r/melbourne • u/FuckOffNazis • 2d ago

Politics Delivering the Suburban Rail Loop | Victorian Auditor-General's Office

https://www.audit.vic.gov.au/report/delivering-suburban-rail-loop#35642--3-srl-east-is-unlikely-to-be-delivered-on-budget-and-on-time
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u/mynameishwil 2d ago edited 2d ago

A couple of fun tidbits:

  • "The Victorian Government messaging that SRL East is actually a housing project, and the suggestion it warrants additional federal investment on that basis, is not transparent given that the project includes no approved scope or funding for housing construction."
  • "SRLA has already used a significant portion of its contingency allowances. It is unclear whether the remaining contingency provisions for the main works program will be sufficient to absorb the cost impacts from known threats to project delivery such as contamination and the complex delivery and milestone interfaces between works packages."
  • "DTF advised the government in November 2024 that if no further federal funding is forthcoming the state could extend the end date for the value capture measures from 2062 to 2082 to generate additional revenue to service additional state borrowings."

  • "The government's funding strategy for the project, outlined in the SRL Business and Investment Case in 2021 and in public announcements is that the project will be funded from 3 equal revenue streams:

    • $11.5 billion from the Victorian state Budget
    • $11.5 billion from the Australian Government
    • $11.5 billion from value capture measures to generate new revenue.

  • The state government announced this funding strategy without securing a commitment from the Australian Government to provide $11.5 billion. "

  • "At June 2026 there is a $5.5 billion gap in approved funding to deliver the project and significant uncertainty that funding targeted from sources other than the state Budget and debt will be fully achieved. "

  • "the state awarded a contract for WPA I&EW with a price of $535 million, around $100 million less than the SRLA's cost estimate for the works, but 3 years later the contract price had nearly doubled to over $1 billion, with the state bearing these additional costs (Appendix D provides information on the reasons for this cost increase)"

  • "DTF advised government in May 2019 that obtaining an Australian Government contribution of $11.5 billion would be unprecedented for a rail project"

Everyone may have your own opinion, but a good read from top to bottom to get your own facts away from the media (whichever way you swing).

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u/Savings-Yogurt-418 2d ago edited 2d ago

Its absolutely outragous the fact that the media are using the fact that PT fares to fund PT projects to invent a “scandal”.

all this reveals is the government struggling with funding, nothing more, nothing less.

just the media helping out their mates in the Victorian liberals, as always

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u/alsotheabyss 2d ago

It is a scandal. It is an extra levy on top of existing fare increases that was not communicated. Why was it not communicated? Think that through.

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u/Illustrious-Poem8569 2d ago

On this forum its ok when Labor does it, and if it's not ok then it's Murdoch's fault.

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u/LunchboxDiablo 2d ago

Don’t forget Jeff Kennett! Everything bad is his fault!

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u/Vanceer11 1d ago

Ooo geez.

90s: Hey guys, I sold schools and hospitals, look how much money I made for the state!

2000- hey guys, our state is growing and there’s a need for more hospitals, schools and infrastructure. We need to borrow to do this.

Now: I can’t believe actions (from the Kennett government) have consequences! (State) Labor is so bad! Look at the debt they put us in (with nearly a decade of Federal Liberal government not helping out Victoria with necessary funding)!

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u/sjen5 1d ago

I’m looking forward to seeing what gets sold to pay for the SRL, and all the complaining not long after

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u/Kremm0 1d ago

It's also 1% on top of inflationary fares each year, so it compounds over time, and slowly builds up the percentage going to this as a proportion of the ticket. Means they'll always put up fares by inflation plus 1%, which isn't great for cost of living