Westconnex: Accelerating Delivery of 21st Century Roads
BUDGET INFRA 10/2014
13 May 2014
Joint release with:
Assistant Minister for Infrastructure and Regional Development
The Australian Government is delivering on its Economic Action Strategy to build a stronger and more prosperous economy by fast-tracking investment in the infrastructure of the 21st Century.
A concessional loan of up to $2 billion will be provided to the New South Wales Government to accelerate construction of Stage 2 of the WestConnex motorway project in Sydney.
This new money is in addition to the $1.5 billion in federal funding already allocated for WestConnex.
Construction of WestConnex Stage 1 is expected to begin early next year. This involves the widening and extension of the M4 Motorway, including a new tunnel under Parramatta Road to connect with the City West Link at Haberfield.
Construction of Stage 2 is now expected to commence in 2015, two years ahead of schedule, with a new completion date of 2019.
Stage 2 will involve a duplication of the M5 East to four lanes in each direction and construction of the airport link which will enable more efficient freight movements from Port Botany and easier access to Kingsford Smith Airport from Western Sydney.
WestConnex is the largest transport and urban revitalisation project in Australia and will deliver more than $20 billion dollars in economic benefits for New South Wales.
It provides 33 kilometres of motorway that will bypass 52 sets of traffic lights and improves access from Western and South-Western Sydney to the city, airport and ports precinct.
It will remove up to 3,000 trucks per day from Parramatta Road, allowing for neighbourhood revitalisation.
This project will generate jobs and economic growth in Western Sydney and cater for the additional 1.3 million people who will call Sydney home over the next 20 years.
Funding for Stage 2 will be provided through the first ever Australian Government concessional bridging loan for a major road project and will facilitate greater investment from the private sector.
This decision honours the commitment of the Government to the Australian people to develop innovative ways to finance and fast-track productivity-enhancing infrastructure that boosts the economy and creates more jobs.
The Australian and NSW Governments are working together to unlock private sector expertise and attract private sector capital to fund WestConnex. This type of financing model will ensure maximum value is achieved from taxpayer dollars with minimal impact on the Federal Budget.
The construction of WestConnex will help support around 10 thousand jobs and is scheduled for completion in 2023.
The Abbott Government is honouring its commitment to build world-class infrastructure that will grow the economy, boost productivity, reduce congestion and slash travel times for motorists.
Further information on WestConnex can be found at http://investment.infrastructure.gov.au/projects/.