Australia’s federal government will add $A 3.8bn ($US 2.71bn) to Melbourne Suburban Rail Loop. The 90km project is planned to connect Cheltenham with Werribee. This is reported by the railway transport news portal Railway Supply.

Melbourne Suburban Rail Loop funding rises
Photo: Alstom. Melbourne Suburban Rail Loop funding rises

The route would run from Melbourne’s southeast to its southwest via Melbourne airport. Also, the funding brings total federal support to more than $A 6bn.

The announcement followed the effective shelving of the $A 45bn Inland Rail freight project. International Railway Journal reported that the federal government cited rising costs and poor viability.

Melbourne Suburban Rail Loop funding and SRL East

Victoria’s state government has committed about $A 11.8bn to the first stage. It is part of the four-section SLR programme. This section, SLR East, will run for 26km from Cheltenham to Box Hill. In addition, Construction contracts worth $A 13bn have already been awarded. Two further contract packages are due to be finalised in 2026 and 2027.

SLR East was originally estimated at $A 35bn. Costs have risen sharply since then. Still, no official estimate of the total cost has been published.

Prime minister Anthony Albanese said the project would help improve cross-suburban travel in Melbourne.

“Ensuring Victorians can get into greater Melbourne and across suburbs, rather than having to go into the CBD then back out, helps speed up travel times, get cars off the road and increases opportunities for businesses in Melbourne’s east,” says prime minister, Anthony Albanese.

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