Murray Basin Rail Project cut back: but no business case showing why

The business case justifying abandoning completion of the Murray Basin Rail Project has never been released.

Off track: Premier Daniel Andrews at Maryborough in 2015 to announce the full upgrade and standardisation of the Murray Basin Rail network.

FULL MURRAY BASIN RAIL PROJECT’S BUSINESS CASE DERAILED

AUGUST 2014:

The Victorian Government allocates $220 million to the Murray Basin Rail Project, to standardise the Yelta to Maryborough, Sea Lake to Maryborough, and Manangatang to Maryborough lines.

APRIL 2016:

The Federal Government matches the state government funding, bringing the total budget to $440 million.

JUNE 15, 2018:

Management taken out of V/Line’s hands and passed on to Rail Projects Victoria because of a six-month delay in commissioning the Maryborough to Ararat line, plus growing evidence of faults in the project.

JUNE 2019:

Project runs out of steam and funding, with Transport Infrastructure Minister Jacinta Allan forced to wind back the troubled project, abandoning upgrades and standardisation of the Sea Lake and Manangatang lines from broad to narrower standard-gauge track the following month.

AUGUST 2019:

Freight trains are forced to crawl along patched up tracks at average speeds of 36km/h, with lines set to close once the mercury hits 33C during summer.

MARCH 18, 2020:

Victorian Auditor-General slams management of project, warning it had “not met scope, time, cost or quality expectations”, was late and would require “a considerable injection of new funds if their intended outcomes are to be fully realised”.

JUNE 2020:

Minister Allan lodges a new business case with the Federal Government, which is kept under wraps, but is rumoured to put the cost of delivering the project in full at $1 billion. But is seeking a much smaller amount for a cut-down project.

OCTOBER 20, 2020:

Minister Allan announces the Manangatang and Sea Lake lines would no longer be standardised, allocating just $48.8m to further work, with the Federal Government chipping in $195.2m. She releases a heavily redacted summary of the business, refusing to release it in full. The Federal Government also refuses, arguing it is the Andrews Government’s document not theirs. Rail Freight Alliance chief executive Reid Mather said the business case was funded by tax payers and should be released. Victorian Farmers Federation grains chairman Ashley Fraser said there had been no transparency. “All we’re told is the business case doesn’t stack up and funding is pulled back,” he said.