The federal government has confirmed its commitment of $5 billion for the construction of the Melbourne Airport Rail Link despite the state government flagging delays of “at least four years”.
Treasurer Jim Chalmers handed down the 2024-25 federal budget on May 14, which included more than $16 billion in funding for road and rail infrastructure across the country in the next 10 years, including $4.6 billion for 69 new projects.
Leading up to budget day, Prime Minister Anthony Albanese fielded questions in a Melbourne press conference, stating Melbourne Airport should “get serious about actually getting things done”.
“At the moment there isn’t an agreement with the airport. I’m familiar with airports from time to time, they think they operate in a way that forgets about their social license,” Mr Albanese said.
Earlier this month, state Treasurer Tim Pallas handed down the 2024-25 state budget on May 7, revealing the airport rail link had been hit with further delays of at least four years from its initial estimated completion date of 2029.
Mr Pallas said the state government has a “huge amount of funding tied up with the Melbourne Airport Rail project”.
“We need to be realistic about the project and its timeline,” Mr Pallas said.
“We’ve made the sensible decision to acknowledge the project is now at least four years delayed.”
In response to the flagged delays, Brimbank mayor Ranka Rasic said it was “disappointing” that the state budget was stalling on a number of commitments, including the Melbourne Airport Rail.
The state government and Melbourne Airport have failed to reach an agreement on the location of the proposed Melbourne Airport train station, with the airport holding firm in its preference for it to be constructed underground while state government’s plans released in 2022 said its preference was to have an above ground station.
In response to Mr Pallas’ comments, a Melbourne Airport spokesperson said the timing of the project has always been a matter for the government.
“Melbourne Airport was part of a consortium that offered up to $7 billion towards an underground airport station and express tracks from Sunshine,” the spokesperson said.
“The state government rejected this.”
