Melbourne Airport Rail Link Back on After $2BN Federal Boost

Wedoany.com Report-Mar 14, Melbourne’s long-anticipated airport rail link has taken a step forward, with the Australian federal government confirming it will allocate A$7bn for the project.

Passengers board a plane at Melbourne Airport

That includes $5bn previously committed, plus $2bn in new funding to turn Sunshine Station to the west of downtown into a connecting hub for the airport link, Prime Minister Anthony Albanese told a gathering late last month.

The delayed project, estimated to cost around AU$10bn, aims to provide a direct rail connection between Melbourne’s CBD and Melbourne Airport.

Design work has recommenced following the announcement.

Melbourne Airport Rail will replace the SkyBus, currently the only public transport link to the the airport that serves 35 million passengers a year.

Feasibility studies have been carried out multiple times dating back to the 1960s before the link was announced in 2018.

Since then, it has faced multiple delays due to cost escalations and disputes between state and federal governments.

However, the latest funding injection signals renewed momentum. It comes as part of a broader effort to enhance Victoria’s transport infrastructure, which also includes upgrades to the Metro Tunnel and Suburban Rail Loop.

“Every great global city deserves a rail link to the airport. Melbourne should be no different. We’re backing this project with a $7 billion investment, so we can finally get it done,” said federal infrastructure minister Catherine King on Facebook.

Early works are expected to begin in the second half of 2025 and complete in 2030.

A completion date for the project has not been set but is likely to be in the early 2030s.