The Albanese Government has announced a major infrastructure boost for Victoria, committing more than $3.3 billion towards new road and rail projects aimed at easing congestion, improving connectivity, and driving economic growth across the state.
A centrepiece of this investment is a renewed commitment to the long-awaited rail link to Melbourne Airport. In partnership with the Victorian Government, the Commonwealth will inject an additional $2 billion to transform Sunshine Station into a key transport hub, reinforcing its crucial role in the Melbourne Airport Rail project.
“My Government is building Australia’s future – and that means building Victoria’s future too,” Prime Minister Anthony Albanese said.
“We want to make sure all Victorians have the services and the infrastructure they need now and into the future.”
The latest funding takes the federal contribution to Melbourne Airport Rail to $7 billion, with the Victorian Government also accelerating its share of funding to facilitate works at Sunshine Station. The redevelopment will include extra platforms and a dedicated spur line, ensuring direct connections for regional travellers heading to the airport without needing to transfer at Southern Cross Station.
Premier Jacinta Allan welcomed the federal partnership, calling it a win for Victoria’s growing population.
“We’re delighted to have a partner in Canberra who is investing in the infrastructure that Victorians need and delivering much-needed projects for a growing population in the west, north and east.”
Beyond airport rail, the funding package includes a $1.2 billion Suburban Road Blitz, designed to tackle congestion in Melbourne’s fast-growing outer suburbs. The first projects slated for delivery this year include:
- Old Sydney Road Upgrade, Wallan ($45 million)
- Evans Road Upgrade, Cranbourne West ($30 million)
- McLeod Road and Station Street Intersection Upgrade, Carrum ($3 million)
“This money is ready, right now, to fix roads in need of repair,” Infrastructure Minister Catherine King said.
“Delivering vital upgrades to Sunshine Station and road congestion hotspots will support Melbourne’s growing population by allowing them to move faster and more safely around the city and its suburbs.”
The Albanese Government’s broader commitment to Victoria includes:
- $325 million towards the Melton line upgrade, increasing rail capacity by 50%.
- $20.5 million for planning Melbourne’s western suburbs rail upgrades.
- $7.05 million for planning northern suburbs rail upgrades.
- $44.8 million for Princes Highway Corridor upgrades, shared equally with the Victorian Government.
- $10 million towards a business case for enhancing key freight transport routes.
Federal Member for Fraser Daniel Mulino said the investment would help Melbourne’s rapidly growing west.
“Upgrading Sunshine Station will help accommodate this growth. The Australian Government is delivering the world-class infrastructure people in Melbourne’s west need and deserve.”
Victorian Transport Infrastructure Minister Gabrielle Williams highlighted the strategic importance of reconfiguring Sunshine Station.
“This will not only create more capacity for more services, but also marks the first stage of works for Melbourne Airport Rail and paves the way for future upgrades to electrify the Melton Line.”
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