Metro Tunnel opening set, more funds for Suburban Rail Loop in bumper day for Big Build

Melbourne’s Metro Tunnel will open a week earlier than expected, and the first stage of the Suburban Rail Loop has been granted extra federal funding, after a bumper day of announcements for Victoria’s Big Build projects.

Prime Minister Anthony Albanese and Premier Jacinta Allan toured the new State Library station on Sunday and revealed the Metro Tunnel would carry passengers from Sunday, November 30 – a week earlier than its expected December opening day.

But Albanese delivered an even bigger surprise when he confirmed his government would give more funding to Allan’s signature project, SRL East, an underground rail line between Cheltenham and Box Hill.

Funding the mega-project has been a political hot potato, and Victoria has spent years lobbying the Commonwealth to fund one-third of the total $34.5 billion price tag.

Albanese was coy about the exact figure, saying the additional funding would be revealed in the May budget. The federal government has previously committed $2.2 billion for early SRL works and property acquisitions.

“This is what we need in this great city of Melbourne in order to make sure that we allow people to get around this city easier as well, so that we can have affordable housing and increased housing density around rail stations,” Albanese said.

“Victoria needs that certainty going forward. We see that in order to have investment, you need certainty.”

The state has already committed to fund one-third of SRL East and claims the final portion can be raised through value capture, taxes and charges on the increase in property values generated in the areas above rail loop stations, which have not been released publicly.

But the federal money has been under a cloud since Infrastructure Australia delivered a report in March recommending against further Commonwealth contributions until Victoria provided updated figures for its costs and benefits, alongside more details on value capture.

Albanese did not say whether Infrastructure Australia had altered its advice but said his government had been working through those issues with the independent body.

Infrastructure Australia said in March that if Victoria sought further funding for SRL East, it should provide details directly to the federal government.

Since then, Victoria has put through a new request for federal cash and has been working alongside the federal infrastructure department on how to provide it as part of the budget processes.

Three sources, speaking anonymously to detail internal party discussions, said Commonwealth funding for the rail loop was a source of contention in the federal caucus.

But they said the prime minister, whose authority has grown since winning a 94-seat majority in parliament, regularly backed Allan during internal discussions. The premier has tied herself to the project after repeatedly staring down calls to pause or cancel it for budgetary reasons.

Albanese and Allan met at Sunshine station on Sunday to travel along the line and into the $15.5 billion Metro Tunnel, before disembarking at the new State Library station for a tour.

The state government previously said Metro Tunnel services would start from December, and it was widely believed the opening date would be on a Saturday or Sunday when services are less frequent.

A key milestone was receiving final safety approval from the national rail safety regulator.

Allan revealed this approval had been granted and passengers would be able to travel on the new underground rail line under Melbourne’s CBD from November 30.

The tunnel will not be used at full capacity when it first opens. The limited services will represent about a quarter of its potential through December and January.

“This has taken a decade of vision and determination to deliver this project,” Allan said.

“I can’t tell you the number of [progress] reports I’ve had to provide to the prime minister along the way. He’s watched this project develop very closely.”

The Metro Tunnel was delivered without any Commonwealth funding and Allan praised the prime minister for federal contributions to North East Link, a $4 billion upgrade to rail network at Sunshine and to Melbourne Airport Rail.

The initial Metro Tunnel timetable will have 30 off-peak services each weekday, with a full timetable not starting until February 1.

During the summer soft launch, trains will run every 20 minutes between 10am and 3pm on weekdays from Westall and West Footscray stations.

All trips during this period will be in addition to existing Sunbury and Pakenham/Cranbourne timetabled services, which will continue to operate through the City Loop until February, when they are switched over to run exclusively through the Metro Tunnel.

The full timetable has not been released, but the government said that from February, trains would run at least every 10 minutes from 6am to 10pm between Watergardens and Dandenong, with services every three to four minutes in peak hours.

The Metro Tunnel project comprises a nine-kilometre rail tunnel between Kensington and South Yarra and five new underground stations: Anzac (opposite the Shrine of Remembrance), Town Hall, State Library, Parkville and Arden (in North Melbourne).

The announcements came as thousands of Victorians walked through the West Gate Tunnel before it opens to cars next month.

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