The Victorian Government will partner with the private sector to develop a rail link connecting Melbourne Airport and Southern Cross Station.

The Labor Government will use $10 million of the money it is owed through the Asset Recycling Initiative to develop the new airport rail plan, which will undertake a detailed assessment of the best route for an airport rail link, how much it would cost and how best to fund and deliver it.

Minister for Public Transport Jacinta Allan said, “The plan will look at how we can save money and deliver an airport link sooner by partnering with the private sector.

“A new rail line is a huge investment and needs to be planned properly – that’s what this investment is all about.”

Both Melbourne Airport and Southern Cross Station are privately operated and there is significant market interest in building a light or heavy rail link between these two important transport hubs.

Infrastructure Victoria has identified the need for an Airport Rail Link in 15 to 30 years, and put the price of the project at up to $5 billion.

The plan will look at opportunities to save money and deliver it sooner than this through private sector involvement – including value capture and creation initiatives, and potential private sector proposals.

It will ensure the public gets value for money, existing passengers are not disadvantaged by the introduction of new services and that Victoria gets a proper plan for a rail line to the airport.


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