Victorian government urged to prepare ‘exit strategy' for Suburban Rail Loop as report finds benefits ‘overstated'
The Victorian government has 'overstated' the benefits of sections of its contentious Suburban Rail Loop project, Australia's peak infrastructure body has determined, as it warns blowouts to the $34.5bn price tag of the first section are likely.
In its evaluation of the Suburban Rail Loop (SRL) East section, Infrastructure Australia – the commonwealth-funded independent infrastructure adviser – has recommended the federal government halt further funding to the project until an updated estimate and cost-benefit analysis is produced.
Even if an updated business case stacks up, the body has urged governments to prepare an 'exit strategy' should delivery prove unfeasible.
Sign up for Guardian Australia's breaking news email
The report was publicly released on Friday, but is understood to have been delivered to the Albanese government before it committed $2.2bn to the project in February.
The SRL project, a vision for an orbital rail track from Cheltenham to Werribee that connects to Melbourne's existing rail network, has been mired in controversy over its high cost and completion date.
The first stage of the project, SRL East – 26km of twin underground tunnels from Cheltenham to Box Hill – is expected to be completed by 2035.
Sign up to Breaking News Australia
Get the most important news as it breaks
after newsletter promotion
Infrastructure Australia's evaluation of SRL East appears to back several of the cost blowout concerns, and was scathing of the rigour of the submitted business case.
'The economic appraisal … considers the SRL East and SRL North components of the SRL Program, and based on our analysis, we consider the results to be overstated. The analysis is not sufficiently detailed to allow us to understand the economic impacts of SRL East,' it said.
Costs blowouts to the $34.5bn price tag for SRL East are likely, Infrastructure Australia found, due to initial estimates being made in 2020, before industry-wide cost escalations increased the price of most construction projects.
'Based on the information provided, we have low confidence in the cost estimate for SRL East, presenting a major risk to the SRL East project, and the SRL Program as a whole,' it said.
The Victorian government plans to fund one-third of the project's total cost, with the federal government also funding one-third of the total. The Victorian government is planning for the remaining third to be generated by value capture – a tax on the future sale of land and homes in the vicinity of stations where the value has soared due to the new infrastructure.
For the federal government to continue funding the SRL project, the evaluation recommends an updated cost benefit analysis as well as more detail on how value capture will be used to source funding.
Infrastructure Australia has called for an 'exit strategy' to be developed even if federal funding continues, 'to provide a clear pathway to successfully conclude or transition out of the project in the event it cannot be delivered at this stage or in the future'.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Wales Online
4 hours ago
- Wales Online
'Essential' Llandudno phone mast plan approved
Our community members are treated to special offers, promotions and adverts from us and our partners. You can check out at any time. More info Plans to install mobile phone antennas on the roof of Venue Cymru have been approved by Conwy 's planning committee - despite objections from planning officers. The application, submitted by Cornerstone, was granted conditional planning permission at a meeting held at the council's Coed Pella HQ last week. The telecoms company sought permission to install six new antennas on two steel frames on the roof of the council-owned Venue Cymru building in Llandudno. But planning officers had recommended the application be refused, citing concerns from the council's conservation officer. The committee heard how residents had contacted Aberconwy MS Janet Finch-Saunders as part of a campaign supporting the plans, while others said the bad reception was turning tourists away. Speaking at the meeting, Cllr Mandy Hawkins proposed councillors voted against officers' advice and said: 'It will improve the connectivity, as it is essential for digital inclusion and supports local commerce, tourism, and daily communications. Sign up for the North Wales Live newslettersent twice daily to your inbox. 'A reliable mobile service is crucial for businesses operating in the area, particularly those reliant on digital transactions and online engagement. This facilitates economic resilience and supports growth across multiple sectors.' Cllr Kay Redhead seconded Cllr Hawkins' proposal to go against the officers' recommendation. 