Tasmania will receive more than $900 million for road and rail upgrades in Tuesday's federal budget, including money for a long-awaited cross-river bridge north of Hobart.
Canberra on Monday pledged $461 million towards a replacement for the 72-year-old bridge that crosses the River Derwent at Bridgewater as part of a national infrastructure package.
"It's been a long time coming. It's been a source of frustration - particularly for southern Tasmania," state Infrastructure Minister Jeremy Rockliff said on Monday.
"The biggest hurdle was the funds. Now we get on with it."
Labor's opposition infrastructure spokesman David O'Byrne welcomed the federal commitment but queried why it took the state Liberals, re-elected for a second term in March, so long to secure funding.
"It's a crucial piece of infrastructure and we've seen the Tasmanian Liberals sit on this plan for over four years," Mr O'Bryne told reporters.
Mr Rockliff said a construction timeframe was yet to be drawn up but building would begin "as soon as possible".
"This is a massive infrastructure project that will take some time to complete," he added.
Federal funds cover around 80 per cent of the bridge's expected cost, with the state government to cough up about $155 million.
The state government put forward a business case to Infrastructure Australia for a $576 million four-lane bridge.
Federal Opposition Leader Bill Shorten last month pledged $100 million for a new bridge if Labor won government in Tasmania and at national level.
The existing heritage-listed bridge will remain, with the new crossing to take cars, pedestrians and bicycles.
The $920 million federal package for Tasmania also includes $400 million to improve roads, particularly the main highway in the state's north west.
THE FEDERAL BUDGET INFRASTRUCTURE SPEND IN TASMANIA
* $461 million for new Bridgewater Bridge
* $400 million for targeted road works, particularly improving the efficiency and safety of the Bass Highway corridor in the state's north
* $59.8 million for Tasmanian Freight Rail Revitalisation program
Source: Australian Government
