The Victorian Liberal party has criticised the state government over its failure to secure federal funding for its Outer Metropolitan Ring (OMR) freight rail corridor plan.
The Liberals say the government spent $350 million on land acquisitions for the plan before ditching the Truganina freight hub idea and not delivering infrastructure needed to support efficient freight movement across Melbourne’s western and northern corridors.
Victorian shadow ports and freight minister Roma Britnell says the decision to indefinitely defer the Truganina intermodal freight terminal shows “a complete disregard” for industry advice and economic logic.
“Labor’s mismanagement is again costing Victorians dearly. Freight costs are rising, congestion is worsening, and businesses are being forced to absorb inefficiencies that could have been avoided with diligent infrastructure planning,” Britnell says.
“Every extra kilometre a truck travels due to poor infrastructure planning adds to the cost of living.
“It hits regional producers hardest especially in agriculture and manufacturing, who rely on timely, cost-effective access to ports and markets.
“Labor can’t manage money, Labor can’t manage projects and Victorians are paying the price.”
Back in 2022, the Victorian government said the terminal plan would take thousands of trucks off the road, with then-Premier Daniel Andrews saying Melbourne’s west needed the facility immediately.
Now, the Liberals have referenced industry data that shows freight transport costs have risen by more than eight per cent nationally in the past year, with full truck load rates in Victoria increasing by up to 12 per cent due to congestion and fuel price pressures.
They say the lack of dedicated freight infrastructure means more trucks on the road, longer delivery times and higher costs for consumers and Victoria’s producers and exporters.
Infrastructure Victoria’s modelling warns that by 2051, the M80 Ring Road and West Gate Freeway will be overwhelmed, with an additional 1,800 trucks expected during morning peak hours alone. Without the OMR, the Liberal party says freight will continue to compete with passenger traffic, further eroding productivity.
“The Allan Labor government clearly knows the importance of this project, but its federal Labor colleagues have yet again withdrawn funding support due to state Labor’s mismanagement and incompetence,” the Victorian Liberal party says.
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