The Morrison government rejected the Andrews government’s request for $11.5b for its Suburban Rail Loop project. VictorianLabor is hoping for an AlboMP win because federal Labor is likely to commit billions to the rail loop. | EXCLUSIVE paulsakkal ...
does not “stack up”, raising questions about the state government’s ability to pay for the project if forced to go it alone., which has criticised the Commonwealth for only allocating 6 per cent of the budget’s infrastructure funding to Victoria, which is home to 26 per cent of the nation’s population.“We don’t work on the basis of total national funding being divided by population and writing a cheque,” Mr Fletcher said on Thursday.
“Essentially, if we had proceeded with the funding sought, it would have wiped out every other commitment we have made [in Victoria], just the scale of it.”The project was unveiled three months before the November 2018 state election, when Premier Daniel Andrews claimed it would cost about $50 billion and be built by 2050.
Mr Fletcher said government spending figures were “lumpy” because the timing of investments meant some states had more projects in the next few years while others were earmarked for further into the future. “Again, I commend this project to you for funding consideration given the significant economic and productivity benefits [it] will deliver for the nation,” the letter said.
The feud over the rail loop also raises the stakes in the federal election. Two federal Labor sources, speaking anonymously because plans are not finalised, said it was highly likely the party would announce a spending pledge for the project before the election due in May. Federal Labor committed $10 billion to the loop before the 2019 election.
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