'We pride Llandudno on being a Victorian resort, but that doesn't mean we have to live in the Victorian ages when it comes to technology,' she said. 'I disagree with what the conservation officer has said about it being a blot on the landscape and the visual impact. I think Venue Cymru itself is a blot on the landscape; it sticks out like a sore thumb. It goes against the rest of the promenade. You can see it from every angle driving into Llandudno. 'To put some antennas on that for the betterment of the community, I think, is a good thing. We've got an ageing population in Conwy and are slowly doing away with house phones, and everybody needs a better phone signal.' The site already hosts two existing antennas but is located within the Llandudno Conservation Area and the Creuddyn and Conwy Historic Landscape. Before the vote, the planning committee heard how the maximum heights of the new masts would be between 4.01 and 4.42 metres - exceeding the existing 3m equipment. Planning officer Elizabeth Wood reiterated the conservation officers' concerns. 'We agree with the conservation officer that it shouldn't be at the expense of the heritage,' she said. 'That site is clearly visible on approach to the town and adds too much to the visual clutter. With quite extensive changes, the proposed mast is going to have significant detrimental impact on the conservation area, which is our premier conservation area for the whole of the county.' Cllr David Carr also supported the application, pointing to the practical problems residents and visitors experience. 'The council's parking meters are affected by this because there are queues on the front (promenade) and people are not able to pay,' he said. 'They keep presenting their (debit or credit) card, and it doesn't work. I spoke to the relevant officer, and he said it is the connectivity; the signal is not coming through. I can't believe that 10 years ago you couldn't get a signal on Mostyn Street, and if I go with my phone now - and I've changed from O2 to EE - I still can't get a signal on Mostyn Street. 'I can go to the retail park and suddenly you can get a signal, but we don't have the phone boxes we had now, so people coming into Llandudno can't contact people, can they? I saw a few years ago a lady fell, and we wanted to ring, but the phones wouldn't work. It took about five or ten minutes to go into somewhere and ask them to phone. It is 2025 and we haven't got connectivity. People can't use their mobile phones.' Despite officer objections, members voted in favour of granting conditional planning permission. The plans include an electric meter cabinet, an equipment cabinet, two transmission dishes, and associated equipment such as Remote Radio Units. The equipment is intended to improve 2G, 4G and 5G coverage in the area. The planning committee will have to reaffirm their decision at the next planning committee meeting after going against officers' advice. Public notices in your area
Edinburgh Live
4 hours ago
- Edinburgh Live
Housing developer launches West Lothian shuttle bus to help commuters get to work
Our community members are treated to special offers, promotions and adverts from us and our partners. You can check out at any time. More info A new shuttle bus service will launch at the end of the month giving commuters free access to Kirknewton railway station from Calderwood in East Calder. Stirling Developments, the main developer of the Calderwood Core Development Area housing, has reached a deal with West Lothian Council to fund the peak time bus service. It comes as the builder seeks a solution to the long running problem of providing a park and ride facility at the station- a condition built into the initial planning consent for the huge housing area. The free service will provide two return journeys per day at peak times, to help residents access train services starting at 7am from the Calderwood Cafe. The morning buses arrive at Kirknewton station at 07:10 and 07:47. In the afternoon the bus leaves the station at 17:53 and 18:26 Edinburgh Coach Hire will be providing the service, and no advance booking is required. The journey will take approximately 10 minutes and is designed to meet morning and afternoon rush hour trains. A council spokesperson told the Local Democracy Reporting Service that the buses which start on 30 June will be monitored monthly to gauge usage and the service could be adjusted to meet demand. Stirling Developments first trialled commuter buses to Kirknewton in March 2023 six months after proposals for a 50 space park and ride facility on land near the station were knocked back by the council. The most recent park and ride proposals follow three others which had outlined spaces for up to 300 cars on open land sloping northwards from the station which is three miles from Calderwood. Even the much smaller car park attracted 93 objectors who pointed out road safety was already a problem. They had highlighted the narrow