Draft laws to set up a high speed rail planning authority will not be debated immediately in parliament, despite crossbenchers including former Liberal MP Julia Banks siding with Labor for the vote.
Labor's transport spokesman Anthony Albanese attempted to prioritise legislation establishing the agency on Tuesday, but failed to secure enough votes.
Former Liberal MP turned independent Julia Banks, Kerryn Phelps, Cathy McGowan, Andrew Wilkie and Adam Bandt sided with Labor, to hand Labor a 73-72 victory in the lower house.
However, an absolute majority of 76 was needed for Mr Albanese's proposal to go ahead.
The former transport minister said the authority was needed to best coordinate state and local government concerns for the proposed east coast rail network.
Mr Albanese said $54 million had been allocated in previous Labor budgets to set up the authority before being cut by the coalition.
However, Special Minister of State Alex Hawke said prioritising the legislation was unnecessary as the government were waiting for businesses cases.
"There is not a need today for us to do anything other than continue to pursue what all governments are doing at the federal and national level - that is invest in business cases, that is prioritise the experts in planning," he said.
Mr Hawke also took a swipe at Opposition Leader Bill Shorten.
"One thing we do respect is his (Mr Albanese's) passion for policy and issues," Mr Hawke said.
"It's refreshing, it's a different style of leadership than the leader of the opposition."
