Australia’s top infrastructure body has placed Melbourne’s Suburban Rail Loop (SRL) project on the highest priority list for the nation despite raising serious concerns about its business case merely a year ago.
It is the first time the contentious project has been listed as a high priority project by Infrastructure Australia — among nearly two dozen other proposals across the country — which is thought to increase the chance of more federal funding.
After evaluating the project last year, Infrastructure Australia found the state government’s business case for the project was not detailed enough and relied on future stages of the rail loop to justify its benefits.
At the time, it urged the government to develop “exit strategies” from the plan if it could not be delivered.
But in a report released on Wednesday, Infrastructure Australia said the train link was now a national priority deserving of immediate investment.
“The first stage of the Suburban Rail Loop (SRL) is identified as an immediate priority for delivery investment to support a rail connection between Cheltenham and Box Hill,” the report said.
“This will reduce travel times, facilitate new housing and connect major employment, health, education and retail areas in Melbourne’s east and south-eastern suburbs.”
The report also flagged future stages of the SRL including the SRL North and West which incorporated the Melbourne Airport Rail Link, as a “future investment opportunity in the 5-10 year pipeline”.
The SRL is Victorian Premier Jacinta Allan’s signature project and is the most expensive in the state’s history with a price tag of $34 billion for its first stage.
