POPULAR WORDS

Road and rail spending under the Rudd Government will be cut, according to opposition spokesman on transport Warren Truss.

Citing revised Budget estimates released today, Truss says the global financial crisis means less funds will be invested in critical infrastructure projects, and has accused the Government of misleading the public.

“The global financial crisis has obviously had a major effect, but Labor should never have promised what it now cannot deliver,” Truss says.

“Now it seems infrastructure spending will actually be cut. Any new projects that do receive funding will go on the bankcard.”

According to Truss, the massive cut in forecast Budget surpluses—from $21.7 billion to $5.4 billion in 2008-09 and from $19.7 billion to $3.6 billion in 2009-10—means “there is not enough money to fill the fund”.

Since announcing the fund earlier this year, the Government has committed to injecting $20 billion into it to bankroll key road, rail and port projects.

Infrastructure Australia was set up to coordinate infrastructure investment, with final approval coming from the Government.

ATN contacted Minister for Infrastructure and Transport Anthony Albanese’s office for comment.