rural road, dangerous bends and a badly sited junction and poor pavement space running up to the station which sits next to a level crossing. All the roads around the Victorian-built station are narrow B or C class rural roads which would require substantial upgrades to accommodate a big daily increase in commuter traffic. Objectors in the past suggested that commuters could drive to Livingston South station, four and half miles west from Calderwood, if they wanted to park at a railway station. There were also suggestions from councillors that Network Rail could make better use of the existing parking at the station, much of which is used by the operator as storage. The timetable is as follows: Calderwood Cafe 07.00 07.38 Mobility Hub 07.03 07.41 Nethershiel Rd 07.06 07.44 Kirknewton Station 07.10 07.47 Kirknewton Station 17.53 18.26 Nethershiel Rd 17.57 18.30 Mobility Hub 18.00 18.33 Calderwood Cafe 18.03 18.36
Wales Online
5 hours ago
- Wales Online
Landlord hit with huge fine after illegally turning six flats into 11 separate homes
Landlord hit with huge fine after illegally turning six flats into 11 separate homes Mohammed Abdul Kowsor Choudhury, from Cyncoed, and his company, Pine Best Ltd, had previously pleaded guilty to all offences relating to the property A part of the incomplete sprinkler system showing where a sprinkler head would be located when completed (Image: Cardiff council ) A landlord has been sentenced for a "flagrant disregard of the law" relating to "unsafe" properties he rented out in Cardiff. Mohammed Abdul Kowsor Choudhury, from Cyncoed, and his company, Pine Best Ltd, were fined a total of £54,000, with a further £10,000 in costs, when the case was heard at Cardiff Magistrates' Court. The rented property, 173 City Road, is a three storey Victorian property with a commercial unit on the ground floor but despite only having planning permission for six self-contained flats a total of 11 self-contained flats were found at the property. Rents for each flat were around £600 a month. Never miss a Cardiff story by signing up to our daily newsletter here. Prosecutions relating to this property date back to March 2018 when officers from Shared Regulatory Services visited and discovered 11 flats. An emergency prohibition order was made for each flat due to the extremely poor fire safety precautions, which meant that the properties could no longer be occupied as they were deemed to be unsafe. In 2019 South Wales Fire & Rescue Service prosecuted Choudhury for failure to comply with an enforcement notice to carry out essential work on the flats. He was fined £50,000, ordered to pay £10,000 in costs, and was given a suspended prison sentence. Article continues below In October 2022 reports were received that the flats were being rented out again and the works required by the emergency prohibition orders had not been carried out. A further investigation was launched followed by several hearings in court. Finally Choudhury and his company pleaded guilty to all the offences in July 2024 and the case was finally heard at Cardiff Magistrates' Court on June 16, 2025. The door to the ground-floor under-stairs meter cupboard showing the excessive gaps between the door and frame, which would allow fire to spread (Image: Cardiff council ) The court was told Choudhury had a previous conviction in relation to the property as well as convictions for theft, dishonesty, and assault and was told he had continued to re-let flats at the property as they became vacant. In sentencing district judge Christopher James described the business as "a vehicle created by the defendant for the purpose of presenting an enterprise of legitimacy" and described the financial accounts as "questionable". A sprinkler pipe passing through a ceiling showing the lack of seal between the pipe and the plasterboard which would allow smoke from a fire to spread (Image: Cardiff council ) The judge told the hearing that he deemed Choudhury's failure to comply with the enforcement notices as a deliberate attempt to "gain profit from people that were desperate for housing with rents in the region of £600 a month per flat." The judge described Choudhury as "flagrantly and deliberately ignoring legislation and legal requirement in relation to these properties". Cllr Lynda Thorne, Cardiff Council cabinet member for housing and communities, said: "This property has been a significant concern for many years now and hopefully Mr Choudhury now understands what he has to do to ensure that he can rent his property out legally in line with all legislation required. "The majority of private sector landlords provide a good service to their tenants but unfortunately there are some that don't have any regard at all. "Unfortunately it's landlords like Mr Choudhury who, as the judge said, flagrantly ignore legislation and bring the sector into disrepute." Article continues below
