Federal Government Commits $7 Billion to Melbourne Airport Rail Project

Prime Minister Albanese announces $2 billion for Sunshine Station upgrades and accelerated funding for the long-delayed airport rail link.

The federal government has pledged $7 billion in total funding for Melbourne's airport rail project, with $2 billion allocated to Sunshine Station upgrades.
Sunshine Station will serve as a key hub connecting Melbourne Airport to regional and suburban rail networks, with construction expected to begin in 2026 and finish by 2030.
The project, initially estimated to cost $10–13 billion, has faced delays and cost increases, with updated estimates now reaching $13 billion.
The Victorian government has brought forward $2 billion of its $5 billion commitment to accelerate the Sunshine section of the project, though the full rail link is not expected to be completed until the 2030s.
Critics, including Infrastructure Australia, have raised concerns about the project's economic viability, citing a low benefit-cost ratio and potential taxpayer losses.