governments couldn’t or wouldn’t; and the new Bridgewater bridge is now well and truly under construction and will be open to traffic at the end of next year.”

Other infrastructure initiatives include:

• Rail upgrades of $253m
• Ongoing Midland highway upgrades to the tune of $565m, completing a 10 year improvement program
• The ongoing southeast traffic solution to duplicate the highway and causeways between Sorell and Hobart. $244.5m will be spent to complete this project.
• Continued investment in the Bass Highway, with $280m for improvements between Launceston and Marrawah
• There will be $13.5m spent on the Northern Suburbs Transit Corridor between Glenorchy and Hobart, for planning, design and early works. The government plans to use the rail corridor for rapid buses.

On traffic congestion, the government will spend $20.8 million on initiatives such as park and ride, extra high-demand bus services and capital projects.

Elphinstone engineering will receive $5m towards a $25m facility to diversify its operations and provide opportunities for defence contracts.