Feds unconvinced on Vic West Distributor

The federal government remains unconvinced on the merits of the proposed $5.5 billion Melbourne Western Distributor, a parliamentary committee has heard.

A proposed $5.5 billion Melbourne toll road is still in doubt for federal funding, with a parliamentary hearing told the government remains unconvinced about the merits of the project.

The federal government is still considering whether to support the Western Distributor project, with Infrastructure Australia having waited for three months for additional information from the Victorian government.

Department of Infrastructure and Regional Development secretary Mike Mrdak says the federal government still has a "series of issues" with the business plan, insisting there's a risk it won't fund the project.

"At this stage we wouldn't see this would be a project ready for Australian government support," he told a Senate estimates hearing on Monday.

"We are not confident that it remains the first best solution for the issues being dealt with in the east-west access in Melbourne."

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The project is proceeding, to be funded by the state government and road tolls.

Mr Mrdak says the state government looks likely to finalise the deal well before the federal government can be in a position to respond to funding requests.

Coalition senator Barry O'Sullivan said voters had a right to know whether their government was jeopardising their access to federal funds.

"The people of Victoria are entitled to know whether their government is moving at a pace that might inhibit their ability to get commonwealth funding to a project," he said.


2 min read

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Source: AAP



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